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purpose of protecting the United States interest therein and promoting the effective utilization of any such invention;

(3) develop and manage a Government-wide program designed to stimulate the transfer of Government-owned technology to the private sector through the development, demonstration, and dissemination of information regarding potential applications and evaluate and assist where appropriate the participation of the private sector in the technology transfer process;

(4) evaluate, with the assistance of the originating agency, Government-owned inventions in order to identify those inventions with the greatest commercial potential and to promote the development of inventions so identified;

(5) assist the Federal agencies in seeking protection and maintaining inventions in foreign countries, including the payment of fees and costs connected therewith;

(6) make market surveys and other investigations for determining the potential of inventions for domestic and foreign licensing and other utilization;

(7) acquire technical information and engage in negotiations and other activities for promoting the li

censing and other utilization of Government-owned in

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ventions and to demonstrate the practicability of the inventions for the purpose of enhancing their marketability;

(8) consult and advise Federal agencies as to areas of science and technology research and development with potential for commercial utilization; and

(9) receive funds from fees, royalties, sales, or other management of Government-owned inventions authorized under this Act: Provided, however, That such funds will be used only for the purpose of this Act.

(d) The Secretary shall submit an annual report of its 13 activities to Congress, including therein (1) relevant statisti14 cal data regarding the disposition of invention disclosures re15 sulting from federally funded research and development; (2) 16 any recommendation as to legislative or administrative 17 changes necessary to better achieve the policy and purposes 18 of this Act; and (3) an analysis of the impact of Federal poli19 cies on the purposes of this Act.

20 (e) The Secretary shall establish such interagency com

21 mittees as are necessary to assist in the review and formula22 tion of rules, regulations, and procedures implementing the 23 provisions of this Act.

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(f) There are authorized to be appropriated to the Secre

2 tary of Commerce to carry out the provisions of this title, the

3 sum of $3,000,000 for fiscal year 1980.

4 SEC. 202. AGENCY TECHNOLOGY UTILIZATION PROGRAM.

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To assist in the transfer of Government-owned innova6 tive technology resulting from Federal research and develop7 ment for application and use in industry, agriculture, medi8 cine, transportation, and other critical sectors of the econ9 omy, each Federal agency supporting research and develop10 ment activities shall develop and implement a technology uti11 lization program. Specific program objectives shall include, 12 but not be limited to

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(1) expedite and facilitate the application and use of technology by shortening the time between generation of advanced technologies and their use in the

economy and provide greater incentives for use of socially beneficial innovations;

(2) encourage multiple secondary uses of technology in industry, education, and government where there is a wide spectrum of technological problems and needs; and

(3) understand more fully the technology transfer process and its impact on the economy, and to manage

and optimize the process in a systematic way.

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1 SEC. 203. EXPIRATION.

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The authorities conferred upon the Secretary under this

3 title shall expire and terminate 7 years following the effective

4 date of this Act unless renewed by action of Congress.

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TITLE III-ALLOCATION OF RIGHTS

GOVERNMENT CONTRACTORS

7 SEC. 301. RIGHTS OF THE GOVERNMENT.

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(a) Each Federal agency shall acquire on behalf of the

9 United States, at the time of entering into a contract, title to

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invention made under the contract of a Federal agency if

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(1) the services of the contractor are for the operation of a Government-owned research or production facility;

(2) acquisition of title is necessary because of the classified nature of the work being performed under the contract;

(3) because of the exceptional circumstances, acquisition of title by the Government is necessary to assure the adequate protection of the public health, safety, or welfare;

(4) in the case of a nonprofit organization, that such institution does not have a qualified technology transfer program as defined in section 103 of this Act;

or

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(5) the principal purpose of the contract is to de

velop or improve products, processes, or methods

which will be required for use by Government regulations:

5 Provided, however, That the Federal agency may subse6 quently waive all or any part of the rights of the United 7 States under this section to such invention in conformity with 8 the provisions of section 303.

9 (b) The rights of the Government under subsection (a) 10 shall not be exercised by the Federal agency unless it deter11 mines that one of the enumerated criteria exist and it files a 12 determination statement with the Secretary.

13 SEC. 302. RIGHTS OF THE CONTRACTOR.

14 (a) In all other situations not specified in section 301, 15 the contractor or inventor shall have the option of retaining 16 title to any invention made under the contract. Such rights 17 shall be subject to the limitations set forth in section 304 and 18 the provisions of section 305. Said option shall be exercised 19 by notifying the Government at the time of disclosure of the 20 invention or within such time thereafter as may be provided 21 in the contract. The Government shall obtain title to any 22 invention for which this option is not exercised.

23 (b) When the Government obtains title to an invention 24 under section 301, the contractor shall retain a nonexclusive, 25 royalty-free license which shall be revocable only to the

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