[Congressional Record (Bound Edition), Volume 145 (1999), Part 16] [House] [Pages 22803-22807] [From the U.S. Government Publishing Office, www.gpo.gov][[Page 22803]] SMALL BUSINESS INNOVATION RESEARCH PROGRAM REAUTHORIZATION ACT OF 1999 Mrs. KELLY. Madam Speaker, I move to suspend the rules and pass the bill (H.R. 2392) to amend the Small Business Act to extend the authorization for the Small Business Innovation Research Program, and for other purposes, as amended. The Clerk read as follows: H.R. 2392 Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Small Business Innovation Research Program Reauthorization Act of 1999''. SEC. 2. FINDINGS. Congress finds that-- (1) the small business innovation research program established under the Small Business Innovation Development Act of 1982 and reauthorized by the Small Business Research and Development Enhancement Act of 1992 (in this section referred to as the ``SBIR program'') is highly successful in involving small businesses in federally funded research and development; (2) the SBIR program made the cost-effective and unique research and development capabilities possessed by the small businesses of this Nation available to Federal agencies and departments; (3) the innovative goods and services developed by small businesses that participated in the SBIR program have produced innovations of critical importance in a wide variety of high-technology fields, including biology, medicine, education, and defense; (4) the SBIR program is a catalyst in the promotion of research and development, the commercialization of innovative technology, the development of new products and services, and the continued excellence of this Nation's high-technology industries; and (5) the continuation of the SBIR program will provide expanded opportunities for one of the Nation's vital resources, its small businesses, will foster invention, research, and technology, will create jobs, and will increase this Nation's competitiveness in international markets. SEC. 3. EXTENSION OF SBIR PROGRAM. Section 9(m) of the Small Business Act (15 U.S.C. 638(m)) is amended to read as follows: ``(m) Termination.--The authorization to carry out the Small Business Innovation Research Program established under this section shall terminate on September 30, 2007.''. SEC. 4. ANNUAL REPORT. Section 9(b)(7) of the Small Business Act (15 U.S.C. 638(b)(7)) is amended by striking ``and the Committee on Small Business of the House of Representatives'' and inserting ``, and to the Committee on Science and the Committee on Small Business of the House of Representatives,''. SEC. 5. THIRD PHASE ASSISTANCE. Section 9(e)(4)(C)(i) of the Small Business Act (15 U.S.C. 638(e)(4)(C)(i)) is amended by striking ``; and'' and inserting ``; or''. SEC. 6. RIGHTS TO DATA. Section 9(j) of the Small Business Act (15 U.S.C. 638(j)) is amended by adding at the end the following: ``(3) Additional modifications.--Not later than 90 days after the enactment of the Small Business Innovation Research Program Reauthorization Act of 1999, the Administrator shall modify the policy directives issued pursuant to this subsection to clarify that the rights provided for under subparagraph (2)(A) of this subsection apply to all Federal funding awards falling under the definitions of `first phase', `second phase', or `third phase', as specified in subsection (e)(4).''. SEC. 7. REPORT ON PROGRAMS FOR ANNUAL PERFORMANCE PLAN. Section 9(g) of the Small Business Act (15 U.S.C. 638(g)) is amended-- (1) in paragraph (7), by striking ``and'' at the end; (2) in paragraph (8), by striking the period at the end and inserting ``; and''; and (3) by adding at the end the following: ``(9) include, as part of its annual performance plan as required by subsections (a) and (b) of section 1115 of title 31, United States Code, a section on its SBIR program, and shall submit such section to the Committee on Small Business of the Senate, and the Committee on Science and the Committee on Small Business of the House of Representatives.''. The SPEAKER pro tempore. Pursuant to the rule, the gentlewoman from New York (Mrs. Kelly) and the gentlewoman from California (Ms. Millender-McDonald) each will control 20 minutes. The Chair recognizes the gentlewoman from New York (Mrs. Kelly). Mrs. KELLY. Madam Speaker, I yield myself such time as I may consume. Madam Speaker, I rise today to ask my colleagues to support H.R. 2392, the Small Business Innovation and Research Program Reauthorization Act of 1999. The Small Business Innovation and Research Program was established in 1982 as a vehicle for helping give small businesses the most dynamic and innovative segment of our economy access to millions of dollars of Federal research and development funds. The SBIR program operates at every Federal agency with an extramural research budget of more than $100 million and offers funding to small businesses in three phases: phase one, the initial research and development; phase two, continuing research for the most promising projects; and, phase three, the final