Proposed Biocorridor Economic Development Agreement

KalonBioIt’s been two and a half years since the twin cities signed the historic agreement establishing the west side biomedical corridor.

One of the components is sharing revenue generated by new development. The Bryan and College Station city councils have been asked to give up $1.5 million dollars to expand a pharmaceutical company that’s already there.

The proposal involves Kalon Biotherapeutics, which was created by the Texas A&M System three years ago.

Kalon is now a partner with GlaxoSmithKline in developing and producing vaccines for seasonal and pandemic flus as well as commercial products.

According to the proposed agreement, as of December 31, 2012, Kalon had 31 fulltime employees with a annual payroll of $1.9 million. Beginning January 1, 2018 and continuing through the end of a seven year agreement, Kalon is required to have 100 full time equivalent employees and an annual payroll of $6 million. The current number of employees and payroll at Kalon was not included in the proposed agreement or background information that’s part of the College Station council agenda.

The background information from the council agenda also calls for Kalon to make a capital investment in the biocorridor. The proposed agreement does not give details of what will be done.

The College Station council has been asked to give up $1.1 million dollars and Bryan $400,000.

The Bryan council meets Tuesday. Bryan’s agenda does not specifically list the Kalon request, but action is possible on unidentified economic development agreements on the west side of town.

Click HERE to read the proposed agreement.

Click HERE to read the background information from Thursday’s College Station city council agenda.

 

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