Version	Word Count	Changes From Previous Version	Percent Change
Introduced in House	7,838	n/a	n/a
Reported in House	8,101	31	4%
Engrossed in House	9,089	64	27%
Referred in Senate	9,035	5 Show Changes Hide Changes	2%

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HR 5819 EHRFSCommentsClose CommentsPermalink

110th CONGRESS 2d Session H. R. 5819 AN ACT

To amend the Small Business Act to improve the Small Business Innovation Research (SBIR) program and the Small Business Technology Transfer (STTR) program, and for other purposes.CommentsClose CommentsPermalink

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, CommentsClose CommentsPermalink

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title- This Act may be cited as the `SBIR/STTR Reauthorization Act'.CommentsClose CommentsPermalink





(b) Table of Contents- The table of contents for this Act is as follows:CommentsClose CommentsPermalink





Sec. 1. Short title; table of contents.CommentsClose CommentsPermalink

TITLE I--MODERNIZING THE SBIR AND STTR PROGRAMS

Sec. 101. Extension of termination dates.CommentsClose CommentsPermalink





Sec. 102. Increased SBIR and STTR award levels.CommentsClose CommentsPermalink





Sec. 103. Establishment of SBIR advisory boards.CommentsClose CommentsPermalink





Sec. 104. Increase in amount of technical assistance funds and option to purchase technical assistance directly.CommentsClose CommentsPermalink





Sec. 105. Increased number of research topic solicitations annually and shortened period for final decisions on applications.CommentsClose CommentsPermalink





Sec. 106. Inclusion of energy-related research topics and rare-disease-related research topics as deserving `special consideration' as SBIR research topics.CommentsClose CommentsPermalink





Sec. 107. Agencies should fund vital R&D projects with the potential for commercialization.CommentsClose CommentsPermalink





Sec. 108. Federal agency engagement with SBIR awardees that have been awarded multiple Phase One awards but have not been awarded Phase Two awards.CommentsClose CommentsPermalink





Sec. 109. Limitation on certain awards.CommentsClose CommentsPermalink





Sec. 110. Comptroller General audit of how Federal agencies calculate extramural research budgets.CommentsClose CommentsPermalink





Sec. 111. Providing explanations to unsuccessful applicants.CommentsClose CommentsPermalink

TITLE II--VENTURE CAPITAL INVESTMENT STANDARDS

Sec. 201. Ensuring that innovative small businesses with substantial investment from venture capital operating companies are able to participate in the SBIR program.CommentsClose CommentsPermalink

TITLE III--SBIR AND ECONOMIC DEVELOPMENT

Sec. 301. Reauthorization and modernization of Federal and State Technology Partnership Program (FAST).CommentsClose CommentsPermalink





Sec. 302. Obtaining SBIR applicant's consent to release contact information to economic development organizations.CommentsClose CommentsPermalink

TITLE IV--ADVANCING COMMERCIALIZATION OF SBIR-FUNDED RESEARCH

Sec. 401. Clarifying the definition of `Phase Three'.CommentsClose CommentsPermalink





Sec. 402. Agency research goals.CommentsClose CommentsPermalink





Sec. 403. Express authority for an agency to award sequential Phase Two awards for SBIR-funded projects.CommentsClose CommentsPermalink





Sec. 404. Increased partnerships between SBIR awardees and prime contractors, venture capital investment companies, and larger businesses.CommentsClose CommentsPermalink





Sec. 405. Express authority to `fast-track' Phase Two awards for promising Phase One research.CommentsClose CommentsPermalink





Sec. 406. Commercialization programs.CommentsClose CommentsPermalink





Sec. 407. Report on efforts to enhance manufacturing activities.CommentsClose CommentsPermalink

TITLE V--SUPPORTING PROGRAM UTILIZATION

Sec. 501. Agency databases to support program evaluation.CommentsClose CommentsPermalink





Sec. 502. Agency databases to support technology utilization.CommentsClose CommentsPermalink





Sec. 503. Interagency Policy Committee.CommentsClose CommentsPermalink





Sec. 504. Nanotechnology-related research topics.CommentsClose CommentsPermalink





Sec. 505. Rural preference.CommentsClose CommentsPermalink





Sec. 506. Priority for areas that have lost a major source of employment.CommentsClose CommentsPermalink





Sec. 507. Veterans preference.CommentsClose CommentsPermalink





Sec. 508. Initiative to publicize the SBIR program to veterans.CommentsClose CommentsPermalink





Sec. 509. Preference for organizations that are making significant contributions towards energy efficiency.CommentsClose CommentsPermalink

TITLE VI--IMPLEMENTATION

Sec. 601. Conforming amendments to the SBIR and STTR policy directives.CommentsClose CommentsPermalink





Sec. 602. National Research Council SBIR Study.CommentsClose CommentsPermalink





Sec. 603. SBIR awardee business operations.CommentsClose CommentsPermalink





Sec. 604. Prohibition of awards to aliens unlawfully present in the United States.CommentsClose CommentsPermalink





Sec. 605. Prohibition on awards to firms in violation of immigration laws.CommentsClose CommentsPermalink

TITLE I--MODERNIZING THE SBIR AND STTR PROGRAMS

SEC. 101. EXTENSION OF TERMINATION DATES.

(a) SBIR- Section 9(m) of the Small Business Act (15 U.S.C. 638(m)) is amended by striking `2008' and inserting `2010'.CommentsClose CommentsPermalink





(b) STTR- Section 9(n)(1)(A) of the Small Business Act (15 U.S.C. 638(n)(1)(A)) is amended by striking `2009' and inserting `2010'.CommentsClose CommentsPermalink

SEC. 102. INCREASED SBIR AND STTR AWARD LEVELS.

(a) SBIR Award Level- Section 9(j)(2)(D) of the Small Business Act (15 U.S.C. 638(j)(2)(D)) is amended by striking `$100,000' and `$750,000' and inserting `$300,000' and `$2,200,000', respectively.CommentsClose CommentsPermalink





(b) STTR Award Level- Section 9(p)(2)(B)(ix) of the Small Business Act (15 U.S.C. 638(p)(2)(B)(ix)) is amended by striking `$100,000' and `$750,000' and inserting `$300,000' and `$2,200,000', respectively.CommentsClose CommentsPermalink





(c) Annual Adjustments- Section 9 of the Small Business Act (15 U.S.C. 638) is amended--CommentsClose CommentsPermalink





(1) in subsection (j)(2)(D), by striking `and an adjustment of such amounts once every 5 years to reflect economic adjustments and programmatic considerations' and inserting `and a mandatory annual adjustment of such amounts to reflect economic adjustments and programmatic considerations'; andCommentsClose CommentsPermalink





(2) in subsection (p)(2)(B)(ix), by striking `greater or lesser amounts' and inserting `with a mandatory annual adjustment of such amounts to reflect economic adjustments and programmatic considerations, and with lesser amounts'.CommentsClose CommentsPermalink





(d) Limitation on Certain Awards- Section 9 of the Small Business Act (15 U.S.C. 638) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(z) Limitation on Phase I and II Awards-CommentsClose CommentsPermalink





`(1) IN GENERAL- No Federal agency shall issue an award under the SBIR program or the STTR program if the size of the award exceeds the amounts established under subsections (j)(2)(D) and (p)(2)(B)(ix), except as provided in paragraph (2).CommentsClose CommentsPermalink





`(2) EXCEPTION- The prohibition in paragraph (1) does not apply to an agency for a fiscal year if the head of the agency--CommentsClose CommentsPermalink





`(A) notifies the Administrator that the agency intends to issue awards in that fiscal year without regard to the prohibition in paragraph (1); andCommentsClose CommentsPermalink





`(B) reports to the Committee on Small Business and the Committee on Science and Technology of the House of Representatives and the Committee on Small Business and Entrepreneurship of the Senate at least annually the number of instances in which the agency issued an award that exceeds the amounts referred to in paragraph (1) and the justification for each such instance.'.CommentsClose CommentsPermalink

SEC. 103. ESTABLISHMENT OF SBIR ADVISORY BOARDS.

