Did you know that if you are submitting an SBIR or STTR to the NIH in response to a PA (program announcement) that you can request your grant be reviewed by a specific study section?  In fact it's encouraged.  

ATDC (The Advanced Technology Development Center), Georgia
Tech’s VentureLab program and SBIR GA are all being merged under the umbrella
of ATDC.  ATDC is one of the
nation’s most successful incubators having assisted more than 120 entrepreneurs
raise more than a billion dollars in investments.  Membership in ATDC affords companies top-notch coaching,
consulting and networking in addition to a community of entrepreneurs from
which they could learn.  Most
member companies are “early-stage”. 
Georgia Tech’s VentureLab is more like a NICU assisting Georgia Tech faculty
with commercializing technology they developed in the laboratory.  VentureLab staff coach, feed and
breathe life into projects in the hope of creating a successful start-up. 

The NIH has announced it has once again contracted with Foresight Science and Technology to provide 50 SBIR Phase I awardees with Technology Niche Analyses (TNA™).  Only FY09 or FY10 SBIR awardees are eligible to apply.  Each company is only eligible for one assessment even if you have received multiple awards.  The earliest start date for Group A is July 27th.  

In an effort to make the peer review process more transparent the NIH has been phasing in new guidelines for grant review.  Of interest to the SBIR/STTR applicant the scale on which an application is scored has been changed.  

Instead of being scored 1 to 5 (exceptional to poor) and the average multiplied by 100, SBIR/STTR grants are now scored 1 to 9 (exceptional to poor) with the average multiplied by 10.  In addition, applications that were not discussed in study section will now receive their initial criterion score as part of their summary statement. This may give you some insight into why your application was not discussed.

But what do these new scores mean?  How can you know whether your application is likely to be funded?  Previously a score of 180 or below meant you had a pretty good chance of being funded.  If you extrapolate that to a 90 point system would a score of 32 or below translate into an awarded grant?

Only time will tell.

NASA just released their 2009 SBIR and STTR Solicitation.  Topics range from sensor or detector development to aviation safety.  Awards in the amount of $100,000 may be requested for a Phase I SBIR or STTR and up to $600,000 for a Phase II SBIR or STTR.  If you are applying for an STTR the Principle Investigator may employed by either the collaborating Research Institute or the applicant Small Business Concern.

The August 5th NIH SBIR/STTR deadline is rapidly approaching.  All applications are submitted electronically through www.grants.gov.  If you intend to submit an application for this receipt date you need to have begun the online registration process.  This is mandatory and the NIH will not make any exceptions.  What needs to be accomplished?

1. Register with grants.gov which requires
   • TaxID 
   • DUNS Number 
   • CCR Registration  
   • Bank routing number    …   and other numbers and IDs.    

2. Register with the NIH eRA Commons
   • This process is much simpler and detailed instructions have been provided by the NIH. 

Registration can take up to four weeks and the NIH requires you to begin your NIH eRA Commons registration at least 2 weeks prior to the submission deadline.  

Administrivia is never fun, but sometimes there is no way around it.  

As reported by the Wall Street Journal this afternoon the House Committee on Small Business unanimously passed a bill that would reauthorize the SBIR/STTR program until 2011. The bill is controversial as it allows venture backed companies to once again participate in the program.  The eligibility rules are written to allow firms owned and operated by venture operated companies to receive awards as long as the venture operated company does not employ more than 500 people or own more than 50% of the applicant organization.

Last week the Senate Committee for Small Business and Entrepreneurship also unanimously passed a bill reauthorizing the program until 2020 and allowing venture backed companies greater access to the SBIR/STTR program but to a lesser extent.  Importantly it limits the total amount of SBIR funds awarded to majority owned venture operated firms to 8%.  The NIH is the exception to this rule and allowed to use 18% of SBIR funds on awards to venture operated firms.  Both the Senate and House bills increase the award amount for Phase I and Phase II.

If both bills are passed by the House and Senate they will be sent to a conference committee and hopefully common ground will be found.

Congress is working hard on legislation to reauthorize the SBIR and STTR programs. However, with the program now set to expire on July 31,
2009, it seems that we are right where we were a year ago. The House Small Business Committee is working on several bills, all addressing a different aspect of the program and one that greatly expands Venture Capital (VC) access to the program. The Senate has started work on a bill that would update the program and increase VC eligibility but to a limited extent.

So the question is will the House pass a bill that expands VC access to the SBIR program and to what extent? The Biotechnology Industry Organization is still lobbying for such an expansion. And how will the House and Senate compromise? If they cannot agree on a compromise will another continuing resolution be instated? One opinion on the current process is posted at SBIR Gateway

Whatever your view, now is the time to express it.  You may contact any of your Congressional Representatives or Senator Johnny Isakson as he is a member of the Senate Committee
on Small Business and Entrepreneurship.