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Technology Transfer: Barriers Limit Royalty Sharing's Effectiveness

RCED-93-6 Published: Dec 07, 1992. Publicly Released: Dec 07, 1992.
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Highlights

Pursuant to a legislative requirement, GAO reviewed the effectiveness of royalty-sharing programs established under the Technology Transfer Act, focusing on: (1) federal scientists' interest in reporting inventions before and after the act's passage; and (2) the extent to which agencies' program implementation supports royalty-sharing incentives.

Recommendations

Matter for Congressional Consideration

Matter Status Comments
To ensure that the agencies share invention income with the laboratories as Congress intended, Congress may wish to consider more specifically defining the permissible uses of "expenses incidental to the administration and licensing of inventions."
Closed – Not Implemented
The recommendation for a threshold-style formula for royalty-sharing and the matter for congressional consideration to limit royalties used for administrative expenses for technology transfer were introduced by Senator Rockefeller in S. 1537 in October 1993. GAO appeared before the Senate Subcommittee on Science, Technology, and Space in October 1993 and submitted testimony (T-RCED-94-42) in support of the bill. Representative Morella introduced a companion bill, H.R. 3590, shortly thereafter. which was revised in September 1994 and now uses the actual recommendations from this report. The House Subcommittee on Technology, Environment, and Aviation held a hearing on the revised bill in September 1994. Witnesses from the Departments of Commerce and Energy, the National Technology Transfer Center, Institute of Electrical and Electronics Engineers, the Federal Laboratory Consortium, Martin Marietta Energy Systems, and Lawrence Livermore National Laboratory endorsed the revised bill.

Recommendations for Executive Action

Agency Affected Recommendation Status
Forest Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Not Implemented
Agency officials' comments indicate that unless the prior legislaiton was passed and this change was mandated, they would not undertake changes to adopt GAO's recommendation.
Agricultural Research Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Implemented
Agency officials' comments indicate that unless the prior legislation was passed and this change was mandated, they would not undertake changes to adopt GAO's recommendation.
National Oceanic and Atmospheric Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Implemented
Agency officials' comments indicate that unless the prior legislation was passed and this change was mandated, they would not undertake changes to adopt GAO's recommendation.
National Institute of Standards and Technology The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Implemented
Agency officials' comments indicate that unless the prior legislation was passed and this change was mandated, they would not undertake changes to adopt GAO's recommendation.
Department of the Air Force The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Not Implemented
The agency is already in compliance.
Department of the Navy The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Not Implemented
This agency is already in compliance.
Department of the Army The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Not Implemented
The agency is already in compliance.
Department of Energy The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Implemented
DOE's audit liaison, Sterling Ross (586-1909) provided a faxed response dated September 1, 1994. Based on that response, the action taken is not fully responsive.
National Institutes of Health The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Implemented
In September 1993, NIH established a Royalties and Awards Committee that would develop recommendations for review and approval by the ICDs' TDCs and science directors in 1994. The recommendations on royalty sharing would then be forwarded to TTPB and subsequently to the Office of Science Policy and Technology Transfer for approval and adoption.
Centers for Disease Control and Prevention The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Implemented
In September 1993, NIH established a Royalties and Awards Committee that would develop recommendations for review and approval by the ICDs' TDCs and science directors in 1994. The recommendations on royalty sharing would then be forwarded to the Technology Transfer Policy Board (TTPB) and subsequently to the Office of Science Policy and Technology Transfer for approval and adoption.
Food and Drug Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Implemented
In September 1993, NIH established a Royalties and Awards Committee that would develop recommendations for review and approval by ICDs' TDCs and science directors in 1994. The recommendations on royalty sharing would then be forwarded to TTPB and subsequently to the Office of Science Policy and Technology Transfer for approval and adoption.
Alcohol, Drug Abuse, and Mental Health Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Implemented
In September 1993, NIH established a Royalties and Awards Committee that would develop recommendations for review and approval by the Institutes, Centers, and Divisions' (ICDs) technical development coordinators (TDCs) and science directors in 1994. The recommendations on royalty sharing would then be forwarded to the Technology Transfer Policy Board (TTPB) and subsequently to the Office of Science Policy and Technology Transfer for approval and adoption.
