1. U.S. Code
  2. title 15
  3. chapter 14A
  4. § 638
  5. notes
1 See References in Text note below.
of this title, and includes federally funded research and development centers, as identified by the National Scientific Foundation in accordance with the governmentwide Federal Acquisition Regulation issued in accordance with
2 So in original. Probably should be “investor;”.
3 So in original.
and shall submit such section to the Committee on Small Business of the Senate, and the Committee on Science and the Committee on Small Business of the House of Representatives;
4 So in original. Probably should be “subparagraph (B)”.
if national security or intelligence functions clearly would be jeopardized;
5 So in original. Probably should be preceded by “subsection”.
Editorial Notes
References in Text

Executive Order 13329, referred to in subsecs. (span)(8), (g)(11), (o)(15), and (ss)(2), is set out as a note under this section.

The Federal Trade Commission Act, referred to in subsec. (d)(3), is act Sept. 26, 1914, ch. 311, 38 Stat. 717, which is classified generally to subchapter I (§ 41 et seq.) of chapter 2 of this title. For complete classification of this Act to the Code, see section 58 of this title and Tables.

Executive Order 12333, referred to in subsec. (e)(2), is set out as a note under section 3001 of Title 50, War and National Defense.

Section 3703(5) of this title, referred to in subsec. (e)(8), was redesignated section 3703(3) by Puspan. L. 110–69, title III, § 3002(c)(3), Aug. 9, 2007, 121 Stat. 586.

Section 6683 of title 42, referred to in subsecs. (g)(3)(A), (j)(2)(E)(i), and (o)(3)(A), was omitted from the Code.

Section 2522 of title 10, referred to in subsecs. (g)(3)(B), (j)(2)(E)(ii), and (o)(3)(B), which related to annual defense critical technology plan, was repealed, and section 2518 (relating to Defense Advanced Manufacturing Technology Partnerships) was redesignated as section 2522, by Puspan. L. 102–484, div. D, title XLII, §§ 4202(a), 4232(a), Oct. 23, 1992, 106 Stat. 2659, 2687, and subsequently repealed.

Section 105 of the Small Business Research and Development Enhancement Act of 1992, referred to in subsec. (j)(2)(I), is section 105 of Puspan. L. 102–564, which is set out below.

The enactment of this paragraph, referred to in subsec. (j)(4), means the enactment of subsec. (j)(4) by Puspan. L. 116–92, which was approved Dec. 20, 2019.

Section 270 of the National Defense Authorization Act for Fiscal Year 1997 (Public Law 104–201; 10 U.S.C. 2501 note), referred to in subsec. (x)(2)(A), was formerly set out as a note under section 2501 of Title 10, Armed Forces, prior to repeal by Puspan. L. 111–84, div. A, title II, § 241, Oct 28, 2009, 123 Stat. 2237.

The year in which this subparagraph is enacted, referred to in subsec. (vv)(3)(B)(i), is the year of enactment of Puspan. L. 117–183, which was approved in 2022.

Codification

In subsec. (e)(8), “section 1303(a)(1) of title 41” substituted for “section 35(c)(1) of the Office of Federal Procurement Policy Act”, which probably should have been a reference to “section 25(c)(1) of the Office of Federal Procurement Policy Act” because that Act does not contain a section 35 and section 25(c) of that Act relates to issuance of the Federal Acquisition Regulation, on authority of Puspan. L. 111–350, § 6(c), Jan. 4, 2011, 124 Stat. 3854, which Act enacted Title 41, Public Contracts.

In subsec. (n)(2)(A), “section 1303(a)(1) of title 41” substituted for “section 25(c)(1) of the Office of Federal Procurement Policy Act” on authority of Puspan. L. 111–350, § 6(c), Jan. 4, 2011, 124 Stat. 3854, which Act enacted Title 41, Public Contracts.

Section 209 of act July 30, 1953, ch. 282, title II, 67 Stat. 237, was previously classified to this section. See section 645 of this title and Codification note set out under section 631 of this title.

Amendments

2022—Puspan. L. 117–183, § 3, substituted “2025” for “2022” wherever appearing.

Subsec. (span)(7)(I), (J). Puspan. L. 117–183, § 7(a)(1), added subpars. (I) and (J).

Subsec. (span)(7)(K), (L). Puspan. L. 117–183, § 8(1), added subpars. (K) and (L).

Subsec. (e)(15) to (19). Puspan. L. 117–183, § 4(a), added pars. (15) to (19).

Subsec. (g)(13). Puspan. L. 117–183, § 4(c)(1), added par. (13).

Subsec. (g)(13)(D). Puspan. L. 117–263 struck out “of concern” after “another foreign country”.

Subsec. (g)(14). Puspan. L. 117–183, § 4(c)(1)(C), added par. (14).

Subsec. (g)(15). Puspan. L. 117–183, § 4(d)(1), added par. (15).

Subsec. (g)(16), (17). Puspan. L. 117–183, § 5(a), added pars. (16) and (17).

Subsec. (o)(17), (18). Puspan. L. 117–183, § 4(c)(2), added pars. (17) and (18).

Subsec. (o)(19). Puspan. L. 117–183, § 4(d)(2), added par. (19).

Subsec. (o)(20), (21). Puspan. L. 117–183, § 5(span), added pars. (20) and (21).

Subsec. (qq)(3), (4). Puspan. L. 117–183, § 8(2)(A), (B), added par. (3) and redesignated former par. (3) as (4). Former par. (4) redesignated (5).

Subsec. (qq)(5). Puspan. L. 117–183, § 8(2)(A), (C), redesignated par. (4) as (5) and substituted “paragraph (4)(A)” for “paragraph (3)(A)”.

Subsec. (qq)(6), (7). Puspan. L. 117–183, § 8(2)(D), added pars. (6) and (7).

Subsec. (vv). Puspan. L. 117–183, § 4(span)(1), added subsec. (vv).

Subsec. (ww). Puspan. L. 117–183, § 7(a)(2), added subsec. (ww).

Subsec. (xx). Puspan. L. 117–183, § 9(a), added subsec. (xx).

2021—Subsec. (span)(7)(H). Puspan. L. 116–283, § 865(1), added subpar. (H).

Subsec. (g)(10). Puspan. L. 116–283, § 865(2), inserted “, which section shall describe whether or not the Federal agency complied with the requirements of subsection (f) for the year covered by that plan and include a justification for failure to comply (if applicable),” after “a section on its SBIR program”.

Subsec. (o)(8). Puspan. L. 116–283, § 865(3), inserted “, which section shall describe whether or not the Federal agency complied with the requirements of subsection (n) for the year covered by that plan and include a justification for failure to comply (if applicable),” after “a section on its STTR program”.

Subsec. (r)(4)(A). Puspan. L. 117–81 substituted “sections 3201 through 3205” for “section 2304”.

2019—Subsec. (span)(3). Puspan. L. 116–92, § 880(span)(2), struck out “and” at end.

Subsec. (span)(10). Puspan. L. 116–92, § 880(span)(1), added par. (10).

Subsec. (e)(14). Puspan. L. 116–92, § 880(a), added par. (14).

Subsec. (j)(4). Puspan. L. 116–92, § 880(c)(1), added par. (4).

Subsec. (p)(2)(G). Puspan. L. 116–92, § 880(c)(2), added subpar. (G).

2018—Subsec. (q). Puspan. L. 115–232, § 854(c)(1)(A), inserted “and business” after “technical” in span.

Subsec. (q)(1). Puspan. L. 115–232, § 854(c)(1)(B)(i), in introductory provisions, substituted “1 or more vendors selected under paragraph (2)(A)” for “a vendor selected under paragraph (2)” and inserted “and business” before “assistance services” and “assistance with product sales, intellectual property protections, market research, market validation, and development of regulatory plans and manufacturing plans,” after “technologies,”.

Subsec. (q)(1)(D). Puspan. L. 115–232, § 854(c)(1)(B)(ii), inserted “, including intellectual property protections” before period at end.

Subsec. (q)(2). Puspan. L. 115–232, § 854(c)(1)(C), designated existing provisions as subpar. (A), inserted span, substituted “Each agency may select 1 or more vendors from which small business concerns may obtain assistance in meeting” for “Each agency may select a vendor to assist small business concerns to meet”, and added subpar. (B).

Subsec. (q)(3). Puspan. L. 115–232, § 854(c)(1)(D)(i), inserted “(A)” after “paragraph (2)” wherever appearing.

Subsec. (q)(3)(A). Puspan. L. 115–232, § 854(c)(1)(D)(ii), substituted “$6,500 per year” for “$5,000 per year” in two places.

Subsec. (q)(3)(B)(i). Puspan. L. 115–232, § 854(c)(1)(D)(iii)(I), substituted “$50,000 per project” for “$5,000 per year”.

Subsec. (q)(3)(B)(ii). Puspan. L. 115–232, § 854(c)(1)(D)(iii), substituted “$50,000 per project, which may, as determined appropriate by the head of the Federal agency, be included as part of the recipient’s award or be in addition to the amount of the recipient’s award” for “$5,000 per year, which shall be in addition to the amount of the recipient’s award”.

Subsec. (q)(3)(C). Puspan. L. 115–232, § 854(c)(1)(D)(iv), inserted “or business” after “technical”, substituted “a vendor” for “the vendor”, and inserted at end “Business-related services aimed at improving the commercialization success of a small business concern may be obtained from an entity, such as a public or private organization or an agency of or other entity established or funded by a State that facilitates or accelerates the commercialization of technologies or assists in the creation and growth of private enterprises that are commercializing technology.”

Subsec. (q)(3)(D). Puspan. L. 115–232, § 854(c)(1)(D)(v)(I), inserted “or business” after “technical” in two places.

Subsec. (q)(3)(D)(i). Puspan. L. 115–232, § 854(c)(1)(D)(v)(II), substituted “1 or more vendors” for “the vendor”.

Subsec. (q)(3)(E). Puspan. L. 115–232, § 854(c)(1)(D)(vi), added subpar. (E).

Subsec. (q)(4). Puspan. L. 115–232, § 854(c)(1)(E), added par. (4).

Subsec. (cc). Puspan. L. 115–232, § 854(a)(1), substituted “2022” for “2017”.

Subsec. (gg)(7). Puspan. L. 115–232, § 854(a)(2), substituted “2022” for “2017”.

Subsec. (hh). Puspan. L. 115–232, § 854(span)(1), designated existing provisions as par. (1), inserted span, struck out “attempt to” before “shorten”, and added par. (2).

Subsec. (ii). Puspan. L. 115–232, § 854(span)(2), designated existing provisions as par. (1), inserted span, and added par. (2).

Subsec. (jj)(4)(A). Puspan. L. 115–232, § 854(a)(3)(A), substituted “4” for “3”.

Subsec. (jj)(7). Puspan. L. 115–232, § 854(a)(3)(B), substituted “2022” for “2017”.

Subsec. (mm)(1). Puspan. L. 115–232, § 854(a)(4)(A)(i), substituted “2022” for “2017” in introductory provisions.

Subsec. (mm)(1)(K). Puspan. L. 115–232, § 854(a)(4)(A)(ii)–(iv), added subpar. (K).

Subsec. (tt). Puspan. L. 115–232, § 854(a)(5), added subsec. (tt).

Subsec. (uu). Puspan. L. 115–232, § 860, added subsec. (uu).

2017—Subsec. (r). Puspan. L. 115–91, § 1709(span)(1)(A), inserted “, competitive procedures, and justification for awards” after “agreements” in span.

