CHAPTER 102. CANCER PREVENTION AND RESEARCH INSTITUTE OF TEXAS - Texas Statutes

HEALTH AND SAFETY CODE

TITLE 2. HEALTH

SUBTITLE E. HEALTH CARE COUNCILS AND RESOURCE CENTERS

CHAPTER 102. CANCER PREVENTION AND RESEARCH INSTITUTE OF TEXAS

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 102.001. DEFINITIONS. In this chapter:

(1) "Institute" means the Cancer Prevention and Research

Institute of Texas.

(2) "Oversight committee" means the Cancer Prevention and

Research Institute of Texas Oversight Committee.

(3) "Research and prevention programs committee" means the

Cancer Prevention and Research Institute of Texas Scientific

Research and Prevention Programs committees appointed by the

executive director.

Acts 1989, 71st Leg., ch. 678, Sec. 1, eff. Sept. 1, 1989.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 1, eff. June 19, 2009.

Sec. 102.002. PURPOSES. The Cancer Prevention and Research

Institute of Texas is established to:

(1) create and expedite innovation in the area of cancer

research and in enhancing the potential for a medical or

scientific breakthrough in the prevention of cancer and cures for

cancer;

(2) attract, create, or expand research capabilities of public

or private institutions of higher education and other public or

private entities that will promote a substantial increase in

cancer research and in the creation of high-quality new jobs in

this state; and

(3) develop and implement the Texas Cancer Plan.

Acts 1989, 71st Leg., ch. 678, Sec. 1, eff. Sept. 1, 1989.

Amended by Acts 1991, 72nd Leg., 1st C.S., ch. 15, Sec. 5.06,

eff. Sept. 1, 1991; Acts 1999, 76th Leg., ch. 36, Sec. 1, eff.

Sept. 1, 1999.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.003. SUNSET PROVISION. The Cancer Prevention and

Research Institute of Texas is subject to Chapter 325, Government

Code (Texas Sunset Act). Unless continued in existence as

provided by that chapter, the institute is abolished and this

chapter expires September 1, 2021.

Acts 1989, 71st Leg., ch. 678, Sec. 1, eff. Sept. 1, 1989.

Amended by Acts 1991, 72nd Leg., 1st C.S., ch. 17, Sec. 4.24,

eff. Nov. 12, 1991; Acts 1999, 76th Leg., ch. 36, Sec. 1, eff.

Sept. 1, 1999.

Amended by:

Acts 2005, 79th Leg., Ch.

1227, Sec. 2.02, eff. September 1, 2005.

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Acts 2007, 80th Leg., R.S., Ch.

928, Sec. 3.02, eff. June 15, 2007.

Reenacted by Acts 2009, 81st Leg., R.S., Ch.

87, Sec. 12.002, eff. September 1, 2009.

SUBCHAPTER B. POWERS AND DUTIES OF INSTITUTE

Sec. 102.051. POWERS AND DUTIES. (a) The institute may:

(1) make grants to provide funds to public or private persons to

implement the Texas Cancer Plan, and may make grants to

institutions of learning and to advanced medical research

facilities and collaborations in this state for:

(A) research into the causes of and cures for all types of

cancer in humans;

(B) facilities for use in research into the causes of and cures

for cancer;

(C) research, including translational research, to develop

therapies, protocols, medical pharmaceuticals, or procedures for

the cure or substantial mitigation of all types of cancer in

humans; and

(D) cancer prevention and control programs in this state to

mitigate the incidence of all types of cancer in humans;

(2) support institutions of learning and advanced medical

research facilities and collaborations in this state in all

stages in the process of finding the causes of all types of

cancer in humans and developing cures, from laboratory research

to clinical trials and including programs to address the problem

of access to advanced cancer treatment;

(3) establish the appropriate standards and oversight bodies to

ensure the proper use of funds authorized under this chapter for

cancer research and facilities development;

(4) employ an executive director as determined by the oversight

committee;

(5) employ necessary staff to provide administrative support;

and

(6) monitor contracts and agreements authorized by this chapter.

