[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2965 Engrossed Amendment Senate (EAS)]

                  In the Senate of the United States,

                                                         July 13, 2009.
    Resolved, That the bill from the House of Representatives (H.R. 
2965) entitled ``An Act to amend the Small Business Act with respect to 
the Small Business Innovation Research Program and the Small Business 
Technology Transfer Program, and for other purposes.'', do pass with 
the following

                               AMENDMENT:

            Strike out all after the enacting clause and insert:

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``SBIR/STTR Reauthorization Act of 
2009''.

SEC. 2. TABLE OF CONTENTS.

    The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Definitions.

         TITLE I--REAUTHORIZATION OF THE SBIR AND STTR PROGRAMS

Sec. 101. Extension of termination dates.
Sec. 102. Status of the Office of Technology.
Sec. 103. SBIR allocation increase.
Sec. 104. STTR allocation increase.
Sec. 105. SBIR and STTR award levels.
Sec. 106. Agency and program collaboration.
Sec. 107. Elimination of Phase II invitations.
Sec. 108. Majority-venture investments in SBIR firms.
Sec. 109. SBIR and STTR special acquisition preference.
Sec. 110. Collaborating with Federal laboratories and research and 
                            development centers.
Sec. 111. Notice requirement.

          TITLE II--OUTREACH AND COMMERCIALIZATION INITIATIVES

Sec. 201. Rural and State outreach.
Sec. 202. SBIR-STEM Workforce Development Grant Pilot Program.
Sec. 203. Technical assistance for awardees.
Sec. 204. Commercialization program at Department of Defense.
Sec. 205. Commercialization Pilot Program for civilian agencies.
Sec. 206. Nanotechnology initiative.
Sec. 207. Accelerating cures.

                  TITLE III--OVERSIGHT AND EVALUATION

Sec. 301. Streamlining annual evaluation requirements.
Sec. 302. Data collection from agencies for SBIR.
Sec. 303. Data collection from agencies for STTR.
Sec. 304. Public database.
Sec. 305. Government database.
Sec. 306. Accuracy in funding base calculations.
Sec. 307. Continued evaluation by the National Academy of Sciences.
Sec. 308. Technology insertion reporting requirements.
Sec. 309. Intellectual property protections.

                      TITLE IV--POLICY DIRECTIVES

Sec. 401. Conforming amendments to the SBIR and the STTR Policy 
                            Directives.
Sec. 402. Priorities for certain research initiatives.
Sec. 403. Report on SBIR and STTR program goals.
Sec. 404. Competitive selection procedures for SBIR and STTR programs.

SEC. 3. DEFINITIONS.

    In this Act--
            (1) the terms ``Administration'' and ``Administrator'' mean 
        the Small Business Administration and the Administrator 
        thereof, respectively;
            (2) the terms ``extramural budget'', ``Federal agency'', 
        ``Small Business Innovation Research Program'', ``SBIR'', 
        ``Small Business Technology Transfer Program'', and ``STTR'' 
        have the meanings given such terms in section 9 of the Small 
        Business Act (15 U.S.C. 638); and
            (3) the term ``small business concern'' has the same 
        meaning as under section 3 of the Small Business Act (15 U.S.C. 
        632).

         TITLE I--REAUTHORIZATION OF THE SBIR AND STTR PROGRAMS

SEC. 101. EXTENSION OF TERMINATION DATES.

    (a) SBIR.--Section 9(m) of the Small Business Act (15 U.S.C. 
638(m)) is amended by striking ``2008'' and inserting ``2017''.
    (b) STTR.--Section 9(n)(1)(A) of the Small Business Act (15 U.S.C. 
638(n)(1)(A)) is amended by striking ``2009'' and inserting ``2017''.

SEC. 102. STATUS OF THE OFFICE OF TECHNOLOGY.

    Section 9(b) of the Small Business Act (15 U.S.C. 638(b)) is 
amended--
            (1) in paragraph (7), by striking ``and'' at the end;
            (2) in paragraph (8), by striking the period at the end and 
        inserting ``; and'';
            (3) by redesignating paragraph (8) as paragraph (9); and
            (4) by adding at the end the following:
            ``(10) to maintain an Office of Technology to carry out the 
        responsibilities of the Administration under this section, 
        which shall be--
                    ``(A) headed by the Assistant Administrator for 
                Technology, who shall report directly to the 
                Administrator; and
                    ``(B) independent from the Office of Government 
                Contracting of the Administration and sufficiently 
                staffed and funded to comply with the oversight, 
                reporting, and public database responsibilities 
                assigned to the Office of Technology by the 
                Administrator.''.

SEC. 103. SBIR ALLOCATION INCREASE.

    Section 9(f) of the Small Business Act (15 U.S.C. 638(f)) is 
amended--
            (1) in paragraph (1)--
                    (A) in the matter preceding subparagraph (A), by 
                striking ``Each'' and inserting ``Except as provided in 
                paragraph (2)(C), each'';
                    (B) in subparagraph (B), by striking ``and'' at the 
                end; and
                    (C) by striking subparagraph (C) and inserting the 
                following:
                    ``(C) not less than 2.5 percent of such budget in 
                each of fiscal years 2009 and 2010;
                    ``(D) not less than 2.6 percent of such budget in 
                fiscal year 2011;
                    ``(E) not less than 2.7 percent of such budget in 
                fiscal year 2012;
                    ``(F) not less than 2.8 percent of such budget in 
                fiscal year 2013;
                    ``(G) not less than 2.9 percent of such budget in 
                fiscal year 2014;
                    ``(H) not less than 3.0 percent of such budget in 
                fiscal year 2015;
                    ``(I) not less than 3.1 percent of such budget in 
                fiscal year 2016;
                    ``(J) not less than 3.2 percent of such budget in 
                fiscal year 2017;
                    ``(K) not less than 3.3 percent of such budget in 
                fiscal year 2018;
                    ``(L) not less than 3.4 percent of such budget in 
                fiscal year 2019; and
                    ``(M) not less than 3.5 percent of such budget in 
                fiscal year 2020 and each fiscal year thereafter,''; 
                and
            (2) in paragraph (2)--
                    (A) by redesignating subparagraphs (A) and (B) as 
                clauses (i) and (ii), respectively, and adjusting the 
                margins accordingly;
                    (B) by striking ``A Federal agency'' and inserting 
                the following:
                    ``(A) In general.--A Federal agency''; and
                    (C) by adding at the end the following:
                    ``(B) Department of defense and department of 
                energy.--For the Department of Defense and the 
                Department of Energy, to the greatest extent 
                practicable, the percentage of the extramural budget in 
                excess of 2.5 percent required to be expended with 
                small business concerns under subparagraphs (D) through 
                (M) of paragraph (1)--
                            ``(i) may not be used for new Phase I or 
                        Phase II awards; and
                            ``(ii) shall be used for activities that 
                        further the readiness levels of technologies 
                        developed under Phase II awards, including 
                        conducting testing and evaluation to promote 
                        the transition of such technologies into 
                        commercial or defense products, or systems 
                        furthering the mission needs of the Department 
                        of Defense or the Department of Energy, as the 
                        case may be.''.

SEC. 104. STTR ALLOCATION INCREASE.