(a) In General- Section 9 of the Small Business Act (15 U.S.C. 638) is amended by inserting after subsection (z) the following:CommentsClose CommentsPermalink





`(aa) SBIR Advisory Boards-CommentsClose CommentsPermalink





`(1) ADVISORY BOARDS REQUIRED- Each Federal agency that is required by this section to conduct an SBIR program and that administers annually $50,000,000 or more in SBIR grants shall have an SBIR advisory board.CommentsClose CommentsPermalink





`(2) MEMBERS- For each advisory board required by paragraph (1), the members of the advisory board shall include--CommentsClose CommentsPermalink





`(A) at least two individuals who are employees of the agency;CommentsClose CommentsPermalink





`(B) at least two representatives of private sector technology firms;CommentsClose CommentsPermalink





`(C) at least one individual who is a veteran who owns a small business concern owned and controlled by veterans; andCommentsClose CommentsPermalink





`(D) such other individuals as the agency considers appropriate.CommentsClose CommentsPermalink





`(3) SECURITY CLEARANCES- Where it is appropriate to the work of an advisory board required by paragraph (1) that the members and staff of the advisory board have a security clearance, the appropriate departments and agencies of the executive branch shall cooperate with the advisory board to expeditiously provide members and staff with appropriate security clearances to the extent possible under applicable procedures and requirements.CommentsClose CommentsPermalink





`(4) MEETINGS- Each advisory board required by paragraph (1) shall meet at least two times per year.CommentsClose CommentsPermalink





`(5) DUTIES- Each advisory board required by paragraph (1) shall--CommentsClose CommentsPermalink





`(A) review the quarterly reports submitted under subsection (g)(8);CommentsClose CommentsPermalink





`(B) make recommendations to the agency about potential modifications to the agency's SBIR program that are intended to--CommentsClose CommentsPermalink





`(i) encourage applications, particularly applications from small business concerns owned and controlled by women, small business concerns owned and controlled by minorities, small business concerns owned and controlled by service-disabled veterans, and small business concerns in States and regions that historically receive few SBIR awards; andCommentsClose CommentsPermalink





`(ii) support commercialization of Federal research funded by SBIR awards; andCommentsClose CommentsPermalink





`(C) submit to the Committee on Small Business and the Committee on Science and Technology of the House of Representatives and the Committee on Small Business and Entrepreneurship of the Senate an annual report on the SBIR program conducted by the agency.CommentsClose CommentsPermalink





`(6) CONTENTS OF ANNUAL REPORT- The annual report required by paragraph (5)(C) shall include a description of how that agency's SBIR program is functioning and any recommendations of the advisory board for strengthening that agency's SBIR program. The annual report shall also state the number and dollar amount of awards under the agency's SBIR program, and under the agency's STTR program, that were made to small business concerns owned and controlled by women, small business concerns owned and controlled by minorities, small business concerns owned and controlled by veterans, and small business concerns in States and regions that historically receive few SBIR awards.CommentsClose CommentsPermalink





`(7) NON-APPLICABILITY OF FACA- The Federal Advisory Committee Act (5 U.S.C. App.) shall not apply to an advisory board required by paragraph (1).'.CommentsClose CommentsPermalink





(b) Agency Reports to SBIR Advisory Boards- Section 9(g)(8) of the Small Business Act (15 U.S.C. 638(g)(8)) is amended by inserting before the semicolon at the end the following: `and, if the agency is required by subsection (aa) to have an SBIR advisory board, submit a quarterly report on the SBIR program to that SBIR advisory board'.CommentsClose CommentsPermalink

SEC. 104. INCREASE IN AMOUNT OF TECHNICAL ASSISTANCE FUNDS AND OPTION TO PURCHASE TECHNICAL ASSISTANCE DIRECTLY.

Section 9(q) of the Small Business Act (15 U.S.C. 638(q)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1)--CommentsClose CommentsPermalink





(A) by striking `paragraph (2)' and inserting `paragraph (2)(A), or another Federal agency under paragraph (2)(B),';CommentsClose CommentsPermalink





(B) by striking `and' at the end of subparagraph (C);CommentsClose CommentsPermalink





(C) by striking the period at the end of subparagraph (D) and inserting `; and'; andCommentsClose CommentsPermalink





(D) by adding at the end the following new subparagraph:CommentsClose CommentsPermalink





`(E) implementing manufacturing processes and production strategies for utilization.';CommentsClose CommentsPermalink





(2) by amending paragraph (2) to read as follows:CommentsClose CommentsPermalink





`(2) ASSISTANCE PROVIDERS-CommentsClose CommentsPermalink





`(A) VENDOR SELECTION- Each agency may select a vendor to assist small business concerns to meet the goals listed in paragraph (1) for a term not to exceed 3 years. Such selection shall be competitive and shall utilize merit-based criteria.CommentsClose CommentsPermalink





`(B) INTERAGENCY COLLABORATION- In addition, each agency may enter into a collaborative agreement with the technical extension or assistance programs of other Federal agencies in order to provide the assistance described in paragraph (1).'; andCommentsClose CommentsPermalink





(3) in paragraph (3)--CommentsClose CommentsPermalink





(A) in subparagraph (A) by striking `$4,000' and inserting `$5,000';CommentsClose CommentsPermalink





(B) by amending subparagraph (B) to read as follows:CommentsClose CommentsPermalink





`(B) SECOND PHASE- Each agency referred to in paragraph (1) may provide directly, or authorize any second phase SBIR award recipient to purchase with funds available from their SBIR awards, services described in paragraph (1), in an amount equal to not more than $8,000 per year, per award.'; andCommentsClose CommentsPermalink





(C) by adding at the end the following:CommentsClose CommentsPermalink





`(C) AUTHORITY TO OPT OUT- The Administrator shall establish guidelines under which an award recipient eligible to receive services under subparagraph (A) may decline those services and receive instead an amount equal to not more than $2,500, which shall be in addition to the amount of the recipient's award and which shall be used to purchase services described in paragraph (1).'.CommentsClose CommentsPermalink

SEC. 105. INCREASED NUMBER OF RESEARCH TOPIC SOLICITATIONS ANNUALLY AND SHORTENED PERIOD FOR FINAL DECISIONS ON APPLICATIONS.

