At the direction of Congress, the National Science Foundation reviewed its cost sharing policy. In a recently released report, NSF has proposed to bring back cost sharing, or "matching funds" requirements, in select agency programs. They are: Engineering Research Centers (ERC), the Experimental Program to Stimulate Competitive Research(EPSCoR), and the Industry/University Cooperative Research Centers (I/UCRC).
The aim of these programs is to build capacity, foster partnerships with industry, encourage the commercialization of technology and promote the sustainability of grant projects. In 2004, mandatory cost sharing was eliminated. NSF's review of this decision revealed that the lack of cost sharing had decreased the effectiveness of these programs and removed the incentive for industry to participate.
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