assistance for moving technologies to the Federal procurement marketplace and to the private sector. The result has been an unqualified success. Small businesses given access to these Federal dollars have created exciting new technologies, created new jobs along with them, and helped expand their business and our economy. Let me give my colleagues just one example. PCA, Incorporated, a small company in New York, has developed, through the SBIR program, new quality-assurance software that is being used in almost every system at the Department of Defense. This innovative software allows our armed forces to debug the software and check the metrics in every software system they have from the on-board systems in an F-16 fighter to the navigation systems in all of the Navy's attack submarines, new technology that will enable the Navy to protect our country. That is the SBIR program, harnessing the entrepreneurial spirit and technological skill of small business and putting it to work in defense, medicine, and commerce. Let me briefly describe the provisions of H.R. 2392. It has 10 provisions, not including the short title. Section 2 of H.R. 2392 expresses the sense of Congress regarding the overwhelming success of the SBIR program. Section 3 will authorize the SBIR program for 7 years. Section 4 includes the Committee on Science in certain reporting requirements regarding the SBIR program. Section 5 clarifies the funding requirements for third-phase participation in the SBIR program. Section 6 requires the SBA to clarify, through policy directives, the rights and technical data that are granted to SBIR awardees. Section 7 requires that agencies participating in SBIR include the program in their annual performance plans. Sections 8 through 11 are new provisions, added with the bipartisan cooperation and assistance of our colleagues at the Committee on Science. Section 8 provides for the creation of a database to compile information on the project's funding through the SBIR program. It also contains technical corrections to improve the data collection currently required by the program. Section 9 authorizes the SBA to issue new policy directives to SBIR program managers at the various Federal agencies. These new directives would allow them to increase under certain situations the funding levels provided to small businesses in phase 2 of SBIR. Section 10 will require SBIR to phase 2 award winners to file a commercial plan detailing their marketing strategies and plans for the new technologies they are developing. Finally, section 11 of H.R. 2392 will authorize the National Research Council, in consultation with the SBA Office of Advocacy and other interested parties, to conduct a comprehensive study of the SBIR program. Madam Speaker, these are all simple, common sense improvements to a successful program with strong congressional support. This support is exemplified by H.R. 2392's 7-year reauthorization, which is a serious commitment to this program. The Committee on Small Business believes that this extended authorization will allow SBIR program managers to plan for future years' activities without concern over the status of the program. In closing, let me urge all of my colleagues to support H.R. 2392 and the SBIR program. This is an outstanding program which enables small businesses to contribute to our economy, health, and national defense. It deserves our continued support and this reauthorization. Madam Speaker, I reserve the balance of my time. [[Page 22804]] Ms. MILLENDER-McDONALD. Madam Speaker, I yield myself such time as I may consume. Madam Speaker, today we will be considering H.R. 2392, the Small Business Innovation Research Act of 1999, SBIR. One of the most important jobs for us serving on the Committee on Small Business is to provide small businesses with every opportunity to succeed. This bipartisan piece of legislation does just that. It levels the playing field for small businesses engaging in research and development, providing them with the tools they need to succeed in today's technologically intensive market. America is currently experiencing one of the longest periods of economic growth in its history. One of the biggest reasons for this unparalleled economic growth is the innovation and technological advances made by our small businesses. Our small entrepreneurs have always been at the forefront of technological research and innovation. There are many reasons for this, ranging from lower costs, greater flexibility, and closer contact with customers to a greater willingness to engage in high-risk research and development products. Despite their remarkable track record, however, small firms often lack the capital or the access to the Federal research and development budgets they need to transform a great idea into a commercial success. To strengthen and expand the competitiveness of U.S. small business technology in the Federal marketplace, a Democratic Congress established the Small Business Innovation Research Program in 1982. The goal of the SBIR program is to