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Chapter 12 Army Domestic Technology Transfer Program via Cooperative Research and

Development Agreements

12.1 Description of the Program that Public Law 106-404, the Technology Transfer
Generates the Funds. The Army Domestic Commercialization Act of 2000, amended
Technology Transfer Program seeks to promote previous laws to provide additional incentives
the transfer of technology between Army encouraging technology commercialization for
laboratories and the non-Federal sector to enhance both industry and academic partners and federal
both the military capability and economic laboratory inventors. DoD Directive 5535.3,
competitiveness of our country. Army "Department of Defense Technology Transfer
laboratories are important partners with industry (T2) Program,” DoD Instruction 5535.8, "DoD
and academia in working toward these goals, and Technology Transfer (T2) Program,” and AR 70-
Cooperative Research and Development 57, “Military-Civilian Technology Transfer,”
Agreements (CRADAs) are one mechanism that provide guidance. The Army Materiel Command
can be used for establishing collaborative (AMC) published AMC Pamphlet 27-1 that
relationships between these parties for the joint provides a guide for employees involved in the
conduct of research and development (R&D). negotiation of CRADAs.
The Federal Technology Transfer Act of 1986
(Public Law 99-502) authorized Federal 12.3 Illustration of Money Flow. Resources
laboratories to enter into CRADAs. CRADAs provided by Federal Laboratories may be on a
may be used only to accomplish R&D consistent reimbursable or non-reimbursable basis. If
with the mission of the Federal laboratory. Work reimbursement is provided, the funds may be
performed under CRADAs must not unduly credited to the fund account initially charged for
compete with services already available in the the expenditure or the Federal Laboratory may use
private sector. There must be at least two parties the funds in furtherance of the CRADA and for
to a CRADA: (1) a Federal laboratory, and (2) a R&D laboratory missions.
non-Federal entity. There may also be additional
parties. Federal laboratories may provide the 12.4 Magnitude of Dollars. Reimbursable
following when performing R&D under funds received by Army laboratories were
CRADAs: personnel, services, equipment, approximately $12M in both FY01 and FY02,
facilities, intellectual property, and other resources. $36M in FY03, $41M in FY04, and $45M in
However, Federal laboratories may not directly FY05. Royalty income from licensing inventions
provide Federal funds to non-Federal CRADA under CRADAs is reported as Patent and Royalty
parties. Non-Federal parties may provide (and income.
Federal laboratories may accept, retain, and use in
furtherance of research and development under 12.5 Functional Proponent. The functional
CRADAs): funds, personnel, services, equipment, proponent is the Army Domestic Technology
facilities, intellectual property, and other resources. Transfer Program Manager, U.S. Army Research
All CRADAs must be coordinated with the Laboratory, AMSRD-ARL-DP-T, (301) 394-2529
Federal laboratory’s intellectual property attorney. or DSN 290-2529.
Every Army laboratory has an Office of Research
and Technology Applications (ORTA) whose
primary responsibility is to actively seek
technology transfer opportunities and serve as a
point of contact for potential users of the
laboratory’s technology.

12.2 Pertinent Laws and Regulations. Public

Law 99-502 established this program [15 U.S.C
Section 3710a(a)(1)]. Public Law 104-113, the
National Technology Transfer Act of 1995, and