S. 3971

Small Business Innovation and Economic Security Act

Official summary

Written by the Congressional Research Service.

Small Business Innovation and Economic Security Act

This act 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 act 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 act 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 act 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.

Text of the bill

Expand all
Sec. 5. Phase III award education Since introduced

Section 9 of the Small Business Act (15 U.S.C. 638) is amended—

(1) in subsection (e)—

(A) in paragraph (18), by striking and at the end;

(B) in paragraph (19), by striking the period at the end and inserting ; and; and

(C) by adding at the end the following:

Text this section adds to the law

(20) the term agency acquisition workforce means the employees of a Federal agency that have procurement or acquisition responsibilities, including—

(A) employees described in section 1703 of title 41, United States Code; and

(B) individuals that are part of the acquisition workforce, as defined in section 101(a) of title 10, United States Code.

(2) in subsection (r), by adding at the end the following:

Text this section adds to the law

(5) Workforce training

(A) In general. The Administrator, in coordination with the Secretary of Defense, the Administrator of General Services, and the head of any other Federal agency that the Administrator determines appropriate, shall establish training activities for contracting officers and the agency acquisition workforce of Federal agencies to ensure that all such individuals are fully aware of all aspects of Phase III awards under the SBIR and STTR programs, as applicable.

(B) Training topics. The training activities required under subparagraph (A) shall include training on—

(i) the missions, goals, and authorities of the SBIR and STTR programs;

(ii) the use of Phase III agreements;

(iii) Phase III data rights; and

(iv) the execution of Phase III sole source award contracts.

(C) Funding. The training activities required under subparagraph (A) may be carried out using funds made available to carry out subsections (y) and (mm).

; and

(3) in subsection (mm)(1)—

(A) in subparagraph (J), by striking and at the end;

(B) in subparagraph (K), by striking the period at the end and inserting ; and; and

(C) by adding at the end the following:

Text this section adds to the law

(L) contracting officer and acquisition workforce training activities pursuant to subsection (r)(5).