strengthen the role of small innovative firms in federally funded research and development. Under this program, Federal agencies with extramural research budgets in excess of $100 million per year set aside a small part of their R&D budget, currently 2.5 percent, for innovative small firms. SBIR provides an information pipeline to the high technology small business community, and gives small businesses an unrivaled opportunity to produce cutting-edge research and development and take their findings to the marketplace. Comparatively, this is a small amount. Since its inception, the SBIR program has a proven record of bringing high-quality products and services to the market. One of the most important areas SBIR has helped is in the war against cancer by providing breakthroughs in the areas of medicine, pharmaceuticals, and the environment. For example, through R&D funds from the National Cancer Institute facilitated by the SBIR program, GMA Industries has engaged in several projects that have led to technological innovations resulting in lower costs that are significantly under industry norms for document imaging and capture and database development. Additionally, thanks to this program, jobs have been created, the economy has grown and America has remained at the forefront of innovation. INC Magazine has even called the SBIR program the most important piece of small business legislation yet enacted in our lifetime. Small businesses may not have the huge budgets that some larger firms have, but what they lack in size they make up in ideas. What this program does is level the playing field. This program gives most of those with the ideas, but lacking resources, an opportunity to develop their innovations. {time} 1500 It makes sure that those ideas are looked at and funded. SBIR and its participants keep this Nation ahead of the curve and ahead of the world. As a testament to its success, SBIR has been modeled and copied by several countries around the world. Representatives from the governments throughout the world come here to study this program so they can implement it back to their own countries. The legislation we have before us today will reauthorize SBIR for 7 years and make some minor technical changes. Even though authorization does not lapse until October of 2000, it is critical that we act, Madam Speaker, now so that participating agencies are able to properly develop guidelines and assess their research needs to ensure that America's cutting edge firms continue to have opportunities available to them. The other changes made by this legislation will allow small firms to continue research on marketable ideas developed under their grant, providing them with the continuity that firms working on research and development need. The SBIR program has proven to be an essential element for our Nation's growing technological sectors. Both sides have worked closely on this issue because both sides agree that this is an essential program for the success of small firms. I urge by colleagues to cast a ``yes'' vote on this bipartisan piece of legislation that will ensure our small firms having a level playing field in the high technology market. I would like to thank the gentleman from Missouri (Mr. Talent), chairman, and the gentlewoman from New York (Ms. Velazquez), ranking member, for their tenacity in bringing this bipartisan bill to us. Madam Speaker, I reserve the balance of my time. Mrs. KELLY. Madam Speaker, I have no speakers at this time, and I reserve the balance of my time. Ms. MILLENDER-McDONALD. Madam Speaker, I yield 3 minutes to the gentleman from New York (Mr. LaFalce), the former ranking member on the Committee on Small Business. Mr. LaFALCE. Madam Speaker, I am especially pleased to rise today in support of H.R. 2392, the bill reauthorizing the Small Business Innovation Research Program. This bill is particularly meaningful for me for, about 17 years ago, I authored and managed floor consideration of the bill that created the SBIR program. We were on the House floor in a hotly contested issue at that time for 3 days. But with the help of Members from both sides of the aisle, the small business community won a major victory. The purpose of the SBIR program was and is to strengthen the role of the small innovative firms in federally funded research and development and to utilize Federal research and development as a base for technological innovation to meet agency needs and to contribute to the growth and strength of our Nation's economy. We can look back with great pride in what we accomplished over the past 17 years because the SBIR program, during that period, has established itself as perhaps the most effective technology program in the Federal Government. Study after study by the GAO and SBA show that this program has generated a remarkable amount of innovation by small companies. According to an April 1998 GAO study, nearly 50 percent of SBIR research is commercialized or receives additional research and development funding. That is a very competitive success rate. It