Congress reauthorizes SBIR and SBTT programs

Congress recently passed a long-term reauthorization of two small business programs that make it easier for small enterprises to secure government contracts.

The Small Business Innovation Research (SBIR) program and the Small Business Technology Transfer (SBTT) program were both extended for six years following drawn-out negotiations over terms in both the House and the Senate.

Under the agreement, the amount of small business funding available would be increased, with venture capital participation rising to 25 percent for the National Institute of Health, the Department of Energy and the National Science Foundation. Other federal agencies will be permitted to compete for up to 15 percent of funding.

The bill, which comprises part of the National Defense Authorization Act, will also allow the total percentage of federal research and development funding allocated to the SBIR and STTR programs to rise from 2.5 percent to 3.2 percent and 0.3 percent to 0.45 percent, respectively.

The National Small Business Administration applauded the compromise.

"The SBIR program is one of the most successful small-business programs out there," said NSBA president Todd McCracken. "Congress - under the leadership of some key proponents - has righted a wrong that has bogged down this program for years."