WTAS: Ernst’s INNOVATE Act to Usher in Golden Age of American Innovation
WASHINGTON – As part of her mission to unleash small businesses and usher in a Golden Age of American innovation, U.S. Senate Committee on Small Business and Entrepreneurship Chair Joni Ernst (R-Iowa) recently unveiled her Investing in National Next-Generation Opportunities for Venture Acceleration and Technological Excellence (INNOVATE) Act to reauthorize and reform the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs that fuel innovation and supply cutting-edge technology to the defense industrial base.
During a hearing last week, Ernst highlighted how the bill will slash red tape to make way for new applicants, scale the best battle-ready technologies for the warfighter, end corporate welfare for SBIR mills, and strengthen protections against China’s attempts to steal taxpayer-funded intellectual property. Since its introduction, the INNOVATE Act has garnered widespread praise.
What They Are Saying about the INNOVATE Act:
Technology Association of Iowa
“Iowa’s tech-driven small businesses play an essential role in advancing innovation, creating high-quality jobs, and driving economic growth across the state,” said Brian Waller, President. “However, many of these companies face significant barriers when seeking federal funding for research and development. Current SBIR-STTR application processes are complex and time-consuming, limiting participation from new and emerging startups that lack the resources to navigate the challenging process. The INNOVATE Act directly addresses these challenges by introducing a streamlined Phase 1A application process, making it easier for first-time applicants to access funding and contribute to the nation’s technological advancement.”
Iowa Economic Development Authority
“I appreciate that the INNOVATE Act makes fundamental changes to encourage more participation, including appropriate standards for the size of participating companies and Phase II awards for entrepreneurs transitioning into the workforce from academia,” said Debi Durham, Director. “Also, the proposal to create Phase 1A awards with a shorter, streamlined application will attract thousands of new small business owners and entrepreneurs, both urban and rural, who may have been discouraged previously by bureaucratic red tape.”
America First Policy Institute
"The Chinese Communist Party (CCP) has a history of abusing government programs that provide startup capital and investment to American small businesses,” said Adam Savit, China Policy Initiative Director. “The Innovate Act reforms this process and would safeguard taxpayer-funded programs at the Small Business Administration (SBA) from exploitation by requiring vetting of international affiliations of business applicants and board members for ties to foreign regimes like the CCP. It adds a uniform evaluation baseline for all agencies participating in these programs. Also, it strengthens the ability to claw back investment money if the agency later discovers adversarial or malign influence. These commonsense reforms meet the rising threat of foreign state actors who only want to wreck our economy. These sensible reforms would protect programs like the SBA's SBIR, STTR, and others from CCP exploitation if passed."
New American Industrial Alliance
“The INNOVATE Act ensures that SBIR and STTR will remain critical components of America's innovation infrastructure,”said Julius Krein, Chair of the Board of Directors. “The reforms and improvements included in this bill will keep these programs focused on advancing the most promising technologies while addressing efficiency concerns and national security risks.”
Foundation for American Innovation
“The INNOVATE Act would improve government efficiency by reforming the SBIR and STTR programs to reduce waste and ensure that more American tax dollars are invested in the most promising technologies to advance American innovation,” said Dan Lips, Senior Fellow. “Importantly, the bill also tightens safeguards in these programs to address fraud and national security risks that government watchdogs have documented.”
Alliance for Commercial Technology in Government
“The Alliance for Commercial Technology in Government is delighted to provide our enthusiastic endorsement of, and support for the INNOVATE Act, released March 5th by the Senate Small Business Committee,” said Warren Katz, Chairman. “The Small Business Innovation Research (SBIR) program, known as America’s Seed Fund, is a highly effective research program with commercialization of government funded research by small business its main goal. It should be reauthorized with much-needed reforms included in INNOVATE.”
“SBIR and STTR programs are an essential part of enabling innovative high-tech companies to advance national security technologies. We strongly urge adoption of these crucial reforms to foster a more competitive and innovative ecosystem in the federal enterprise, protected from adversarial influence. These changes will ensure SBIR and STTR programs continue to drive innovation for the benefit of our nation’s defense and technological leadership.”
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