Representative · D-NY
The bill increases SBIR/STTR support and SBA outreach to expand small-business participation and provide multi-year certainty, but does so by diverting at least 10% of certain agency program funds to the SBA—reducing agencies' direct resources and imposing tight transfer deadlines and use restrictions.
Small businesses competing for SBIR/STTR awards see a higher federal set-aside (from 3.0% to 3.3%), increasing their chances of receiving award funding.
The SBA will receive mandatory transfers (10% from major agencies) to fund outreach and assistance, improving program support and applicant services for SBIR/STTR participants.
SBIR/STTR program authorization is extended through 2030, giving participants multi-year stability for planning and investment.
At least 10% of certain program funds from agencies (DOD, DOE, HHS, NASA, NSF) must be transferred to the SBA, effectively reducing those agencies' direct program resources and shifting costs onto taxpayers and agency budgets.
Agencies have only a two-month window after each appropriations act to complete transfers, creating a tight implementation timeline that could disrupt budgeting and program administration.
Transferred funds are prohibited from being used for programs under the Small Business Investment Act of 1958, limiting flexibility and potentially complicating coordination between SBA programs and other small-business initiatives.
Based on analysis of 2 sections of legislative text.
Extends SBIR/STTR administrative authority to 2030, raises the admin set‑aside to 3.3%, and requires five agencies to transfer at least 10% of certain admin funds to SBA within two months of appropriations.
Official title: To amend the Small Business Act to extend and modify the assistance for administrative, oversight, and contract processing costs for the SBIR and STTR programs, and for other purposes.
Introduced January 22, 2026 by George Latimer · Last progress January 22, 2026
Extends and increases the administrative funding authority for the SBIR/STTR programs through FY2030 and raises the statutory set‑aside for administrative/oversight/contract processing from 3.0% to 3.3%. It requires the heads of DOD, DOE, HHS, NASA, and NSF to transfer at least 10% of the funds those agencies currently use for certain SBIR/STTR administrative activities to the SBA within two months after enactment of each agency’s appropriations act, and clarifies permitted uses of the transferred funds for outreach, technical assistance, and historically low‑award states.