(a) Increased Number of Research Topic Solicitations- Section 9(g)(2) of the Small Business Act (15 U.S.C. 638(g)(2)) is amended by inserting before the semicolon at the end the following: `, but not less often than twice per year'.CommentsClose CommentsPermalink





(b) Shortened Period for Final Decisions on Applications- Section 9(g)(4) of that Act (15 U.S.C. 638(g)(4)) is amended--CommentsClose CommentsPermalink





(1) by inserting before the semicolon at the end the following: `: Provided, That if the agency is required by subsection (aa) to have an SBIR advisory board--'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(A) a final decision on each proposal shall be rendered not later than 90 days after the date on which the solicitation closes;CommentsClose CommentsPermalink





`(B) the SBIR advisory board may, on a case by case basis, extend the 90 days to 180 days; andCommentsClose CommentsPermalink





`(C) the SBIR advisory board shall include in each annual report to Congress under subsection (aa) a statement identifying how many times a decision was not rendered in 90 days, how many times an extension was granted, and how many times a decision was not rendered in 180 days;'.CommentsClose CommentsPermalink

SEC. 106. INCLUSION OF ENERGY-RELATED RESEARCH TOPICS AND RARE-DISEASE-RELATED RESEARCH TOPICS AS DESERVING `SPECIAL CONSIDERATION' AS SBIR RESEARCH TOPICS.

Section 9(g)(3) of the Small Business Act (15 U.S.C. 638(g)(3)) is amended--CommentsClose CommentsPermalink





(1) in the matter preceding subparagraph (A) by inserting after `critical technologies' the following: `or pressing research priorities';CommentsClose CommentsPermalink





(2) at the end of subparagraph (A) by striking `or'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(C) the National Academy of Sciences, in the final report issued by the `America's Energy Future: Technology Opportunities, Risks, and Tradeoffs' project, and in subsequent reports issued by the National Academy of Sciences on sustainability, energy, and alternative fuels;CommentsClose CommentsPermalink





`(D) the National Institutes of Health, in the annual report on the rare diseases research activities of the National Institutes of Health for fiscal year 2005, and in subsequent reports issued by the National Institutes of Health on rare diseases research activities;CommentsClose CommentsPermalink





`(E) the National Academy of Sciences, in the final report issued by the `Transit Research and Development: Federal Role in the National Program' project and the `Transportation Research, Development and Technology Strategic Plan (2006-2010)' issued by the United States Department of Transportation Research and Innovative Technology Administration, and in subsequent reports issued by the National Academy of Sciences and United States Department of Transportation on transportation and infrastructure; or'.CommentsClose CommentsPermalink

SEC. 107. AGENCIES SHOULD FUND VITAL R&D PROJECTS WITH THE POTENTIAL FOR COMMERCIALIZATION.

Section 9(j)(2) of the Small Business Act (15 U.S.C. 638(j)(2)), as amended by section 103, is further amended--CommentsClose CommentsPermalink





(1) in subparagraph (H) by striking `and' at the end;CommentsClose CommentsPermalink





(2) in subparagraph (I) by striking the period at the end and inserting `; and'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(J) procedures to ensure that the Administrator, on an annual basis, submits to the Committee on Small Business and the Committee on Science and Technology of the House of Representatives and the Committee on Small Business and Entrepreneurship of the Senate a list identifying each small business concern that, for the period covered by the preceding 5 fiscal years, received 15 or more first phase SBIR awards and no second phase SBIR awards.'.CommentsClose CommentsPermalink

SEC. 108. FEDERAL AGENCY ENGAGEMENT WITH SBIR AWARDEES THAT HAVE BEEN AWARDED MULTIPLE PHASE ONE AWARDS BUT HAVE NOT BEEN AWARDED PHASE TWO AWARDS.

Section 9(j) of the Small Business Act (15 U.S.C. 638(j)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(4) REQUIREMENTS RELATING TO FEDERAL AGENCY ENGAGEMENT WITH CERTAIN FIRST PHASE SBIR AWARDEES- The Administrator shall modify the policy directives issued pursuant to this subsection to provide for each Federal agency required by this section to conduct an SBIR program to engage with SBIR awardees that have been awarded multiple first phase SBIR awards but have not been awarded any second phase SBIR awards and to develop performance metrics to measure awardee progression in the SBIR program.'.CommentsClose CommentsPermalink

SEC. 109. LIMITATION ON CERTAIN AWARDS.

Section 9 of the Small Business Act (15 U.S.C. 638) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(bb) Subsequent Phases-CommentsClose CommentsPermalink





`(1) IN GENERAL- A small business concern which received an award from a Federal agency under this section shall be eligible to receive an award for a subsequent phase from another Federal agency, if the head of each relevant Federal agency makes a written determination that the topics of the relevant awards are the same.CommentsClose CommentsPermalink





`(2) CROSSOVER BETWEEN PROGRAMS- A small business concern which received an award under this section under the SBIR program or the STTR program may, at the discretion of the granting agency, receive an award under this section for a subsequent phase in either the SBIR program or the STTR program.CommentsClose CommentsPermalink





`(3) PHASE II SBIR APPLICATIONS- An agency may permit an applicant to apply directly for a Phase II award, as described in subsection (e)(4)(B), without first completing a Phase I award, as described in subsection (e)(4)(A), if the applicant can demonstrate that project feasibility was achieved without SBIR or other Federal funding.CommentsClose CommentsPermalink





`(4) PHASE II STTR APPLICATIONS- An agency may permit an applicant to submit proposals for Phase II awards, as described in subsection (e)(6)(B), without first completing a Phase I award, as described in subsection (e)(6)(A), if the applicant can demonstrate it has accomplished Phase I through cooperative research and development achieved without STTR or other Federal funding.CommentsClose CommentsPermalink





`(cc) Waiver of Minimum Work Requirement- A Federal agency making an SBIR or STTR award under this section may waive the minimum small business concern or research institution work requirements under subsection (e)(7) if the agency determines that to provide such waiver would be consistent with the purposes of this section and consistent with achieving the objectives of the award proposal.'.CommentsClose CommentsPermalink

SEC. 110. COMPTROLLER GENERAL AUDIT OF HOW FEDERAL AGENCIES CALCULATE EXTRAMURAL RESEARCH BUDGETS.

The Comptroller General of the United States shall carry out a detailed audit of how Federal agencies calculate extramural research budgets for purposes of calculating the size of the agencies' Small Business Innovation Research and Small Business Technology Transfer budgets. Not later than 1 year after the date of the enactment of this Act, the Comptroller General shall submit to the Committee on Small Business and the Committee on Science and Technology of the House of Representatives and the Committee on Small Business and Entrepreneurship of the Senate a report on the results of the audit.CommentsClose CommentsPermalink

SEC. 111. PROVIDING EXPLANATIONS TO UNSUCCESSFUL APPLICANTS.

