I 
112TH CONGRESS 
1ST SESSION H. R. 1425 
To reauthorize and improve the SBIR and STTR programs, and for other 
purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 7, 2011 
Mrs. ELLMERS (for herself, Mr. ALTMIRE, Mr. QUAYLE, Mr. WU, Mr. HALL, 
Ms. EDDIE BERNICE JOHNSON of Texas, Mr. GRAVES of Missouri, and 
Mr. RICHMOND) introduced the following bill; which was referred to the 
Committee on Science, Space, and Technology, and in addition to the 
Committees on Small Business and Armed Services, for a period to be 
subsequently determined by the Speaker, in each case for consideration 
of such provisions as fall within the jurisdiction of the committee con-
cerned 
A BILL 
To reauthorize and improve the SBIR and STTR programs, 
and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Creating Jobs Through 
Small Business Innovation Act of 2011’’. 
SEC. 2. TABLE OF CONTENTS. 
The table of contents for this Act is as follows: 
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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. SBIR and STTR award levels. 
Sec. 103. Agency and program flexibility. 
Sec. 104. Elimination of Phase II invitations. 
Sec. 105. Phase flexibility. 
Sec. 106. Participation by firms with substantial investment from multiple ven-
ture capital operating companies, hedge funds, or private eq-
uity firms in a portion of the SBIR program. 
Sec. 107. Ensuring that innovative small businesses with substantial investment 
from venture capital operating companies, hedge funds, or pri-
vate equity firms are able to participate in the SBIR and 
STTR programs. 
Sec. 108. SBIR and STTR special acquisition preference. 
Sec. 109. Collaborating with Federal laboratories and research and development 
centers. 
Sec. 110. Notice requirement. 
Sec. 111. Additional SBIR and STTR Awards. 
TITLE II—OUTREACH AND COMMERCIALIZATION INITIATIVES 
Sec. 201. Technical assistance for awardees. 
Sec. 202. Commercialization Readiness Program at Department of Defense. 
Sec. 203. Commercialization Readiness Pilot Program for civilian agencies. 
Sec. 204. Interagency Policy Committee. 
Sec. 205. Clarifying the definition of ‘‘Phase III’’. 
Sec. 206. Shortened period for final decisions on proposals and applications. 
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. Obtaining consent from SBIR and STTR applicants to release con-
tact information to economic development organizations. 
Sec. 310. Pilot to allow funding for administrative, oversight, and contract 
processing costs. 
Sec. 311. GAO study with respect to venture capital operating company, hedge 
fund, and private equity firm involvement. 
Sec. 312. Reducing vulnerability of SBIR and STTR programs to fraud, waste, 
and abuse. 
Sec. 313. Simplified paperwork requirements. 
TITLE IV—POLICY DIRECTIVES 
Sec. 401. Conforming amendments to the SBIR and the STTR Policy Direc-
tives. 
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(2) by striking ‘‘2008’’ and inserting ‘‘2014’’; 
and 
(3) by striking paragraph (2). 
(b) STTR.—Section 9(n)(1)(A) of the Small Busi-
ness Act (15 U.S.C. 638(n)(1)(A)) is amended— 
(1) by striking ‘‘IN GENERAL.—’’ and all that 
follows through ‘‘with respect’’ and inserting ‘‘IN 
GENERAL.—With respect’’; 
(2) by striking ‘‘2009’’ and inserting ‘‘2014’’; 
and 
(3) by striking clause (ii). 
SEC. 102. 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 amend-
ed— 
(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 
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(2) by striking ‘‘$750,000’’ and inserting 
‘‘$1,000,000’’. 
(c) ANNUAL ADJUSTMENTS.—Section 9 of the Small 
Business Act (15 U.S.C. 638) is amended— 
(1) in subsection (j)(2)(D), by striking ‘‘once 
every 5 years to reflect economic adjustments and 
programmatic considerations’’ and inserting ‘‘every 
year for inflation’’; and 
(2) in subsection (p)(2)(B)(ix), as amended by 
subsection (b) of this section, by inserting ‘‘(each of 
which the Administrator shall adjust for inflation 
annually)’’ after ‘‘$1,000,000,’’. 
(d) LIMITATION ON SIZE OF AWARDS.—Section 9 of 
the Small Business Act (15 U.S.C. 638), as amended by 
this Act, is further amended by adding at the end the fol-
lowing: 
‘‘(aa) LIMITATION ON SIZE OF 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.—Par-
ticipating agencies shall maintain information on 
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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 an award recipient has re-
ceived any venture capital, hedge fund, or pri-
vate equity firm investment and, if so, whether 
the recipient is majority-owned by multiple ven-
ture capital operating companies, hedge funds, 
or private equity firms. 
‘‘(3) REPORTS.—The Administrator shall in-
clude 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 Fed-
eral 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 agen-
cy.’’. 
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SEC. 103. AGENCY AND PROGRAM FLEXIBILITY. 
Section 9 of the Small Business Act (15 U.S.C. 638), 
as amended by this Act, is further amended by adding 
at the end the following: 
‘‘(bb) SUBSEQUENT PHASE II AWARDS.— 
‘‘(1) AGENCY FLEXIBILITY.—A small business 
concern that received a Phase I award from a Fed-
eral agency under this section shall be eligible to re-
ceive a subsequent Phase II award 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 top-
ics 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 PROGRAM FLEXIBILITY.— 
A small business concern that received a Phase I 
award under this section under the SBIR program 
or the STTR program may receive a subsequent 
Phase II award in either the SBIR program or the 
STTR program and the participating agency or 
agencies shall report the awards to the Adminis-
trator for inclusion in the public database under 
subsection (k).’’. 
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SEC. 104. ELIMINATION OF PHASE II INVITATIONS. 
Section 9(e) of the Small Business Act (15 U.S.C. 
638(e)) is amended— 
(1) in paragraph (4)(B), by striking ‘‘to fur-
ther’’ and inserting ‘‘which shall not include any in-
vitation, pre-screening, pre-selection, or down-selec-
tion process for eligibility for Phase II, that will fur-
ther’’; 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 
Phase II, that will further develop proposals that’’. 
SEC. 105. PHASE FLEXIBILITY. 
Section 9 of the Small Business Act (15 U.S.C. 638), 
as amended by this Act, is further amended by adding 
at the end the following: 
‘‘(cc) PHASE I REQUIRED.—Under this section, a 
Federal agency shall provide to a small business concern 
an award under Phase II of an SBIR program with re-
spect to a project only if such agency finds that the small 
business concern has been provided an award under Phase 
I of an SBIR program with respect to such project or has 
completed the determinations described in subsection 
(e)(4)(A) with respect to such project despite not having 
been provided a Phase I award.’’. 
