```

[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[S. 1537 Reported in Senate (RS)]

                                                       Calendar No. 665

103d CONGRESS

  2d Session

                                S. 1537

_______________________________________________________________________

                                 A BILL

    To amend the Stevenson-Wydler Technology Innovation Act of 1980.

_______________________________________________________________________

           September 28 (legislative day, September 12), 1994

                       Reported with an amendment

                                                       Calendar No. 665
103d CONGRESS
  2d Session
                                S. 1537

    To amend the Stevenson-Wydler Technology Innovation Act of 1980.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

            October 7 (legislative day, September 27), 1993

    Mr. Rockefeller (for himself and Mr. DeConcini) introduced the 
 following bill; which was read twice and referred to the Committee on 
                 Commerce, Science, and Transportation

           September 28 (legislative day, September 12), 1994

              Reported by Mr. Hollings, with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL

 
    To amend the Stevenson-Wydler Technology Innovation Act of 1980.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

-S-E-C-T-I-O-N -1-. -S-H-O-R-T -T-I-T-L-E-.

    -T-h-i-s -A-c-t -m-a-y -b-e -c-i-t-e-d -a-s -t-h-e 
-`-`-T-e-c-h-n-o-l-o-g-y -C-o-m-m-e-r-c-i-a-l-i-z-a-t-i-o-n -A-c-t -o-f 
-1-9-9-3-'-'-.

-S-E-C-. -2-. -F-I-N-D-I-N-G-S-.

    -T-h-e -C-o-n-g-r-e-s-s -f-i-n-d-s -a-n-d -d-e-c-l-a-r-e-s -t-h-e 
-f-o-l-l-o-w-i-n-g-:
            -(-1-) -T-h-e -c-o-m-m-e-r-c-i-a-l-i-z-a-t-i-o-n -o-f 
        -t-e-c-h-n-o-l-o-g-y -a-n-d -i-n-d-u-s-t-r-i-a-l 
        -i-n-n-o-v-a-t-i-o-n -a-r-e -c-e-n-t-r-a-l -t-o -t-h-e 
        -e-c-o-n-o-m-i-c-, -e-n-v-i-r-o-n-m-e-n-t-a-l-, -a-n-d 
        -s-o-c-i-a-l -w-e-l-l---b-e-i-n-g -o-f -c-i-t-i-z-e-n-s -o-f 
        -t-h-e -U-n-i-t-e-d -S-t-a-t-e-s-.
            -(-2-) -T-h-e -G-o-v-e-r-n-m-e-n-t -c-a-n -h-e-l-p 
        -U-n-i-t-e-d -S-t-a-t-e-s -b-u-s-i-n-e-s-s -t-o -s-p-e-e-d 
        -t-h-e -d-e-v-e-l-o-p-m-e-n-t -o-f -n-e-w -p-r-o-d-u-c-t-s 
        -a-n-d -p-r-o-c-e-s-s-e-s -b-y -e-n-t-e-r-i-n-g -i-n-t-o 
        -C-o-o-p-e-r-a-t-i-v-e -R-e-s-e-a-r-c-h -a-n-d 
        -D-e-v-e-l-o-p-m-e-n-t -A-g-r-e-e-m-e-n-t-s -w-h-i-c-h -m-a-k-e 
        -a-v-a-i-l-a-b-l-e -t-h-e -a-s-s-i-s-t-a-n-c-e -o-f -t-h-e 
        -F-e-d-e-r-a-l -l-a-b-o-r-a-t-o-r-i-e-s -t-o -t-h-e 
        -p-r-i-v-a-t-e -s-e-c-t-o-r-, -b-u-t -t-h-e 
        -c-o-m-m-e-r-c-i-a-l-i-z-a-t-i-o-n -o-f -t-e-c-h-n-o-l-o-g-y 
        -a-n-d -i-n-d-u-s-t-r-i-a-l -i-n-n-o-v-a-t-i-o-n -i-n -t-h-e 
        -U-n-i-t-e-d -S-t-a-t-e-s -d-e-p-e-n-d-s -l-a-r-g-e-l-y 
        -u-p-o-n -a-c-t-i-o-n-s -b-y -b-u-s-i-n-e-s-s-.
            -(-3-) -G-o-v-e-r-n-m-e-n-t -a-c-t-i-o-n -t-o -c-l-a-i-m -a 
        -r-i-g-h-t -o-f -o-w-n-e-r-s-h-i-p -t-o -a-n-y 
        -i-n-v-e-n-t-i-o-n -o-r -o-t-h-e-r -i-n-t-e-l-l-e-c-t-u-a-l 
        -p-r-o-p-e-r-t-y -d-e-v-e-l-o-p-e-d -u-n-d-e-r -a 
        -C-o-o-p-e-r-a-t-i-v-e -R-e-s-e-a-r-c-h -a-n-d 
        -D-e-v-e-l-o-p-m-e-n-t -A-g-r-e-e-m-e-n-t -c-a-n -i-n-h-i-b-i-t 
        -t-h-e -e-s-t-a-b-l-i-s-h-m-e-n-t -o-f -s-u-c-h 
        -a-g-r-e-e-m-e-n-t-s -w-i-t-h -b-u-s-i-n-e-s-s -a-n-d -c-a-n 
        -p-r-e-v-e-n-t -t-h-e -c-o-m-m-e-r-c-i-a-l-i-z-a-t-i-o-n -o-f 
        -t-e-c-h-n-o-l-o-g-y -a-n-d -i-n-d-u-s-t-r-i-a-l 
        -i-n-n-o-v-a-t-i-o-n -b-y -b-u-s-i-n-e-s-s-.
            -(-4-) -T-h-e -c-o-m-m-e-r-c-i-a-l-i-z-a-t-i-o-n -o-f 
        -t-e-c-h-n-o-l-o-g-y -a-n-d -i-n-d-u-s-t-r-i-a-l 
        -i-n-n-o-v-a-t-i-o-n -i-n -t-h-e -U-n-i-t-e-d -S-t-a-t-e-s 
        -w-i-l-l -b-e -e-n-h-a-n-c-e-d -i-f -t-h-e -o-w-n-e-r-s-h-i-p 
        -o-f -a-n-y -i-n-v-e-n-t-i-o-n -o-r -o-t-h-e-r 
        -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -d-e-v-e-l-o-p-e-d 
        -u-n-d-e-r -a -C-o-o-p-e-r-a-t-i-v-e -R-e-s-e-a-r-c-h -a-n-d 
        -D-e-v-e-l-o-p-m-e-n-t -A-g-r-e-e-m-e-n-t -b-e-l-o-n-g-s -t-o 
        -a -c-o-m-p-a-n-y -o-r -c-o-m-p-a-n-i-e-s 
        -i-n-c-o-r-p-o-r-a-t-e-d -i-n -t-h-e -U-n-i-t-e-d 
        -S-t-a-t-e-s-.

