Bill Text: DE SB286 | 2015-2016 | 148th General Assembly | Draft
Bill Title: An Act To Amend Title 29 Of The Delaware Code Relating To A Technology Commercialization Fund.
Spectrum: Strong Partisan Bill (Democrat 10-1)
Status: (Engrossed - Dead) 2016-06-30 - Passed by Senate. Votes: Passed 12 YES 9 NO 0 NOT VOTING 0 ABSENT 0 VACANT [SB286 Detail]
Download: Delaware-2015-SB286-Draft.html
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SPONSOR: |
Sen. McDowell & Rep. Brady & Rep. Ramone |
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Sens. Blevins, Bonini, Ennis, Henry, Marshall, Richardson, Simpson & Sokola; Reps. Heffernan, Lynn & Paradee |
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DELAWARE STATE SENATE 148th GENERAL ASSEMBLY |
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SENATE BILL NO. 286 |
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AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO A TECHNOLOGY COMMERCIALIZATION FUND. |
WHEREAS, a century ago 40 percent of native-born Delawareans moved out of state, and recently there has been an increasing migration of young, well-educated, Delaware citizens seeking economic opportunities currently lacking in Delaware.In recent years, the percentage of native-born Delawareans moving out of state has increased to over 60 percent; and
WHEREAS, Delaware has research-based universities, where ground-breaking technologies are being developed, and which graduate significant numbers of skilled, technology savvy young professionals, who could contribute greatly to Delaware's future economy, if they remain in Delaware; and
WHEREAS, Delaware institutions of higher learning have exceptional advantages in high-tech fields
such as Advanced Materials, Renewable Energy Technology, Environmental Technology, Fuel Cell Technology, Nanotechnology, Optics, Information Technology, Biotechnology & Life Science; and
WHEREAS, a public-private partnership among interested stakeholders, including, but not limited to, private start-up companies, Delaware's institutions of higher learning, and the State and local governments would help to promote early-stage, technology innovations and commercialize technology breakthroughs, which in turn could create career opportunities for young, well-educated graduates in the State, and also retain innovators from existing businesses that are downsizing in Delaware; and
WHEREAS, Pennsylvania, Maryland, Virginia and New Jersey have enacted legislation to promote business opportunities in innovative technologies, including legislation which requires a comprehensive roadmap to achieve such goals and which require close coordination with state institutions of higher learning; and
WHEREAS, early-stage funding for innovation will catalyze the commercialization progress of new technology, help build new businesses, and create the jobs many young Delawareans are seeking. The return on government investment in technology start-ups can be both positive and substantial.For every high-tech job created, it is estimated that 4.3 other jobs are created in the greater economy; and
WHEREAS, high-growth start-ups face an early-stage gap in funding often called the "Valley of Death" for early stage technology companies.Over the past four years, only 6% of all private venture capital has been deployed in this early stage, which is why there is a technology-to-market gap that presents an opportunity for Delaware.
NOW, THEREFORE:
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:
Section 1.Amend Chapter 50, Title 29 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline and by adding a new Subchapter I-C as follows:
§5030. Findings and purpose; creation of the Fund.
(a) A special fund to be known as the "Delaware Technology Commercialization Fund" ("Fund") shall be created.
(1) The Fund shall consist of present balances and future payments of moneys transferred from previously funded projects.
(2) The Fund may be invested by the State Treasurer in securities consistent with the policies established by the Cash Management Policy Board. All moneys generated by the Fund shall be deposited in the Fund.
(3) Provided funding is available, the Fund may annually be funded by a $2 million grant from the Delaware Strategic Fund in the Delaware Economic Development Office.
(b) Money appropriated to the Fund may be loaned, granted or used in other financing by the Committee within the State.The Fund may be used for the following purposes:
(1) The identification and development of a Delaware Strategic Technology Development Roadmap;
(2) Research and development activities in support of small business in the strategic technology fields;
(3) Technology commercialization at academic institutions and in the private sector in the strategic technology fields;
(4) The Delaware Technology Innovation Program.
