312 
(F) transfer of title to property provided by a Federal agency 
to a small business concern if such a transfer would be more cost 
effective than recovery of the property by the Federal agency; 
(G) cost sharing; and 
(H) cost principles and payment schedules; 
(3) exemptions from the policy directives under paragraph (2) if na-
tional security or intelligence functions clearly would be jeopardized; 
(4) minimizing the regulatory burden associated with participation in 
an SBIR program for a small business concern so as to stimulate the 
cost-effective conduct of Federal research and development and the 
likelihood of commercialization of the results of research and develop-
ment conducted under the SBIR program; 
(5) the submission by a Federal agency to the Administrator and the 
Office of Science and Technology Policy of a simplified, standardized, 
and timely annual report on its SBIR program; 
(6) standardized and orderly withdrawal from SBIR program partici-
pation by a Federal agency; 
(7) the voluntary participation in an SBIR program by a Federal 
agency not required by section 263101 of this title to have an SBIR 
program; 
(8) continued use by a small business concern participating in phase 
III of an SBIR program, as a directed bailment, of any property trans-
ferred by a Federal agency to the small business concern in phase II 
of an SBIR program for a period of not less than 2 years, beginning 
on the initial date of the small business concern’s participation in phase 
III of an SBIR program; 
(9) procedures to ensure, to the extent practicable, that a Federal 
agency that intends to pursue research, development, or production of 
a technology developed by a small business concern under an SBIR 
program enters into a follow-on, non-SBIR program funding agreement 
with the small business concern for the research, development, or pro-
duction; 
(10) thresholds in the amounts of funds that a Federal agency may 
award of $150,000 (which amount the Administrator shall adjust an-
nually for inflation) in phase I of an SBIR program and $1,000,000 
in phase II of an SBIR program (which amount the Administrator 
shall adjust annually for inflation); 
(11) a process for notifying SBIR agencies and potential SBIR pro-
gram participants of the critical technologies, as identified— 
(A) by the National Critical Technologies Panel in accordance 
with section 603 of the National Science and Technology Policy, 
VerDate Sep 11 2014 
04:03 Jul 18, 2018
Jkt 079200
PO 00000
Frm 00312
Fmt 6652
Sfmt 6221
E:\BILLS\H6389.IH
H6389
SSpencer on DSKBBXCHB2PROD with BILLS
313 
Organization, and Priorities Act of 1976 (42 U.S.C. 6683) (as in 
effect before January 1, 2001); or 
(B) by the Secretary of Defense in accordance with section 
2522 of title 10 (as in effect before February 10, 1996); 
(12)(A) enhanced outreach efforts to increase the participation of 
small business concerns owned and controlled by socially and economi-
cally disadvantaged individuals and the participation of small business 
concerns owned and controlled by women in technological innovation 
and in SBIR programs, including phase III of SBIR programs; and 
(B) the collection of data to document that participation; 
(13) technical and programmatic guidance to encourage Federal 
agencies to develop gap-funding programs to address the delay between 
an award for phase I of an SBIR program and the application for and 
extension of an award for phase II of the SBIR program; 
(14) procedures to ensure that a small business concern that submits 
a proposal for a funding agreement for phase I of an SBIR program 
and that has received more than 15 phase II SBIR awards during the 
preceding 5 fiscal years is able to demonstrate the extent to which the 
small business concern was able to secure phase III funding to develop 
concepts resulting from previous phase II SBIR awards; 
(15) the requirement of a succinct commercialization plan with each 
application for a phase II SBIR award that is moving toward commer-
cialization; 
(16) a requirement that a Federal agency report to the Adminis-
trator, not less frequently than annually, all instances in which the 
Federal agency pursued research, development, or production of a tech-
nology developed by a small business concern using an award made 
under the SBIR program of the Federal agency and determined that 
it was not practicable to enter into a follow-on non-SBIR program 
funding agreement with the small business concern; and 
(17) implementation of section 263304 of this title, including estab-
lishing standardized procedures for the provision of information under 
section 263301(c) of this title. 
(c) PHASED WITHDRAWAL FROM SBIR PROGRAM.—At the discretion of 
the Administrator, the policy directive under subsection (b)(6) may require 
a phased withdrawal over a period of time sufficient in duration to minimize 
any adverse impact on small business concerns. 
(d) RIGHTS
TO
DATA.—The rights provided for under subsection 
(b)(1)(E) shall apply to all Federal funding awards under this division, in-
cluding phase I, phase II, and phase III awards. 