(b) The institute shall work to implement the Texas Cancer Plan

and continually monitor and revise the Texas Cancer Plan as

necessary.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.052. ANNUAL PUBLIC REPORT. (a) The institute shall

issue an annual public report outlining the institute's

activities, grants awarded, grants in progress, research

accomplishments, and future program directions. The report must

include:

(1) the number and dollar amounts of research and facilities

grants;

(2) identification of the grant recipients for the reported

year;

(3) the institute's administrative expenses;

(4) an assessment of the availability of funding for cancer

research from sources other than the institute;

(5) a summary of findings of research funded by the institute,

including promising new research areas;

(6) an assessment of the relationship between the institute's

grants and the overall strategy of its research program;

(7) a statement of the institute's strategic research and

financial plans; and

(8) an estimate of how much cancer has cost the state during the

year, including the amounts spent by the state relating to cancer

by the child health program, the Medicaid program, the Teacher

Retirement System of Texas, and the Employees Retirement System

of Texas.

(b) The institute shall submit the annual public report to the

governor and the legislature.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.053. INDEPENDENT FINANCIAL AUDIT FOR REVIEW BY

COMPTROLLER. (a) The institute shall annually commission an

independent financial audit of its activities from a certified

public accounting firm. The institute shall provide the audit to

the comptroller. The comptroller shall review and evaluate the

audit and annually issue a public report of that review. The

comptroller shall make recommendations concerning the institute's

financial practices and performance.

(b) The oversight committee shall review the annual financial

audit, the comptroller's report and evaluation of that audit, and

the financial practices of the institute.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.054. GIFTS AND GRANTS. The institute may solicit and

accept gifts and grants from any source for the purposes of this

chapter.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.055. QUARTERLY MEETINGS. The oversight committee shall

hold a public meeting at least once in each quarter of the

calendar year, with appropriate notice and with a formal public

comment period.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.056. SALARY. The institute may supplement the salary

of the executive director and other senior institute staff

members. Funding for a salary supplement may come from gifts,

grants, donations, or appropriations.

Added by Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 2, eff. June 19, 2009.

SUBCHAPTER C. OVERSIGHT COMMITTEE

Sec. 102.101. COMPOSITION OF OVERSIGHT COMMITTEE. (a) The

Cancer Prevention and Research Institute of Texas Oversight

Committee is the governing body of the institute.

(b) The oversight committee is composed of the following 11

members:

(1) three members appointed by the governor;

(2) three members appointed by the lieutenant governor;

(3) three members appointed by the speaker of the house of

representatives;

(4) the comptroller or the comptroller's designee; and

(5) the attorney general or the attorney general's designee.

(c) The members of the oversight committee must represent the

geographic and cultural diversity of the state.

(d) In making appointments to the oversight committee, the

governor, lieutenant governor, and speaker of the house of

representatives should attempt to include cancer survivors and

family members of cancer patients if possible.

(e) A person may not be a member of the oversight committee if

the person or the person's spouse:

(1) is employed by or participates in the management of a

business entity or other organization receiving money from the

institute;

(2) owns or controls, directly or indirectly, more than a five

percent interest in a business entity or other organization

receiving money from the institute; or

(3) uses or receives a substantial amount of tangible goods,

services, or money from the institute, other than reimbursement

authorized by this chapter for oversight committee membership,

attendance, or expenses.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.102. REMOVAL. (a) It is a ground for removal from the

oversight committee that a member:

(1) is ineligible for membership under Section 102.101(e);

(2) cannot, because of illness or disability, discharge the

member's duties for a substantial part of the member's term; or

(3) is absent from more than half of the regularly scheduled

oversight committee meetings that the member is eligible to

attend during a calendar year without an excuse approved by a

majority vote of the committee.