Subsec. (r)(4). Puspan. L. 115–91, § 1709(a), (span)(1)(B), substituted “Competitive procedures and justification for awards” for “Phase III awards” in span and “shall—

“(A) consider an award under the SBIR program or the STTR program to satisfy the requirements under section 2304 of title 10 and any other applicable competition requirements; and

“(B) issue, without further justification, Phase III awards”

for “shall issue Phase III awards” in text.

2016—Subsec. (m). Puspan. L. 114–328, § 1834(a), substituted “September 30, 2022” for “September 30, 2017”.

Subsec. (n)(1)(A). Puspan. L. 114–328, § 1834(span), substituted “fiscal year 2022” for “fiscal year 2017”.

2015—Subsec. (mm)(1). Puspan. L. 114–92 substituted “and until September 30, 2017,” for “, for the 3 fiscal years beginning after December 31, 2011,” in introductory provisions.

2013—Subsec. (span)(7). Puspan. L. 112–239, § 1076(a)(20)(A), repealed Puspan. L. 112–81, § 1067(a)(1). See 2011 Amendment note below.

Subsec. (y)(4). Puspan. L. 112–239, § 1615(span), made technical amendment to directory language of Puspan. L. 112–81, § 5141(span)(3)(B). See 2011 Amendment note below.

Puspan. L. 112–239, § 1615(a)(2), added par. (4). Former par. (4) redesignated (5).

Subsec. (y)(5). Puspan. L. 112–239, § 1615(a)(1), redesignated par. (4) as (5). Former par. (5) redesignated (6).

Puspan. L. 112–239, § 1076(a)(20)(A), repealed Puspan. L. 112–81, § 1067(a)(2). See 2011 Amendment note below.

Subsec. (y)(6). Puspan. L. 112–239, § 1615(a)(1), redesignated par. (5) as (6).

2011—Subsec. (span)(7). Puspan. L. 112–81, § 5131(1)(B), substituted “(g)(8) and (o)(9);” for “(g)(10), (o)(9), and (o)(15) of this section, the number of proposals received from, and the number and total amount of awards to, HUBZone small business concerns under each of the SBIR and STTR programs, and a description” in subpar. (A), added subpars. (B) to (F), and inserted “(G) a description” before “of the extent to which Federal agencies”.

Puspan. L. 112–81, § 5131(1)(A), substituted “STTR programs, including—” for “STTR programs, including”, and inserted subpar. (A) designation before “the data on output”.

Puspan. L. 112–81, § 1067(a)(1), which inserted “and including an accounting of funds, initiatives, and outcomes under the Commercialization Pilot Program” after “and (o)(15) of this section,”, was repealed by Puspan. L. 112–239, § 1076(a)(20)(A).

Subsec. (span)(9). Puspan. L. 112–81, § 5131(1)(C), (2), (3), added par. (9).

Subsec. (e)(4)(B). Puspan. L. 112–81, § 5105(1), substituted “which shall not include any invitation, pre-screening, or pre-selection process for eligibility for Phase II, that will further” for “to further”.

Subsec. (e)(4)(C). Puspan. L. 112–81, § 5125(a)(1), inserted “for work that derives from, extends, or completes efforts made under prior funding agreements under the SBIR program” after “phase” in introductory provisions.

Subsec. (e)(4)(C)(ii). Puspan. L. 112–81, § 5125(span)(1)(A), substituted “merit-based selection procedures” for “scientific review criteria”.

Subsec. (e)(6)(B). Puspan. L. 112–81, § 5105(2), substituted “which shall not include any invitation, pre-screening, or pre-selection process for eligibility for Phase II, that will further develop proposals that” for “to further develop proposed ideas to”.

Subsec. (e)(6)(C). Puspan. L. 112–81, § 5125(a)(2), inserted “for work that derives from, extends, or completes efforts made under prior funding agreements under the STTR program” after “phase” in introductory provisions.

Subsec. (e)(9). Puspan. L. 112–81, § 5125(span)(1)(B), substituted “Phase II or Phase III” for “the second or the third phase”.

Subsec. (e)(10). Puspan. L. 112–81, § 5125(a)(3)–(5), added par. (10).

Subsec. (e)(11) to (13). Puspan. L. 112–81, § 5125(span)(1)(C), added pars. (11) to (13).

Subsec. (f)(1). Puspan. L. 112–81, § 5102(a)(1), substituted “Except as provided in paragraph (2)(B), each” for “Each” in introductory provisions, added subpars. (C) to (I), and struck out former subpar. (C) which read as follows: “not less than 2.5 percent of such budget in each fiscal year thereafter,”.

Subsec. (f)(2). Puspan. L. 112–81, § 5141(span)(3)(A), substituted “shall not—

“(A) use any of its SBIR budget established pursuant to paragraph (1) for the purpose of funding administrative costs of the program, including costs associated with salaries and expenses; or

“(B) make available for the purpose”

for “shall not make available for the purpose”.

Puspan. L. 112–81, § 5141(span)(1)(A), substituted “shall not make available for the purpose” for “shall not—

“(A) use any of its SBIR budget established pursuant to paragraph (1) for the purpose of funding administrative costs of the program, including costs associated with salaries and expenses; or

“(B) make available for the purpose”.

Subsec. (f)(4). Puspan. L. 112–81, § 5102(a)(2), added par. (4).

Subsec. (g)(4). Puspan. L. 112–81, § 5126(a)(1), designated existing provisions as subpar. (A) and added subpar. (B).

Subsec. (g)(8) to (10). Puspan. L. 112–81, § 5132, added par. (8), redesignated former pars. (8) and (9) as (9) and (10), respectively, and struck out former par. (10) which read as follows: “collect, and maintain in a common format in accordance with subsection (v) of this section, such information from awardees as is necessary to assess the SBIR program, including information necessary to maintain the database described in subsection (k) of this section;”.

Subsec. (g)(12). Puspan. L. 112–81, § 5110(a), added par. (12).

Subsec. (i)(1). Puspan. L. 112–81, § 5122(span), inserted “(including awards under subsection (y))” after “the number of awards”.

Subsec. (j)(1)(B). Puspan. L. 112–81, § 5125(span)(2)(A), substituted “Phase II” for “phase two”.

Subsec. (j)(2)(B). Puspan. L. 112–81, § 5125(span)(2)(B)(i), substituted “Phase III” for “the third phase” in two places and “Phase II” for “the second phase”.

Subsec. (j)(2)(D). Puspan. L. 112–81, § 5125(span)(2)(B)(ii), substituted “Phase I” for “the first phase” and “‘Phase II” for “the second phase”.

Puspan. L. 112–81, § 5103(c)(1), substituted “every year for inflation” for “once every 5 years to reflect economic adjustments and programmatic considerations”.

Puspan. L. 112–81, § 5103(a), substituted “$150,000” for “$100,000” and “$1,000,000” for “$750,000”.

Subsec. (j)(2)(F). Puspan. L. 112–81, § 5125(span)(2)(B)(iii), substituted “Phase III” for “the third phase”.

Subsec. (j)(2)(G). Puspan. L. 112–81, § 5125(span)(2)(B)(iv), substituted “Phase I” for “the first phase” and “Phase II” for “the second phase”.

Subsec. (j)(2)(H). Puspan. L. 112–81, § 5125(span)(2)(B)(v), substituted “Phase I” for “the first phase”, “Phase II” for “second phase” in two places, and “Phase III” for “third phase”.

Subsec. (j)(3)(A). Puspan. L. 112–81, § 5125(span)(2)(C)(i), substituted “Phase I” for “the first phase (as described in subsection (e)(4)(A) of this section)”, “Phase II” for “(as described in subsection (e)(4)(B) of this section)”, and “Phase III” for “the third phase (as described in subsection (e)(4)(C) of this section)”.

Subsec. (j)(3)(B). Puspan. L. 112–81, § 5125(span)(2)(C)(ii), substituted “Phase II” for “second phase”.

Subsec. (k). Puspan. L. 112–81, § 5125(span)(3), substituted “Phase I” for “first phase” and “Phase II” for “second phase” wherever appearing.

Subsec. (k)(1)(F). Puspan. L. 112–81, § 5134, added subpar. (F).

Subsec. (k)(2). Puspan. L. 112–81, § 5135(1), in introductory provisions, substituted “Not later than 90 days after December 31, 2011” for “Not later than 180 days after December 21, 2000”, added subpars. (A), (D), and (G), redesignated former subpars. (A), (B), (D), and (E) as (B), (C), (E), and (F), respectively, and struck out former subpar. (C) which read as follows: “includes for each applicant for a Phase I or Phase II award that does not receive such an award—

“(i) the span, size, and location, and an identifying number assigned by the Administration;

“(ii) an abstract of the project; and

“(iii) the Federal agency to which the application was made;”.

Subsec. (k)(3)(C). Puspan. L. 112–81, § 5135(2), added subpar. (C).

Subsec. (l)(2). Puspan. L. 112–81, § 5125(span)(4), substituted “Phase I” for “the first phase” and “Phase II” for “the second phase”.

Subsec. (m). Puspan. L. 112–81, § 5101(a), substituted “2017” for “2011”.

Puspan. L. 112–17, § 3(a), struck out par. (1) designation and span, substituted “The authorization” for “Except as provided in paragraph (2), the authorization” and “2011” for “2008”, and struck out par. (2). Text of par. (2) read as follows: “The Secretary of Defense and the Secretary of each military department are authorized to carry out the Small Business Innovation Research Program of the Department of Defense until September 30, 2010”.

Subsec. (m)(2). Puspan. L. 111–383 substituted “are authorized” for “is authorized”.

Subsec. (n)(1)(A). Puspan. L. 112–81, § 5101(span), substituted “2017” for “2011”.

Puspan. L. 112–17, § 3(span), struck out cl. (i) designation and span, substituted “With respect” for “Except as provided in clause (ii), with respect” and “2011” for “2009”, and struck out cl. (ii). Text of cl. (ii) read as follows: “The Secretary of Defense and the Secretary of each military department shall carry out clause (i) with respect to each fiscal year through fiscal year 2010.”

Subsec. (n)(1)(B)(ii) to (v). Puspan. L. 112–81, § 5102(span), added cls. (ii) to (v) and struck out former cl. (ii) which read as follows: “0.3 percent for fiscal year 2004 and each fiscal year thereafter.”

Subsec. (o)(4). Puspan. L. 112–81, § 5126(a)(2), designated existing provisions as subpar. (A) and added subpar. (B).

Subsec. (o)(9). Puspan. L. 112–81, § 5133, added par. (9) and struck out former par. (9) which read as follows: “collect such data from awardees as is necessary to assess STTR program outputs and outcomes;”.

Subsec. (o)(13)(B). Puspan. L. 112–81, § 5125(span)(5)(A), substituted “Phase II” for “second phase”.

Subsec. (o)(13)(C). Puspan. L. 112–81, § 5125(span)(5)(B), substituted “Phase III” for “third phase”.

Subsec. (o)(15), (16). Puspan. L. 112–81, § 5110(span), added par. (16), redesignated former par. (16) as (15) and struck out former par. (15) which read as follows: “collect, and maintain in a common format in accordance with subsection (v) of this section, such information from awardees as is necessary to assess the STTR program, including information necessary to maintain the database described in subsection (k) of this section; and”.

Subsec. (p)(2)(B)(vi). Puspan. L. 112–81, § 5125(span)(6)(A)(i), substituted “Phase II” for “the second phase” and “Phase III” for “the third phase”.

Subsec. (p)(2)(B)(ix). Puspan. L. 112–81, § 5125(span)(6)(A)(ii), substituted “Phase I” for “the first phase” and “Phase II” for “the second phase”.