(c) The term "strategic technology" includes, but is not limited to, Advanced Materials, Renewable Energy Technology, Environmental Technology, Fuel Cell Technology, Nanotechnology, Optics, Information Technology, and Biotechnology & Life Science.
§5031. The Technology Commercialization Fund Committee.
(a) There is hereby established the Technology Commercialization Fund Committee to be composed of the following:
(1) The Secretary of Finance or designee;
(2) The Secretary of State or designee;
(3) A representative from the University of Delaware with expertise in entrepreneurship and technology commercialization appointed by the President;
(4) A representative from Delaware State University with expertise in entrepreneurship and technology commercialization appointed by the President;
(5) A member appointed by the Governor;
(6) A member appointed by the President Pro Tempore of the Delaware State Senate; and
(7) A member appointed by the Speaker of the Delaware State House of Representatives.
(b) The development of strategic technologies in Delaware will be evaluated by the Committee. The
Committee will be responsible for identifying the emerging strategic technologies in the State and updating the State's Strategic Technology Development Roadmap.
(c) The Committee shall work with the Director of the Delaware Economic Development Office to develop guidelines for funding proposals, publicize them, and accept proposal submissions. The guidelines shall reflect the purpose of this Act.The application, review, and award process shall be open and transparent, and the Committee shall be subject to the Delaware Freedom of Information Act.In order to evaluate a proposal, the Committee may consult experts in the strategic technology field.
(d) The Committee shall work with the Delaware Economic Development Office to develop and regularly update
a Delaware technology-to-market roadmap.The roadmap shall set up a public-private partnership framework through which our State can encourage collaboration between the government, the academic institutions, and the private sector to focus on the commercialization of new technology. The framework shall serve as a means to (i) identify and update Delaware's key technology fields in which investment should be made by the State, which may include, but are not limited to, the fields of materials science, renewable energy, information technology, optics, environmental sciences, and fuel cell technology, and (ii) help ensure the investments are made prudently in focused areas for projects with significant potential for commercialization, economic growth, and job creation in the State.
(e) The Committee shall meet at such times and in such places as its members determine to be appropriate for carrying out its functions and purposes. The Committee shall engage in other activities to promote cooperation on economic development projects within the State. The Secretary of Finance shall report to the Governor, the General Assembly, and the Committee at the conclusion of each year on the projects financed with the Fund and on other matters as appropriate.
§5032 Grants or loans of public or private funds.
The Committee and the Fund may accept, receive, disburse, and expend federal and state moneys and other moneys, public or private, made available by grant or loan or both or otherwise, to accomplish, in whole or in part, any of the purposes of this Act. All federal moneys accepted under this section shall be accepted and expended by the Committee upon such terms and conditions as are prescribed by the United States and as are consistent with state law; and all State moneys accepted under this section shall be accepted and expended by the Committee upon such terms and conditions as are prescribed by the State.
SYNOPSIS
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This Act creates the Technology Commercialization Fund. The primary purposes of the Act are as follows: (1) Help fund and develop new businesses in Delaware focused upon innovative cutting edge technologies, especially in the fields of Advanced Materials, Renewable Energy Technology, Environmental Technology, Fuel Cell Technology, Nanotechnology, Optics, Information Technology, and Biotechnology & Life Science in which Delaware's institutions of higher learning are acknowledged leaders; (2) Create job opportunities in Delaware for Delaware's young citizens in areas of innovation and technology that are poised to grow in the 21st century economy; (3) Assist Delaware State University and the University of Delaware in commercializing technology breakthroughs by providing funding and the opportunity to grow businesses and jobs in Delaware, and provide employment opportunities for their graduates in Delaware; and(4) Support entrepreneurship and innovation in Delaware. The Delaware Technology Commercialization Fund will address the "Valley of Death" of early stage technology companies and catalyze the commercialization progress of new technology innovation. |
Author:Senator McDowell
