Cross-sector research collaboration is viewed as one of the most important elements of a national innovation system. Collaborative university-industry R&D has benefits for universities, for industry, and for the U.S. economy. Collaboration can speed discovery and its application to important societal problems. The aim of this report is to investigate the state of industry-university research collaboration and to identify methods and practices that might recouple university and industry research with the twin goals of solving important societal problems and generating renewed competitiveness for the U.S. economy. Research questions were explored by conducting interviews with both university leaders working to improve industry R&D engagement and industry leaders working on university partnerships. This report details the significant value universities can provide industry in partnerships, including access to: cutting-edge labs and facilities, opportunities to pursue federal research funding, students who build companies' talent pipeline, and access to interdisciplinary solutions to vexing problems facing industry, among other things. A strong base of research demonstrates that firms collaborating with universities have higher innovation productivity and sales. For universities, partnerships with industry offer opportunities for additional applied research, unique research assets, co-investment in long-term research in strategic priority areas, among other benefits. The report also details policies lawmakers at the local, state, and federal levels can take to foster stronger university-industry partnerships.