<enum>I</enum><header>American Innovation Bank</header> <section id="idF3425659ABFB45F68168B6C1A3911A30"><enum>101.</enum><header>Establishment of the American Innovation Bank</header> <subsection id="id7A806D70A89C4F8AAEAF7D6A079968D3"><enum>(a)</enum><header>Establishment</header><text display-inline="yes-display-inline">There is established in the Executive Branch of the Government an independent agency to be known as the American Innovation Bank (referred to in this title as the <quote>Bank</quote>).</text> </subsection><subsection id="idA1241D103A4C40869FABEF9A4CFD7255"><enum>(b)</enum><header>Board and director</header> <paragraph id="idB28A56FCFC4F49BB913D78AB665DB538"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The Bank shall consist of an American Innovation Board (referred to in this title as the <quote>Board</quote>) and a Director of the American Innovation Bank (referred to in this title as the <quote>Director</quote>).</text> </paragraph><paragraph id="idD7E9AD14B6DD4816B01C9E7A4FBA498C"><enum>(2)</enum><header>Appointment</header><text display-inline="yes-display-inline">The Director and members of the Board shall be appointed by the President, by and with the advice and consent of the Senate.</text> </paragraph><paragraph id="id448925BA19D54EDABD76D9206DDAA65E"><enum>(3)</enum><header>Duties of the board</header><text display-inline="yes-display-inline">The Board shall—</text> <subparagraph id="id0F7A99C0A3284FC78FED9D769B2F9678"><enum>(A)</enum><text display-inline="yes-display-inline">advise the Director on new and emerging areas of research and industry that would benefit from investment from the Bank; and</text> </subparagraph><subparagraph id="id2FA3E088C5CF49EE879F15C216390BA3"><enum>(B)</enum><text display-inline="yes-display-inline">critically evaluate the success of the Bank’s investments in helping to commercialize scientific discoveries and create new companies and jobs.</text> </subparagraph></paragraph></subsection></section><section id="idE39810576AB74CDA8C499429ADC911C5"><enum>102.</enum><header>Functions of the Bank</header> <subsection id="id3E86D2C233F7401B83A0ED300445FE2B"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Bank is authorized and directed to promote the commercialization of science and engineering discoveries.</text> </subsection><subsection id="id13F72214B2D54F129E6C144506E9B108"><enum>(b)</enum><header>Provision of grants, loans, and other assistance</header><text display-inline="yes-display-inline">The Bank shall provide grants, loans, and other assistance to eligible entities and individuals to enable the entities and individuals to perform the necessary research and development to make research discoveries attractive for private investment that will lead to the development of new companies, products, and jobs.</text> </subsection></section><section id="idF999BFC2D6824C7B8B4413FDF182F707"><enum>103.</enum><header>Annual reports</header> <subsection id="idf6f648659f84485bbc1638fa3514bfe2"><enum>(a)</enum><header>In general</header><text>The Board, in consultation with the Director, shall submit an annual report to Congress on or before the 15th day of April of each year summarizing the activities of the Bank and making such recommendations as the Board, in consultation with the Director, determines appropriate.</text> </subsection><subsection id="id93da2665333f430ca5a3f16c172650b5"><enum>(b)</enum><header>Specific metrics</header><text>Each annual report submitted under subsection (a) shall include specific metrics that quantify the success of the Bank's investments, including information about—</text> <paragraph id="id88C2F80203CA4838848323E1F437EC6A"><enum>(1)</enum><text>patents for discoveries and products supported by the Bank;</text> </paragraph><paragraph id="id02717AFE22004434A11187F0DE0CECD3"><enum>(2)</enum><text>products commercialized with the help of Bank investments;</text> </paragraph><paragraph id="idED604A5FC329401F8B059B533BFDA6E2"><enum>(3)</enum><text>new companies started because of Bank investments; and</text> </paragraph><paragraph id="id36AA21BAFCFB4DBEBCEA6FC5B42E5207"><enum>(4)</enum><text>jobs that have resulted because of Bank investments.</text> </paragraph></subsection></section><section id="id824C21787C44450896BEDF3AEBE0B8E9"><enum>104.</enum><header>Grants to institutions of higher education and research institutes</header> <subsection id="id07E5572869B24DDB84E6D86193A28E66"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Bank, acting through the Director, shall award grants to eligible entities to carry out activities described in this section.</text> </subsection><subsection id="id3F492882D9E14619BB23E06C39589ED6"><enum>(b)</enum><header>Eligible entities</header><text>In this title, the term <term>eligible entity</term> means—</text> <paragraph id="id8C78B6FA87F847FE902725BEB48586F5"><enum>(1)</enum><text>an institution of higher education (as defined in section 101 of the Higher Education Act of 1965 (20 U.S.C. 1001)); or</text> </paragraph><paragraph id="idFD23FC133B9E4A86ABC6FAEEFFF6FD1F"><enum>(2)</enum><text>a nonprofit research institution that focuses on science research.</text> </paragraph></subsection><subsection id="idE1573643F4494506BD0D802925ACF104"><enum>(c)</enum><header>Advisory panel</header><text>Before awarding grants under this section, the Director shall convene an advisory panel of experts on technology transfer, including business leaders and scientific researchers, who shall make recommendations to the Director about those eligible entities, that apply for funding under this section, most likely to be able to use grant funds awarded under this title to foster the development of new companies, products, and jobs.</text> </subsection><subsection id="id630B5CAC32EE421A956E8FEC3ADF9408"><enum>(d)</enum><header>Awarding of grants</header><text>The Director shall award grants, on a competitive basis, to eligible entities to enable the eligible entities to develop new companies, products, or jobs and technologies in a specific research area, including the following:</text> <paragraph id="ida190b4039375452292f7d984e5aa90a0"><enum>(1)</enum><text>Life sciences and medicine.