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SEC. 106. PARTICIPATION BY FIRMS WITH SUBSTANTIAL IN-
VESTMENT FROM MULTIPLE VENTURE CAP-
ITAL 
OPERATING 
COMPANIES, 
HEDGE 
FUNDS, OR PRIVATE EQUITY FIRMS IN A POR-
TION OF THE SBIR PROGRAM. 
(a) IN GENERAL.—Section 9 of the Small Business 
Act (15 U.S.C. 638), as amended by this Act, is further 
amended by adding at the end the following: 
‘‘(dd) PARTICIPATION
OF SMALL BUSINESS CON-
CERNS MAJORITY-OWNED BY VENTURE CAPITAL OPER-
ATING COMPANIES, HEDGE FUNDS, OR PRIVATE EQUITY 
FIRMS IN THE SBIR PROGRAM.— 
‘‘(1) AUTHORITY.—Upon a written determina-
tion described in paragraph (2) provided to the Ad-
ministrator, the Committee on Small Business and 
Entrepreneurship of the Senate, and the Committee 
on Small Business and the Committee on Science, 
Space, and Technology of the House of Representa-
tives not later than 30 days before the date on which 
an award is made— 
‘‘(A) the Director of the National Insti-
tutes of Health, the Secretary of Energy, and 
the Director of the National Science Founda-
tion may award not more than 45 percent of 
the funds allocated for the SBIR program of 
the Federal agency to small business concerns 
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‘‘(B) substantially contribute to the mis-
sion of the Federal agency; 
‘‘(C) demonstrate a need for public re-
search; and 
‘‘(D) otherwise fulfill the capital needs of 
small business concerns for additional financing 
for the SBIR project. 
‘‘(3) REGISTRATION.—A small business concern 
that is majority-owned by multiple venture capital 
operating companies, hedge funds, or private equity 
firms 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 sub-
mits an application for an award under the 
SBIR program; and 
‘‘(B) indicate in any SBIR proposal that 
the small business concern is registered under 
subparagraph (A) as majority-owned by mul-
tiple venture capital operating companies, hedge 
funds, or private equity firms. 
‘‘(4) COMPLIANCE.— 
‘‘(A) IN GENERAL.—The head of a Federal 
agency that makes an award under this sub-
section during a fiscal year shall collect and 
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submit to the Administrator data relating to 
the number and dollar amount of Phase I 
awards, Phase II awards, and any other cat-
egory of awards by the Federal agency under 
the SBIR program during that fiscal year. 
‘‘(B) ANNUAL REPORTING.—The Adminis-
trator shall include as part of each annual re-
port by the Administration under subsection 
(b)(7) any data submitted under subparagraph 
(A) and a discussion of the compliance of each 
Federal agency that makes an award under this 
subsection during the fiscal year with the max-
imum percentages under paragraph (1). 
‘‘(5) ENFORCEMENT.—If a Federal agency 
awards more than the percent of the funds allocated 
for the SBIR program of the Federal agency author-
ized under paragraph (1) for a purpose described in 
paragraph (1), the head of the Federal agency shall 
transfer an amount equal to the amount awarded in 
excess of the amount authorized under paragraph 
(1) to the funds for general SBIR programs from 
the non-SBIR and non-STTR research and develop-
ment funds of the Federal agency not later than 180 
days after the date on which the Federal agency 
made the award that caused the total awarded under 
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paragraph (1) to be more than the amount author-
ized under paragraph (1) for a purpose described in 
paragraph (1). 
‘‘(6) FINAL
DECISIONS
ON
APPLICATIONS 
UNDER THE SBIR PROGRAM.— 
‘‘(A) DEFINITION.—In this paragraph, the 
term ‘covered small business concern’ means a 
small business concern that— 
‘‘(i) was not majority-owned by mul-
tiple venture capital operating companies, 
hedge funds, or private equity firms on the 
date on which the small business concern 
submitted an application in response to a 
solicitation under the SBIR programs; and 
‘‘(ii) on the date of the award under 
the SBIR program is majority-owned by 
multiple venture capital operating compa-
nies, hedge funds, or private equity firms. 
‘‘(B) IN GENERAL.—If a Federal agency 
does not make an award under a solicitation 
under the SBIR program before the date that 
is 9 months after the date on which the period 
for submitting applications under the solicita-
tion ends— 
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‘‘(i) a covered small business concern 
is eligible to receive the award, without re-
gard to whether the covered small business 
concern meets the requirements for receiv-
ing an award under the SBIR program for 
a small business concern that is majority- 
owned by multiple venture capital oper-
ating companies, hedge funds, or private 
equity firms, if the covered small business 
concern meets all other requirements for 
such an award; and 
‘‘(ii) the head of the Federal agency 
shall transfer an amount equal to any 
amount awarded to a covered small busi-
ness concern under the solicitation to the 
funds for general SBIR programs from the 
non-SBIR and non-STTR research and de-
velopment funds of the Federal agency, not 
later than 90 days after the date on which 
the Federal agency makes the award. 
‘‘(7) EVALUATION CRITERIA.—A Federal agen-
cy may not use investment of venture capital or in-
vestment from hedge funds or private equity firms 
as a criterion for the award of contracts under the 
SBIR program or STTR program.’’. 
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(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: 
‘‘(aa) VENTURE CAPITAL OPERATING COMPANY.—In 
this Act, the term ‘venture capital operating company’ 
means an entity described in clause (i), (v), or (vi) of sec-
tion 121.103(b)(5) of title 13, Code of Federal Regula-
tions (or any successor thereto). 
‘‘(bb) HEDGE FUND.—In this Act, the term ‘hedge 
fund’ has the meaning given that term in section 13(h)(2) 
of the Bank Holding Company Act of 1956 (12 U.S.C. 
1851(h)(2)). 
‘‘(cc) PRIVATE EQUITY FIRM.—In this Act, the term 
‘private equity firm’ has the meaning given the term ‘pri-
vate equity fund’ in section 13(h)(2) of the Bank Holding 
Company Act of 1956 (12 U.S.C. 1851(h)(2)).’’. 
SEC. 107. ENSURING THAT INNOVATIVE SMALL BUSI-
NESSES WITH SUBSTANTIAL INVESTMENT 
FROM VENTURE CAPITAL OPERATING COM-
PANIES, HEDGE FUNDS, OR PRIVATE EQUITY 
FIRMS ARE ABLE TO PARTICIPATE IN THE 
SBIR AND STTR PROGRAMS. 
