Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, I rise in support in of S. 4900, the SBIR and STTR Extension Act of 2022. The Small Business Innovation Research and Small Businesses Technology Transfer, or SBIR and…
Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, I rise in support in of S. 4900, the SBIR and STTR Extension Act of 2022.
The Small Business Innovation Research and Small Businesses Technology Transfer, or SBIR and STTR programs, are vital to the success of many small entities and have helped create thousands of new jobs by fostering innovation and stimulating the economy through cutting-edge research. SBIR and STTR's mission is to support scientific excellence and technological innovation for small businesses.
For the last 40 years, these programs have helped firms develop new technologies that have directly assisted Federal agencies meet their R&D needs. The American warfighter is no doubt stronger due to these programs.
However, a recent Department of Defense report revealed foreign adversaries have been exploiting the SBIR through shell companies, planted government researchers, and state-sponsored talent programs. The report found that the People's Republic of China has become a large beneficiary of SBIR and STTR. This is unacceptable, and the status quo must not continue, Mr. Speaker.
The programs must have heightened awareness and protections in place to prevent nefarious abuse. This legislation, crafted over months of negotiations, provides significant reforms to combat malign foreign influence and protect our small businesses from Chinese acquisition of innovation technologies.
Specifically, this bill mandates that agencies establish strong due- diligence safeguards to assess security risks and prevent influence from bad actors. It requires companies to disclose any business ties, investments, and contracts with China, and it gives agencies authority to deny any application if certain relationships are deemed a risk to national security.
In addition to safeguarding small businesses from China, this bill curbs abuse by multiple award winners, or SBIR mills. Mills are firms that consume a disproportionate number of awards but have low commercialization rates. These mills will have to meet enhanced performance standards in order to apply for new awards. These benchmarks will hold mills accountable and ensure that the programs are focusing on commercializing projects and attracting more private capital investments.
Finally, S. 4900 strengthens congressional oversight, increases public transparency, and safeguards taxpayer dollars during a time where government overreach has run rampant, and transparency has been limited.
These reforms are a win for small businesses and will protect U.S. R&D and innovative technologies.
I thank Chairwoman Velazquez, Ranking Member Lucas, Chairwoman Eddie Bernice Johnson, as well as Senators Cardin, Paul, and Ernst for working in a bipartisan manner to ensure these programs are reauthorized before the end of the month.
I encourage all my colleagues to support S. 4900, which unanimously passed the Senate last week.
Mr. Speaker, I reserve the balance of my time.
Mr. Speaker, I yield such time as he may consume to the distinguished gentleman from Oklahoma (Mr. Lucas), the Republican leader of the Science, Space, and Technology Committee.
Mr. Speaker, I yield such time as she may consume to the gentlewoman from California (Mrs. Kim), a valuable member on the Small Business Committee and a strong advocate for entrepreneurs.
Mr. Speaker, I yield such time as he may consume to the gentleman from Wisconsin (Mr. Fitzgerald), a very valuable, experienced member of our Committee on Small Business and another strong advocate for the entrepreneurs of our economy.
Mr. Speaker, I yield such time as he may consume to the gentleman from Nebraska (Mr. Flood), one of our newest Members who has joined our committee and is doing a fantastic job representing small businesses and is another strong advocate for the entrepreneurs of our country.
Mr. Speaker, I yield myself the balance of my time for closing.
The SBIR and STTR Extension Act of 2022 will reauthorize the programs for 3 years and address congressional concerns by establishing research security measures, increasing transparency and oversight, and focusing on commercialization.
I think, as you have heard the speakers this afternoon, in my mind, we have two big problems that we are solving here. Besides the extension of these programs, which I think are important to the national defense of our country, for one thing, I think it also helps spur entrepreneurial and investment technology that I think is vital to our country, and we stop the use of some of these programs as ATMs for different companies. I think we also put a stop to the Chinese abuse of these programs, as well.
I think those are the two highlights that are really important in these programs. They have done a good job of putting protections in place. I think that we are strengthening these protections, as well as protecting R&D and protecting our taxpayer dollars to make sure they are being spent effectively and efficiently.
Mr. Speaker, I ask my colleagues to support S. 4900, and I yield back the balance of my time.