VerDate Sep 11 2014 
04:03 Jul 18, 2018
Jkt 079200
PO 00000
Frm 00313
Fmt 6652
Sfmt 6221
E:\BILLS\H6389.IH
H6389
SSpencer on DSKBBXCHB2PROD with BILLS
314 
(e) REPORTS ON IMPRACTICABILITY OF FOLLOW-ON AGREEMENTS.—A 
report under subsection (b)(16) shall include, at a minimum— 
(1) the reasons why the follow-on funding agreement with the small 
business concern was not practicable; 
(2) the identity of the entity with which the Federal agency con-
tracted to perform the research, development, or production; and 
(3) a description of the type of funding agreement under which the 
research, development, or production was obtained. 
§ 263105. Coordination of technology development programs 
(a) DEFINITION OF TECHNOLOGY DEVELOPMENT PROGRAM.—In this 
section, the term ‘‘technology development program’’ means— 
(1) the Experimental Program to Stimulate Competitive Research of 
the National Science Foundation, as established under section 113 of 
the National Science Foundation Authorization Act of 1988 (42 U.S.C. 
1862g); 
(2) the Defense Experimental Program to Stimulate Competitive Re-
search of the Department of Defense; 
(3) the Experimental Program to Stimulate Competitive Research of 
the Department of Energy; 
(4) the Experimental Program to Stimulate Competitive Research of 
the Environmental Protection Agency; 
(5) the Experimental Program to Stimulate Competitive Research of 
the National Aeronautics and Space Administration; 
(6) the Institutional Development Award Program of the National 
Institutes of Health; and 
(7) the National Research Initiative Competitive Grants Program of 
the Department of Agriculture. 
(b) COORDINATION REQUIREMENTS.—An SBIR agency that establishes a 
technology development program may, in each fiscal year, review for funding 
under the technology development program— 
(1) a proposal to provide outreach and assistance to 1 or more small 
business concerns interested in participating in the Federal agency’s 
SBIR program (including a proposal to make a grant or loan to a busi-
ness concern to pay a portion or all of the cost of developing an SBIR 
program proposal) from an entity, organization, or individual located 
in— 
(A) a State that is eligible to participate in the technology devel-
opment program; or 
(B) a State described in subsection (c); or 
(2) a proposal for phase I of the SBIR program (if the proposal, 
though meritorious, is not funded through the SBIR program for that 
VerDate Sep 11 2014 
04:03 Jul 18, 2018
Jkt 079200
PO 00000
Frm 00314
Fmt 6652
Sfmt 6221
E:\BILLS\H6389.IH
H6389
SSpencer on DSKBBXCHB2PROD with BILLS
315 
fiscal year due to funding restraints) from a small business concern lo-
cated in— 
(A) a State that is eligible to participate in the technology devel-
opment program; or 
(B) a State described in subsection (c). 
(c) ADDITIONALLY ELIGIBLE STATE.—A State referred to in paragraph 
(1)(B) or (2)(B) of subsection (b) is a State in which the total value of con-
tracts awarded to small business concerns under all SBIR 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 even-num-
bered fiscal years, based on the most recent statistics compiled by the Ad-
ministrator. 
(d) COORDINATION OF THE SBIR PROGRAM AND THE EXPERIMENTAL 
PROGRAM TO STIMULATE COMPETITIVE RESEARCH.—The head of a Fed-
eral agency that participates in the SBIR program and the Experimental 
Program to Stimulate Competitive Research or the Institutional Develop-
ment Award Program shall coordinate, to the extent possible, the initiatives 
of the agency with respect to those programs. 
§ 263106. Purchase of American-made equipment and prod-
ucts 
(a) PURCHASE OF AMERICAN-MADE EQUIPMENT AND PRODUCTS.—It is 
the sense of Congress that an entity that is awarded a funding agreement 
under the SBIR program of a Federal agency 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 pos-
sible in keeping with the overall purposes of the SBIR program. 
(b) NOTICE TO SBIR AWARDEES.—A Federal agency that awards a fund-
ing agreement under an SBIR program shall provide to each recipient of 
such an award a notice describing the sense of the Congress stated in sub-
section (a). 
§ 263107. Use of Department of Agriculture extramural 
budget funds 
All funds appropriated 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 this division shall be available for funding 
agreements with small business concerns for any purpose in furtherance of 
the SBIR program of the Department of Agriculture. Such funds may be 
transferred for that purpose from 1 appropriation account to another or to 
a single account. 
VerDate Sep 11 2014 
04:03 Jul 18, 2018
Jkt 079200
PO 00000
Frm 00315
Fmt 6652
Sfmt 6221
E:\BILLS\H6389.IH
H6389
SSpencer on DSKBBXCHB2PROD with BILLS