Section 9 of the Small Business Act (15 U.S.C. 638), 
as amended by this Act, is further amended by adding 
at the end the following: 
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‘‘(ee) VENTURE CAPITAL OPERATING COMPANIES, 
HEDGE FUNDS, AND PRIVATE EQUITY FIRMS.—Effective 
only for the SBIR and STTR programs the following shall 
apply: 
‘‘(1) A business concern that has more than 
500 employees shall not qualify as a small business 
concern. 
‘‘(2) In determining whether a small business 
concern is independently owned and operated under 
section 3(a)(1) or meets the small business size 
standards instituted under section 3(a)(2), the Ad-
ministrator shall not consider a business concern to 
be affiliated with a venture capital operating com-
pany, hedge fund, or private equity firm (or with 
any other business that the venture capital operating 
company, hedge fund, or private equity firm has fi-
nanced) if— 
‘‘(A) the venture capital operating com-
pany, hedge fund, or private equity firm does 
not own 50 percent or more of the business 
concern; and 
‘‘(B) employees of the venture capital oper-
ating company, hedge fund, or private equity 
firm do not constitute a majority of the board 
of directors of the business concern. 
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‘‘(3) A business concern shall be deemed to be 
‘independently owned and operated’ if— 
‘‘(A) it is owned in majority part by one or 
more natural persons or venture capital oper-
ating companies, hedge funds, or private equity 
firms; 
‘‘(B) there is no single venture capital op-
erating company, hedge fund, or private equity 
firm that owns 50 percent or more of the busi-
ness concern; and 
‘‘(C) there is no single venture capital op-
erating company, hedge fund, or private equity 
firm the employees of which constitute a major-
ity of the board of directors of the business con-
cern. 
‘‘(4) If a venture capital operating company, 
hedge fund, or private equity firm controlled by a 
business with more than 500 employees (in this 
paragraph referred to as a ‘VCOC, hedge fund, or 
private equity firm under large business control’) 
has an ownership interest in a small business con-
cern that is owned in majority part by venture cap-
ital operating companies, hedge funds, or private eq-
uity firms, the small business concern is eligible to 
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receive an award under the SBIR or STTR program 
only if— 
‘‘(A) not more than two VCOCs, hedge 
funds, or private equity firms under large busi-
ness control have an ownership interest in the 
small business concern; and 
‘‘(B) the VCOCs, hedge funds, or private 
equity firms under large business control do not 
collectively own more than 20 percent of the 
small business concern.’’. 
SEC. 108. SBIR AND STTR SPECIAL ACQUISITION PREF-
ERENCE. 
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 ex-
tent 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.’’. 
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SEC. 109. COLLABORATING WITH FEDERAL LABORATORIES 
AND RESEARCH AND DEVELOPMENT CEN-
TERS. 
Section 9 of the Small Business Act (15 U.S.C. 638), 
as amended by this Act, is further amended by adding 
at the end the following: 
‘‘(ff) COLLABORATING WITH FEDERAL LABORA-
TORIES AND RESEARCH AND DEVELOPMENT CENTERS.— 
‘‘(1) AUTHORIZATION.—Subject to the limita-
tions under this section, the head of each partici-
pating 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 re-
search and development agreement (as defined 
in section 12(d) of the Stevenson-Wydler Tech-
nology 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 
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research and development center for any por-
tion 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 feder-
ally funded laboratory or research and develop-
ment center, if the small business concern per-
forms 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 Adminis-
trator; or 
‘‘(C) approve an agreement that violates 
any provision, including any data rights protec-
tions 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 Di-
rective and the STTR Policy Directive issued under 
this section to ensure that small business concerns— 
‘‘(A) have the flexibility to use the re-
sources of the Federal laboratories and feder-
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ally funded research and development centers; 
and 
‘‘(B) are not mandated to enter into agree-
ment with any Federal laboratory or any feder-
ally funded laboratory or research and develop-
ment center as a condition of an award.’’. 
SEC. 110. NOTICE REQUIREMENT. 
(a) SBIR PROGRAM.—Section 9(g) of the Small 
Business Act (15 U.S.C. 638(g)) is amended— 
(1) in paragraph (10), by striking ‘‘and’’ at the 
end; 
(2) in paragraph (11), by striking the period at 
the end and inserting ‘‘; and’’; and 
(3) by adding at the end the following: 
‘‘(12) provide timely notice to the Adminis-
trator of any case or controversy before any Federal 
judicial or administrative tribunal concerning the 
SBIR program of the Federal agency.’’. 
(b) STTR PROGRAM.—Section 9(o) of the Small 
Business Act (15 U.S.C. 638(o)) is amended— 
(1) by striking paragraph (15); 
(2) in paragraph (16), by striking the period at 
the end and inserting ‘‘; and’’; 
(3) by redesignating paragraph (16) as para-
graph (15); and 
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(4) by adding at the end the following: 
‘‘(16) provide timely notice to the Adminis-
trator of any case or controversy before any Federal 
judicial or administrative tribunal concerning the 
STTR program of the Federal agency.’’. 
SEC. 111. ADDITIONAL SBIR AND STTR AWARDS. 
Section 9 of the Small Business Act (15 U.S.C. 638), 
as amended by this Act, is further amended by adding 
at the end the following: 
‘‘(gg) ADDITIONAL SBIR AND STTR AWARDS.— 
‘‘(1) EXPRESS
AUTHORITY
FOR
AWARDING
A 
SEQUENTIAL PHASE II AWARD.—A small business 
concern that receives a Phase II SBIR award or a 
Phase II STTR award for a project remains eligible 
to receive one additional Phase II SBIR award or 
Phase II STTR award for continued work on that 
project. 
‘‘(2) PREVENTING DUPLICATIVE AWARDS.—The 
head of a Federal agency shall verify that any activ-
ity to be performed with respect to a project with a 
Phase I or Phase II SBIR or STTR award has not 
been funded under the SBIR program or STTR pro-
gram of another Federal agency.’’. 
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TITLE II—OUTREACH AND COM-
MERCIALIZATION 
INITIA-
TIVES 
SEC. 201. TECHNICAL ASSISTANCE FOR AWARDEES. 
Section 9(q) of the Small Business Act (15 U.S.C. 
