Dunn, who played football for Stanford, will serve as a economic and public policy fellow there through the 2012 academic year, according to a release.
"I look forward to working with preeminent leaders in public policy as we help the Golden State regain some of its luster," he said in a statement.
Dunn, who lost a November bid to unseat Democrat Debra Bowen, is a businessman and former professional football player. The first-time candidate was included on Time magazine's "40 under 40" list of political up-and-comers last fall.
PHOTO CREDIT: In this file photo, Stanford wide receiver Damon Dunn is lifted by teammates after Stanford beat the University of California 21-20 in the 100th Big Game, Saturday, Nov. 22, 1997 at Stanford, Calif., Stadium. (AP Photo/Paul Sakuma)