</text> </paragraph><paragraph id="id62109871c2bf4d02b9e1b8f22d622c3a"><enum>(2)</enum><text>Computer sciences, communications, and technology.</text> </paragraph><paragraph id="id2f450aaad7ab4a5188d2e3b85d796c6a"><enum>(3)</enum><text>Physical sciences and engineering.</text> </paragraph><paragraph id="id949207044de94646b6863b329141e0a0"><enum>(4)</enum><text>Other research areas determined important for economic development by the Director.</text> </paragraph></subsection><subsection id="id9FF1A9F50F25432CA62584364D262A72"><enum>(e)</enum><header>Priority</header><text>In awarding grants under this section, the Director shall give priority to entities that—</text> <paragraph id="ide7f13fb6e8094b8aa017cc0f89eed458"><enum>(1)</enum><text>receive a significant amount of Federal funding to conduct science research from the National Science Foundation, the Department of Energy, the National Institutes of Health, or other agencies that the Director determines appropriate;</text> </paragraph><paragraph id="idf5a76e8a48ba4447b883409d950b85d9"><enum>(2)</enum><text>do not have a significant proof of concept fund already established at the entity;</text> </paragraph><paragraph id="idce66f63b42d845fcbd9610967f894050"><enum>(3)</enum><text>have established relationships with business and industry that are likely to be able to use and commercialize science and engineering discoveries and may be in close proximity to such industry and businesses;</text> </paragraph><paragraph id="id2c521013c6ba4af3b8d20b0755acbbaf"><enum>(4)</enum><text>demonstrate an institutional environment that is supportive of business development, including—</text> <subparagraph id="idC2247FFCB3254A36AAE605D108A22F4B"><enum>(A)</enum><text>an institutional strategic plan for business development; and</text> </subparagraph><subparagraph id="id9914FBE66E0B44B19D42F2E0375AD27A"><enum>(B)</enum><text>a plan to leverage Federal investments with State, local, private, or other investments; and</text> </subparagraph></paragraph><paragraph id="id0ae4fc6aaebd403f9029af3e6e067a41"><enum>(5)</enum><text>demonstrate the appropriate administrative capacity to encourage the disclosure, patenting, and development of new companies, products, or jobs.</text> </paragraph></subsection><subsection id="id91FC6C967AE4440EBDAEA57692917EB8"><enum>(f)</enum><header>Use of funds</header> <paragraph id="id606FACCC3E82455D98E97CAFD8562007"><enum>(1)</enum><header>In general</header><text>An eligible entity that receives a grant under this section may use the grant funds for the following:</text> <subparagraph id="id85997a697f224bb6959fcf568d918054"><enum>(A)</enum><text>Supporting researchers that seek to develop science and engineering discoveries into new companies, products, or jobs, including additional research or data collection with the goal of making a particular discovery attractive to investment from private entities such as corporations and venture capital firms.</text> </subparagraph><subparagraph id="id6c257bd51de549e6ba4dfb60b016ae4e"><enum>(B)</enum><text>Awarding subgrants to individual investigators to carry out the activities described in subparagraph (A).</text> </subparagraph><subparagraph id="id46f01e0e9f12408dabbb44498a718822"><enum>(C)</enum><text>Constructing facilities and creating business incubators to carry out the activities described in subparagraph (A).</text> </subparagraph><subparagraph id="id3863cf9d61624eca8db0ac284e79d972"><enum>(D)</enum><text>Attracting additional private investment to grow and maintain the eligible entity’s proof of concept funding.</text> </subparagraph></paragraph><paragraph id="id78b295374bff4ab9929e93cb5f6332b8"><enum>(2)</enum><header>Subgrants</header> <subparagraph id="id06C9965B8ED04E18AA55BC1A183B6278"><enum>(A)</enum><header>In general</header><text>In awarding subgrants to individual investigators as described in paragraph (1)(B), an eligible entity shall consult with business leaders in relevant economic sectors to identify technologies that are most promising and likely to attract private investment with research and development funded by the proof of concept funding.</text> </subparagraph><subparagraph id="idE0CFC8E3964F42DFAB65A8937E8B046D"><enum>(B)</enum><header>Advisory committee</header> <clause id="idF72CCA3F729D43B4964E1E3F8460B306"><enum>(i)</enum><header>In general</header><text>An eligible entity shall convene an advisory committee of researchers and business leaders in the appropriate sector to review and recommend applications for subgrants under this subsection.</text> </clause><clause id="id6AE9E0289E0B4530A2D034EAC48342D7"><enum>(ii)</enum><header>Consideration of recommendations</header><text>An eligible entity shall take into consideration the recommendations of the advisory committee convened under clause (i) when making decisions about subgrants under this subsection.</text> </clause><clause id="id3742F001DE5745608E61AF3CC041AA42"><enum>(iii)</enum><header>Written justification</header><text>If an eligible entity's grant making decision is different from the recommendations of the advisory committee under this subparagraph, the entity shall submit written justification for the decision to the Director.</text> </clause></subparagraph></paragraph><paragraph id="idb897f07e05324ed891d747a1056d1a68"><enum>(3)</enum><header>Constructing facilities</header> <subparagraph id="id9a307fdcc10b430395a6d3d241b937f0"><enum>(A)</enum><header>In general</header><text>In using funds to construct facilities pursuant to paragraph (1)(C), an eligible entity shall consult with business leaders in relevant economic sectors to identify facilities that would most help the eligible entity meet the goals under paragraph (1)(A).