Rep. Scholten Introduces New Legislation to Support Small Business Innovation, Develop West Michigan Workforce

WASHINGTON D.C. - Today, U.S. Representative Hillary Scholten announced the introduction of her Small Business Innovation Research (SBIR) Workforce Innovation Act, legislation to strengthen the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs. SBIR and STTR, otherwise known as America's Seed Fund, are programs that provide federal grants to small businesses to help them conduct research and development that is useful to the U.S. government. Small businesses in Michigan that have received SBIR and STTR grants are developing everything from flood forecasting technologyto PFAS screening devicesto improved lithium-ion batteries.

The SBIR Workforce Innovation Actwould strengthen these programs by providing supplemental grants to SBIR and STTR recipients that allow them to hire fellows and interns. Consequently, this legislation simultaneously supports small businesses and helps develop local workforces.

"West Michigan is home to world class small businesses solving big problems," said Representative Scholten. "I am a proud supporter of the SBIR and STTR programs to help them conduct R&D that shapes the future of medical research, drone technology, and more. I'm thrilled to be introducing this new legislation to help these exciting, cutting-edge companies host and mentor interns and fellows. I look forward to getting it passed."

The SBIR program was established in 1982 through the Small Business Innovation Development Actand is designed to increase the participation of small businesses in federal research and development efforts. The STTR program was later created in 1992 to support commercialization efforts of university and federal R&D by small businesses. Currently, these programs are set to expire on September 30, 2025, unless Congress reauthorizes the program. Rep. Scholten voted for a clean, one-year extension of these programs during a markup this month as a member of the Small Business Committee. The extension passed the House of Representatives and has been sent to the Senate for consideration.

Federal agencies that choose to participate in this initiative would be able to provide fellowship or internship opportunities to awardees at the undergraduate, graduate, and postdoctoral levels in fields that are important to the agency. Agencies can either use up to 3 percent of their SBIR and STTR award funds, or designated funding for outreach and administrative actions, to provide supplemental funds for these fellowships. Agencies may also choose to administer the program directly, or in partnership with a third-party nonprofit organization.

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