H.R. 3851 – SBIR/STTR Pilot Extension Act

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Updated November 24, 2025 at 12:09 AM UTC

The SBIR/STTR Pilot Extension Act amends the Small Business Act to keep key small‑business research funding programs running through 2030 and to broaden who can use them. It lets any federal agency that runs an SBIR program award projects directly to Phase II, sets caps on how much of an agency’s SBIR budget can be used for these awards, and adds reporting requirements. The bill also extends and renames commercialization‑readiness and other pilot programs for civilian agencies, giving small businesses more time and opportunities to receive federal research and development support.

Key Provisions

Extends the authority for federal agencies to award SBIR/STTR projects directly to Phase II from 2025 to 2030 and expands that authority to all agencies that run an SBIR program, not just NIH, DoD, and Education.
Limits the total value of these direct‑to‑Phase II awards each year to no more than 10 % of an agency’s overall SBIR budget (15 % for NIH).
Requires each agency using the direct‑to‑Phase II authority to report the number and dollar amount of such awards in its next SBIR report.
Renames and extends the civilian agencies’ Commercialization Readiness program, changing “Pilot” to “Civilian Agencies Commercialization Readiness” and moving its end date from fiscal year 2025 to fiscal year 2030.
Extends the Phase 0 Proof‑of‑Concept Partnership Program and the Commercialization Assistance Pilot Programs until September 30, 2030.

Legislative Activity

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HouseIntro Referral Latest Action

Referred to the Committee on Small Business, and in addition to the Committee on Science, Space, and Technology, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Small Business Committee

June 9, 2025

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HouseIntro Referral

Introduced in House

June 9, 2025

HouseIntro Referral

Referred to the Committee on Small Business, and in addition to the Committee on Science, Space, and Technology, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Small Business Committee

June 9, 2025

Bill Text

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Introduced in HouseIssued June 9, 2025

I

119th CONGRESS

1st Session

H. R. 3851

IN THE HOUSE OF REPRESENTATIVES

June 9, 2025

Mr. Olszewski introduced the following bill; which was referred to the Committee on Small Business, and in addition to the Committee on Science, Space, and Technology, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned

A BILL

To amend section 9 of the Small Business Act to extend and expand the phase flexibility authority, and for other purposes.

1.

Short title

This Act may be cited as the SBIR/STTR Pilot Extension Act.

2.

Extend and expand the direct to Phase II authority

Section 9 of the Small Business Act (15 U.S.C. 638) is amended—

(1)

by designating the text of subsection (cc) as paragraph (1); and

(2)

in subsection (cc)—

(A)

by striking 2012 through 2025 and inserting 2012 through 2030;

(B)

by striking the National Institutes of Health, the Department of Defense, and the Department of Education may each and inserting each Federal agency required to carry out an SBIR program may; and

(C)

by adding at the end the following new paragraphs:

(2)

Limitation

The total value of awards provided by a Federal agency under this subsection in a fiscal year shall be—

(A)

except as provided in subparagraph (B), not more than 10 percent of the total funds allocated to the SBIR program of the Federal agency during that fiscal year; and

(B)

with respect to the National Institutes of Health, not more than 15 percent of the total funds allocated to the SBIR program of the National Institutes of Health during that fiscal year.

(3)

Report

Each head of a Federal agency that exercises the authority under this subsection shall include in the next report submitted by such Federal agency under (g)(9) following such exercise the number and amount of awards provided under this subsection by such Federal agency in the period covered by such report.

.

3.

Extend commercialization readiness program for civilian agencies

Section 9(gg) of the Small Business Act (15 U.S.C. 638(gg)) is amended—

(1)

in the heading, by striking Pilot and inserting Civilian agencies commercialization readiness;

(2)

by striking pilot program each place it appears and inserting covered program; and

(3)

by striking fiscal year 2025 and inserting fiscal year 2030.

4.

Extension of certain SBIR and STTR pilot programs

(a)

Phase 0 proof of concept partnership program

Section 9(jj)(7) of the Small Business Act (15 U.S.C. 638(jj)(7)) is amended by striking at the end of fiscal year 2025 and inserting on September 30, 2030.

(b)

Commercialization assistance pilot programs

Section 9(uu)(3) of the Small Business Act (15 U.S.C. 638(uu)(3)) is amended by striking September 30, 2025 and inserting September 30, 2030.