</text> </subparagraph><subparagraph id="id2f374e502983459cba896b0896e03093"><enum>(B)</enum><header>Advisory committee</header> <clause id="idab321538f79843ba94045c9fe63d93e0"><enum>(i)</enum><header>In general</header><text>An eligible entity shall convene an advisory committee of researchers and business leaders in the appropriate sector to make recommendations about facilities construction.</text> </clause><clause id="id7510d108d1794ca199862db55b4e6a64"><enum>(ii)</enum><header>Consideration of recommendations</header><text>An eligible entity shall take into consideration the recommendations of the advisory committee convened under clause (i) when making decisions about facilities construction.</text> </clause><clause id="id7eb8944f840048eabc057b9464375334"><enum>(iii)</enum><header>Written justification</header><text>If an eligible entity’s decision is different from the recommendations of the advisory committee under this subparagraph, the entity shall submit written justification for the decision to the Director.</text> </clause></subparagraph></paragraph></subsection><subsection id="id30E08ED6091D48EA816ED8FC2B501CD3"><enum>(g)</enum><header>Reports</header> <paragraph id="id0009614B484940ABB54E86258B0FDA26"><enum>(1)</enum><header>In general</header><text>Each eligible entity that receives a grant under this section shall submit a report to the Director each year during the grant period and for 5 years after the grant period has ended.</text> </paragraph><paragraph id="idD1675B36A4764F61A530CC7DAF2609FB"><enum>(2)</enum><header>Content of reports</header><text>The reports submitted under paragraph (1) shall—</text> <subparagraph id="id5c98efc83cbf4a18a3c68999e983c5ae"><enum>(A)</enum><text>detail the subgrants and facilities construction decisions the entity has made since submitting its last report to the Director;</text> </subparagraph><subparagraph id="id71e8fab62b424afe9f5744323eafcd5b"><enum>(B)</enum><text>update the Director on the status and results of subgrants and facilities construction made from grant funding;</text> </subparagraph><subparagraph id="iddff71103a9a94fb2b82652e79670b7b4"><enum>(C)</enum><text>report on the companies, products, jobs, venture capital, and other investments and funding that have resulted from funding provided by the grant awarded under this section;</text> </subparagraph><subparagraph id="id1BE4AB147A87400E830609F42B8C4AA7"><enum>(D)</enum><text>report on the degree to which Federal investments have been leveraged, including appropriate measures of returns on Federal investments; and</text> </subparagraph><subparagraph id="ida90c28a783194ed6bd6e3736605dd893"><enum>(E)</enum><text>provide other information that the Director determines necessary to evaluate the efficacy of the grant.</text> </subparagraph></paragraph></subsection></section><section id="idD06EDADE5A264E47A8F008C7F0FF8F7E"><enum>105.</enum><header>Grants to individuals</header> <subsection id="idC19506AA915545DDB79EAEBAE32094B5"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Bank, acting through the Director, shall award grants to individual investigators at eligible entities, as defined in section 104(b), who seek to develop new science and engineering discoveries into new companies, products, or jobs.</text> </subsection><subsection id="id9f46c2603e3744bf8c842e88d47201b7"><enum>(b)</enum><header>Application</header><text>Each individual who desires a grant under this section shall submit an application jointly with the technology transfer office, or other similar office, at the individual's institution. Such application shall—</text> <paragraph id="id04F3FEA45F254AF7B77B805F22561F24"><enum>(1)</enum><text>demonstrate that the eligible institution will provide to the individual sufficient support in the aid of developing the specific discovery named in the application into a new company or product, or new jobs, with the aid of the grant under this section; and</text> </paragraph><paragraph id="id96D7C83B25854B26BE35B8117840DEEE"><enum>(2)</enum><text>be submitted at such time, in such manner, and containing such additional information as the Director may require.</text> </paragraph></subsection><subsection id="idAB29A60110D543EAAD396EA09CF2CC3C"><enum>(c)</enum><header>Priority</header><text display-inline="yes-display-inline">In awarding grants under this section, the Director shall give priority to individuals—</text> <paragraph id="id0E39E68382AB40AA8F24EE5ED3A10E89"><enum>(1)</enum><text display-inline="yes-display-inline">at institutions that lack a significant proof of concept fund;</text> </paragraph><paragraph id="idC3FA104A36F24FDD8AC29E0A57D7D9BC"><enum>(2)</enum><text display-inline="yes-display-inline">who receive or have recently received Federal research funding; and</text> </paragraph><paragraph id="idAA49AE4DBB8D4C13A4507F68A0696861"><enum>(3)</enum><text display-inline="yes-display-inline">who demonstrate a capacity to commercialize their research discovery.</text> </paragraph></subsection></section><section id="id2DCD31FA7D464950B2BCABB74C0D5057"><enum>106.</enum><header>Loans to private companies and individuals</header><text display-inline="no-display-inline">The Bank may make loans, at competitive interest rates, to private companies and individual investigators in order to promote the development of new science and engineering discoveries into new companies, products, or jobs.</text> </section><section id="idE2A60EB316A24366A7EF9FEC4D7398F0"><enum>107.</enum><header>Authority to rescind funding</header> <subsection id="id9EAF33D06A6646DD9A306EC437C4BB97"><enum>(a)</enum><header>Rescission</header><text display-inline="yes-display-inline">The Director shall rescind grants and loans awarded and loans made to individuals, eligible entities, or private companies under this title that do not use such grants or loans to make reasonable attempts to develop discoveries into new companies, products, or jobs.</text> </subsection><subsection id="id4901E601C0C647EA81B0D0D8BAA310B4"><enum>(b)</enum><header>Repayment</header><text display-inline="yes-display-inline">The Director shall require the repayment of grants and loans made under this section from individuals, eligible entities, and private companies that are significantly unsuccessful at creating new companies, products, or jobs.</text> </subsection></section>