United States Fish and Wildlife Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Not Implemented
The Department plans to establish a full working group to make recommendations to agency officials. However, it had not done so as of October 1994.
U.S. Geological Survey The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Not Implemented
The Department is establishing a full working group to make recommendations to agency officials.
Bureau of Mines The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Not Implemented
The Department plans to establish a full working group to make recommendations to agency officials. However, it had not done so as of October 1994.
United States Coast Guard The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Not Implemented
The Department agrees that royalty-sharing formulas may be set to more adequately reward inventors for their work rather than the minimum percentages provided in FTTA. As a result, the Department has established its royalty-sharing formula to provide 25 percent of the first $50,000, 20 percent of the next $50,000, and 15 percent of any amount over $100,000. However, as a result of the GAO report, the Department plans to review the formula applied to small annual royalties in order to encourage researchers to make patentable inventions.
Federal Aviation Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Implemented
The Department agrees that royalty-sharing formulas should more adequately reward inventors for their work rather than the minimum percentages provided in FTTA. As a result, the Department has established its royalty-sharing formula to provide 25 percent of the first $50,000, 20 percent of the next $50,000, and 15 percent of any amount over $100,000. In addition, as a result of the report, the Department plans to review the formula applied to small annual royalties in order to encourage researchers to disclose patentable inventions.
Federal Highway Traffic Safety Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Not Implemented
The Department agrees that royalty-sharing formulas may be set to more adequately reward inventors for their work rather than the minimum percentages provided in FTTA. As a result, the Department has established its royalty-sharing formula to provide 25 percent of the first $50,000, 20 percent of the next $50,000, and 15 percent of any amount over $100,000. However, as a result of GAO's report, the Department plans to review the formula applied to small annual royalties to encourage researchers to make patentable inventions.
Environmental Protection Agency The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Implemented
This recommendation was intended to prevent inventors from getting small sums of money for their lifelong efforts. The Environmental Protection Agency's (EPA) formula does not meet that objective. A September 8, 1994 response from EPA indicates that the action taken is not fully responsive.
National Aeronautics and Space Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Not Implemented
This agency is already in compliance.
Tennessee Valley Authority The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should adopt royalty-sharing formulas that establish an annual threshold of 100 percent of a set amount of invention income (for example, the $1,000 or $2,000 threshold now in use by some agencies) that would more adequately reward inventors for their work.
Closed – Not Implemented
In letters dated February 3, 1993, to the Chairman of the House Committee on Government Operations and the Chairman of the Senate Committee on Governmental Affairs, TVA noted that implementation of a $1,000-threshold formula was being considered.
Forest Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
Agriculture uses an automated payment system and although highly accurate and quick the explanation does not describe any separate and independent verification to ensure checks were received.
Agricultural Research Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
Agriculture uses an automated payment system and although highly accurate and quick, the explanation does not describe any separate and independent verification to ensure checks were received.
National Oceanic and Atmospheric Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
Procedures for receiving and accounting for royalty income and for disbursing payments to inventors were implemented February 17, 1994. The Commerce Technology Administration considers this recommendation closed.
National Institute of Standards and Technology The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
Procedures for receiving and accounting for royalty income and for disbursing payments to inventors were implemented February 17, 1994. The Commerce Technology Administration considers this recommendation closed.
Department of the Air Force The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
As a direct result of the recommendation, the Air Force established a royalty payment procedure that provides a cross-check for receipt of payment.
Department of the Navy The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
As a direct result of the recommendation, the Air Force established a royalty payment procedure that provides a cross-check for receipt of payment.
Department of the Army The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
As a result of the recommendation, Army began appropriate financial control procedures.
Department of Energy The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
The Department of Energy agrees with the GAO recommendation to establish procedures for ensuring that inventors receive an appropriate share of revenue received. The Department is very serious about rewarding inventors for licensed patents (and other commercially valuable intellectual property) and desires to demonstrate the financial rewards to inventors whose patents are commercialized. In addition to royalty payment guidelines, the Department supports additional (non-monetary) recognition for these accomplishments, such as a plaque of the title page of the patent, a ceremony, or a similar recognition.