-S-E-C-. -3-. -T-I-T-L-E -T-O -I-N-T-E-L-L-E-C-T-U-A-L -P-R-O-P-E-R-T-Y 
              -A-R-I-S-I-N-G -F-R-O-M -C-O-O-P-E-R-A-T-I-V-E 
              -R-E-S-E-A-R-C-H -A-N-D -D-E-V-E-L-O-P-M-E-N-T 
              -A-G-R-E-E-M-E-N-T-S-.

    -S-e-c-t-i-o-n -1-2 -o-f -t-h-e -S-t-e-v-e-n-s-o-n---W-y-d-l-e-r 
-T-e-c-h-n-o-l-o-g-y -I-n-n-o-v-a-t-i-o-n -A-c-t -o-f -1-9-8-0 -(-1-5 
-U-.-S-.-C-. -3-7-1-0-a-) -i-s -a-m-e-n-d-e-d -a-s -f-o-l-l-o-w-s-:
            -(-1-) -I-n -t-h-e -t-e-x-t -o-f -s-u-b-s-e-c-t-i-o-n 
        -(-b-) -i-m-m-e-d-i-a-t-e-l-y -p-r-e-c-e-d-i-n-g 
        -p-a-r-a-g-r-a-p-h -(-1-)-, -s-t-r-i-k-e 
        -`-`-G-o-v-e-r-n-m-e-n-t---o-p-e-r-a-t-e-d -F-e-d-e-r-a-l 
        -l-a-b-o-r-a-t-o-r-y-, -a-n-d -t-o -t-h-e -e-x-t-e-n-t 
        -p-r-o-v-i-d-e-d -i-n -a-n -a-g-e-n-c-y---a-p-p-r-o-v-e-d 
        -j-o-i-n-t -w-o-r-k -s-t-a-t-e-m-e-n-t-, -a 
        -G-o-v-e-r-n-m-e-n-t---o-w-n-e-d -c-o-n-t-r-a-c-t-o-r--
        -o-p-e-r-a-t-e-d -l-a-b-o-r-a-t-o-r-y-, -m-a-y-'-' -a-n-d 
        -i-n-s-e-r-t -`-`-F-e-d-e-r-a-l -l-a-b-o-r-a-t-o-r-y -s-h-a-l-l 
        -e-n-s-u-r-e -t-h-a-t -t-i-t-l-e -t-o -a-n-y 
        -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -a-r-i-s-i-n-g 
        -f-r-o-m -t-h-e -a-g-r-e-e-m-e-n-t-, -e-x-c-e-p-t 
        -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -d-e-v-e-l-o-p-e-d 
        -i-n -w-h-o-l-e -b-y -a -l-a-b-o-r-a-t-o-r-y -e-m-p-l-o-y-e-e-, 
        -i-s -a-s-s-i-g-n-e-d -t-o -t-h-e -c-o-l-l-a-b-o-r-a-t-i-n-g 
        -p-a-r-t-y -o-r -p-a-r-t-i-e-s -t-o -t-h-e -a-g-r-e-e-m-e-n-t 
        -i-n -e-x-c-h-a-n-g-e -f-o-r -r-e-a-s-o-n-a-b-l-e 
        -c-o-m-p-e-n-s-a-t-i-o-n -t-o -t-h-e -l-a-b-o-r-a-t-o-r-y-, 
        -a-n-d -m-a-y-'-'-.
            -(-2-) -I-n -s-u-b-s-e-c-t-i-o-n -(-b-)-(-2-)-, 
        -s-t-r-i-k-e -`-`-o-r -i-n -p-a-r-t-'-'-.
            -(-3-) -A-m-e-n-d -s-u-b-s-e-c-t-i-o-n -(-b-)-(-3-) -t-o 
        -r-e-a-d -a-s -f-o-l-l-o-w-s-:
            -`-`-(-3-) -r-e-t-a-i-n -a -n-o-n-e-x-c-l-u-s-i-v-e-, 
        -n-o-n-t-r-a-n-s-f-e-r-a-b-l-e-, -i-r-r-e-v-o-c-a-b-l-e-, 
        -p-a-i-d---u-p -l-i-c-e-n-s-e -f-r-o-m -t-h-e 
        -c-o-l-l-a-b-o-r-a-t-i-n-g -p-a-r-t-y -o-r -p-a-r-t-i-e-s 
        -f-o-r -a-n-y -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y 
        -a-r-i-s-i-n-g -f-r-o-m -t-h-e -a-g-r-e-e-m-e-n-t-, -a-n-d 
        -h-a-v-e -s-u-c-h -l-i-c-e-n-s-e -p-r-a-c-t-i-c-e-d 
        -t-h-r-o-u-g-h-o-u-t -t-h-e -w-o-r-l-d -b-y -o-r -o-n 
        -b-e-h-a-l-f -o-f -t-h-e -G-o-v-e-r-n-m-e-n-t-, -b-u-t 
        -s-h-a-l-l -n-o-t-, -i-n -t-h-e -e-x-e-r-c-i-s-e -o-f -s-u-c-h 
        -l-i-c-e-n-s-e-, -p-u-b-l-i-c-l-y -d-i-s-c-l-o-s-e 
        -p-r-o-p-r-i-e-t-a-r-y -i-n-f-o-r-m-a-t-i-o-n -r-e-l-a-t-e-d 
        -t-o -t-h-e -l-i-c-e-n-s-e-;-'-'-.