Section 9 of the Small Business Act (15 U.S.C. 638) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(dd) Providing Explanations to Unsuccessful Applicants- Whenever an entity applies for, but does not receive, an award under an SBIR or STTR program under this section, the Federal agency conducting the program shall--CommentsClose CommentsPermalink





`(1) in a plain and conspicuous manner, notify that entity that it can request an explanation (which must be of a constructive nature) of the reasons why the entity did not receive the award; andCommentsClose CommentsPermalink





`(2) provide such an explanation to that entity, if the entity so requests.'.CommentsClose CommentsPermalink

TITLE II--VENTURE CAPITAL INVESTMENT STANDARDS

SEC. 201. ENSURING THAT INNOVATIVE SMALL BUSINESSES WITH SUBSTANTIAL INVESTMENT FROM VENTURE CAPITAL OPERATING COMPANIES ARE ABLE TO PARTICIPATE IN THE SBIR PROGRAM.

Section 9(e) of the Small Business Act (15 U.S.C. 638(e)) is amended by striking `and' at the end of paragraph (8), striking the period at the end of paragraph (9) and inserting `; and', and adding at the end the following:CommentsClose CommentsPermalink





`(10) effective only for the SBIR and STTR programs, notwithstanding any other amendment made by the SBIR/STTR Reauthorization Act, the following shall apply:CommentsClose CommentsPermalink





`(A) A business concern that has more than 500 employees shall not qualify as a small business concern.CommentsClose CommentsPermalink





`(B) In determining whether a small business concern is independently owned and operated under section 3(a)(1) or meets the small business size standards instituted under section 3(a)(2), the Administrator shall not consider a business concern to be affiliated with a venture capital operating company (or with any other business that the venture capital operating company has financed) if--CommentsClose CommentsPermalink





`(i) the venture capital operating company does not own 50 percent or more of the business concern; andCommentsClose CommentsPermalink





`(ii) employees of the venture capital operating company do not constitute a majority of the board of directors of the business concern.CommentsClose CommentsPermalink





`(C) A business concern shall be deemed to be `independently owned and operated' if--CommentsClose CommentsPermalink





`(i) it is owned in majority part by one or more natural persons or venture capital operating companies;CommentsClose CommentsPermalink





`(ii) there is no single venture capital operating company that owns 50 percent or more of the business concern; andCommentsClose CommentsPermalink





`(iii) there is no single venture capital operating company the employees of which constitute a majority of the board of directors of the business concern.CommentsClose CommentsPermalink





`(D) If a venture capital operating company controlled by a business with more than 500 employees (in this subparagraph referred to as a `VCOC under large business control') has an ownership interest in a small business concern that is owned in majority part by venture capital operating companies, the small business concern is eligible to receive an award under the SBIR or STTR program only if--CommentsClose CommentsPermalink





`(i) not more than two VCOCs under large business control have an ownership interest in the small business concern;CommentsClose CommentsPermalink





`(ii) the VCOCs under large business control do not collectively own more than 20 percent of the small business concern; andCommentsClose CommentsPermalink





`(iii) the VCOCs under large business control do not collaborate with each other to exercise more control over the small business concern than they could otherwise exercise individually.CommentsClose CommentsPermalink





`(E) The term `venture capital operating company' means a business concern--CommentsClose CommentsPermalink





`(i) that--CommentsClose CommentsPermalink





`(I) is a Venture Capital Operating Company, as that term is defined in regulations promulgated by the Secretary of Labor; orCommentsClose CommentsPermalink





`(II) is an entity that--CommentsClose CommentsPermalink

`(aa) is registered under the Investment Company Act of 1940 (15 U.S.C. 80a-51 et seq.); orCommentsClose CommentsPermalink

`(bb) is an investment company, as defined in section 3(c)(14) of such Act (15 U.S.C. 80a-3(c)(14)), which is not registered under such Act because it is beneficially owned by less than 100 persons; andCommentsClose CommentsPermalink

`(ii) that is itself organized or incorporated and domiciled in the United States, or is controlled by a business concern that is incorporated and domiciled in the United States.'.CommentsClose CommentsPermalink

TITLE III--SBIR AND ECONOMIC DEVELOPMENT

SEC. 301. REAUTHORIZATION AND MODERNIZATION OF FEDERAL AND STATE TECHNOLOGY PARTNERSHIP PROGRAM (FAST).

Section 9 of the Small Business Act (15 U.S.C. 638) is amended by inserting after subsection (r) the following:CommentsClose CommentsPermalink





`(s) Outreach and Support Activities-CommentsClose CommentsPermalink





`(1) IN GENERAL- Subject to the other provisions of this subsection, the Administrator shall make grants on a competitive basis to organizations, to be used by the organizations to do one or both of the following:CommentsClose CommentsPermalink





`(A) To conduct outreach efforts to increase participation in the programs under this section.CommentsClose CommentsPermalink





`(B) To provide application support and entrepreneurial and business skills support to prospective participants in the programs under this section.CommentsClose CommentsPermalink





`(2) PROGRAM AUTHORITY- Of the amounts made available to carry out this section for each of fiscal years 2009 through 2010, the Administrator may expend not more than $10,000,000 in each such fiscal year to carry out paragraph (1).CommentsClose CommentsPermalink





`(3) AMOUNT OF ASSISTANCE- For each of subparagraphs (A) and (B) of paragraph (1), the amount of assistance provided to an organization under that subparagraph in any fiscal year--CommentsClose CommentsPermalink





`(A) shall be equal to the total amount of matching funds from non-Federal sources provided by the organization; andCommentsClose CommentsPermalink





`(B) shall not exceed $250,000.CommentsClose CommentsPermalink





`(4) DIRECTION- An organization receiving funds under paragraph (1) shall, in using those funds, direct its activities at one or both of the following:CommentsClose CommentsPermalink





`(A) Small business concerns located in geographic areas that are underrepresented in the programs under this section.CommentsClose CommentsPermalink





`(B) Small business concerns owned and controlled by women, small business concerns owned and controlled by service-disabled veterans, and small business concerns owned and controlled by minorities.CommentsClose CommentsPermalink





`(5) ADVISORY BOARD-CommentsClose CommentsPermalink





`(A) ESTABLISHMENT- Not later than 90 days after the date of the enactment of this subsection, the Administrator shall establish an advisory board for the activities carried out under this subsection.CommentsClose CommentsPermalink





`(B) NON-APPLICABILITY OF FACA- The Federal Advisory Committee Act (5 U.S.C. App.) shall not apply to the advisory board.CommentsClose CommentsPermalink





`(C) MEMBERS- The members of the advisory board shall include the following:CommentsClose CommentsPermalink





`(i) The Administrator (or the Administrator's designee).CommentsClose CommentsPermalink





`(ii) For each Federal agency required by this section to conduct an SBIR program, the head of the agency (or the designee of the head of the agency).CommentsClose CommentsPermalink





`(iii) Representatives of small business concerns that are current or former recipients of SBIR awards, or representatives of organizations of such concerns.CommentsClose CommentsPermalink





`(iv) Representatives of service providers of SBIR outreach and assistance, or representatives of organizations of such service providers.CommentsClose CommentsPermalink





