SENATE BILL REPORT
ESHB 2023
BYHouse Committee on Trade & Economic Development (originally sponsored by Representatives G. Fisher, Cantwell, Schoon, Winsley, Ferguson and Tate)
Providing for technology development and commercialization.
House Committe on Trade & Economic Development
Rereferred House Committee on Appropriations
Senate Committee on Higher Education
Senate Hearing Date(s):March 20, 1989
Senate Staff:Scott Huntley (786-7421)
AS OF MARCH 16, 1989
BACKGROUND:
Billions of dollars are spent annually by the federal government, state governments, and private industry for research. This research is usually fundamental or basic research paid for primarily by the federal government, or research and development for commercial products paid for primarily by private industry.
Major universities, especially those that award doctorates, do much of this scientific research. The results of much of this basic research that is funded by the federal government is not encumbered or restricted. Therefore, the universities or others can continue to develop this research into commercially feasible products or processes. The commercialization of basic research into a marketable product or process is difficult due to: (1) the problem of identifying research results with commercial potential, (2) the expense involved, (3) the length of time involved, and (4) the difficulty in identifying businesses to utilize the commercially feasible research results.
This state supports technology development indirectly through its support of education, primarily at the University of Washington and Washington State University. Both universities have offices that attempt to transfer technology developed through basic research at the universities.
This state supports technology development and transfer directly by supporting the Washington Technology Center (WTC). The WTC was created in 1983 to coordinate research done at the universities with private sector technology needs. The WTC itself is administered by the University of Washington Board of Regents. The funding for the WTC is currently administered by the Department of Trade and Economic Development.
The Washington Research Foundation (WRF) is a private nonprofit organization formed in 1981 primarily to license and market technology developed by the University of Washington. In 1987, the state appropriated funds to the WRF to enhance the transfer of technology in the state. These funds are administered by the Department of Trade and Economic Development.
The Department of Trade and Economic Development may assist technology development and transfer indirectly through the department's business assistance programs. Since the department is the pass-through agency for appropriations to the WTC, there is interest in having the department more active in the evaluation of programs at WTC and in the administration of the funds appropriated to the department for technology transfer, development and commercialization.
Since the University of Washington and Washington State University are highly regarded research universities, issues with technology transfer appear to center more on commercializing the results of research rather than on a lack of quality research itself.
SUMMARY:
The Washington Technology Center's (WTC) current legislative mandate of supporting high technology education and research initiatives in the state, providing resources for research and development, and providing quality training for advanced undergraduate and graduate students is expanded. The WTC is also: (1) to make unencumbered technology available to businesses in Washington State first; (2) to provide technical assistance to businesses in this state that use technology developed by the WTC; (3) to involve and to coordinate schools of higher education with businesses in technology development, and (4) to protect unencumbered or unrestricted technology developed at the WTC for the benefit of the state.
The Department of Trade and Economic Development and the WTC are to develop standards for evaluating the WTC's programs. The Department of Trade and Economic Development is also to work with the WTC to better utilize the department's business assistance programs to help businesses use technology developed at the WTC.
The department is to actively administer funds appropriated to or through the department for technology development, transfer, or commercialization to improve economic development.
Appropriation: none
Revenue: none
Fiscal Note: March 16, 1989