The bill focuses on enhancing security measures for small business innovation and economic programs. It amends the Small Business Act to include evaluating security risks, coordination with intelligence and law enforcement agencies, and expanding assessment criteria to include cybersecurity and financial ties to foreign entities, aiming to bolster research security. It also introduces strategic breakthrough funding, reduces administrative burdens, and enhances Phase III award education for small business concerns. The bill aims to improve the Small Business Innovation Research and Small Business Technology Transfer programs by advocating for increased transition of products and services to Phase III, simplified procedures for awards, and extended authorization until September 30, 2031, with provisions for carry-over funds.
Small Business Innovation and Economic Security Act
This bill reauthorizes through FY2031 and modifies the Small Business Innovation Research (SBIR) program, the Small Business Technology Transfer (STTR) program, and related pilot programs. (The SBIR and STTR programs are administered by various federal agencies and provide competitive awards for domestic small businesses to conduct research and development projects that have the potential for commercialization.)
Specifically, the bill expands the requirements for federal agencies administering these programs to evaluate the security risks of the small businesses that apply for awards under the programs. If an agency denies an application for security reasons, the agency must provide the small business with the basis for such determination.
Further, each agency must set a maximum number of proposals per fiscal year that a small business concern may submit in response to Phase I and Phase II solicitations.
The bill expands the training requirements for agencies' contracting officers and acquisition workforce with respect to Phase III (commercialization of technologies) awards under the SBIR and STTR programs.
The bill also establishes strategic breakthrough allocations for critical technology areas. These are additional Phase II SBIR and STTR awards to small businesses that demonstrate an effective technology and receive matching funds.