    Section 9(n)(1)(B) of the Small Business Act (15 U.S.C. 
638(n)(1)(B)) is amended--
            (1) in clause (i), by striking ``and'' at the end;
            (2) in clause (ii), by striking ``thereafter.'' and 
        inserting ``through fiscal year 2010;''; and
            (3) by adding at the end the following:
                            ``(iii) 0.4 percent for fiscal years 2011 
                        and 2012;
                            ``(iv) 0.5 percent for fiscal years 2013 
                        and 2014; and
                            ``(v) 0.6 percent for fiscal year 2015 and 
                        each fiscal year thereafter.''.

SEC. 105. SBIR AND STTR AWARD LEVELS.

    (a) SBIR Adjustments.--Section 9(j)(2)(D) of the Small Business Act 
(15 U.S.C. 638(j)(2)(D)) is amended--
            (1) by striking ``$100,000'' and inserting ``$150,000''; 
        and
            (2) by striking ``$750,000'' and inserting ``$1,000,000''.
    (b) STTR Adjustments.--Section 9(p)(2)(B)(ix) of the Small Business 
Act (15 U.S.C. 638(p)(2)(B)(ix)) is amended--
            (1) by striking ``$100,000'' and inserting ``$150,000''; 
        and
            (2) by striking ``$750,000'' and inserting ``$1,000,000''.
    (c) Triennial Adjustments.--Section 9 of the Small Business Act (15 
U.S.C. 638) is amended--
            (1) in subsection (j)(2)(D)--
                    (A) by striking ``5 years'' and inserting ``3 
                years''; and
                    (B) by striking ``and programmatic 
                considerations''; and
            (2) in subsection (p)(2)(B)(ix) by striking ``greater or 
        lesser amounts to be awarded at the discretion of the awarding 
        agency,'' and inserting ``an adjustment for inflation of such 
        amounts once every 3 years,''.
    (d) Limitation on Certain Awards.--Section 9 of the Small Business 
Act (15 U.S.C. 638) is amended by adding at the end the following:
    ``(aa) Limitation on Certain Awards.--
            ``(1) Limitation.--No Federal agency may issue an award 
        under the SBIR program or the STTR program if the size of the 
        award exceeds the award guidelines established under this 
        section by more than 50 percent.
            ``(2) Maintenance of information.--Participating agencies 
        shall maintain information on awards exceeding the guidelines 
        established under this section, including--
                    ``(A) the amount of each award;
                    ``(B) a justification for exceeding the award 
                amount;
                    ``(C) the identity and location of each award 
                recipient; and
                    ``(D) whether a recipient has received any venture 
                capital investment and, if so, whether the recipient is 
                majority-owned and controlled by multiple venture 
                capital companies.
            ``(3) Reports.--The Administrator shall include the 
        information described in paragraph (2) in the annual report of 
        the Administrator to Congress.
            ``(4) Rule of construction.--Nothing in this subsection 
        shall be construed to prevent a Federal agency from 
        supplementing an award under the SBIR program or the STTR 
        program using funds of the Federal agency that are not part of 
        the SBIR program or the STTR program of the Federal agency.''.

SEC. 106. AGENCY AND PROGRAM COLLABORATION.

    Section 9 of the Small Business Act (15 U.S.C. 638), as amended by 
this Act, is amended by adding at the end the following:
    ``(bb) Subsequent Phases.--
            ``(1) Agency collaboration.--A small business concern that 
        received an award from a Federal agency under this section 
        shall be eligible to receive an award for a subsequent phase 
        from another Federal agency, if the head of each relevant 
        Federal agency or the relevant component of the Federal agency 
        makes a written determination that the topics of the relevant 
        awards are the same and both agencies report the awards to the 
        Administrator for inclusion in the public database under 
        subsection (k).
            ``(2) SBIR and sttr collaboration.--A small business 
        concern which received an award under this section under the 
        SBIR program or the STTR program may receive an award under 
        this section for a subsequent phase in either the SBIR program 
        or the STTR program and the participating agency or agencies 
        shall report the awards to the Administrator for inclusion in 
        the public database under subsection (k).''.

SEC. 107. ELIMINATION OF PHASE II INVITATIONS.

