1. Office of the Secretary of Technology CTRF Review for Senate Finance Committee, Education Subcommittee June 7, 2007 Peter Jobse Center for Innovative Technology

2. Office of the Secretary of Technology Page 2 Agenda CTRF Purpose, Background Current Funding and Opportunities CTRF Governance and Operations Value to the Commonwealth

3. Office of the Secretary of Technology Page 3 Purpose and Background Origin Created in 2000 session of General Assembly Focus: Attract public and private research funds Resulting in increased tech / economic development in Virginia Monies provided FY2002: $9.2M FY2003: $7.8M FY2004: $7.7M History $24.6M invested 12 awards $167M in awards leveraged INCOGEN VBI / Bioinformatics VMASC Battle Lab Cancer Diagnostic Tools & Therapies UVa Lab Renovation

4. Office of the Secretary of Technology Page 4 Current Funding and Opportunities 2007/2008 Funding $3M GF ($2M/$1M) One-to-one match required FY2007: primarily technology commercialization FY2008: enhance research opportunities at public institutions of higher education Opportunities Top down Southside – materials research with VA Tech; $12M potential Central VA – semiconductor-related research at UVa; $5M potential Southwest – materials research with VA Tech; $6M potential Bottom up Tissue engineering to accelerate disc repair in humans Aerospace engineering for high- speed jet engines Bio-nanoscience for lung cancer diagnostics

5. Office of the Secretary of Technology Page 5 Governance and Operations CTRF Process Issue guidelines Establish Grant Allocation Committee Develop and issue additional evaluation criteria Review proposals Announce award decisions Evaluate “top down” opportunities as arise Invite Round #2 subject to availability of funding GAC Membership Sec. Aneesh Chopra – Chair Mark Frantz, RedShift Ventures Krishna Kodukula, SRI Dan LaVista, SCHEV Terry Leslie, Micron Bob Lindberg, NIA Joe May, EIT Gary McLaren, VEDP Cheryl Moore, HHMI

6. Office of the Secretary of Technology Page 6 R&D a Key Lever to Drive Virginia’s Innovation Economy Public-Private-Academic Partnerships Reversing a Declining Market Public, Private, Academic Partnership A Global R&D Leader Builds in Rural Virginia: The inventors of the computer mouse, robotic surgery, HDTV, and more plan to hire 100 researchers in the Valley Center for Advanced Drug Research: The initial focus in partnership with JMU will be life sciences, bio-threats, and new treatments Initial Funding Through CTRF: This deal was made possible by the flexibility afforded by the Commonwealth Technology Research Fund A New Standard Corning Danville employment declines following leading product termination Innovating research partnership encourages $12M investment, adds 50 jobs VT-IALR-Norfolk State propose to assist in emerging products for Danville Corning invests $400M annually on R&D, relatively little in Virginia