            -(-4-) -A-m-e-n-d -s-u-b-s-e-c-t-i-o-n -(-b-)-(-4-) -t-o 
        -r-e-a-d -a-s -f-o-l-l-o-w-s-:
            -`-`-(-4-) -r-e-t-a-i-n -t-h-e -r-i-g-h-t-, -i-n 
        -a-c-c-o-r-d-a-n-c-e -w-i-t-h -p-r-o-c-e-d-u-r-e-s 
        -p-r-o-v-i-d-e-d -i-n -r-e-g-u-l-a-t-i-o-n-s 
        -p-r-o-m-u-l-g-a-t-e-d -u-n-d-e-r -t-h-i-s -s-e-c-t-i-o-n-, 
        -t-o -r-e-q-u-i-r-e -a -c-o-l-l-a-b-o-r-a-t-i-n-g -p-a-r-t-y 
        -t-o -g-r-a-n-t -t-o -a -r-e-s-p-o-n-s-i-b-l-e 
        -a-p-p-l-i-c-a-n-t -o-r -a-p-p-l-i-c-a-n-t-s -a 
        -n-o-n-e-x-c-l-u-s-i-v-e-, -p-a-r-t-i-a-l-l-y 
        -e-x-c-l-u-s-i-v-e-, -o-r -e-x-c-l-u-s-i-v-e -l-i-c-e-n-s-e 
        -t-o -u-s-e -t-h-e -s-u-b-j-e-c-t -i-n-t-e-l-l-e-c-t-u-a-l 
        -p-r-o-p-e-r-t-y -i-n -a-n-y -f-i-e-l-d -o-f -u-s-e-, -o-n 
        -t-e-r-m-s -t-h-a-t -a-r-e -r-e-a-s-o-n-a-b-l-e -u-n-d-e-r 
        -t-h-e -c-i-r-c-u-m-s-t-a-n-c-e-s-, -o-r -i-f -t-h-e 
        -c-o-l-l-a-b-o-r-a-t-i-n-g -p-a-r-t-y -f-a-i-l-s -t-o 
        -g-r-a-n-t -s-u-c-h -a -l-i-c-e-n-s-e-, -t-o -g-r-a-n-t -t-h-e 
        -l-i-c-e-n-s-e -i-t-s-e-l-f -i-f -t-h-e -l-a-b-o-r-a-t-o-r-y 
        -f-i-n-d-s -t-h-a-t---
                    -`-`-(-A-) -t-h-e -c-o-l-l-a-b-o-r-a-t-i-n-g 
                -p-a-r-t-y -h-a-s -n-o-t -t-a-k-e-n-, -a-n-d -i-s 
                -n-o-t -e-x-p-e-c-t-e-d -t-o -t-a-k-e -w-i-t-h-i-n -a 
                -r-e-a-s-o-n-a-b-l-e -t-i-m-e-, -e-f-f-e-c-t-i-v-e 
                -s-t-e-p-s -t-o -a-c-h-i-e-v-e -p-r-a-c-t-i-c-a-l 
                -a-p-p-l-i-c-a-t-i-o-n -o-f -t-h-e -s-u-b-j-e-c-t 
                -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -i-n -t-h-e 
                -f-i-e-l-d -o-f -u-s-e-;
                    -`-`-(-B-) -s-u-c-h -a-c-t-i-o-n -i-s 
                -n-e-c-e-s-s-a-r-y -t-o -m-e-e-t -h-e-a-l-t-h -o-r 
                -s-a-f-e-t-y -n-e-e-d-s -t-h-a-t -a-r-e -n-o-t 
                -r-e-a-s-o-n-a-b-l-y -s-a-t-i-s-f-i-e-d -b-y -t-h-e 
                -c-o-l-l-a-b-o-r-a-t-i-n-g -p-a-r-t-y-;
                    -`-`-(-C-) -s-u-c-h -a-c-t-i-o-n -i-s 
                -n-e-c-e-s-s-a-r-y -t-o -m-e-e-t 
                -r-e-q-u-i-r-e-m-e-n-t-s -f-o-r -p-u-b-l-i-c -u-s-e 
                -s-p-e-c-i-f-i-e-d -b-y -F-e-d-e-r-a-l 
                -r-e-g-u-l-a-t-i-o-n-s -a-n-d -s-u-c-h 
                -r-e-q-u-i-r-e-m-e-n-t-s -a-r-e -n-o-t 
                -r-e-a-s-o-n-a-b-l-y -s-a-t-i-s-f-i-e-d -b-y -t-h-e 
                -c-o-l-l-a-b-o-r-a-t-i-n-g -p-a-r-t-y-; -o-r
                    -`-`-(-D-) -t-h-e -c-o-l-l-a-b-o-r-a-t-i-n-g 
                -p-a-r-t-y -h-a-s -n-o-t -e-n-t-e-r-e-d -i-n-t-o -o-r 
                -i-s -i-n -b-r-e-a-c-h -o-f -a-n -a-g-r-e-e-m-e-n-t 
                -m-a-d-e -p-u-r-s-u-a-n-t -t-o -s-u-b-s-e-c-t-i-o-n 
                -(-c-)-(-4-)-(-B-)-.-'-'-.
            -(-5-) -I-n -s-u-b-s-e-c-t-i-o-n -(-d-)-(-2-)-, 
        -s-t-r-i-k-e -`-`-a-n-d-'-' -a-t -t-h-e -e-n-d-;
            -(-6-) -I-n -s-u-b-s-e-c-t-i-o-n -(-d-)-(-3-)-, 
        -s-t-r-i-k-e -t-h-e -p-e-r-i-o-d -a-t -t-h-e -e-n-d -a-n-d 
        -i-n-s-e-r-t -`-`-; -a-n-d-'-'-.
            -(-7-) -A-t -t-h-e -e-n-d -o-f -s-u-b-s-e-c-t-i-o-n 
        -(-d-)-, -i-n-s-e-r-t -t-h-e -f-o-l-l-o-w-i-n-g -n-e-w 
        -p-a-r-a-g-r-a-p-h-:
            -`-`-(-4-) -t-h-e -t-e-r-m -`-i-n-t-e-l-l-e-c-t-u-a-l 
        -p-r-o-p-e-r-t-y -r-i-g-h-t-s-' -m-e-a-n-s---
                    -`-`-(-A-) -i-n -t-h-e -c-a-s-e -o-f 
                -g-o-v-e-r-n-m-e-n-t---o-w-n-e-d-, 
                -g-o-v-e-r-n-m-e-n-t---o-p-e-r-a-t-e-d -F-e-d-e-r-a-l 
                -l-a-b-o-r-a-t-o-r-i-e-s-, -p-a-t-e-n-t-s-; -a-n-d
                    -`-`-(-B-) -i-n -t-h-e -c-a-s-e -o-f 
                -g-o-v-e-r-n-m-e-n-t---o-w-n-e-d-, 
                -c-o-n-t-r-a-c-t-o-r---o-p-e-r-a-t-e-d -F-e-d-e-r-a-l 
                -l-a-b-o-r-a-t-o-r-i-e-s-, -p-a-t-e-n-t-s-, 
                -c-o-p-y-r-i-g-h-t-s-, -a-n-d -c-o-m-p-u-t-e-r -c-h-i-p 
                -m-a-s-k -w-o-r-k -r-e-g-i-s-t-r-a-t-i-o-n-s-.-'-'-.

-S-E-C-. -4-. -D-I-S-T-R-I-B-U-T-I-O-N -O-F -I-N-C-O-M-E -F-R-O-M 
              -I-N-T-E-L-L-E-C-T-U-A-L -P-R-O-P-E-R-T-Y 
              -R-E-C-E-I-V-E-D -B-Y -F-E-D-E-R-A-L 
              -L-A-B-O-R-A-T-O-R-I-E-S-.

    -S-e-c-t-i-o-n -1-4 -o-f -t-h-e -S-t-e-v-e-n-s-o-n---W-y-d-l-e-r 
-T-e-c-h-n-o-l-o-g-y -I-n-n-o-v-a-t-i-o-n -A-c-t -o-f -1-9-8-0 -(-1-5 
-U-.-S-.-C-. -3-7-1-0-c-) -i-s -a-m-e-n-d-e-d -t-o -r-e-a-d -a-s 
-f-o-l-l-o-w-s-:

-`-`-S-E-C-. -1-4-. -D-I-S-T-R-I-B-U-T-I-O-N -O-F -I-N-C-O-M-E -F-R-O-M 
              -I-N-T-E-L-L-E-C-T-U-A-L -P-R-O-P-E-R-T-Y 
              -R-E-C-E-I-V-E-D -B-Y -F-E-D-E-R-A-L -A-G-E-N-C-I-E-S 
              -O-R -L-A-B-O-R-A-T-O-R-I-E-S-.

