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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: 
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. 
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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. 
TITLE V—OTHER PROVISIONS 
Sec. 501. Report on SBIR and STTR program goals. 
Sec. 502. Competitive selection procedures for SBIR and STTR programs. 
Sec. 503. Loan Restrictions. 
SEC. 3. DEFINITIONS. 
In this Act— 
(1) the terms ‘‘Administration’’ and ‘‘Adminis-
trator’’ mean the Small Business Administration 
and the Administrator thereof, respectively; 
(2) the terms ‘‘extramural budget’’, ‘‘Federal 
agency’’, ‘‘Small Business Innovation Research Pro-
gram’’, 
‘‘SBIR’’, 
‘‘Small 
Business 
Technology 
Transfer Program’’, and ‘‘STTR’’ have the mean-
ings given such terms in section 9 of the Small Busi-
ness Act (15 U.S.C. 638); and 
(3) the term ‘‘small business concern’’ has the 
meaning given that term under section 3 of the 
Small Business Act (15 U.S.C. 632). 
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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— 
(1) by striking ‘‘TERMINATION.—’’ and all that 
follows through ‘‘the authorization’’ and inserting 
‘‘TERMINATION.—The authorization’’; 
(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 
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(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) 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.— 
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‘‘(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 
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-
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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.’’. 
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 
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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.’’. 
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-
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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 
that are owned in majority part by multiple 
venture capital operating companies, hedge 
funds, or private equity firms through competi-
tive, merit-based procedures that are open to all 
eligible small business concerns; and 
‘‘(B) the head of a Federal agency other 
than a Federal agency described in subpara-
graph (A) that participates in the SBIR pro-
gram may award not more than 35 percent of 
the funds allocated for the SBIR program of 
the Federal agency to small business concerns 
that are owned in majority part by multiple 
venture capital operating companies, hedge 
funds, or private equity firms through competi-
tive, merit-based procedures that are open to all 
eligible small business concerns. 
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‘‘(2) DETERMINATION.—A written determina-
tion described in this paragraph is a written deter-
mination by the head of a Federal agency that ex-
plains how the use of the authority under paragraph 
(1) will— 
‘‘(A) induce additional venture capital, 
hedge fund, or private equity firm funding of 
small business innovations; 
‘‘(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 
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‘‘(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 
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-
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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 
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 
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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— 
‘‘(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-
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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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