Senators ask Energy Department to end delay of research and development grants to small businesses

Published on May 24, 2017 by Daily Energy Insider Reports

Sens. Maria Cantwell (D-WA) and Jeanne Shaheen (D-NH) recently sent a letter to Department of Energy (DOE) and Small Business Administration (SBA) leaders, asking them to end a delay of federal research and development (R&D) grants to small businesses.

Through the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs, DOE awards over $270 million each year to small businesses.

The DOE began alerting small businesses that funding would be delayed until Secretary of Energy Rick Perry has an opportunity to be briefed on research projects that will take place under his administration.

“We have consistently heard from small businesses that delays and missed deadlines by federal agencies have an outsize impact on small businesses,” Cantwell and Shaheen said in the letter. “Unlike large firms and major research institutions, small businesses simply do not have the resources to tide them over when the government fails to meet its own deadlines.”

The 2011 law reauthorizing the grant programs required that agencies review applications for SBIR/STTR awards within 90 days, with authority for SBA to grant an extension for up to an additional 90 days.

Cantwell and Shaheen also informed Perry and Linda McMahon, administer of the U.S. Small Business Administration, of concerns over changes in the allocations of award funding.

“In addition, we have heard concerns from small businesses about the possible reallocation of the Fiscal Year 2017 SBIR and STTR funds towards different awards,” the senators wrote. “Congress has already provided appropriations for these activities, and we request that DOE provide clarification on this matter.”