is also a great example of Federal agencies working together with small businesses to develop technologies to solve specific problems and fill procurement needs in a cost effective way. But the significance of the program transcends the small business community and the Federal R&D effort. It goes to the much larger issue of long-term economic growth in our country. In the effort to continue long-term growth, nothing is more important than new technology. According to growth accounting studies, technological advances account for nearly 50 percent of the growth in GNP per person. In short, the SBIR program creates jobs, increases our capacity for technological innovation, and boosts our international competitiveness. It certainly should be reauthorized. Mrs. KELLY. Madam Speaker, I yield 5 minutes to the gentlewoman from Maryland (Mrs. Morella). Mrs. MORELLA. Madam Speaker, I thank the gentlewoman from New York for yielding me the time, and I thank her for her work on this legislation and her work on the Committee on Small Business. I also thank the ranking member of the committee. [[Page 22805]] Madam Speaker, today I rise in support of H.R. 2392. This is a bill to reauthorize the Small Business Innovation Research Program called SBIR. The SBIR program expires on September 30 of next year. Now, within H.R. 2392, the Small Business Technology Transfer will be reauthorized at its current set-aside level through fiscal year 2006. My Subcommittee on Technology of the Committee on Science held a hearing on SBIR this past summer. I am pleased that provisions worked on by the committee have been incorporated into H.R. 2392. So on behalf of the Committee on Science, the gentleman from Wisconsin (Chairman Sensenbrenner), the gentleman from Texas (Mr. Hall), the ranking member, as well as the gentleman from Michigan (Mr. Barcia), ranking member of the Subcommittee on Technology, and myself, I want to thank the gentleman from Missouri (Mr. Talent), chairman of the Committee on Small Business, and the gentlewoman from New York (Ms. Velazquez), the ranking member, for the effective and bipartisan work that was done by both the Committee on Science and the Committee on Small Businesses. H.R. 2392 requires any small business that applies for a Phase II award submit a commercialization plan with their application. The plan is not intended to be submitted separate from the proposal, nor is it to be as elaborate as a formal business plan. It is merely to ensure that the small business has thought through the commercialization process, whether it ends up on the marketplace shelves or is procured by the funding agency. It should be noted that any work done under SBIR for agency mission purposes would be considered commercialization and would require a commercialization plan under this provision. H.R. 2392 also includes a comprehensive study and review of the current operation and functions of the SBIR program. Aside from GAO reports on the SBIR program, very little outside academic review has been published about the program. SBIR is a very important tool of innovation within the small business community, and its impact in developing leading-edge technology is well documented through success stories shared with both committees. However, the study required in this legislation is an attempt to investigate SBIR's impact by looking at how it stimulated the technological innovation of small businesses and has assisted small businesses in meeting the research and development needs of the participating agencies. These are primary goals of the SBIR program, and by conducting a comprehensive study, Congress will be better able to understand how the program is advancing them. Also included in the legislation is a requirement that the Small Business Administration keep an up-to-date database on SBIR awards. The database is intended solely for purposes of evaluation. It asks that the basic information needed to evaluate the SBIR program be kept in an electronic format. There has been some concern that keeping commercialization statistics will not reflect the program's true record of success because it will unfairly include those projects that are not geared toward commercialization but still within the mission of SBIR such as research development. This is remedied within the database itself. For instance, the government database requires that each second phase award contain information on the revenue generated by that product or service unless it is a research or research development service. Such a distinction can be made at the time the information is input into the system, thus avoiding unfair evaluation of those awards. Madam Speaker, H.R. 2392 is a bill that continues the success of SBIR and provides for some important reforms to improve this worthwhile program. I urge my colleagues to support its passage. Ms. MILLENDER-McDONALD. Madam Speaker, I yield 3 minutes to the gentlewoman from the Virgin Islands (Mrs. Christensen). Mrs. CHRISTENSEN. Madam Speaker, I rise today in support of H.R. 2392, the Small