Short title

This Act may be cited as the

America Innovates Act of 2012

<enum>I</enum><header>American Innovation Bank</header> <section id="idF3425659ABFB45F68168B6C1A3911A30"><enum>101.</enum><header>Establishment of the American Innovation Bank</header> <subsection id="id7A806D70A89C4F8AAEAF7D6A079968D3"><enum>(a)</enum><header>Establishment</header><text display-inline="yes-display-inline">There is established in the Executive Branch of the Government an independent agency to be known as the American Innovation Bank (referred to in this title as the <quote>Bank</quote>).</text> </subsection><subsection id="idA1241D103A4C40869FABEF9A4CFD7255"><enum>(b)</enum><header>Board and director</header> <paragraph id="idB28A56FCFC4F49BB913D78AB665DB538"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The Bank shall consist of an American Innovation Board (referred to in this title as the <quote>Board</quote>) and a Director of the American Innovation Bank (referred to in this title as the <quote>Director</quote>).</text> </paragraph><paragraph id="idD7E9AD14B6DD4816B01C9E7A4FBA498C"><enum>(2)</enum><header>Appointment</header><text display-inline="yes-display-inline">The Director and members of the Board shall be appointed by the President, by and with the advice and consent of the Senate.</text> </paragraph><paragraph id="id448925BA19D54EDABD76D9206DDAA65E"><enum>(3)</enum><header>Duties of the board</header><text display-inline="yes-display-inline">The Board shall—</text> <subparagraph id="id0F7A99C0A3284FC78FED9D769B2F9678"><enum>(A)</enum><text display-inline="yes-display-inline">advise the Director on new and emerging areas of research and industry that would benefit from investment from the Bank; and</text> </subparagraph><subparagraph id="id2FA3E088C5CF49EE879F15C216390BA3"><enum>(B)</enum><text display-inline="yes-display-inline">critically evaluate the success of the Bank’s investments in helping to commercialize scientific discoveries and create new companies and jobs.</text> </subparagraph></paragraph></subsection></section><section id="idE39810576AB74CDA8C499429ADC911C5"><enum>102.</enum><header>Functions of the Bank</header> <subsection id="id3E86D2C233F7401B83A0ED300445FE2B"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Bank is authorized and directed to promote the commercialization of science and engineering discoveries.</text> </subsection><subsection id="id13F72214B2D54F129E6C144506E9B108"><enum>(b)</enum><header>Provision of grants, loans, and other assistance</header><text display-inline="yes-display-inline">The Bank shall provide grants, loans, and other assistance to eligible entities and individuals to enable the entities and individuals to perform the necessary research and development to make research discoveries attractive for private investment that will lead to the development of new companies, products, and jobs.</text> </subsection></section><section id="idF999BFC2D6824C7B8B4413FDF182F707"><enum>103.</enum><header>Annual reports</header> <subsection id="idf6f648659f84485bbc1638fa3514bfe2"><enum>(a)</enum><header>In general</header><text>The Board, in consultation with the Director, shall submit an annual report to Congress on or before the 15th day of April of each year summarizing the activities of the Bank and making such recommendations as the Board, in consultation with the Director, determines appropriate.</text> </subsection><subsection id="id93da2665333f430ca5a3f16c172650b5"><enum>(b)</enum><header>Specific metrics</header><text>Each annual report submitted under subsection (a) shall include specific metrics that quantify the success of the Bank's investments, including information about—</text> <paragraph id="id88C2F80203CA4838848323E1F437EC6A"><enum>(1)</enum><text>patents for discoveries and products supported by the Bank;</text> </paragraph><paragraph id="id02717AFE22004434A11187F0DE0CECD3"><enum>(2)</enum><text>products commercialized with the help of Bank investments;</text> </paragraph><paragraph id="idED604A5FC329401F8B059B533BFDA6E2"><enum>(3)</enum><text>new companies started because of Bank investments; and</text> </paragraph><paragraph id="id36AA21BAFCFB4DBEBCEA6FC5B42E5207"><enum>(4)</enum><text>jobs that have resulted because of Bank investments.</text> </paragraph></subsection></section><section id="id824C21787C44450896BEDF3AEBE0B8E9"><enum>104.</enum><header>Grants to institutions of higher education and research institutes</header> <subsection id="id07E5572869B24DDB84E6D86193A28E66"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Bank, acting through the Director, shall award grants to eligible entities to carry out activities described in this section.</text> </subsection><subsection id="id3F492882D9E14619BB23E06C39589ED6"><enum>(b)</enum><header>Eligible entities</header><text>In this title, the term <term>eligible entity</term> means—</text> <paragraph id="id8C78B6FA87F847FE902725BEB48586F5"><enum>(1)</enum><text>an institution of higher education (as defined in section 101 of the Higher Education Act of 1965 (20 U.S.C. 1001)); or</text> </paragraph><paragraph id="idFD23FC133B9E4A86ABC6FAEEFFF6FD1F"><enum>(2)</enum><text>a nonprofit research institution that focuses on science research.</text> </paragraph></subsection><subsection id="idE1573643F4494506BD0D802925ACF104"><enum>(c)</enum><header>Advisory panel</header><text>Before awarding grants under this section, the Director shall convene an advisory panel of experts on technology transfer, including business leaders and scientific researchers, who shall make recommendations to the Director about those eligible entities, that apply for funding under this section, most likely to be able to use grant funds awarded under this title to foster the development of new companies, products, and jobs.