Structure of Public/Private Programs

Craig Nessler (Bill McCutchen)

March 2010

Improving Life through Science and Technology

Corporate Motivation

• Corporations are seeking strategic opportunities to enhance/optimize their research capabilities in a very challenging economic environment.

• Funding for sponsored research with corporate partners provides opportunities to expand R&D programs.

• Major national universities (including Texas A&M) are positioning themselves to compete in this environment.

Improving Life through Science and Technology

Why Public/Private Engagement

• Extends and enhances funding resources

• Expands circle of professional contacts

• Facilitates exchange of personnel

• Enhances IP development

• Provides opportunity for student development and placement

Improving Life through Science and Technology

The Objectives

•Systems oriented research (holistic, team, multiple location) is critical.

•Intellectual property development, disclosure, protection, and commercialization is essential to partner with corporations.

•Organizations who are responsive, nimble, and visible will prevail.

Improving Life through Science and Technology

The Issues

•Public (land grant) universities have experienced declining state support for their programs. Now less than 40%!

•This means other sources of support are needed to maintain (or grow) programs.

•In the future, those sources may include: IP royalties, corporate funds, federal funds, foundation funds.

ie University researchers no longer have the luxury of giving away IP!!

Improving Life through Science and Technology

Project Funding Flow

Foundations

State

Appropriations

Federal

Grants

University

Intramural

Corporate

Improving Life through Science and Technology

•Provides protection for scientific research

•Demonstrates diligence

•Offers an opportunity for royalty flow back to the researcher and programIt is the Law:

FY 2010-2011 Appropriations Bill CSHB 1Article IX, Sec. 6.14. Research Policy. (a) An agency may not expend any funds appropriated by this Act for research projects of any type until the agency has adopted and filed with the Legislative Budget Board a policy that clearly establishes and protects the property rights of the state with regard to any patentable product, process, or idea that might result from such research.

Why IP Protection is Important

Improving Life through Science and Technology

•Prepare executive summary (5 pages!)

•Review executive summaries with corporation and discuss path forward

•Prepare full proposal

•Negotiate a master agreement

•Initiate project with project management coordination

•Progress meetings (monthly/quarterly conference calls

•RESULTS - - Reports, Disclosures, Commercialization

The Process Cont.

Improving Life through Science and Technology

Thank YOU!

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