    (a) In General.--Section 9(e) of the Small Business Act (15 U.S.C. 
638(e)) is amended--
            (1) in paragraph (4)(B), by striking ``to further'' and 
        inserting: ``which shall not include any invitation, pre-
        screening, pre-selection, or down-selection process for 
        eligibility for the second phase, that will further''; and
            (2) in paragraph (6)(B), by striking ``to further develop 
        proposed ideas to'' and inserting ``which shall not include any 
        invitation, pre-screening, pre-selection, or down-selection 
        process for eligibility for the second phase, that will further 
        develop proposals that''.
    (b) Technical and Conforming Amendments.--The Small Business Act 
(15 U.S.C. 638) is amended--
            (1) in section 9--
                    (A) in subsection (e)--
                            (i) in paragraph (8), by striking ``and'' 
                        at the end;
                            (ii) in paragraph (9)--
                                    (I) by striking ``the second or the 
                                third phase'' and inserting ``Phase II 
                                or Phase III''; and
                                    (II) by striking the period at the 
                                end and inserting a semicolon; and
                            (iii) by adding at the end the following:
            ``(10) the term `Phase I' means--
                    ``(A) with respect to the SBIR program, the first 
                phase described in paragraph (4)(A); and
                    ``(B) with respect to the STTR program, the first 
                phase described in paragraph (6)(A);
            ``(11) the term `Phase II' means--
                    ``(A) with respect to the SBIR program, the second 
                phase described in paragraph (4)(B); and
                    ``(B) with respect to the STTR program, the second 
                phase described in paragraph (6)(B); and
            ``(12) the term `Phase III' means--
                    ``(A) with respect to the SBIR program, the third 
                phase described in paragraph (4)(C); and
                    ``(B) with respect to the STTR program, the third 
                phase described in paragraph (6)(C).'';
                    (B) in subsection (j)--
                            (i) in paragraph (1)(B), by striking 
                        ``phase two'' and inserting ``Phase II'';
                            (ii) in paragraph (2)--
                                    (I) in subparagraph (B)--
                                            (aa) by striking ``the 
                                        third phase'' each place it 
                                        appears and inserting ``Phase 
                                        III''; and
                                            (bb) by striking ``the 
                                        second phase'' and inserting 
                                        ``Phase II'';
                                    (II) in subparagraph (D)--
                                            (aa) by striking ``the 
                                        first phase'' and inserting 
                                        ``Phase I''; and
                                            (bb) by striking ``the 
                                        second phase'' and inserting 
                                        ``Phase II'';
                                    (III) in subparagraph (F), by 
                                striking ``the third phase'' and 
                                inserting ``Phase III'';
                                    (IV) in subparagraph (G)--
                                            (aa) by striking ``the 
                                        first phase'' and inserting 
                                        ``Phase I''; and
                                            (bb) by striking ``the 
                                        second phase'' and inserting 
                                        ``Phase II''; and
                                    (V) in subparagraph (H)--
                                            (aa) by striking ``the 
                                        first phase'' and inserting 
                                        ``Phase I'';
                                            (bb) by striking ``second 
                                        phase'' each place it appears 
                                        and inserting ``Phase II''; and
                                            (cc) by striking ``third 
                                        phase'' and inserting ``Phase 
                                        III''; and
                            (iii) in paragraph (3)--
                                    (I) in subparagraph (A)--
                                            (aa) by striking ``the 
                                        first phase (as described in 
                                        subsection (e)(4)(A))'' and 
                                        inserting ``Phase I'';
                                            (bb) by striking ``the 
                                        second phase (as described in 
                                        subsection (e)(4)(B))'' and 
                                        inserting ``Phase II''; and
                                            (cc) by striking ``the 
                                        third phase (as described in 
                                        subsection (e)(4)(C))'' and 
                                        inserting ``Phase III''; and
                                    (II) in subparagraph (B), by 
                                striking ``second phase'' and inserting 
                                ``Phase II'';
                    (C) in subsection (k)--
                            (i) by striking ``first phase'' each place 
                        it appears and inserting ``Phase I''; and
                            (ii) by striking ``second phase'' each 
                        place it appears and inserting ``Phase II'';
                    (D) in subsection (l)(2)--
                            (i) by striking ``the first phase'' and 
                        inserting ``Phase I''; and
                            (ii) by striking ``the second phase'' and 
                        inserting ``Phase II'';
                    (E) in subsection (o)(13)--
                            (i) in subparagraph (B), by striking 
                        ``second phase'' and inserting ``Phase II''; 
                        and
                            (ii) in subparagraph (C), by striking 
                        ``third phase'' and inserting ``Phase III'';
                    (F) in subsection (p)--
                            (i) in paragraph (2)(B)--
                                    (I) in clause (vi)--
                                            (aa) by striking ``the 
                                        second phase'' and inserting 
                                        ``Phase II''; and
                                            (bb) by striking ``the 
                                        third phase'' and inserting 
                                        ``Phase III''; and
                                    (II) in clause (ix)--
                                            (aa) by striking ``the 
                                        first phase'' and inserting 
                                        ``Phase I''; and
                                            (bb) by striking ``the 
                                        second phase'' and inserting 
                                        ``Phase II''; and
                            (ii) in paragraph (3)--
                                    (I) by striking ``the first phase 
                                (as described in subsection 
                                (e)(6)(A))'' and inserting ``Phase I'';
                                    (II) by striking ``the second phase 
                                (as described in subsection 
                                (e)(6)(B))'' and inserting ``Phase 
                                II''; and
                                    (III) by striking ``the third phase 
                                (as described in subsection 
                                (e)(6)(A))'' and inserting ``Phase 
                                III'';
                    (G) in subsection (q)(3)--
                            (i) in subparagraph (A)--
                                    (I) in the subparagraph heading, by 
                                striking ``First phase'' and inserting 
                                ``Phase i''; and
                                    (II) by striking ``first phase'' 
                                and inserting ``Phase I''; and
                            (ii) in subparagraph (B)--
                                    (I) in the subparagraph heading, by 
                                striking ``Second phase'' and inserting 
                                ``Phase ii''; and
                                    (II) by striking ``second phase'' 
                                and inserting ``Phase II'';
                    (H) in subsection (r)--
                            (i) in the subsection heading, by striking 
                        ``Third Phase'' and inserting ``Phase III'';
                            (ii) in paragraph (1)--
                                    (I) in the first sentence--
                                            (aa) by striking ``for the 
                                        second phase'' and inserting 
                                        ``for Phase II'';
                                            (bb) by striking ``third 
                                        phase'' and inserting ``Phase 
                                        III''; and
                                            (cc) by striking ``second 
                                        phase period'' and inserting 
                                        ``Phase II period''; and
                                    (II) in the second sentence--
                                            (aa) by striking ``second 
                                        phase'' and inserting ``Phase 
                                        II''; and
                                            (bb) by striking ``third 
                                        phase'' and inserting ``Phase 
                                        III''; and
                            (iii) in paragraph (2), by striking ``third 
                        phase'' and inserting ``Phase III''; and
                    (I) in subsection (u)(2)(B), by striking ``the 
                first phase'' and inserting ``Phase I'';
            (2) in section 34--
                    (A) in subsection (c)(2)(B)(ii), by striking 
                ``first phase and second phase SBIR awards'' and 
                inserting ``Phase I and Phase II SBIR awards (as 
                defined in section 9(e))''; and
                    (B) in subsection (e)(2)(A)--
                            (i) in clause (i), by striking ``first 
                        phase awards'' and all that follows and 
                        inserting ``Phase I awards (as defined in 
                        section 9(e));''; and
                            (ii) by striking ``first phase'' each place 
                        it appears and inserting ``Phase I''; and
            (3) in section 35(c)(2)(B)(vii), by striking ``third 
        phase'' and inserting ``Phase III''.

SEC. 108. MAJORITY-VENTURE INVESTMENTS IN SBIR FIRMS.

    (a) In General.--Section 9 of the Small Business Act (15 U.S.C. 
638), as amended by this Act, is amended by adding at the end the 
following:
    ``(cc) Majority-venture Investments in SBIR Firms.--
            ``(1) Authority and determination.--
                    ``(A) In general.--Upon a written determination 
                provided not later than 30 days in advance to the 
                Administrator and to the Committee on Small Business 
                and Entrepreneurship of the Senate and the Committee on 
                Small Business of the House of Representatives--
                            ``(i) the Director of the National 
                        Institutes of Health may award not more than 18 
                        percent of the SBIR funds of the National 
                        Institutes of Health allocated in accordance 
                        with this Act, in the first full fiscal year 
                        beginning after the date of enactment of this 
                        subsection, and each fiscal year thereafter, to 
                        small business concerns that are owned in 
                        majority part by venture capital companies and 
                        that satisfy the qualification requirements 
                        under paragraph (2) through competitive, merit-
                        based procedures that are open to all eligible 
                        small business concerns; and
                            ``(ii) the head of any other Federal agency 
                        participating in the SBIR program may award not 
                        more than 8 percent of the SBIR funds of the 
                        Federal agency allocated in accordance with 
                        this Act, in the first full fiscal year 
                        beginning after the date of enactment of this 
                        subsection, and each fiscal year thereafter, to 
                        small business concerns that are majority owned 
                        by venture capital companies and that satisfy 
                        the qualification requirements under paragraph 
                        (2) through competitive, merit-based procedures 
                        that are open to all eligible small business 
                        concerns.
                    ``(B) Determination.--A written determination made 
                under subparagraph (A) shall explain how the use of the 
                authority under that subparagraph will induce 
                additional venture capital funding of small business 
                innovations, substantially contribute to the mission of 
                the funding Federal agency, demonstrate a need for 
                public research, and otherwise fulfill the capital 
                needs of small business concerns for additional 
                financing for the SBIR project.
            ``(2) Qualification requirements.--The Administrator shall 
        establish requirements relating to the affiliation by small 
        business concerns with venture capital companies, which may not 
        exclude a United States small business concern from 
        participation in the program under paragraph (1) on the basis 
        that the small business concern is owned in majority part by, 
        or controlled by, more than 1 United States venture capital 
        company, so long as no single venture capital company owns more 
        than 49 percent of the small business concern.
            ``(3) Registration.--A small business concern that is 
        majority owned and controlled by multiple venture capital 
        companies and qualified for participation in the program 
        authorized under paragraph (1) shall--
                    ``(A) register with the Administrator on the date 
                that the small business concern submits an application 
                for an award under the SBIR program; and
                    ``(B) indicate whether the small business concern 
                is registered under subparagraph (A) in any SBIR 
                proposal.
            ``(4) Compliance.--A Federal agency described in paragraph 
        (1) shall collect data regarding the number and dollar amounts 
        of phase I, phase II, and all other categories of awards under 
        the SBIR program, and the Administrator shall report on the 
        data and the compliance of each such Federal agency with the 
        maximum amounts under paragraph (1) as part of the annual 
        report by the Administration under subsection (b)(7).
            ``(5) Enforcement.--If a Federal agency awards more than 
        the amount authorized under paragraph (1) for a purpose 
        described in paragraph (1), the amount awarded in excess of the 
        amount authorized under paragraph (1) shall be transferred to 
        the funds for general SBIR programs from the non-SBIR research 
        and development funds of the Federal agency within 60 days of 
        the date on which the Federal agency awarded more than the 
        amount authorized under paragraph (1) for a purpose described 
        in paragraph (1).''.
    (b) Technical and Conforming Amendment.--Section 3 of the Small 
Business Act (15 U.S.C. 632) is amended by adding at the end the 
following:
    ``(t) Venture Capital Company.--In this Act, the term `venture 
capital company' means an entity described in clause (i), (v), or (vi) 
of section 121.103(b)(5) of title 13, Code of Federal Regulations (or 
any successor thereto).''.
    (c) Assistance for Determining Affiliates.--Not later than 30 days 
after the date of enactment of this Act, the Administrator shall post 
on the website of the Administration (with a direct link displayed on 
the homepage of the website of the Administration or the SBIR website 
of the Administration)--
            (1) a clear explanation of the SBIR affiliation rules under 
        part 121 of title 13, Code of Federal Regulations; and
            (2) contact information for officers or employees of the 
        Administration who--
                    (A) upon request, shall review an issue relating to 
                the rules described in paragraph (1); and
                    (B) shall respond to a request under subparagraph 
                (A) not later than 20 business days after the date on 
                which the request is received.