</text> </subsection><subsection id="id630B5CAC32EE421A956E8FEC3ADF9408"><enum>(d)</enum><header>Awarding of grants</header><text>The Director shall award grants, on a competitive basis, to eligible entities to enable the eligible entities to develop new companies, products, or jobs and technologies in a specific research area, including the following:</text> <paragraph id="ida190b4039375452292f7d984e5aa90a0"><enum>(1)</enum><text>Life sciences and medicine.</text> </paragraph><paragraph id="id62109871c2bf4d02b9e1b8f22d622c3a"><enum>(2)</enum><text>Computer sciences, communications, and technology.</text> </paragraph><paragraph id="id2f450aaad7ab4a5188d2e3b85d796c6a"><enum>(3)</enum><text>Physical sciences and engineering.</text> </paragraph><paragraph id="id949207044de94646b6863b329141e0a0"><enum>(4)</enum><text>Other research areas determined important for economic development by the Director.</text> </paragraph></subsection><subsection id="id9FF1A9F50F25432CA62584364D262A72"><enum>(e)</enum><header>Priority</header><text>In awarding grants under this section, the Director shall give priority to entities that—</text> <paragraph id="ide7f13fb6e8094b8aa017cc0f89eed458"><enum>(1)</enum><text>receive a significant amount of Federal funding to conduct science research from the National Science Foundation, the Department of Energy, the National Institutes of Health, or other agencies that the Director determines appropriate;</text> </paragraph><paragraph id="idf5a76e8a48ba4447b883409d950b85d9"><enum>(2)</enum><text>do not have a significant proof of concept fund already established at the entity;</text> </paragraph><paragraph id="idce66f63b42d845fcbd9610967f894050"><enum>(3)</enum><text>have established relationships with business and industry that are likely to be able to use and commercialize science and engineering discoveries and may be in close proximity to such industry and businesses;</text> </paragraph><paragraph id="id2c521013c6ba4af3b8d20b0755acbbaf"><enum>(4)</enum><text>demonstrate an institutional environment that is supportive of business development, including—</text> <subparagraph id="idC2247FFCB3254A36AAE605D108A22F4B"><enum>(A)</enum><text>an institutional strategic plan for business development; and</text> </subparagraph><subparagraph id="id9914FBE66E0B44B19D42F2E0375AD27A"><enum>(B)</enum><text>a plan to leverage Federal investments with State, local, private, or other investments; and</text> </subparagraph></paragraph><paragraph id="id0ae4fc6aaebd403f9029af3e6e067a41"><enum>(5)</enum><text>demonstrate the appropriate administrative capacity to encourage the disclosure, patenting, and development of new companies, products, or jobs.</text> </paragraph></subsection><subsection id="id91FC6C967AE4440EBDAEA57692917EB8"><enum>(f)</enum><header>Use of funds</header> <paragraph id="id606FACCC3E82455D98E97CAFD8562007"><enum>(1)</enum><header>In general</header><text>An eligible entity that receives a grant under this section may use the grant funds for the following:</text> <subparagraph id="id85997a697f224bb6959fcf568d918054"><enum>(A)</enum><text>Supporting researchers that seek to develop science and engineering discoveries into new companies, products, or jobs, including additional research or data collection with the goal of making a particular discovery attractive to investment from private entities such as corporations and venture capital firms.</text> </subparagraph><subparagraph id="id6c257bd51de549e6ba4dfb60b016ae4e"><enum>(B)</enum><text>Awarding subgrants to individual investigators to carry out the activities described in subparagraph (A).</text> </subparagraph><subparagraph id="id46f01e0e9f12408dabbb44498a718822"><enum>(C)</enum><text>Constructing facilities and creating business incubators to carry out the activities described in subparagraph (A).</text> </subparagraph><subparagraph id="id3863cf9d61624eca8db0ac284e79d972"><enum>(D)</enum><text>Attracting additional private investment to grow and maintain the eligible entity’s proof of concept funding.</text> </subparagraph></paragraph><paragraph id="id78b295374bff4ab9929e93cb5f6332b8"><enum>(2)</enum><header>Subgrants</header> <subparagraph id="id06C9965B8ED04E18AA55BC1A183B6278"><enum>(A)</enum><header>In general</header><text>In awarding subgrants to individual investigators as described in paragraph (1)(B), an eligible entity shall consult with business leaders in relevant economic sectors to identify technologies that are most promising and likely to attract private investment with research and development funded by the proof of concept funding.</text> </subparagraph><subparagraph id="idE0CFC8E3964F42DFAB65A8937E8B046D"><enum>(B)</enum><header>Advisory committee</header> <clause id="idF72CCA3F729D43B4964E1E3F8460B306"><enum>(i)</enum><header>In general</header><text>An eligible entity shall convene an advisory committee of researchers and business leaders in the appropriate sector to review and recommend applications for subgrants under this subsection.</text> </clause><clause id="id6AE9E0289E0B4530A2D034EAC48342D7"><enum>(ii)</enum><header>Consideration of recommendations</header><text>An eligible entity shall take into consideration the recommendations of the advisory committee convened under clause (i) when making decisions about subgrants under this subsection.</text> </clause><clause id="id3742F001DE5745608E61AF3CC041AA42"><enum>(iii)</enum><header>Written justification</header><text>If an eligible entity's grant making decision is different from the recommendations of the advisory committee under this subparagraph, the entity shall submit written justification for the decision to the Director.