638(q)) is amended— 
(1) in paragraph (1)— 
(A) by inserting ‘‘or STTR program’’ after 
‘‘SBIR program’’; and 
(B) by striking ‘‘SBIR projects’’ and in-
serting ‘‘SBIR or STTR projects’’; 
(2) in paragraph (2), by striking ‘‘3 years’’ and 
inserting ‘‘5 years’’; and 
(3) in paragraph (3)— 
(A) in subparagraph (A)— 
(i) by inserting ‘‘or STTR’’ after 
‘‘SBIR’’; and 
(ii) by striking ‘‘$4,000’’ and insert-
ing ‘‘$5,000’’; 
(B) by striking subparagraph (B) and in-
serting the following: 
‘‘(B) PHASE
II.—A Federal agency de-
scribed in paragraph (1) may— 
‘‘(i) provide to the recipient of a 
Phase II SBIR or STTR award, through a 
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vendor selected under paragraph (2), the 
services described in paragraph (1), in an 
amount equal to not more than $5,000 per 
year; or 
‘‘(ii) authorize the recipient of a 
Phase II SBIR or STTR award to pur-
chase the services described in paragraph 
(1), in an amount equal to not more than 
$5,000 per year, which shall be in addition 
to the amount of the recipient’s award.’’; 
and 
(C) by adding at the end the following: 
‘‘(C) FLEXIBILITY.—In carrying out sub-
paragraphs (A) and (B), each Federal agency 
shall provide the allowable amounts to a recipi-
ent that meets the eligibility requirements 
under the applicable subparagraph, if the re-
cipient requests to seek technical assistance 
from an individual or entity other than the ven-
dor selected under paragraph (2) by the Fed-
eral agency. 
‘‘(D) LIMITATION.—A Federal agency may 
not— 
‘‘(i) use the amounts authorized under 
subparagraph (A) or (B) unless the vendor 
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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. 202. COMMERCIALIZATION READINESS PROGRAM AT 
DEPARTMENT OF DEFENSE. 
(a) IN GENERAL.—Section 9(y) of the Small Busi-
ness Act (15 U.S.C. 638(y)) is amended— 
(1) in the subsection heading, by striking 
‘‘PILOT’’ and inserting ‘‘READINESS’’; 
(2) by striking ‘‘Pilot’’ each place that term ap-
pears and inserting ‘‘Readiness’’; 
(3) in paragraph (1)— 
(A) by inserting ‘‘or Small Business Tech-
nology Transfer Program’’ after ‘‘Small Busi-
ness Innovation Research Program’’; and 
(B) by adding at the end the following: 
‘‘The authority to create and administer a Com-
mercialization Readiness Program under this 
subsection may not be construed to eliminate or 
replace any other SBIR program or STTR pro-
gram that enhances the insertion or transition 
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of SBIR or STTR technologies, including any 
such program in effect on the date of enact-
ment 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) by striking paragraphs (5) and (6); and 
(6) by inserting after paragraph (4) the fol-
lowing: 
‘‘(5) INSERTION
INCENTIVES.—For any con-
tract 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— 
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‘‘(A) set a goal to increase the number of 
Phase II SBIR contracts and the number of 
Phase II STTR contracts awarded by that Sec-
retary that lead to technology transition into 
programs of record or fielded systems; 
‘‘(B) use incentives in effect on the date of 
enactment of the Creating Jobs Through Small 
Business Innovation Act of 2011, or create new 
incentives, to encourage agency program man-
agers and prime contractors to meet the goal 
under subparagraph (A); and 
‘‘(C) include in the annual report to Con-
gress the percentage of contracts described in 
subparagraph (A) awarded by that Secretary, 
and information on the ongoing status of 
projects funded through the Commercialization 
Readiness Program and efforts to transition 
these technologies into programs of record or 
fielded systems.’’. 
(b) TECHNICAL AND CONFORMING AMENDMENT.— 
Section 9(i)(1) of the Small Business Act (15 U.S.C. 
638(i)(1)) is amended by inserting ‘‘(including awards 
under subsection (y))’’ after ‘‘the number of awards’’. 
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SEC. 203. COMMERCIALIZATION READINESS PILOT PRO-
GRAM FOR CIVILIAN AGENCIES. 
Section 9 of the Small Business Act (15 U.S.C. 638), 
as amended by this Act, is further amended by adding 
at the end the following: 
‘‘(hh) PILOT PROGRAM.— 
‘‘(1) AUTHORIZATION.—The head of each cov-
ered Federal agency may allocate not more than 10 
percent of the funds allocated to the SBIR program 
and the STTR program of the covered Federal agen-
cy— 
‘‘(A) for awards for technology develop-
ment, testing, evaluation, and commercialization 
assistance for SBIR and STTR Phase II tech-
nologies; or 
‘‘(B) to support the progress of research, 
research and development, and commercializa-
tion conducted under the SBIR or STTR pro-
grams to Phase III. 
‘‘(2) APPLICATION BY FEDERAL AGENCY.— 
‘‘(A) IN
GENERAL.—A covered Federal 
agency may not establish a pilot program unless 
the covered Federal agency makes a written ap-
plication to the Administrator, not later than 
90 days before the first day of the fiscal year 
in which the pilot program is to be established, 
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that describes a compelling reason that addi-
tional investment in SBIR or STTR tech-
nologies 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 ex-
pected to substantially advance the mission of 
the agency. 
‘‘(B) 
DETERMINATION.—The 
Adminis-
trator shall— 
‘‘(i) make a determination regarding 
an application submitted under subpara-
graph (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 determina-
tion and any related materials available to 
the Committee on Small Business and En-
trepreneurship of the Senate and the Com-
mittee on Small Business and the Com-
mittee on Science, Space, and Technology 
of the House of Representatives. 
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‘‘(3) MAXIMUM AMOUNT OF AWARD.—The head 
of a covered 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) REGISTRATION.—Any applicant that re-
ceives an award under a pilot program shall register 
with the Administrator in a registry that is available 
to the public. 
‘‘(5) REPORT.—The head of each covered Fed-
eral agency shall include in the annual report of the 
covered Federal agency to the Administrator an 
analysis of the various activities considered for inclu-
sion in the pilot program of the covered Federal 
agency and a statement of the reasons why each ac-
tivity considered was included or not included, as the 
case may be. 
‘‘(6) TERMINATION.—The authority to establish 
a pilot program under this section expires at the end 
of fiscal year 2014. 
‘‘(7) DEFINITIONS.—In this subsection— 
‘‘(A) the term ‘covered Federal agency’— 
‘‘(i) means a Federal agency partici-
pating in the SBIR program or the STTR 
program; and 
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‘‘(ii) does not include the Department 
of Defense; and 
‘‘(B) the term ‘pilot program’ means the 
program established under paragraph (1).’’. 
SEC. 204. INTERAGENCY POLICY COMMITTEE. 
(a) ESTABLISHMENT.—The Director of the Office of 
Science and Technology Policy shall establish an Inter-
agency SBIR/STTR Policy Committee. 
(b) DUTIES.—The Interagency SBIR/STTR Policy 
Committee shall review the following issues and make pol-
icy recommendations on ways to improve program effec-
tiveness and efficiency: 
(1) The public and government databases de-
scribed in section 9(k) of the Small Business Act 
(15 U.S.C. 638(k)). 