(b) The validity of an action of the oversight committee is not

affected by the fact that it is taken when a ground for removal

of a committee member exists.

(c) If the executive director has knowledge that a potential

ground for removal exists, the executive director shall notify

the presiding officer of the oversight committee of the potential

ground. The presiding officer shall then notify the appointing

authority and the attorney general that a potential ground for

removal exists. If the potential ground for removal involves the

presiding officer, the executive director shall notify the next

highest ranking officer of the oversight committee, who shall

then notify the appointing authority and the attorney general

that a potential ground for removal exists.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.103. TERMS; VACANCY. (a) Oversight committee members

appointed by the governor, lieutenant governor, and speaker of

the house serve staggered six-year terms, with the terms of three

members expiring on January 31 of each odd-numbered year.

(b) Not later than the 30th day after the date an oversight

committee member's term expires, the appropriate appointing

authority shall appoint a replacement.

(c) If a vacancy occurs on the oversight committee, the

appropriate appointing authority shall appoint a successor, in

the same manner as the original appointment, to serve for the

remainder of the unexpired term. The appropriate appointing

authority shall appoint the successor not later than the 30th day

after the date the vacancy occurs.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 3, eff. June 19, 2009.

Sec. 102.104. OFFICERS. The oversight committee shall select a

presiding officer from among its members.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.105. EXPENSES. A member of the oversight committee is

not entitled to compensation but is entitled to reimbursement for

actual and necessary expenses incurred in attending meetings of

the committee or performing other official duties authorized by

the presiding officer.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.106. CONFLICT OF INTEREST. The oversight committee

shall adopt conflict-of-interest rules, based on standards

applicable to members of scientific review committees of the

National Institutes of Health, to govern members of the oversight

committee.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.107. POWERS AND DUTIES. The oversight committee shall

hire an executive director.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.108. RULEMAKING AUTHORITY. The oversight committee may

adopt rules to administer this chapter.

Added by Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 4, eff. June 19, 2009.

SUBCHAPTER D. COMMITTEES

Sec. 102.151. SCIENTIFIC RESEARCH AND PREVENTION PROGRAMS

COMMITTEE. (a) The Cancer Prevention and Research Institute of

Texas Scientific Research and Prevention Programs Committee is

composed of the following 18 members:

(1) one voting member appointed by the governor who is a

physician or licensed health care professional active in the

treatment of cancer;

(2) one voting member appointed by the lieutenant governor who

is a physician or licensed health care professional active in the

treatment of cancer;

(3) one voting member appointed by the speaker of the house of

representatives who is a physician or licensed health care

professional active in the treatment of cancer;

(4) one voting member appointed by the governor who is a

representative of a licensed health care facility that treats a

significant number of cancer patients;

(5) one voting member appointed by the lieutenant governor who

is a representative of a licensed health care facility that

treats a significant number of cancer patients;

(6) one voting member appointed by the speaker of the house of

representatives who is a representative of a licensed health care

facility that treats a significant number of cancer patients;

(7) one voting member appointed by the governor who is a

representative of a voluntary health organization interested in

cancer;

(8) one voting member appointed by the lieutenant governor who

is a representative of a voluntary health organization interested

in cancer;

(9) one voting member appointed by the speaker of the house of

representatives who is a representative of a voluntary health

organization interested in cancer;

(10) two nonvoting members appointed by the governor

representing private or independent institutions of higher

education in this state that have demonstrated success and

leadership in cancer research;

(11) two nonvoting ex officio members appointed by the

chancellor of The University of Texas System to represent:

(A) The University of Texas Southwestern Medical Center at

Dallas;

(B) The University of Texas Medical Branch at Galveston;

(C) The University of Texas Health Science Center at Houston;

(D) The University of Texas Health Science Center at San

Antonio;

(E) The University of Texas Health Center at Tyler; or

(F) The University of Texas M. D. Anderson Cancer Center;

