WASHINGTON D.C. - U.S. Congressman Dan Boren today amended H.R. 2965, the Enhancing Small Business Research and Innovation Act of 2009, to include language that gives Native American-owned small businesses better access to resources in the Small Business Innovation Research (SBIR) program. Boren spoke on the floor of the U.S. House of Representatives this morning to highlight his efforts. The legislation passed the U.S. House of Representatives today by a vote of 386 to 41, and now heads to the U.S. Senate for consideration.
“With my amendment, I have asked agencies with an SBIR program to make a concerted effort to reach out to Native American-owned businesses. Tribal-owned businesses in Oklahoma and across the U.S. have a positive and growing impact on the local, state and regional economies. Oklahoma is home to 38 federally recognized tribes, 17 of which reside in the Second Congressional District. It is my hope that my amendment will make it easier for Native American-owned businesses located there, and everywhere else, to obtain these valuable SBIR awards,” Boren said.
The SBIR program is an effort to increase the portion of the Federal research and development (R&D) budget provided to small businesses. The program’s objective is to bring new concepts and innovating devices to the point where private sector investment is feasible.
“By any reasonable measure, the SBIR program has been a tremendous success. But there has been concern raised about how the funds are allocated. Some critics have argued that certain business sectors receive too large a share of the available Federal R&D dollars, and that certain demographics have little success obtaining any SBIR award money. This bill makes a strong effort address these issues, and my amendment helps provide access for hundreds of small businesses across Oklahoma,” Boren said.
The SBIR program is made up of three-phases. In the first phase, awards up to $100,000 (for six months) are provided to evaluate a concept’s scientific or technical merit and feasibility. The project must be of interest to and coincide with the mission of the awarding agency.
Projects that demonstrate potential after the initial award may compete for Phase II funds of up to $750,000 (lasting one-two years) to perform the principal R&D.
The final step is Phase III funding. This portion of the program is directed at the commercialization of the product or process. Federal dollars, but not SBIR funds, may be used if the government perceives that the final technology or technique will meet public needs. The SBIR program directs agencies to weigh commercial potential as an additional factor in evaluating SBIR proposals.
To be eligible to compete in the program, a company must be independently owned and operated; not dominant in the field of research proposed; for profit; employ 500 or fewer people; and at least 51% owned by one or more U.S. citizens.
As of FY2008, 11 departments have SBIR programs including the Departments of Agriculture, Commerce, Defense (DOD), Education, Energy, Health and Human Services, Homeland Security, and Transportation; the Environmental Protection Agency; the National Aeronautics and Space Administration (NASA); and the National Science Foundation (NSF). Individual departments select R&D interests, administer program operations, and control financial support. Funding may be disbursed in the form of contracts, grants, or cooperative agreements. Agency solicitations are issued at established times.
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