(2) Federal agency flexibility in establishing 
Phase I and II award sizes, including appropriate 
criteria for exercising such flexibility. 
(3) Commercialization assistance best practices 
of Federal agencies with significant potential to be 
employed by other agencies, and the appropriate 
steps to achieve that leverage, as well as proposals 
for new initiatives to address funding gaps that busi-
ness concerns face after Phase II but before com-
mercialization. 
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(4) Developing and incorporating a standard 
evaluation framework to enable systematic assess-
ment of SBIR and STTR, including through im-
proved tracking of awards and outcomes and devel-
opment of performance measures for the SBIR pro-
gram and STTR program of each Federal agency. 
(c) REPORTS.—The Interagency SBIR/STTR Policy 
Committee shall transmit to the Committee on Science, 
Space, and Technology and the Committee on Small Busi-
ness of the House of Representatives and to the Com-
mittee on Small Business and Entrepreneurship of the 
Senate— 
(1) a report on its review and recommendations 
under subsection (b)(1) not later than 1 year after 
the date of enactment of this Act; 
(2) a report on its review and recommendations 
under subsection (b)(2) not later than 18 months 
after the date of enactment of this Act; 
(3) a report on its review and recommendations 
under subsection (b)(3) not later than 2 years after 
the date of enactment of this Act; and 
(4) a report on its review and recommendations 
under subsection (b)(4) not later than 2 years after 
the date of enactment of this Act. 
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SEC. 205. CLARIFYING THE DEFINITION OF ‘‘PHASE III’’. 
(a) PHASE III AWARDS.—Section 9(e) of the Small 
Business Act (15 U.S.C. 638(e)), as amended by this Act, 
is further amended— 
(1) in paragraph (4)(C), in the matter pre-
ceding clause (i), by inserting ‘‘for work that derives 
from, extends, or completes efforts made under prior 
funding agreements under the SBIR program’’ after 
‘‘phase’’; 
(2) in paragraph (6)(C), in the matter pre-
ceding clause (i), by inserting ‘‘for work that derives 
from, extends, or completes efforts made under prior 
funding agreements under the STTR program’’ after 
‘‘phase’’; 
(3) in paragraph (8), by striking ‘‘and’’ at the 
end; 
(4) in paragraph (9), by striking the period at 
the end and inserting a semicolon; and 
(5) by adding at the end the following: 
‘‘(10) the term ‘commercialization’ means— 
‘‘(A) the process of developing products, 
processes, technologies, or services; and 
‘‘(B) the production and delivery of prod-
ucts, processes, technologies, or services for sale 
(whether by the originating party or by others) 
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to or use by the Federal Government or com-
mercial markets;’’. 
(b) TECHNICAL AND CONFORMING AMENDMENTS.— 
Section 9 of the Small Business Act (15 U.S.C. 638), as 
amended by this Act, is further amended— 
(1) in subsection (e)— 
(A) in paragraph (4)(C)(ii), by striking 
‘‘scientific review criteria’’ and inserting ‘‘merit- 
based selection procedures’’; 
(B) in paragraph (9), by striking ‘‘the sec-
ond or the third phase’’ and inserting ‘‘Phase 
II or Phase III’’; and 
(C) by adding at the end the following: 
‘‘(11) 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); 
‘‘(12) the term ‘Phase II’ means— 
‘‘(A) with respect to the SBIR program, 
the second phase described in paragraph 
(4)(B); and 
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‘‘(B) with respect to the STTR program, 
the second phase described in paragraph 
(6)(B); and 
‘‘(13) 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).’’; 
(2) in subsection (j)— 
(A) in paragraph (1)(B), by striking 
‘‘phase two’’ and inserting ‘‘Phase II’’; 
(B) in paragraph (2)— 
(i) in subparagraph (B)— 
(I) by striking ‘‘the third phase’’ 
each place it appears and inserting 
‘‘Phase III’’; and 
(II) by striking ‘‘the second 
phase’’ and inserting ‘‘Phase II’’; 
(ii) in subparagraph (D)— 
(I) by striking ‘‘the first phase’’ 
and inserting ‘‘Phase I’’; and 
(II) by striking ‘‘the second 
phase’’ and inserting ‘‘Phase II’’; 
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(iii) in subparagraph (F), by striking 
‘‘the third phase’’ and inserting ‘‘Phase 
III’’; 
(iv) in subparagraph (G)— 
(I) by striking ‘‘the first phase’’ 
and inserting ‘‘Phase I’’; and 
(II) by striking ‘‘the second 
phase’’ and inserting ‘‘Phase II’’; and 
(v) in subparagraph (H)— 
(I) by striking ‘‘the first phase’’ 
and inserting ‘‘Phase I’’; 
(II) by striking ‘‘second phase’’ 
each place it appears and inserting 
‘‘Phase II’’; and 
(III) by striking ‘‘third phase’’ 
and inserting ‘‘Phase III’’; and 
(C) in paragraph (3)— 
(i) in subparagraph (A)— 
(I) by striking ‘‘the first phase 
(as 
described 
in 
subsection 
(e)(4)(A))’’ and inserting ‘‘Phase I’’; 
(II) by striking ‘‘the second 
phase (as described in subsection 
(e)(4)(B))’’ and inserting ‘‘Phase II’’; 
and 
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(III) 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’’; 
(3) in subsection (k)— 
(A) by striking ‘‘first phase’’ each place it 
appears and inserting ‘‘Phase I’’; and 
(B) by striking ‘‘second phase’’ each place 
it appears and inserting ‘‘Phase II’’; 
(4) in subsection (l)(2)— 
(A) by striking ‘‘the first phase’’ and in-
serting ‘‘Phase I’’; and 
(B) by striking ‘‘the second phase’’ and in-
serting ‘‘Phase II’’; 
(5) in subsection (o)(13)— 
(A) in subparagraph (B), by striking ‘‘sec-
ond phase’’ and inserting ‘‘Phase II’’; and 
(B) in subparagraph (C), by striking 
‘‘third phase’’ and inserting ‘‘Phase III’’; 
(6) in subsection (p)— 
(A) in paragraph (2)(B)— 
(i) in clause (vi)— 
(I) 
by 
striking 
‘‘the 
second 
phase’’ and inserting ‘‘Phase II’’; and 
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(II) by striking ‘‘the third phase’’ 
and inserting ‘‘Phase III’’; and 
(ii) in clause (ix)— 
(I) by striking ‘‘the first phase’’ 
and inserting ‘‘Phase I’’; and 
(II) by striking ‘‘the second 
phase’’ and inserting ‘‘Phase II’’; and 
(B) in paragraph (3)— 
(i) by striking ‘‘the first phase (as de-
scribed in subsection (e)(6)(A))’’ and in-
serting ‘‘Phase I’’; 
(ii) by striking ‘‘the second phase (as 
described in subsection (e)(6)(B))’’ and in-
serting ‘‘Phase II’’; and 
(iii) by striking ‘‘the third phase (as 
described in subsection (e)(6)(C))’’ and in-
serting ‘‘Phase III’’; 
(7) in subsection (q)(3)(A)— 
(A) in the subparagraph heading, by strik-
ing ‘‘FIRST PHASE’’ and inserting ‘‘PHASE I’’; 
and 
(B) by striking ‘‘first phase’’ and inserting 
‘‘Phase I’’; 
(8) in subsection (r)— 
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(A) in the subsection heading, by striking 
‘‘THIRD PHASE’’ and inserting ‘‘PHASE III’’; 
(B) in paragraph (1)— 
(i) in the first sentence— 
(I) by striking ‘‘for the second 
phase’’ and inserting ‘‘for Phase II’’; 
(II) by striking ‘‘third phase’’ 
and inserting ‘‘Phase III’’; and 
(III) by striking ‘‘second phase 
period’’ and inserting ‘‘Phase II pe-
riod’’; and 
(ii) in the second sentence— 
(I) by striking ‘‘second phase’’ 
and inserting ‘‘Phase II’’; and 
(II) by striking ‘‘third phase’’ 
and inserting ‘‘Phase III’’; and 
(C) in paragraph (2), by striking ‘‘third 
phase’’ and inserting ‘‘Phase III’’; and 
(9) in subsection (u)(2)(B), by striking ‘‘the 
first phase’’ and inserting ‘‘Phase I’’. 