(12) one nonvoting ex officio member appointed by the chancellor

of The Texas A&M University System to represent:

(A) The Texas A&M University System Health Science Center;

or

(B) the teaching hospital for The Texas A&M Health Science

Center College of Medicine;

(13) one nonvoting ex officio member appointed by the chancellor

of the Texas Tech University System to represent the Texas Tech

University Health Sciences Center;

(14) one nonvoting ex officio member appointed by the chancellor

of the University of Houston System to represent the system;

(15) one nonvoting ex officio member appointed by the chancellor

of the Texas State University System to represent the system; and

(16) one nonvoting ex officio member appointed by the chancellor

of the University of North Texas System to represent the system.

(a) Repealed by Acts 2009, 81st Leg., R.S., Ch. 368, Sec. 16,

eff. June 19, 2009.

(a-1) The executive director, with approval by simple majority

of the members of the oversight committee, shall appoint as

members of scientific research and prevention programs committees

experts in the field of cancer research and prevention.

(b) Individuals appointed to the research and prevention

programs committee may be residents of another state.

(c) The members of the research and prevention programs

committee must represent the geographic and cultural diversity of

the state.

(c) Repealed by Acts 2009, 81st Leg., R.S., Ch. 368, Sec. 16,

eff. June 19, 2009.

(d) A member of a scientific research and prevention programs

committee may receive an honorarium. Subchapter B, Chapter 2254,

Government Code, does not apply to an honorarium made to a

committee member under this chapter.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 5, eff. June 19, 2009.

Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 16, eff. June 19, 2009.

Sec. 102.152. TERMS OF RESEARCH AND PREVENTION PROGRAMS

COMMITTEE MEMBERS. Members of a research and prevention programs

committee serve for terms as determined by the executive

director.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 6, eff. June 19, 2009.

Sec. 102.153. EXPENSES. Members of the university advisory

committee or any ad hoc advisory committee appointed under this

subchapter serve without compensation but are entitled to

reimbursement for actual and necessary expenses in attending

meetings of the committee or performing other official duties

authorized by the presiding officer.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 8, eff. June 19, 2009.

Sec. 102.154. UNIVERSITY ADVISORY COMMITTEE. (a) The Cancer

Prevention and Research Institute of Texas University Advisory

Committee is composed of the following members:

(1) two members appointed by the chancellor of The University of

Texas System to represent:

(A) The University of Texas Southwestern Medical Center at

Dallas;

(B) The University of Texas Medical Branch at Galveston;

(C) The University of Texas Health Science Center at Houston;

(D) The University of Texas Health Science Center at San

Antonio;

(E) The University of Texas Health Center at Tyler; or

(F) The University of Texas M. D. Anderson Cancer Center;

(2) one member appointed by the chancellor of The Texas A&M

University System to represent:

(A) The Texas A&M University System Health Science Center;

or

(B) the teaching hospital for The Texas A&M Health Science

Center College of Medicine;

(3) one member appointed by the chancellor of the Texas Tech

University System to represent the Texas Tech University Health

Sciences Center;

(4) one member appointed by the chancellor of the University of

Houston System to represent the system;

(5) one member appointed by the chancellor of the Texas State

University System to represent the system;

(6) one member appointed by the chancellor of the University of

North Texas System to represent the system;

(7) one member appointed by the president of Baylor College of

Medicine;

(8) one member appointed by the president of Rice University;

and

(9) members appointed at the executive director's discretion by

the chancellors of other institutions.

(b) The university advisory committee shall advise the oversight

committee and a research and prevention programs committee

regarding the role of institutions of higher education in cancer

research.

Added by Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 9, eff. June 19, 2009.

Sec. 102.155. AD HOC ADVISORY COMMITTEE. (a) The oversight

committee shall create an ad hoc committee of experts to address

childhood cancers. The oversight committee, as necessary, may

create additional ad hoc committees of experts to advise the

oversight committee on issues relating to cancer.

