Industry quick guide: Research support

The University of Washington routinely partners with industry on research engagements. In fiscal year 2019, the UW received more than $130 million in support from companies in the form of both sponsored projects and gifts.

Sponsored projects

Sponsored projects are customized research engagements with one or more UW researchers. These engagements often begin with a meeting or campus visit where the company identifies a researcher (or researchers) with whom it would like to work. If there is mutual interest in a project, the researcher may submit a short proposal to the company for review. If the company is interested, its representatives work with the researcher to develop a detailed plan that covers the scope, schedule and budget for the project. This plan is then sent to the UW’s Office of Sponsored Programs, which works with the company to negotiate a formal legal agreement covering the project.

The agreement typically includes project milestones and deliverables as well as intellectual property and other contract terms. Industry-sponsored projects are subject to indirect costs at the same level that applies to federal grants. Most researchers like to get at least enough funding to support a graduate student for one year. This fully loaded cost is about $70,000 for an engineering graduate student and does not include costs for faculty time, equipment, materials or travel. The total cost for a one-year project is typically $100,000-$150,000. The researcher may elect to take on a smaller project.

Gifts

Some companies choose to support research at the UW through philanthropic gifts. As with sponsored projects, companies often identify areas they would like to support through hosted campus visits. Once the donor has decided on a recipient and an amount, the UW’s Corporate & Foundation Relations team will work with the company to put together a letter documenting the gift. (Since a gift is philanthropic, there are no contracted deliverables or intellectual property access.) Gifts between $1,000 and $5 million are subject to a 5% gift assessment. Gifts may be tax-deductible.

Companies may also provide gift support to the University through in-kind donations of equipment or software or through below-market discounts on its products. In-kind donations may be tax-deductible, but the company must develop its own assessment of the value of its gift for tax purposes.

Key aspects of sponsored projects and gifts

Item	Sponsored projects	Gifts
Scope	Specific research project	Research project, topic, department or college
Documentation	Project plan and legal agreement	Gift letter
Payment	Cash	Cash, in-kind donation
Indirect costs	Yes	5% gift assessment (for gifts between $1,000 and $5 million)
Deliverables and milestones	Yes	No
Intellectual property access	Yes	No