SEC. 206. SHORTENED PERIOD FOR FINAL DECISIONS ON 
PROPOSALS AND APPLICATIONS. 
(a) IN GENERAL.—Section 9 of the Small Business 
Act (15 U.S.C. 638), as amended by this Act, is further 
amended— 
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(1) in subsection (g)(4)— 
(A) by inserting ‘‘(A)’’ after ‘‘(4)’’; 
(B) by adding ‘‘and’’ after the semicolon 
at the end; and 
(C) by adding at the end the following: 
‘‘(B) make a final decision on each proposal 
submitted under the SBIR program— 
‘‘(i) not later than 90 days after the date 
on which the solicitation closes; or 
‘‘(ii) if the Administrator authorizes an ex-
tension for a solicitation, not later than 180 
days after the date on which the solicitation 
closes;’’; and 
(2) in subsection (o)(4)— 
(A) by inserting ‘‘(A)’’ after ‘‘(4)’’; 
(B) by adding ‘‘and’’ after the semicolon 
at the end; and 
(C) by adding at the end the following: 
‘‘(B) make a final decision on each proposal 
submitted under the STTR program— 
‘‘(i) not later than 90 days after the date 
on which the solicitation closes; or 
‘‘(ii) if the Administrator authorizes an ex-
tension for a solicitation, not later than 180 
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days after the date on which the solicitation 
closes;’’. 
(b) NIH PEER REVIEW PROCESS.— 
(1) IN GENERAL.—Section 9 of the Small Busi-
ness Act (15 U.S.C. 638), as amended by this Act, 
is further amended by adding at the end the fol-
lowing: 
‘‘(ii) NIH PEER REVIEW PROCESS.—The Director of 
the National Institutes of Health may make an award 
under the SBIR program or the STTR program of the 
National Institutes of Health only if the application for 
the award has undergone technical and scientific peer re-
view under section 492 of the Public Health Service Act 
(42 U.S.C. 289a).’’. 
(2) TECHNICAL
AND
CONFORMING
AMEND-
MENTS.—Section 105 of the National Institutes of 
Health Reform Act of 2006 (42 U.S.C. 284n) is 
amended— 
(A) in subsection (a)(3)— 
(i) by striking ‘‘A grant’’ and insert-
ing ‘‘Except as provided in section 9(ii) of 
the Small Business Act (15 U.S.C. 
638(ii)), a grant’’; and 
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(ii) by striking ‘‘section 402(k)’’ and 
all that follows through ‘‘Act)’’ and insert-
ing ‘‘section 402(l) of such Act’’; and 
(B) in subsection (b)(5)— 
(i) by striking ‘‘A grant’’ and insert-
ing ‘‘Except as provided in section 9(ii) of 
the Small Business Act (15 U.S.C. 
638(ii)), a grant’’; and 
(ii) by striking ‘‘section 402(k)’’ and 
all that follows through ‘‘Act)’’ and insert-
ing ‘‘section 402(l) of such Act’’. 
TITLE III—OVERSIGHT AND 
EVALUATION 
SEC. 301. STREAMLINING ANNUAL EVALUATION REQUIRE-
MENTS. 
Section 9(b) of the Small Business Act (15 U.S.C. 
638(b)) is amended— 
(1) in paragraph (7)— 
(A) by striking ‘‘STTR programs, includ-
ing 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 
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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, hedge fund, or 
private equity firm investment (including those 
majority-owned by multiple venture capital op-
erating companies, hedge funds, or private eq-
uity 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 indi-
viduals under each of the SBIR and STTR pro-
grams; 
‘‘(D) general information about the imple-
mentation of, and compliance with the alloca-
tion of funds required under, subsection (dd) 
for firms owned in majority part by venture 
capital operating companies, hedge funds, or 
private equity firms and participating in the 
SBIR program; 
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‘‘(E) a detailed description of appeals of 
Phase III awards and notices of noncompliance 
with the SBIR Policy Directive and the STTR 
Policy Directive filed by the Administrator with 
Federal agencies; and 
‘‘(F) a description’’; and 
(C) by striking ‘‘and’’ at the end; 
(2) in paragraph (8), by striking the period at 
the end and inserting ‘‘; and’’; and 
(3) by inserting after paragraph (8) the fol-
lowing: 
‘‘(9) to coordinate the implementation of elec-
tronic databases at each of the Federal agencies par-
ticipating in the SBIR program or the STTR pro-
gram, including the technical ability of the partici-
pating 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)), as amended by this Act, is further amended— 
(1) by striking paragraph (10); 
(2) by redesignating paragraphs (8) and (9) as 
paragraphs (9) and (10), respectively; and 
(3) by inserting after paragraph (7) the fol-
lowing: 
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‘‘(8) collect annually, and maintain in a com-
mon format in accordance with the simplified report-
ing requirements under subsection (v), such informa-
tion 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, hedge fund, 
or private equity firm investment or is ma-
jority-owned by multiple venture capital 
operating companies, hedge funds, or pri-
vate equity firms, and, if so— 
‘‘(I) the amount of venture cap-
ital, hedge fund, or private equity firm 
investment that the awardee has re-
ceived 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 law-
ful permanent resident of the United 
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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 eco-
nomically disadvantaged individual or has 
a socially or economically disadvantaged 
individual as a principal investigator; 
‘‘(v) 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 
‘‘(vi) 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;’’. 