(b) Ad hoc committee members shall serve for a period determined

by the oversight committee.

Added by Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 9, eff. June 19, 2009.

Sec. 102.156. CONFLICT OF INTEREST. (a) A member of a research

and prevention programs committee, the university advisory

committee, or any ad hoc committee appointed under this

subchapter shall disclose in writing to the executive director if

the member has an interest in a matter that comes before the

member's committee or has a substantial financial interest in an

entity that has a direct interest in the matter.

(b) The member shall recuse himself or herself from the

committee's deliberations and actions on the matter in Subsection

(a) and may not participate in the committee's decision on the

matter.

(c) A person has a substantial financial interest in an entity

if the person:

(1) is an employee, member, director, or officer of the entity;

or

(2) owns or controls, directly or indirectly, more than a five

percent interest in the entity.

Added by Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 9, eff. June 19, 2009.

SUBCHAPTER E. CANCER PREVENTION AND RESEARCH FUND

Sec. 102.201. CANCER PREVENTION AND RESEARCH FUND. (a) The

cancer prevention and research fund is a dedicated account in the

general revenue fund.

(b) The cancer prevention and research fund consists of:

(1) patent, royalty, and license fees and other income received

under a contract entered into as provided by Section 102.255;

(2) appropriations of money to the fund by the legislature;

(3) gifts, grants, including grants from the federal government,

and other donations received for the fund; and

(4) interest earned on the investment of money in the fund.

(c) The fund may be used only to pay for:

(1) grants for cancer research and for cancer research

facilities in this state to realize therapies, protocols, and

medical procedures for the cure or substantial mitigation of all

types of cancer in humans;

(2) the purchase, subject to approval by the institute, of

laboratory facilities by or on behalf of a state agency or grant

recipient;

(3) grants to public or private persons to implement the Texas

Cancer Plan;

(4) the operation of the institute; and

(5) grants for cancer prevention and control programs in this

state to mitigate the incidence of all types of cancer in humans.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.202. ISSUANCE OF GENERAL OBLIGATION BONDS. (a) The

institute may request the Texas Public Finance Authority to issue

and sell general obligation bonds of the state as authorized by

Section 67, Article III, Texas Constitution.

(b) The Texas Public Finance Authority may not issue and sell

general obligation bonds authorized by this section before

January 1, 2008, and may not issue and sell more than $300

million in general obligation bonds authorized by this section in

a state fiscal year.

(c) The institute shall determine, and include in its request

for issuing bonds, the amount, exclusive of costs of issuance, of

the bonds to be issued and the preferred time for issuing the

bonds.

(d) The Texas Public Finance Authority shall issue the bonds in

accordance with and subject to Chapter 1232, Government Code, and

Texas Public Finance Authority rules. The bonds may be issued in

installments.

(e) Proceeds of the bonds issued under this section shall be

deposited in separate funds or accounts, in the state treasury,

as shall be set out in the proceedings authorizing the bonds.

(f) The proceeds of the bonds may be used only to:

(1) make grants authorized by Section 67, Article III, Texas

Constitution;

(2) purchase laboratory facilities approved by the institute;

(3) pay costs of operating the institute; or

(4) pay the costs of issuing the bonds and related bond

administration costs of the Texas Public Finance Authority.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.203. AUTHORIZED USE OF FUNDS. (a) A person awarded

money from the cancer prevention and research fund or from bond

proceeds under this subchapter may use the money for research

consistent with the purpose of this chapter and in accordance

with a contract between the person and the institute.

(b) Except as otherwise provided by this section, money awarded

under this subchapter may be used for authorized expenses,

including honoraria, salaries and benefits, travel, conference

fees and expenses, consumable supplies, other operating expenses,

contracted research and development, capital equipment, and

construction or renovation of state or private facilities.