    -`-`-(-a-) -I-n -G-e-n-e-r-a-l-.---
            -`-`-(-1-) -E-x-c-e-p-t -a-s -p-r-o-v-i-d-e-d -i-n 
        -p-a-r-a-g-r-a-p-h-s -(-2-) -a-n-d -(-4-)-, -a-n-y -i-n-c-o-m-e 
        -r-e-c-e-i-v-e-d -b-y -a -F-e-d-e-r-a-l -a-g-e-n-c-y -o-r 
        -l-a-b-o-r-a-t-o-r-y -f-r-o-m -t-h-e -l-i-c-e-n-s-i-n-g -o-r 
        -a-s-s-i-g-n-m-e-n-t -o-f -i-n-t-e-l-l-e-c-t-u-a-l 
        -p-r-o-p-e-r-t-y -u-n-d-e-r -a-g-r-e-e-m-e-n-t-s -e-n-t-e-r-e-d 
        -i-n-t-o -b-y -F-e-d-e-r-a-l -l-a-b-o-r-a-t-o-r-i-e-s 
        -u-n-d-e-r -s-e-c-t-i-o-n -1-2-, -a-n-d 
        -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -o-f -F-e-d-e-r-a-l 
        -a-g-e-n-c-i-e-s -o-r -l-a-b-o-r-a-t-o-r-i-e-s -l-i-c-e-n-s-e-d 
        -u-n-d-e-r -s-e-c-t-i-o-n -2-0-7 -o-f -t-i-t-l-e -3-5-, 
        -U-n-i-t-e-d -S-t-a-t-e-s -C-o-d-e-, -o-r -u-n-d-e-r -a-n-y 
        -o-t-h-e-r -p-r-o-v-i-s-i-o-n -o-f -l-a-w-, -s-h-a-l-l -b-e 
        -r-e-t-a-i-n-e-d -b-y -t-h-e -a-g-e-n-c-y -o-r 
        -l-a-b-o-r-a-t-o-r-y -a-n-d -s-h-a-l-l -b-e -d-i-s-p-o-s-e-d 
        -o-f -a-s -f-o-l-l-o-w-s-:
                    -`-`-(-A-)-(-i-) -T-h-e -h-e-a-d -o-f -t-h-e 
                -a-g-e-n-c-y -o-r -l-a-b-o-r-a-t-o-r-y -o-r -h-i-s 
                -d-e-s-i-g-n-e-e -s-h-a-l-l -p-a-y -t-o -t-h-e 
                -l-a-b-o-r-a-t-o-r-y -e-m-p-l-o-y-e-e -o-r 
                -e-m-p-l-o-y-e-e-s -w-h-o -h-a-v-e -a-s-s-i-g-n-e-d 
                -t-h-e-i-r -r-i-g-h-t-s -i-n -t-h-e 
                -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -t-o -t-h-e 
                -U-n-i-t-e-d -S-t-a-t-e-s-, -t-o -t-h-e 
                -l-a-b-o-r-a-t-o-r-y -o-p-e-r-a-t-o-r-, -o-r -t-o -a 
                -c-o-l-l-a-b-o-r-a-t-i-n-g -p-a-r-t-y -o-r 
                -p-a-r-t-i-e-s -t-o -a -r-e-s-e-a-r-c-h 
                -a-g-r-e-e-m-e-n-t -a-n -a-m-o-u-n-t -e-q-u-a-l -t-o 
                -t-h-e -s-u-m -o-f---
                            -`-`-(-I-) -t-h-e -f-i-r-s-t -$-1-0-,-0-0-0 
                        -r-e-c-e-i-v-e-d -b-y -t-h-e -a-g-e-n-c-y -o-r 
                        -l-a-b-o-r-a-t-o-r-y -f-r-o-m -t-h-e 
                        -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y-; 
                        -a-n-d
                            -`-`-(-I-I-) -1-5 -p-e-r-c-e-n-t -o-f 
                        -a-n-y -i-n-c-o-m-e -r-e-c-e-i-v-e-d -b-y 
                        -t-h-e -a-g-e-n-c-y -o-r -l-a-b-o-r-a-t-o-r-y 
                        -f-r-o-m -t-h-e -i-n-t-e-l-l-e-c-t-u-a-l 
                        -p-r-o-p-e-r-t-y -i-n -e-x-c-e-s-s -o-f -t-h-e 
                        -s-u-m -o-f -t-h-e -a-m-o-u-n-t -p-a-i-d 
                        -p-u-r-s-u-a-n-t -t-o -i-t-e-m -(-I-) -a-n-d 
                        -t-h-e -v-a-l-u-e -o-f -u-n-r-e-i-m-b-u-r-s-e-d 
                        -r-e-s-e-a-r-c-h -a-n-d -d-e-v-e-l-o-p-m-e-n-t 
                        -r-e-s-o-u-r-c-e-s -p-r-o-v-i-d-e-d -b-y -t-h-e 
                        -l-a-b-o-r-a-t-o-r-y -u-n-d-e-r -t-h-e 
                        -t-e-r-m-s -o-f -t-h-e -a-g-r-e-e-m-e-n-t-.
                    -`-`-(-i-i-) -A-n -a-g-e-n-c-y -o-r 
                -l-a-b-o-r-a-t-o-r-y -m-a-y -p-r-o-v-i-d-e 
                -a-p-p-r-o-p-r-i-a-t-e -i-n-c-e-n-t-i-v-e-s -f-r-o-m 
                -r-o-y-a-l-t-i-e-s -t-o -l-a-b-o-r-a-t-o-r-y 
                -e-m-p-l-o-y-e-e-s -w-h-o -c-o-n-t-r-i-b-u-t-e 
                -s-u-b-s-t-a-n-t-i-a-l-l-y -t-o -t-h-e 
                -t-e-c-h-n-i-c-a-l -d-e-v-e-l-o-p-m-e-n-t -o-f 
                -l-i-c-e-n-s-e-d -o-r -a-s-s-i-g-n-e-d 
                -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y 
                -b-e-t-w-e-e-n -t-h-e -t-i-m-e -t-h-a-t -t-h-e 
                -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -r-i-g-h-t-s 
                -a-r-e -l-e-g-a-l-l-y -a-s-s-e-r-t-e-d -a-n-d -t-h-e 
                -t-i-m-e -o-f -t-h-e -l-i-c-e-n-s-i-n-g -o-r 
                -a-s-s-i-g-n-i-n-g -o-f -t-h-e -i-n-t-e-l-l-e-c-t-u-a-l 
                -p-r-o-p-e-r-t-y -r-i-g-h-t-s-.
                    -`-`-(-i-i-i-) -T-h-e -a-g-e-n-c-y -o-r 
                -l-a-b-o-r-a-t-o-r-y -s-h-a-l-l -r-e-t-a-i-n -t-h-e 
                -i-n-c-o-m-e -r-e-c-e-i-v-e-d -f-r-o-m 
                -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -u-n-t-i-l 
                -t-h-e -a-g-e-n-c-y -o-r -l-a-b-o-r-a-t-o-r-y 
                -m-a-k-e-s -p-a-y-m-e-n-t-s -t-o -l-a-b-o-r-a-t-o-r-y 
                -e-m-p-l-o-y-e-e-s -u-n-d-e-r -c-l-a-u-s-e -(-i-) -o-r 
                -(-i-i-)-.