National Institutes of Health The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
Such procedures for payment were established during FY 1993. NIH DFM is responsible for these procedures, which include: (1) maintenance of a database with current addresses and inventors; (2) verification of new inventions with the OTT ITS database for inventors' names, patent application numbers, and personal information required for check disbursement; and (3) preparation and distribution of a preliminary report of royalty income and inventor awards to participating Institute budget directors and TDCs twice each fiscal year. In September 1993, OTT sent royalty reports to DFM for confirmation and verification. OTT planned to: (1) establish new procedures to obtain information on inventions at the time the license is negotiated and enter this information in the ITS database; and (2) review all procedures to determine if further evaluation and refinement is necessary as a part of the overall corrective action plans.
Centers for Disease Control and Prevention The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
Procedures for payment were established during FY 1993. DFM is responsible for these procedures, which include: (1) maintenance of a database with current addresses and inventors; (2) verification of new inventions with the OTT ITS database for inventors' names, patent application numbers, and personal information required for check disbursement; and (3) preparation and distribution of a preliminary report of royalty income and inventor awards to budget directors and TDCs twice each fiscal year. In September 1993 OTT sent royalty reports to DFM for confirmation and verification. OTT planned to: (1) establish new procedures to obtain information on inventions at the time a license is negotiated and enter this information in the ITS database; and (2) review all procedures to determine if further evaluation and refinement is necessary as part of an overall corrective action plan.
Food and Drug Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
Such procedures for payment were established during FY 1993. NIH DFM is responsible for these procedures, which include: (1) maintenance of a database with current addresses and inventors; (2) verification of new inventions with the OTT ITS database for inventors' names, patent application numbers, and personal information required for check disbursement; and (3) preparation and distribution of a preliminary report of royalty income and inventor awards to participating Institute budget directors and TDCs twice each fiscal year. In September 1993, OTT sent royalty reports to DFM for confirmation and verification. OTT planned to: (1) establish new procedures to obtain information on inventions at the time the license is negotiated and enter this information in the ITS database; and (2) review all procedures to determine if further evaluation and refinement is necessary as part of the overall corrective action plans.
Alcohol, Drug Abuse, and Mental Health Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
Such procedures for payment were established during FY 1993. The NIH Division of Financial Management (DFM) is responsible for these procedures, which include: (1) maintenance of a database with current addresses and inventors; (2) verification of new inventions with the Office of Technology Transfer's (OTT) Invention Tracking System (ITS) database for inventors' names, patent application numbers, and personal information required for check disbursement; and (3) preparation and distribution of a preliminary report of royalty income and inventor awards to budget directors and TDCs twice each fiscal year. In September 1993, OTT sent royalty reports to DFM for confirmation and verification. OTT planned to: (1) establish new procedures to obtain information on inventions at the time the license is negotiated and enter this information in the ITS database; and (2) review all procedures to determine if further evaluation and refinement is necessary.
United States Fish and Wildlife Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Not Implemented
The Department plans to establish a full working group to make recommendations to agency officials. However, it had not done so as of October 1994.
U.S. Geological Survey The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
While the Department planned to establish a working group to make recommendations to agency officials, it had not done so as of August 1995.
Bureau of Mines The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Implemented
While the Department planned to establish a working group to make recommendations to agency officials, it had not done so as of August 1995.
United States Coast Guard The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with operating administrations about the potential for modifying the royalty-sharing formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Federal Aviation Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with the operating administrations about the potential for modifying the (royalty-sharing) formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Federal Highway Traffic Safety Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with the operating administrations about the potential for modifying the royalty-sharing formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Environmental Protection Agency The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Not Implemented
EPA agrees with this recommendation and has formed a working group to develop such financial control procedures. The working group is in the Office of Administration and Resources Management, Grants Administration Division. The financial control procedures are scheduled to be completed by the end of FY 1995.
National Aeronautics and Space Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Not Implemented
This agency is already in compliance.
Tennessee Valley Authority The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should establish procedures that routinely check records of payments to inventors against patent, license, and income records.
Closed – Not Implemented
This agency is already in compliance.
Forest Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
Agency officials' comments indicate that they will not undertake changes to adopt GAO's recommendation.
Agricultural Research Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
Agency officials' comments indicate that they will not undertake changes to adopt GAO's recommendation.
