A. From such funds as may be appropriated by the General Assembly and anygifts, grants, or donations from public or private sources, there is createdin the state treasury a special nonreverting, permanent fund, to be known asthe Biotechnology Commercialization Loan Fund (the Fund), to be administeredby the Authority. The Fund shall be established on the books of theComptroller. Interest earned on moneys in the Fund shall remain in the Fundand be credited to it. Any moneys remaining in the Fund at the end of eachfiscal year, including interest thereon, shall not revert to the general fundbut shall remain in the Fund. Expenditures and disbursements from the Fund,which shall consist of loans, shall be made by the State Treasurer onwarrants issued by the Comptroller upon written request bearing the signatureof the chairman or the vice-chairman of the Authority, or, if so authorizedby the Authority, bearing his facsimile signature, and the official seal ofthe Authority.
B. Moneys in the Fund shall be used for the sole purpose of financingtechnology transfer and commercialization activities related to biotechnologyinventions made, solely or in cooperation with other organizations, atqualifying institutions. Such activities shall include, but not be limitedto, legal and business consulting services and expenses, including employeecompensation, relating to assessing the patentability of inventions,obtaining patent protection for such inventions in the United States andinternationally, marketing for such inventions and patents thereon topotential licensees, and negotiating licensing or commercializationagreements with licensees, as well as development of new technology transferand commercialization programs at qualifying institutions.
The maximum amount of any loans outstanding under the Fund shall be$3,000,000.
C. Qualifying institutions may apply to the Fund for loans to the extent thatsuch institution's outstanding principal balance at any one time does notexceed $500,000. Loan applications shall include business plans that detailand explain the anticipated uses of funds received and the proposed repaymentschedule.
Loans from the Fund shall take the form of a contractual commitment to therecipient qualifying institution for a line of credit for up to three years,along with an approved schedule of repayment. During the contractual periodthe recipient qualifying institution may draw upon the line of credit for anyexpense for which the loan was made, not to exceed the stated amount of theloan award. At the end of the contractual period, the line of credit shallterminate and the outstanding balance of the withdrawals on that line ofcredit shall become the established basis for that loan.
During the contractual period, deferred interest shall accumulate on theoutstanding balance at a rate of three percent compounded annually. Borrowinginstitutions may prepay part or all of any loan received from the Fundwithout penalty, and, if repayment is completed within the contractual periodof the line of credit, the accumulated interest obligation shall be forgiven.
Repayment of the established basis shall consist of a maximum of 84 equalmonthly payments of principal and compounded interest at the determined ratebeginning on the first day of the month following the end of the contractualperiod.
D. Decisions to make loans to applicants from the Fund shall be made by apanel, which shall consist of the President of the Center for InnovativeTechnology, the Director of the Department of Planning and Budget and theChief Executive Officer of the Virginia Economic Development Partnership, ortheir designees. The President of the Center for Innovative Technology, orhis designee, shall serve as chair. The panel may seek the advice of expertsin technology, business, technology transfer or other relevant fields asappropriate in devising guidelines for the implementation of this loanprogram as well as in making loan decisions.
Specific guidelines for the award of funds from this program shall beestablished and maintained by the Authority, in consultation with theVirginia Economic Development Partnership and the State Council of HigherEducation.
E. A recipient of a loan from the Fund shall report annually to the panel onthe uses of loan proceeds during the previous year and on plans for the useof any additional funds it may plan to draw. Such reports shall be filed forso long as the recipient owes money to the Fund.
F. The chairman of the Authority shall report annually to the Governor andthe General Assembly on activities of the Fund, including a detailed list ofawards committed, the amount and description of each approved award, and anassessment of the effectiveness of the Fund in encouraging thecommercialization of bioscience and biotechnology inventions made at Virginiainstitutions of higher education.
G. A record transmitted or delivered by a loan applicant or a loan recipientto a public body in the conduct of its duties under this section shall beexcluded from disclosure under the Virginia Freedom of Information Act to theextent such record reveals information that (a) is the property of thesubmitting party, (b) has independent economic value to the owner that causesit to be maintained in secrecy by the owner, and (c) is clearly andspecifically identified in writing as proprietary, confidential informationat the time of its delivery or transmission to the public body. Nothing inthis paragraph shall be construed to prevent the disclosure of informationregarding the financial or administrative oversight of the Fund by theAuthority.
H. For purposes of this section:
"Determined rate" means the rate of interest paid by the Commonwealth onthe most recent sale of tax-exempt bonds backed by the full faith and creditof the Commonwealth.
"Qualifying institution" means an institution of higher education in theCommonwealth or its associated intellectual property foundation that adopts apolicy regarding the ownership, protection, assignment, and use ofintellectual property pursuant to § 23-4.3.
I. No loan shall be made to any entity which conducts human stem cellresearch from human embryos, or for any loan to conduct such research;however, research conducted using adult stem cells may be funded.
