Ranking Member Edward J. Markey announced on March 17 that the House has passed bipartisan legislation to reauthorize the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs for five years. The legislation, known as the Small Business Innovation and Economic Security Act, is expected to become law and would keep these programs authorized through September 30, 2031.
The SBIR and STTR programs are considered important for supporting American small businesses in developing new technologies. Markey said, “Today’s passage of the bipartisan Small Business Innovation and Economic Security Act is a win-win-win-win—for American small businesses, for workers, for the innovation economy, and for the communities they serve. This bill is a more than $4 billion shot in the arm for our innovation economy in Massachusetts and around the country.”
The act aims to protect merit-based competition within these programs, prevent immediate removal of small businesses from participation, and ensure access for even the smallest companies. It also allows agencies to carry over unspent funds from Fiscal Year 2026 into Fiscal Year 2027 if needed due to previous program lapses. Markey said that while not every improvement he wanted was included, "it will reopen these essential programs after an unnecessary and harmful lapse and help small businesses plan for the future." He added that making these programs permanent remains a goal so entrepreneurs can focus on their work rather than legislative uncertainty.
According to Markey's office, SBIR/STTR have awarded more than $77 billion to about 33,000 small businesses nationwide, supporting inventions such as heart pumps and glucose monitors. Massachusetts ranks second nationally in SBIR/STTR participation with over $9 billion awarded to more than 2,600 local companies.
The Senate Small Business and Entrepreneurship Committee plays a role in shaping national fiscal priorities according to its official website. The committee provides Congress with policy options on federal budget components according to its official website and contributes through resolutions and reconciliation instructions according to its official website. Established by the Congressional Budget and Impoundment Control Act of 1974 according to its official website, it also offers nonpartisan budgetary analysis via oversight of the Congressional Budget Office according to its official website. Lindsey Graham serves as chairman while Jeff Merkley is ranking member according to its official website.
Looking ahead, Markey has indicated continued efforts toward permanent authorization of these innovation programs. He previously advocated on the Senate floor for temporary extensions during negotiation periods when program funding lapsed.
