Sec. 8. INCREASED MINIMUM PERFORMANCE STANDARDS FOR EXPERIENCED FIRMS
2,117 words·~10 min read·
/statute-compilations/comps-17027/sec-8A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
## SEC. 8 INCREASED MINIMUM PERFORMANCE STANDARDS FOR EXPERIENCED FIRMS Section 9 of the Small Business Act (15 U.S.C. 638), as amended by this Act, is further amended— ####
(1)in subsection (b)(7), by adding at the end the following: > > ##### “(K) > > the minimum performance standards established under subsection (qq), including any applicable modifications under paragraph
(3)of such subsection, and the number of small business concerns that did not meet those minimum performance standards, provided that the Administrator does not publish any personally identifiable information, the identity of each such small business concern, or any otherwise sensitive information; and > > > ##### “(L) > > the aggregate number and dollar amount of SBIR and STTR awards made pursuant to waivers under subsection (qq)(3)(E), provided that the Administrator does not publish any personally identifiable information, the identity of each such small business concern, or any otherwise sensitive information;” > ; and ####
(2)in subsection (qq)— #####
(A)by redesignating paragraphs
(3)and
(4)as paragraphs
(4)and (5), respectively; #####
(B)by inserting after paragraph
(2)the following: > > #### “(3) Increased minimum performance standards for experienced firms > > > ##### “(A) Progress to phase ii success > > > ###### “(i) In general > > With respect to a small business concern that received or receives more than 50 Phase I awards during a covered period, each minimum performance standard established under paragraph (1)(A)(ii) shall be doubled for such covered period. > > > ###### “(ii) Consequence of failure to meet standard > > If the head of a Federal agency determines that a small business concern that received a Phase I award from the Federal agency is not meeting an applicable increased minimum performance standard modified under clause (i), the small business concern may not receive more than 20 total Phase I awards and Phase II awards under subsection
(cc)from each Federal agency during the 1-year period beginning on the date on which such determination is made. > > > ###### “(iii) Covered period defined > > In this subparagraph, the term ‘covered period’ means a consecutive period of 5 fiscal years preceding the most recent fiscal year. > > > ##### “(B) Progress to phase iii success > > > ###### “(i) In general > > Each minimum performance standard established under paragraph (2)(A)(ii) shall— > > > ###### “(I) > > with respect to a small business concern that received or receives more than 50 Phase II awards during a covered period, require an average of $250,000 of aggregate sales and investments per Phase II award received during such covered period; and > > > ###### “(II) > > with respect to a small business concern that received or receives more than 100 Phase II awards during a covered period, require an average of $450,000 of aggregate sales and investments per Phase II award received during such covered period. > > > ###### “(ii) Consequence of failure to meet standard > > If the head of a Federal agency determines that a small business concern that received a Phase I award from the agency is not meeting an applicable increased minimum performance standard modified under clause (i), the small business concern may not receive more than 20 total Phase I awards and Phase II awards under subsection
(cc)from each agency during the 1-year period beginning on the date on which such determination is made. > > > ###### “(iii) Documentation > > > ###### “(I) In general > > A small business concern that is subject to an increased minimum performance standard described in clause
(i)shall submit to the Administrator supporting documentation evidencing that all covered sales of the small business concern were properly used to meet the increased minimum performance standard. > > > ###### “(II) Covered sale defined > > In this clause, the term ‘covered sale’ means a sale by a small business concern— > > > ###### “(aa) > > that the small business concern claims to be attributable to an SBIR or STTR award; > > > ###### “(bb) > > for which no amount of the payment was or is made using Federal funds; > > > ###### “(cc) > > which the small business concern uses to meet an applicable increased minimum performance standard under clause (i); and > > > ###### “(dd) > > that was or is received during the 5 fiscal years immediately preceding the fiscal year in which the small business concern uses the sale to meet the increased minimum performance standard. > > > ###### “(iv) Covered period defined > > In this subparagraph, the term ‘covered period’ means a consecutive period of 10 fiscal years preceding the most recent 2 fiscal years. > > > ##### “(C) Patents for increased minimum performance standards > > A small business concern with respect to which an increased minimum performance standard under subparagraph
(B)applies may not meet the increased minimum performance standard by obtaining patents. > > > ##### “(D) Effective date > > Subparagraphs
(A)through
(C)shall take effect on April 1, 2023. > > > ##### “(E) Waiver > > > ###### “(i) In general > > The Administrator may, upon the request of a senior official of a Federal agency, grant a waiver with respect to a topic for the SBIR or STTR program of the Federal agency if— > > > ###### “(I) > > the topic is critical to the mission of the Federal agency or relates to national security; and > > > ###### “(II) > > the official submits to the Administrator a request for the waiver in accordance with clause (iii). > > > ###### “(ii) Waiver effects > > If the Administration grants a waiver with respect to a topic for the SBIR or STTR program of a Federal agency, subparagraphs (A)(ii) and (B)(ii) shall not prohibit any covered small business concern from receiving an SBIR or STTR award under such topic. > > > ###### “(iii) Agency request and congressional notification > > Not later than 15 days before the release of a solicitation including a topic for which a senior official of a Federal agency is requesting a waiver under clause (i), the senior official shall submit to the Administrator, the Committee on Small Business and the Committee on Science, Space, and