Agency: USTAR

Line Item: USTAR

Background

The USTAR line item comprises expenditures for USTAR Administration, Technology Outreach, and Research Teams.

Funding Detail

For more detail about a particular source of finance or organizational unit, click a linked entry in the left column of the table(s) below.

Program: Administration

Function

The USTAR Executive Director is responsible for day-to-day administration and provides staff support to the Governing Authority, which manages all components of the initiative. The Administration is broken up into centralized marketing, human resources, accounting, payroll, purchasing, and network support. The Administration also provides collaboration resources, including a centralized database of stakeholder and client information on a Salesforce CRM (online web-based Customer Relationship Management service), as well as online resources such as the innovationutah.com website and electronic e-Connections newsletter.

Statutory Authority

UCA 63M-2-302 specifies the duties of the Governing Authority. The authority:

• Ensures that funds appropriated and received for research and development at the research universities and for the technology outreach program are used appropriately, effectively, and efficiently in accordance with the intent of the Legislature;
• Works with the administrations of the University of Utah and Utah State University to expand key research;
• Encourages and enhances technology transfer and commercialization of research and technologies developed at the research universities to create high-quality jobs and new industries in the private sector in Utah;
• Reviews state and local economic development plans and appropriations to ensure that the project and appropriations do not duplicate existing or planned programs;
• Establishes economic development objectives for the project;
• Makes rules for allocating monies appropriated for research teams and for the commercialization of new technology between Utah State University and the University of Utah;
• Verifies that the USTAR project is being enhanced by research grants and that it is meeting economic development objectives;
• Monitors all research plans that are part of the project at the research universities to determine that appropriations are being spent in accordance with legislative intent and to maximize the benefit and return to the State;
• Develops methods and incentives to encourage investment in and contributions to the USTAR project from the private sector; and
• Annually reports and makes recommendations to the Governor and the Business, Economic Development, and Labor Subcommittee.

Performance

Measures the Administration Program considers indicative of its success are the number of website hits, media stories mentioning USTAR, and accounts in SalesForce.com.

Measuring unique visitors per month to USTAR's website helps gauge the success of branding efforts and the exposure USTAR receives throughout the State and the rest of the country. The USTAR brand is important because it helps attract top talent to Utah, one of the main tenents to the success of the program.

Additionally, USTAR's brand impacts the number and amount of federal research funds and other grants. Measuring the number of media stories mentioning USTAR allows the administration to track whether USTAR's brand and presence is increasing or decreasing.

SalesForce accounts show USTAR's level of activity. If there are more accounts in SalesForce.com it means more projects are being worked on, with more researchers, more entreprenuers, and with more small businesses.

FY 2012 results:

• Average number of website hits per month: decreased 6.5 percent to 5,025
• Total accounts in SalesForce.com: increased 14.7 percent to 3,224
• Media Mentions: decreased 21 percent to 103 per month

Funding Detail

Personnel services is currently USTAR Administration's largest category of expenditure at $434,134. This category includes the wages and benefits of the USTAR Executive Director and his staff. The three largest current expense items in FY 2012 were: Advertising & Legal Publications ($132,200), Rental of Land & Buildings ($34,000), and Insurance & Bonds ($20,500).

Program: Technology Outreach

Function

The USTAR Technology Outreach and Innovation Program (TOIP) connects USTAR research and technologies to regional colleges, universities, businesses, and entrepreneurs and encourages local commercialization of these technologies.

As of September 2012, the Governing Authority has established:

• A virtual innovation network
• Four outreach centers: Southern Utah University and Dixie State University co-location, Utah Valley State College, Weber State University, and the Utah State University Extension in the Uintah Basin
• A presence in the Small Business Innovation Research (SBIR) and Science Technology Transfer and Research (STTR) Assistance Center at Salt Lake Community College (SBIR-STTR Resource Center)
• Support to the Cluster Acceleration Project (UCAP) and Bioinnovations Gateway (BiG)
• Support for "Concept to Company" competitions
• Technology Outreach Program directors, and hired analysts and interns to work with local companies, entrepreneurs, the universities, and regional stakeholders to increase commercialization activities.

Statutory Authority

The scope of the USTAR Technology Outreach Program is outlined in UCA 63M-2-202. The program:

• Brokers ideas, new technologies, and services to entrepreneurs and businesses throughout a defined service area;
• Engages local entrepreneurs and professors at applied technology centers, colleges, and universities by connecting them to Utah's research universities;
• Screens business ideas and new technologies to ensure that the ones with the highest growth potential receive the most targeted services and attention;
• Connects market ideas and technologies in new or existing businesses or industries or in regional colleges and universities with the expertise of Utah's research universities;
• Assists businesses, applied technology centers, colleges, and universities in developing commercial applications for their research; and
• Disseminates discoveries and technologies originating at Utah's research universities to local entrepreneurs, businesses, applied technology centers, colleges, and universities.

Performance

Three performance measures USTAR cites as the top indicators of success in its technology outreach program are 1) New companies launched with Tech Outreach assistance 2) Federal grants won by Utah companies with SBIR assistance, and 3) Private equity investment assisted by Tech outreach.

The number of new companies launched with Tech Outreach help measures the level of entrepreneurial activity enhanced by USTAR Tech Outreach teams and their effect on local small businesses. The more companies created, the more jobs and taxes the State will create.