(c) A person receiving money under this subchapter for cancer

research may not spend more than five percent of the money for

indirect costs. For purposes of this subsection, "indirect costs"

means the expenses of doing business that are not readily

identified with a particular grant, contract, project, function,

or activity, but are necessary for the general operation of the

organization or the performance of the organization's activities.

(d) Not more than five percent of the money awarded under this

subchapter may be used for facility purchase, construction,

remodel, or renovation purposes during any year. Expenditures of

money awarded under this subchapter for facility purchase,

construction, remodel, or renovation projects must benefit cancer

prevention and research.

(e) Not more than 10 percent of the money awarded under this

subchapter may be used for cancer prevention and control programs

during any year.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 10, eff. June 19, 2009.

Sec. 102.204. PREFERENCE FOR TEXAS BUSINESSES. If the Texas

Public Finance Authority contracts with a private entity to issue

the bonds under this subchapter, the Texas Public Finance

Authority shall consider contracting with an entity that has its

principal place of business in this state and shall include using

a historically underutilized business as defined by Section

2161.001, Government Code.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

SUBCHAPTER F. PROCEDURE FOR MAKING AWARDS

Sec. 102.251. RULES FOR GRANT AWARD PROCEDURE. (a) The

oversight committee shall issue rules regarding the procedure for

awarding grants to an applicant under this chapter. The rules

must include the following procedures:

(1) a research and prevention programs committee shall review

grant applications and make recommendations to the executive

director regarding the award of cancer research grants, including

a prioritized list that ranks the grant applications in the order

the committee determines applications should be funded; and

(2) the executive director shall submit to the oversight

committee a list of grant applications that is substantially

based on the list submitted by the committee under Subdivision

(1) and, to the extent possible, gives priority to proposals

that:

(A) could lead to immediate or long-term medical and scientific

breakthroughs in the area of cancer prevention or cures for

cancer;

(B) strengthen and enhance fundamental science in cancer

research;

(C) ensure a comprehensive coordinated approach to cancer

research;

(D) are interdisciplinary or interinstitutional;

(E) address federal or other major research sponsors' priorities

in emerging scientific or technology fields in the area of cancer

prevention or cures for cancer;

(F) are matched with funds available by a private or nonprofit

entity and institution or institutions of higher education;

(G) are collaborative between any combination of private and

nonprofit entities, public or private agencies or institutions in

this state, and public or private institutions outside this

state;

(H) have a demonstrable economic development benefit to this

state;

(I) enhance research superiority at institutions of higher

education in this state by creating new research superiority,

attracting existing research superiority from institutions not

located in this state and other research entities, or enhancing

existing research superiority by attracting from outside this

state additional researchers and resources; and

(J) expedite innovation and commercialization, attract, create,

or expand private sector entities that will drive a substantial

increase in high-quality jobs, and increase higher education

applied science or technology research capabilities.

(b) A member of a research and prevention programs committee may

not attempt to use the committee member's official position to

influence a decision to approve or award a grant or contract to

the committee member's employer.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 11, eff. June 19, 2009.

Sec. 102.252. OVERRIDING RECOMMENDATIONS. The oversight

committee must follow the funding recommendations of the

executive director in the order the executive director submits

the applications to the oversight committee unless two-thirds of

the members of the oversight committee vote to disregard a

recommendation.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 12, eff. June 19, 2009.

Sec. 102.253. MAXIMUM AMOUNT OF ANNUAL AWARDS. The oversight

committee may not award more than $300 million in grants under

Subchapter E in a fiscal year.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.254. PERIOD FOR AWARDS. The oversight committee may

not award money under Subchapter E before January 1, 2008, or

after August 31, 2020.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.255. CONTRACT TERMS. (a) The oversight committee

shall negotiate on behalf of the state regarding awarding, by

grant, money under this chapter.

(b) Before awarding a grant under Subchapter E, the committee

shall enter into a written contract with the grant recipient.

