HOUSE AMENDMENT
Bill No. HB 1E CS
   
1 CHAMBER ACTION
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Senate House
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12          Representative Justice offered the following:
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14          Amendment to Amendment (565379)
15          Remove line(s) 463-509, and insert:
16          (a) The grantee shall reinvest a percentage of the net
17    royalty revenues and of the revenues from the sale of stock
18    received by the Scripps Research Institute from the licensing or
19    transfer of inventions, methods, processes, and other patentable
20    activities conceived or reduced to practice using facilities or
21    employees of the grantee following the execution of the contract
22    between the corporation and the grantee, as provided in
23    paragraph (c). For purposes of this paragraph, the term “net
24    royalty revenues” means all royalty revenues less the cost of
25    obtaining, maintaining, and enforcing related patent and
26    intellectual property rights, both foreign and domestic.
27    Reinvestment payments under this subsection shall commence no
28    later than 6 months after the grantee has received the final
29    disbursement under the contract and continue until the grantee
30    has reinvested pursuant to paragraph (c) the percentage of all
31    the net royalty revenues and proceeds from the sale of stock
32    related to the grantee’s operation after the execution of the
33    contract.
34          (b) The grantee shall reinvest a percentage of the gross
35    revenues it receives from naming opportunities associated with
36    any facility it builds in this state, as provided in paragraph
37    (c). For purposes of this paragraph, the term “naming
38    opportunities” includes charitable donations from any person in
39    consideration for the right to have all or a portion of the
40    facility named for or in the memory of any person, living or
41    dead, or for any entity. The obligation to make reinvestment
42    payments under this subsection shall commence upon the execution
43    of the contract between the corporation and the grantee.
44          (c) The total amount of revenues reinvested by the grantee
45    under this subsection shall be:
46          1. Fifteen percent of up to $155 million in such revenues,
47    or $200 million if performance measures are not met.
48          2. Ten percent thereafter up to $300 million in such
49    revenues, or $369 million if performance measures are not met.
50          3. Five percent thereafter.
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52          One-half of all reinvestment payments made pursuant to this
53    subsection shall be remitted to the state for deposit in the
54    Biomedical Research Trust Fund, or if such fund has ceased to
55    exist, in another trust fund that supports biomedical research,
56    as determined by law. One-half of all reinvestment payments made
57    pursuant to this subsection shall be remitted to the state for
58    distribution to state universities and private nonprofit
59    colleges and universities in the state, including historically
60    Black colleges and universities, with the proceeds to be
61    distributed pro rata based on the prior year's enrollment.
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