MMA C.S.S.B. 1040 75(R)BILL ANALYSIS HIGHER EDUCATION C.S.S.B. 1040 By: Truan (Cuellar) 5-8-97 Committee Report (Substituted) BACKGROUND In its 1996 interim report, the International Relations, Trade & Technology Committee found that an effective technology policy should intentionally create an environment that allows entrepreneurs the freedom to develop technology and encourage existing industry to adopt and implement that technology. However, the committee also found the rate of success of the transfer of university research to practical production within Texas to be relatively low. PURPOSE C.S.S.B. 1040 requires the Texas Higher Education Coordinating Board to designate an institution of higher education to conduct a continuing study of the programs and other efforts of institutions of higher education to address the needs of small businesses in this state for assistance in research, development, and prototyping. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subchapter C, Chapter 61, Education Code, by adding Section 61.0775, to read as follows: Sec. 61.0775. BUSINESS RESEARCH AND DEVELOPMENT. (a) Requires the Texas Higher Education Coordinating Board (THECB) to designate an institution of higher education (institution) with appropriate facilities and resources to conduct a continuing study of the programs and other efforts of institutions to address the needs of small businesses in this state for assistance in research, development, and prototyping. (b) Requires the institution conducting the study to make recommendations on actions that may be taken to address the needs of small businesses as described by Subsection (a) in the most cost-effective manner, including through the participation by institutions in partnerships, ventures, or projects that promote the commercialization of technology for or by small businesses, when THECB deems appropriate. Requires THECB to deliver the recommendations to appropriate institutions and to the legislature. SECTION 2. Effective date: September 1, 1997. SECTION 3. Emergency clause. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.S.B. 1040 would require THECB to designate an institution who would conduct the study, rather than THECB conducting the study themselves as provided in the original measure. C.S.S.B. 1040 would still require THECB to deliver the recommendations of the study, but instead requires that they be delivered to both, the appropriate institutions and the legislature.