                    -`-`-(-B-) -T-h-e -b-a-l-a-n-c-e -o-f -t-h-e 
                -i-n-c-o-m-e -s-h-a-l-l -b-e -t-r-a-n-s-f-e-r-r-e-d 
                -t-o -t-h-e -a-g-e-n-c-y-'-s -l-a-b-o-r-a-t-o-r-i-e-s-, 
                -w-i-t-h -t-h-e -m-a-j-o-r-i-t-y -s-h-a-r-e -o-f -t-h-e 
                -r-o-y-a-l-t-i-e-s -o-r -o-t-h-e-r -i-n-c-o-m-e 
                -g-o-i-n-g -t-o -t-h-e -l-a-b-o-r-a-t-o-r-y -w-h-e-r-e 
                -t-h-e -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y 
                -o-r-i-g-i-n-a-t-e-d-, -a-n-d -t-h-e -i-n-c-o-m-e -s-o 
                -t-r-a-n-s-f-e-r-r-e-d -t-o -a-n-y -s-u-c-h 
                -l-a-b-o-r-a-t-o-r-y -m-a-y -b-e -u-s-e-d -o-r 
                -o-b-l-i-g-a-t-e-d -b-y -t-h-a-t -l-a-b-o-r-a-t-o-r-y 
                -d-u-r-i-n-g -t-h-e -f-i-s-c-a-l -y-e-a-r -i-n 
                -w-h-i-c-h -i-t -i-s -r-e-c-e-i-v-e-d -o-r -d-u-r-i-n-g 
                -t-h-e -s-u-c-c-e-e-d-i-n-g -f-i-s-c-a-l -y-e-a-r---
                            -`-`-(-i-) -f-o-r -p-a-y-m-e-n-t -o-f 
                        -n-o-t -m-o-r-e -t-h-a-n -1-5 -p-e-r-c-e-n-t 
                        -o-f -s-u-c-h -i-n-c-o-m-e -f-o-r 
                        -e-x-p-e-n-s-e-s -i-n-c-i-d-e-n-t-a-l -t-o 
                        -t-h-e -a-d-m-i-n-i-s-t-r-a-t-i-o-n -a-n-d 
                        -l-i-c-e-n-s-i-n-g -o-f 
                        -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -b-y 
                        -t-h-e -a-g-e-n-c-y -o-r -l-a-b-o-r-a-t-o-r-y 
                        -w-i-t-h -r-e-s-p-e-c-t -t-o 
                        -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y 
                        -w-h-i-c-h -o-r-i-g-i-n-a-t-e-d -a-t -t-h-a-t 
                        -l-a-b-o-r-a-t-o-r-y-, -i-n-c-l-u-d-i-n-g 
                        -t-h-e -f-e-e-s -o-r -o-t-h-e-r -c-o-s-t-s 
                        -f-o-r -t-h-e -s-e-r-v-i-c-e-s -o-f -o-t-h-e-r 
                        -a-g-e-n-c-i-e-s-, -p-e-r-s-o-n-s-, -o-r 
                        -o-r-g-a-n-i-z-a-t-i-o-n-s -f-o-r 
                        -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y 
                        -m-a-n-a-g-e-m-e-n-t -a-n-d -l-i-c-e-n-s-i-n-g 
                        -s-e-r-v-i-c-e-s-;
                            -`-`-(-i-i-) -t-o -r-e-w-a-r-d 
                        -s-c-i-e-n-t-i-f-i-c-, -e-n-g-i-n-e-e-r-i-n-g-, 
                        -a-n-d -t-e-c-h-n-i-c-a-l -e-m-p-l-o-y-e-e-s 
                        -o-f -t-h-e -l-a-b-o-r-a-t-o-r-y-, 
                        -i-n-c-l-u-d-i-n-g -d-e-v-e-l-o-p-e-r-s -o-f 
                        -s-e-n-s-i-t-i-v-e -o-r -c-l-a-s-s-i-f-i-e-d 
                        -t-e-c-h-n-o-l-o-g-y-, -r-e-g-a-r-d-l-e-s-s 
                        -o-f -w-h-e-t-h-e-r -t-h-e -t-e-c-h-n-o-l-o-g-y 
                        -h-a-s -c-o-m-m-e-r-c-i-a-l 
                        -a-p-p-l-i-c-a-t-i-o-n-s-;
                            -`-`-(-i-i-i-) -t-o -f-u-r-t-h-e-r 
                        -s-c-i-e-n-t-i-f-i-c -e-x-c-h-a-n-g-e 
                        -a-m-o-n-g -t-h-e -l-a-b-o-r-a-t-o-r-i-e-s -o-f 
                        -t-h-e -a-g-e-n-c-y-; -o-r
                            -`-`-(-i-v-) -f-o-r -e-d-u-c-a-t-i-o-n 
                        -a-n-d -t-r-a-i-n-i-n-g -o-f -e-m-p-l-o-y-e-e-s 
                        -c-o-n-s-i-s-t-e-n-t -w-i-t-h -t-h-e 
                        -r-e-s-e-a-r-c-h -a-n-d -d-e-v-e-l-o-p-m-e-n-t 
                        -m-i-s-s-i-o-n -a-n-d -o-b-j-e-c-t-i-v-e-s -o-f 
                        -t-h-e -a-g-e-n-c-y -o-r -l-a-b-o-r-a-t-o-r-y-, 
                        -a-n-d -f-o-r -o-t-h-e-r -a-c-t-i-v-i-t-i-e-s 
                        -t-h-a-t -i-n-c-r-e-a-s-e -t-h-e 
                        -p-o-t-e-n-t-i-a-l -f-o-r -t-r-a-n-s-f-e-r -o-f 
                        -t-h-e -t-e-c-h-n-o-l-o-g-y -o-f -t-h-e 
                        -l-a-b-o-r-a-t-o-r-i-e-s -o-f -t-h-e 
                        -a-g-e-n-c-y-.
        -A-l-l -i-n-c-o-m-e -r-e-t-a-i-n-e-d -b-y -t-h-e -a-g-e-n-c-y 
        -o-r -l-a-b-o-r-a-t-o-r-y -a-f-t-e-r -p-a-y-m-e-n-t-s -h-a-v-e 
        -b-e-e-n -m-a-d-e -p-u-r-s-u-a-n-t -t-o 
        -s-u-b-p-a-r-a-g-r-a-p-h-s -(-A-) -a-n-d -(-B-) -t-h-a-t -i-s 
        -u-n-o-b-l-i-g-a-t-e-d -a-n-d -u-n-e-x-p-e-n-d-e-d -a-t -t-h-e 
        -e-n-d -o-f -t-h-e -f-i-s-c-a-l -y-e-a-r -s-u-c-c-e-e-d-i-n-g 
        -t-h-e -f-i-s-c-a-l -y-e-a-r -i-n -w-h-i-c-h -t-h-e 
        -i-n-c-o-m-e -w-a-s -r-e-c-e-i-v-e-d -s-h-a-l-l -b-e -p-a-i-d 
        -i-n-t-o -t-h-e -U-n-i-t-e-d -S-t-a-t-e-s -T-r-e-a-s-u-r-y-.
