mandatory annual adjustment of such amounts to 
reflect economic adjustments and programmatic con-
siderations, and with lesser amounts’’. 
(d) LIMITATION ON CERTAIN AWARDS.—Section 9 of 
the Small Business Act (15 U.S.C. 638) is amended by 
adding at the end the following: 
‘‘(z) LIMITATION ON PHASE I AND II AWARDS.—No 
Federal agency shall issue an award under the SBIR pro-
gram or the STTR program if the size of the award ex-
ceeds the amounts established under subsections (j)(2)(D) 
and (p)(2)(B)(ix). 
‘‘(aa) SUBSEQUENT PHASES.— 
‘‘(1) IN GENERAL.—A small business concern 
which received an award from a Federal agency 
under this section shall be eligible to receive an 
award for a subsequent phase from another Federal 
agency, if the head of each relevant Federal agency 
makes a written determination that the topics of the 
relevant awards are the same. 
‘‘(2) CROSSOVER
BETWEEN
PROGRAMS.—A 
small business concern which received an award 
under this section under the SBIR program or the 
STTR program may, at the discretion of the grant-
ing agency, receive an award under this section for 
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a subsequent phase in either the SBIR program or 
the STTR program. 
‘‘(3) PHASE II SBIR APPLICATIONS.—An agency 
may permit an applicant to apply directly for a 
Phase II award, as described in subsection 
(e)(4)(B), without first completing a Phase I award, 
as described in subsection (e)(4)(A), if the applicant 
can demonstrate that project feasibility was achieved 
without SBIR or other Federal funding. 
‘‘(4) PHASE II STTR APPLICATIONS.—An agen-
cy may permit an applicant to submit proposals for 
Phase II awards, as described in subsection 
(e)(6)(B), without first completing a Phase I award, 
as described in subsection (e)(6)(A), if the applicant 
can demonstrate it has accomplished Phase I 
through cooperative research and development 
achieved without STTR or other Federal funding. 
‘‘(bb) WAIVER OF MINIMUM WORK REQUIREMENT.— 
A Federal agency making an SBIR or STTR award under 
this section may waive the minimum small business con-
cern or research institution work requirements under sub-
section (e)(7) if the agency determines that to provide 
such waiver would be consistent with the purposes of this 
section and consistent with achieving the objectives of the 
award proposal.’’. 
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SEC. 204. MAJORITY EQUITY INVESTMENT IN SBIR AND 
STTR FIRMS. 
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) MAJORITY EQUITY INVESTMENT IN SBIR AND 
STTR FIRMS.— 
‘‘(1) 
QUALIFICATION
REQUIREMENTS.—No 
small business concern shall be excluded from par-
ticipation in the SBIR or STTR program on the 
ground that such small business concern is owned in 
majority part by more than 1 equity provider, except 
that no single equity provider shall be permitted to 
own more than 49 percent of such small business 
concern. 
‘‘(2) DEFINITIONS.—For purposes of this sub-
section— 
‘‘(A) the term ‘equity provider’ means a 
venture capital operating company; and 
‘‘(B) the term ‘venture capital operating 
company’ means a business concern that— 
‘‘(i) is a venture capital operating 
company, as that term is defined in regula-
tions promulgated by the Secretary of 
Labor under the Employee Retirement In-
come Security Act of 1974; 
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‘‘(ii) is registered under the Invest-
ment Company Act of 1940 (15 U.S.C. 
80a–51 et seq.); or 
‘‘(iii) is an investment company, as 
defined in section 3(c)(14) of such Act (15 
U.S.C. 80a–3(c)(14)), which is not reg-
istered under such Act because it is bene-
ficially owned by less than 100 persons.’’. 
TITLE III—UTILIZATION 
SUPPORT 
SEC. 301. AGENCY DATABASES TO SUPPORT PROGRAM 
EVALUATION. 
Section 9(k) of the Small Business Act (15 U.S.C. 
