As Passed by the House 1
123rd General Assembly 4
Regular Session Am. Sub. S. B. No. 286 5
1999-2000 6
SENATORS GARDNER-OELSLAGER-SPADA-FINGERHUT-PRENTISS- 8
SHOEMAKER-HORN-KEARNS-BLESSING-McLIN-WHITE-WATTS-MUMPER- 9
HERINGTON-ESPY-RAY-HAGAN-REPRESENTATIVES MEAD-JACOBSON- 10
AMSTUTZ-JOLIVETTE-GOODMAN-J. BEATTY-BUEHRER-FERDERBER- 12
A. CORE-GOODING-BENDER-TIBERI-MOTTLEY-CALLENDER-SALERNO-
CORBIN-D. MILLER-PERRY-WOMER BENJAMIN-TRAKAS-ROBINSON- 13
CALVERT-METTLER-OLMAN-METZGER-WILLIAMS-VERICH-CLANCY-ALLEN- 14
ASLANIDES-GARDNER-WIDENER-CAREY-JERSE-PATTON-WILSON-O'BRIEN- 15
VESPER-AUSTRIA-HARRIS-BRITTON-DePIERO-BARNES-ROBERTS-JONES 16
_________________________________________________________________ 17
A B I L L
To amend section 3345.14 of the Revised Code to 19
permit the board of trustees of a state college 20
or university to establish rules that describe 21
circumstances in which an employee of that
institution may solicit or may be given a 22
financial interest in any firm, corporation, or 23
other association to which the board has
assigned, licensed, transferred, or sold the 24
institution's interest in discoveries, 25
inventions, or patents resulting from research or 26
investigation conducted at or by employees of the
institution and to authorize the Ohio Ethics 28
Commission to assist with the development of the
rules. 29
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 31
Section 1. That section 3345.14 of the Revised Code be 33
amended to read as follows: 34
Sec. 3345.14. (A) AS USED IN THIS SECTION, "STATE COLLEGE 43
2
OR UNIVERSITY" MEANS ANY STATE UNIVERSITY OR COLLEGE DEFINED IN 44
DIVISION (A)(1) OF SECTION 3345.12 OF THE REVISED CODE, AND ANY 45
OTHER INSTITUTION OF HIGHER EDUCATION DEFINED IN DIVISION (A)(2) 46
OF THAT SECTION.
(B) All rights to and interests in discoveries or, 49
inventions, including OR patents thereon, which result from 51
research or investigation conducted in any experiment station, 52
bureau, laboratory, or research facility, OR OTHER FACILITY of 54
any state college or university, OR BY EMPLOYEES OF ANY STATE 55
COLLEGE OR UNIVERSITY ACTING WITHIN THE SCOPE OF THEIR EMPLOYMENT 56
OR WITH FUNDING, EQUIPMENT, OR INFRASTRUCTURE PROVIDED BY OR 57
THROUGH ANY STATE COLLEGE OR UNIVERSITY, shall be the sole 58
property of such THAT college or university. No person, firm, 60
association, corporation, or governmental agency which uses the 61
facilities of such college or university in connection with such 62
research or investigation and no faculty member, employee, or 63
student of such college or university participating in or making 64
such discoveries or inventions, shall have any rights to or 65
interests in such discoveries or inventions, including income 66
therefrom, except as may, by determination of the board of 67
trustees of such college or university, be assigned, licensed, 68
transferred, or paid to such persons or entities IN ACCORDANCE 69
WITH DIVISION (C) OF THIS SECTION OR IN ACCORDANCE WITH RULES 70
ADOPTED UNDER DIVISION (D) OF THIS SECTION. 71
(C) As may be determined from time to time by the board of 73
trustees of any state college or university, the college or 74
university may retain, assign, license, transfer, sell, or 75
otherwise dispose of, in whole or in part and upon such terms as 76
the board of trustees may direct, any and all rights to, 77
interests in, or income from any such discoveries, inventions, or 78
patents which the college or university owns or may acquire. 79
Such dispositions may be to any individual, firm, association, 80
corporation, or governmental agency, or to any faculty member, 81
employee, or student of the college or university as the board of 82
3
trustees may direct. Any and all income or proceeds derived or 83
