Legislative Information

State Briefing Papers

UW-WSU Joint Research and Technology Transfer

Performance Budget Level Request 02

RESEARCH AND TECHNOLOGY TRANSFER:

A joint university investment for state economic and human health

WSU RECOMMENDATIONAND FISCAL SUMMARY

The University of Washington and Washington State University should form an unprecedented state alliance to develop new state-funded research and technology transfer programs focused on improving human health and enabling the creation of new, high paying jobs.  Moreover, the joint efforts of the two institutions to resolve public policy conflicts should be bolstered with state investment in the new UW-WSU Policy Consensus Center.

 

2005-06

2006-07

2005-07 Biennium

General Fund-State

3,050,000

4,050,000

7,100,000

PRIORITIES OF GOVERNMENT

This UW-WSU joint research and technology transfer initiative directly addresses state priorities of government (POG) recommendations.  These are listed here and referenced below:
  • POG Result #2 – Workforce Quality and Productivity
    a)      Increased earning levels
    b)      Increased employment rates
  • POG Result #3 – Value of Post-Secondary Learning
  • a)      Number of new technology transfer agreements executed and dollar volume
    b)      Number of new in-state companies spawned from university-developed processes and technologies
    c)      Number of jobs generated as a result of state-funded and non-state-funded research
    d)      Preparation of a skilled workforce, and especially of creative scientists and engineers
    e)      Contribute to state economic development goals
  • POG Result #4 – Improved Health
a)      Rate of increase in levels of obesity through mitigation of a risk factor
  • POG Result #6 – Economic Vitality
    a)      New markets for Washington products and services
    b)      Increased productivity and quality through innovation
    c)      Improved effectiveness of economic development investment through improved coordination
  • POG Result #9 – Quality of Natural Resources
    a)      Sustainable use of public resources
    b)      Provide good science and monitoring data
  • POG Result #11 – Efficient and Effective Results
    a)      Develop and communicate essential data to policy-makers b)      Maintain governing structure that supports citizen involvement, efficient decision-making and accountability ·         Additional WSU POG request.  This initiative will: a)      Allow outstanding senior researchers, who have the capacity to change WSU’s reputation, attract significant federal, private and industrial funding, create technologies that spur economic development and serve as magnets to draw companies to Washington, to be hired and retained. b)      Design an initiative for supporting innovation in energy, environmental, and/or health care that create jobs while contributing to other important POG outcomes.

NARRATIVE JUSTIFICATION AND IMPACT STATEMENT

This request is designed to address the Priorities of Government discussed above and heighten the impact of the Research Universities’ on the State’s economy in three critical ways.  First, it will be used to attract outstanding faculty to the state, equip their laboratories, provide critical infrastructure through the Center for Integrated Biotechnology, and provide matching funds needed to attract significant federal, corporate and private funds.  Next,UW TechTransfer and the WSU Office of Research will coordinate a set of activities to enhance technology transfer and support future competitiveness of the knowledge based economy. Finally, the fledgling, UW/WSU Policy Consensus Center, which provides a framework for the resolution of divisive issues, will be strengthened.

Component 1 – Research to Enhance Health

 

2005-06

2006-07

2005-07 Biennium

General Fund-State

2,500,000

3,500,000

6,000,000

Increased state investment is needed in university-based life science research that will enable Washington's citizens to capture the benefits of improved human health while assuring much brighter state economic health. The WSU portion of this coordinated budget request will ut ilize and build new technologies for health and job creation by creating state-funded interdisciplinary research teams in:

(1)   Biomedical genomic sciences

(2)   Health-related bioproducts

(3)   Infectious diseases and pests;

(4)   Healthy, sustainable food systems.

This program will be accomplished by attracting world class researchers, of National Academy stature, to lead four research teams in each of the above areas.  Funds will be used for salaries and to equip the laboratories, provide critical infrastructure through the Center for Integrated Biotechnology, and provide matching funds needed to make these research programs successful.  These researchers, who will be selected not only because they are world-class researchers but also because they are world class innovators and inventors, will then be able to leverage the state’s funds to attract significant federal research programs and to enable the development of spin-off companies.  Moreover, because of the quality of the researchers who will be attracted, we anticipate that technology-based companies in related areas will be attracted, enabling effective interaction with these researchers.  State investment will be leveraged to attract matching federal capital and operating dollars that can provide associated undergraduate and graduate student, high technology equipment, and technical support. The teams or “clusters” will work on fundamental and applied problems, developing solutions uniquely needed by the state of Washington that will enhance human health.

