COOPERATIVE STATE RESEARCH, EDUCATION AND EXTENSION SERVICE, DEPARTMENT OF AGRICULTURE

AUTHORIZATION:

Small Business Innovation Development Act of 1982, Public Law 97-219, as amended, Public Law 99-443; Public Law 102-564.

OBJECTIVES:

To stimulate technological innovation in the private sector, strengthen the role of small businesses in meeting Federal research and development needs, increase private sector commercialization of innovations derived from USDA-supported research and development efforts, and foster and encourage participation, by women-owned and socially disadvantaged small business firms in technological innovation.

TYPES OF ASSISTANCE:

Project Grants.

USES AND USE RESTRICTIONS:

The selected areas for research are forests and related resources; plant production and protection; animal production and protection; air, water, and soils; food science and nutrition; rural and community development; aquaculture; industrial applications; and marketing and trade. The Small Business Innovation Research Program will be carried out in three separate phases: Phase I projects are supported to determine the scientific or technical feasibility of ideas submitted by proposes on the selected research areas; Phase II awards are made to firms with approaches that appear sufficiently promising as a result of Phase I studies. Only those small businesses previously receiving Phase I awards in either of the two preceding fiscal years are eligible to submit Phase II proposals. Phase II projects are limited to $250,000 with the average award being about $200,000, for a period normally not to exceed 24 months; Phase III is to be conducted by the small business concern (including joint ventures and limited partnerships), and will be non-SBIR funded through the exercising of a follow-on funding commitment. The purpose of Phase III is to stimulate technological innovation and the national return on investment from research through the pursuit of commercialization objectives resulting from the USDA-supported work carried out in Phases I and II.

ELIGIBILITY REQUIREMENTS:

Applicant Eligibility:   Small businesses which: (a) Are organized for profit, independently owned or operated, are not dominant in the proposed research field, have their principal places of business located in the United States, have a number of employees not exceeding 500 in all affiliated firms owned or controlled by a single parent concern, and meet the other regulatory requirements outlined in 13 CFR Part 121, as amended; (b) are at least 51 percent owned, or in the case of a publicly owned business, at least 51 percent of its voting stock is owned, by U.S. citizens or lawfully admitted permanent resident aliens; (c) are the primary source of employment for the principal investigator of the proposed effort at the time of award and during the actual conduct of proposed research; (d) are the primary performer of the proposed research effort. Because this program is intended to increase the use of small business firms in Federal research or research and development, the term "primary performer" means that a minimum of two-thirds of the research or analytical work, as determined by budget expenditures, must be performed by the proposing organization under Phase I grants. For Phase II awards, a minimum of one-half of the research or analytical effort must be conducted by the proposing firm.

Beneficiary Eligibility:   Small businesses.

Credentials/Documentation:   Each prospective grantee organization must furnish the organizational information and assurances specified in the SBIR program solicitation. The principles to be used in determining allowable costs of activities under this program are contained in the Federal Acquisition Regulations, 48 CFR Part 31. This program is excluded from coverage under OMB Circular No. A-87.

APPLICATION AND AWARD PROCESS:

Preapplication Coordination:   Publication by the Small Business Administration listing all agencies participating in the program, their Small Business Innovation Research coordinators, proposed dates for their solicitations, and proposed topic areas. This program is excluded from coverage under OMB Circular No. A-102 and E.O. 12372.

Application Procedure:   Formal proposal to SBIR Program, CSREES, USDA, as outlined in the SBIR program solicitation. Application procedures are contained in the SBIR program solicitation. This program is excluded from coverage under OMB Circular No. A-110.

Award Procedure:   The SBIR Program staff reviews and evaluates all proposals with the assistance and advice of a peer panel of qualified scientists and other appropriate persons who are specialists in the field covered by the proposal.

Deadlines:   Deadlines are announced in the Federal Register and SBIR Program Solicitation for each fiscal year. The deadline for submission of fiscal year 2000 proposals was September 2, 1999. The FY 2001 program solicitation is expected to open June 1, 2000, with a deadline date of approximately September 1, 2000.

Range of Approval/Disapproval Time:   Six months from application receipt to notification of approval/disapproval.

Appeals:   Phase I applications may be revised and resubmitted during a later funding cycle, provided the subject matter of the proposal is not changed, and the topic area under which the proposal was originally submitted is still listed in the solicitation. Phase I grantees may apply for a Phase II grant only once for each project funded.

Renewals:   None.

ASSISTANCE CONSIDERATIONS:

Formula and Matching Requirements:   There are no matching requirements.

Length and Time Phasing of Assistance:   Phase I grants are normally limited to 6 months. Phase II grants are normally limited to 2 years.

POST ASSISTANCE REQUIREMENTS:

Reports:   Final performance and final financial status reports for Phase I grants must be submitted 30 and 90 days, respectively, after the expiration date of the grant. Final performance and final financial status reports for Phase II grants must be submitted 90 days after the expiration date of the grant.

Audits:   Periodic audits should be made as part of the recipient's systems of financial management and internal control to meet the terms and conditions of grants and other agreements. This program is also subject to audit by the cognizant Federal audit agency and the USDA Office of Inspector General. Federal audits will be made in accordance with the policies of the Federal Acquisition Regulations, 48 CFR Part 42, to ensure that funds have been applied efficiently, economically, and effectively.

Records:   Grantees are expected to maintain separate records for each grant to ensure that funds are used for the purpose for which the grant was made. Records are subject to inspection during the life of the grant and for at least 3 years after the date of submission of the final financial status report.

FINANCIAL INFORMATION:

Account Identification:   12-1500-0-1-352.

Obligations:   (Grants) FY 99 $11,094,833; FY 00 est $11,412,971; and FY 01 est $11,026,331.

Range and Average of Financial Assistance:   $46,000 to $250,000; $94,990.

PROGAM ACCOMPLISHMENTS:

This program was designed to strengthen the role of small, innovative firms in Federally-funded research and development. The nine categories of research supported under this program are: Forests and Related Resources; Plant Production and Protection; Animal Production and Protection; Air, Water, and Soils; Food Science and Nutrition; Rural and Community Development; Aquaculture; Industrial Applications; and Marketing and Trade.

REGULATIONS, GUIDELINES, AND LITERATURE:

7 CFR Part 3403, Small Business Innovation Research Grants Program, Administrative Provisions, 62 FR26168, May 12, 1997; 7 CFR Part 3015, USDA Uniform Federal Assistance Regulations; 7 CFR Part 3017, Government wide Debarment and Suspension (Nonprocurement) and Government wide Requirements for Drug- Free Workplace (Grants); 7 CFR Part 3018, New Restrictions on Lobbying.

INFORMATION CONTACTS:

Regional or Local Office:   None.

Headquarters Office:   SBIR Director, Cooperative State Research, Education, and Extension Service, Department of Agriculture, Ag Box 2243, 14th and Independence Ave., SW., Washington, DC 20250-2243. Telephone: (202) 401-4002.

Web Site Address:   http://www.reeusda.gov.

RELATED PROGRAMS:

None.

EXAMPLES OF FUNDED PROJECTS:

Needleless Jet Injection System for Use in Cattle Injection Programs; A Comprehensive Model of Biomass Pyrolysis; Marketing Resources for Rural Enterprise Development; Practical Detection of Food-Borne Pathogens Utilizing Biochemically Stable Bacteriophage.

CRITERIA FOR SELECTING PROPOSALS: