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Should XSEDE simply adopt the NCSA license? See https://opensource.org/licenses/NCSA
Possibly. I think the proposed copyright statement, dealing with the XSEDE, multi-site contributions, is the more critical component. One potential advantage of using a more widely familiar license (MIT, Apache 2.0), is that those options might be more familiar to the legal offices at the partner sites. UCAR/NCAR, for example, has given blanket approval for MIT, Apache 2.0, and one other I can never remember.
Apologies - I went back to the document and now see that there was an Apache License, Version 2.0 (http://www.apache.org/licenses/LICENSE-2.0) acceptable to UIUC legal, and I think it's OK to use the guidance at that site to require XSEDE developers to include the associated text in their source files and documentation.