Addresses questions regarding the possible control of universities by the government through rules requiring reporting for 100 percent of the work of scientists supported by the government. Reviews the project grant system and discusses accounting mistakes and abuses within the system, the agency role, indirect costs, and alternatives. (CS)

Examined are the status of, and potential for, university-industry research partnerships in science and engineering to enhance basic research and stimulate industrial innovation. The current and prospective roles of the federal government in stimulating such relationships are reviewed and discussed. (Author/CS)