National Oceanic and Atmospheric Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
Commerce laboratories agree with the recommendation, but because of limited budget funds for technology transfer activities, most of their share has been used to pay expenses related to patenting and licensing. The Commerce Technology Administration (TA) considers this recommendation completed. As stated previously, if funds become available in the future, TA may review this issue and consider other methods of increasing public recognition of inventors.
National Institute of Standards and Technology The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
Commerce laboratories agree with the recommendation, but because of limited budget funds for technology transfer activities, most of their share has been used to pay expenses related to patenting and licensing. The Commerce Technology Administration (TA) considers this recommendation completed. As stated previously, if funds become available in the future, TA may review this issue and consider other methods of increasing public recognition of inventors.
Department of the Air Force The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
The agency is in compliance per ARTS report dated August 9, 1994. Reference Case Number 9145.
Department of the Navy The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
The agency is in compliance per ARTS report dated August 9, 1994. Reference Case number 9145.
Department of the Army The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
The agency is in compliance per ARTS report dated August 9, 1994. Reference Case number 9145.
Department of Energy The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
The Department of Energy generally agrees with the recommendation. However, since the income received by DOE on such activities has been fairly small to date, it is unrealistic to expect the laboratories to provide at this time, and for the immediate future, both an acceptable royalty sharing payment to inventors and sufficient funds to cover significant additional incentives. It is desirable, as income streams to the laboratories increase, to ensure that funds are distributed in such a fashion as to stimulate the desired activity. The invention income that has been received thus far on DOE's two cases has largely been used to enable more researchers to attend meetings and seminars related to technology transfer. This method is visible and fair as it encourages others who are active in the technology transfer process, including inventors. Other intended uses of royalty funds include supporting the programs from which the patent was generated and other general technology transfer needs.
National Institutes of Health The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
Although NIH concurred with the GAO recommendation, it stated that there was limited flexibility in the allowed uses of royalty income by the laboratory which were set forth in FTTA. The allowed uses did not include expenditures for supplies, services, equipment, and other general costs of research, areas that are highly visible to federal scientists. Draft guidelines submitted to OTT will include provisions for tangible benefits (equipment, space, travel funds, personnel) to the scientists and laboratories.
Centers for Disease Control and Prevention The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
Although NIH concurred with the GAO recommendation, it stated that there was limited flexibility in the allowed uses of royalty income by the laboratory which were set forth in FTTA. The allowed uses did not include expenditures for supplies, services, equipment, and other general costs of research, areas that are highly visible to federal scientists. Draft guidelines submitted to OTT include revisions for tangible benefits (equipment, space, travel funds, personnel) to the scientists and laboratories.
Food and Drug Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
Although NIH concurred with the GAO recommendation, it stated that there was limited flexibility in the allowed uses of royalty income by the laboratory which were set forth in FTTA. The allowed uses did not include expenditures for supplies, services, equipment, and other general costs of research, which are highly visible to federal scientists. Draft guidelines submitted to OTT include provisions for tangible benefits (equipment, space, travel funds, personnel) to the scientists and laboratories.
Alcohol, Drug Abuse, and Mental Health Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
Although NIH concurred with the GAO recommendation, it stated that there was limited flexibility in the allowed uses of royalty income by the laboratory which were set forth in FTTA. The allowed uses did not include expenditures for supplies, services, equipment, and other general costs of research, areas that are highly visible to federal scientists. Draft guidelines submitted to OTT include provisions for tangible benefits (equipment, space, travel funds, personnel) to the scientists and laboratories.
United States Fish and Wildlife Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Not Implemented
The Department plans to establish a full working group to make recommendations to agency officials. However, it had not done so as of October 1994.
U.S. Geological Survey The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Not Implemented
The Department plans to establish a full working group to make recommendations to agency officials. However, it had not done so as of October 1994.
Bureau of Mines The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
While the Department planned to establish a working group to make recommendations to agency officials, it had not done so as of August 1995.
United States Coast Guard The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with the operating administrations about the potential for modifying the royalty-sharing formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Federal Aviation Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with the operating administrations about the potential for modifying the royalty-sharing formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Federal Highway Traffic Safety Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with the operating administrations about the potential for modifying the royalty-sharing formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Environmental Protection Agency The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Implemented
According to EPA's September 8, 1994 response, EPA laboratory directors are encouraged to keep their scientists and engineers aware of how FTTA royalties are used to further the laboratory missions and promote technology transfer activities. However, this does not mean that EPA scientists' research will benefit from the laboratories' share of royalties.