SEC. 109. SBIR AND STTR SPECIAL ACQUISITION PREFERENCE.

    Section 9(r) of the Small Business Act (15 U.S.C. 638(r)) is 
amended by adding at the end the following:
            ``(4) Phase iii awards.--To the greatest extent 
        practicable, Federal agencies and Federal prime contractors 
        shall issue Phase III awards relating to technology, including 
        sole source awards, to the SBIR and STTR award recipients that 
        developed the technology.''.

SEC. 110. COLLABORATING WITH FEDERAL LABORATORIES AND RESEARCH AND 
              DEVELOPMENT CENTERS.

    Section 9 of the Small Business Act (15 U.S.C. 638), as amended by 
this Act, is amended by adding at the end the following:
    ``(dd) Collaborating With Federal Laboratories and Research and 
Development Centers.--
            ``(1) Authorization.--Subject to the limitations under this 
        section, the head of each participating Federal agency may make 
        SBIR and STTR awards to any eligible small business concern 
        that--
                    ``(A) intends to enter into an agreement with a 
                Federal laboratory or federally funded research and 
                development center for portions of the activities to be 
                performed under that award; or
                    ``(B) has entered into a cooperative research and 
                development agreement (as defined in section 12(d) of 
                the Stevenson-Wydler Technology Innovation Act of 1980 
                (15 U.S.C. 3710a(d))) with a Federal laboratory.
            ``(2) Prohibition.--No Federal agency shall--
                    ``(A) condition an SBIR or STTR award upon entering 
                into agreement with any Federal laboratory or any 
                federally funded laboratory or research and development 
                center for any portion of the activities to be 
                performed under that award;
                    ``(B) approve an agreement between a small business 
                concern receiving a SBIR or STTR award and a Federal 
                laboratory or federally funded laboratory or research 
                and development center, if the small business concern 
                performs a lesser portion of the activities to be 
                performed under that award than required by this 
                section and by the SBIR Policy Directive and the STTR 
                Policy Directive of the Administrator; or
                    ``(C) approve an agreement that violates any 
                provision, including any data rights protections 
                provision, of this section or the SBIR and the STTR 
                Policy Directives.
            ``(3) Implementation.--Not later than 180 days after the 
        date of enactment of this subsection, the Administrator shall 
        modify the SBIR Policy Directive and the STTR Policy Directive 
        issued under this section to ensure that small business 
        concerns--
                    ``(A) have the flexibility to use the resources of 
                the Federal laboratories and federally funded research 
                and development centers; and
                    ``(B) are not mandated to enter into agreement with 
                any Federal laboratory or any federally funded 
                laboratory or research and development center as a 
                condition of an award.''.

SEC. 111. NOTICE REQUIREMENT.

    The head of any Federal agency involved in a case or controversy 
before any Federal judicial or administrative tribunal concerning the 
SBIR program or the STTR program shall provide timely notice, as 
determined by the Administrator, of the case or controversy to the 
Administrator.

          TITLE II--OUTREACH AND COMMERCIALIZATION INITIATIVES

SEC. 201. RURAL AND STATE OUTREACH.

    (a) Outreach.--Section 9 of the Small Business Act (15 U.S.C. 638) 
is amended by inserting after subsection (r) the following:
    ``(s) Outreach.--
            ``(1) Definition of eligible state.--In this subsection, 
        the term `eligible State' means a State--
                    ``(A) for which the total value of contracts 
                awarded to the State under this section during the most 
                recent fiscal year for which data is available was less 
                than $5,000,000; and
                    ``(B) that certifies to the Administrator that the 
                State will, upon receipt of assistance under this 
                subsection, provide matching funds from non-Federal 
                sources in an amount that is not less than 50 percent 
                of the amount provided under this subsection.
            ``(2) Program authority.--Of amounts made available to 
        carry out this section for each of fiscal years 2010 through 
        2014, the Administrator may expend with eligible States not 
        more than $5,000,000 in each such fiscal year in order to 
        increase the participation of small business concerns located 
        in those States in the programs under this section.
            ``(3) Amount of assistance.--The amount of assistance 
        provided to an eligible State under this subsection in any 
        fiscal year--
                    ``(A) shall be equal to not more than 50 percent of 
                the total amount of matching funds from non-Federal 
                sources provided by the State; and
                    ``(B) shall not exceed $100,000.
            ``(4) Use of assistance.--Assistance provided to an 
        eligible State under this subsection shall be used by the 
        State, in consultation with State and local departments and 
        agencies, for programs and activities to increase the 
        participation of small business concerns located in the State 
        in the programs under this section, including--
                    ``(A) the establishment of quantifiable performance 
                goals, including goals relating to--
                            ``(i) the number of program awards under 
                        this section made to small business concerns in 
                        the State; and
                            ``(ii) the total amount of Federal research 
                        and development contracts awarded to small 
                        business concerns in the State;
                    ``(B) the provision of competition outreach support 
                to small business concerns in the State that are 
                involved in research and development; and
                    ``(C) the development and dissemination of 
                educational and promotional information relating to the 
                programs under this section to small business concerns 
                in the State.''.
    (b) Federal and State Program Extension.--Section 34 of the Small 
Business Act (15 U.S.C. 657d) is amended--
            (1) in subsection (h), by striking ``2001 through 2005'' 
        each place it appears and inserting ``2010 through 2014''; and
            (2) in subsection (i), by striking ``2005'' and inserting 
        ``2014''.
    (c) Matching Requirements.--Section 34(e)(2) of the Small Business 
Act (15 U.S.C. 657d(e)(2)) is amended--
            (1) in subparagraph (A)--
                    (A) in clause (i), by striking ``50 cents'' and 
                inserting ``35 cents''; and
                    (B) in clause (iii), by striking ``75 cents'' and 
                inserting ``50 cents'';
            (2) in subparagraph (B), by striking ``50 cents'' and 
        inserting ``35 cents'';
            (3) by redesignating subparagraphs (C) and (D) as 
        subparagraphs (D) and (E), respectively; and
            (4) by inserting after subparagraph (B) the following:
                    ``(C) Rural areas.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), the non-Federal share of the cost 
                        of the activity carried out using an award or 
                        under a cooperative agreement under this 
                        section shall be 35 cents for each Federal 
                        dollar that will be directly allocated by a 
                        recipient described in paragraph (A) to serve 
                        small business concerns located in a rural 
                        area.
                            ``(ii) Enhanced rural awards.--For a 
                        recipient located in a rural area that is 
                        located in a State described in subparagraph 
                        (A)(i), the non-Federal share of the cost of 
                        the activity carried out using an award or 
                        under a cooperative agreement under this 
                        section shall be 15 cents for each Federal 
                        dollar that will be directly allocated by a 
                        recipient described in paragraph (A) to serve 
                        small business concerns located in the rural 
                        area.
                            ``(iii) Definition of rural area.--In this 
                        subparagraph, the term `rural area' has the 
                        meaning given that term in section 1393(a)(2)) 
                        of the Internal Revenue Code of 1986.''.