`(D) DUTIES- The advisory board shall have the following duties:CommentsClose CommentsPermalink





`(i) To develop guidelines for awards under paragraph (1)(A), including guidelines relating to award sizes, proposal requirements, metrics for monitoring awardee performance, and metrics for measuring overall value of the activities carried out by the awardees.CommentsClose CommentsPermalink





`(ii) To identify opportunities for coordinated outreach, technical assistance, and commercialization activities among Federal agencies, the recipients of the awards under paragraph (1)(A), and applicants and recipients of SBIR awards, including opportunities such as--CommentsClose CommentsPermalink





`(I) podcasting or webcasting for conferences, training workshops, and other events;CommentsClose CommentsPermalink





`(II) shared online resources to match prospective applicants with the network of paragraph (1)(A) recipients; andCommentsClose CommentsPermalink





`(III) venture capital conferences tied to technologies and sectors that cross agencies.CommentsClose CommentsPermalink





`(iii) To review and recommend revisions to activities under paragraph (1)(A).CommentsClose CommentsPermalink





`(iv) To submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business and the Committee on Science and Technology of the House of Representatives an annual report on the activities carried out under paragraph (1)(A) and the effectiveness and impact of those activities.CommentsClose CommentsPermalink





`(6) SELECTION CRITERIA- In awarding grants under this subsection, the Administrator shall use selection criteria developed by the advisory board established under paragraph (5). The criteria shall include--CommentsClose CommentsPermalink





`(A) criteria designed to give preference to applicants who propose to carry out activities that will reach either an underperforming geographic area or an underrepresented population group (as measured by the number of SBIR applicants);CommentsClose CommentsPermalink





`(B) criteria designed to give preference to applicants who propose to carry out activities that complement, and are integrated into, the existing public-private innovation support system for the targeted region or population;CommentsClose CommentsPermalink





`(C) criteria designed to give preference to applicants who propose to measure the effectiveness of the proposed activities; andCommentsClose CommentsPermalink





`(D) criteria designed to give preference to applicants who include an SBDC program that is accredited for its technology services.CommentsClose CommentsPermalink





`(7) PEER REVIEW- In awarding grants under this subsection, the Administrator shall use a peer review process. Reviewers shall include--CommentsClose CommentsPermalink





`(A) SBIR program managers for agencies required by this section to conduct SBIR programs; andCommentsClose CommentsPermalink





`(B) private individuals and organizations that are knowledgeable about SBIR, the innovation process, technology commercialization, and State and regional technology-based economic development programs.CommentsClose CommentsPermalink





`(8) PER-STATE LIMITATIONS-CommentsClose CommentsPermalink





`(A) IN GENERAL- To be eligible to receive a grant under this subsection, the applicant must have the written endorsement of the Governor of the State where the targeted regions or populations are located (if the regions or populations are located in more than one State, the applicant must have the written endorsement of the Governor of each such State). Such an endorsement must indicate that the Governor will ensure that the activities to be carried out under the grant will be integrated with the balance of the State's portfolio of investments to help small business concerns commercialize technology.CommentsClose CommentsPermalink





`(B) LIMITATION- Each fiscal year, a Governor may have in effect not more than one written endorsement for a grant under paragraph (1)(A), and not more than one written endorsement for a grant under paragraph (1)(B).CommentsClose CommentsPermalink





`(9) SPECIFIC REQUIREMENTS FOR FAST AWARDS- In making awards under paragraph (1)(A) (to be known as `FAST' awards) the Administrator shall ensure the following:CommentsClose CommentsPermalink





`(A) GOALS- Priority shall be given applications that address one or more of the following goals:CommentsClose CommentsPermalink





`(i) Increasing the number of SBIR applications from underperforming geographic areas (as measured by the number of SBIR applicants).CommentsClose CommentsPermalink





`(ii) Increasing the number of SBIR applications from underrepresented population groups (as measured by the number of SBIR applicants).CommentsClose CommentsPermalink





`(B) DURATION- Each award shall be for a period of 2 fiscal years. The Administrator shall establish rules and performance goals for the disbursement of funds for the second fiscal year, and funds shall not be disbursed to a recipient for such a fiscal year until after the advisory board established under this subsection has determined that the recipient is in compliance with the rules and performance goals.'.CommentsClose CommentsPermalink

SEC. 302. OBTAINING SBIR APPLICANT'S CONSENT TO RELEASE CONTACT INFORMATION TO ECONOMIC DEVELOPMENT ORGANIZATIONS.

Section 9 of the Small Business Act (15 U.S.C. 638) is amended in subsection (s) (as added by this title) by adding at the end the following:CommentsClose CommentsPermalink





`(5) CONSENT TO RELEASE CONTACT INFORMATION TO ORGANIZATIONS-CommentsClose CommentsPermalink





`(A) ENABLING CONCERN TO GIVE CONSENT- Each Federal agency required by this section to conduct an SBIR program shall enable a small business concern that is an SBIR applicant to indicate to the agency whether the agency has its consent to--CommentsClose CommentsPermalink





`(i) identify the concern to appropriate local and State-level economic development organizations as an SBIR applicant; andCommentsClose CommentsPermalink





`(ii) release the concern's contact information to such organizations.CommentsClose CommentsPermalink





`(B) RULES- The Administrator shall establish rules to implement this paragraph. The rules shall include a requirement that the agency include in its SBIR application forms a provision through which the applicant can indicate consent for purposes of subparagraph (A).'.CommentsClose CommentsPermalink

TITLE IV--ADVANCING COMMERCIALIZATION OF SBIR-FUNDED RESEARCH

SEC. 401. CLARIFYING THE DEFINITION OF `PHASE THREE'.

Section 9(e) of the Small Business Act (15 U.S.C. 638(e)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (4)(C)--CommentsClose CommentsPermalink





(A) in the matter preceding clause (i) by inserting after `a third phase' the following: `, which shall consist of work that derives from, extends, or logically concludes efforts performed under prior SBIR funding agreements (which may be referred to as `Phase III')'; andCommentsClose CommentsPermalink





(B) in clause (i) by inserting after `non-SBIR Federal funding awards' the following: `: Provided, That for purposes of this clause, such sources of capital and such funding awards include private investment, private research, development, testing, and evaluation (RDT&E) awards, private sales or licenses, government RDT&E contracts and awards, and government sales';CommentsClose CommentsPermalink





(2) in paragraph (8) by striking `and' at the end;CommentsClose CommentsPermalink





(3) in paragraph (9) by striking the period at the end and inserting `; and'; andCommentsClose CommentsPermalink





(4) by adding at the end the following:CommentsClose CommentsPermalink





`(10) the term `commercialization' means the process of developing marketable products or services and producing and delivering products or services for sale (whether by the originating party or by others) to government or commercial markets.'.CommentsClose CommentsPermalink

SEC. 402. AGENCY RESEARCH GOALS.

