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Influencing Government Decisions from the Ivory Tower. Terry A. Ring Ch.E. University of Utah. How Did I get Started?. Volunteerism High School Football Neighborhood Association Board of Directors Influence Zoning in Neighborhood Ran International ACS meeting CCR
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Influencing Government Decisions from the Ivory Tower Terry A. Ring Ch.E. University of Utah
How Did I get Started? • Volunteerism • High School Football • Neighborhood Association Board of Directors • Influence Zoning in Neighborhood • Ran International ACS meeting • CCR • Administration Committee • Government Relations Committee
Curiosity in Government • Student Offices • High School • University • Boy’s State • Politics in UK • Politics of R&D Funding in England, Switzerland and Japan • CCR - Government Relations Committee
“An investment in knowledge always pays the best interest.” Benjamin Franklin
CCR Government Relations Committee • Agency Visits • Budget Position Papers • Congressional Visits Day • Tell them the importance of Chemical R&D on Utah’s Economy • Give Awards to Congressmen • Science & Technology Town Meetings • Rep. Chris Cannon • Rep. Merril Cook
R&D Funding History • 1996 - Newt Gingrich’s Contract With America • NIH 2x over 7 years • Much of new medical technology is built on traditional science and engineering! • Where is the equivalent funding increase for traditional science and engineering? • Government funding of R&D over the years has decreased significantly.
Different Perspective • Science and Engineering Funding in Europe is Strong and Stable. • Each country has its strengths that are being maintained. • Japanese Funding for Science and Engineering is directed to areas where Japan will control the market. • USA thinks that it can do it all well and win them all.
Richard Gross, CTO Dow ChemicalCCR President • Move from anecdotes to statistical backed knowledge • Commission a Study of the Situation with respect to Chemical R&D and its effectiveness. • Council for Chemical Research as vehicle.
CCR Study-Phase I (2001) • History of Technology • Literature/Patent Analysis • Financial Analysis • Overview • David Sicilia • U. of MD • Francis Narin • CHI Research • Barouch Lev • NYU • Ashish Arora • Carnegie-Mellon U.
CCR Study • History of Economic Impact • Follow Research to Patents • Importance of Research on Chemical Patents • Exploitation delay • Follow R&D $ spent to Corporate Profitability to Tax Revenue • Chemical Technology Enables other Industries. It is the most enabling of all industries!
What to do with the Study? • Rollout (my job) • Make this Public at the Highest Levels!
Jim Albertine, Albertine Enterprises M. Smith, A. Rickard, Association Vision P. & J. Garfinkel, Imagemaker Speeches CCR Staff CCR Action Network W. Wachob, Dow Gov’t. Relations Press Relations Report Editing/Writing Layout & Printing Coordination Coordination/Overview Study Manager Study Rollout Team
Study Rollout • Combine studies into one coherent document • Publish Report • Press Release Documentation • Press Contacts • Meetings with • Business Week, Wall Street Journal • Chemical Week, C&E News • Government Release • Congressional Briefing • HB 153 & Dear Colleague Letter • Work with Lobbyist & Congressional Staff
Study Findings • History of Impressive Impact • Balance of Trade • 50% of GDP growth • Can Follow R&D spending to Profit • Can Follow R to Patents and Products (exploitation delay) • Papers lead to patents in the same states • R&D is good for the economy (so we should do more of it)
$1-10M Data from Scherer, F., Ann Econ. & Statistic, 1998 Barouch Lev, CCR Study-2001 ~$15-$100k Technology Transfer Exploitation Delay Data from 5 years, 1013 patent disclosures @ University of Utah, Innovation, vol.12 # Licenses >$1M=0.6% After Tax ROI=17% TIME $ Scientific Publication(s) Proposal 0 1yr 2yr 3yr 4yr 5yr 6yr 7yr 8yr 9yr 10yr 11yr 12yr 13 yr 14yr 15 ~$300k Basic Research 1) National Lab Research 2) University Research ($29.5B in 2000) (87% Gov’t. Funded)
Research Drives EachInnovation Cycles Profit Sustaining R&D Fundamental R&D Applied R&D Taxes Product Launch Patent License Invention
Patent Life Fluorescent Lamp Data from Birchall, J.D., Chemistry and Industry 7/18/1983.
Business Innovation Cycles – long view Business Cycles are Shortening!! International Competition is heating up!
Chances of Innovation Success • Innovation Activity Success Probability • Proposal Grant 1 in 10 • Research Publ’cn, 1 in 2 • Publ’cn Patent 1 in 100 • Patent Profit 1 in 25 • 1 in 500,000 • Within TTO • Invention Patent App. 1 in 2 • Patent App. Patent 1 in 2 • Patent License ~1 in 1 • License Royalty ~1 in 3 • License Start-up
Work After CCR Study • CCR Study Phase II • Chemistry is Enabling (2006) • Government ROI • $1B spent $8B Tax 20 years later • Annual Congressional Visits • Pushing for more R&D • Seed corn for the business in the next generation • Work with Gov’t Relations Staffer in Washington DC • NSF Doubling Bill • Signed into Law in 2002
NSF Doubling Bill • Initiated by calls by CCR Government Relations Staffer • Precipitated an Avalance of Support • ACS, APS, AAAS • Success in politics is all about timing. • Read the sentiment • Needs bi-partisan support • Many people need to look good • Acting only when sentiment is behind the initiative
NSF Doubling Bill • Signed into Law in 2002 • No money in 2003,2004,2005,2006 • What is going wrong?? • Two Types of Bills • Authorization Bill • This is a good idea • Appropriations Bill • Fund it at $ level
Making It Happen • “Rising Above the Gathering Storm” Report 2005 • State of the Union 2006 • American Competitiveness Initiative • Money in 2007 • NSF, DOE-OS, NIST
“Measure for Measure: Chemical R&D Powers The US Innovation Engine” • 2006 Report • Chemical technology enables more industries than any other technology.
“Measure for Measure: Chemical R&D Powers The US Innovation Engine”
Government is a study in dynamics! • Issues are constantly changing • The players are constantly changing • Political power is never real nor constant. • Political power is in the eye of the beholder.
What Have I learned about Government? • You scratch my back, I’ll scratch yours. • Congressman Don Manzullo, Chair Small Business Committee • “Government is a mile wide and a micron thick.” • Kurt Markva, Chief of Staff for Don Manzullo • For success on any issue, keep the drum beating! • It does not matter how good the music is just keep the drum beating.
If you want government to do the right thing you must be talking to your legislators. • Help with campaign to get (re)elected • Respond to questions from them about upcoming legislation • Go to Town Meetings and express opinions
It doesn’t matter who you are, you can make a difference! • But you must be persistent!