A. From such funds as may be appropriated by the General Assembly and anygifts, grants, or donations from public or private sources, there is createdin the state treasury a special nonreverting, permanent fund, to be known asthe Biotechnology Commercialization Loan Fund (the Fund), to be administeredby the Authority. The Fund shall be established on the books of theComptroller. Interest earned on moneys in the Fund shall remain in the Fundand be credited to it. Any moneys remaining in the Fund at the end of eachfiscal year, including interest thereon, shall not revert to the general fundbut shall remain in the Fund. Expenditures and disbursements from the Fund,which shall consist of loans, shall be made by the State Treasurer onwarrants issued by the Comptroller upon written request bearing the signatureof the chairman or the vice-chairman of the Authority, or, if so authorizedby the Authority, bearing his facsimile signature, and the official seal ofthe Authority.
B. Moneys in the Fund shall be used for the sole purpose of financingtechnology transfer and commercialization activities related to biotechnologyinventions made, solely or in cooperation with other organizations, atqualifying institutions. Such activities shall include, but not be limitedto, legal and business consulting services and expenses, including employeecompensation, relating to assessing the patentability of inventions,obtaining patent protection for such inventions in the United States andinternationally, marketing for such inventions and patents thereon topotential licensees, and negotiating licensing or commercializationagreements with licensees, as well as development of new technology transferand commercialization programs at qualifying institutions.
The maximum amount of any loans outstanding under the Fund shall be$3,000,000.
C. Qualifying institutions may apply to the Fund for loans to the extent thatsuch institution's outstanding principal balance at any one time does notexceed $500,000. Loan applications shall include business plans that detailand explain the anticipated uses of funds received and the proposed repaymentschedule.
Loans from the Fund shall take the form of a contractual commitment to therecipient qualifying institution for a line of credit for up to three years,along with an approved schedule of repayment. During the contractual periodthe recipient qualifying institution may draw upon the line of credit for anyexpense for which the loan was made, not to exceed the stated amount of theloan award. At the end of the contractual period, the line of credit shallterminate and the outstanding balance of the withdrawals on that line ofcredit shall become the established basis for that loan.
During the contractual period, deferred interest shall accumulate on theoutstanding balance at a rate of three percent compounded annually. Borrowinginstitutions may prepay part or all of any loan received from the Fundwithout penalty, and, if repayment is completed within the contractual periodof the line of credit, the accumulated interest obligation shall be forgiven.
Repayment of the established basis shall consist of a maximum of 84 equalmonthly payments of principal and compounded interest at the determined ratebeginning on the first day of the month following the end of the contractualperiod.
D. Decisions to make loans to applicants from the Fund shall be made by apanel, which shall consist of the President of the Center for InnovativeTechnology, the Director of the Department of Planning and Budget and theChief Executive Officer of the Virginia Economic Development Partnership, ortheir designees. The President of the Center for Innovative Technology, orhis designee, shall serve as chair. The panel may seek the advice of expertsin technology, business, technology transfer or other relevant fields asappropriate in devising guidelines for the implementation of this loanprogram as well as in making loan decisions.
Specific guidelines for the award of funds from this program shall beestablished and maintained by the Authority, in consultation with theVirginia Economic Development Partnership and the State Council of HigherEducation.
E. A recipient of a loan from the Fund shall report annually to the panel onthe uses of loan proceeds during the previous year and on plans for the useof any additional funds it may plan to draw. Such reports shall be filed forso long as the recipient owes money to the Fund.
F. The chairman of the Authority shall report annually to the Governor andthe General Assembly on activities of the Fund, including a detailed list ofawards committed, the amount and description of each approved award, and anassessment of the effectiveness of the Fund in encouraging thecommercialization of bioscience and biotechnology inventions made at Virginiainstitutions of higher education.
G. A record transmitted or delivered by a loan applicant or a loan recipientto a public body in the conduct of its duties under this section shall beexcluded from disclosure under the Virginia Freedom of Information Act to theextent such record reveals information that (a) is the property of thesubmitting party, (b) has independent economic value to the owner that causesit to be maintained in secrecy by the owner, and (c) is clearly andspecifically identified in writing as proprietary, confidential informationat the time of its delivery or transmission to the public body. Nothing inthis paragraph shall be construed to prevent the disclosure of informationregarding the financial or administrative oversight of the Fund by theAuthority.
H. For purposes of this section:
"Determined rate" means the rate of interest paid by the Commonwealth onthe most recent sale of tax-exempt bonds backed by the full faith and creditof the Commonwealth.
"Qualifying institution" means an institution of higher education in theCommonwealth or its associated intellectual property foundation that adopts apolicy regarding the ownership, protection, assignment, and use ofintellectual property pursuant to § 23-4.3.
I. No loan shall be made to any entity which conducts human stem cellresearch from human embryos, or for any loan to conduct such research;however, research conducted using adult stem cells may be funded.
