Subject Despite the enforced Part IV of the Russian Civil Code, the nature of the formalized rights of government agencies to intellectual property is not universal. As a result, many budgetary and autonomous academic and educational institutions are not interested in increasing the efficiency of R&D and transferring the results of inventions to the industrial sector. Objectives The aim is to prepare proposals for the Russian legislation improvement to the extent of exclusive rights to intellectual property created by budgetary institutions using the budgetary funding. Methods The study rests on the analysis of the current situation with the use of intellectual property created by government agencies, and the legal framework for intellectual property rights protection. Results We offer amendments to effective Part IV of the Russian Civil Code, Federal Law № 7-FZ of January 12, 1996 On Non-profit Organizations, and Federal Law № 174-FZ of November 3, 2006 On Autonomous Institutions, and a number of statutory documents regulating the procedure for State jobs formation for government agencies. Conclusions The recommended amendments provide for presuming the exclusive rights of budgetary and autonomous institutions to the intellectual property they create using State budget funds. The proposed new budgetary instrument to be included in the Russian Civil Code, i.e. the agreement for public contract execution, will include provisions defining the rights of interested parties to intellectual property created in the course of executing State jobs for R&D.