Puspan. L. 112–81, § 5103(c)(2), inserted “(each of which the Administrator shall adjust for inflation annually)” after “$1,000,000,”.

Puspan. L. 112–81, § 5103(span), substituted “$150,000” for “$100,000” and “$1,000,000” for “$750,000”.

Subsec. (p)(3). Puspan. L. 112–81, § 5125(span)(6)(B), substituted “Phase I” for “the first phase (as described in subsection (e)(6)(A) of this section)”, “Phase II” for “the second phase (as described in subsection (e)(6)(B) of this section)”, and “Phase III” for “the third phase (as described in subsection (e)(6)(C) of this section)”.

Subsec. (q)(1). Puspan. L. 112–81, § 5121(1), inserted “or STTR program” after “SBIR program” and substituted “SBIR or STTR projects” for “SBIR projects” in introductory provisions.

Subsec. (q)(2). Puspan. L. 112–81, § 5121(2), substituted “5 years” for “3 years”.

Subsec. (q)(3). Puspan. L. 112–81, § 5121(3), added subpars. (A) to (D) and struck out former subpars. (A) and (B) which read as follows:

“(A) First phase

“Each agency referred to in paragraph (1) may provide services described in paragraph (1) to first phase SBIR award recipients in an amount equal to not more than $4,000, which shall be in addition to the amount of the recipient’s award.

“(B) Second phase

“Each agency referred to in paragraph (1) may 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 $4,000 per year.”

Subsec. (r). Puspan. L. 112–81, § 5125(span)(7)(A), substituted “Phase III” for “Third phase” in span.

Subsec. (r)(1). Puspan. L. 112–81, § 5125(span)(7)(B), substituted, in first sentence, “for Phase II” for “for the second phase”, “Phase III” for “third phase”, and “Phase II period” for “second phase period”, and, in second sentence, “Phase II” for “second phase” and “Phase III” for “third phase”.

Subsec. (r)(2). Puspan. L. 112–81, § 5125(span)(7)(C), substituted “Phase III” for “third phase”.

Subsec. (r)(4). Puspan. L. 112–81, § 5108, added par. (4).

Subsec. (s). Puspan. L. 112–17, § 4, added subsec. (s).

Subsec. (u)(2)(B). Puspan. L. 112–81, § 5125(span)(8), substituted “Phase I” for “the first phase” in introductory provisions.

Subsec. (v). Puspan. L. 112–81, § 5144, substituted “Reducing paperwork and compliance burden” for “Simplified reporting requirements” in span, designated existing provisions as par. (1), inserted span, and added par. (2).

Subsec. (y). Puspan. L. 112–81, § 5122(a)(1), (2), substituted “Readiness” for “Pilot” wherever appearing in span and text.

Subsec. (y)(1). Puspan. L. 112–81, § 5122(a)(3), inserted “or Small Business Technology Transfer Program” after “Small Business Innovation Research Program” and inserted at end “The authority to create and administer a Commercialization Readiness Program under this subsection may not be construed to eliminate or replace any other SBIR program or STTR program that enhances the insertion or transition of SBIR or STTR technologies, including any such program in effect on January 6, 2006.”

Subsec. (y)(2). Puspan. L. 112–81, § 5122(a)(4), inserted “or Small Business Technology Transfer Program” after “Small Business Innovation Research Program”.

Subsec. (y)(4). Puspan. L. 112–81, § 5141(span)(3)(B), as amended by Puspan. L. 112–239, § 1615(span), amended par. (4) generally. Prior to amendment, text read as follows: “For payment of expenses incurred to administer the Commercialization Readiness Program under this subsection, the Secretary of Defense and each Secretary of a military department is authorized to use not more than an amount equal to 1 percent of the funds available to the Department of Defense or the military department pursuant to the Small Business Innovation Research Program. Such funds shall not be used to make Phase III awards.”

Puspan. L. 112–81, § 5141(span)(1)(B), redesignated par. (5) as (4) and struck out former par. (4), which related to funding of expenses incurred to administer the Commercialization Readiness Program.

Subsec. (y)(5). Puspan. L. 112–81, § 5141(span)(1)(B)(ii), redesignated par. (6) as (5). Former par. (5) redesignated (4).

Puspan. L. 112–81, § 5122(a)(7), added par. (5).

Puspan. L. 112–81, § 5122(a)(5), struck out par. (5) which required the Secretary of Defense to submit an annual evaluative report regarding activities under the Commercialization Pilot Program.

Puspan. L. 112–81, § 1067(a)(2), which struck out par. (5), requiring the Secretary of Defense to submit an annual evaluative report regarding activities under the Commercialization Pilot Program, was repealed by Puspan. L. 112–239, § 1076(a)(20)(A).

Subsec. (y)(6). Puspan. L. 112–81, § 5141(span)(1)(B)(ii), redesignated par. (6) as (5).

Puspan. L. 112–81, § 5122(a)(6), (7), added par. (6) and struck out former par. (6), which provided that pilot program would terminate at the end of fiscal year 2011.

Puspan. L. 112–17, § 3(c), substituted “2011” for “2010”.

Subsec. (aa). Puspan. L. 112–81, § 5103(d), added subsec. (aa).

Subsec. (bspan). Puspan. L. 112–81, § 5104, added subsec. (bspan).

Subsec. (cc). Puspan. L. 112–81, § 5106, added subsec. (cc).

Subsec. (dd). Puspan. L. 112–81, § 5107(a), added subsec. (dd).

Subsec. (ee). Puspan. L. 112–81, § 5109, added subsec. (ee).

Subsec. (ff). Puspan. L. 112–81, § 5111, added subsec. (ff).

Subsec. (gg). Puspan. L. 112–81, § 5123, added subsec. (gg).

Subsecs. (hh), (ii). Puspan. L. 112–81, § 5126(span), added subsecs. (hh) and (ii).

Subsec. (jj). Puspan. L. 112–81, § 5127, added subsec. (jj).

Subsec. (kk). Puspan. L. 112–81, § 5138, added subsec. (kk).

Subsec. (ll). Puspan. L. 112–81, § 5140, added subsec. (ll).

Subsec. (mm). Puspan. L. 112–81, § 5141(a), added subsec. (mm).

Subsec. (nn). Puspan. L. 112–81, § 5161, added subsec. (nn).

Subsec. (oo). Puspan. L. 112–81, § 5162, added subsec. (oo).

Subsec. (pp). Puspan. L. 112–81, § 5164, added subsec. (pp).

Subsec. (qq). Puspan. L. 112–81, § 5165, added subsec. (qq).

Subsec. (rr). Puspan. L. 112–81, § 5166, added subsec. (rr).

Subsec. (ss). Puspan. L. 112–81, § 5167, added subsec. (ss).

2009—Subsec. (m). Puspan. L. 111–84, § 847(a), designated existing provisions as par. (1), inserted par. (1) span, substituted “Except as provided in paragraph (2), the authorization” for “The authorization”, and added par. (2).

Subsec. (n)(1)(A). Puspan. L. 111–84, § 847(span), designated existing provisions as cl. (i), inserted cl. (i) span, substituted “Except as provided in clause (ii), with respect” for “With respect”, and added cl. (ii).

Subsec. (y)(6). Puspan. L. 111–84, § 848, substituted “2010” for “2009”.

2007—Subsec. (z). Puspan. L. 110–140 added subsec. (z).

2006—Subsec. (span)(8). Puspan. L. 109–163, § 252(span)(1), added par. (8).

Subsec. (e)(9). Puspan. L. 109–163, § 252(c), added par. (9).

Subsec. (g)(11). Puspan. L. 109–163, § 252(span)(2), added par. (11).

Subsec. (o)(16). Puspan. L. 109–163, § 252(span)(3), added par. (16).

Subsecs. (x), (y). Puspan. L. 109–163, § 252(a), added subsecs. (x) and (y).

2004—Subsec. (j)(2)(I). Puspan. L. 108–271 substituted “Government Accountability Office” for “General Accounting Office”.

2001—Subsec. (span)(4). Puspan. L. 107–50, § 2(span), struck out “pilot” before “programs;”.

Subsec. (span)(7). Puspan. L. 107–50, § 6(d), substituted “, (o)(9), and (o)(15) of this section, the number of proposals received from, and the number and total amount of awards to, HUBZone small business concerns under each of the SBIR and STTR programs,” for “and (o)(9) of this section,”.

Subsec. (e)(6). Puspan. L. 107–50, § 2(span), struck out “pilot” before “program” in introductory provisions.

Subsec. (k)(1). Puspan. L. 107–50, § 6(span)(1), inserted “or STTR” after “SBIR” in subpars. (A) to (C) and added subpar. (E).

Subsec. (k)(2). Puspan. L. 107–50, § 6(span)(2)(A), (B), in introductory provisions, inserted “or an STTR program pursuant to subsection (n)(1)” after “(f)(1)” and substituted “exclusively for SBIR and STTR” for “solely for SBIR”.

Subsec. (k)(2)(A)(iii). Puspan. L. 107–50, § 6(span)(2)(C), inserted “and STTR” after “SBIR”.

Subsec. (k)(2)(D). Puspan. L. 107–50, § 6(span)(2)(D), inserted “or STTR” after “SBIR”.

Subsec. (n)(1). Puspan. L. 107–50, § 2(a), amended span and text of par. (1) generally. Prior to amendment, text read as follows: “With respect to fiscal years 1998, 1999, 2000, and 2001, each Federal agency that has an extramural budget for research, or research and development, in excess of $1,000,000,000 for that fiscal year, is authorized to expend with small business concerns not less than 0.15 percent of that extramural budget specifically in connection with STTR programs that meet the requirements of this section and any policy directives and regulations issued under this section.”

Subsec. (o)(11). Puspan. L. 107–50, § 7(span), substituted “adopt the agreement developed by the Administrator under subsection (w) as the agency’s model agreement” for “develop a model agreement not later than July 31, 1993, to be approved by the Administration,”.

Subsec. (o)(14). Puspan. L. 107–50, § 4, added par. (14).

Subsec. (o)(15). Puspan. L. 107–50, § 6(a), added par. (15).

Subsec. (p)(2)(B)(ix). Puspan. L. 107–50, § 3, substituted “$750,000” for “$500,000” and inserted “, and shorter or longer periods of time to be approved at the discretion of the awarding agency where appropriate for a particular project” before the semicolon at the end.

Subsec. (p)(3). Puspan. L. 107–50, § 5, added par. (3).

Subsec. (v). Puspan. L. 107–50, § 6(c), inserted “or STTR” after “SBIR” in two places.

Subsec. (w). Puspan. L. 107–50, § 7(a), added subsec. (w).

2000—Subsec. (span)(7). Puspan. L. 106–554, § 1(a)(9) [title I, § 107(span)], inserted before period at end “, including the data on output and outcomes collected pursuant to subsections (g)(10) and (o)(9) of this section, and a description of the extent to which Federal agencies are providing in a timely manner information needed to maintain the database described in subsection (k)”.

Puspan. L. 106–554, § 1(a)(9) [title I, § 104], substituted “, and to the Committee on Science and the Committee on Small Business of the House of Representatives,” for “and the Committee on Small Business of the House of Representatives”.

Subsec. (e)(4)(C)(i). Puspan. L. 106–554, § 1(a)(9) [title I, § 105], substituted “; or” for “; and” at end.

Subsec. (g)(9). Puspan. L. 106–554, § 1(a)(9) [title I, § 106], added par. (9).