SEC. 202. SBIR-STEM WORKFORCE DEVELOPMENT GRANT PILOT PROGRAM.

    (a) Pilot Program Established.--From amounts made available to 
carry out this section, the Administrator shall establish a SBIR-STEM 
Workforce Development Grant Pilot Program to encourage the business 
community to provide workforce development opportunities for college 
students, in the fields of science, technology, engineering, and math 
(in this section referred to as ``STEM college students''), by 
providing a SBIR bonus grant.
    (b) Eligible Entities Defined.--In this section the term ``eligible 
entity'' means a grantee receiving a grant under the SBIR Program on 
the date of the bonus grant under subsection (a) that provides an 
internship program for STEM college students.
    (c) Awards.--An eligible entity shall receive a bonus grant equal 
to 10 percent of either a Phase I or Phase II grant, as applicable, 
with a total award maximum of not more than $10,000 per year.
    (d) Evaluation.--Following the fourth year of funding under this 
section, the Administrator shall submit a report to Congress on the 
results of the SBIR-STEM Workforce Development Grant Pilot Program.
    (e) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section--
            (1) $1,000,000 for fiscal year 2011;
            (2) $1,000,000 for fiscal year 2012;
            (3) $1,000,000 for fiscal year 2013;
            (4) $1,000,000 for fiscal year 2014; and
            (5) $1,000,000 for fiscal year 2015.

SEC. 203. TECHNICAL ASSISTANCE FOR AWARDEES.

    Section 9(q)(3) of the Small Business Act (15 U.S.C. 638(q)(3)) is 
amended--
            (1) in subparagraph (A), by striking ``$4,000'' and 
        inserting ``$5,000'';
            (2) in subparagraph (B)--
                    (A) by striking ``, with funds available from their 
                SBIR awards,''; and
                    (B) by striking ``$4,000 per year'' and inserting 
                ``$5,000 per year, which shall be in addition to the 
                amount of the recipient's award''; and
            (3) by adding at the end the following:
                    ``(C) Flexibility.--In carrying out subparagraphs 
                (A) and (B), each Federal agency shall provide the 
                allowable amounts to a recipient that meets the 
                eligibility requirements under the applicable 
                subparagraph, if the recipient requests to seek 
                technical assistance from an individual or entity other 
                than the vendor selected under paragraph (2) by the 
                Federal agency.
                    ``(D) Limitation.--A Federal agency may not--
                            ``(i) use the amounts authorized under 
                        subparagraph (A) or (B) unless the vendor 
                        selected under paragraph (2) provides the 
                        technical assistance to the recipient; or
                            ``(ii) enter a contract with a vendor under 
                        paragraph (2) under which the amount provided 
                        for technical assistance is based on total 
                        number of Phase I or Phase II awards.''.

SEC. 204. COMMERCIALIZATION PROGRAM AT DEPARTMENT OF DEFENSE.

    Section 9(y) of the Small Business Act (15 U.S.C. 638(y)) is 
amended--
            (1) in the subsection heading, by striking ``Pilot'';
            (2) by striking ``Pilot'' each place that term appears;
            (3) in paragraph (1)--
                    (A) by inserting ``or Small Business Technology 
                Transfer Program'' after ``Small Business Innovation 
                Research Program''; and
                    (B) by adding at the end the following: ``The 
                authority to create and administer a Commercialization 
                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 the date of enactment of the National 
                Defense Authorization Act for Fiscal Year 2006 (Public 
                Law 109-163; 119 Stat. 3136).'';
            (4) in paragraph (2), by inserting ``or Small Business 
        Technology Transfer Program'' after ``Small Business Innovation 
        Research Program'';
            (5) in paragraph (4), by inserting ``or Small Business 
        Technology Transfer Program'' after ``Small Business Innovation 
        Research Program'';
            (6) by striking paragraph (6);
            (7) by redesignating paragraph (5) as paragraph (7); and
            (8) by inserting after paragraph (4) the following:
            ``(5) Insertion incentives.--For any contract with a value 
        of not less than $100,000,000, the Secretary of Defense is 
        authorized to--
                    ``(A) establish goals for the transition of Phase 
                III technologies in subcontracting plans; and
                    ``(B) require a prime contractor on such a contract 
                to report the number and dollar amount of contracts 
                entered into by that prime contractor for Phase III 
                SBIR or STTR projects.
            ``(6) Goal for sbir and sttr technology insertion.--The 
        Secretary of Defense shall--
                    ``(A) set a goal to increase the number of Phase II 
                SBIR contracts and the number of Phase II STTR 
                contracts awarded by that Secretary that lead to 
                technology transition into programs of record or 
                fielded systems;
                    ``(B) use incentives in effect on the date of 
                enactment of the SBIR/STTR Reauthorization Act of 2009, 
                or create new incentives, to encourage agency program 
                managers and prime contractors to meet the goal under 
                subparagraph (A); and
                    ``(C) include in the annual report to Congress the 
                percentage of contracts described in subparagraph (A) 
                awarded by that Secretary, and information on the 
                ongoing status of projects funded through the 
                Commercialization Program and efforts to transition 
                these technologies into programs of record or fielded 
                systems.''.

SEC. 205. COMMERCIALIZATION PILOT PROGRAM FOR CIVILIAN AGENCIES.