With investment in these targeted university research areas, Washington's citizens will benefit from new plants that produce new drugs and other high value products, such as insulin or serum albumin; better control of infectious diseases, including diseases that are transferred between species (e.g. BSE, Avian Influenza); a more complete understanding of the metabolism of individuals; and more healthful foods produced in more sustainable systems, with less or no dependence on pesticides.

Moreover, these same studies will enable improvements in the health of crops and livestock, enhancement in the nutritional value and other health benefits of plants and animals, and reduction of threats from new invasive diseases and pests such as sudden oak death.  Critical shared resources will be provided through the Center for Integrated Biotechnology that will enable the success of these research programs.

The research initiative not only implements WSU-specific priorities of government, but also directly impacts POG results 2, 3, 4, 6 and 9.  These results lead to enhanced education, preparation of a workforce which can lead the state into the future, enhanced technology transfer opportunities, including improved markets for Washington’s products, improved health, and sound science leading to good public policy.

Through these combined research efforts at WSU and UW, new technologies will be developed and transferred to stimulate new industries and enhance the success of existing industries, leading to a variety of high paying jobs within the state.

Biomedical Genome Sciences

Expanded state research will focus on topics such as cytogenetics to identify causal factors in human disease, the biochemistry and molecular biology of DNA and its repair, the molecular identification of causal factors for diseases such as cancer, endocrine diseases and reproductive disorders, and an understanding of individual metabolism (metabolomics), which will, in turn, lead to enhanced drug efficacy with reduced drug-drug interactions and to the improved control of diseases such as obesity. 

The understanding of the molecular or “genomic” basis of disease has led to major breakthroughs in medicine and in understanding human health and well-being, with the near-term potential for personalized medicine. Similarly, the availability of complete sequences of genomes from plants, animals and microorganisms is opening the way for major new technologies that will improve human health. The challenge we face is to be able to assemble and benefit more fully from the enormous amount of information that the modern life-science research efforts have produced. Expanding complimentary research conducted at WSU and the UW will meet this challenge.

Bioproducts to enhance health

For centuries, mankind has known that plants have medicinal properties.  With the advent of modern genomic techniques, plants can now be used as factories to produce medically important proteins for treatment of a wide array of genetic, chronic, and previously untreatable diseases.  These plants also hold the potential to produce and deliver vaccines against viral diseases, to produce new classes of pain relievers, and to be used for the production of DNA-based diagnostic systems.   The emergence of these new products is based largely on the knowledge of the genes and the products of genes that either keep us healthy or predispose us to disease.

The discovery and production of these biomedically active proteins are part of the current biotechnology revolution in medicine that began with the manufacture of human insulin with a microbe genetically modified to express a copy of a human insulin production gene.  Just as the same gene used to produce insulin in yeast can be used to produce insulin in plants – insulin that can be extracted, purified and meet quality and safety assurances required by the U.S. Food and Drug Administration and the U.S Department of Agriculture – plants can be used to produce a wide spectrum of other high value proteins.

In fact, hundreds of medically important proteins, which depend on gene expression in a living system for their manufacture, could potentially be produced in plants.  The advantages of producing these proteins in plants (so-called biopharming) over the current use of bioreactors include lower capital costs, ease of storage, and ability to meet the growing demand in medicine.  Washington State University, the University of Washington, and Washington agriculture are ideally positioned scientifically, technically, and environmentally to lead this emerging industry and capture this added value of health-related bio-products.  Through this research, new high value crops will be developed for Washington’s farmers and new products will be developed and commercialized within the State.  Systems employed in this work will also enhance the WSU/Battelle collaborative work designed to produce fuels and commodity chemicals from biologically based materials.  As such, this research has the potential to dramatically stimulate broad spectrums of the economy.

Infectious Diseases and Pests

Infectious diseases and pests, whether newly emergent (SARS, Monkeypox, West Nile Virus, sudden oak death), accidentally (BSE, i.e. Mad Cow Disease, Foot and Mouth Disease, Avian Influenza, cereal leaf beetle), or intentionally (Anthrax) introduced have posed unprecedented and unexpected challenges to public health over the last two decades.

Because over 70% of all known animal infectious disease agents can be transferred to humans, such “zoonotic” diseases have the potential to dramatically adversely impact human health and economically devastate the agricultural animal industry within the state. 

