WASHINGTON – On Wednesday (July 8th), the U.S. House passed the Enhancing Small Business Research and Innovation Act, a bipartisan bill that will better assist small businesses in developing cutting-edge commercial technology. The bill modernizes the government’s largest small business research and development programs, the Small Business Innovation Research (SBIR) program and the Small Business Technology Transfer (STTR) program.
“Small businesses are the backbone of Tennessee’s economy – more than 95% of our state’s private workforce is employed by small businesses,” said Congressman Gordon who helped draft the bill as Chairman of the House Science and Technology Committee. “As we work to get our economy back on track, it is important that we support the innovative high-tech small businesses that will create jobs. Every year, the SBIR and STTR programs help 1,500 new firms get off the ground throughout our country. This legislation will enable these programs to double the amount of grants they can award to small businesses engaged in innovative research.”
Over the past eight years, 91 SBIR/STTR grants have been awarded to Tennessee small businesses, totaling more than $22 million. Many of these companies have been leading research efforts to cure diseases, strengthen national defense, and develop new energy technologies.
“The SBIR and STTR business programs foster technologic innovation and economic growth in Tennessee and across America,” said Eric Cromwell, president and CEO of the Tennessee Technology Development Corporation, a non-profit organization designed to support small businesses and innovation development in Tennessee. “U.S. small businesses developing novel technologies have limited sources of financial capital to access at such an early stage of development. The SBIR and STTR programs are an important source of early stage capital for small businesses, bridging the gap to follow-on investments from the private sector”
The bill will modernize both programs, requiring each of them to reach out to rural entrepreneurs, veterans, and women. It also requires both programs to give special consideration to small businesses focused on research in the fields of rare-diseases, energy and nanotechnology.
The bill passed the House with overwhelming support and now moves to the Senate for consideration.
