The following words and terms, when used in this subchapter,
shall have the following meanings, unless the context clearly indicates
(1) Advisory Committee--The Coordinating Board's Restricted
Research Advisory Committee.
(2) Board or Coordinating Board--The Texas Higher Education
(3) Clinical Trial Agreement--An externally sponsored
agreement for the administration of a specifically mandated patient
protocol (sometimes in multiple clinical sites involving other institutions),
in which some costs typically are paid from patient charges or other
(4) Commissioner--Commissioner of Higher Education.
(5) Comptroller--The Texas Comptroller of Public Accounts.
(6) Demonstration Projects--Projects in which the primary
purpose is to apply previous Research and Development findings in
new settings and to demonstrate their utility.
(7) Development--The systematic use of knowledge and
understanding gained from research directed toward the production
of useful materials, devices, systems, or methods, including design
and development of prototypes and processes.
(8) Eligible Institution--A general academic teaching
institution, as defined by Texas Education Code, §61.003, other
than The University of Texas at Austin and Texas A&M University.
Prairie View A&M University (PVAMU) is eligible to participate
in the RDF if the university is not eligible for an appropriation
from the Texas Competitive Knowledge Fund. In addition, for the state
fiscal biennium ending August 31, 2017, PVAMU is eligible only if
appropriations for the RDF over the state fiscal biennium for institutions
that received distributions from the fund during the preceding biennium
is at a level not less than the total amount of money that was appropriated
for distributions to those eligible institutions in the preceding
(9) Indirect Costs--Costs incurred for certain overhead
related to administering a particular sponsored project, an instructional
activity, or any other institutional activity. Indirect costs are
synonymous with "facilities and administrative (F&A) costs."
(10) Industrial Collaboration Agreements--Agreements
with universities, colleges, centers, or institutes under which funds
are provided for collaborative R&D activities. The activity must
be sponsored by private philanthropic organizations and foundations,
for-profit businesses, or individuals.
(11) Multiple Function Awards--Awards that have multiple
goals, such as research, instruction, and public service.
(12) Other Sponsored Activities--Programs and projects
financed by Federal and non-federal agencies and organizations may
be R&D for RDF restricted research under certain conditions:
(A) travel grants, only if in sole support of research
(B) support for conferences or seminars, only if in
sole support of research activities;
(C) support for projects pertaining to library collections,
acquisitions, bibliographies or cataloging, only if their purpose
is primarily for documented research activities; and
(D) programs to enhance institutional resources, including
computer enhancements, etc., only if their purpose is primarily for
documented research activities.
(13) Pass-throughs to Sub-recipients--External funds
that are passed from one entity to a sub-recipient. The sub-recipient
expends the award funds on behalf of or in connection with the pass-through
(14) Research--A systematic study directed toward fuller
scientific knowledge or understanding of the subject studied.
(15) Research and Development (R&D)--All research
activities, both basic and applied, and all development activities
that are supported at universities, colleges, and other non-profit
(16) Research Development Fund (RDF)--A method of allocating
funds based on institutional restricted research expenditures and
established outside the state treasury to promote increased research
capacity at eligible general academic teaching institutions under
Texas Education Code, §§62.091 - 62.098.
(17) Restricted Funds--Funds for which some external
agency, business entity, individual, or organization has placed limitations
on the uses for which the funds may be spent.
(18) Restricted Gifts for R&D--A gift provided
by an external entity (a foundation, a business, or an individual)
for a specific purpose and for which:
(A) there is documented evidence that the gift is restricted
for research, such as a donor's restriction for research; or
(B) there is separate evidence that the gift is restricted
for research through:
(i) documentation by the donor that the gift is restricted
(e.g., endowed chair, fellowship); and
(ii) more than half of the earnings are budgeted for
research through the institutional accounting process.
(19) Restricted Research Expenditure--An expenditure
of funds which an external entity has placed limitations on (Restricted
Funds) and for which the use of the funds qualifies as research and
(20) Sponsored Instruction and Training--Specific instructional
or training activity established by grant, contract, or cooperative
agreement with federal, state, or local government agencies; private
philanthropic organizations and foundations; for-profit businesses;
or individuals. Sponsored Instruction and Training may be R&D
for RDF restricted research under certain conditions:
(A) curriculum development projects if the primary
purpose of the project is developing and testing an instructional
or educational model through appropriate research methodologies (i.e.,
data collection, evaluation, dissemination, and publication); or
(B) activities involving the training of individuals
in R&D techniques, commonly called R&D training, if such activities
utilize the same facilities as other R&D activities and if such
activities are not included in the instruction function. Such activities
include dissertation work associated with an R&D project.
(21) Sponsored Research and Development (Sponsored
R&D)--Activity funded by grants, gifts, and/or contracts, including
sponsored research contracts, that are externally awarded funds designated
by the sponsor as primarily for R&D purposes. The activity must
be sponsored by federal, state, or local governmental agencies; private
philanthropic organizations and foundations; for-profit businesses;
or individuals. Sponsored R&D includes:
(A) awards to university faculty to support R&D
(B) competitively awarded grants and contracts funded
by state appropriations specifically identified by the legislature
as for research, but not state appropriations made directly to the
institution for R&D through formula or special item funding;
(C) external faculty "career awards" to support the
R&D efforts of the faculty;
(D) external funding to maintain facilities or equipment
and/or operation of a center or facility that will be used for R&D
(E) external support for the writing of books when
the purpose of the writing is to publish R&D results;
(F) the research portion of expenditures in the federal
work-study program, in accordance with instructions for preparing
the annual financial report that is submitted by an institution to
the Comptroller after each fiscal year ends;
(G) industrial collaboration agreements with universities,
colleges, centers, or institutes may qualify as R&D if at least
half of the funds are explicitly designated as research support;
(H) clinical trial agreements in which data collection
and analysis are the primary components of the institution's role
in the trial, excluding costs of data collection and analysis performed
by other institutions under subcontract and excluding costs that are
covered by patient charges or similar sources; and
(I) demonstration projects may be R&D only if they
include a new R&D component that is at least one-half of the scope
of the project.