Appendices

Appendix 1 - Provincial Review Criteria - Updated November 2004
Appendix 2 - Process for applications to match Canada Foundation for Innovation awards
Appendix 3 - Definition of Capitalizable Asset

Appendix 1 - Provincial Review Criteria - Updated November 2004

Definitions

High quality researchers for the purposes of the B.C. Knowledge Development Fund are defined as researchers who:

• Conduct research of a nature such that the outcomes can potentially lead to advances in a wide range of applications and foster further lines of investigation
• Conduct excellent research in a highly innovative and creative manner
• Have a track record such that other people are taking their research results and building on them - a significant record measured by a combination of:
• Patents and copyrights
• Awards and citations
• Licensing and commercialization activities
• Significant contributions to research (articles, monographs, books, technology transfer, other forms of research output)
• Other activities, such as research training, consulting, contributions to professional practice or public policy, and membership on committees, boards, or policy-making bodies

Operationalization of the guidelines

1. To maximize the economic and social benefits of investing in research infrastructure within British Columbia:

• Economic benefits – indirect, medium term:
• Amount of research to be conducted that will be directed to adding value and enhancing competitiveness relative to the British Columbia economy, such as the enhancement or improvement of aquacultural and silvicultural techniques used to increase production.
• Amount of research that will be directed to developing a new or improved product, process or service that is of direct benefit to British Columbia.
• Potential for spinoff companies in related areas and degree to which research may lead to a “patentable” product or process with strong commercial potential.
• Potential for the future creation of additional employment in British Columbia.
• Degree of industry involvement and collaboration with the research to be conducted in the facility as indicated by one or more of the following:
• Direct industry funding of research.
• Industry in-kind contributions (i.e., use of equipment, facilities, personnel, material, etc.) to research.
• Record or history of placement of graduates in British Columbia-based companies
  
• Economic benefits – direct, immediate:
• Direct job creation in project construction/installation or commercial potential arising from the design and production of research equipment in British Columbia.
• Job creation for new researchers, technicians, support staff and graduate students.
   
• “Public good” research with economic or financial benefits to the province:
• Degree to which the research contributes to reduced cost of public intervention and mitigation (e.g., reduced incidence/cost of treating silicosis in miners, reduced damage due to oil/chemical spills, etc.).
• Degree to which research to be carried out focuses directly on a specific “problem.”
• Ranking according to:
• Degree/commonality of problem.
• Importance or scope of problem.
• Timeline to measurable effect.
  
• Health benefit:
• Degree to which research contributes to reduced mortality and morbidity (reduces cost to health-care system and to employers for sick time).
• Potential for the research to lead to health-care solutions.
• Degree to which research may lead to improved quality of life.
• Ranking according to:
• Incidence of disease or health problem in the population relative to the cost of the project.
• Timeline to cure or useful solution

2. To promote excellence in research and the enhancement of research infrastructure within the province:

• Need to demonstrate how the modernization/acquisition and development of the research infrastructure will enhance the quality, depth and capacity of the research.  

3. To encourage increased collaboration among the province’s post-secondary institutions, as well as between post-secondary institutions and industry (“industry” in this context includes the health-care delivery system):

• Significant financial (or in-kind) contribution by industry to the project.
• Number and scope of joint research activities between post-secondary institutions and industry specifically facilitated by this project.
• For health projects, the number and scope of joint research activities between the post-secondary institution and health-care organizations.
• Number and scope of joint research activities with other post-secondary institutions specifically facilitated by this project. 

4. To improve British Columbia’s ability to attract and retain high-quality researchers and skilled technicians:

• Will the resultant research infrastructure be of sufficient quality (i.e., up-to-date, complete, etc.) to influence a decision to locate or remain in British Columbia (in comparison with similar research infrastructure located outside of British Columbia)?

5. To provide matching funds to public post-secondary institutions, teaching hospitals and affiliated non-profit research agencies that can demonstrate the excellence of their proposals by their ability to compete successfully for private-sector and federal funding such as that available through the Canada Foundation for Innovation:

• Approved for Canada Foundation for Innovation funding.
• Commitment of substantial private-sector funding (minimum of 20 per cent of total project funding).
• High-quality researchers involved in the research to be conducted.
• Researchers’ track record for successfully accessing private and public research funding.