</text> </clause></subparagraph></paragraph><paragraph id="idb897f07e05324ed891d747a1056d1a68"><enum>(3)</enum><header>Constructing facilities</header> <subparagraph id="id9a307fdcc10b430395a6d3d241b937f0"><enum>(A)</enum><header>In general</header><text>In using funds to construct facilities pursuant to paragraph (1)(C), an eligible entity shall consult with business leaders in relevant economic sectors to identify facilities that would most help the eligible entity meet the goals under paragraph (1)(A).</text> </subparagraph><subparagraph id="id2f374e502983459cba896b0896e03093"><enum>(B)</enum><header>Advisory committee</header> <clause id="idab321538f79843ba94045c9fe63d93e0"><enum>(i)</enum><header>In general</header><text>An eligible entity shall convene an advisory committee of researchers and business leaders in the appropriate sector to make recommendations about facilities construction.</text> </clause><clause id="id7510d108d1794ca199862db55b4e6a64"><enum>(ii)</enum><header>Consideration of recommendations</header><text>An eligible entity shall take into consideration the recommendations of the advisory committee convened under clause (i) when making decisions about facilities construction.</text> </clause><clause id="id7eb8944f840048eabc057b9464375334"><enum>(iii)</enum><header>Written justification</header><text>If an eligible entity’s decision is different from the recommendations of the advisory committee under this subparagraph, the entity shall submit written justification for the decision to the Director.</text> </clause></subparagraph></paragraph></subsection><subsection id="id30E08ED6091D48EA816ED8FC2B501CD3"><enum>(g)</enum><header>Reports</header> <paragraph id="id0009614B484940ABB54E86258B0FDA26"><enum>(1)</enum><header>In general</header><text>Each eligible entity that receives a grant under this section shall submit a report to the Director each year during the grant period and for 5 years after the grant period has ended.</text> </paragraph><paragraph id="idD1675B36A4764F61A530CC7DAF2609FB"><enum>(2)</enum><header>Content of reports</header><text>The reports submitted under paragraph (1) shall—</text> <subparagraph id="id5c98efc83cbf4a18a3c68999e983c5ae"><enum>(A)</enum><text>detail the subgrants and facilities construction decisions the entity has made since submitting its last report to the Director;</text> </subparagraph><subparagraph id="id71e8fab62b424afe9f5744323eafcd5b"><enum>(B)</enum><text>update the Director on the status and results of subgrants and facilities construction made from grant funding;</text> </subparagraph><subparagraph id="iddff71103a9a94fb2b82652e79670b7b4"><enum>(C)</enum><text>report on the companies, products, jobs, venture capital, and other investments and funding that have resulted from funding provided by the grant awarded under this section;</text> </subparagraph><subparagraph id="id1BE4AB147A87400E830609F42B8C4AA7"><enum>(D)</enum><text>report on the degree to which Federal investments have been leveraged, including appropriate measures of returns on Federal investments; and</text> </subparagraph><subparagraph id="ida90c28a783194ed6bd6e3736605dd893"><enum>(E)</enum><text>provide other information that the Director determines necessary to evaluate the efficacy of the grant.</text> </subparagraph></paragraph></subsection></section><section id="idD06EDADE5A264E47A8F008C7F0FF8F7E"><enum>105.</enum><header>Grants to individuals</header> <subsection id="idC19506AA915545DDB79EAEBAE32094B5"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Bank, acting through the Director, shall award grants to individual investigators at eligible entities, as defined in section 104(b), who seek to develop new science and engineering discoveries into new companies, products, or jobs.</text> </subsection><subsection id="id9f46c2603e3744bf8c842e88d47201b7"><enum>(b)</enum><header>Application</header><text>Each individual who desires a grant under this section shall submit an application jointly with the technology transfer office, or other similar office, at the individual's institution. Such application shall—</text> <paragraph id="id04F3FEA45F254AF7B77B805F22561F24"><enum>(1)</enum><text>demonstrate that the eligible institution will provide to the individual sufficient support in the aid of developing the specific discovery named in the application into a new company or product, or new jobs, with the aid of the grant under this section; and</text> </paragraph><paragraph id="id96D7C83B25854B26BE35B8117840DEEE"><enum>(2)</enum><text>be submitted at such time, in such manner, and containing such additional information as the Director may require.</text> </paragraph></subsection><subsection id="idAB29A60110D543EAAD396EA09CF2CC3C"><enum>(c)</enum><header>Priority</header><text display-inline="yes-display-inline">In awarding grants under this section, the Director shall give priority to individuals—</text> <paragraph id="id0E39E68382AB40AA8F24EE5ED3A10E89"><enum>(1)</enum><text display-inline="yes-display-inline">at institutions that lack a significant proof of concept fund;</text> </paragraph><paragraph id="idC3FA104A36F24FDD8AC29E0A57D7D9BC"><enum>(2)</enum><text display-inline="yes-display-inline">who receive or have recently received Federal research funding; and</text> </paragraph><paragraph id="idAA49AE4DBB8D4C13A4507F68A0696861"><enum>(3)</enum><text display-inline="yes-display-inline">who demonstrate a capacity to commercialize their research discovery.</text> </paragraph></subsection></section><section id="id2DCD31FA7D464950B2BCABB74C0D5057"><enum>106.</enum><header>Loans to private companies and individuals</header><text display-inline="no-display-inline">The Bank may make loans, at competitive interest rates, to private companies and individual investigators in order to promote the development of new science and engineering discoveries into new companies, products, or jobs.</text> </section><section id="idE2A60EB316A24366A7EF9FEC4D7398F0"><enum>107.