Researchers at WSU and the UW have been at the forefront in the collaborative development of technologies that substantially enhanced our capability for early recognition and characterization of infectious diseases, response to those diseases, and development of prevention measures. Capitalizing on the genomics revolution, this research initiative builds on that success to understand how emerging infectious agents evolve in and adapt to their normal habitats, whether in soil or water sources, biofilms, vectors, or some other niche (microbial ecology); how that habitat can be modified to reduce or eliminate these agents (biocontrol); what factors govern their emergence from a natural environment into pathogens that cause human and animal disease or that are resistant to antibiotics (virulence factors); how disease emergence can be predicted (predictive epidemiology) and either prevented or recognized very early (genomics based vaccines, molecular diagnostics and disease surveillance); and what integrative methods can be developed to rapidly control emergent disease outbreaks (vertical, team-based response).   In so doing, this research will facilitate the development of new industries focused on providing solutions to such infectious disease agents and on minimizing the adverse economic impacts of these diseases on trade, infrastructure costs, and consumer confidence. 

Healthy, Sustainable Food Systems

Washington agriculture, valued at about $30 billion annually, produces some of the highest quality food in the world, both fresh and processed for local, national, and export markets.  Nevertheless, because of natural contaminants and the use of pesticides, questions continue to be raised as to the safety of the food products.  Moreover, for a state in which a significant fraction of the population is overweight or obese, some 350,000 resident have diabetes, and hundreds suffer from diseases that are best managed or even prevented through improved nutrition, healthy, sustainable foods will improve the health and help reduce health care costs. Research at the frontiers of genomics and metabolomics has the potential to improve the safety and nutritional value of foods and provide a deeper understanding of human nutrition—improving health and providing new opportunities for businesses and employment for the people of Washington.   These studies will also facilitate the development of a growing industry within the state – the production of food without the use of pesticides.  When pest/plant interactions are understood, the plants can be bred or natural predators introduced to further enable this already developing industry to flourish within the State.Through genomic understanding of these systems, protein content in potatoes can be increased by 2- to 3-fold, gluten intolerance, a condition that affects 3 million people nationwide, can be eliminated, antioxidant and other health benefits of apples can be enhanced, and more rapid and sensitive molecular methods for detection of food borne pathogens can be detected. These and other potential improvements in food and human nutrition offer unlimited opportunities for creating new technologies and new markets for Washington agricultural products while reducing health care costs.

Component 2 – Coordinated Technology Transfer

 

2005-06

2006-07

2005-07 Biennium

General Fund-State

350,000

350,000

700,000

WSU and UW foster economic development by promoting the transition of research from the laboratory to the marketplace.  While this is only one aspect of the larger research mission, nonetheless it is an important one upon which we are increasingly judged, and upon which we regularly leverage our other missions.  In an unprecedented step, the UW and WSU will coordinate UW TechTransfer and WSU Office of Research activities to enhance the transfer of university-based discoveries to benefit Washington’s economy. 

The coordinated technology transfer program directly implements components of Priority of Government results 2, 3 and 6 by providing mechanisms to enhance the employment rates and earning potentials of Washington’s residents, increasing the value of post-secondary education, and enhancing the state’s economic vitality through new markets, increased productivity, and improved coordination, all of which will lead to economic development.

Both WSU and UW have established programs that facilitate the movement of new discoveries into established or newly created businesses.  The results of these efforts have resulted in products and services that have improved healthcare, and improved crops produced in agribusiness, played a major role in deciphering the human genome, and fostered a cluster of medical device companies.  Furthermore, these partnerships with industry have created significant employment in the state.  Specific, directed programs are proposed to enhance the ability of both universities to market inventions more effectively to businesses within the state and further enhance the commercial impact of the state’s research universities.

Enhance the transfer of new discoveries to companies based in the state of Washington.  Several coordinated approaches will be employed to more effectively connect companies in state with new discoveries made at the state’s research universities.  UW and WSU will organize and host events to market discoveries to companies in the state.  Companies will be invited to learn about new discoveries in their area of business and to discuss opportunities for additional collaborative research or licensing.  In addition, we propose the development and maintenance of a database of companies in the state to use for the marketing of discoveries.  Both activities will be supported by a coordinator for in-state marketing and technology licensing within UW TechTransfer and WSU Office of Intellectual Property Administration.  These programs will result in a more rapid distribution of knowledge about discoveries made at the universities and more rapidly move these discoveries into local businesses for development and commercialization.

Prototype Fund:  Establish a Prototype Fund, jointly administered by the Office of Research at WSU and by UW TechTransfer, to enhance the commercial potential of early-stage university discoveries.  Most discoveries and innovations that are made in university research programs occur at a very early stage in the commercialization continuum, and rarely lend themselves to immediate commercialization.  Moreover, our industry partners are often not in a position to invest in them without further "proof-of-concept" or other additional development work.   Unfortunately, funds for development projects like this are rarely available from granting agencies.  Many promising technologies languish or simply die in this gap because they are too applied for further academic research funding, but not yet developed enough to attract industry investment. The Prototype Fund will address this problem by providing targeted funds for further development to a competitively selected group of innovations.  The Fund will focus on discrete projects of relatively short duration (6 to 12 months) that have significant commercial potential but require additional commercially directed research.  An external panel will be employed to review projects and provide advice on the feasibility and commercial value of projects supported by the Fund.