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SEC. 303. DATA COLLECTION FROM AGENCIES FOR STTR. 
Section 9(o) of the Small Business Act (15 U.S.C. 
638(o)), as amended by this Act, is further amended by 
striking paragraph (9) and inserting the following: 
‘‘(9) collect annually, and maintain in a com-
mon format in accordance with the simplified report-
ing requirements under subsection (v), such informa-
tion from applicants and awardees as is necessary to 
assess the STTR program outputs and outcomes, in-
cluding information necessary to maintain the data-
base described in subsection (k), including— 
‘‘(A) whether an applicant or awardee— 
‘‘(i) has venture capital, hedge fund, 
or private equity firm investment or is ma-
jority-owned by multiple venture capital 
operating companies, hedge funds, or pri-
vate equity firms, and, if so— 
‘‘(I) the amount of venture cap-
ital, hedge fund, or private equity firm 
investment that the applicant or 
awardee has received as of the date of 
the application or award, as applica-
ble; and 
‘‘(II) the amount of additional 
capital that the applicant or awardee 
has invested in the SBIR technology; 
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‘‘(ii) has an investor that— 
‘‘(I) is an individual who is not a 
citizen of the United States or a law-
ful 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 eco-
nomically disadvantaged individual or has 
a socially or economically disadvantaged 
individual as a principal investigator; 
‘‘(v) 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 
‘‘(vi) is located in a State in which the 
total value of contracts awarded to small 
business concerns under all STTR pro-
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grams is less than the total value of con-
tracts awarded to small business concerns 
in a majority of other States, as deter-
mined by the Administrator in biennial fis-
cal years, beginning with fiscal year 2008, 
based on the most recent statistics com-
piled 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;’’. 
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, hedge fund, 
or private equity firm investment and, if 
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so, whether the small business concern is 
registered as majority-owned by multiple 
venture capital operating companies, hedge 
funds, or private equity firms as required 
under subsection (dd)(3); 
‘‘(ii) is owned by a woman or has a 
woman as a principal investigator; 
‘‘(iii) is owned by a socially or eco-
nomically disadvantaged individual or has 
a socially or economically disadvantaged 
individual as a principal investigator; or 
‘‘(iv) is owned by a faculty member or 
a student of an institution of higher edu-
cation, 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) of the Small Business Act (15 U.S.C. 
638(k)) is amended— 
(1) in paragraph (2)— 
(A) in the matter preceding subparagraph 
(A), by striking ‘‘Not later’’ and all that follows 
through ‘‘Act of 2000’’ and inserting ‘‘Not later 
than 90 days after the date of enactment of the 
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Creating Jobs Through Small Business Innova-
tion Act of 2011’’; 
(B) by striking subparagraph (C); 
(C) by redesignating subparagraphs (A) 
and (B) as subparagraphs (B) and (C), respec-
tively; 
(D) by inserting before subparagraph (B), 
as so redesignated, the following: 
‘‘(A) contains, for each small business con-
cern that applies for, submits a proposal for, or 
receives an award under Phase I or Phase II of 
the SBIR program or the STTR program— 
‘‘(i) the name, size, and location, and 
an identifying number assigned by the Ad-
ministration of the small business concern; 
‘‘(ii) an abstract of the project; 
‘‘(iii) the specific aims of the project; 
‘‘(iv) the number of employees of the 
small business concern; 
‘‘(v) the names of key individuals that 
will carry out the project; 
‘‘(vi) the percentage of effort each in-
dividual described in clause (iv) will con-
tribute to the project; 
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‘‘(vii) whether the small business con-
cern is majority-owned by multiple venture 
capital operating companies, hedge funds, 
or private equity firms; and 
‘‘(viii) the Federal agency to which 
the application is made, and contact infor-
mation for the person or office within the 
Federal agency that is responsible for re-
viewing applications and making awards 
under the SBIR program or the STTR 
program;’’; 
(E) by redesignating subparagraphs (D) 
and (E) as subparagraphs (E) and (F), respec-
tively; 
(F) by inserting after subparagraph (C), 
as so redesignated, the following: 
‘‘(D) includes, for each awardee— 
‘‘(i) the name, size, location, and any 
identifying number assigned to the award-
ee by the Administrator; 
‘‘(ii) whether the awardee has venture 
capital, hedge fund, or private equity firm 
investment, and, if so— 
‘‘(I) the amount of venture cap-
ital, hedge fund, or private equity firm 
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investment as of the date of the 
award; 
‘‘(II) the percentage of ownership 
of the awardee held by a venture cap-
ital operating company, hedge fund, 
or private equity firm, including 
whether the awardee is majority- 
owned by multiple venture capital op-
erating companies, hedge funds, or 
private equity firms; and 
‘‘(III) the amount of additional 
capital that the awardee has invested 
in the SBIR technology, which infor-
mation 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 percent-
age of ownership of the awardee held by— 
‘‘(I) any individual who is not a 
citizen of the United States or a law-
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ful 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;’’; 
(G) in subparagraph (E), as so redesig-
nated, by striking ‘‘and’’ at the end; 
(H) in subparagraph (F), as so redesig-
nated, by striking the period at the end and in-
serting ‘‘; and’’; and 
(I) by adding at the end the following: 
‘‘(G) includes a timely and accurate list of 
any individual or small business concern that 
has participated in the SBIR program or STTR 
program that has committed fraud, waste, or 
abuse relating to the SBIR program or STTR 
program.’’; and 
(2) in paragraph (3), by adding at the end the 
following: 
‘‘(C) GOVERNMENT DATABASE.—Not later 
than 60 days after the date established by a 
Federal agency for submitting applications or 
proposals for a Phase I or Phase II award 
under the SBIR program or STTR program, 
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the head of the Federal agency shall submit to 
the Administrator the data required under 
paragraph (2) with respect to each small busi-
ness concern that applies or submits a proposal 
for the Phase I or Phase II award.’’. 
