PRINTER'S NO. 1224
No. 993 Session of 2007
INTRODUCED BY WONDERLING, ORIE, CORMAN, BROWNE AND PIPPY, JUNE 25, 2007
REFERRED TO FINANCE, JUNE 25, 2007
AN ACT 1 Amending the act of June 26, 2001 (P.L.755, No.77), entitled "An 2 act establishing a special fund and account for money 3 received by the Commonwealth from the Master Settlement 4 Agreement with tobacco manufacturers; providing for home and 5 community-based care, for tobacco use prevention and 6 cessation efforts, for Commonwealth universal research 7 enhancement, for hospital uncompensated care, for health 8 investment insurance, for medical assistance for workers with 9 disabilities, for regional biotechnology research centers, 10 for the HealthLink Program, for community-based health care 11 assistance programs, for PACE reinstatement and PACENET 12 expansion, for medical education loan assistance and for 13 percentage allocation and appropriation of moneys," further 14 providing for definitions, for membership on the advisory 15 committee and for department responsibilities; providing for 16 the Small Business Innovation Research Commercialization Peer 17 Review Committee; and further providing for the use of funds. 18 The General Assembly of the Commonwealth of Pennsylvania 19 hereby enacts as follows: 20 Section 1. The definition of "applicant" in section 902 of 21 the act of June 26, 2001 (P.L.755, No.77), known as the Tobacco 22 Settlement Act, is amended and the section is amended by adding 23 a definition to read: 24 Section 902. Definitions. 25 The following words and phrases when used in this chapter
1 shall have the meanings given to them in this section unless the 2 context clearly indicates otherwise: 3 * * * 4 "Applicant." Any of the following located in this 5 Commonwealth: 6 (1) A person. 7 (2) An institution. 8 (3) An entity established under the act of August 24, 9 1951 (P.L.1304, No.315), known as the Local Health 10 Administration Law. 11 (4) A small business. 12 * * * 13 "Small business." Any for-profit business located in this 14 Commonwealth employing fewer than 500 employees. 15 Section 2. Sections 903(b)(3) and 904(3) of the act are 16 amended to read: 17 Section 903. Health research program. 18 * * * 19 (b) Advisory committee.-- 20 * * * 21 (3) [Members] At least one member appointed by the 22 Governor must be a small business leader with experience in 23 commercializing life sciences-focused research. Remaining 24 members appointed to the committee by the Governor must 25 possess expertise in health care or research, with 26 representation by institution-based research specialists, 27 practicing clinicians, clinical investigators [and] or public 28 health professionals. 29 * * * 30 Section 904. Department responsibilities. 20070S0993B1224 - 2 -
1 The department has the following powers and duties: 2 * * * 3 (3) Except as provided in [section] sections 905(f) and 4 (g) and 906(3)(i), review applications and award research 5 grants to applicants consistent with the priorities 6 established under paragraph (2). Projects funded under 7 section 906(3)(i) shall be evaluated by a peer review panel 8 established under section 905(h). Research grants may be 9 awarded for a period not to exceed four years for each 10 project. 11 * * * 12 Section 3. Section 905 of the act is amended by adding a 13 subsection to read: 14 Section 905. Peer review procedures. 15 * * * 16 (g.1) Small Business Innovative Research Commercialization 17 Peer Review Committee.-- 18 (1) As it relates to applications considered under 19 section 906(3), the department shall establish a committee of 20 experienced business leaders with expertise in the 21 commercialization of life sciences-focused research and 22 development. Additionally, the department should seek input 23 from existing commercialization experts from appropriate 24 business assistance organizations, including the Small 25 Business Development Centers, the Life Sciences Greenhouses, 26 the Ben Franklin Technology Partners and the Pennsylvania 27 Industrial Resource Centers. 28 (2) The Small Business Innovative Research 29 Commercialization Peer Review Committee shall rank research 30 projects in a manner that maximizes the health benefit to the 20070S0993B1224 - 3 -
1 Commonwealth, and by the strength of the applicant's 2 commercialization strategy. 3 * * * 4 Section 4. Section 906 of the act is amended to read: 5 Section 906. Use of funds. 6 Research projects conducted under [this section] paragraphs 7 (1) and (2) shall be consistent with the priorities established 8 under section 904(2). Funds under this section shall be 9 allocated for the following purposes: 10 (1) Seventy percent of the funds appropriated under this 11 section shall be used to fund research pursuant to section 12 908. 13 (2) Fifteen percent of the funds appropriated under this 14 section shall be used to fund clinical and health services 15 research projects by eligible applicants. 16 (3) Fifteen percent of the funds appropriated under this 17 section shall be used to [fund other research projects by 18 eligible applicants.] provide matching grants to entities 19 conducting research through the Small Business Innovative 20 Research program of the National Institutes of Health and 21 Small Business Innovative Research programs operated by all 22 other Federal agencies pursuant to the following provisions: 23 (i) Awards provided under this paragraph shall be 24 used to provide matching funds, up to $100,000, to small 25 businesses conducting Phase I research and development 26 through the Small Business Innovative Research program of 27 the National Institutes of Health. 28 (ii) Awards may be provided to recipients of Phase I 29 Small Business Innovative Research grants from other 30 Federal agencies provided that the project is focused on 20070S0993B1224 - 4 -
1 clinical and health-related research. 2 (iii) No more than 75% of an awardee's funding shall 3 be released prior to the entity's submission of a Phase 4 II application through the appropriate Small Business 5 Innovative Research program. 6 (iv) Remaining funds not allocated under the 7 provisions of subparagraphs (i) and (ii) shall be made 8 available to support additional health and clinical 9 research and development activities in small businesses 10 to the extent that those activities are consistent with 11 the research priorities established under section 904(2). 12 Section 5. This act shall take effect in 60 days. F20L35JS/20070S0993B1224 - 5 -