retained from such dispositions shall be applied to the general 84
or special use of the college or university as determined by the 85
board of trustees of such college or university. 86
(D)(1) NOTWITHSTANDING ANY PROVISION OF THE REVISED CODE 89
TO THE CONTRARY, INCLUDING BUT NOT LIMITED TO SECTIONS 102.03,
102.04, 2921.42, AND 2921.43 OF THE REVISED CODE, THE BOARD OF 90
TRUSTEES OF ANY STATE COLLEGE OR UNIVERSITY MAY ADOPT RULES IN 91
ACCORDANCE WITH SECTION 111.15 OF THE REVISED CODE THAT SET FORTH 92
CIRCUMSTANCES UNDER WHICH AN EMPLOYEE OF THE COLLEGE OR
UNIVERSITY MAY SOLICIT OR ACCEPT, AND UNDER WHICH A PERSON MAY 93
GIVE OR PROMISE TO GIVE TO SUCH AN EMPLOYEE, A FINANCIAL INTEREST 94
IN ANY FIRM, CORPORATION, OR OTHER ASSOCIATION TO WHICH THE BOARD 95
HAS ASSIGNED, LICENSED, TRANSFERRED, OR SOLD THE COLLEGE OR 96
UNIVERSITY'S INTERESTS IN DISCOVERIES OR INVENTIONS MADE OR 97
CREATED BY THAT EMPLOYEE OR IN PATENTS ISSUED TO THAT EMPLOYEE. 98
(2) RULES ESTABLISHED UNDER DIVISION (D)(1) OF THIS 100
SECTION SHALL INCLUDE THE FOLLOWING: 101
(a) A REQUIREMENT THAT EACH COLLEGE OR UNIVERSITY EMPLOYEE 103
DISCLOSE TO THE COLLEGE OR UNIVERSITY BOARD OF TRUSTEES ANY 104
FINANCIAL INTEREST THE EMPLOYEE HOLDS IN A FIRM, CORPORATION, OR 105
OTHER ASSOCIATION AS DESCRIBED IN DIVISION (D)(1) OF THIS 106
SECTION;
(b) A REQUIREMENT THAT ALL DISCLOSURES MADE UNDER DIVISION 108
(D)(2)(a) OF THIS SECTION ARE REVIEWED BY OFFICIALS DESIGNATED BY 110
THE COLLEGE OR UNIVERSITY BOARD OF TRUSTEES. THE OFFICIALS 112
DESIGNATED UNDER THIS DIVISION SHALL DETERMINE THE INFORMATION
THAT SHALL BE DISCLOSED AND SAFEGUARDS THAT SHALL BE APPLIED IN 115
ORDER TO MANAGE, REDUCE, OR ELIMINATE ANY ACTUAL OR POTENTIAL 116
CONFLICT OF INTEREST.
(c) A REQUIREMENT THAT IN IMPLEMENTING DIVISION (D) OF 118
THIS SECTION ALL MEMBERS OF THE COLLEGE OR UNIVERSITY BOARD OF 119
TRUSTEES SHALL BE GOVERNED BY CHAPTER 102. AND SECTIONS 2921.42 120
AND 2921.43 OF THE REVISED CODE.
4
(d) GUIDELINES TO ENSURE THAT ANY FINANCIAL INTEREST HELD 122
BY ANY EMPLOYEE OF THE COLLEGE OR UNIVERSITY DOES NOT RESULT IN 123
MISUSE OF THE STUDENTS, EMPLOYEES, OR RESOURCES OF THE COLLEGE OR 125
UNIVERSITY FOR THE BENEFIT OF THE FIRM, CORPORATION, OR OTHER 126
ASSOCIATION IN WHICH SUCH INTEREST IS HELD OR DOES NOT OTHERWISE 127
INTERFERE WITH THE DUTIES AND RESPONSIBILITIES OF THE EMPLOYEE 128
WHO HOLDS SUCH AN INTEREST.
(3) RULES ESTABLISHED UNDER DIVISION (D)(1) OF THIS 130
SECTION MAY INCLUDE OTHER PROVISIONS AT THE DISCRETION OF THE 131
COLLEGE OR UNIVERSITY BOARD OF TRUSTEES. 132
(E) NOTWITHSTANDING DIVISION (D) OF THIS SECTION, THE OHIO 135
ETHICS COMMISSION RETAINS AUTHORITY TO PROVIDE ASSISTANCE TO A
COLLEGE OR UNIVERSITY BOARD OF TRUSTEES IN THE IMPLEMENTATION OF 136
DIVISION (D)(2) OF THIS SECTION AND TO ADDRESS ANY MATTER THAT IS 137
OUTSIDE THE SCOPE OF THE EXCEPTION TO DIVISION (B) OF THIS 138
SECTION AS SET FORTH IN DIVISION (D) OF THIS SECTION OR AS SET 139
FORTH IN RULES ESTABLISHED UNDER DIVISION (D) OF THIS SECTION. 140
Section 2. That existing section 3345.14 of the Revised 142
Code is hereby repealed. 143
Section 3. Within ninety days after the effective date of 145
this section, a committee consisting of representatives of the 146
presidents of the state colleges and universities shall develop 147
in consultation with the Ohio Ethics Commission a model set of 148
rules for the board of trustees of each state college or 149
university to use in adopting its own rules under division (D) of 151
section 3345.14 of the Revised Code. Each state college or 152
university president may designate a representative to serve on 153
the committee. Organization of the committee shall be 154
coordinated by the executive director of the Inter-University 155
Council.