SB 1182 - This act creates the Missouri Discovery Alliance within the Department of Economic Development as a replacement for the Missouri Technology Corporation and the Missouri Discovery Fund. The Missouri Discovery Alliance shall have the same authorizations and authorities as the Missouri Technology Corporation had.
This act defines the term "technology business recruitment" as the process of moving investment-grade technology from a business, university, or laboratory into the marketplace for application. The Missouri Discovery Alliance may contract with not-for-profit organizations to achieve: 1) the enhancement of technology application; 2) technology commercialization; 3) the enhancement of technology development; and 4) the enhancement of technology business recruitment. Any contract entered into by the Missouri Discovery Alliance and a not-for-profit organization shall require the not-for-profit organization to provide at least a one hundred percent match for any funding received from the Alliance through the Missouri Discovery Fund.
This act sets out the necessary items to be included in the articles of incorporation for the Missouri Discovery Alliance. The Alliance may: 1) establish a statewide business modernization network to assist Missouri businesses in identifying ways to enhance productivity and market competitiveness; 2) identify scientific and technological problems and opportunities related to Missouri's economy and formulate proposals to overcome such problems and realize opportunities; 3) Determine specific areas in which financial investment in scientific and technological research and development will contribute to improvement or could be enhanced; 4)assist in establishing cooperative associations for the purpose of coordinating research and development programs that will aid in the creation of jobs; 5) make and direct seed capital or venture capital investments in Missouri business investment funds or businesses which would result in growth and job creation.
The Missouri Discovery Alliance is allowed to authorize up to ten million dollars in tax credits per fiscal year to investors in qualifying companies. Investors contributing the first five hundred thousand dollars may be issued either a thirty or forty percent tax credit depending on whether the qualified company is located in a rural or distressed area or not. A reserve of tax credits is permitted for investors who contribute the first five million dollars to the qualified company. Investors may be issued either a thirty or forty percent tax credit depending on whether the qualified company is located in a rural or distressed area or not. The Discovery Alliance may issue tax credits for fifty percent of the cost of a technology commercialization infrastructure project. A fifty percent tax credit may be issued to business firms for expenditures related to industrial research conducted at a public research institution or private not-for-profit research institution, as long as the collaborative research project is approved by the Alliance.
The tax credits provided under this act may be used against the taxpayers income tax liability, are non-refundable, but may be carried forward for three years until used. The tax credits are fully transferrable.