An Act establishing the Pennsylvania SBIR/STTR Matching Funds Program to provide technology grants to small businesses.

PRIOR PRINTER'S NO. 901 PRINTER'S NO. 936
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 811
Session of
2025
INTRODUCED BY FARRY, HAYWOOD, FONTANA, STEFANO, COSTA,
PISCIOTTANO, PENNYCUICK, LAUGHLIN, ROBINSON AND SANTARSIERO,
JUNE 4, 2025
SENATOR FARRY, INSTITUTIONAL SUSTAINABILITY AND INNOVATION, AS
AMENDED, JUNE 10, 2025
AN ACT
Establishing the Pennsylvania SBIR/STTR Matching Funds Program
to provide technology grants to small businesses.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Short title.
This act shall be known and may be cited as the Pennsylvania
Small Business Innovation Research Grant and Small Business
Technology Transfer Matching Funds Program Act.
Section 2. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Business." A for-profit business that is headquartered in
this Commonwealth and participates in either the Federal SBIR or
STTR program.
"Department." The Department of Community and Economic
Development of the Commonwealth.
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"Program." The Pennsylvania SBIR/STTR Matching Funds Program
established under section 3.
"SBIR." The Federal Small Business Innovation Research
Program created under 15 U.S.C. § 638 (relating to research and
development).
"STTR." Small Business Technology Transfer Program created
under 15 U.S.C. § 638.
Section 3. Establishment and purpose of program.
The Pennsylvania SBIR/STTR Matching Funds Program is
established and shall be administered by the department. The IN
ORDER TO FOSTER JOB CREATION AND ECONOMIC DEVELOPMENT IN THIS
COMMONWEALTH BY SUPPORTING SMALL BUSINESS FORMATION AND GROWTH,
THE department may provide a grant to an eligible business in an
amount that matches money received under an SBIR or STTR Phase I
award from the Small Business Administration. The department
shall encourage business participation for Phase II awards.
Section 4. Eligibility.
To be eligible for a grant under this act, a business must:
(1) Have at least one of the business' principal places
of business located in this Commonwealth.
(2) Have received an SBIR or STTR Phase I award from the
Small Business Administration in response to a specific
Federal solicitation. To receive a full grant award, the
business must have submitted a final Phase I report,
demonstrated that the Small Business Administration has
interest in the Phase II project proposal and submitted a
Phase II project proposal to the Small Business
Administration.
(3) Satisfy Federal SBIR or STTR requirements.
(4) Have not received nor shall receive concurrent
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funding support from other sources THE COMMONWEALTH that
duplicates the purpose of this act.
(5) Certify that at least 51% of the research described
in the Federal SBIR or STTR Phase II project proposal will be
conducted in this Commonwealth and that the business will
remain based in this Commonwealth for the duration of the
SBIR or STTR Phase II project.
(6) Demonstrate the business' ability to conduct
research in the SBIR or STTR Phase II project proposal.
Section 5. Grant awards.
(a) Grant.--The department may award a grant to match the
money received by a business through an SBIR or STTR Phase I
proposal up to a maximum of $50,000. Seventy-five percent of the
total grant shall be remitted to the business upon receipt of
the SBIR or STTR Phase I award. Twenty-five percent of the total
grant award shall be remitted to the business upon submission of
the Phase II application to the Small Business Administration by
the business and acceptance of the Phase I report by the Small
Business Administration. FUNDING MAY BE USED FOR TECHNICAL AND
BUSINESS ASSISTANCE ACTIVITIES.
(b) Limitations.--A business may:
(1) Receive only one grant per year.
(2) Receive only one grant under this act with respect
to each Federal proposal submission.
(3) Only receive a maximum of five awards under the
program.
Section 6. Application.
The department shall develop an application process for the
program and publish the application process on the department's
publicly accessible Internet website. The application shall
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include:
(1) The name of the business.
(2) The form of business organization under which the
business operates.
(3) The name or address of the principal or management
of the business.
(4) The Small Business Administration's acknowledgment
of receipt of the Phase I report and Phase II proposal.
(5) Any additional information the department deems
necessary to evaluate the application.
Section 7. Funding.
The General Assembly shall appropriate money to the
department for the administration and distribution of grants
under this act.
Section 8. Regulations.
The department may promulgate regulations as necessary to
implement the program.
Section 9. Effective date.
This act shall take effect in 60 days.
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