SB 543 — Relating to research and economic development agreements for state institutions of higher education

WEST VIRGINIA LEGISLATURE REGULAR SESSION IntroducedEnrolled Senate Bill 543 By Senators Maynard, Grady, Jeffries, Oliverio, Woelfel, and Queen [Introduced[Passed JanuaryFebruary 24,9, 2024;

referredin toeffect the90 Committeedays onfrom Economicpassage] Development]Enr Intr SB 543 AAN BILLACT to amend and reenact §18B-12-3, §18B-12-4, and §18B-12-10 of the Code of West Virginia, 1931, as amended, all relating to research and economic development agreements for state institutions of higher education;

Each governing board for a state institution of higher education is hereby authorized to may enter into agreements and any other contractual relationships with one or more corporations formed with respect to such state institution of higher education, but only if each such corporation meets the following descriptions:

(2) The corporation must shall be organized as a nonprofit, nonstock corporation under the general corporation laws of the state exclusively for charitable, educational or scientific purposes within the meaning of section 501(c) of the Internal Revenue Code of 1986, as amended, to foster and support research and economic development efforts at the respective state institution of higher education and to provide evaluation, development, patenting, management and marketing services for inventions of the faculty, staff and students of such state institution of higher education.

(3) The meetings of the corporate directors shall be subject to the provisions of §6-9A-3 of Intr SB 543 this code.

Enr SB 543 (4) Upon dissolution of the corporation, the assets of the corporation shall be transferred to such entity as the appropriate governing board shall designate for the benefit of the state institution of higher education:

(a) Notwithstanding §12-3-10 of this code or any other provision of law to the contrary, each governing board is hereby authorized to enter into an agreement with a one or more private corporation corporations, which agreement shall be for the benefit of the state institution of higher education and contain the following provisions, subject to further specification as is mutually agreed upon by the governing board and the corporation:

(3) The corporation has the right to may determine the application of the proceeds from any invention, process, trademark, except institutional trademarks an institution's governing board elects to retain, copyright or any other intellectual property developed by the faculty, staff, or students of an institution among the corporation, the inventor or developer, and the institution.

(4) The corporation has the right to may receive, purchase, hold, lease, use, sell, and dispose of real and personal property of all classes subject to the provisions of section ten of this Intr SB 543 article.

(5) The corporation has such additional responsibilities related to the administration of Enr SB 543 research and development at the institution or the fostering of economic development as are necessary or desirable.

(ii) economic development projects resulting in the creation of employment related to the results of research and development conducted on the property by the corporation and the state institution of higher education;

Intr SB 543 (2) The corporation to which the real property is transferred is dissolved;

(b) Any corporation, as that term is defined in §18B-12-1 of this code, may provide and Enr SB 543 transfer funding and property, both real and personal, to another person, firm or corporation for:

(ii) economic development projects resulting in the creation of employment related to the results of research and development conducted on the property by the corporation and the state institution of higher education;