Subsec. (g)(10). Puspan. L. 106–554, § 1(a)(9) [title I, § 107(a)], added par. (10).

Subsec. (i). Puspan. L. 106–554, § 1(a)(9) [title I, § 109], inserted subsec. span, designated existing provisions as par. (1), inserted par. span, and added par. (2).

Subsec. (j)(3). Puspan. L. 106–554, § 1(a)(9) [title I, § 110], added par. (3).

Subsec. (k). Puspan. L. 106–554, § 1(a)(9) [title I, § 107(c)], amended subsec. (k) generally, substituting present provisions for provisions which read “(k) [Reserved]”.

Subsec. (m). Puspan. L. 106–554, § 1(a)(9) [title I, § 103], amended span and text generally. Prior to amendment, text read as follows: “The authorization to carry out the Small Business Innovation Research Program under this section shall terminate on October 1, 2000.”

Subsec. (s)(2). Puspan. L. 106–554, § 1(a)(9) [title I, § 114(span)], substituted “for each of the fiscal years 2000 through 2005,” for “for fiscal year 1998, 1999, 2000, or 2001”.

Subsec. (u). Puspan. L. 106–554, § 1(a)(9) [title I, § 111(c)], added subsec. (u).

Subsec. (v). Puspan. L. 106–554, § 1(a)(9) [title I, § 113], added subsec. (v).

1999—Subsec. (p)(1)(B). Puspan. L. 106–113 amended subpar. (B) generally. Prior to amendment, subpar. (B) read as follows: “the Commissioner of Patents and Trademarks; and”.

1997—Subsec. (e)(4)(A). Puspan. L. 105–135, § 501(span)(1)(B), substituted “subparagraph (B)” for “subparagraph (B)(ii)”.

Subsec. (n)(1). Puspan. L. 105–135, § 501(a), added par. (1) and struck out span and text of former par. (1). Text read as follows: “Each Federal agency which has an extramural budget for research or research and development in excess of $1,000,000,000 in fiscal year 1994, 1995, or 1996, is authorized to expend with small business concerns—

“(A) not less than 0.05 percent of such budget in fiscal year 1994;

“(B) not less than 0.1 percent of such budget in fiscal year 1995; and

“(C) not less than 0.15 percent of such budget in fiscal years 1996 and 1997,

specifically in connection with STTR programs which meet the requirements of this section, policy directives, and regulations issued under this section.”

Subsec. (o)(8) to (13). Puspan. L. 105–135, § 501(span)(1)(A), added pars. (8) and (9) and redesignated former pars. (8) to (11) as (10) to (13), respectively.

Subsec. (s). Puspan. L. 105–135, § 501(span)(2), struck out subsec. (s), which related to outreach, including provisions defining eligible State and relating to program authority, amount of assistance, and use of assistance.

Puspan. L. 105–135, § 501(span)(1)(C), added subsec. (s).

Subsec. (t). Puspan. L. 105–135, § 501(span)(1)(C), added subsec. (t).

1996—Subsec. (n)(1)(C). Puspan. L. 104–208 substituted “fiscal years 1996 and 1997” for “fiscal year 1996”.

1994—Subsec. (q)(2). Puspan. L. 103–403 amended span and text of par. (2) generally. Prior to amendment, text read as follows: “Annually, each agency may select a vendor for purposes of this subsection using competitive, merit-based criteria, to assist small business concerns to meet the goals listed in paragraph (1).”

1992—Subsec. (span)(4). Puspan. L. 102–564, § 202(a)(1), inserted before semicolon at end “and small business technology transfer pilot programs”.

Subsec. (span)(5) to (7). Puspan. L. 102–564, § 202(a)(2), inserted “and STTR” after “SBIR” wherever appearing.

Subsec. (e)(1). Puspan. L. 102–564, § 103(c), substituted “for the Department of Energy it shall not include amounts obligated for atomic energy defense programs solely for weapons activities or for naval reactor programs” for “for the Department of Defense it shall not include amounts obligated solely for operational systems development”.

Puspan. L. 102–484, § 4237(d)(1), (2)(A), (h)(2), temporarily amended par. (1) by striking out “except that for the Department of Defense it shall not include amounts obligated solely for operational systems development, and” after “Government-operated facilities,” and substituting “, and except that for the Department of Energy it shall not include amounts obligated for atomic energy defense programs for weapons and weapons-related activities or for naval reactor programs;” for semicolon at end. See section 4237(h)(2) of Puspan. L. 102–484 set out in a Small Business Innovation Research Program in Department of Defense note below.

Subsec. (e)(4)(A). Puspan. L. 102–564, § 103(a)(1), inserted “that appear to have commercial potential, as described in subparagraph (B)(ii),” after “ideas”.

Subsec. (e)(4)(B). Puspan. L. 102–564, § 103(a)(2), added subpar. (B) and struck out former subpar. (B) which read as follows: “a second phase to further develop the proposed ideas to meet the particular program needs, the awarding of which shall take into consideration the scientific and technical merit and feasibility evidenced by the first phase and, where two or more proposals are evaluated as being of approximately equal scientific and technical merit and feasibility, special consideration shall be given to those proposals that have demonstrated third phase, non-Federal capital commitments; and”.

Subsec. (e)(4)(C). Puspan. L. 102–564, § 103(a)(2), added subpar. (C) and struck out former subpar. (C) which read as follows: “where appropriate, a third phase in which non-Federal capital pursues commercial applications of the research or research and development and which may also involve follow-on non-SBIR funded production contracts with a Federal agency for products or processes intended for use by the United States Government; and”.

Subsec. (e)(6) to (8). Puspan. L. 102–564, § 202(span), added pars. (6) to (8).

Subsec. (f). Puspan. L. 102–564, § 103(span), amended subsec. (f) generally. Prior to amendment, subsec. (f) consisted of pars. (1) and (2) relating to Federal agency extramural budget expenditures for fiscal years 1982 and thereafter for small business concerns in connection with small business innovation research programs meeting the requirements of the Small Business Innovation Development Act of 1982.

Subsec. (f)(2). Puspan. L. 102–484, § 4237(d)(2)(B), (h)(2), temporarily struck out par. (2) which read “Amounts appropriated for atomic energy defense programs of the Department of Energy shall for the purposes of paragraph (1) be excluded from the amount of the research or research and development budget of that Department.” See section 4237(h)(2) of Puspan. L. 102–484 set out in a Small Business Innovation Research Program in Department of Defense note below.

Subsec. (g)(3), (4). Puspan. L. 102–564, § 103(d), added par. (3) and redesignated former par. (3) as (4). Former par. (4) redesignated (5).

Subsec. (g)(5). Puspan. L. 102–564, § 103(d)(1), (h)(2), (i), redesignated par. (4) as (5) and inserted “subject to subsection (l),” before “unilaterally” and “and inform each awardee under such an agreement, to the extent possible, of the expenses of the awardee that will be allowable under the funding agreement” before semicolon at end. Former par. (5) redesignated (6).

Subsec. (g)(6). Puspan. L. 102–564, § 103(d)(1), redesignated par. (5) as (6). Former par. (6) redesignated (7).

Subsec. (g)(7). Puspan. L. 102–564, § 103(d)(1), (e), redesignated par. (6) as (7) and inserted before semicolon at end “and, in all cases, make payment to recipients under such agreements in full, subject to audit, on or before the last day of the 12-month period beginning on the date of completion of such requirements”. Former par. (7) redesignated (8).

Subsec. (g)(8). Puspan. L. 102–564, § 103(d)(1), redesignated par. (7) as (8).

Subsec. (j). Puspan. L. 102–564, § 103(f), designated existing provisions as par. (1) and inserted span, redesignated former pars. (1) and (2) as subpars. (A) and (B), respectively, of par. (1), former subpars. (A) to (H) of former par. (2) as cls. (i) to (viii), respectively, of subpar. (B) of par. (1), and former pars. (3) to (7) as subpars. (C) to (G), respectively, of par. (1), and added par. (2).

Subsec. (k). Puspan. L. 102–564, § 103(g), amended subsec. (k) generally, substituting “(k) [Reserved]” for prior provisions of subsec. (k) which read as follows: “The Director of the Office of Science and Technology Policy, in consultation with the Federal Coordinating Council for Science, Engineering and Research, shall, in addition to such other responsibilities imposed upon him by the Small Business Innovation Development Act of 1982—

“(1) independently survey and monitor all phases of the implementation and operation of SBIR programs within agencies required to establish an SBIR program, including compliance with the expenditures of funds according to the requirements of subsection (f) of this section; and

“(2) report not less than annually, and at such other times as the Director may deem appropriate, to the Committees on Small Business of the Senate and the House of Representatives on all phases of the implementation and operation of SBIR programs within agencies required to establish an SBIR program, together with such recommendations as the Director may deem appropriate.”

Subsec. (l). Puspan. L. 102–564, § 103(h)(1), added subsec. (l).

Subsec. (m). Puspan. L. 102–564, § 104(span), added subsec. (m).

Subsecs. (n) to (p). Puspan. L. 102–564, § 202(c), added subsecs. (n) to (p).

Subsec. (q). Puspan. L. 102–564, § 301(a), added subsec. (q).

Subsec. (r). Puspan. L. 102–564, § 305, added subsec. (r).

1988—Subsec. (j)(6), (7). Puspan. L. 100–590 added pars. (6) and (7).

1986—Subsec. (e)(1). Puspan. L. 99–443, § 1, inserted provision that for the Department of Defense, the extramural budget shall not include amounts obligated solely for operational systems development.

1982—Subsec. (span)(4) to (7). Puspan. L. 97–219, § 3, added pars. (4) to (7).

Subsecs. (e) to (k). Puspan. L. 97–219, § 4, added subsecs. (e) to (k).

Statutory Notes and Related Subsidiaries
Change of Name

Committee on Small Business of Senate changed to Committee on Small Business and Entrepreneurship of Senate. See Senate Resolution No. 123, One Hundred Seventh Congress, June 29, 2001.

Committee on Science of House of Representatives changed to Committee on Science and Technology of House of Representatives by House Resolution No. 6, One Hundred Tenth Congress, Jan. 5, 2007. Committee on Science and Technology of House of Representatives changed to Committee on Science, Space, and Technology of House of Representatives by House Resolution No. 5, One Hundred Twelfth Congress, Jan. 5, 2011.

Effective Date of 2013 Amendment

Puspan. L. 112–239, div. A, title X, § 1076(a), Jan. 2, 2013, 126 Stat. 1947, provided that the amendment made by section 1076(a)(20)(A) is effective Dec. 31, 2011, and as if included in Puspan. L. 112–81 as enacted.

Puspan. L. 112–239, div. A, title XVI, § 1615(c), Jan. 2, 2013, 126 Stat. 2067, provided that: “The amendments made by this section [amending this section] shall take effect as of January 1, 2012.”

Effective Date of 2011 Amendment

Puspan. L. 112–81, div. E, title LI, § 5141(span)(3), Dec. 31, 2011, 125 Stat. 1854, provided in part that the amendments made by section 5141(span)(3) of Puspan. L. 112–81 (amending this section) were effective on the first day of the fourth full fiscal year following Dec. 31, 2011.

Effective Date of 2009 Amendment

Puspan. L. 111–84, div. A, title VIII, § 847(c), Oct. 28, 2009, 123 Stat. 2421, provided that: “The amendments made by this section [amending this section] shall take effect as of July 30, 2009.”

Effective Date of 2007 Amendment

Amendment by Puspan. L. 110–140 effective on the date that is 1 day after Dec. 19, 2007, see section 1601 of Puspan. L. 110–140, set out as an Effective Date note under section 1824 of Title 2, The Congress.