National Aeronautics and Space Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Not Implemented
This agency is already in compliance.
Tennessee Valley Authority The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should channel a major part of the laboratory's share of invention income to areas in laboratories that are visible to federal scientists.
Closed – Not Implemented
This agency is already in compliance.
Forest Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
The Forest Service has implemented a democratic decisionmaking system with laboratory directors for royalty use.
Agricultural Research Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
There has been no further progress on addressing this recommendation.
National Oceanic and Atmospheric Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
The directors of Commerce laboratories are generally included in decisions governing the use of invention income. However, NIST notes that directors of NIST's separate laboratories, who had been delegated authority to enter into licensing agreements and Cooperative Research and Development Agreements (CRADAs), should not be able to overrule decisions made by the Director of NIST that affect all NIST laboratories. On the basis of action already taken, NOAA considers this recommendation closed.
National Institute of Standards and Technology The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
According to the February 19, 1993, response to GAO, the directors of Commerce laboratories are generally included in decisions governing use of invention income. However, the National Institute of Standards and Technology (NIST) notes that directors of NIST's separate laboratories, who have been delegated authority to enter into licensing agreements and Cooperative Research and Development Agreements (CRADAs), should not be able to overrule decisions made by the Director of NIST that affect all NIST laboratories. On the basis of action already taken, the Commerce Technology Administration considers this recommendation closed.
Department of the Air Force The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
The agency is in full compliance per ARTS report dated August 9, 1994. Reference Case number 9145.
Department of the Navy The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
The agency is in full compliance per ARTS report dated August 9, 1994. Reference Case number 9145.
Department of the Army The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
The agency is in full compliance per ARTS report dated August 9, 1994. Reference Case number 9145.
Department of Energy The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
DOE agrees with the recommendation requiring that the laboratory director of the laboratory where the invention originated be active in the royalty sharing process. To date, only one of the DOE government-owned, government-operated laboratories has had licensing and royalty payment activity. In this case, both the Laboratory and the Director for Research and Development made the decisions regarding the use of the invention income. While there are no formal procedures that require the participation of the laboratory director, the relatively small size of the Department's government-owned, government operated laboratories, along with the desirability of patent and licensing activity at the laboratories, ensures continued top-level attention.
National Institutes of Health The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
The PHS Laboratory and ICDs are and have been involved in the decisionmaking process. In January 1994, the NIH Director sent a letter to directors explaining the ongoing royalties sharing and utilization review. The letter included a request to ICDs that they require their laboratory chiefs to actively participate in the decisions governing the use of royalty income.
Centers for Disease Control and Prevention The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
The PHS laboratory and ICDs are and have been involved in the decisionmaking process. In January 1994, the NIH Director sent a letter to directors explaining the ongoing royalties sharing and utilization review. The letter included a request to ICDs that they require their laboratory chiefs to actively participate in the decisions governing the use of royalty income.
Food and Drug Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
The PHS laboratory and ICDs are and have been involved in the decisionmaking process. In January 1994, the NIH Director sent a letter to directors explaining the ongoing royalties sharing and utilization review. The letter included a request to ICDs that they require their laboratory chiefs to actively participate in the decisions governing the use of royalty income.
Alcohol, Drug Abuse, and Mental Health Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
The PHS ICDs are and have been involved in the decisionmaking process. In January 1994, the NIH director sent a letter to directors explaining the ongoing royalties sharing and utilization review. The letter included a request to ICDs that they require their laboratory chiefs to actively participate in the decisions governing the use of royalty income.
United States Fish and Wildlife Service The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
While the Department planned to establish a working group to make recommendations to agency officials, it had not done so as of August 1995.
U.S. Geological Survey The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Not Implemented
The Department is establishing a full working group to make recommendations to agency officials. However, it had not done so as of October 1994.
Bureau of Mines The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Implemented
While the Department planned to establish a working group to make recommendations to agency officials, it had not done so as of August 1995.