Technology of the House of Representatives, and the Committee on Small Business and Entrepreneurship of the Senate a request for the waiver. > > > ###### “(iv) Administrator determination and congressional notification > > Not later than 15 days after receiving a request for a waiver under clause (i), the Administrator shall make a determination with respect to the request and notify the senior official at the Federal agency that made the request, the Committee on Small Business and the Committee on Science, Space, and Technology of the House of Representatives, and the Committee on Small Business and Entrepreneurship of the Senate of the determination. > > > ###### “(v) Definitions > > In this subparagraph: > > > ###### “(I) Covered small business concern > > The term ‘covered small business concern’ means a small business concern that is subject to the consequences under subparagraph (A)(ii) or (B)(ii) pursuant to a determination by the head of a Federal agency that such small business concern did not meet an increased minimum performance standard that was applicable to such small business concern. > > > ###### “(II) Senior official > > The term ‘senior official’ means an individual appointed to a position in a Federal agency that is classified above GS-15 pursuant section 5108 of title 5, United States Code, or any equivalent position, as determined by the Administrator. > > > ##### “(F) Reporting > > > ###### “(i) In general > > Not later than July 1, 2023, and annually thereafter, the Administrator shall submit to Congress a list of the small business concerns that did not meet— > > > ###### “(I) > > an applicable minimum performance standard established under paragraph (1)(A)(ii) or (2)(A)(ii); or > > > ###### “(II) > > an applicable increased minimum performance standard. > > > ###### “(ii) Waivers > > Each list submitted under clause
(i)shall identify each small business concern that received an SBIR or STTR award pursuant to a waiver granted under subparagraph
(E)by the Administrator during the period covered by the list. > > > ###### “(iii) Confidentiality > > Each list submitted under clause
(i)shall be confidential and exempt from disclosure under section 552(b)(3) of title 5, United States Code (commonly known as the ‘Freedom of Information Act’). > > > ##### “(G) Implementation > > Not later than April 1, 2023, the Administration shall implement the increased minimum performance standards under this paragraph. > > > ##### “(H) Rules of construction > > Nothing in this paragraph shall be construed— > > > ###### “(i) > > to prohibit a small business concern from participating in a Phase I (or Phase II if under the authority of subsection (cc)) of an SBIR or STTR program under paragraph (1)(B) or (2)(B) solely on the basis of a determination by the head of a Federal agency that the small business concern is not meeting an increased minimum performance standard; or > > > ###### “(ii) > > to prevent the head of a Federal agency from implementing more restrictive limitations on the number of federally funded Phase I awards and direct to Phase II awards under subsection
(cc)that may be awarded to a small business concern than the limitations described in subparagraphs (A)(ii) and (B)(ii). > > > ##### “(I) Termination > > This paragraph shall terminate on September 30, 2025.” > ; #####
(C)in paragraph (5), as so redesignated, by striking “paragraph (3)(A)” and inserting “paragraph (4)(A)”; and #####
(D)by adding at the end the following: > > #### “(6) Inspector general audit > > Not later than 1 year after the date on which the Administrator implements the increased minimum performance standards under paragraph (3), and periodically thereafter, the Inspector General of the Administration shall— > > > ##### “(A) > > conduct an audit on whether the small business concerns subject to increased minimum performance standards under paragraph (3)(B) verified— > > > ###### “(i) > > the sales by and investments in the small business concerns— > > > ###### “(I) > > during the 5 fiscal years immediately preceding the fiscal year in which the small business concern used such sales and investments to meet an applicable increased performance standard; and > > > ###### “(II) > > as a direct result of a Phase I award or Phase II award made under subsection
(cc)during the covered period (as defined in paragraph (3)(B)(iv)), consistent with the definition of Phase III, as applicable; > > > ###### “(ii) > > any third-party revenue the small business concerns list as investments or incomes to meet the increased minimum performance standard— > > > ###### “(I) > > is a direct result of a Phase I award or Phase II award made under subsection
(cc)during the covered period (as defined in paragraph (3)(B)(iv)); and > > > ###### “(II) > > consistent with the requirements of the Administrator as in effect on September 30, 2022, or any successor requirements; and > > > ###### “(iii) > > any dollar amounts such small business concerns list as investments or income to meet such increased minimum performance standard the providence of which is unclear and that is not directly attributable to a Phase I award or Phase II award made under subsection
(cc)during the covered period (as defined in paragraph (3)(B)(iv)), consistent with the definition of Phase III, as applicable; > > > ##### “(B) > > assess the self-certification requirements for the minimum performance standards established under paragraph (2)(A)(ii) and the increased minimum performance standards under paragraph (3)(B); and > > > ##### “(C) > > submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business and the Committee on Science, Space, and Technology of the House of Representatives a report on the audit conducted under subparagraph
(A)and the assessment conducted under subparagraph (B). > > > #### “(7) Increased minimum performance standard defined > > In this subsection, the term ‘increased minimum performance standard’ means a minimum performance standard established under paragraph (1)(A)(ii) or (2)(A)(ii) as modified under subparagraph
(A)or (B), respectively, of paragraph
(3)with respect to a small business concern.” > .
Connectionstraces to 1
Traces to 1 document
U.S. Code
Citation graph
cites case law
Sec. 8
INCREASED MINIMUM PERFORMANCE STANDARDS FOR EXPERIENCED FIRMS
Cites 1Cited by 0 across 0 sources