Effective Date of 2001 Amendment

Puspan. L. 107–50, § 3(span), Oct. 15, 2001, 115 Stat. 263, provided that: “The amendments made by subsection (a) [amending this section] shall be effective beginning in fiscal year 2004.”

Effective Date of 1999 Amendment

Amendment by Puspan. L. 106–113 effective 4 months after Nov. 29, 1999, see section 1000(a)(9) [title IV, § 4731] of Puspan. L. 106–113, set out as a note under section 1 of Title 35, Patents.

Effective and Termination Dates of 1997 Amendment

Amendment by Puspan. L. 105–135 effective Oct. 1, 1997, see section 3 of Puspan. L. 105–135, set out as a note under section 631 of this title.

Puspan. L. 105–135, title V, § 501(span)(2), Dec. 2, 1997, 111 Stat. 2622, as amended by Puspan. L. 106–554, § 1(a)(9) [title I, § 114(a)], Dec. 21, 2000, 114 Stat. 2763, 2763A–681, provided that: “Effective October 1, 2005, section 9(s) of the Small Business Act [15 U.S.C. 638(s)] (as added by paragraph (1) of this subsection) is repealed.”

Effective Date of 1996 Amendment

Amendment by Puspan. L. 104–208 effective Oct. 1, 1996, see section 3 of Puspan. L. 104–208, set out as a note under section 633 of this title.

Effective and Termination Dates of 1992 Amendment

For effective and termination dates of amendment by Puspan. L. 102–484, see section 4237(g) and (h) of Puspan. L. 102–484, set out in a Small Business Innovation Research Program in Department of Defense note below.

Termination Date of 1982 Amendment

Puspan. L. 97–219, § 5, July 22, 1982, 96 Stat. 221, as amended by Puspan. L. 99–443, § 2, Oct. 6, 1986, 100 Stat. 1120; Puspan. L. 102–484, div. D, title XLII, § 4237(a), Oct. 23, 1992, 106 Stat. 2691, which provided that effective Oct. 1, 1993, subsecs. (span)(4) through (7) and (e) through (k) of this section were to be repealed, was repealed by Puspan. L. 102–564, title I, § 104(a), Oct. 28, 1992, 106 Stat. 4254.

Rule of Construction

Puspan. L. 117–183, § 4(span)(5), Sept. 30, 2022, 136 Stat. 2183, provided that: “Nothing in subsection (vv) of section 9 of the Small Business Act (15 U.S.C. 638), as added by paragraph (1), shall be construed to—

“(A) apply to any Federal agency with a due diligence program that applies to the SBIR or STTR programs required under subsection (vv) of section 9 of the Small Business Act (15 U.S.C. 638), as added by paragraph (1), in existence as of the date of enactment of this Act [Sept. 30, 2022]; or
“(B) restrict any Federal agency from taking due diligence measures in addition to those required under such subsection (vv) at the Federal agency.”

[For definitions of “Federal agency”, “SBIR”, and “STTR” as used in section 4(span)(5) of Puspan. L. 117–183, set out above, see section 2 of Puspan. L. 117–183, set out as a note below.]

Due Diligence Program

Puspan. L. 117–263, div. A, title VIII, § 872(span), Dec. 23, 2022, 136 Stat. 2739, provided that:

“(1)In general.—Until the date on which the Under Secretary of Defense for Research and Engineering makes the certification described in paragraph (2), in carrying out the due diligence program required under subsection (vv) of section 9 of the Small Business Act (15 U.S.C. 638), the Secretary of Defense and each Secretary of a military department shall perform the assessments required under such due diligence program—
“(A) only with respect to small business concerns selected by the applicable Secretary as the presumptive recipient of an award described in such subsection (vv); and
“(B) prior to notifying the small business concern that the small business concern has been selected to receive such an award.
“(2)Full implementation.—On the date on which the Under Secretary of Defense for Research and Engineering certifies to the Committees on Armed Services of the Senate and the House of Representatives that an automated capability for performing the assessments required under the due diligence program required under subsection (vv) of section 9 of the Small Business Act (15 U.S.C. 638) with respect to all small business concerns seeking an award described in such subsection is operational, paragraph (1) of this subsection shall sunset.”

Implementation of 2022 Amendment

Puspan. L. 117–183, § 4(span)(2), Sept. 30, 2022, 136 Stat. 2182, provided that:

“(A)In general.—Not later than 270 days after the date of enactment of this Act [Sept. 30, 2022], the head of a Federal agency required to establish an SBIR or STTR program shall implement a due diligence program under subsection (vv) of section 9 of the Small Business Act (15 U.S.C. 638), as added by paragraph (1), at the Federal agency that, to the extent practicable, incorporates the applicable best practices disseminated under paragraph (3) [set out as a note below].
“(B)Paperwork reduction act.—Chapter 35 of title 44, United States Code (commonly known as the ‘Paperwork Reduction Act’), shall not apply to the implementation of a due diligence program under subsection (vv) of section 9 of the Small Business Act (15 U.S.C. 638), as added by paragraph (1).
“(C)Briefing.—Not later than 30 days after the date of enactment of this Act, and on a recurring basis until implementation is complete, each Federal agency required to establish a due diligence program under subsection (vv) of section 9 of the Small Business Act (15 U.S.C. 638), as added by paragraph (1), shall brief the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business and the Committee on Science, Space, and Technology of the House of Representatives on the implementation of the due diligence program.”

[For definitions of “Federal agency”, “SBIR”, and “STTR” as used in section 4(span)(2) of Puspan. L. 117–183, set out above, see section 2 of Puspan. L. 117–183, set out as a note below.]

Puspan. L. 117–183, § 5(c), Sept. 30, 2022, 136 Stat. 2187, provided that: “Chapter 35 of title 44, United States Code (commonly known as the ‘Paperwork Reduction Act’), shall not apply to the implementation of paragraphs (16) and (17) of subsection (g) or paragraphs (20) and (21) of subsection (o) of section 9 of the Small Business Act (15 U.S.C. 638), as added by subsections (a) and (span).”

Best Practices

Puspan. L. 117–183, § 4(span)(3), Sept. 30, 2022, 136 Stat. 2182, provided that: “Not later than 180 days after the date of enactment of this Act [Sept. 30, 2022], the Administrator shall—

“(A) in coordination with the Director of the Office of Science and Technology Policy and in consultation with the Committee on Foreign Investment in the United States, disseminate among Federal agencies required to establish an SBIR or STTR program best practices of those Federal agencies for due diligence programs required under subsection (vv) of section 9 of the Small Business Act (15 U.S.C. 638), as added by paragraph (1); and
“(B) in consultation with the Committee on Foreign Investment in the United States, provide to Federal agencies described in subparagraph (A) guidance on the business relationships required to be disclosed under paragraph (13)(G) of subsection (g) and paragraph (17)(G) of subsection (o) of section 9 of the Small Business Act (15 U.S.C. 638), as added by this Act.”

[For definitions of terms used in section 4(span)(3) of Puspan. L. 117–183, set out above, see section 2 of Puspan. L. 117–183, set out as a note below.]

Cybersecurity Technical Assistance for SBIR and STTR Programs

Puspan. L. 116–92, div. A, title VIII, § 881, Dec. 20, 2019, 133 Stat. 1533, provided that:

“(a)In General.—The Secretary of Defense may enter into an agreement with 1 or more vendors selected under section 9(q)(2) of the Small Business Act (15 U.S.C. 638(q)(2)) to provide small business concerns engaged in SBIR or STTR projects with cybersecurity technical assistance, such as access to a network of cybersecurity experts and engineers engaged in designing and implementing cybersecurity practices.
“(span)Amounts.—In carrying out subsection (a), the Secretary of Defense may provide the amounts described under section 9(q)(3) of such Act (15 U.S.C. 638(q)(3)) to a recipient that meets the eligibility requirements under the such [sic] paragraph, if the recipient requests to seek cybersecurity technical assistance from an individual or entity other than a vendor selected as described in subsection (a).”

Pilot Program for Domestic Investment Under the SBIR Program

Puspan. L. 116–92, div. A, title VIII, § 884, Dec. 20, 2019, 133 Stat. 1534, as amended by Puspan. L. 117–81, div. A, title XVII, § 1702(e)(4), Dec. 27, 2021, 135 Stat. 2157, provided that:

“(a)In General.—Not later than 1 year after the date of the enactment of this Act [Dec. 20, 2019] and subject to subsection (span), the Secretary of Defense shall establish and administer a program to be known as the ‘Domestic Investment Pilot Program’ under which the Secretary and the service acquisition executive for each military department may make a SBIR award under section 9(dd) of the Small Business Act (15 U.S.C. 638[(dd)]) to a small business concern without providing the written determination described under paragraph (2) of such section 9(dd) if such concern is—
“(1) exclusively owned by multiple United States-owned venture capital operating companies, hedge funds, or private equity firms, or
“(2) majority-owned by multiple United States-owned venture capital operating companies, hedge funds, or private equity firms, if the minority foreign ownership of such concern is limited to members of the national technology and industrial base as defined under section 4801 of title 10, United States Code.
“(span)Limitation.—During any fiscal year, the aggregate amount of awards made under the Domestic Investment Pilot Program shall not exceed an amount equal to 10 percent of the total amount that the Secretary of Defense may award under section 9 of the Small Business Act (15 U.S.C. 638) during such fiscal year.
“(c)Evaluation Criteria.—In carrying out the Domestic Investment Pilot Program, the Secretary of Defense may not use investment of venture capital or investment from hedge funds or private equity firms as a criterion for the award of contracts under the SBIR program or STTR program.
“(d)Annual Reporting.—The Secretary of Defense shall include as part of each annual report required under section 9(span)(7) of the Small Business Act (15 U.S.C. 638(span)(7)) information on the implementation of the Domestic Investment Pilot Program with respect to the year covered by the report, including—
“(1) the number of applications for participation received from small business concerns;
“(2) the number of awards made to small business concerns, including an identification of such concerns;
“(3) the extent to which a small business concern participant is foreign-owned, including an identification of the foreign owners; and
“(4) an assessment of the effect of the Domestic Investment Pilot Program on—
“(A) inducing additional venture capital, hedge fund, or private equity funding of research as defined in section 9(e)(5) of the Small Business Act (15 U.S.C. 638(e)(5));
“(B) substantially contributing to the mission of the Department of Defense; and
“(C) otherwise fulfilling the capital needs of small business concerns for additional financing for SBIR projects.
“(e)Notification.—The Secretary of Defense shall notify the Small Business Administration of an award made under the Domestic Investment Pilot Program not later than 30 days after such award is made.
“(f)Termination.—The Domestic Investment Pilot Program established under this section shall terminate on September 30, 2022.
“(g)Definitions.—In this section:
“(1)Military department; service acquisition executive.—The terms ‘military department’ and ‘service acquisition executive’ have the meanings given those terms, respectively, in section 101 of title 10, United States Code.
“(2)SBIR; sttr.—The terms ‘SBIR’ and ‘STTR’ have the meanings given those terms, respectively, in section 9(e) of the Small Business Act (15 U.S.C. 638(e)).
“(3)Small business act definitions.—The terms ‘small business concern’, ‘venture capital operating company’, ‘hedge fund’, and ‘private equity firm’ have the meanings given those terms, respectively, in section 3 of the Small Business Act (15 U.S.C. 632).”