United States Coast Guard The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with the operating administrations about the potential for modifying the royalty-sharing formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Federal Aviation Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with the operating administrations about the potential for modifying the royalty-sharing formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Federal Highway Traffic Safety Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with the operating administrations about the potential for modifying the royalty-sharing formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Environmental Protection Agency The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Not Implemented
The agency says that its guidelines permit laboratory directors to have full discretion in using their share of invention income.
National Aeronautics and Space Administration The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Not Implemented
This agency is already in compliance.
Tennessee Valley Authority The heads of departments and agencies operating royalty-sharing programs under the Federal Technology Transfer Act should require that the director of the laboratory where the invention originated be included in decisions governing the use of the laboratory's share of invention income.
Closed – Not Implemented
This agency is already in compliance.
Forest Service Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
The response describes training to be given in small groups (i.e. seminars) that will serve as a better mechanism for conveying information.
Agricultural Research Service Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
The response describes the training in small groups (i.e., seminars) that will serve as a better mechanism for conveying information.
National Oceanic and Atmospheric Administration Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
For several years, NIST has conducted ongoing seminars and programs for training managers and technical staff on management of intellectual property, including general information about what is patentable and how the commercial potential on an invention is evaluated. NTIA also has been active in training its managers and technical staff. Last year, the Department's Patent Counsel spoke to all laboratory staff regarding patent opportunities under FTTA. In addition, NTIA works with the NIST Office of Research Technology Application to seek insights on approaches for evaluating inventions. NOAA is currently developing information on technology management for distribution to all of its laboratories. The Department of Commerce is also working through the Interagency Committee on Federal Technology Transfer to review the diverse agency training programs and consider the development of cooperative training efforts. NIST held training sessions between February 1992 and April 1992.
National Institute of Standards and Technology Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
For several years, NIST has conducted ongoing seminars and programs for training managers and technical staff on management of intellectual property, including general information about what is patentable and how the commercial potential on an invention is evaluated. NTIA also has been active in training its managers and technical staff. Last year, the Department's Patent Counsel spoke to all laboratory staff regarding patent opportunities under FTTA. In addition, NTIA works with the NIST Office of Research Technology Application to seek insights on approaches for evaluating inventions. NOAA is currently developing information on technology management for distribution to all of its laboratories. Commerce is also working through the Interagency Committee on Federal Technology Transfer to review the diverse agency training programs and consider the development of cooperative training efforts. NIST held training sessions between February 1992 and April 1992. Training is continuing.
Department of the Air Force Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
The most recent ARTS report, dated August 9, 1994, shows DOD has implemented appropriate training. Reference Case number 9145.
Department of the Navy Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
The most recent ARTS report, dated August 9, 1994, shows DOD has implemented appropriate training. Reference Case number 9145.
Department of the Army Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
The most recent ARTS report, dated August 9, 1994, shows DOD has implemented appropriate training. Reference Case number 9145.
Department of Energy Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
The DOE laboratories are also actively pursuing intellectural property training programs and actively encourage inventors to report inventions and participate in technology transfer matters. The Pittsburgh Energy Technology Center offers training every 6 months for researchers and uses invention income to support this training. The Technology Transfer General Awareness Pilot Training Course has been piloted three times, on January 11, 1993 in Washington, D.C.; on March 12, 1993 in Chicago, Illinois; and on April 26, 1993, in Oak Ridge, Tennessee. As a result of these pilot sessions the Technology Transfer General Awareness Training Course will be offered through the DOE Training Information System as ST01.
National Institutes of Health Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
In February 1993, NIH issued a new Employee Invention Report that describes the criteria relevant to an assessment of an invention's commercial potential. In December 1993, NIH developed and tested a prototype computerized education program for patent and other technology transfer activities. A proposal identifying training needs should be submitted to the OTT Director by August 1994. Based on approved recommended actions, proposed dates and timeframes for TTPB-approved training were scheduled to be in place by September 1994. Training courses will then be implemented.
Centers for Disease Control and Prevention Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
In February 1993, NIH issued a new Employee Invention Report that describes the criteria relevant to an assessment of an invention's commercial potential. In December 1993, NIH developed and tested a prototype computerized educational program for patent and other technology transfer activities. A proposal identifying training needs should be submitted to the OTT Director by August 1994. Based on approved recommended actions, proposed dates and timeframes for TTPB-approved training were scheduled to be in place by September 1994. Training courses will then be implemented.