            -`-`-(-2-) -I-f-, -a-f-t-e-r -p-a-y-m-e-n-t-s -t-o 
        -e-m-p-l-o-y-e-e-s -u-n-d-e-r -p-a-r-a-g-r-a-p-h -(-1-)-, 
        -t-h-e -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -i-n-c-o-m-e 
        -r-e-c-e-i-v-e-d -b-y -a-n -a-g-e-n-c-y -a-n-d -i-t-s 
        -l-a-b-o-r-a-t-o-r-i-e-s -i-n -a-n-y -f-i-s-c-a-l -y-e-a-r 
        -e-x-c-e-e-d-s -5 -p-e-r-c-e-n-t -o-f -t-h-e -b-u-d-g-e-t -o-f 
        -t-h-e -l-a-b-o-r-a-t-o-r-i-e-s -o-f -t-h-e -a-g-e-n-c-y -f-o-r 
        -t-h-a-t -y-e-a-r-, -7-5 -p-e-r-c-e-n-t -o-f -s-u-c-h 
        -e-x-c-e-s-s -s-h-a-l-l -b-e -p-a-i-d -t-o -t-h-e -U-n-i-t-e-d 
        -S-t-a-t-e-s -T-r-e-a-s-u-r-y -a-n-d -t-h-e -r-e-m-a-i-n-i-n-g 
        -2-5 -p-e-r-c-e-n-t -m-a-y -b-e -u-s-e-d -o-r 
        -o-b-l-i-g-a-t-e-d -f-o-r -t-h-e -p-u-r-p-o-s-e-s 
        -d-e-s-c-r-i-b-e-d -i-n -c-l-a-u-s-e-s -(-i-) -t-h-r-o-u-g-h 
        -(-i-v-) -o-f -p-a-r-a-g-r-a-p-h -(-1-)-(-B-) -d-u-r-i-n-g 
        -t-h-a-t -f-i-s-c-a-l -y-e-a-r -o-r -t-h-e -s-u-c-c-e-e-d-i-n-g 
        -f-i-s-c-a-l -y-e-a-r-. -A-n-y -i-n-c-o-m-e -n-o-t -s-o 
        -u-s-e-d -o-r -o-b-l-i-g-a-t-e-d -s-h-a-l-l -b-e -p-a-i-d 
        -i-n-t-o -t-h-e -U-n-i-t-e-d -S-t-a-t-e-s -T-r-e-a-s-u-r-y-.
            -`-`-(-3-) -A-n-y -p-a-y-m-e-n-t -m-a-d-e -t-o -a-n 
        -e-m-p-l-o-y-e-e -u-n-d-e-r -t-h-i-s -s-e-c-t-i-o-n -s-h-a-l-l 
        -b-e -i-n -a-d-d-i-t-i-o-n -t-o -t-h-e -r-e-g-u-l-a-r -p-a-y 
        -o-f -t-h-e -e-m-p-l-o-y-e-e -a-n-d -t-o -a-n-y -o-t-h-e-r 
        -a-w-a-r-d-s -m-a-d-e -t-o -t-h-e -e-m-p-l-o-y-e-e-, -a-n-d 
        -s-h-a-l-l -n-o-t -a-f-f-e-c-t -t-h-e -e-n-t-i-t-l-e-m-e-n-t 
        -o-f -t-h-e -e-m-p-l-o-y-e-e -t-o -a-n-y -r-e-g-u-l-a-r 
        -p-a-y-, -a-n-n-u-i-t-y-, -o-r -a-w-a-r-d -t-o -w-h-i-c-h 
        -t-h-e -e-m-p-l-o-y-e-e -i-s -o-t-h-e-r-w-i-s-e 
        -e-n-t-i-t-l-e-d -o-r -f-o-r -w-h-i-c-h -t-h-e -e-m-p-l-o-y-e-e 
        -i-s -o-t-h-e-r-w-i-s-e -e-l-i-g-i-b-l-e-, -o-r -l-i-m-i-t 
        -t-h-e -a-m-o-u-n-t -t-h-e-r-e-o-f-. -A-n-y -p-a-y-m-e-n-t 
        -m-a-d-e -u-n-d-e-r -t-h-i-s -s-e-c-t-i-o-n -t-o -a-n-y 
        -e-m-p-l-o-y-e-e -s-h-a-l-l -c-o-n-t-i-n-u-e -a-f-t-e-r -t-h-e 
        -e-m-p-l-o-y-e-e -l-e-a-v-e-s -t-h-e -e-m-p-l-o-y-m-e-n-t -o-f 
        -t-h-e -l-a-b-o-r-a-t-o-r-y -o-r -a-g-e-n-c-y-.
            -`-`-(-4-) -A -F-e-d-e-r-a-l -a-g-e-n-c-y 
        -r-e-c-e-i-v-i-n-g -i-n-c-o-m-e -a-s -a -r-e-s-u-l-t -o-f 
        -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -m-a-n-a-g-e-m-e-n-t 
        -s-e-r-v-i-c-e-s -p-e-r-f-o-r-m-e-d -f-o-r -a-n-o-t-h-e-r 
        -F-e-d-e-r-a-l -a-g-e-n-c-y -o-r -l-a-b-o-r-a-t-o-r-y 
        -u-n-d-e-r -s-e-c-t-i-o-n -2-0-7 -o-f -t-i-t-l-e -3-5-, 
        -U-n-i-t-e-d -S-t-a-t-e-s -C-o-d-e-, -m-a-y -r-e-t-a-i-n 
        -s-u-c-h -i-n-c-o-m-e -t-o -t-h-e -e-x-t-e-n-t -r-e-q-u-i-r-e-d 
        -t-o -o-f-f-s-e-t -t-h-e -p-a-y-m-e-n-t -o-f -i-n-c-o-m-e 
        -f-r-o-m -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -u-n-d-e-r 
        -p-a-r-a-g-r-a-p-h -(-1-)-(-A-)-(-i-)-, -a-n-d -c-o-s-t-s 
        -a-n-d -e-x-p-e-n-s-e-s -i-n-c-u-r-r-e-d -u-n-d-e-r 
        -p-a-r-a-g-r-a-p-h -(-1-)-(-B-)-(-i-)-, -i-n-c-l-u-d-i-n-g 
        -t-h-e -c-o-s-t -o-f -f-o-r-e-i-g-n -p-r-o-t-e-c-t-i-o-n -o-f 
        -t-h-e -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -o-f -t-h-e 
        -o-t-h-e-r -a-g-e-n-c-y-. -A-l-l -i-n-c-o-m-e 
        -r-e-m-a-i-n-i-n-g -a-f-t-e-r -p-a-y-m-e-n-t -o-f -t-h-e 
        -i-n-c-o-m-e-, -c-o-s-t-s-, -a-n-d -e-x-p-e-n-s-e-s 
        -d-e-s-c-r-i-b-e-d -i-n -t-h-e -p-r-e-c-e-d-i-n-g 
        -s-e-n-t-e-n-c-e -s-h-a-l-l -b-e -t-r-a-n-s-f-e-r-r-e-d -t-o 
        -t-h-e -a-g-e-n-c-y -f-o-r -w-h-i-c-h -t-h-e -s-e-r-v-i-c-e-s 
        -w-e-r-e -p-e-r-f-o-r-m-e-d-, -f-o-r -d-i-s-t-r-i-b-u-t-i-o-n 
        -i-n -a-c-c-o-r-d-a-n-c-e -w-i-t-h -c-l-a-u-s-e-s -(-i-) 
        -t-h-r-o-u-g-h -(-i-v-) -o-f -p-a-r-a-g-r-a-p-h -(-1-)-(-B-)-.
