Proposed Organizational Structure, Fees, and Growth Plan

NSF’s Role in the Center An I/UCRC operates as a “franchise” business Holds university overhead to 10% $55k / year per university SBIR Opportunities for small companies to join I/UCRC Governance policies and legal agreements Intellectual property Annual reporting – Director’s Report Hires external evaluator each year – Evaluator’s Report Helps transition I/UCRC to other funding vehicle MTU UM

Our strategy – get over the bar 6 Members (3 per University) $300,000 Member funding NSF Minimum Requirements $55k / year for each university + $10k / year to lead university $15k / year to hire evaluator 5 year award NSF Award EP core faculty Chem propulsion collaborators Expand in follow-on years Our Plan “Shoot low boys – they’re ridin’ Shetland ponies.” -- Lewis Grizzard

Growth strategy Universities can join Center if they bring 3 Members Universities who “join” center get NSF funding Faculty from U’s who have not “joined” can get Center funds Unlimited number of Collaborating Faculty can participate Collaborating U’s must adhere to Center IP policies, etc.

EP Core with Chemical Collaborators

Work with Purdue and CSULB to add Chemical Members

Expand Scope? Other Universities

Proposed Structure Associate Member – ½ vote on IAB: $20,000 / year Member – 1 vote on IAB: $40,000 / year Executive Member – 2 votes on IAB: $70,000 / year Funding and Dues Meeting Annual meeting at JPC, IEPC, or JANNAF One annual on-campus meeting Need 8 Members to form $455k / year minimum pool

Assumes 12 Members $40k / Member $7.5k / grad student / year supplies budget Sustainable funding: 7 graduate students w / 6 faculty More collaboration can focus this by reducing faculty time Center Cash Flow Projection: First Four Years Fall 09Winter 10Summer 10Fall 10Winter 11Summer 11Fall 11Winter 12Summer 12Fall 12Winter 13Summer 13 CASH REVENUES NSF Funding Member Contributions CASH DISBURSEMENTS Director Salary Offset Center Admin Assistant Faculty Summer Salary Graduate Student Support Supplies Promotion and Marketing University F&A RECONCILIATION OF CASH Total Revenues Total Disbursements Period Opening Cash Balance Period Revenues minus Disbursements PERIOD CLOSE CASH BALANCE Assumes offset of 30% x $120k annual salary plus 30% fringe benefits is required to release Director from University teaching 2 $30k annual salary plus 30% fringe benefits 3 Assumes six faculty each drawing one month of summer salary at a rate of $120k/year plus 30% fringe benefits 4 Assumes average full-time graduate student cost of $16k/semester 5 $2,500 supplies per-semester for each graduate student

Comparison of funding without IUCRC Conventional University ResearchI/UCRC Model FUNDING Industry Contributions$320,000 NSF Contributions$0$110,000 TOTAL FUNDING$320,000$430,000 EXPENDITURES Graduate students, faculty, and supplies$175,129$360,909 Administrative$30,000 Overhead$114,872$39,091 TOTAL EXPENDITURES$320,001$430,000

Excerpt from Sample Membership Form COMPANY agrees to contribute $40,000 annually in support of the CENTER and thereby becomes a sponsor. Payment of these membership fees shall be made to Michigan Tech University as a lump sum effective __________________; or in four equal quarterly installments on __________, _________, _________ and __________ of each year of sponsorship. Checks from COMPANY should be mailed to _________________________________________________ and made payable to ________________________. Because research of the type to be done by the CENTER takes time and research results may not be obvious immediately, COMPANY should join CENTER with the intention of remaining a fee paying member for at least two years. However, COMPANY may terminate this Agreement by giving UNIVERSITY 90 days written notice prior to the termination date.

Feedback from Hartford – areas of interest Plasma/surface interactions (erosion, secondary e- yield, charging) Diagnostics – non-intrusive Studies of PPU inefficiencies Investigation of high thrust-to-power limitations High efficiency power processing for space applications Thruster integration effects – thermal management, recovery “Out of the box” propulsion physics – new theories, concepts, and chemistry Pursuit of “one size fits all” thruster – variable Isp, thrust Anything that reduces the cost of EP systems Electron mobility in Hall thrusters – especially at high T/P Heat deposition – thermal management in Hall thrusters Study of cathode contamination effects and cleanliness thresholds – what are the “real” handling requirements? Model-based qualification programs – reducing ground-test costs

Feedback from Hartford – areas of interest Micropropulsion research – important as budgets shrink and for ORS Space trajectory optimization for minimum fuel consumption Passive thermal control strategies Liquid propellant management