Texas § HS.102.256 - PATENT ROYALTIES AND LICENSE REVENUES PAID TO STATE

§ HS.102.256. PATENT ROYALTIES AND LICENSE REVENUES PAID TO STATE

PATENT ROYALTIES AND LICENSE REVENUES PAID TO STATE. (a) The oversight committee shall establish standards that require all grant awards to be subject to an intellectual property agreement that allows the state to collect royalties, income, and other benefits, including interest or proceeds resulting from securities and equity ownership, realized as a result of projects undertaken with money awarded under Subchapter E. (b) In determining the state's interest in any intellectual property rights, the oversight committee shall balance the opportunity of the state to benefit from the patents, royalties, licenses, and other benefits that result from basic research, therapy development, and clinical trials with the need to ensure that essential medical research is not unreasonably hindered by the intellectual property agreement and that the agreement does not unreasonably remove the incentive on the part of the individual researcher, research team, or institution. (c) The oversight committee may transfer its management and disposition authority over the state's interest in securities, equities, royalties, income, and other benefits realized as a result of projects undertaken with money awarded under Subchapter E to the Texas Treasury Safekeeping Trust Company. If the oversight committee transfers management and disposition authority under this subsection, the trust company has any power necessary to accomplish the purposes of this section. (d) In managing the assets described by Subsection (c) through procedures and subject to restrictions that the Texas Treasury Safekeeping Trust Company considers appropriate, the trust company may acquire, exchange, sell, supervise, manage, or retain any kind of investment that a prudent investor, exercising reasonable care, skill, and caution, would acquire, exchange, sell, or retain in light of the purposes, terms, distribution requirements, and other circumstances then prevailing pertinent to each investment, including the requirements prescribed by Subsection (b) and the purposes described by Section 102.002 . The trust company may charge a fee to recover the reasonable and necessary costs incurred in managing assets under this section. Amended by: Acts 2007, 80th Leg., R.S., Ch. 266 (H.B. 14 ), Sec. 4., eff. November 6, 2007. Acts 2011, 82nd Leg., R.S., Ch. 448 (S.B. 1421 ), Sec. 1, eff. September 1, 2011. Acts 2017, 85th Leg., R.S., Ch. 521 (S.B. 81 ), Sec. 6, eff. September 1, 2017.