179 
under the SBIR Policy Directive and 
the STTR Policy Directive. 
(3) 
CONSULTATION.—The 
Adminis-
trator shall develop the certification re-
quired under paragraph (2)(D) in co-
operation with the Council of Inspectors 
General on Integrity and Efficiency and 
the Office of Advocacy of the Administra-
tion. 
(4) CERTIFICATION.—The certification 
developed under paragraph (3) may— 
(A) cover the lifecycle of the 
award to require certifications at the 
application, funding, reporting, and 
closeout phases of every SBIR and 
STTR award; 
(B) require the small business 
concern to certify compliance with 
the ‘‘principal investigator primary 
employment’’ requirement, the ‘‘small 
business concern’’ definition require-
ment, and the ‘‘performance of work’’ 
requirements as set forth in the Di-
rective applicable to the award; 
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180 
(C) require the small business 
concern to disclose whether it has ap-
plied for, plans to apply for, or re-
ceived an SBIR or STTR award for 
the same or overlapping work, and 
require the concern to certify that 
the award that it is applying for or 
obtaining funding for is not the same 
or overlapping with work it has per-
formed, or will perform, in connec-
tion with any other SBIR or STTR 
award that the concern has applied 
for or received from any other agency 
except as fully disclosed to all fund-
ing agencies; and 
(D) require that the small busi-
ness concern certify that it will or did 
perform the work on the award at its 
facilities with its employees, unless 
otherwise indicated. 
(5) INSPECTORS GENERAL.—The Inspec-
tor General of each Federal agency that 
participates in the SBIR program or 
STTR program shall cooperate to prevent 
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181 
fraud, waste, and abuse in the SBIR pro-
gram and the STTR program by— 
(A) establishing fraud detection 
indicators; 
(B) reviewing regulations and op-
erating procedures of the Federal 
agency; 
(C) 
coordinating 
information 
sharing between Federal agencies, to 
the extent otherwise permitted under 
Federal law; and 
(D) improving the education and 
training of, and outreach to— 
(i) administrators of the SBIR 
program and the STTR program 
of the Federal agency; 
(ii) applicants to the SBIR 
program or the STTR program; 
and 
(iii) 
recipients 
of 
awards 
under the SBIR program or the 
STTR program. 
(b) STUDY AND REPORT.—Not later than 1 
year after the date of enactment of this Act to 
establish a baseline of changes made to the 
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182 
program to fight fraud, waste, and abuse, and 
every 3 years thereafter to evaluate the effec-
tiveness of the agency strategies, the Comp-
troller General of the United States shall— 
(1) conduct a study that evaluates— 
(A) the implementation by each 
Federal agency that participates in 
the SBIR program or the STTR pro-
gram of the amendments to the SBIR 
Policy Directive and the STTR Policy 
Directive 
made 
pursuant 
to 
sub-
section (a); 
(B) the effectiveness of the man-
agement information system of each 
Federal agency that participates in 
the SBIR program or STTR program 
in identifying duplicative SBIR and 
STTR projects; 
(C) the effectiveness of the risk 
management strategies of each Fed-
eral agency that participates in the 
SBIR program or STTR program in 
identifying areas of the SBIR pro-
gram or the STTR program that are 
at high risk for fraud; 
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183 
(D) technological tools that may 
be used to detect patterns of behavior 
that may indicate fraud by applicants 
to the SBIR program or the STTR 
program; 
(E) the success of each Federal 
agency that participates in the SBIR 
program or STTR program in reduc-
ing fraud, waste, and abuse in the 
SBIR program or the STTR program 
of the Federal agency; and 
(F) the extent to which the In-
spector General of each Federal agen-
cy that participates in the SBIR and 
STTR program effectively conducts 
investigations, 
audits, 
inspections, 
and outreach relating to the SBIR 
and STTR programs of the Federal 
agency; and 
(2) submit to the Committee on Small 
Business and Entrepreneurship of the 
Senate, the Committee on Small Business 
and the Committee on Science, Space, 
and Technology of the House of Rep-
resentatives, and the head of each Fed-
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184 
eral agency that participates in the SBIR 
program or STTR program a report on 
the results of the study conducted under 
subparagraph (A). 
SEC. 313. SIMPLIFIED PAPERWORK REQUIREMENTS. 
Section 9(v) of the Small Business Act (15 
U.S.C. 638(v)) is amended— 
(1) in the subsection heading, by 
striking ‘‘SIMPLIFIED REPORTING REQUIRE-
MENTS’’ and inserting ‘‘REDUCING PAPER-
WORK AND COMPLIANCE BURDEN’’; 
(2) by striking ‘‘The Administrator’’ 
and inserting the following: 
‘‘(1) STANDARDIZATION
OF
REPORTING 
REQUIREMENTS.—The Administrator’’; and 
(3) by adding at the end the fol-
lowing: 
‘‘(2) SIMPLIFICATION
OF
APPLICATION 
AND AWARD PROCESS.—Not later than one 
year after the date of enactment of this 
paragraph, and after a period of public 
comment, the Administrator shall issue 
regulations or guidelines, taking into 
consideration the unique needs of each 
Federal agency, to ensure that each Fed-
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185 
eral agency required to carry out an 
SBIR program or STTR program sim-
plifies and standardizes the program pro-
posal, selection, contracting, compliance, 
and audit procedures for the SBIR pro-
gram or STTR program of the Federal 
agency (including procedures relating to 
overhead rates for applicants and docu-
mentation requirements) to reduce the 
paperwork and regulatory compliance 
burden on small business concerns apply-
ing to and participating in the SBIR pro-
gram or STTR program.’’. 
SEC. 314. REDUCING FRAUD, WASTE, AND ABUSE. 
Not later than 4 years after the date of en-
actment of this Act, and every 4 years there-
after, the Comptroller General of the United 
States shall— 
(1) conduct a study of the effective-
ness of the government and public data-
bases described in section 9(k) of the 
Small Business Act (15 U.S.C. 638(k)) in 
reducing vulnerabilities of the SBIR pro-
gram and the STTR program to fraud, 
waste, and abuse, particularly with re-
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