President Donald J. Trump signed updates to the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs into law on April 13, following efforts led by U.S. Senator Joni Ernst of Iowa.
The changes are intended to prioritize small businesses in federal research and development funding while increasing protections against foreign interference. The reforms come after concerns were raised that the SBIR-STTR programs favored larger companies and did not adequately safeguard taxpayer-funded technologies from foreign influence.
“After years of work to put small businesses at the forefront of the SBIR-STTR programs, I am thrilled President Trump signed these long-overdue updates into law,” said Senator Ernst, who serves as Chair of the U.S. Senate Committee on Small Business and Entrepreneurship. “Due to these reforms, we are putting our warfighters first, safeguarding American technology against foreign interference, holding recipients accountable for producing cutting-edge technologies, and eliminating taxpayer-funded blank checks. I look forward to working with the Trump administration to empower the entrepreneurs who drive American innovation forward and the men and women in uniform who deserve the best possible capabilities. Now these dollars will go out the door with the proper protections, and America’s seed fund will serve truly small businesses.”
The new law strengthens due diligence standards for awardees to protect technology from espionage risks such as those posed by China; requires accountability for delivering advanced technologies for military use; imposes annual limits on applications at all SBIR offices for the first time; establishes Strategic Breakthrough awards requiring matching funds from agencies; and improves transparency through better data collection.
Ernst’s office assists Iowans with matters related to federal agencies including Social Security, Medicare, veterans benefits, immigration, and military affairs according to her official website. She served over 23 years in the Iowa Army National Guard where she achieved lieutenant colonel rank and commanded troops during Operation Iraqi Freedom according to her official website. Ernst was raised on a family farm in Montgomery County where values of hard work were emphasized according to her official website.
Upon joining Congress, Ernst became Iowa’s first woman elected to federal office according to her official website. She holds degrees from Iowa State University (bachelor’s) and Columbus State University (master’s in public administration) according to her official website. In addition serving on multiple Senate committees, she ran on a platform focused on fiscal responsibility and is recognized as both Iowa’s first female combat veteran elected senator as well as a longtime military officer according to her official website.
Observers note that these legislative changes may shift how federal research dollars are distributed among American companies going forward.