Firms That Are Majority-Owned by Multiple Venture Capital Operating Companies, Hedge Funds, Or Private Equity Firms Entitled to Partial Participation in SBIR Program; Rules for Determining Affiliation

Puspan. L. 112–81, div. E, title LI, § 5107(c), (d), Dec. 31, 2011, 125 Stat. 1829, 1832, provided that:

“(c)Rulemaking To Ensure That Firms That Are Majority-Owned by Multiple Venture Capital Operating Companies, Hedge Funds, Or Private Equity Firms Are Able To Participate in a Portion of the SBIR Program.—
“(1)Statement of congressional intent.—It is the stated intent of Congress that the Administrator should promulgate regulations to carry out the authority under section 9(dd) of the Small Business Act [15 U.S.C. 638(dd)], as added by this section, that—
“(A) permit small business concerns that are majority-owned by multiple venture capital operating companies, hedge funds, or private equity firms to participate in the SBIR program in accordance with section 9(dd) of the Small Business Act;
“(B) provide specific guidance for small business concerns that are majority-owned by multiple venture capital operating companies, hedge funds, or private equity firms with regard to eligibility, participation, and affiliation rules; and
“(C) preserve and maintain the integrity of the SBIR program as a program for small business concerns in the United States by prohibiting large businesses or large entities or foreign-owned businesses or foreign-owned entities from participation in the program established under section 9 of the Small Business Act [15 U.S.C. 638].
“(2)Rulemaking required.—
“(A)Proposed regulations.—Not later than 120 days after the date of enactment of this Act [Dec. 31, 2011], the Administrator shall issue proposed regulations to amend section 121.103 (relating to determinations of affiliation applicable to the SBIR program) and section 121.702 (relating to ownership and control standards and size standards applicable to the SBIR program) of title 13, Code of Federal Regulations, for firms that are majority-owned by multiple venture capital operating companies, hedge funds, or private equity firms and participating in the SBIR program solely under the authority under section 9(dd) of the Small Business Act [15 U.S.C. 638(dd)], as added by this section.
“(B)Final regulations.—Not later than 1 year after the date of enactment of this Act, and after providing notice of and opportunity for comment on the proposed regulations issued under subparagraph (A), the Administrator shall issue final or interim final regulations under this subsection.
“(3)Contents.—
“(A)In general.—The regulations issued under this subsection shall permit the participation of applicants majority-owned by multiple venture capital operating companies, hedge funds, or private equity firms in the SBIR program in accordance with section 9(dd) of the Small Business Act [15 U.S.C. 638(dd)], as added by this section, unless the Administrator determines—
“(i) in accordance with the size standards established under subparagraph (B), that the applicant is—
     “(I) a large business or large entity; or
     “(II) majority-owned or controlled by a large business or large entity; or
“(ii) in accordance with the criteria established under subparagraph (C), that the applicant—
     “(I) is a foreign-owned business or a foreign entity or is not a citizen of the United States or alien lawfully admitted for permanent residence; or
     “(II) is majority-owned or controlled by a foreign-owned business, foreign entity, or person who is not a citizen of the United States or alien lawfully admitted for permanent residence.
“(B)Size standards.—Under the authority to establish size standards under paragraphs (2) and (3) of section 3(a) of the Small Business Act (15 U.S.C. 632(a)), the Administrator shall, in accordance with paragraph (1) of this subsection, establish size standards for applicants seeking to participate in the SBIR program solely under the authority under section 9(dd) of the Small Business Act [15 U.S.C. 638(dd)], as added by this section.
“(C)Criteria for determining foreign ownership.—The Administrator shall establish criteria for determining whether an applicant meets the requirements under subparagraph (A)(ii), and, in establishing the criteria, shall consider whether the criteria should include—
“(i) whether the applicant is at least 51 percent owned or controlled by citizens of the United States or domestic venture capital operating companies, hedge funds, or private equity firms;
“(ii) whether the applicant is domiciled in the United States; and
“(iii) whether the applicant is a direct or indirect subsidiary of a foreign-owned firm, including whether the criteria should include that an applicant is a direct or indirect subsidiary of a foreign-owned entity if—
     “(I) any venture capital operating company, hedge fund, or private equity firm that owns more than 20 percent of the applicant is a direct or indirect subsidiary of a foreign-owned entity; or
     “(II) in the aggregate, entities that are direct or indirect subsidiaries of foreign-owned entities own more than 49 percent of the applicant.
“(D)Criteria for determining affiliation.—The Administrator shall establish criteria, in accordance with paragraph (1), for determining whether an applicant is affiliated with a venture capital operating company, hedge fund, private equity firm, or any other business that the venture capital operating company, hedge fund, or private equity firm has financed and, in establishing the criteria, shall specify that—
“(i) if a venture capital operating company, hedge fund, or private equity firm that is determined to be affiliated with an applicant is a minority investor in the applicant, the portfolio companies of the venture capital operating company, hedge fund, or private equity firm shall not be determined to be affiliated with the applicant, unless—
     “(I) the venture capital operating company, hedge fund, or private equity firm owns a majority of the portfolio company; or
     “(II) the venture capital operating company, hedge fund, or private equity firm holds a majority of the seats on the board of directors of the portfolio company;
“(ii) subject to clause (i), the Administrator retains the authority to determine whether a venture capital operating company, hedge fund, or private equity firm is affiliated with an applicant, including establishing other criteria;
“(iii) the Administrator may not determine that a portfolio company of a venture capital operating company, hedge fund, or private equity firm is affiliated with an applicant based solely on 1 or more shared investors; and
“(iv) subject to clauses (i), (ii), and (iii), the Administrator retains the authority to determine whether a portfolio company of a venture capital operating company, hedge fund, or private equity firm is affiliated with an applicant based on factors independent of whether there is a shared investor, such as whether there are contractual obligations between the portfolio company and the applicant.
“(4)Enforcement.—If the Administrator does not issue final or interim final regulations under this subsection on or before the date that is 1 year after the date of enactment of this Act [Dec. 31, 2011], the Administrator may not carry out or establish any pilot program until the date on which the Administrator issues the final or interim final regulations under this subsection.
“(5)Definition.—In this subsection, the terms ‘venture capital operating company’, ‘hedge fund’, and ‘private equity firm’ have the same meaning as in section 3 of the Small Business Act (15 U.S.C. 632), as amended by this section.
“(d)Assistance for Determining Affiliates.—
“(1)Clear explanation required.—Not later than 30 days after the date of enactment of this Act [Dec. 31, 2011], the Administrator shall post on the Wespan site of the Administration (with a direct link displayed on the homepage of the Wespan site of the Administration or the SBIR and STTR Wespan sites of the Administration)—
“(A) a clear explanation of the SBIR and STTR affiliation rules under part 121 of title 13, Code of Federal Regulations; and
“(B) contact information for officers or employees of the Administration who—
“(i) upon request, shall review an issue relating to the rules described in subparagraph (A); and
“(ii) shall respond to a request under clause (i) not later than 20 business days after the date on which the request is received.
“(2)Inclusion of affiliation rules for certain small business concerns.—On and after the date on which the final regulations under subsection (c) are issued, the Administrator shall post on the Wespan site of the Administration information relating to the regulations, in accordance with paragraph (1).”

[For definitions used in section 5107(c), (d) of Puspan. L. 112–81, set out above, see section 5002 of Puspan. L. 112–81, set out as a note under section 638span of this title.]

Accuracy in Funding Base Calculations

Puspan. L. 112–81, div. E, title LI, § 5136, Dec. 31, 2011, 125 Stat. 1849, provided that:

“(a)In General.—Not later than 1 year after the date of enactment of this Act [Dec. 31, 2011], and every year thereafter until the date that is 5 years after the date of enactment of this Act, the Comptroller General of the United States shall—
“(1) conduct a fiscal and management audit of the SBIR program and the STTR program for the applicable period to—
“(A) determine whether Federal agencies comply with the expenditure amount requirements under subsections (f)(1) and (n)(1) of section 9 of the Small Business Act (15 U.S.C. 638), as amended by this title;
“(B) assess the extent of compliance with the requirements of section 9(i)(2) of the Small Business Act (15 U.S.C. 638(i)(2)) by Federal agencies participating in the SBIR program or the STTR program and the Administration;
“(C) assess whether it would be more consistent and effective to base the amount of the allocations under the SBIR program and the STTR program on a percentage of the research and development budget of a Federal agency, rather than the extramural budget of the Federal agency; and
“(D) determine the portion of the extramural research or research and development budget of a Federal agency that each Federal agency spends for administrative purposes relating to the SBIR program or STTR program, and for what specific purposes it is used, including the portion, if any, of such budget the Federal agency spends for salaries and expenses, travel to visit applicants, outreach events, marketing, and technical assistance; and
“(2) submit a report to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business and the Committee on Science, Space, and Technology of the House of Representatives regarding the audit conducted under paragraph (1), including the assessments required under subparagraph (B) and the determinations made under subparagraph (D) of paragraph (1).
“(span)Definition of Applicable Period.—In this section, the term ‘applicable period’ means—
“(1) for the first report submitted under this section, the period beginning on October 1, 2005, and ending on September 30 of the last full fiscal year before the date of enactment of this Act [Dec. 31, 2011] for which information is available; and
“(2) for the second and each subsequent report submitted under this section, the period—
“(A) beginning on October 1 of the first fiscal year after the end of the most recent full fiscal year relating to which a report under this section was submitted; and
“(B) ending on September 30 of the last full fiscal year before the date of the report.”

[For definitions used in section 5136 of Puspan. L. 112–81, set out above, see section 5002 of Puspan. L. 112–81, set out as a note under section 638span of this title.]

Transitional Rule

Puspan. L. 112–81, div. E, title LI, § 5141(span)(2), Dec. 31, 2011, 125 Stat. 1853, provided that: “Notwithstanding the amendments made by paragraph (1) [amending this section], subsections (f)(2) and (y)(4) of section 9 of the Small Business Act (15 U.S.C. 638), as in effect on the day before the date of enactment of this Act [Dec. 31, 2011], shall continue to apply to each Federal agency until the effective date of the performance criteria established by the [Small Business] Administrator under subsection (mm)(3) of section 9 of the Small Business Act [15 U.S.C. 638(mm)(3)], as added by subsection (a).”

Conforming Amendments to the SBIR and the STTR Policy Directives

Puspan. L. 112–81, div. E, title LI, § 5151, Dec. 31, 2011, 125 Stat. 1857, provided that:

“(a)In General.—Not later than 180 days after the date of enactment of this Act [Dec. 31, 2011], the Administrator shall promulgate amendments to the SBIR Policy Directive and the STTR Policy Directive to conform such directives to this title [enacting sections 638a and 638span of this title, amending this section and section 632 of this title, and enacting and amending provisions set out as notes under this section] and the amendments made by this title.
“(span)Publishing SBIR Policy Directive and the STTR Policy Directive in the Federal Register.—Not later than 180 days after the date of enactment of this Act, the Administrator shall publish the amended SBIR Policy Directive and the amended STTR Policy Directive in the Federal Register.”

[For definitions used in section 5151 of Puspan. L. 112–81, set out above, see section 5002 of Puspan. L. 112–81, set out as a note under section 638span of this title.]