Section 9 of the Small Business Act (15 U.S.C. 638) is amended by striking subsection (h) and inserting the following:CommentsClose CommentsPermalink





`(h) Agency Research Goals-CommentsClose CommentsPermalink





`(1) IN GENERAL- In addition to the requirements of subsection (f), each Federal agency that is required by this section to have an SBIR program and that awards annually $5,000,000,000 or more in procurement contracts shall, effective for fiscal year 2009 and each fiscal year thereafter, establish annual goals for commercialization of projects funded by SBIR awards.CommentsClose CommentsPermalink





`(2) SPECIFIC GOALS- The goals required by paragraph (1) shall include specific goals for each of the following:CommentsClose CommentsPermalink





`(A) The percentage of SBIR projects that receive funding for the third phase (as defined in subsection (e)(4)(C)).CommentsClose CommentsPermalink





`(B) The percentage of SBIR projects that are successfully integrated into a program of record.CommentsClose CommentsPermalink





`(C) The amount of Federal dollars received by SBIR projects through Federal contracts, not including dollars received through the SBIR program.CommentsClose CommentsPermalink





`(3) SUBMISSION TO ADVISORY BOARD- For each fiscal year for which goals are required by paragraph (1), the agency shall submit to the agency's SBIR advisory board--CommentsClose CommentsPermalink





`(A) not later than 60 days after the beginning of the fiscal year, the goals; andCommentsClose CommentsPermalink





`(B) not later than 90 days after the end of the fiscal year, data on the extent to which the goals were met and a description of the methodology used to collect that data.'.CommentsClose CommentsPermalink

SEC. 403. EXPRESS AUTHORITY FOR AN AGENCY TO AWARD SEQUENTIAL PHASE TWO AWARDS FOR SBIR-FUNDED PROJECTS.

Section 9(j) of the Small Business Act (15 U.S.C. 638(j)) is amended by adding after paragraph (4) (as added by section 109) the following:CommentsClose CommentsPermalink





`(5) REQUIREMENTS RELATING TO ADDITIONAL SECOND PHASE SBIR AWARDS- The Administrator shall modify the policy directives issued pursuant to this subsection to provide the following:CommentsClose CommentsPermalink





`(A) A small business concern that receives a second phase SBIR award for a project remains eligible to receive additional second phase SBIR awards.CommentsClose CommentsPermalink





`(B) Agencies are expressly authorized to provide additional second phase SBIR awards for testing and evaluation assistance for the insertion of SBIR technologies into technical or weapons systems.CommentsClose CommentsPermalink





`(C) Each agency that is required by subsection (aa) to have an SBIR advisory board shall include in the quarterly reports submitted under subsection (g)(8) the number of projects that have received additional second phase SBIR awards and the total dollar amount of those additional second phase SBIR awards.'.CommentsClose CommentsPermalink

SEC. 404. INCREASED PARTNERSHIPS BETWEEN SBIR AWARDEES AND PRIME CONTRACTORS, VENTURE CAPITAL INVESTMENT COMPANIES, AND LARGER BUSINESSES.

Section 9(j) of the Small Business Act (15 U.S.C. 638(j)) is amended by adding after paragraph (5) (as added by section 403) the following:CommentsClose CommentsPermalink





`(6) INCREASED PARTNERSHIPS-CommentsClose CommentsPermalink





`(A) IN GENERAL- Each agency required by this section to conduct an SBIR program shall establish initiatives by which the agency encourages partnerships between SBIR awardees and prime contractors, venture capital investment companies, business incubators, and larger businesses, for the purpose of facilitating the progress of the SBIR awardees to the third phase. If the agency is required by subsection (aa) to have an SBIR advisory board, the advisory board shall include in each report submitted under subsection (aa) a description of the initiatives established and an assessment of the effectiveness of such initiatives.CommentsClose CommentsPermalink





`(B) DEFINITION- In this paragraph, the term `business incubator' means an entity that provides coordinated and specialized services to entrepreneurial businesses which meet selected criteria during the businesses' startup phases, including providing services such as shared office space and office services, access to equipment, access to telecommunications and technology services, flexible leases, specialized management assistance, access to financing, mentoring and training services, or other coordinated business or technical support services designed to provide business development assistance to entrepreneurial businesses during these businesses' startup phases.'.CommentsClose CommentsPermalink

SEC. 405. EXPRESS AUTHORITY TO `FAST-TRACK' PHASE TWO AWARDS FOR PROMISING PHASE ONE RESEARCH.

Section 9(j)(2)(G) of the Small Business Act (15 U.S.C. 638(j)(2)(G)) is amended by inserting before the semicolon at the end the following: `, and to encourage agencies to develop `fast-track' programs to eliminate that delay by issuing second phase SBIR awards as soon as practicable, including in appropriate cases simultaneously with the issuance of the first phase SBIR award'.CommentsClose CommentsPermalink

SEC. 406. COMMERCIALIZATION PROGRAMS.

Section 9(j) of the Small Business Act (15 U.S.C. 638(j)) is amended by adding after paragraph (6) (as added by section 404) the following:CommentsClose CommentsPermalink





`(7) COMMERCIALIZATION PROGRAMS- Each agency required by this section to conduct an SBIR program shall establish a commercialization program that supports the progress of SBIR awardees to the third phase. The commercialization program may include activities such as partnership databases, partnership conferences, multiple second phases, mentoring between prime contractors and SBIR awardees, multiple second phases with matching private investment requirements, jumbo awards, SBIR helpdesks, and transition assistance programs. The agency shall include in its annual report an analysis of the various activities considered for inclusion in the commercialization program and a statement of the reasons why each activity considered was included or not included, as the case may be. If the agency is required by subsection (aa) to have an SBIR advisory board, the advisory board shall include in each report under subsection (aa) a statement identifying the number of SBIR awardees that successfully progressed to the third phase.CommentsClose CommentsPermalink





`(8) FUNDING FOR COMMERCIALIZATION PROGRAMS-CommentsClose CommentsPermalink





`(A) IN GENERAL- From amounts made available to carry out this paragraph, the Administrator may, on petition by agencies required by this section to conduct an SBIR program, transfer funds to such agencies to support the commercialization programs of such agencies.CommentsClose CommentsPermalink





`(B) PETITIONS- The Administrator shall establish rules for making transfers under subparagraph (A). The initial set of rules shall be promulgated not later than 90 days after the date of the enactment of this paragraph.CommentsClose CommentsPermalink





`(C) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be appropriated to the Administrator to carry out this paragraph $27,500,000 for fiscal year 2009 and each fiscal year thereafter.CommentsClose CommentsPermalink





`(D) MINORITY INSTITUTION PILOT PROGRAM-CommentsClose CommentsPermalink





`(i) ESTABLISHMENT- From amounts made available to carry out this subparagraph, the Administrator shall establish and carry out a pilot program to make grants to minority institutions that partner with nonprofit organizations that have experience developing relationships between industry, minority institutions, and other entities, for the purpose of increasing the number of SBIR and STTR program applications by minority-owned small businesses.CommentsClose CommentsPermalink





`(ii) APPLICATION- To be eligible to receive a grant under the pilot program established in clause (i), a minority institution shall submit an application to the Administrator at such time, in such manner, and containing such information and assurances as the Administrator may require.CommentsClose CommentsPermalink