638(k)) is amended— 
(1) in paragraph (2)(A)— 
(A) by striking ‘‘and’’ at the end of clause 
(ii); 
(B) by inserting ‘‘and’’ at the end of clause 
(iii); and 
(C) by adding at the end the following new 
clause: 
‘‘(iv) information on the ownership 
structure of award recipients, both at the 
time of receipt of the award and upon com-
pletion of the award period;’’; 
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(2) by amending paragraph (3) to read as fol-
lows: 
‘‘(3) UPDATING
INFORMATION
FOR
DATA-
BASE.— 
‘‘(A) IN
GENERAL.—A Federal agency 
shall not make a Phase I or Phase II payment 
to a small business concern under this section 
unless the small business concern has provided 
all information required under this subsection 
with respect to the award under which the pay-
ment is made, and with respect to any other 
award under this section previously received by 
the small business concern or a predecessor in 
interest to the small business concern. 
‘‘(B) 
APPORTIONMENT.—In 
complying 
with this paragraph, a small business concern 
may apportion sales or additional investment 
information relating to more than one second 
phase award among those awards, if it notes 
the apportionment for each award. 
‘‘(C) ANNUAL
UPDATES
UPON
TERMI-
NATION.—A small business concern receiving an 
award under this section shall— 
‘‘(i) in the case of a second phase 
award, update information in the data-
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bases required under paragraphs (2) and 
(6) concerning that award at the termi-
nation of the award period; 
‘‘(ii) in the case of award recipients 
not described in clause (iii), be requested 
to voluntarily update such information an-
nually thereafter for a period of 5 years; 
and 
‘‘(iii) in the case of a small business 
concern applying for a subsequent first 
phase or second phase award, be required 
to update such information annually there-
after for a period of 5 years.’’; and 
(3) by adding at the end the following new 
paragraph: 
‘‘(6) AGENCY
PROGRAM
EVALUATION
DATA-
BASES.—Each Federal agency required to establish 
an SBIR or STTR program under this section shall 
develop and maintain, for the purpose of evaluating 
such programs, a database containing information 
required to be contained in the database under para-
graph (2). Each such database shall be designed to 
be accessible to other agencies that are required to 
maintain a database under this paragraph.’’. 
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SEC. 302. AGENCY DATABASES TO SUPPORT TECHNOLOGY 
UTILIZATION. 
Section 9(k) of the Small Business Act (15 U.S.C. 
638(k)), as amended by this Act, is further amended by 
adding at the end the following new paragraph: 
‘‘(7) AGENCY DATABASES TO SUPPORT TECH-
NOLOGY UTILIZATION.—Each Federal agency with 
an SBIR or STTR program shall create and main-
tain a technology utilization database, which shall be 
available to the public and shall contain data sup-
plied by the award recipients specifically to help 
them attract customers for the products and services 
generated under the SBIR or STTR project, and to 
attract additional investors and business partners. 
Each database created under this paragraph shall 
include information on the other databases created 
under this paragraph by other Federal agencies. 
Participation in a database under this paragraph 
shall be voluntary, except that such participation is 
required of all award recipients who received supple-
mental payments from SBIR and STTR program 
funds above their initial Phase II award.’’. 
SEC. 303. INTERAGENCY POLICY COMMITTEE. 
(a) ESTABLISHMENT.—The Director of the Office of 
Science and Technology Policy shall establish an Inter-
agency SBIR/STTR Policy Committee comprised of one 
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representative from each Federal agency with an SBIR 
program. 
(b) COCHAIRS.—The Director of the Office of Science 
and Technology Policy and the Director of the National 
Institute of Standards and Technology shall jointly chair 
the Interagency Policy Committee. 
(c) DUTIES.—The Interagency Policy Committee 
shall review the following issues and make policy rec-
ommendations on ways to improve program effectiveness 
and efficiency: 
(1) The public and government databases de-
scribed in section 9(k)(1) and (2) of the Small Busi-
ness Act (15 U.S.C. 638(k)(1) and (2)). 
(2) Federal agency flexibility in establishing 
Phase I and II award sizes, and appropriate criteria 
to exercise such flexibility. 