The Small Business Innovation Research (SBIR) and Science Technology Transfer and Research (STTR) assistance center (SSAC) focuses entirely on helping local businesspeople find and apply for grants. If SSAC is performing well, grants are being awarded to Utah businesses.

A strong indication of strength for the local companies USTAR works with is how validated they are by private markets. Private investments show that professional investors value the companies and believe they will create long-term profits and growth.

Regional TOIP initiatives for FY 2012 included:

• Helping entrepreneurs raise more than $4.92 million in private equity investment;
• Supporting the BioInnovations Gateway (BiG) and Southern Utah Information Technology and renewable Energy incubators (IRTE). BiG currently has four clients in residence and IRTE has two;
• Significant support to Utah Cluster Acceleration Partnership (UCAP) projects;
• Worked with clients at its SBIR center resulting in multiple SBIR "wins" totaling about $1.3 million in grant funding.

Other performance indicators for FY 2011 and FY 2012 include:

• The Technology Commercialization Grants Program (TCG) supported 87 projects with seed funding and consulting;
• Since inception, TCG recipients have filed 73 patent or disclosure applications, created 72 prototypes, signed 37 new sales distribution agreements, and assisted TCG awardees in closing $7.9 million in private capital.

Funding Detail

Personnel services for FY 2012 totaled $960,800. Current expenses totaled $793,300; the top two current expense categories were: Non-Medical Contractual Services ($729,000), Rental of Land & Buildings ($20,000).

Program: Research Teams

Function

The USTAR Governing Authority is to allocate funds to Utah State University and the University of Utah to fund science and technology research by USTAR scientists. The researchers and the research focus areas are to:

• Build on existing university strengths;
• Create commercialization opportunities;
• Target strategic markets;
• Leverage Utah industry strengths.

Energy Innovation Focus Area

• Fossil Energy: Carbon Sequestration
  • Brian McPherson
  • John Mclennan
• Intuitive Buildings
  • Aravand Dasu
• Energy Initiative
• Alternative Energy
  • Shelley Minteer
  • Manoranjan Misra

Nanotechnology Innovation Focus Area

• Wireless Nanosystems
  • Carlos Mastrangelo
  • Massood Tabib-Azar
  • Darrin Young
  • Gianluca Lazzi
• Nanotechnology Biosensors
  • Marc Porter
  • Ling Zang
• Micro & Nano Systems Integration
  • Rajesh Menon
  • Hanseup Kim

Medical Imaging and Brain Medicine Innovation Focus Area

• Circuits of the Brain
  • Julie Korenberg
  • Li Dai
• Diagnostic Imaging
  • Perry Renshaw
  • Deborah Yurgelun-Todd
  • Melissa Lopez-Larson
  • Doug Kondo
• Nanoscale & Biomedical Photonic Imaging
  • Saveez Saffarian
  • Matt Wachoviak
  • Mark Ji

BioDevice and BioPharma Innovation Focus Area

• Biomedical Device Innovation
  • John White
  • Hamid Ghandehari
  • Alan Dorval
• Applied Nutrition Research
  • Michael Lefevre
  • Stephane Boghossian
• Synthetic Biomanufacturing
  • Randy Lewis
  • Foster Agblevor
• Veterinary Disease/Diagnostics
  • Irina PoleJaeva
  • Liaohai Chen
  • Young-Min Lee
  • Zhongde Wang

• Imaging Technology
  • Guido Gerig
  • Tolga Tasdizen
  • P. Thomas Fletcher
  • Orly Alter
  • Miriah Meyer
• Space Weather
  • Kent Tobiska
  • Herbert Carlson
• Digital Media
  • Craig Caldwell
  • Cem Yuksel

Statutory Authority

UCA 63M-2-203 directs the USTAR Governing Authority to allocate monies to Utah State University and the University of Utah to fund science and technology research by USTAR scientists.

Performance

The top three measures USTAR cites as indicative of success for the Research Teams program are 1) Researchers hired and in place 2) External research grants awarded, and 3) Disclosures submitted.

The trend in researchers hired and in place measures USTAR's progress with implementing its statutory duties as sanctioned by the Governor and Legislature.

An objective of USTAR researchers is to win external research grants. When these grants are awarded the funding is used for the operations and maintenance of the researchers' respective teams; this increases the return on state funding and projects state appropriations to USTAR's research teams into future years.

Disclosures measure the progress of USTAR researchers. If they conduct solid research and perform well they will have disclosures to show for it.

FY 2012 results:

• External research grants awarded: $90,583,818 (218 percent increase)
• Patents filed: 71 (82 percent increase)
• Researchers hired and in place (cumulative): 43
• Companies Started/Brought to Utah: 1

Funding Detail

State funding for the research teams is an ongoing General Fund appropriation of $15.2 million. S.B. 240 of the 2009 General Session allocated $33 million from the governor's flexible allocation of Federal ARRA funding for research expenses. Most of the ARRA funding went to the research teams and was received in FY 2010 and FY 2011. Although specific details have not been reported, most of the pass-thru funding to the universities covers the personnel expenditures of the researchers and their staff. The funding also covers ongoing maintenance of the labs, buildings, and equipment.