`(iii) MATCHING REQUIREMENT- As a condition of a grant under the pilot program, the Administrator shall require that a matching amount be provided from a source other than the Federal Government that is equal to the amount of the grant.CommentsClose CommentsPermalink





`(iv) MINORITY INSTITUTION- In this subparagraph, the term `minority institution' has the meaning given that term in section 365(3) of the Higher Education Act of 1965 (20 U.S.C. 1067k(3)).CommentsClose CommentsPermalink





`(v) FUNDING- For each of fiscal years 2009 through 2012, of the amounts appropriated pursuant to the authorization of appropriations in subparagraph (C), up to $4,000,000 shall be available to carry out this subparagraph.CommentsClose CommentsPermalink





`(9) FUNDING LIMITATION- For payment of expenses incurred to administer the commercialization programs described in paragraphs (7) and (8), the head of the agency may use not more than an amount equal to 1 percent of the funds available to the agency pursuant to the Small Business Innovation Research program. Such funds--CommentsClose CommentsPermalink





`(A) shall not be subject to the limitations on the use of funds in subsection (f)(2); andCommentsClose CommentsPermalink





`(B) shall not be used for the purpose of funding costs associated with salaries and expenses of employees of the United States Government.'.CommentsClose CommentsPermalink

SEC. 407. REPORT ON EFFORTS TO ENHANCE MANUFACTURING ACTIVITIES.

Section 9(j) of the Small Business Act (15 U.S.C. 638(j)) is amended by adding after paragraph (9) (as added by section 406) the following:CommentsClose CommentsPermalink





`(10) EFFORTS TO ENHANCE MANUFACTURING ACTIVITIES- If an agency is required by subsection (aa) to have an SBIR advisory board, the advisory board shall include in each report under subsection (aa) a part relating to efforts to enhance manufacturing activities, which shall include--CommentsClose CommentsPermalink





`(A) a comprehensive description of the actions undertaken each year by the SBIR and STTR programs of that agency in support of Executive Order No. 13329;CommentsClose CommentsPermalink





`(B) an assessment of the effectiveness of such actions toward enhancing the research and development of manufacturing technologies and processes; andCommentsClose CommentsPermalink





`(C) any recommendations that the program managers of the SBIR and STTR programs consider appropriate for additional actions to be undertaken in order to increase the effectiveness toward enhancing manufacturing activities within the defense industrial base.'.CommentsClose CommentsPermalink

TITLE V--SUPPORTING PROGRAM UTILIZATION

SEC. 501. AGENCY DATABASES TO SUPPORT PROGRAM EVALUATION.

Section 9(k) of the Small Business Act (15 U.S.C. 638(k)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (2)(A)--CommentsClose CommentsPermalink





(A) by striking `and' at the end of clause (ii);CommentsClose CommentsPermalink





(B) by inserting `and' at the end of clause (iii); andCommentsClose CommentsPermalink





(C) by adding at the end the following new clause:CommentsClose CommentsPermalink





`(iv) information on the ownership structure of award recipients, both at the time of receipt of the award and upon completion of the award period;';CommentsClose CommentsPermalink





(2) by amending paragraph (3) to read as follows:CommentsClose CommentsPermalink





`(3) UPDATING INFORMATION FOR DATABASE-CommentsClose CommentsPermalink





`(A) IN GENERAL- A Federal agency shall not make a Phase I or Phase II payment to a small business concern under this section unless the small business concern has provided all information required under this subsection with respect to the award under which the payment is made, and with respect to any other award under this section previously received by the small business concern or a predecessor in interest to the small business concern.CommentsClose CommentsPermalink





`(B) APPORTIONMENT- In complying with this paragraph, a small business concern may apportion sales or additional investment information relating to more than one second phase award among those awards, if it notes the apportionment for each award.CommentsClose CommentsPermalink





`(C) ANNUAL UPDATES UPON TERMINATION- A small business concern receiving an award under this section shall--CommentsClose CommentsPermalink





`(i) in the case of a second phase award, update information in the databases required under paragraphs (2) and (6) concerning that award at the termination of the award period;CommentsClose CommentsPermalink





`(ii) in the case of award recipients not described in clause (iii), be requested to voluntarily update such information annually thereafter for a period of 5 years; andCommentsClose CommentsPermalink





`(iii) in the case of a small business concern applying for a subsequent first phase or second phase award, be required to update such information annually thereafter for a period of 5 years.'; andCommentsClose CommentsPermalink





(3) by adding at the end the following new paragraph:CommentsClose CommentsPermalink





`(6) AGENCY PROGRAM EVALUATION DATABASES- Each Federal agency required to establish an SBIR or STTR program under this section shall develop and maintain, for the purpose of evaluating such programs, a database containing information required to be contained in the database under paragraph (2). Each such database shall be designed to be accessible to other agencies that are required to maintain a database under this paragraph.'.CommentsClose CommentsPermalink

SEC. 502. AGENCY DATABASES TO SUPPORT TECHNOLOGY UTILIZATION.

Section 9(k) of the Small Business Act (15 U.S.C. 638(k)), as amended by this Act, is further amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





`(7) AGENCY DATABASES TO SUPPORT TECHNOLOGY UTILIZATION- Each Federal agency with an SBIR or STTR program shall create and maintain a technology utilization database, which shall be available to the public and shall contain data supplied by the award recipients specifically to help them attract customers for the products and services generated under the SBIR or STTR project, and to attract additional investors and business partners. Each database created under this paragraph shall include information on the other databases created under this paragraph by other Federal agencies. Participation in a database under this paragraph shall be voluntary, except that such participation is required of all award recipients who received supplemental payments from SBIR and STTR program funds above their initial Phase II award.'.CommentsClose CommentsPermalink

SEC. 503. INTERAGENCY POLICY COMMITTEE.

(a) Establishment- The Director of the Office of Science and Technology Policy shall establish an Interagency SBIR/STTR Policy Committee comprised of one representative from each Federal agency with an SBIR program.CommentsClose CommentsPermalink





(b) Cochairs- The Director of the Office of Science and Technology Policy and the Director of the National Institute of Standards and Technology shall jointly chair the Interagency Policy Committee.CommentsClose CommentsPermalink





(c) Duties- The Interagency Policy Committee shall review the following issues and make policy recommendations on ways to improve program effectiveness and efficiency:CommentsClose CommentsPermalink





(1) The public and government databases described in section 9(k)(1) and (2) of the Small Business Act (15 U.S.C. 638(k)(1) and (2)).CommentsClose CommentsPermalink





(2) Federal agency flexibility in establishing Phase I and II award sizes, and appropriate criteria to exercise such flexibility.CommentsClose CommentsPermalink





(3) Commercialization assistance best practices in Federal agencies with significant potential to be employed by other agencies, and the appropriate steps to achieve that leverage, as well as proposals for new initiatives to address funding gaps business concerns face after Phase II but before commercialization.CommentsClose CommentsPermalink





(d) Reports- The Interagency Policy Committee shall transmit to the Committee on Science and Technology and the Committee on Small Business of the House of Representatives, and to the Committee on Small Business and Entrepreneurship of the Senate--CommentsClose CommentsPermalink





(1) a report on its review and recommendations under subsection (c)(1) not later than 1 year after the date of enactment of this Act;CommentsClose CommentsPermalink





(2) a report on its review and recommendations under subsection (c)(2) not later than 18 months after the date of enactment of this Act; andCommentsClose CommentsPermalink





(3) a report on its review and recommendations under subsection (c)(3) not later than 2 years after the date of enactment of this Act.CommentsClose CommentsPermalink

SEC. 504. NANOTECHNOLOGY-RELATED RESEARCH TOPICS.