Company Creation:  New companies can result from university-based discoveries.  While both UW and WSU have an impressive history of company starts from their research programs, the potential exists to facilitate more of these ventures.  Several coordinated activities will be employed to facilitate company creation.  One limiting factor to company creation is identifying and attracting experienced managers and entrepreneurs to participate in company starts.  Most professional venture capitalists will not invest in a start-up that is run by a faculty member, so it is important to employ company structures and form management teams that are attractive for investment.  One key feature of the proposed initiative is a program to identify and attract experienced managers and entrepreneurs to start-up opportunities from research institutions.  Another feature of the program is support for mentoring services for start-ups – management, financial, business plan development, HR issues.  We envision this to be a service provided by the Office of Intellectual Property Administration at WSU and UW TechTransfer that will provide assistance, advice, and a clear, consistent roadmap to entrepreneurs and faculty who wish to establish companies based on research at the universities.  Two other important components to facilitate company creation are the creation of a seed fund for university-based start-ups, and the establishment of start-up incubator facilities on both the WSU and UW campuses.  These initiatives will provide initial support and space to allow nascent companies to mature until they can attract significant outside investment. 

Component 3 – Policy Consensus Center

 

2005-06

2006-07

2005-07 Biennium

General Fund-State

350,000

350,000

700,000

Public policy problems in the Northwest are more complex and numerous than ever. Included in the list of problems are those associated with the environment, concerns the value of new technologies, the appropriate expenditure of public funds and inter- jurisdictional conflict.  Moreover, among stakeholders, resolution of these problems is becoming increasingly intense and polarized in nature. The result is most conflicts end up in lengthy litigation.

The Policy Consensus Center directly implements Priority of Government 11 and enhances the impact of other state programs on POG 9.

To provide assistance in finding other ways to resolve public policy conflicts.  Washington State University (WSU) and the University of Washington (UW) are joining forces to develop the Policy Consensus Center (PCC). The universities have been urged by community, appointed and elected leaders to establish the Center.  The PCC s mission will be to act as a neutral source of expertise to improve the availability and quality of voluntary collaborative approaches to policy development and multi-party disputes. The Center will be dedicated to providing assistance to government, tribal, business, agricultural, environmental, and other community leaders. The founding board for the Center has been appointed and several pilot projects are underway.

The PCC will provide four core services:

1)     assessment of conflict situations and access to knowledgeable, experienced neutral experts or other resources to assistance in multi-party public disputes;

2)     education programs and other resources to assist community leaders, public agencies, stakeholder groups, and individuals in acquiring the capacity to undertake collaborative problem solving to avoid disputes, manage disputes, and engage in constructive dispute resolution;

3)     applied research to identify and document promising approaches to conflict resolution. The Center will:

a.      act as a gateway to research on collaborative problem solving and dispute resolution and

b.      if requested by stakeholders in multi-party public disputes, undertake research on specific issues that can contribute to collaborative problem solving.

4)     provide neutral forums wherein stakeholders can explore resolution to emerging public policy issues.

The partnership between the University of Washington and Washington State University gives the PCC a statewide reach and a broad resource base. With offices on both campuses, the PCC will act as a conduit between Washington’s premier research universities and citizens/ policy makers dealing with significant public policy concerns. In turn, the PCC will bring real-world policy issues to the campuses, helping advance the university’s research, teaching, and public service missions.

Performance Measures

If fully funded, this decision package will increase WSU’s extramurual funding, the number of jobs directly and indirectly supported by research funding and the number of graduate degrees conferred each year. 

The state investment leverages funds from federal, local, industrial, and private sources that enhance the education of undergraduate and graduate students, and that provide fundamental and applied knowledge that advances the state’s economy.  Because WSU is successfully attracting funding from a diverse sponsor portfolio, we anticipate that we will continue to successfully grow these expenditures.  Additional state investment, as requested by WSU, will accelerate this growth.

The leveraged research investment also requires that WSU employ faculty, technicians, administrative staff, and students within the State.  These employees, in turn, spend money in the state, producing indirect benefits.  Furthermore, while not counted in these numbers, other entities, including the Federal government, employ many within the state to be close to and able to collaborate with WSU researchers.

Graduate students employed on research funds are a direct consequence of WSU research programs.  As research expenditures grow, the number of graduate students educated at WSU also grows.  Upon graduation, these students often locate in the State, providing highly creative personnel for the State’s employers and serving as entrepreneurs for new industries within the state.


 

 
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