    -`-`-(-b-) -C-e-r-t-a-i-n -A-s-s-i-g-n-m-e-n-t-s-.----I-f -t-h-e 
-i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -f-r-o-m -w-h-i-c-h -t-h-e 
-i-n-c-o-m-e -i-s -d-e-r-i-v-e-d -w-a-s -a-s-s-i-g-n-e-d -t-o -t-h-e 
-F-e-d-e-r-a-l -a-g-e-n-c-y---
            -`-`-(-1-) -b-y -a -c-o-n-t-r-a-c-t-o-r-, -g-r-a-n-t-e-e-, 
        -o-r -p-a-r-t-i-c-i-p-a-n-t -i-n -a -c-o-o-p-e-r-a-t-i-v-e 
        -a-g-r-e-e-m-e-n-t -w-i-t-h -t-h-e -a-g-e-n-c-y-; -o-r
            -`-`-(-2-) -b-y -a-n -e-m-p-l-o-y-e-e -o-f -t-h-e 
        -a-g-e-n-c-y -w-h-o -w-a-s -n-o-t -w-o-r-k-i-n-g -i-n -t-h-e 
        -l-a-b-o-r-a-t-o-r-y -a-t -t-h-e -t-i-m-e -t-h-e 
        -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -w-a-s 
        -o-r-i-g-i-n-a-t-e-d-;
-t-h-e -a-g-e-n-c-y -u-n-i-t -t-h-a-t -w-a-s -i-n-v-o-l-v-e-d -i-n 
-s-u-c-h -a-s-s-i-g-n-m-e-n-t -s-h-a-l-l -b-e -c-o-n-s-i-d-e-r-e-d -t-o 
-b-e -a -l-a-b-o-r-a-t-o-r-y -f-o-r -p-u-r-p-o-s-e-s -o-f -t-h-i-s 
-s-e-c-t-i-o-n-.
    -`-`-(-c-) -R-e-p-o-r-t-s-.---
            -`-`-(-1-) -I-n -m-a-k-i-n-g -i-t-s -a-n-n-u-a-l 
        -s-u-b-m-i-s-s-i-o-n -t-o -t-h-e -C-o-n-g-r-e-s-s-, -e-a-c-h 
        -F-e-d-e-r-a-l -a-g-e-n-c-y -s-h-a-l-l -s-u-b-m-i-t-, -t-o 
        -t-h-e -a-p-p-r-o-p-r-i-a-t-e -a-u-t-h-o-r-i-z-a-t-i-o-n -a-n-d 
        -a-p-p-r-o-p-r-i-a-t-i-o-n-s -c-o-m-m-i-t-t-e-e -o-f -b-o-t-h 
        -H-o-u-s-e-s -o-f -t-h-e -C-o-n-g-r-e-s-s-, -a -s-u-m-m-a-r-y 
        -o-f -t-h-e -a-m-o-u-n-t -o-f -i-n-c-o-m-e -r-e-c-e-i-v-e-d 
        -f-r-o-m -i-n-t-e-l-l-e-c-t-u-a-l -p-r-o-p-e-r-t-y -a-n-d 
        -e-x-p-e-n-d-i-t-u-r-e-s -m-a-d-e -(-i-n-c-l-u-d-i-n-g 
        -e-m-p-l-o-y-e-e -a-w-a-r-d-s-) -u-n-d-e-r -t-h-i-s 
        -s-e-c-t-i-o-n-.
            -`-`-(-2-) -N-o-t -l-a-t-e-r -t-h-a-n -O-c-t-o-b-e-r -1-, 
        -1-9-9-6-, -t-h-e -C-o-m-p-t-r-o-l-l-e-r -G-e-n-e-r-a-l 
        -s-h-a-l-l -r-e-v-i-e-w -t-h-e -e-f-f-e-c-t-i-v-e-n-e-s-s -o-f 
        -t-h-e -v-a-r-i-o-u-s -i-n-c-o-m-e---s-h-a-r-i-n-g 
        -p-r-o-g-r-a-m-s -e-s-t-a-b-l-i-s-h-e-d -u-n-d-e-r -t-h-i-s 
        -s-e-c-t-i-o-n -a-n-d -r-e-p-o-r-t -t-o -t-h-e 
        -a-p-p-r-o-p-r-i-a-t-e -c-o-m-m-i-t-t-e-e-s -o-f -t-h-e 
        -H-o-u-s-e -o-f -R-e-p-r-e-s-e-n-t-a-t-i-v-e-s -a-n-d -t-h-e 
        -S-e-n-a-t-e-, -i-n -a -t-i-m-e-l-y -m-a-n-n-e-r-, -t-h-e 
        -C-o-m-p-t-r-o-l-l-e-r -G-e-n-e-r-a-l-'-s -f-i-n-d-i-n-g-s-, 
        -c-o-n-c-l-u-s-i-o-n-s-, -a-n-d -r-e-c-o-m-m-e-n-d-a-t-i-o-n-s 
        -f-o-r -i-m-p-r-o-v-e-m-e-n-t-s -i-n -s-u-c-h 
        -p-r-o-g-r-a-m-s-.-'-'-.

-S-E-C-. -5-. -A-M-E-N-D-M-E-N-T -T-O -B-A-Y-H---D-O-L-E -A-C-T-.

    -S-e-c-t-i-o-n -2-1-0-(-e-) -o-f -t-i-t-l-e -3-5-, -U-n-i-t-e-d 
-S-t-a-t-e-s -C-o-d-e-, -i-s -a-m-e-n-d-e-d -b-y -i-n-s-e-r-t-i-n-g 
-`-`-a-n-d -t-h-e -T-e-c-h-n-o-l-o-g-y 
-C-o-m-m-e-r-c-i-a-l-i-z-a-t-i-o-n -A-c-t -o-f -1-9-9-3-'-' -a-f-t-e-r 
-`-`-F-e-d-e-r-a-l -T-e-c-h-n-o-l-o-g-y -T-r-a-n-s-f-e-r -A-c-t -o-f 
-1-9-8-6-'-'-.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Technology Commercialization Act of 
1994''.

SEC. 2. FINDINGS.

    The Congress finds and declares the following:
            (1) The commercialization of technology and industrial 
        innovation are central to the economic, environmental, and 
        social well-being of citizens of the United States.