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Appendix 2 - Process for applications to match Canada Foundation for Innovation awards 

This appendix outlines how the B.C. Knowledge Development Fund links to the Canada Foundation for Innovation's Leading Edge Fund and New Initiatives Fund competitions.

Excellence in research remains the priority for provincial research funding decisions. Where requests for funding exceed what is available through the B.C. Knowledge Development Fund , decisions will be made on the basis of the soundness of the research proposal (drawing from the Canada Foundation for Innovation) peer review process and then on whether the funding proposals fit within the province’s strategic priority areas. Government is prioritizing to make sure B.C. research dollars are supporting B.C. research priorities. This second part of the review will take place after the Canada Foundation for Innovation’s peer review, which ensures that only research proposals of the highest quality move forward.

The general provincial priorities are agriculture/food, alternative energy/power technology, health/biotechnology, forestry, high tech (including new media, information communication technology, wireless and environmental technologies), indigenous studies, and ocean sciences (including fisheries/aquaculture). These strategic priorities were chosen because of their particular social and economic importance to British Columbia. They also represent the province’s demonstrated strengths and competitive advantages and areas where the province has particular need of research given its economic and social context. The intent is not to restrict other types of research; given sufficient funding, research in other areas will also receive support from the B.C. Knowledge Development Fund. As well, these are intended to be general, not strictly defined priorities. For example, most fields, such as ocean sciences or health research, include social science research.

The Canada Foundation for Innovation peer review and multidisciplinary advisory committee process will continue to evaluate research proposals based on research excellence, without a screen for the province’s priorities.

• After the advisory committee’s evaluation of proposals, the Province will:
• Identify the projects that best meet its priorities and for which funding can be provided.
• Work with the institutions in finalizing the provincial list of priorities.
• B.C. will send its comments, if any, to the Canada Foundation for Innovation for consideration in the super multidisciplinary advisory committee reviews.
• In the event that the ministry and the institutions cannot reach agreement on which projects should be funded, the ministry may provide comments, if any, separately.
• If, after the completed super multidisciplinary advisory committee C review, B.C. projects recommended for approval exceed the provincial budget:
• The ministry will provide matching funds for its top priority projects, until the amount of funding available is committed.
• The institutions will develop alternative plans with the Canada Foundation for Innovation to determine whether the projects can still proceed.

At this time, the ministry does not intend to prioritize Leaders Opportunity and Canada Research Chair applications.

B.C. Knowledge Development Fund matching funds are subject to budget availability, and therefore, the ministry will develop an appropriate process that results in a prioritized listing of projects for major competitions.

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Appendix 3 - Definition of Capitalizable Asset

All applicants to the B.C. Knowledge Development Fund must ensure that the components of each project can be fully capitalized according to generally accepted accounting principles.

Funds must be spent on capital acquisition, construction and renovation and must be capitalized on the accounts of the receiving entity. Provincial policy follows the Canadian Institute of Chartered Accountants in costing capital assets:

• The cost of a capital asset includes the purchase price and other acquisition costs such as option costs when an option is exercised; brokers' commissions; installation costs, including architectural, design and engineering fees; legal fees; survey costs, site preparation costs; freight charges; transportation insurance costs; duty; testing and preparation charges.
• The cost of a capital asset includes direct construction or development costs (such as materials and labour), as well as overhead costs directly attributable to the construction or development activity.
• A capital asset should be recorded at cost.  

It should be noted that BCKDF eligible costs are not equivalent to Canada Foundation for Innovation (CFI) eligible costs.

The following table defines which CFI eligible costs will also be acceptable for BCKDF funding:

NOTE: if the project is a database, the cost of salaries and contracts involved in surveys and data gathering can be capitalized if they are directly related to developing the database asset.
Under no circumstances will BCKDF fund activities that are currently being funded under an existing operating budget.

BCKDF award recipients are responsible for meeting operational costs associated with BCKDF projects.

These guidelines are subject to change without notice. Applicants are responsible for ensuring they have the most up-to-date version. Any changes will be posted on the BCKDF website.

For more information, please contact:

Vicki Hocking
B.C. Knowledge Development Fund Co-ordinator
Research and Innovation Branch
Ministry of Small Business, Technology and Economic Development
PO Box 9877 Stn Prov Govt
Telephone: 250 387-1069
Email: Vicki.Hocking@gov.bc.ca