The contract may specify that:

(1) if all or any portion of the amount of the grant is used to

build a capital improvement:

(A) the state retains a lien or other interest in the capital

improvement in proportion to the percentage of the grant amount

used to pay for the capital improvement; and

(B) the grant recipient shall, if the capital improvement is

sold:

(i) repay to the state the grant money used to pay for the

capital improvement, with interest at the rate and according to

the other terms provided by the contract; and

(ii) share with the state a proportionate amount of any profit

realized from the sale; and

(2) if, as of a date specified in the contract, the grant

recipient has not used grant money awarded under Subchapter E for

the purposes for which the grant was intended, the recipient

shall repay that amount and any related interest applicable under

the contract to the state at the agreed rate and on the agreed

terms.

(c) The contract must include terms relating to intellectual

property rights consistent with the standards developed by the

oversight committee under Section 102.256.

(d) Before the oversight committee may make for cancer research

any grant of any proceeds of the bonds issued under Subchapter E,

the recipient of the grant must have an amount of funds equal to

one-half of the grant dedicated to the research that is the

subject of the grant request.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 13, eff. June 19, 2009.

Sec. 102.256. PATENT ROYALTIES AND LICENSE REVENUES PAID TO

STATE. (a) The oversight committee shall establish standards

that require all grant awards to be subject to an intellectual

property agreement that allows the state to collect royalties,

income, and other benefits realized as a result of projects

undertaken with money awarded under Subchapter E.

(b) In determining the state's interest in any intellectual

property rights, the oversight committee shall balance the

opportunity of the state to benefit from the patents, royalties,

licenses, and other benefits that result from basic research,

therapy development, and clinical trials with the need to ensure

that essential medical research is not unreasonably hindered by

the intellectual property agreement and that the agreement does

not unreasonably remove the incentive on the part of the

individual researcher, research team, or institution.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.257. MULTIYEAR PROJECTS. The oversight committee may

grant funds for a multiyear project. All the money needed to

fund a multiyear project must be awarded in the state fiscal year

that the project is approved by the research and prevention

programs committee. The institute shall distribute only the

money that will be expended during that fiscal year. The

remaining money shall be maintained in an escrow account to be

distributed by the institute in subsequent years of the project.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.258. PREFERENCE FOR TEXAS SUPPLIERS. The oversight

committee shall establish standards to ensure that grant

recipients purchase goods and services from suppliers in this

state to the extent reasonably possible, in a good faith effort

to achieve a goal of more than 50 percent of such purchases from

suppliers in this state.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.259. HISTORICALLY UNDERUTILIZED BUSINESSES. The

oversight committee shall establish standards to ensure that

grant recipients purchase goods and services from historically

underutilized businesses as defined by Chapter 2161, Government

Code, and any other applicable state law.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.260. GRANT EVALUATION. (a) The oversight committee

shall require as a condition of a grant that the grant recipient

submit to regular inspection reviews of the grant project by

institute staff, including progress oversight reviews, to ensure

compliance with the terms of the award and to ensure the

scientific merit of the research.

(b) The executive director shall determine the grant review

process under this section. The executive director may terminate

grants that do not meet contractual obligations.

(c) The executive director shall report at least annually to the

oversight committee on the progress and continued merit of each

research program funded by the institute.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 14, eff. June 19, 2009.

Sec. 102.261. MEDICAL ETHICS. Any research project that

receives money under Subchapter E must:

(1) be conducted with full consideration for the ethical and

medical implications of the research; and

(2) comply with all federal and state laws regarding the conduct

of research.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

266, Sec. 4., eff. November 6, 2007.

Sec. 102.262. PUBLIC INFORMATION. The following information is

public information and may be disclosed under Chapter 552,

Government Code:

(1) the applicant's name and address;

(2) the amount of funding applied for;

(3) the type of cancer to be addressed under the proposal; and

(4) any other information designated by the institute with the

consent of the grant applicant.

Added by Acts 2009, 81st Leg., R.S., Ch.

368, Sec. 15, eff. June 19, 2009.