    Section 9 of the Small Business Act (15 U.S.C. 638), as amended by 
this Act, is amended by adding at the end the following:
    ``(ee) Pilot Program.--
            ``(1) Authorization.--The head of each covered Federal 
        agency may set aside not more than 10 percent of the SBIR and 
        STTR funds of such agency for further technology development, 
        testing, and evaluation of SBIR and STTR Phase II technologies.
            ``(2) Application by federal agency.--
                    ``(A) In general.--A covered Federal agency may not 
                establish a pilot program unless such agency makes a 
                written application to the Administrator, not later 
                than 90 days before to the first day of the fiscal year 
                in which the pilot program is to be established, that 
                describes a compelling reason that additional 
                investment in SBIR or STTR technologies is necessary, 
                including unusually high regulatory, systems 
                integration, or other costs relating to development or 
                manufacturing of identifiable, highly promising small 
                business technologies or a class of such technologies 
                expected to substantially advance the mission of the 
                agency.
                    ``(B) Determination.--The Administrator shall--
                            ``(i) make a determination regarding an 
                        application submitted under subparagraph (A) 
                        not later than 30 days before the first day of 
                        the fiscal year for which the application is 
                        submitted;
                            ``(ii) publish the determination in the 
                        Federal Register; and
                            ``(iii) make a copy of the determination 
                        and any related materials available to the 
                        Committee on Small Business and 
                        Entrepreneurship of the Senate and the 
                        Committee on Small Business of the House of 
                        Representatives.
            ``(3) Maximum amount of award.--The head of a Federal 
        agency may not make an award under a pilot program in excess of 
        3 times the dollar amounts generally established for Phase II 
        awards under subsection (j)(2)(D) or (p)(2)(B)(ix).
            ``(4) Matching.--The head of a Federal agency may not make 
        an award under a pilot program for SBIR or STTR Phase II 
        technology that will be acquired by the Federal Government 
        unless new private, Federal non-SBIR, or Federal non-STTR 
        funding that at least matches the award from the Federal agency 
        is provided for the SBIR or STTR Phase II technology.
            ``(5) Eligibility for award.--The head of a Federal agency 
        may make an award under a pilot program to any applicant that 
        is eligible to receive a Phase III award related to technology 
        developed in Phase II of an SBIR or STTR project.
            ``(6) Registration.--Any applicant that receives an award 
        under a pilot program shall register with the Administrator in 
        a registry that is available to the public.
            ``(7) Termination.--The authority to establish a pilot 
        program under this section expires at the end of fiscal year 
        2014.
            ``(8) Definitions.--In this section--
                    ``(A) the term `covered Federal agency'--
                            ``(i) means a Federal agency participating 
                        in the SBIR program or the STTR program; and
                            ``(ii) does not include the Department of 
                        Defense; and
                    ``(B) the term `pilot program' means the program 
                established under paragraph (1).''.

SEC. 206. NANOTECHNOLOGY INITIATIVE.

    (a) In General.--Section 9 of the Small Business Act (15 U.S.C. 
638), as amended by this Act, is amended by adding at the end the 
following:
    ``(ff) Nanotechnology Initiative.--Each Federal agency 
participating in the SBIR or STTR program shall encourage the 
submission of applications for support of nanotechnology related 
projects to such program.''.
    (b) Sunset.--Effective October 1, 2014, subsection (ff) of the 
Small Business Act, as added by subsection (a) of this section, is 
repealed.

SEC. 207. ACCELERATING CURES.

    The Small Business Act (15 U.S.C. 631 et seq.) is amended--
            (1) by redesignating section 44 as section 45; and
            (2) by inserting after section 43 the following:

``SEC. 44. SMALL BUSINESS INNOVATION RESEARCH PROGRAM.

    ``(a) NIH Cures Pilot.--
            ``(1) Establishment.--An independent advisory board shall 
        be established at the National Academy of Sciences (in this 
        section referred to as the `advisory board') to conduct 
        periodic evaluations of the SBIR program (as that term is 
        defined in section 9) of each of the National Institutes of 
        Health (referred to in this section as the `NIH') institutes 
        and centers for the purpose of improving the management of the 
        SBIR program through data-driven assessment.
            ``(2) Membership.--
                    ``(A) In general.--The advisory board shall consist 
                of--
                            ``(i) the Director of the NIH;
                            ``(ii) the Director of the SBIR program of 
                        the NIH;
                            ``(iii) senior NIH agency managers, 
                        selected by the Director of NIH;
                            ``(iv) industry experts, selected by the 
                        Council of the National Academy of Sciences in 
                        consultation with the Associate Administrator 
                        for Technology of the Administration and the 
                        Director of the Office of Science and 
                        Technology Policy; and
                            ``(v) owners or operators of small business 
                        concerns that have received an award under the 
                        SBIR program of the NIH, selected by the 
                        Associate Administrator for Technology of the 
                        Administration.
                    ``(B) Number of members.--The total number of 
                members selected under clauses (iii), (iv), and (v) of 
                subparagraph (A) shall not exceed 10.
                    ``(C) Equal representation.--The total number of 
                members of the advisory board selected under clauses 
                (i), (ii), (iii), and (iv) of subparagraph (A) shall be 
                equal to the number of members of the advisory board 
                selected under subparagraph (A)(v).
    ``(b) Addressing Data Gaps.--In order to enhance the evidence-base 
guiding SBIR program decisions and changes, the Director of the SBIR 
program of the NIH shall address the gaps and deficiencies in the data 
collection concerns identified in the 2007 report of the National 
Academies of Science entitled `An Assessment of the Small Business 
Innovation Research Program at the NIH'.
    ``(c) Pilot Program.--
            ``(1) In general.--The Director of the SBIR program of the 
        NIH may initiate a pilot program, under a formal mechanism for 
        designing, implementing, and evaluating pilot programs, to spur 
        innovation and to test new strategies that may enhance the 
        development of cures and therapies.
            ``(2) Considerations.--The Director of the SBIR program of 
        the NIH may consider conducting a pilot program to include 
        individuals with successful SBIR program experience in study 
        sections, hiring individuals with small business development 
        experience for staff positions, separating the commercial and 
        scientific review processes, and examining the impact of the 
        trend toward larger awards on the overall program.
    ``(d) Report to Congress.--The Director of the NIH shall submit an 
annual report to Congress and the advisory board on the activities of 
the SBIR program of the NIH under this section.
    ``(e) SBIR Grants and Contracts.--
            ``(1) In general.--In awarding grants and contracts under 
        the SBIR program of the NIH each SBIR program manager shall 
        place an emphasis on applications that identify products and 
        services that may enhance the development of cures and 
        therapies.
            ``(2) Examination of commercialization and other metrics.--
        The advisory board shall evaluate the implementation of the 
        requirement under paragraph (1) by examining increased 
        commercialization and other metrics, to be determined and 
        collected by the SBIR program of the NIH.
            ``(3) Phase i and ii.--To the greatest extent practicable, 
        the Director of the SBIR program of the NIH shall reduce the 
        time period between Phase I and Phase II funding of grants and 
        contracts under the SBIR program of the NIH to 6 months.
    ``(f) Limit.--Not more than a total of 1 percent of the extramural 
budget (as defined in section 9 of the Small Business Act (15 U.S.C. 
638)) of the NIH for research or research and development may be used 
for the pilot program under subsection (c) and to carry out subsection 
(e).
    ``(g) Sunset.--This section shall cease to be effective on the date 
that is 5 years after the date of enactment of the SBIR/STTR 
Reauthorization Act of 2009.''.

                  TITLE III--OVERSIGHT AND EVALUATION

SEC. 301. STREAMLINING ANNUAL EVALUATION REQUIREMENTS.

    Section 9(b) of the Small Business Act (15 U.S.C. 638(b)), as 
amended by section 102 of this Act, is amended--
            (1) in paragraph (7)--
                    (A) by striking ``STTR programs, including the 
                data'' and inserting the following: ``STTR programs, 
                including--
                    ``(A) the data'';
                    (B) by striking ``(g)(10), (o)(9), and (o)(15), the 
                number'' and all that follows through ``under each of 
                the SBIR and STTR programs, and a description'' and 
                inserting the following: ``(g)(8) and (o)(9); and
                    ``(B) the number of proposals received from, and 
                the number and total amount of awards to, HUBZone small 
                business concerns and firms with venture capital 
                investment (including those majority owned and 
                controlled by multiple venture capital firms) under 
                each of the SBIR and STTR programs;
                    ``(C) a description of the extent to which each 
                Federal agency is increasing outreach and awards to 
                firms owned and controlled by women and social or 
                economically disadvantaged individuals under each of 
                the SBIR and STTR programs;
                    ``(D) general information about the implementation 
                and compliance with the allocation of funds required 
                under subsection (cc) for firms majority owned and 
                controlled by multiple venture capital firms under each 
                of the SBIR and STTR programs;
                    ``(E) a detailed description of appeals of Phase 
                III awards and notices of noncompliance with the SBIR 
                and the STTR Policy Directives filed by the 
                Administrator with Federal agencies; and
                    ``(F) a description''; and
            (2) by inserting after paragraph (7) the following:
            ``(8) to coordinate the implementation of electronic 
        databases at each of the Federal agencies participating in the 
        SBIR program or the STTR program, including the technical 
        ability of the participating agencies to electronically share 
        data;''.