(3) Commercialization assistance best practices 
in 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 business 
concerns face after Phase II but before commer-
cialization. 
(d) REPORTS.—The Interagency Policy Committee 
shall transmit to the Committee on Science and Tech-
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nology and the Committee on Small Business of the House 
of Representatives, and to the Committee on Small Busi-
ness and Entrepreneurship of the Senate— 
(1) a report its review and recommendations 
under subsection (c)(1) not later than 1 year after 
the date of enactment of this Act; 
(2) a report its review and recommendations 
under subsection (c)(2) not later than 18 months 
after the date of enactment of this Act; and 
(3) a report its review and recommendations 
under subsection (c)(3) not later than 2 years after 
the date of enactment of this Act. 
TITLE IV—OUTREACH AND 
TECHNICAL ASSISTANCE 
SEC. 401. USE OF PROGRAM FUNDS FOR ADMINISTRATIVE 
COSTS. 
Section 9 of the Small Business Act (15 U.S.C. 638) 
is amended— 
(1) in subsection (f)(2)(A), by striking ‘‘any’’ 
and inserting ‘‘more than 3.0 percent’’; and 
(2) in subsection (n)(2)(A), by striking ‘‘any’’ 
and inserting ‘‘more than 3.0 percent’’. 
SEC. 402. SBIR DISCRETIONARY TECHNICAL ASSISTANCE. 
Section 9(q) of the Small Business Act (15 U.S.C. 
638(q)) is amended— 
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(1) in paragraph (1)— 
(A) by striking ‘‘paragraph (2)’’ and in-
serting ‘‘paragraph (2)(A), or another Federal 
agency under paragraph (2)(B),’’; 
(B) by striking ‘‘and’’ at the end of sub-
paragraph (C); 
(C) by striking the period at the end of 
subparagraph (D) and inserting ‘‘; and’’; and 
(D) by adding at the end the following new 
subparagraph: 
‘‘(E) implementing manufacturing proc-
esses and production strategies for utilization.’’; 
(2) by amending paragraph (2) to read as fol-
lows: 
‘‘(2) ASSISTANCE PROVIDERS.— 
‘‘(A) VENDOR SELECTION.—Each agency 
may select a vendor to assist small business 
concerns to meet the goals listed in paragraph 
(1) for a term not to exceed 3 years. Such se-
lection shall be competitive and shall utilize 
merit-based criteria. 
‘‘(B) INTERAGENCY COLLABORATION.—In 
addition, each agency may enter into a collabo-
rative agreement with the technical extension or 
assistance programs of other Federal agencies 
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in order to provide the assistance described in 
paragraph (1).’’; and 
(3) in paragraph (3)— 
(A) in subparagraph (A), by striking 
‘‘$4,000’’ and inserting ‘‘$5,000’’; and 
(B) by amending subparagraph (B) to read 
as follows: 
‘‘(B) SECOND
PHASE.—Each agency re-
ferred to in paragraph (1) may provide directly, 
or authorize any second phase SBIR award re-
cipient to purchase with funds available from 
their SBIR awards, services described in para-
graph (1), in an amount equal to not more than 
$8,000 per year, per award.’’. 
TITLE V—IMPLEMENTATION 
SEC. 501. CONFORMING AMENDMENTS TO THE SBIR AND 
STTR POLICY DIRECTIVES. 
Not later than 180 days after the date of enactment 
of this Act, the Administrator of the Small Business Ad-
ministration shall promulgate amendments to the SBIR 
and the STTR Policy Directives to conform such directives 
to this Act and the amendments made by this Act. 
SEC. 502. NATIONAL RESEARCH COUNCIL SBIR STUDY. 
Section 108(d) of the Small Business Reauthoriza-
tion Act of 2000 is amended— 
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(1) by striking ‘‘of the Senate’’ and all that fol-
lows through ‘‘not later than 3’’ and inserting ‘‘of 
the Senate, not later than 3’’; and 
(2) by striking ‘‘; and’’ and all that follows 
through ‘‘update of such report’’. 
Æ 
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