Coordination of the SBIR Program and the Experimental Program To Stimulate Competitive Research

Puspan. L. 112–81, div. E, title LI, § 5168, Dec. 31, 2011, 125 Stat. 1862, provided that:

“(a)Coordination Required.—The head of a Federal agency that participates in the SBIR program and the Experimental Program to Stimulate Competitive Research or the Institutional Development Award Program shall coordinate, to the extent possible, the initiatives of the agency with respect to such programs.
“(span)Coordination Report.—Not later than 1 year after the date of enactment of this Act [Dec. 31, 2011], the head of each Federal agency that participates in the SBIR program and the Experimental Program to Stimulate Competitive Research or the Institutional Development Award Program shall submit to the Administrator, the Committee on Small Business and the Committee on Science, Space, and Technology of the House of Representatives, and the Committee on Small Business and Entrepreneurship of the Senate a report describing the actions taken during the preceding 1-year period to increase coordination between such programs to maximize existing resources.
“(c)Participation Report.—Not later than 3 years after the date of enactment of this Act [Dec. 31, 2011], the head of each Federal agency that participates in the SBIR program and the Experimental Program to Stimulate Competitive Research or the Institutional Development Award Program shall submit to the Administrator, the Committee on Small Business and the Committee on Science, Space, and Technology of the House of Representatives, and the Committee on Small Business and Entrepreneurship of the Senate a report analyzing whether actions taken to increase the coordination of such programs have been successful in attracting entrepreneurs into the SBIR program and increasing the participation of States with respect to which a low level of SBIR awards have historically been awarded.”

[For definitions used in section 5168 of Puspan. L. 112–81, set out above, see section 5002 of Puspan. L. 112–81, set out as a note under section 638span of this title.]

Continuation of SBIR Program Beyond Termination Date

Puspan. L. 106–554, § 1(a)(4) [div. B, title I, § 149], Dec. 21, 2000, 114 Stat. 2763, 2763A–251, provided that: “The Small Business Innovation Research program, otherwise expiring at the end of fiscal year 2000, is authorized to continue in effect during fiscal year 2001.”

Congressional Findings: Small Business Innovation Research Program Reauthorization Act of 2000

Puspan. L. 106–554, § 1(a)(9) [title I, § 102], Dec. 21, 2000, 114 Stat. 2763, 2763A–668, provided that: “Congress finds that—

“(1) the small business innovation research program established under the Small Business Innovation Development Act of 1982 [see Short Title of 1982 Amendment note set out under section 631 of this title], and reauthorized by the Small Business Research and Development Enhancement Act of 1992 [see Short Title of 1992 Amendments note set out under section 631 of this title] (in this title [see Short Title of 2000 Amendment note set out under section 631 of this title] referred to as the ‘SBIR program’) is highly successful in involving small businesses in federally funded research and development;
“(2) the SBIR program made the cost-effective and unique research and development capabilities possessed by the small businesses of the Nation available to Federal agencies and departments;
“(3) the innovative goods and services developed by small businesses that participated in the SBIR program have produced innovations of critical importance in a wide variety of high-technology fields, including biology, medicine, education, and defense;
“(4) the SBIR program is a catalyst in the promotion of research and development, the commercialization of innovative technology, the development of new products and services, and the continued excellence of this Nation’s high-technology industries; and
“(5) the continuation of the SBIR program will provide expanded opportunities for one of the Nation’s vital resources, its small businesses, will foster invention, research, and technology, will create jobs, and will increase this Nation’s competitiveness in international markets.”

National Research Council Reports

Puspan. L. 106–554, § 1(a)(9) [title I, § 108], Dec. 21, 2000, 114 Stat. 2763, 2763A–671, as amended by Puspan. L. 112–81, div. E, title LI, § 5137, Dec. 31, 2011, 125 Stat. 1850, provided that:

“(a)Study and Recommendations.—The head of each agency with a budget of more than $50,000,000 for its SBIR program for fiscal year 1999, in consultation with the Small Business Administration, shall, not later than 6 months after the date of the enactment of this Act [Dec. 21, 2000], cooperatively enter into an agreement with the National Academy of Sciences for the National Research Council to—
“(1) conduct a comprehensive study of how the SBIR program has stimulated technological innovation and used small businesses to meet Federal research and development needs, including—
“(A) a review of the value to the Federal research agencies of the research projects being conducted under the SBIR program, and of the quality of research being conducted by small businesses participating under the program, including a comparison of the value of projects conducted under the SBIR program to those funded by other Federal research and development expenditures;
“(B) to the extent practicable, an evaluation of the economic benefits achieved by the SBIR program, including the economic rate of return, and a comparison of the economic benefits, including the economic rate of return, achieved by the SBIR program with the economic benefits, including the economic rate of return, of other Federal research and development expenditures;
“(C) an evaluation of the noneconomic benefits achieved by the SBIR program over the life of the program;
“(D) a comparison of the allocation for fiscal year 2000 of Federal research and development funds to small businesses with such allocation for fiscal year 1983, and an analysis of the factors that have contributed to such allocation; and
“(E) an analysis of whether Federal agencies, in fulfilling their procurement needs, are making sufficient effort to use small businesses that have completed a second phase award under the SBIR program; and
“(2) make recommendations with respect to—
“(A) measures of outcomes for strategic plans submitted under section 306 of title 5, United States Code, and performance plans submitted under section 1115 of title 31, United States Code, of each Federal agency participating in the SBIR program;
“(B) whether companies who can demonstrate project feasibility, but who have not received a first phase award, should be eligible for second phase awards, and the potential impact of such awards on the competitive selection process of the program;
“(C) whether the Federal Government should be permitted to recoup some or all of its expenses if a controlling interest in a company receiving an SBIR award is sold to a foreign company or to a company that is not a small business concern;
“(D) how to increase the use by the Federal Government in its programs and procurements of technology-oriented small businesses; and
“(E) improvements to the SBIR program, if any are considered appropriate.
“(span)Participation by Small Business.—
“(1)In general.—In a manner consistent with law and with National Research Council study guidelines and procedures, knowledgeable individuals from the small business community with experience in the SBIR program shall be included—
“(A) in any panel established by the National Research Council for the purpose of performing the study conducted under this section; and
“(B) among those who are asked by the National Research Council to peer review the study.
“(2)Consultation.—To ensure that the concerns of small business are appropriately considered under this subsection, the National Research Council shall consult with and consider the views of the Office of Technology and the Office of Advocacy of the Small Business Administration and other interested parties, including entities, organizations, and individuals actively engaged in enhancing or developing the technological capabilities of small business concerns.
“(c)Progress Reports.—The National Research Council shall provide semiannual progress reports on the study conducted under this section to the Committee on Science [now Committee on Science, Space, and Technology] and the Committee on Small Business of the House of Representatives, and to the Committee on Small Business [now Committee on Small Business and Entrepreneurship] of the Senate.
“(d)Report.—The National Research Council shall transmit to the heads of agencies entering into an agreement under this section and to the Committee on Science [now Committee on Science, Space, and Technology] and the Committee on Small Business of the House of Representatives, and to the Committee on Small Business [now Committee on Small Business and Entrepreneurship] of the Senate—
“(1) not later than 3 years after the date of the enactment of this Act [Dec. 21, 2000], a report including the results of the study conducted under subsection (a)(1) and recommendations made under subsection (a)(2); and
“(2) not later than 6 years after that date of the enactment, an update of such report.
“(e)Extensions and Enhancements of Authority.—
“(1)In general.—Not later than 6 months after the date of enactment of the SBIR/STTR Reauthorization Act of 2011 [div. E of Puspan. L. 112–81, approved Dec. 31, 2011], the head of each agency described in subsection (a), in consultation with the Small Business Administration, shall cooperatively enter into an agreement with the National Academy of Sciences for the National Research Council to, not later than 4 years after the date of enactment of the SBIR/STTR Reauthorization Act of 2011, and every 4 years thereafter—
“(A) continue the most recent study under this section relating to the issues described in subparagraphs (A), (B), (C), and (E) of subsection (a)(1);
“(B) conduct a comprehensive study of how the STTR program has stimulated technological innovation and technology transfer, including—
“(i) a review of the collaborations created between small businesses and research institutions, including an evaluation of the effectiveness of the program in stimulating new collaborations and any obstacles that may prevent or inhibit the creation of such collaborations;
“(ii) an evaluation of the effectiveness of the program at transferring technology and capabilities developed through Federal funding;
“(iii) to the extent practicable, an evaluation of the economic benefits achieved by the STTR program, including the economic rate of return;
“(iv) an analysis of how Federal agencies are using small businesses that have completed Phase II under the STTR program to fulfill their procurement needs;
“(v) an analysis of whether additional funds could be employed effectively by the STTR program; and
“(vi) an assessment of the systems and minimum performance standards relating to commercialization success established under section 9(qq) of the Small Business Act [15 U.S.C. 638(qq)];
“(C) make recommendations with respect to the issues described in subparagraphs (A), (D), and (E) of subsection (a)(2) and subparagraph (B) of this paragraph; and
“(D) estimate, to the extent practicable, the number of jobs created by the SBIR program or STTR program of the agency.
“(2)Consultation.—An agreement under paragraph (1) shall require the National Research Council to ensure that there is participation by and consultation with the small business community, the Administration, and other interested parties as described in subsection (span).
“(3)Reporting.—An agreement under paragraph (1) shall require that not later than 4 years after the date of enactment of the SBIR/STTR Reauthorization Act of 2011 [div. E of Puspan. L. 112–81, approved Dec. 31, 2011], and every 4 years thereafter, the National Research Council shall submit to the head of the agency entering into the agreement, the Committee on Small Business and Entrepreneurship of the Senate, and the Committee on Small Business and the Committee on Science, Space, and Technology of the House of Representatives, a report regarding the study conducted under paragraph (1) and containing the recommendations described in paragraph (1).”

Congressional Findings and Purposes: Small Business Research and Development Enhancement Act of 1992

Puspan. L. 102–564, title I, § 102, Oct. 28, 1992, 106 Stat. 4249, provided that:

“(a)Findings.—The Congress finds that—
“(1) the small business innovation research program established under the Small Business Innovation Development Act of 1982 [see Short Title of 1982 Amendment note set out under section 631 of this title] (hereafter in this Act [see Short Title of 1992 Amendments note set out under section 631 of this title] referred to as the ‘SBIR’ program) has been a successful method of involving small business concerns in Federal research and development;
“(2) the small business innovation research program has been an effective catalyst for the development of technological innovations by small business concerns;
“(3) small business innovation research program participants have provided high quality research and development in a cost-effective manner;
“(4) the innovative products and services developed by small business concerns participating in the small business innovation research program have been important to the national defense, as well as to the missions of the other participating Federal agencies;
“(5) the small business innovation research program has effectively stimulated the commercialization of technology developed through Federal research and development, benefiting both the public and private sectors of the Nation;
“(6) by encouraging the development and commercialization of technological innovations, the small business innovation research program has created jobs, expanded business opportunities for small firms, stimulated the development of new products and services, and improved the competitiveness of the Nation’s high technology industries;
“(7) the small business innovation research program has also helped to increase exports from small business concerns;
“(8) despite the general success of the small business innovation research program, the proportion of Federal research and development funds received by small business concerns has not increased over the life of the program, but has remained at 3 percent; and
“(9) although the participating Federal agencies have successfully implemented most aspects of the small business innovation research program, additional outreach efforts are necessary to stimulate increased participation of socially and economically disadvantaged small business concerns.
“(span)Purposes.—The purposes of this title [see Short Title of 1992 Amendments note set out under section 631 of this title] are—
“(1) to expand and improve the small business innovation research program;
“(2) to emphasize the program’s goal of increasing private sector commercialization of technology developed through Federal research and development;
“(3) to increase small business participation in Federal research and development; and
“(4) to improve the Federal Government’s dissemination of information concerning the small business innovation research program, particularly with regard to program participation by women-owned small business concerns and by socially and economically disadvantaged small business concerns.”

