Priority for funding is given to proposals that, in some combination:

1. Involve emerging scientific or technology fields that have a reasonable probability of enhancing this state ’s national and global economic competitiveness;
2. May result in a medical or scientific breakthrough;
3. Are matched with other available funds, including funds from the private or nonprofit entity or institution of higher education collaborating on the project;
4. Have a demonstrable economic development benefit to this state; or
5. Guarantee commercialization or manufacturing in Texas if successful.

Additionally, the ETF prefers:

1. To match prior cash equity investments (non founder, not in-kind);
2. Deals that can NOT be covered by other state public policy mechanisms/funds;
3. To follow same terms as lead investor;
4. That ETF grants make a difference in the company’s success
5. That the preponderance of jobs developed by a successful venture pay > $18/hr; and
6. Other economic benefits identified by entity and tracked by RCIC % of payback can go to RCIC(s) that sponsored the deal.

The fund can reinvest twice in same company, but not in same year and only if meeting milestones (still to follow a lead investor with match).  The ETF has a score sheet for deciding which deals get recommended.  The scoresheet can be found under the Documents tab. 

Guarantee of Action by Participating Entities

Entities participating in a regional center of innovation and commercialization that receive funding or another incentive shall guarantee by contract with the governor’s office that they will perform certain actions expected to benefit the state of Texas:

1. GUARANTEE OF COMMERCIALIZATION OR MANUFACTURING IN TEXAS. A person or entity awarded money from the fund under this subchapter must guarantee by contract that a substantial percentage of any new or expanded commercialization or manufacturing of any real or intellectual product resulting from the award will be established in this state.
2. AUTHORIZED EXPENSES.  A person awarded money from the fund under this subchapter may use the money to expedite commercialization that will lead to an increase in high-quality jobs in this state and shall use the money in accordance with a contract between the person and the committee.  Authorized expenses under this section may include salaries and benefits, travel, consumable supplies, other operating expenses, contracted research and development, capital equipment, construction or renovation of state or private facilities, and workforce training.

GENERAL APPLICATION INFORMATION
The current version of the venture proposal application form and scoring criteria, submittal schedules, RCIC contact information, “Frequently Asked Questions”, etc. are available online at the ntxrcic.org website as soon as available from the state ETF staff.

GRANTS
No limits are set on the amount an entity may apply for; however, the ETF Advisory Guiding Principles cite in their Portfolio Strategy (See ntxrcic.org website) that statewide in

Year 1:  

• $25M for pre seed (~$100K to ~$750K - first money in) Average deal ~$500K = 50 deals in yr 1
• $25M for early stage (~$500K to ~$2.5M, not to exceed $5M) Average deal $1M = 25 Deals in yr 1
• Total = ~75 deals per year

Year 2:   Adjust based on feedback, successes, failures, and lessons learned

Please review the ETF Committee’s “Guiding Principles” on our website for further information relevant to proposal development for the CGP program

DEADLINE FOR PROPOSALS
The deadline for the next group of CGP proposals to the RGRCIC is 5:00 P.M., December 19, 2006.  Subsequently, final decision for awards will be made by the state leadership based on recommendations from the State ETF Advisory Committee.  The rgrcic.org website includes more information on schedules (CGP Program Key Dates), evaluation, awarding of grants, etc.

COMPLETED APPLICATIONS
All proposals are submitted electronically to the RGRCIC per directions on the website’s “Submission Process” section.  Proposals must be accompanied by a $250 filing fee. Fee is paid on-line on the "Apply for Funding" page of this website.  No proposal will begin evaluation until payment is received.

An application must include:

1. Be submitted by December 19, 2006 at 5pm CST 
2. The completed application form (with signature on page 4) and required attachments (including business plan).
3. The required two-page “executive summary” form
4. The Application fee

FREQUENTLY ASKED QUESTIONS (FAQ’s)
The RGRCIC website contains FAQ’s and answers relative to the CGM application process, and it is expected that potential proposers will have read these before contacting RGRCIC personnel with additional questions.

RCIC CONTACTS FOR POTENTIAL CGP PROPOSERS
For additional information about the CGP program and the application process, contact:

Miguel Gonzalez-- gonzalezma@rgrcic.org

Commercialization Grant Programs
Regional Center for Innovation & Commercialization
1201 W. Univerisity Drive, Edinburg, TX 78539
956-381-2673(O) 

last updated 5-19-06