A two-year biotechnology degree offered by Ivy Tech Community College will help produce a skilled work force for the area's growing life-sciences sector, officials say.

Ivy Tech Bloomington is one of six Ivy Tech campuses that will develop the degree program with help from a $2.5 million Lilly Endowment grant.

"This is a very important opportunity for people to be able to train locally for jobs that are available locally," said Linda Williamson, executive director of the Bloomington Economic Development Corp.

"I think it's just terrific, and it's a wonderful fit for where we're seeing job growth in this area."

According to a Lilly Endowment announcement Wednesday, the grant will pay for faculty, laboratory equipment, consulting, marketing and evaluation for the first three years of the new degree program.

Starting next month, Ivy Tech will research and develop curriculum for the associate degree program. Students can enroll in August on Ivy Tech campuses in Bloomington, Evansville, Indianapolis, Lafayette, South Bend and Terre Haute.

Ivy Tech will consult with community colleges in other states with model biotechnology programs, work with nearby businesses and set up advisory committees in their effort to develop the program. And officials intend to articulate the curriculum with four-year programs at nearby colleges and universities, allowing students who earn an associate degree to keep working toward a bachelor's degree.

Indiana University at Bloomington received approval for a bachelor of science degree in biotechnology last month from the Indiana Commission on Higher Education. Offered through the IU biology department, it will be the state's first four-year degree in biotechnology.

The Ivy Tech funding is part of $38.9 million in grants the Lilly Endowment announced last week to stem the "brain drain" of college graduates from Indiana. The grants included $5.5 million for Indiana University, which will use the money to strengthen internships, job placement and business partnerships at its eight campuses.

The Lilly Endowment plans to work with elementary, middle school and high school students to make them aware of biotech careers and the academic foundation required for degrees in biotechnology.

Jim Smith, dean of academic affairs at Ivy Tech Bloomington, said the program will include course work in biology, chemistry and other sciences, including offerings with a lab and technology focus. While the program will be similar at the six campuses, he said, each will be tailored to the needs of local biotech and life-sciences employers.

"It's a common curriculum, but there will be some flexibilities within the region," Smith said.

In the Bloomington area, the life-sciences employment sector is led by the Cook Inc. medical-products manufacturing business, with 1,800 employees. It also includes Baxter Pharmaceutical Solutions, Biomedix, KP Pharmaceuticals and Boston Scientific in Spencer, not to mention Bloomington Hospital.

According to the Indianapolis-based Hudson Institute, life-sciences and biotechnology businesses in Indiana can create 45,000 jobs over the next five years. Most will require post-high school education: a four-year or two-year degree or shorter-term training certificate.

In Bloomington, Baxter Pharmaceutical Solutions announced last month that it will move 500 workers to the former Columbia House complex west of the city and will add a 35,000-square-foot warehouse to the facility next year. Baxter officials say the facility, which provides vaccines, vial filling and freeze-dried products for the biotech industry, is on track to have 1,200 employees by 2010, almost double the current level.

Lee Karras, vice president of operations for Baxter in Bloomington, said a biotechnology degree program at Ivy Tech - almost next door to the factory - could add opportunities for current and future employees.

"It's definitely going to be an up-side for the life-sciences industry," he said.