PUBLIC LAW 102-564—OCT. 28, 1992

106 STAT. 4257

(b) SMALL BUSINESS TECHNOLOGY TRANSFER PILOT PROGRAM
DEFINED.—Section 9(e) of the Small Business Act (15 U.S.C. 638(e))
is amended—

(1) in paragraph (4), by striking "and" at the end;

(2) in paragraph (5), by striking the period at the end
and inserting a semicolon; and

(3) by adding at the end the following new paragraphs:
"(6) the term 'Small Business Technology Transfer Pro-
gram' or 'STTR' means a pilot program under which a portion
of a Federal agency's extramural research or research and
development effort is reserved for award to small business
concerns for cooperative research and development through
a uniform process having—

"(A) a first phase, to determine, to the extent possible,
the scientific, technical, and commercial merit and fea-
sibility of ideas submitted pursuant to STTR program solici-
tations;

"(B) a second phase, to further develop proposed ideas
to meet particular program needs, in which awards shall
be made based on the scientific, technical, and commercial
merit and feasibility of the idea, as evidenced by the first
phase and by other relevant information; and
"(C) where appropriate, a third phase—

"(i) in wnich commercial applications of STTR-
funded research or research and development are
funded by non-Federal sources of capital or, for prod-
ucts or services intended for use by the Federal Govern-
ment, by follow-on non-STTR Federal funding awards;
and

"(ii) for which awards from non-STTR Federal
funding sources are used for the continuation of
research or research and development that has been
competitively selected using peer review or scientific
review criteria;

"(7) the term 'cooperative research and development' means
research or research and development conducted jointly by
a small business concern and a research institution in which
not less than 40 percent of the work is performed by the
small business concern, and not less than 30 percent of the
work is performed by the research institution; and

"(8) the term 'research institution' means a nonprofit
institution, as defined in section 4(5) of the Stevenson-Wydler
Technology Innovation Act of 1980, and includes federally
funded research and development centers, as identified by the
National Scientific Foundation in accordance with the gov-
ernmentwide Federal Acquisition Regulation issued in accord-
ance with section 35(c)(l) of the Office of Federal Procurement
Policy Act (or any successor regulation thereto).".

(c) ESTABLISHMENT OF SMALL BUSINESS TECHNOLOGY TRANSFER
PROGRAMS BY CERTAIN FEDERAL AGENCIES.—Section 9 of the Small
Business Act (15 U.S.C. 638) is amended by adding at the end
the following new subsections:

"(n) REQUIRED EXPENDITURES FOR STTR BY FEDERAL AGEN-
CIES.—

"(1) REQUIRED EXPENDITURE AMOUNTS.—Each Federal
agency which has an extramural budget for research or research
and development in excess of $1,000,000,000 in fiscal year

Decorations,
medals,
awards.
Contracts.