Food and Drug Administration Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
In February 1993, NIH issued a new Employee Invention Report that describes the criteria relevant to an assessment of an invention's commercial potential. In December 1993, NIH developed and tested a prototype computerized educational program for patent and other technology transfer activities. A proposal identifying training needs should be submitted to the OTT Director by August 1994. Based on approved recommended actions, proposed dates and time frames for TTPB-approved training were scheduled to be in place by September 1994. Training courses will then be implemented.
Alcohol, Drug Abuse, and Mental Health Administration Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
In February 1993, NIH issued a new Employee Invention Report that describes the criteria relevant to an assessment of an invention's commercial potential. In December 1993, NIH developed and tested a prototype computerized educational program for patent and other technology transfer activities. A proposal identifying training needs should be submitted to the OTT Director by August 1994. Based on approved recommended actions, proposed dates and timeframes for TTPB-approved training scheduled to be in place by September 1994. Training courses will then be implemented.
United States Fish and Wildlife Service Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Not Implemented
The Department plans to establish a full working group to make recommendations to agency officials. However, it had not done so as of October 1994.
U.S. Geological Survey Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Not Implemented
The Department plans to establish a working group to make recommendations to agency officials. However, it had not done so as of October 1994.
Bureau of Mines Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Not Implemented
The Department plans to establish a full working group to make recommendations to agency officials. However, it had not done so as of October 1994.
United States Coast Guard Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with the operating administrations about the potential for modifying the (royalty-sharing) formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Federal Aviation Administration Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with the operating administrations about the potential for modifying the royalty-sharing formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Federal Highway Traffic Safety Administration Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Not Implemented
DOT's Office of General Counsel is following through on the recommendations, talking with the operating administrations about the potential for modifying the royalty-sharing formula. At present, it is considering modification, although the decision to revise it is being considered by management.
Environmental Protection Agency Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Implemented
The agency agrees with this recommendation. Over the years, EPA has been concerned about underlying issues addressed in this recommendation and has published an FTTA "Opportunities Bulletin" which provides information on the most promising technical areas for collaboration with industry. In addition, EPA is working with the National Technology Transfer Center to develop a comprehensive FTTA training program for its laboratory personnel. This program will emphasize patents, licenses and cooperative research and development agreements (CRADAs). The Agency initiated this training program for scientists and engineers in October 1993.
National Aeronautics and Space Administration Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Not Implemented
This agency is already in compliance.
Tennessee Valley Authority Agencies should provide more information and training for scientists at their laboratories on the kind of subject matter that is patentable and on the approach that is appropriate for evaluating an invention's commercial demand.
Closed – Not Implemented
This agency is already in compliance.
Forest Service Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Not Implemented
The action meet the objective of the recommendation.
Agricultural Research Service Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
The action meets the objective of the recommendation.
National Oceanic and Atmospheric Administration Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
As part of TA implementation of the Federal Technology Transfer Act following a delegation of authority from the Secretary of Commerce, NIST established review committees for evaluating the patentability and commercial potential of the inventions reported to its office handling technology transfer. They have been functioning for several years. The NTIA laboratory has established an internal peer review procedure and also asks advice from outside experts to help evaluate its inventions for patenting. NOAA, which is in the process of strengthening its technology transfer efforts, is planning to create a committee to review the patentability of its inventions. NOAA has established a process to work with individual laboratory directors in determining which inventions will be patented. TA considers this recommendation closed.
National Institute of Standards and Technology Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
As part of TA implementation of the Federal Technology Transfer Act following a delegation of authority from the Department of Commerce, NIST established review committees for evaluating the patentability and commercial potential of the inventions reported to its office handling technology transfer. They have been functioning for several years. The NTIA laboratory has established an internal peer review procedure and also asks advice from outside experts to help evaluate its inventions for patenting. NOAA, which is in the process of strengthening its technology transfer efforts, is planning to create a committee to review the patentability of its inventions. NOAA has established a process to work with individual laboratory directors in determining which inventions will be patented. TA considers this recommendation closed.
Department of the Air Force Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
The most recent ARTS report, dated August 9, 1994, shows that the military services have developed training materials, presentations, and an interactive video to further inform scientists concerning the patentability and commercial potential of inventions.