</enum><header>Authority to rescind funding</header> <subsection id="id9EAF33D06A6646DD9A306EC437C4BB97"><enum>(a)</enum><header>Rescission</header><text display-inline="yes-display-inline">The Director shall rescind grants and loans awarded and loans made to individuals, eligible entities, or private companies under this title that do not use such grants or loans to make reasonable attempts to develop discoveries into new companies, products, or jobs.</text> </subsection><subsection id="id4901E601C0C647EA81B0D0D8BAA310B4"><enum>(b)</enum><header>Repayment</header><text display-inline="yes-display-inline">The Director shall require the repayment of grants and loans made under this section from individuals, eligible entities, and private companies that are significantly unsuccessful at creating new companies, products, or jobs.</text> </subsection></section><enum>II</enum><header>Improving Science and Technology Job Training</header> <section id="id28D492DBDA724F9884D42E943772DFF3"><enum>201.</enum><header>Improving Science and Technology Job Training</header><text display-inline="no-display-inline">Section 510 of the National Science Foundation Authorization Act of 2010 (42 U.S.C. 1869) is amended by adding at the end the following:</text> <quoted-block display-inline="no-display-inline" id="id09A076443FD14DB39B9C5CB413EE6864" style="OLC"> <subsection id="id520E2A963E994D718E1329B015EA803A"><enum>(e)</enum><header>Additional Industry-Focused IGERT Program Funding Authorized</header> <paragraph id="idABF28393D9A14A0CBCB8BF27E955E70A"><enum>(1)</enum><header>In General</header><text>The Director of the National Science Foundation shall award grants, on a competitive basis, to eligible institutions to enable such institutions to support students who perform some or all of their graduate research in an industry setting.</text> </paragraph><paragraph id="id7C39E6CD6CB24FEBA462F96A8C4B218D"><enum>(2)</enum><header>Eligible Institution</header><text>The term <term>eligible institution</term> means an institution of higher education that—</text> <subparagraph id="IDfb9559b388a34da1a0ce98108d15bdb7"><enum>(A)</enum><text>is receiving, as of the date of the application submitted under paragraph (3), funding under the Integrative Graduate Education and Research Traineeship (referred to as <quote>IGERT</quote>) program; and</text> </subparagraph><subparagraph id="IDb3e75c4e8a844eb9a3e69419d7794bd5"><enum>(B)</enum><text>enrolls students who are interested in performing some or all of their graduate research in an industry setting.</text> </subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDb92ebe6a9db3455cb8359d9ba2f2d14d"><enum>(3)</enum><header display-inline="yes-display-inline">Application</header><text display-inline="yes-display-inline">An eligible institution that desires to receive a grant under this subsection shall submit an application to the Director of the National Science Foundation at such time, in such manner, and accompanied by such information as the Director may require.</text> </paragraph><paragraph id="ID806bfb66aa114060a8ce44f98c449d57"><enum>(4)</enum><header>Peer review and priority</header><text>In awarding grants under this subsection, the Director of the National Science Foundation shall—</text> <subparagraph id="idD2A50253F6654B6BAF5533756EFF483F"><enum>(A)</enum><text>consider the recommendations from a peer-review process; and</text> </subparagraph><subparagraph id="idBB01B1ACF76749718FF3338F61228469"><enum>(B)</enum><text>give priority to eligible institutions that—</text> <clause id="IDaece2ef90a7a45398a0969f7483140f1"><enum>(i)</enum><text>have strong pre-existing relationships with companies that are located near the institution and with companies whose research, development, and products are related to the type of research training that the institution's IGERT supports; and</text> </clause><clause id="ID01224c7998ee4c76a392dc3fbecb019c"><enum>(ii)</enum><text>are likely to find career placements in industry for students described in paragraph (2)(B).</text> </clause></subparagraph></paragraph><paragraph id="idE1145602C4194D89982800956AC846B2"><enum>(5)</enum><header>Renewal</header><text>Grants awarded under this subsection may be renewed on a similar timeframe as other IGERT programs.</text> </paragraph><paragraph id="ID6b298a4aac07435f84c9550aa39a1474"><enum>(6)</enum><header>Use of funds</header><text>An eligible institution that receives funding under this subsection shall use such funding to award grants to, and otherwise support, students who pursue graduate research in an industry setting.</text> </paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </section><section id="id1B818CEA2C5E43D5BC03C982779335C4"><enum>202.</enum><header>Industry-related Requirements for certain Graduate research fellowships</header> <subsection id="id7F01882E93524E88A22E7F7B5CE8D154"><enum>(a)</enum><header>Training Requirement</header><text display-inline="yes-display-inline">An institution of higher education that enrolls students who receive funding under a National Science Foundation graduate research fellowship, a National Institutes of Health national research service award, or any Federal program that provides funding to train students at the graduate level for careers in scientific research and development in either an academic, nonprofit, or industry setting, shall provide students who are receiving such funding with training related to—</text> <paragraph id="idA1580C4336AD4662BDDAB42C66B8CB76"><enum>(1)</enum><text display-inline="yes-display-inline">intellectual property protection;</text> </paragraph><paragraph id="id02516F9E33964E07A7E3614A5AAD5BB0"><enum>(2)</enum><text display-inline="yes-display-inline">commercialization; and</text> </paragraph><paragraph id="id862CAC03BC8E4D0EA7F92D58262CE048"><enum>(3)</enum><text display-inline="yes-display-inline">the development of science discoveries.</text> </paragraph></subsection><subsection id="id3B42A3C3470C471FB90CE2E7E81E03EE"><enum>(b)</enum><header>Training Program Components</header><text>The training described in subsection (a) shall include the provision of information about:</text> <paragraph id="id6911F28EDB3843B083DD44C28AFD410C"><enum>(1)</enum><text>The importance of disclosing discoveries and filing for patents.