SBIR

On April 20, 2026, one week after President Trump signed the Small Business Innovation and Economic Security Act (Public Law 119-83) into law, the Department of War (“DoW”) issued a press release announcing that it was “immediately advancing” a “redesigned and more focused initiative to accelerate the delivery of advanced capabilities to the warfighter.”  As we covered last month, the Small Business Innovation and Economic Security Act reauthorizes the Small Business Innovation Research and Small Business Technology Transfer (“SBIR/STTR”) programs through September 30, 2031, ending a nearly six-month lapse that froze new SBIR/STTR solicitations and awards across federal agencies.

The DoW’s announcement signals that the Department intends to be the first mover in implementing the reauthorized SBIR/STTR programs.  The announcement also introduces a new initiative, the Accelerated Research for Transition (“ART”) Program, that warrants close attention from the defense small business community.

Continue Reading SBIR/STTR Is Back and the Department of War Is Wasting No Time

On March 3, 2026, the Senate took a major step toward reauthorizing the Small Business Innovation Research/Small Business Technology Transfer (“SBIR/STTR”) programs, by passing the Small Business Innovation and Economic Security Act (S. 3971).  Known collectively as “America’s Seed Fund,” the SBIR and STTR programs provide small businesses with early-stage

Continue Reading Is Congress Finally Reauthorizing SBIR/STTR—and What’s Changing?

Two cornerstone authorities for federal contracting quietly expired on September 30, 2025, creating ripple effects that contractors—small and large—cannot afford to overlook.  The Small Business Innovation Research/Small Business Technology Transfer (“SBIR/STTR”) programs, commonly known as “America’s Seed Fund” for their role in fueling early-stage innovation, and the Defense Production Act

Continue Reading Expired:  SBIR/STTR and DPA Authorities in Limbo

In a recent bid protest decision— Digital Force Technologies, Inc., B-423319 (May 19, 2025), the Government Accountability Office (“GAO”) denied a protest of a Small Business Innovation Research (“SBIR”) program Phase III sole source solicitation issued by the Air Force, concluding that the Air Force had properly procured work from a successor-in-interest entity that derives from, extends, or completes efforts under prior SBIR contracts.  Notably, GAO found that a single SBIR-derived component of the overall system to be procured can be a sufficient link to prior SBIR work for an agency to exercise its authority to issue a sole source SBIR Phase III contract.

This decision builds on previous GAO decisions in ASRC Federal Data Network Technologies, LLC, B-418765, Aug. 28, 2020, 2020 CPD ¶ 339 (“ASRC II”)[1] and Toyon Research Corporation, B-409765, Aug. 5, 2014, 2014 CPD ¶ 235, in which GAO had explained that “it must be evident that the requirements for the second effort incorporated original concepts, findings, ideas, or research results that were generated in the first.”[2] 

This blog post briefly summarizes background on the SBIR program and requirements for Phase III sole source awards, as backdrop to GAO’s findings in Digital Force Technologies.  The post then analyzes particular aspects of GAO’s decision suggesting an expansion of existing case law in this area and concludes with a brief discussion of practical considerations for government contractors.

Continue Reading Digital Force Technologies, Inc.:  A “SBIR-Derived Component” Can Be Sufficient For SBIR Phase III

The U.S. Small Business Administration (“SBA”) recently issued a notice detailing proposed amendments to the policy directives governing the Small Business Innovation Research (“SBIR”) and Small Business Technology Transfer (“STTR”) programs.  The notice indicates that the SBA intends to implement significant changes to the current data rights provided under SBIR/STTR awards, as well as the method by which program participants—or their successors in interest—receive preferences in the third phase of efforts to develop technologies under either program.

The proposed changes open up new possibilities for a company’s competitors to benefit from its participation in the SBIR/STTR programs. However, the changes also provide additional certainty that may encourage increased participation by small research and development companies and investors that are currently unsure as to whether SBIR/STTR awards can effectively be used to commercialize new technologies.Continue Reading SBA Proposes New Data Rights and Phase III Preferences under SBIR/STTR Awards

On November 7, 2014, the U.S. Small Business Administration (SBA) issued an Advanced Notice seeking comments on potential revisions to policies governing the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) Programs, which facilitate the commercialization of technology through small business entrepreneurship.  The Programs require certain federal agencies to reserve a minimum percentage of their budgets to fund research and development activities that have potential commercial applications.  The government’s initial investment under the Programs is relatively minimal, but participants are able to secure increased funding through three successive phases of development, eventually resulting in the commercialization of a technology with non-Program funds.  The Programs encourage sustained development of a technology by requiring that first-, second-, and third-phase awards generally be made to the same concern, and by establishing broad protections for data produced in the performance of an award.  The SBA is specifically seeking comments on potential revisions to its policies with respect to these two key features of the Programs.
Continue Reading SBA Seeks Comments on Third-Phase Awards and Data Rights under the Small Business Innovation Research and Technology Transfer Programs