SEC. 302. DATA COLLECTION FROM AGENCIES FOR SBIR.

    Section 9(g) of the Small Business Act (15 U.S.C. 638(g)) is 
amended--
            (1) by striking paragraph (10);
            (2) by redesignating paragraphs (8) and (9) as paragraphs 
        (9) and (10), respectively;
            (3) by inserting after paragraph (7) the following:
            ``(8) collect annually, and maintain in a common format in 
        accordance with the simplified reporting requirements under 
        subsection (v), such information from awardees as is necessary 
        to assess the SBIR program, including information necessary to 
        maintain the database described in subsection (k), including--
                    ``(A) whether an awardee--
                            ``(i) has venture capital or is majority 
                        owned and controlled by multiple venture 
                        capital firms, and, if so--
                                    ``(I) the amount of venture capital 
                                that the awardee has received as of the 
                                date of the award; and
                                    ``(II) the amount of additional 
                                capital that the awardee has invested 
                                in the SBIR technology;
                            ``(ii) has an investor that--
                                    ``(I) is an individual who is not a 
                                citizen of the United States or a 
                                lawful permanent resident of the United 
                                States, and if so, the name of any such 
                                individual; or
                                    ``(II) is a person that is not an 
                                individual and is not organized under 
                                the laws of a State or the United 
                                States, and if so the name of any such 
                                person;
                            ``(iii) is owned by a woman or has a woman 
                        as a principal investigator;
                            ``(iv) is owned by a socially or 
                        economically disadvantaged individual or has a 
                        socially or economically disadvantaged 
                        individual as a principal investigator;
                            ``(v) received assistance under the FAST 
                        program under section 34 or the outreach 
                        program under subsection (s);
                            ``(vi) is a faculty member or a student of 
                        an institution of higher education, as that 
                        term is defined in section 101 of the Higher 
                        Education Act of 1965 (20 U.S.C. 1001); or
                            ``(vii) is located in a State described in 
                        subsection (u)(3); and
                    ``(B) a justification statement from the agency, if 
                an awardee receives an award in an amount that is more 
                than the award guidelines under this section;''; and
            (4) in paragraph (10), as so redesignated, by adding 
        ``and'' at the end.

SEC. 303. DATA COLLECTION FROM AGENCIES FOR STTR.

    Section 9(o) of the Small Business Act (15 U.S.C. 638(o)) is 
amended--
            (1) by striking paragraph (9) and inserting the following:
            ``(9) collect annually, and maintain in a common format in 
        accordance with the simplified reporting requirements under 
        subsection (v), such information from applicants and awardees 
        as is necessary to assess the STTR program outputs and 
        outcomes, including information necessary to maintain the 
        database described in subsection (k), including--
                    ``(A) whether an applicant or awardee--
                            ``(i) has venture capital or is majority 
                        owned and controlled by multiple venture 
                        capital firms, and, if so--
                                    ``(I) the amount of venture capital 
                                that the applicant or awardee has 
                                received as of the date of the 
                                application or award, as applicable; 
                                and
                                    ``(II) the amount of additional 
                                capital that the applicant or awardee 
                                has invested in the SBIR technology;
                            ``(ii) has an investor that--
                                    ``(I) is an individual who is not a 
                                citizen of the United States or a 
                                lawful permanent resident of the United 
                                States, and if so, the name of any such 
                                individual; or
                                    ``(II) is a person that is not an 
                                individual and is not organized under 
                                the laws of a State or the United 
                                States, and if so the name of any such 
                                person;
                            ``(iii) is owned by a woman or has a woman 
                        as a principal investigator;
                            ``(iv) is owned by a socially or 
                        economically disadvantaged individual or has a 
                        socially or economically disadvantaged 
                        individual as a principal investigator;
                            ``(v) received assistance under the FAST 
                        program under section 34 or the outreach 
                        program under subsection (s);
                            ``(vi) is a faculty member or a student of 
                        an institution of higher education, as that 
                        term is defined in section 101 of the Higher 
                        Education Act of 1965 (20 U.S.C. 1001); or
                            ``(vii) is located in a State in which the 
                        total value of contracts awarded to small 
                        business concerns under all STTR programs is 
                        less than the total value of contracts awarded 
                        to small business concerns in a majority of 
                        other States, as determined by the 
                        Administrator in biennial fiscal years, 
                        beginning with fiscal year 2008, based on the 
                        most recent statistics compiled by the 
                        Administrator; and
                    ``(B) if an awardee receives an award in an amount 
                that is more than the award guidelines under this 
                section, a statement from the agency that justifies the 
                award amount;'';
            (2) in paragraph (14), by adding ``and'' at the end;
            (3) by striking paragraph (15); and
            (4) by redesignating paragraph (16) as paragraph (15).

SEC. 304. PUBLIC DATABASE.

    Section 9(k)(1) of the Small Business Act (15 U.S.C. 638(k)(1)) is 
amended--
            (1) in subparagraph (D), by striking ``and'' at the end;
            (2) in subparagraph (E), by striking the period at the end 
        and inserting ``; and''; and
            (3) by adding at the end the following:
                    ``(F) for each small business concern that has 
                received a Phase I or Phase II SBIR or STTR award from 
                a Federal agency, whether the small business concern--
                            ``(i) has venture capital and, if so, 
                        whether the small business concern is 
                        registered as majority owned and controlled by 
                        multiple venture capital companies as required 
                        under subsection (cc)(3);
                            ``(ii) is owned by a woman or has a woman 
                        as a principal investigator;
                            ``(iii) is owned by a socially or 
                        economically disadvantaged individual or has a 
                        socially or economically disadvantaged 
                        individual as a principal investigator;
                            ``(iv) received assistance under the FAST 
                        program under section 34 or the outreach 
                        program under subsection (s); or
                            ``(v) is owned by a faculty member or a 
                        student of an institution of higher education, 
                        as that term is defined in section 101 of the 
                        Higher Education Act of 1965 (20 U.S.C. 
                        1001).''.

SEC. 305. GOVERNMENT DATABASE.

