SBIR Administrative Funding Act

H.R. 7217 would amend the Small Business Act to extend and modify administrative funding for the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs. These programs provide competitive federal grants to small businesses for research and development projects with commercial potential. If enacted, the bill would extend the administrative funding allowance through September 30, 2030, and increase the allowable percentage from 3% to 3.3% of SBIR funds that agencies can use for administrative, oversight, and contract processing costs. The bill would also require the five largest participating agencies—the Department of Defense, Department of Energy, Department of Health and Human Services, National Aeronautics and Space Administration, and National Science Foundation—to transfer at least 10% of their administrative SBIR funds to the Small Business Administration to strengthen program administration. Additionally, the bill would eliminate a waiver that currently allows agencies to opt out of outreach requirements for underserved and economically disadvantaged small businesses, meaning all agencies would be required to conduct enhanced outreach efforts. The bill is currently in committee and has not yet been voted on by the full House.