The House advanced Wednesday the Small Business Innovation Research and Small Business Technology Transfer Improvements Act (H.R. 2763), which calls for greater transparency from the Small Business Administration (SBA) on these programs.
The Small Business Innovation Research (SBIR) program encourages domestic small businesses to engage in Federal Research/Research and Development (R/R&D) that has the potential for commercialization. Through a competitive awards-based program, SBIR enables small businesses to explore their technological potential and provides the incentive to profit from its commercialization. By including qualified small businesses in the nation’s R&D arena, high-tech innovation is stimulated and the United States gains entrepreneurial spirit as it meets its specific research and development needs.
The Small Business Technology Transfer (STTR) expands funding opportunities in the federal innovation research and development (R&D) arena. Central to the program is the expansion of the public/private sector partnership to include the joint venture opportunities for small businesses and nonprofit research institutions. The unique feature of the STTR program is the requirement for the small business to formally collaborate with a research institution in Phase I and Phase II. STTR’s most important role is to bridge the gap between performance of basic science and commercialization of resulting innovations.
The bill, sponsored by Rep. Steve Knight (R-CA), includes several hard reporting deadlines for participating agencies and for the SBA to provide future Congresses with better information on the programs’ strengths and weaknesses. Additionally, H.R. 2763 ensures that taxpayers reap the benefits of technology developed in the program by requiring the Department of Defense to include the technologies developed in larger programs of record.
“H.R 2763 is one step closer towards a more transparent and safe government,” Knight said. “This bill would give the opportunity for America’s small businesses to participate in the national security needs for innovation in our country.”
Knight said programs like SBIR and STTR are important for the safety and economic stability of the country. These programs sponsor developments that allow the U.S. to compete in the international marketplace and provide innovative tools supported and created by local entrepreneurs that contribute to American security, he added.
“I commend Subcommittee Chairman Knight and the Subcommittee on Contracting and Workforce for their hard work on this vital piece of legislation,” House Small Business Committee Chairman Steve Chabot (R-OH) said. “Small innovators often lead the way in high-tech research and innovation and today’s legislation improves these programs and provides certainty and clarity to thousands of small businesses.”