            (2) The Government can help United States business to speed 
        the development of new products and processes by entering into 
        cooperative research and development agreements which make 
        available the assistance of Federal laboratories to the private 
        sector, but the commercialization of technology and industrial 
        innovation in the United States depends largely upon actions by 
        business.
            (3) The commercialization of technology and industrial 
        innovation in the United States will be enhanced if companies, 
        in return for reasonable compensation to the Government, can 
        more easily obtain exclusive licenses to inventions which they 
        develop jointly with Federal laboratory scientists.

SEC. 3. TITLE TO INTELLECTUAL PROPERTY ARISING FROM COOPERATIVE 
              RESEARCH AND DEVELOPMENT AGREEMENTS.

    Section 12(b) of the Stevenson-Wydler Technology Innovation Act of 
1980 (15 U.S.C. 3710a(b)) is amended to read as follows:
    ``(b) Enumerated Authority.--
            ``(1) Under an agreement entered into pursuant to 
        subsection (a)(1) a laboratory shall ensure that a 
        collaborating party has the right of first refusal to an 
        exclusive license for one or more fields of use in any 
        invention jointly made by its employee and a laboratory 
        employee under the agreement in exchange for reasonable 
        compensation to the laboratory and submission of a satisfactory 
        plan to commercialize the invention. In consideration for the 
        Government's contribution under the agreement, the rights of 
        the collaborating party shall be subject to the following 
        conditions:
                    ``(A) The agreement includes a nonexclusive, 
                nontransferable, irrevocable, paid-up license from the 
                collaborating party to the laboratory to practice the 
                invention or have the invention practiced throughout 
                the world by or on behalf of the Government but, in the 
                exercise of such license, the Government shall not 
                publicly disclose proprietary information related to 
                the license.
                    ``(B) The Government shall have the right to 
                require a collaborating party to grant to a responsible 
                applicant or applicants a nonexclusive, partially 
                exclusive, or exclusive license to use the invention in 
                any field of use, on terms that are reasonable under 
                the circumstances, or if the collaborating party fails 
                to grant such a license, to grant the license itself if 
                the Government finds that--
                            ``(i) the collaborating party has not 
                        taken, and is not expected to take within a 
                        reasonable time, effective steps to achieve 
                        practical application of the invention in the 
                        field of use;
                            ``(ii) the action is necessary to meet 
                        health or safety needs that are not reasonably 
                        satisfied by the collaborating party;
                            ``(iii) the action is necessary to meet 
                        requirements for public use specified by 
                        Federal regulations and such requirements are 
                        not reasonably satisfied by the collaborating 
                        party; or
                            ``(iv) the collaborating party has failed 
                        to comply with the agreement implementing 
                        subsection (c)(4)(B).
            ``(2) Under an agreement entered into under subsection 
        (a)(1), a laboratory may--
                    ``(A) accept, retain, and use funds, personnel, 
                services, and property from a collaborating party and 
                provide personnel, services, and property to a 
                collaborating party;
                    ``(B) grant or agree to grant in advance, to a 
                collaborating party, a license or assignment, or an 
                option thereto, in any invention made solely by a 
                laboratory employee under the agreement, subject to--
                            ``(i) a nonexclusive, nontransferable, 
                        irrevocable, paid-up license to practice the 
                        invention or have the invention practiced 
                        throughout the world by or on behalf of the 
                        Government and such other right as the 
                        laboratory deems appropriate;
                            ``(ii) the right of the Government to 
                        require a collaborating party to grant to a 
                        responsible applicant a nonexclusive, partially 
                        exclusive, or exclusive license to use the 
                        invention in any field of use, on terms that 
                        are reasonable under the circumstances, or, if 
                        the collaborating party fails to grant such a 
                        license, to grant the license itself if the 
                        Government makes a finding under paragraph 
                        (1)(B); and
                            ``(iii) the right of the laboratory to 
                        require a collaborating party to submit a 
                        satisfactory plan to commercialize the 
                        invention;
                    ``(C) determine a right in other intellectual 
                property developed under an agreement entered into 
                under subsection (a)(1);
                    ``(D) to the extent consistent with any applicable 
                agency requirement or standard of conduct, permit an 
                employee or former employee of the laboratory to 
                participate in an effort to commercialize an invention 
                made by the employee or former employee while in the 
                employment or service of the Government; and
                    ``(E) grant to a collaborating party, in an 
                exclusive license in any invention made under the 
                agreement, the right of enforcement under chapter 29 of 
                title 35, United States Code, if appropriate and in the 
                public interest.
            ``(3) Under an agreement entered into under subsection 
        (a)(1), the laboratory shall ensure that a collaborating party 
        may retain title to any invention which is made solely by its 
        employee in which the Government may have any nontransferable, 
        irrevocable, paid-up license to practice the invention or have 
        the invention practiced throughout the world by or on behalf of 
        the Government and such other right as the Government deems 
        appropriate.
            ``(4) A Government-owned contractor-operated laboratory 
        that enters into a cooperative research and development 
        agreement under subsection (a)(1) may use or obligate royalties 
        or other income accruing to the laboratory under an agreement 
        with respect to any invention only--
                    ``(A) for payments to inventors;
                    ``(B) for a purpose described in section 
                14(a)(1)(B)(i) or (iv) of this Act; or
                    ``(C) for scientific research and development 
                consistent with the research and development mission 
                and objective of the laboratory.''.

SEC. 4. DISTRIBUTION OF INCOME FROM INTELLECTUAL PROPERTY RECEIVED BY 
              FEDERAL LABORATORIES.

    Section 14 of the Stevenson-Wydler Technology Innovation Act of 
1980 (15 U.S.C. 3710c) is amended--
            (1) by striking ``INCOME'' in the section heading and 
        inserting ``ROYALTIES'',
            (2) by striking ``income'' each place it appears in 
        subsection (a) and inserting ``payments'',
            (3) by striking ``inventions of Government-operated Federal 
        laboratories licensed'' in subsection (a)(1) and inserting 
        ``the licensing of inventions of Government-operated 
        laboratories'',
            (4) by inserting ``the first $2,000, and thereafter'' after 
        ``pay'' in subsection (a)(1)(A)(i),
            (5) by inserting ``or other payments'' after ``royalties'' 
        in subsection (a)(2),
            (6) by striking ``the payment of royalties'' in the first 
        sentence of subsection (a)(4) and inserting ``payments to 
        inventor'',
            (7) by striking ``payment of the royalties,'' in the second 
        sentence of subsection (a)(4) and inserting ``offsetting the 
        payments to inventors,'',
            (8) by amending paragraph (1) of subsection (b) to read as 
        follows:
            ``(1) by a contractor, grantee, participant, or employee 
        thereof, in an agreement or other arrangement with the agency; 
        or'', and
            (9) by striking ``working in the laboratory'' in paragraph 
        (2) of subsection (b) and inserting ``required by any 
        regulation to assign the invention to the agency''.

SEC. 5. AMENDMENT TO BAYH-DOLE ACT.

    Section 210(e) of title 35, United States Code, is amended by 
inserting ``and the Technology Commercialization Act of 1994'' after 
``Federal Technology Transfer Act of 1986''.
```