    Section 9(k)(2) of the Small Business Act (15 U.S.C. 638(k)(2)) is 
amended--
            (1) by redesignating subparagraphs (C), (D), and (E) as 
        subparagraphs (D), (E), and (F), respectively;
            (2) by inserting after subparagraph (B) the following:
                    ``(C) includes, for each awardee--
                            ``(i) the name, size, location, and any 
                        identifying number assigned to the awardee by 
                        the Administrator;
                            ``(ii) whether the awardee has venture 
                        capital, and, if so--
                                    ``(I) the amount of venture capital 
                                as of the date of the award;
                                    ``(II) the percentage of ownership 
                                of the awardee held by a venture 
                                capital firm, including whether the 
                                awardee is majority owned and 
                                controlled by multiple venture capital 
                                firms; and
                                    ``(III) the amount of additional 
                                capital that the awardee has invested 
                                in the SBIR technology, which 
                                information shall be collected on an 
                                annual basis;
                            ``(iii) the names and locations of any 
                        affiliates of the awardee;
                            ``(iv) the number of employees of the 
                        awardee;
                            ``(v) the number of employees of the 
                        affiliates of the awardee; and
                            ``(vi) the names of, and the percentage of 
                        ownership of the awardee held by--
                                    ``(I) any individual who is not a 
                                citizen of the United States or a 
                                lawful permanent resident of the United 
                                States; or
                                    ``(II) any person that is not an 
                                individual and is not organized under 
                                the laws of a State or the United 
                                States;''; and
            (3) in subparagraph (D), as so redesignated--
                    (A) in clause (ii), by striking ``and'' at the end; 
                and
                    (B) by adding at the end, the following:
                            ``(iv) whether the applicant was majority 
                        owned and controlled by multiple venture 
                        capital firms; and
                            ``(v) the number of employees of the 
                        applicant;''.

SEC. 306. ACCURACY IN FUNDING BASE CALCULATIONS.

    (a) In General.--Not later than 1 year after the date of enactment 
of this Act, and every 3 years thereafter, 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 Act;
                    (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, 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 of the House of Representatives regarding the audit 
        conducted under paragraph (1), including the assessments 
        required under subparagraphs (B) and (C), and the determination 
        made under subparagraph (D) of paragraph (1).
    (b) 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, 2000, and ending on September 30 
        of the last full fiscal year before the date of enactment of 
        this Act 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.

SEC. 307. CONTINUED EVALUATION BY THE NATIONAL ACADEMY OF SCIENCES.

    Section 108 of the Small Business Reauthorization Act of 2000 (15 
U.S.C. 638 note) is amended by adding at the end the following:
    ``(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 2009, 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 conduct a 
        study described in subsection (a)(1) and make recommendations 
        described in subsection (a)(2) not later than 4 years after the 
        date of enactment of the SBIR/STTR Reauthorization Act of 2009, 
        and every 4 years thereafter.
            ``(2) 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 2009, 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 of the House of Representatives a 
        report regarding the study conducted under paragraph (1) and 
        containing the recommendations described in paragraph (1).''.

SEC. 308. TECHNOLOGY INSERTION REPORTING REQUIREMENTS.

    Section 9 of the Small Business Act (15 U.S.C. 638), as amended by 
this Act, is amended by adding at the end the following:
    ``(gg) Phase III Reporting.--The annual SBIR or STTR report to 
Congress by the Administration under subsection (b)(7) shall include, 
for each Phase III award made by the Federal agency--
            ``(1) the name of the agency or component of the agency or 
        the non-Federal source of capital making the Phase III award;
            ``(2) the name of the small business concern or individual 
        receiving the Phase III award; and
            ``(3) the dollar amount of the Phase III award.''.

SEC. 309. INTELLECTUAL PROPERTY PROTECTIONS.

    (a) In General.--The Comptroller General of the United States shall 
conduct a study of the SBIR program to assess whether--
            (1) Federal agencies comply with the data rights 
        protections for SBIR awardees and the technologies of SBIR 
        awardees under section 9 of the Small Business Act (15 U.S.C. 
        638);
            (2) the laws and policy directives intended to clarify the 
        scope of data rights, including in prototypes and mentor-
        protege relationships and agreements with Federal laboratories, 
        are sufficient to protect SBIR awardees; and
            (3) there is an effective grievance tracking process for 
        SBIR awardees who have grievances against a Federal agency 
        regarding data rights and a process for resolving those 
        grievances.
    (b) Report.--Not later than 18 months after the date of enactment 
of this Act, the Comptroller General shall submit to the Committee on 
Small Business and Entrepreneurship of the Senate and the Committee on 
Small Business of the House of Representatives a report regarding the 
study conducted under subsection (a).

                      TITLE IV--POLICY DIRECTIVES

SEC. 401. CONFORMING AMENDMENTS TO THE SBIR AND THE STTR POLICY 
              DIRECTIVES.

    (a) In General.--Not later than 180 days after the date of 
enactment of this Act, the Administrator shall promulgate amendments to 
the SBIR Policy Directive and the STTR Policy Directive to conform such 
directives to this Act and the amendments made by this Act.
    (b) 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.

SEC. 402. PRIORITIES FOR CERTAIN RESEARCH INITIATIVES.

    (a) In General.--Section 9 of the Small Business Act (15 U.S.C. 
638), as amended by this Act, is amended by adding at the end the 
following:
    ``(hh) Research Initiatives.--To the extent that such projects 
relate to the mission of the Federal agency, each Federal agency 
participating in the SBIR program or STTR program shall encourage the 
submission of applications for support of projects relating to 
security, energy, transportation, or improving the security and quality 
of the water supply of the United States to such program.''.
    (b) Sunset.--Effective October 1, 2014, section 9(hh) of the Small 
Business Act, as added by subsection (a) of this section, is repealed.

SEC. 403. REPORT ON SBIR AND STTR PROGRAM GOALS.

    Section 9 of the Small Business Act (15 U.S.C. 638), as amended by 
this Act, is amended by adding at the end the following:
    ``(ii) Annual Report on SBIR and STTR Program Goals.--
            ``(1) Development of metrics.--The head of each Federal 
        agency required to participate in the SBIR program or the STTR 
        program shall develop metrics to evaluate the effectiveness, 
        and the benefit to the people of the United States, of the SBIR 
        program and the STTR program of the Federal agency that--
                    ``(A) are science-based and statistically driven;
                    ``(B) reflect the mission of the Federal agency; 
                and
                    ``(C) include factors relating to the economic 
                impact of the programs.
            ``(2) Evaluation.--The head of each Federal agency 
        described in paragraph (1) shall conduct an annual evaluation 
        using the metrics developed under paragraph (1) of--
                    ``(A) the SBIR program and the STTR program of the 
                Federal agency; and
                    ``(B) the benefits to the people of the United 
                States of the SBIR program and the STTR program of the 
                Federal agency.
            ``(3) Report.--
                    ``(A) In general.--The head of each Federal agency 
                described in paragraph (1) shall submit to the 
                appropriate committees of Congress and the 
                Administrator an annual report describing in detail the 
                results of an evaluation conducted under paragraph (2).
                    ``(B) Public availability of report.--The head of 
                each Federal agency described in paragraph (1) shall 
                make each report submitted under subparagraph (A) 
                available to the public online.
                    ``(C) Definition.--In this paragraph, the term 
                `appropriate committees of Congress' means--
                            ``(i) the Committee on Small Business and 
                        Entrepreneurship of the Senate; and
                            ``(ii) the Committee on Small Business and 
                        the Committee on Science and Technology of the 
                        House of Representatives.''.

SEC. 404. COMPETITIVE SELECTION PROCEDURES FOR SBIR AND STTR PROGRAMS.

    Section 9 of the Small Business Act (15 U.S.C. 638), as amended by 
this Act, is amended by adding at the end the following:
    ``(jj) Competitive Selection Procedures for SBIR and STTR 
Programs.--All funds awarded, appropriated, or otherwise made available 
in accordance with subsection (f) or (n) must be awarded pursuant to 
competitive and merit-based selection procedures.''.

            Attest:

                                                             Secretary.
111th CONGRESS

  1st Session

                               H.R. 2965

_______________________________________________________________________

                               AMENDMENT