Recommendations of Secretary of Defense

Puspan. L. 102–564, title I, § 106, Oct. 28, 1992, 106 Stat. 4256, required the Secretary of Defense, by Mar. 31, 1996, to submit a recommendation to Congress addressing whether there was a demonstrable reduction in the quality of research performed under the Small Business Innovation Research Program since the beginning of fiscal year 1993, such that increasing the percentage in fiscal years after 1996 under former 15 U.S.C. 638(f)(1)(C) would adversely affect the performance of the research programs of the Department of Defense.

Timing of Issuance of Policy Directive

Puspan. L. 102–564, title II, § 202(d), Oct. 28, 1992, 106 Stat. 4260, provided that: “The policy directive required by section 9(p) of the Small Business Act [15 U.S.C. 638(p)] (as added by subsection (c) of this section) shall be published—

“(1) in proposed form (with an opportunity for public comment of not less than 30 days), not later than April 30, 1993; and
“(2) in final form, not later than July 31, 1993.”

Sense of Congress Concerning American-Made Equipment and Products

Puspan. L. 102–564, title III, § 306, Oct. 28, 1992, 106 Stat. 4263, provided that:

“(a)Purchase of American-Made Equipment and Products.—It is the sense of the Congress that an entity that is awarded a funding agreement under the SBIR program of a Federal agency under section 9 of the Small Business Act [15 U.S.C. 638] should, when purchasing any equipment or a product with funds provided through the funding agreement, purchase only American-made equipment and products, to the extent possible in keeping with the overall purposes of that program.
“(span)Notice to SBIR Awardees.—Each Federal agency that awards funding agreements under the SBIR program shall provide to each recipient of such an award a notice describing the sense of the Congress, as set forth in subsection (a).”

Small Business Innovation Research Program in Department of Defense

Puspan. L. 102–484, div. D, title XLII, § 4237, Oct. 23, 1992, 106 Stat. 2691, provided that:

“(a)Extension of Program.—

[Amended section 5 of Puspan. L. 97–219, formerly set out as a note above.]

“(span)Limitation on Program Awards.—Amounts paid to a small business concern by the Department of Defense under the Small Business Innovation Research Program for a project—
“(1) in phase I under the program may not exceed $100,000; and
“(2) in phase II under the program may not exceed $750,000.
“(c)Commercial Applications Strategy.—Not later than 270 days after the date of the enactment of this Act [Oct. 23, 1992], the Secretary of Defense, in consultation with the Administrator of the Small Business Administration, shall develop and issue a strategy for effectuating the transition of successful projects under the Small Business Innovation Research Program from phase II under the program into phase III under the program.
“(d)Repeal of Exclusion of Certain Activities.—

[Amended this section.]

“(e)Percentage of Required Expenditures for SBIR Contracts.—
(1) The Small Business Innovation Research Program shall apply to the Department of Defense (including the military departments) as if the percentage specified in section 9(f)(1) of the Small Business Act (15 U.S.C. 638(f)(1)) with respect to fiscal years after fiscal year 1982 were determined in accordance with the table set forth in paragraph (2) (rather than 1.25 percent).
“(2)
(A) The percentage under section 9(f)(1) of the Small Business Act (15 U.S.C. 638(f)(1)) for any fiscal year for the Department of Defense and each military department shall be determined in accordance with the following table:

“For fiscal year:

The percentage is:

1993

 1.25

1994

 1.5

1995

 1.75

1996

 2.0

1997

 2.25

1998 and thereafter

 2.5.

“(B) If the determination of the Secretary of Defense under subparagraph (C) is a negative determination (as set forth in that paragraph), then the percentage under section 9(f)(1) of the Small Business Act (15 U.S.C. 638(f)(1)) for the Department of Defense and each military department for fiscal years after fiscal year 1996 shall remain at the level applicable for fiscal year 1996 (notwithstanding the percentages specified in subparagraph (A) for fiscal years after fiscal year 1996).
“(C) Not later than June 30, 1996, the Secretary of Defense during fiscal year 1996 shall determine whether there has been a demonstrable reduction in the quality of research performed under funding agreements awarded by the Department of Defense under the SBIR program since the beginning of fiscal year 1993 such that increasing the percentage under subparagraph (A) for fiscal years after fiscal year 1996 with respect to the department would adversely affect the performance of the department’s research programs. If the determination of the Secretary is that there has been such a demonstrable reduction in the quality of research such that increasing the percentage under subparagraph (B) for fiscal years after fiscal year 1996 with respect to the de

Use of Department of Agriculture Extramural Budget Funds in Small Business Innovation Research Program

Puspan. L. 99–500, § 101(a) [title VI, § 630], Oct. 18, 1986, 100 Stat. 1783, 1783–30, and Puspan. L. 99–591, § 101(a) [title VI, § 630], Oct. 30, 1986, 100 Stat. 3341, 3341–30, provided that: “All funds appropriated for this fiscal year and all funds appropriated hereafter by this or any other Act that are determined to be part of the ‘extramural budget’ of the Department of Agriculture for any fiscal year for purposes of meeting the requirements of section 9 of the Small Business Act (15 U.S.C. 638), as amended by the Small Business Innovation Development Act of 1982, Public Law 97–219, shall be available for contracts, grants or cooperative agreements with small business concerns for any purpose in furtherance of the small business innovation research program. Such funds may be transferred for such purpose from one appropriation to another or to a single account.”

Congressional Findings and Declaration of Purpose: Small Business Innovation Development Act of 1982

Puspan. L. 97–219, § 2, July 22, 1982, 96 Stat. 217, provided that:

“(a) The Congress finds that—
“(1) technological innovation creates jobs, increases productivity, competition, and economic growth, and is a valuable counterforce to inflation and the United States balance-of-payments deficit;
“(2) while small business is the principal source of significant innovations in the Nation, the vast majority of federally funded research and development is conducted by large businesses, universities, and Government laboratories; and
“(3) small businesses are among the most cost-effective performers of research and development and are particularly capable of developing research and development results into new products.
“(span) Therefore, the purposes of the Act [amending this section] are—
“(1) to stimulate technological innovation;
“(2) to use small business to meet Federal research and development needs;
“(3) to foster and encourage participation by minority and disadvantaged persons in technological innovation; and
“(4) to increase private sector commercialization innovations derived from Federal research and development.”

Reports of Comptroller General

Puspan. L. 102–564, title I, § 105, Oct. 28, 1992, 106 Stat. 4254, required the Comptroller General to submit to Congress an interim report, by Mar. 31, 1995, concerning the quality of research performed under Small Business Innovation Research Program funding agreements entered into during fiscal year 1993 and thereafter and a final report, no later than 5 years after Oct. 28, 1992, concerning various aspects of the Small Business Innovation Research Program.

Puspan. L. 102–564, title II, § 202(e), Oct. 28, 1992, 106 Stat. 4260, required the Comptroller General to submit a report to Congress and the head of each agency required to make expenditures under the Small Business Technology Transfer Program setting forth the Comptroller General’s assessment of various aspects of the program and with the agencies’ compliance with procedural requirements.

Puspan. L. 97–219, § 6, July 22, 1982, 96 Stat. 221, as amended by Puspan. L. 99–443, § 3, Oct. 6, 1986, 100 Stat. 1120; Puspan. L. 100–418, title VIII, § 8008, Aug. 23, 1988, 102 Stat. 1561; Puspan. L. 100–647, title IX, § 9003, Nov. 10, 1988, 102 Stat. 3808, required the Comptroller General, by Dec. 31, 1988, to transmit a report to appropriate Congressional committees evaluating the effectiveness of the initial phases of the Small Business Innovation Research Program, by Dec. 31, 1991, to transmit to such committees an update of the earlier report, and by July 1, 1989, to transmit to such committees recommendations as to the advisability of certain amendments to the Small Business Innovation Research Program.

Definitions

Puspan. L. 117–183, § 2, Sept. 30, 2022, 136 Stat. 2180, provided that: “In this Act [amending this section and enacting provisions set out as notes under this section and section 631 of this title]:

“(1)Administration; administrator.—The terms ‘Administration’ and ‘Administrator’ mean the Small Business Administration and the Administrator thereof, respectively.
“(2)Federal agency; phase i; phase ii; phase iii; sbir; sttr.—The terms ‘Federal agency’, ‘Phase I’, ‘Phase II’, ‘Phase III’, ‘SBIR’, and ‘STTR’ have the meanings given those terms, respectively, in section 9(e) of the Small Business Act (15 U.S.C. 638(e)).”

Executive Documents
Ex. Ord. No. 13329. Encouraging Innovation in Manufacturing

Ex. Ord. No. 13329, Fespan. 24, 2004, 69 F.R. 9181, provided:

By the authority vested in me as President by the Constitution and the laws of the United States of America, including the Small Business Act, as amended (15 U.S.C. 631 et seq.), and to help ensure that Federal agencies properly and effectively assist the private sector in its manufacturing innovation efforts, it is hereby ordered as follows:

Section 1. Policy. Continued technological innovation is critical to a strong manufacturing sector in the United States economy. The Federal Government has an important role, including through the Small Business Innovation Research (SBIR) and the Small Business Technology Transfer (STTR) programs, in helping to advance innovation, including innovation in manufacturing, through small businesses.

Sec. 2. Duties of Department and Agency Heads. The head of each executive branch department or agency with one or more SBIR programs or one or more STTR programs shall:

(a) to the extent permitted by law and in a manner consistent with the mission of that department or agency, give high priority within such programs to manufacturing-related research and development to advance the policy set forth in section 1 of this order; and

(span) submit reports annually to the Administrator of the Small Business Administration and the Director of the Office of Science and Technology Policy concerning the efforts of such department or agency to implement subsection 2(a) of this order.

Sec. 3. Duties of Administrator of the Small Business Administration. The Administrator of the Small Business Administration:

(a) shall establish, after consultation with the Director of the Office of Science and Technology Policy, formats and schedules for submission of reports by the heads of departments and agencies under subsection 2(span) of this order; and

(span) is authorized to issue to departments and agencies guidelines and directives (in addition to the formats and schedules under subsection 3(a)) as the Administrator determines from time to time are necessary to implement subsection 2(a) of this order, after such guidelines and directives are submitted to the President, through the Director of the Office of Science and Technology Policy, for approval and are approved by the President.

Sec. 4. Definitions. As used in this order:

(a) “Small Business Innovation Research (SBIR) program” means a program to which section 9(e)(4) of the Small Business Act (15 U.S.C. 638(e)(4)) refers;

(span) “Small Business Technology Transfer (STTR) program” means a program to which section 9(e)(6) of the Small Business Act (15 U.S.C. 638(e)(6)) refers;

(c) “research and development” means an activity set forth in section 9(e)(5) of the Small Business Act (15 U.S.C. 638(e)(5)); and

(d) “manufacturing-related” means relating to: (i) manufacturing processes, equipment and systems; or (ii) manufacturing workforce skills and protection.

Sec. 5. General Provisions. (a) Nothing in this order shall be construed to impair or otherwise affect the authority of the Director of the Office of Management and Budget with respect to budget, administrative, or legislative proposals.

(span) Nothing in this order shall be construed to require disclosure of information the disclosure of which is prohibited by law or by Executive Order, including [former] Executive Order 12958 of April 17, 1995, as amended.

(c) This order is intended only to improve the internal management of the executive branch and is not intended to, and does not, create any right or benefit, substantive or procedural, enforceable at law or in equity, against the United States, its departments, agencies, or other entities, its officers or employees, or any other person.

George W. Bush.

CITE AS: 15 USC 638