(a) SBIR- Section 9(g)(3) of the Small Business Act (15 U.S.C. 638(g)(3)), as amended by section 107, is further amended by adding at the end the following new subparagraph:CommentsClose CommentsPermalink





`(F) the national nanotechnology strategic plan required under section 2(c)(4) of the 21st Century Nanotechnology Research and Development Act (15 U.S.C. 7501(c)(4)) and in subsequent reports issued by the National Science and Technology Council Committee on Technology, focusing on areas of nanotechnology identified in such plan;'.CommentsClose CommentsPermalink





(b) STTR- Section 9(o)(1) of the Small Business Act (15 U.S.C. 638(o)(1)) is amended by inserting `, giving special consideration to topics that further 1 or more critical technologies, as identified by the national nanotechnology strategic plan required under section 2(c)(4) of the 21st Century Nanotechnology Research and Development Act (15 U.S.C. 7501(c)(4)) and in subsequent reports issued by the National Science and Technology Council Committee on Technology, focusing on areas of nanotechnology identified in such plan' after `its STTR program'.CommentsClose CommentsPermalink

SEC. 505. RURAL PREFERENCE.

Section 9 of the Small Business Act (15 U.S.C. 638) is amended by adding at the end the following new subsection:CommentsClose CommentsPermalink





`(dd) Rural Preference- In making awards under this section, Federal agencies shall give priority to applications so as to increase the number of SBIR and STTR award recipients from rural areas.'.CommentsClose CommentsPermalink

SEC. 506. PRIORITY FOR AREAS THAT HAVE LOST A MAJOR SOURCE OF EMPLOYMENT.

Section 9 of the Small Business Act (15 U.S.C. 638) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(ee) Priority for Areas That Have Lost a Major Source of Employment- In making awards under this section, Federal agencies shall give priority to applications from companies located in geographic areas that, as determined by the Administrator, have lost a major source of employment. Not later than 90 days after the date of the enactment of this subsection, the Administrator shall promulgate rules for making the determination required by this subsection.'.CommentsClose CommentsPermalink

SEC. 507. VETERANS PREFERENCE.

Section 9 of the Small Business Act (15 U.S.C. 638) is further amended by adding at the end the following:CommentsClose CommentsPermalink





`(ff) Veterans Preference- In making awards under this section, Federal agencies shall give priority to applications from veterans, as defined in section 101(2) of title 38, United States Code, so as to increase the number of SBIR and STTR award recipients who are veterans.'.CommentsClose CommentsPermalink

SEC. 508. INITIATIVE TO PUBLICIZE THE SBIR PROGRAM TO VETERANS.

The Administrator of the Small Business Administration, in consultation with the Secretary of Veterans Affairs, shall develop an initiative to publicize the SBIR program to veterans returning from service and encourage those veterans with applicable technical skills to apply for SBIR grants.CommentsClose CommentsPermalink

SEC. 509. PREFERENCE FOR ORGANIZATIONS THAT ARE MAKING SIGNIFICANT CONTRIBUTIONS TOWARDS ENERGY EFFICIENCY.

Section 9 of the Small Business Act (15 U.S.C. 638) is further amended by adding at the end the following:CommentsClose CommentsPermalink





`(ff) Preference for Organizations That Are Making Significant Contributions Towards Energy Efficiency- In making awards under this section, Federal agencies shall give priority to applications so as to increase the number of SBIR, STTR, and FAST award recipients from organizations that are making significant contributions towards energy efficiency, including organizations that are making efforts to reduce their carbon footprint or are carbon neutral.'.CommentsClose CommentsPermalink

TITLE VI--IMPLEMENTATION

SEC. 601. CONFORMING AMENDMENTS TO THE SBIR AND STTR POLICY DIRECTIVES.

Not later than 180 days after the date of enactment of this Act, the Administrator of the Small Business Administration shall promulgate amendments to the SBIR and the STTR Policy Directives to conform such directives to this Act and the amendments made by this Act.CommentsClose CommentsPermalink

SEC. 602. NATIONAL RESEARCH COUNCIL SBIR STUDY.

Section 108(d) of the Small Business Reauthorization Act of 2000 is amended--CommentsClose CommentsPermalink





(1) by striking `of the Senate' and all that follows through `not later than 3' and inserting `of the Senate, not later than 3'; andCommentsClose CommentsPermalink





(2) by striking `; and' and all that follows through `update of such report'.CommentsClose CommentsPermalink

SEC. 603. SBIR AWARDEE BUSINESS OPERATIONS.

Section 9 of the Small Business Act is further amended by adding at the end the following:CommentsClose CommentsPermalink





`(ee) SBIR Awardee Business Operations-CommentsClose CommentsPermalink





`(1) IN GENERAL- To be eligible to receive an SBIR award, an awardee must have its primary business operations in the United States.CommentsClose CommentsPermalink





`(2) DEFINITION- In this subsection, the term `United States' includes the District of Columbia, the Commonwealth of Puerto Rico, and any other territory or possession of the United States.'.CommentsClose CommentsPermalink

SEC. 604. PROHIBITION OF AWARDS TO ALIENS UNLAWFULLY PRESENT IN THE UNITED STATES.

Section 9 of the Small Business Act is amended by adding at the end the following:CommentsClose CommentsPermalink





`(ee) Prohibition of Awards to Aliens Unlawfully Present in the United States- A concern is not eligible to receive an award under this section if an individual who is an alien unlawfully present in the United States--CommentsClose CommentsPermalink





`(1) has an ownership interest in that concern; orCommentsClose CommentsPermalink





`(2) has an ownership interest in another concern that itself has an ownership interest in that concern.'.CommentsClose CommentsPermalink

SEC. 605. PROHIBITION ON AWARDS TO FIRMS IN VIOLATION OF IMMIGRATION LAWS.

Any applicant found, based on a determination by the Secretary of Homeland Security or the Attorney General to have engaged in a pattern or practice of hiring, recruiting or referring for a fee, for employment in the United States an alien knowing the person is an unauthorized alien shall not be eligible for the receipt of future awards under section 9 of the Small Business Act.CommentsClose CommentsPermalink

Passed the House of Representatives April 23, 2008.CommentsClose CommentsPermalink

Attest:CommentsClose CommentsPermalink

Clerk.

110th CONGRESS2d SessionH. R. 5819AN ACTTo amend the Small Business Act to improve the Small Business Innovation Research (SBIR) program and the Small Business Technology Transfer (STTR) program, and for other purposes LORRAINE C. MILLER, CommentsClose CommentsPermalink

Clerk.CommentsClose CommentsPermalink