</text> </paragraph><paragraph id="id2AF1A486E5004FB5B04EA5D707BC0F64"><enum>(2)</enum><text>Obtaining proof of concept or development funding.</text> </paragraph><paragraph id="idC314FAF581A94FF4A28F0E26B0DF0974"><enum>(3)</enum><text>The characteristics that make a scientific discovery attractive to private investment.</text> </paragraph><paragraph id="id04EE20785ADA4C2FBDCA5C2FD3AB1299"><enum>(4)</enum><text>Resources that may assist researchers in creating a new start-up company.</text> </paragraph></subsection><subsection id="id6B5CE751406A4CBBA3D248767D7C24F1"><enum>(c)</enum><header>Exception</header><text>An institution of higher education that enrolls fewer than 6 students who receive funding under a National Science Foundation graduate research fellowship, a National Institutes of Health national research service award, or any Federal program that provides funding to train students at the graduate level for careers in scientific research and development in either an academic, nonprofit, or industry setting shall be exempted from the requirements described in subsection (a).</text> </subsection><subsection id="id0E28A75C561549A6A4975999C0F70DB9"><enum>(d)</enum><header>Grants Authorized</header><text>The Director of the National Science Foundation shall award grants to institutions of higher education, as defined in section 101(a) of the Higher Education Act of 1965 (20 U.S.C. 1001(a)), that are subject to the requirements described in subsection (a) to enable such institutions to develop the curricula necessary to fulfill such requirements.</text> </subsection></section><enum>III</enum><header>Grants for Curriculum Development</header> <section id="idA983A6E1516E407BACBF53F8E40C6A42"><enum>301.</enum><header>Grants for curriculum development of professional science masters programs at the National Science Foundation</header><text display-inline="no-display-inline">The National Science Foundation Authorization Act of 2010 (42 U.S.C. 1861 note et seq.) is amended by adding at the end the following:</text> <quoted-block display-inline="no-display-inline" id="id1F739502AA9A4FEB8D9F3DE1103C13AB" style="OLC"> <section id="idA0824077FE62459AADAB7F4733572EC2"><enum>528.</enum><header>Grants for curriculum development of professional science masters programs at the National Science Foundation</header> <subsection id="id0878D573B04D4102AB1D5C9747A7EC87"><enum>(a)</enum><header>Grants Authorized</header><text>The Director of the National Science Foundation shall award grants to institutions of higher education to enable such institutions to develop professional science masters programs.</text> </subsection><subsection id="id3F36A72503E94540899B5587CC599D95"><enum>(b)</enum><header>Professional science masters program</header><text>Each professional science masters program developed with funds awarded under subsection (a) shall—</text> <paragraph commented="no" id="id7CD25ECBC547474990F75EA76515628E"><enum>(1)</enum><text>be a masters degree program;</text> </paragraph><paragraph id="idDB4A9AFE768148B5BA91B4AA168E4903"><enum>(2)</enum><text>prepare students for a career in business, industry, or at a nonprofit organization;</text> </paragraph><paragraph id="id562B5A3E50C54A468DCE8826AB5C8E1B"><enum>(3)</enum><text>provide students with research experiences, internship experiences, and the skills needed to succeed in business, industry, and nonprofit organizations;</text> </paragraph><paragraph id="idD7607E5AE46E41F59BCE068F5A33CD44"><enum>(4)</enum><text>prepare students to be part of a workforce in the United States that—</text> <subparagraph id="id828B02758C5B4BE1A5CAE1DF8AAC4EE9"><enum>(A)</enum><text>is well-trained in science, technology, engineering, and mathematics; and</text> </subparagraph><subparagraph id="id4CDB47854981468B83F70620BE5F2953"><enum>(B)</enum><text>responds to the changing needs of society and employers;</text> </subparagraph></paragraph><paragraph id="idA764F20337634E0CA00304DEEB397020"><enum>(5)</enum><text>prepare students in the areas of science, technology, engineering, and mathematics where there is a high or emerging need for knowledgeable and skilled employees;</text> </paragraph><paragraph id="idF46D716E21F94F3195BD5C25D340CA80"><enum>(6)</enum><text>involve a diverse group of faculty members that—</text> <subparagraph id="id03CF2996139E42D09F804ADA784BDF11"><enum>(A)</enum><text>have appropriate research and teaching expertise in the fields of science, technology, engineering, and mathematics; and</text> </subparagraph><subparagraph id="id5C5831260C5A42E883397E431BAD1CAB"><enum>(B)</enum><text>includes instructors who have expertise specifically relevant to preparing students for careers in business, industry, and nonprofit organizations;</text> </subparagraph></paragraph><paragraph id="idA3DE2BCBD88548D7BFC9533A25324530"><enum>(7)</enum><text>provide students with practical skills training that meets the needs of employers; and</text> </paragraph><paragraph id="idF1C92233B1B24C5BB354894E2508BE80"><enum>(8)</enum><text>create partnerships between academic institutions and potential employers to determine jointly high-need areas of science, technology, engineering, and mathematics, as well as the kinds of training needed for careers in such areas.</text> </paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id7E6A07317B3E4D189989522BF95E166A"><enum>(c)</enum><header>Priority</header><text>In awarding grants under this section, the Director of the National Science Foundation shall award grants through a competitive, peer-reviewed process and give priority to institutions of higher education that demonstrate a commitment to implementing and sustaining the teaching of the curriculum developed through the grant program.</text> </subsection></section><after-quoted-block>.</after-quoted-block></quoted-block> </section>