Department of the Navy Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
The most recent ARTS report, dated August 9, 1994, shows that the military services have developed training materials, presentations, and an interactive video to further inform scientists concerning the patentability and commercial potential of inventions.
Department of the Army Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
The most recent ARTS report, dated August 9, 1994, shows that the military services have developed training materials, presentations, and an interactive video to further inform scientists concerning the patentability and commercial potential of inventions.
Department of Energy Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
DOE generally agrees with the recommendation for procedures that establish timely and consistent selection of inventions for patenting. DOE does have procedures for timely and consistent selection of inventions for patenting but believes they could be improved. Implicit in this recommendation is that patenting should be increased, particularly foreign patenting. It should be recognized, however, that there are some limitations to how much of the activity the agency can accomodate. While the government-owned, government-operated laboratories are the topic of this GAO report, DOE engages in a substantially larger amount of patent and licensing activity through its government-owned, contractor-operated laboratories.
National Institutes of Health Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
In February 1993, NIH issued a new Employee Invention Report that describes the criteria relevant to an assessment of an invention's commercial potential. In December 1993, NIH developed and tested a prototype computerized educational program for patent and other technology transfer activities. A proposal identifying training needs should be submitted to the OTT Director by August 1994. Based on approved recommended actions, proposed dates and timeframes for TTPB-approved training were scheduled to be in place by September 1994. Training courses will then be implemented.
Centers for Disease Control and Prevention Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
In February 1993, NIH issued a new Employee Invention Report that describes the criteria relevant to an assessment of an invention's commercial potential. In December 1993, NIH developed and tested a prototype computerized educational program for patent and other technology transfer activities. A proposal identifying training needs should be submitted to the OTT Director by August 1994. Based on approved recommended actions, proposed dates and timeframes for TTPB-approved training were scheduled to be in place by September 1994. Training courses will then be implemented.
Food and Drug Administration Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
In February 1993, NIH issued a new Employee Invention Report that describes the criteria relevant to an assessment of an invention's commercial potential. In December 1993, NIH developed and tested a prototype computerized educational program for patent and other technology transfer activities. A proposal identifying training needs should be submitted to the OTT Director by August 1994. Based on approved recommended actions, proposed dates and timeframes for TTPB-approved training were scheduled to be in place by September 1994. Training courses will then be implemented.
Alcohol, Drug Abuse, and Mental Health Administration Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
In February 1993, NIH issued a new Employee Invention Report that describes the criteria relevant to an assessment of an invention's commercial potential. In December 1993, NIH developed and tested a prototype computerized education program for patent and other technology transfer activities. A proposal identifying training needs should be submitted to the OTT Director by August 1994. Based on approved recommended actions, proposed dates and timeframes for TTPB-approved training are scheduled to be in place by September 1994. Training courses will then be implemented.
United States Fish and Wildlife Service Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Not Implemented
The Department plans to establish a full working group to make recommendations to agency officials. However, it had not done so as of October 1994.
U.S. Geological Survey Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Not Implemented
The Department plans to establish a full working group to make recommendations to agency officials. However, it had not done so as of October 1994.
Bureau of Mines Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Not Implemented
The Department plans to establish a full working group to make recommendations to agency officials. However, it had not done so as of October 1994.
United States Coast Guard Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
Response to the final report indicates that they have taken appropriate action.
Federal Aviation Administration Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
Response to our final report indicates that they have taken appropriate action.
Federal Highway Traffic Safety Administration Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
The response to the final report indicates that NHTSA has taken appropriate action.
Environmental Protection Agency Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Implemented
EPA concurs with this recommendation. EPA already has a procedure that provides for timely and consistent selection of inventions for patenting. Under this procedure, each EPA laboratory director is responsible for the selection of inventions for patenting. The Office of Research and Development and the Office of General Counsel support the patenting process by reviewing "Reports of Government Inventions" and assisting in the filing of patent applications on selected inventions in a timely manner with the U.S. Patent and Trademark Office.
National Aeronautics and Space Administration Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Not Implemented
This agency is already in compliance.
Tennessee Valley Authority Agencies should establish procedures for the timely and consistent selection of inventions for patenting.
Closed – Not Implemented
This agency is already in compliance.

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