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 year thereafter 
until the date that is 5 years after the date of enactment 
of this Act, 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 require-
ments 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; 
and 
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(C) determine the portion of the extra-
mural research or research and development 
budget of a Federal agency that each Federal 
agency spends for administrative purposes re-
lating 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 and the Com-
mittee on Science, Space, and Technology of the 
House of Representatives regarding the audit con-
ducted under paragraph (1), including the assess-
ments required under subparagraph (B), and the de-
termination made under subparagraph (C) of para-
graph (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, 2005, 
and ending on September 30 of the last full fiscal 
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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 fis-
cal 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 AUTHOR-
ITY.— 
‘‘(1) IN GENERAL.—Not later than 6 months 
after the date of enactment of the Creating Jobs 
Through Small Business Innovation Act of 2011, 
the head of each agency described in subsection (a), 
in consultation with the Small Business Administra-
tion, shall cooperatively enter into an agreement 
with the National Academy of Sciences for the Na-
tional Research Council to, not later than 4 years 
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after the date of enactment of the Creating Jobs 
Through Small Business Innovation Act of 2011, 
and every 4 years thereafter— 
‘‘(A) continue the most recent study under 
this section relating to— 
‘‘(i) the issues described in subpara-
graphs (A), (B), (C), and (E) of subsection 
(a)(1); and 
‘‘(ii) the effectiveness of the govern-
ment and public databases described in 
section 9(k) of the Small Business Act (15 
U.S.C. 638(k)) in reducing vulnerabilities 
of the SBIR program and the STTR pro-
gram to fraud, waste, and abuse, particu-
larly with respect to Federal agencies 
funding duplicative proposals and business 
concerns falsifying information in pro-
posals; 
‘‘(B) make recommendations with respect 
to the issues described in subparagraph (A)(ii) 
and subparagraphs (A), (D), and (E) of sub-
section (a)(2); and 
‘‘(C) estimate, to the extent practicable, 
the number of jobs created by the SBIR pro-
gram or STTR program of the agency. 
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‘‘(2) CONSULTATION.—An agreement under 
paragraph (1) shall require the National Research 
Council to ensure there is participation by and con-
sultation with the small business community, the 
Administration, and other interested parties as de-
scribed in subsection (b). 
‘‘(3) REPORTING.—An agreement under para-
graph (1) shall require that not later than 4 years 
after the date of enactment of the Creating Jobs 
Through Small Business Innovation Act of 2011, 
and every 4 years thereafter, the National Research 
Council shall submit to the head of the agency enter-
ing into the agreement, the Committee on Small 
Business and Entrepreneurship of the Senate, and 
the Committee on Small Business and the Com-
mittee on Science, Space, and Technology 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 REQUIRE-
MENTS. 
Section 9 of the Small Business Act (15 U.S.C. 638), 
as amended by this Act, is further amended by adding 
at the end the following: 
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‘‘(jj) 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 mak-
ing 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. OBTAINING CONSENT FROM SBIR AND STTR AP-
PLICANTS TO RELEASE CONTACT INFORMA-
TION TO ECONOMIC DEVELOPMENT ORGANI-
ZATIONS. 
Section 9 of the Small Business Act (15 U.S.C. 638), 
as amended by this Act, is further amended by adding 
at the end the following: 
‘‘(kk) CONSENT TO RELEASE CONTACT INFORMA-
TION TO ORGANIZATIONS.— 
‘‘(1) ENABLING CONCERN TO GIVE CONSENT.— 
Each Federal agency required by this section to con-
duct an SBIR program or an STTR program shall 
enable a small business concern that is an SBIR ap-
plicant or an STTR applicant to indicate to the Fed-
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eral agency whether the Federal agency has the con-
sent of the concern to— 
‘‘(A) identify the concern to appropriate 
local and State-level economic development or-
ganizations as an SBIR applicant or an STTR 
applicant; and 
‘‘(B) release the contact information of the 
concern to such organizations. 
‘‘(2) RULES.—The Administrator shall estab-
lish rules to implement this subsection. The rules 
shall include a requirement that a Federal agency 
include in the SBIR and STTR application a provi-
sion through which the applicant can indicate con-
sent for purposes of paragraph (1).’’. 
SEC. 310. PILOT TO ALLOW FUNDING FOR ADMINISTRA-
TIVE, OVERSIGHT, AND CONTRACT PROC-
ESSING COSTS. 
(a) IN GENERAL.—Section 9 of the Small Business 
Act (15 U.S.C. 638), as amended by this Act, is further 
amended by adding at the end the following: 
‘‘(ll) ASSISTANCE
FOR
ADMINISTRATIVE, OVER-
SIGHT, AND CONTRACT PROCESSING COSTS.— 
‘‘(1) IN GENERAL.—Subject to paragraph (2), 
for the 3 full fiscal years beginning after the date 
of enactment of this subsection, the Administrator 
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shall allow each Federal agency required to conduct 
an SBIR program to use not more than 3 percent 
of the funds allocated to the SBIR program of the 
Federal agency for— 
‘‘(A) the administration of the SBIR pro-
gram or the STTR program of the Federal 
agency; 
‘‘(B) the provision of outreach and tech-
nical assistance relating to the SBIR program 
or STTR program of the Federal agency, in-
cluding technical assistance site visits and per-
sonnel interviews; 
‘‘(C) the implementation of commercializa-
tion and outreach initiatives that were not in ef-
fect on the date of enactment of this subsection; 
‘‘(D) carrying out the program under sub-
section (y); 
‘‘(E) activities relating to oversight and 
congressional reporting, including the waste, 
fraud, and abuse prevention activities described 
in section 312(a)(1)(B)(ii) of the Creating Jobs 
Through Small Business Innovation Act of 
2011; 
‘‘(F) targeted reviews of recipients of 
awards under the SBIR program or STTR pro-
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gram of the Federal agency that the head of 
the Federal agency determines are at high risk 
for fraud, waste, or abuse, to ensure compliance 
with requirements of the SBIR program or 
STTR program, respectively; 
‘‘(G) the implementation of oversight and 
quality control measures, including verification 
of reports and invoices and cost reviews; 
‘‘(H) carrying out subsection (dd); 
‘‘(I) carrying out subsection (hh); 
‘‘(J) contract processing costs relating to 
the SBIR program or STTR program of the 
Federal agency; and 
‘‘(K) funding for additional personnel and 
assistance with application reviews. 
‘‘(2) PERFORMANCE
CRITERIA.—A Federal 
agency may not use funds as authorized under para-
graph (1) until after the effective date of perform-
ance criteria, which the Administrator shall estab-
lish, to measure any benefits of using funds as au-
thorized under paragraph (1) and to assess continu-
ation of the authority under paragraph (1). 
‘‘(3) RULES.—Not later than 180 days after 
the date of enactment of this subsection, the Admin-
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(B) the effectiveness of the management 
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 manage-
ment strategies of each Federal 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; 
(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 reducing fraud, waste, and 
abuse in the SBIR program or the STTR pro-
gram of the Federal agency; and 
(F) the extent to which the Inspector Gen-
eral of each Federal agency that participates in 
the SBIR program or STTR program effec-
tively conducts investigations of individuals al-
leged to have submitted false claims or violated 
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