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Small Business Innovation Research (SBIR)

The SBIR program is a highly competitive program encourage scientific excellence and technological innovation through the investment of federal research funds in critical American priorities to build a strong national economy.  There are three phases:

  1. Phase I: Determine the scientific and technical merit, feasibility, and commercial potential of the proposed R&D efforts and to determine the quality of performance of the small business awardee prior to providing further federal support in Phase II. 
    1. Range from $100,000 to $275,000 for a 6 to 12-month period of performance
    2. Typically awarded to several small business for competitive downselect for Phase II
  2. Phase II: continue the R/R&D efforts initiated in Phase I. Funding is based on the results achieved in Phase I and the scientific and technical merit and commercial potential of the project proposed in Phase II.
    1. Range from $750,000 to $1,838,000 for a two-year period of performance
    2. Small Business Act 15 U.S.C. § 638 authorizes agencies to fund additional Phase II award with a company to continue the Phase II technology development.
  3. Phase III: work that derives from, extends, or completes an effort made through a SBIR-funded Phase I or II R/R&D but is funded by sources other than the SBIR/STTR Programs.

•       To the greatest extent practicable, federal entities, including government prime contractors, pursuing products, production, services, or R&D developed under the SBIR shall issue Phase III awards to the SBIR awardee that developed the technology.

•       Competition for SBIR/STTR Phase I and Phase II awards satisfies competition requirements, allowing federal agencies to issue direct or sole-source awards to SBIR awardee for Phase III efforts.  Applies to acquiring prime contractors regardless of size.

•       The Government must award Phase III contracts to SBIR/STTR firms that developed the technology to the greatest extent practicable.

•       It is sufficient to state for purposes of a J&A, if one is required by the agency, that the project is an SBIR/STTR Phase III award that is derived from, extends, or completes efforts made under prior SBIR/STTR Funding Agreements and is authorized pursuant to 15 USC 638(r)(4).  Further justification is not needed.

•       This statute justifies sole source follow-on contracts since competition requirements have been satisfied in Phases I and II.

•       There is no limit on the value or number of Phase III contracts.

•       SBIR/STTR size limitations no longer apply if the SBIR/STTR firm grows or is acquired by a large company.

•       The government must notify the SBA if it intends to pursue R/R&D production sources or any combination thereof of a technology developed under an SBIR/STTR award with an entity other than the SBIR/STTR awardee.

•       The SBA can compel the Government to terminate a contract if they deem that the contract should have gone to the SBIR/STTR company.

 

Year of first award: 2004

Title

Phase

Restrictions

I

II

III

Award

Award

Award

Multi-resolution Swarm Detection, Identification, and Tracking (MSDIT)

$250,000

$1,400,000

Sole source available

No ceiling

ITAR, classified

Quick Upstream Anomaly Detection (QUAD) for Space Domain Awareness (SDA)*

$150,000

$1,250,000

Sole source available

No ceiling

ITAR, classified

Cyberspace Threat Discovery Module (CTDM)**

$240,000

$1,164,000

Sole source available

No ceiling

ITAR, classified

Cyber Ontology Development (CybOnt)

$100,000

$988,000

Sole source available

No ceiling

ITAR, classified

Next Generation Data Fusion Architecture (NGFA)

$130,000

$750,000

 Sole source available

No ceiling

ITAR, classified

Public abstracts available at https://www.sbir.gov/portfolio/406235