A. From such funds as may be appropriated by the General Assembly and anygifts, grants, or donations from public or private sources, there is createdin the state treasury a special nonreverting, permanent fund, to be known asthe Biotechnology Commercialization Loan Fund (the Fund), to be administeredby the Authority. The Fund shall be established on the books of theComptroller. Interest earned on moneys in the Fund shall remain in the Fundand be credited to it. Any moneys remaining in the Fund at the end of eachfiscal year, including interest thereon, shall not revert to the general fundbut shall remain in the Fund. Expenditures and disbursements from the Fund,which shall consist of loans, shall be made by the State Treasurer onwarrants issued by the Comptroller upon written request bearing the signatureof the chairman or the vice-chairman of the Authority, or, if so authorizedby the Authority, bearing his facsimile signature, and the official seal ofthe Authority.
B. Moneys in the Fund shall be used for the sole purpose of financingtechnology transfer and commercialization activities related to biotechnologyinventions made, solely or in cooperation with other organizations, atqualifying institutions. Such activities shall include, but not be limitedto, legal and business consulting services and expenses, including employeecompensation, relating to assessing the patentability of inventions,obtaining patent protection for such inventions in the United States andinternationally, marketing for such inventions and patents thereon topotential licensees, and negotiating licensing or commercializationagreements with licensees, as well as development of new technology transferand commercialization programs at qualifying institutions.
The maximum amount of any loans outstanding under the Fund shall be$3,000,000.
C. Qualifying institutions may apply to the Fund for loans to the extent thatsuch institution's outstanding principal balance at any one time does notexceed $500,000. Loan applications shall include business plans that detailand explain the anticipated uses of funds received and the proposed repaymentschedule.
Loans from the Fund shall take the form of a contractual commitment to therecipient qualifying institution for a line of credit for up to three years,along with an approved schedule of repayment. During the contractual periodthe recipient qualifying institution may draw upon the line of credit for anyexpense for which the loan was made, not to exceed the stated amount of theloan award. At the end of the contractual period, the line of credit shallterminate and the outstanding balance of the withdrawals on that line ofcredit shall become the established basis for that loan.
During the contractual period, deferred interest shall accumulate on theoutstanding balance at a rate of three percent compounded annually. Borrowinginstitutions may prepay part or all of any loan received from the Fundwithout penalty, and, if repayment is completed within the contractual periodof the line of credit, the accumulated interest obligation shall be forgiven.
Repayment of the established basis shall consist of a maximum of 84 equalmonthly payments of principal and compounded interest at the determined ratebeginning on the first day of the month following the end of the contractualperiod.
D. Decisions to make loans to applicants from the Fund shall be made by apanel, which shall consist of the President of the Center for InnovativeTechnology, the Director of the Department of Planning and Budget and theChief Executive Officer of the Virginia Economic Development Partnership, ortheir designees. The President of the Center for Innovative Technology, orhis designee, shall serve as chair. The panel may seek the advice of expertsin technology, business, technology transfer or other relevant fields asappropriate in devising guidelines for the implementation of this loanprogram as well as in making loan decisions.
Specific guidelines for the award of funds from this program shall beestablished and maintained by the Authority, in consultation with theVirginia Economic Development Partnership and the State Council of HigherEducation.
E. A recipient of a loan from the Fund shall report annually to the panel onthe uses of loan proceeds during the previous year and on plans for the useof any additional funds it may plan to draw. Such reports shall be filed forso long as the recipient owes money to the Fund.
F. The chairman of the Authority shall report annually to the Governor andthe General Assembly on activities of the Fund, including a detailed list ofawards committed, the amount and description of each approved award, and anassessment of the effectiveness of the Fund in encouraging thecommercialization of bioscience and biotechnology inventions made at Virginiainstitutions of higher education.
G. A record transmitted or delivered by a loan applicant or a loan recipientto a public body in the conduct of its duties under this section shall beexcluded from disclosure under the Virginia Freedom of Information Act to theextent such record reveals information that (a) is the property of thesubmitting party, (b) has independent economic value to the owner that causesit to be maintained in secrecy by the owner, and (c) is clearly andspecifically identified in writing as proprietary, confidential informationat the time of its delivery or transmission to the public body. Nothing inthis paragraph shall be construed to prevent the disclosure of informationregarding the financial or administrative oversight of the Fund by theAuthority.
H. For purposes of this section:
"Determined rate" means the rate of interest paid by the Commonwealth onthe most recent sale of tax-exempt bonds backed by the full faith and creditof the Commonwealth.
"Qualifying institution" means an institution of higher education in theCommonwealth or its associated intellectual property foundation that adopts apolicy regarding the ownership, protection, assignment, and use ofintellectual property pursuant to § 23-4.3.
I. No loan shall be made to any entity which conducts human stem cellresearch from human embryos, or for any loan to conduct such research;however, research conducted using adult stem cells may be funded.
