H.R. 4842 – SBIR Commercialization Improvement Act

AI-Generated Summary

Updated November 23, 2025 at 10:59 PM UTC

The SBIR Commercialization Improvement Act amends the Small Business Act to strengthen the move of SBIR and STTR research into commercial products (Phase III). It does this by mandating training for federal acquisition staff, directing officials to push for maximum use of small‑business innovations, and standardizing the contract and solicitation process for Phase III and sole‑source awards. The changes affect federal agencies that procure goods and services and the small‑business firms participating in SBIR/STTR programs.

Key Provisions

Requires the SBA Administrator, together with the Defense Department, GSA, and other agencies, to create training for federal contracting officers and acquisition staff on SBIR/STTR Phase III acquisitions, covering program goals, Phase III agreements, data rights, and sole‑source contracts.
Adds a directive for Procurement Center Representatives to actively promote the transition of SBIR/STTR innovations to Phase III awards for small businesses, with the SBA to update related policy within one year.
Simplifies Phase III award procedures by requiring agencies to report on efforts to create standardized contracts and solicitation language for SBIR/STTR Phase I‑III awards, and to issue clear guidance on the information small businesses must provide for Phase III eligibility.
Updates headings in the Small Business Act to reference “Sole Source and Other” justifications for Phase III awards, clarifying the use of sole‑source contracts.

Legislative Activity

Stay on top of the latest movement without scrolling through every action

1 earlier action

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

August 1, 2025

View full timeline

HouseIntro Referral

Introduced in House

August 1, 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

August 1, 2025

Bill Text

Latest available legislative text

Reading Mode

Raw Text PDF XML

Introduced in HouseIssued August 1, 2025

I

119th CONGRESS

1st Session

H. R. 4842

IN THE HOUSE OF REPRESENTATIVES

August 1, 2025

Mr. Cisneros 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 require the Administrator of the Small Business Administration to establish training on Phase III acquisitions for the acquisition workforce, and for other purposes.

1.

Short title

This Act may be cited as the SBIR Commercialization Improvement Act.

2.

Phase III award education

Section 9(r) of the Small Business Act (15 U.S.C. 638(r)) is amended by adding at the end the following new paragraph:

(5)

Workforce training

(A)

In general

The Administrator, in coordination with the Secretary of Defense, the Administrator of the General Services Administration, and the head of any such other Federal agency that the Administrator determines appropriate, shall establish training activities for contracting officers and agency acquisition workforce of Federal agencies to ensure that such individuals are fully aware of all aspects of Phase III acquisitions under the SBIR and STTR programs, as applicable.

(B)

Training topics

The training activities required under subparagraph (A) shall include training on—

(i)

the missions, goals, and authorities of the SBIR and STTR programs;

(ii)

the use of Phase III agreement;

(iii)

Phase III data rights; and

(iv)

the execution of Phase III sole source award contracts.

(C)

Definitions

In this paragraph:

(i)

Agency acquisition workforce

The term agency acquisition workforce means the employees of a Federal agency that have procurement or acquisition responsibilities, including—

(I)

employees described in section 1703 of title 41, United States Code; and

(II)

individuals that are part of the acquisition workforce (as such term is defined in section 101(a) of title 10, United States Code).

(ii)

Phase III acquisition

The term Phase III acquisition means the acquisition of a good or service from a participant in Phase III that such participant has commercialized or is seeking to commercialize as such a participant.

.

3.

Phase III improvements

(a)

Procurement center representative directives

(1)

In general

Section 9(j)(4) of the Small Business Act (15 U.S.C. 638(j)(4)) is amended by inserting before the period at the end the following: , and advocate for the maximum practicable use and transition of products, services, and technologies developed under SBIR or STTR programs to Phase III by means of Phase III awards to small business concerns.

(2)

Modification deadline

Not later than one year after the date of the enactment of this Act, the Administrator of the Small Business Administration shall modify the policy directives issues pursuant to subsection (j) of section 9 of the Small Business Act (15 U.S.C. 638(j)) in accordance with paragraph (4) of such subsection, as amended by paragraph (1).

(b)

Phase III award simplification

Section 9(r)(4) of the Small Business Act (15 U.S.C. 638(r)(4)) is amended—

(1)

in subparagraph (A), by striking and at the end;

(2)

in subparagraph (B), by striking the period at the end and inserting ; and; and

(3)

by adding at the end the following new subparagraphs:

(C)

report to the Administrator on the actions taken by the Federal agency or Federal prime contractor to develop simplified and standardized procedures and model contracts for Phase I, Phase II, and Phase III SBIR awards; and

(D)

shall issue standardized solicitation provisions and contract clauses which provide clear guidance on the information that small business concerns participating in SBIR or STTR programs can be expected to provide as part of market research or as part of a proposal by such small business concern to establish eligibility for Phase III awards.

.

4.

Phase III and sole-source awards

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

(1)

in the heading, by inserting Sole Source and Other after Justification for; and

(2)

in the heading for paragraph (4), by inserting sole source and other after justification for.