Business Innovative Research Program Reauthorization. I want to take this opportunity to commend my colleagues, the gentlewoman from California (Ms. Millender-McDonald), the gentlewoman from New York (Mrs. Kelly), the gentlewoman from New York (Ms. Velazquez), our ranking member, and the gentleman from Missouri (Mr. Talent) for their hard work and leadership on our committee. The SBIR research program is one of the most effective and successful technology programs for entrepreneurs. Today's vote will take us one step closer to extending the program for another 7 years. Without research and development budgets, small businesses rely on the SBIR program to help them fund important innovative research and development. As a member of the Committee on Small Business and ranking member on the Subcommittee on Rural Enterprises, Business Opportunities and Special Small Business Problems, it is my priority to ensure that small businesses continue to have every opportunity to succeed and that our government is a partner in that endeavor. An important part of this effort is the continued funding of SBIR. Agency programs report that SBIR awards are much more likely to result in commercial products than other government-funded programs. In addition, approximately 12 percent of the SBIR awards made under the program are given to minority and disadvantaged businesses. This translates into over $850 million since the program began, providing real opportunities for many businesses that might not otherwise have this funding. As we have seen with companies such as Microsoft and others, small businesses provide the innovation that makes this country the leader in technological advances. SBIR has helped companies create innovations in medical and pharmaceutical research to fight cancer and other diseases. These advances have not only enhanced business performance domestically and helped companies increase their export sales, but they have helped countless individuals and their families to live healthier, longer, and better lives. SBIR is a win-win situation. I am pleased to support H.R. 2392 through which Congress would do more to ensure that valuable research dollars continue to be available to small businesses, and I ask for the support of my colleagues. Ms. MILLENDER-McDONALD. Madam Speaker, I yield myself the balance of my time. Madam Speaker, a little while ago in a major address, Alan Greenspan credited our Nation's productivity advances as a major contributor of the Nation's phenomenal economic performance. Booming economic growth without inflation is impossible to sustain without productivity gains. At the center of productivity is new superior technology. Technological advances accounts for nearly 50 percent of growth in GNP per person employed. It is small businesses that deliver new innovations more effectively and efficiently. The National Science Foundation found, for example, that the cost of R&D is significantly lower in small firms than in large ones. Another series of studies found that small firms are more innovative per dollar or per employee than other R&D sources. Simply put, Madam Speaker, the taxpayer gets more bang for his or her bucks when small dynamic companies do the job. This should not surprise us, Madam Speaker. The SBIR program is one of the most competitive programs there is for research. The Federal managers for the program have told us that the research done is at least as good as and in some cases superior to the research they would get from traditional sources and that SBIR awards are much more likely to result in commercial products than other government-funded R&D. [[Page 22806]] {time} 1515 During our hearings we discovered that the private sector awards of R&D to small businesses in the marketplace has indeed been growing at a rapid pace. Finally, Madam Speaker, the Small Business Development Innovation Research Program, created 18 years ago, has remained one of the most effective technology programs in the Federal Government. Repeatedly studied by GAO, the SBA, and individual Federal agencies, the program has shown strong performance and has given remarkable impetus to the technological innovation that feeds growth. Its purpose remains meeting the Federal Government's research and development needs, and no one can question that it does just that. I do urge my colleagues to vote in favor of this important bipartisan piece of legislation that allows our Nation's most innovative small firms to have a level playing field in this highly competitive market. It is to all America's benefit to see our small businesses succeed, because they are a driving force in our economy. Madam Speaker, I have no further requests for time, and I yield back the balance of my time. Mrs. KELLY. Madam Speaker, I yield myself such time as I may consume. In closing, Madam Speaker, I would like to thank the chairman of the Committee on Small Business, the gentleman from Missouri (Mr. Talent). I would also like to thank the committee's ranking member, the gentlewoman from New York (Ms. Velazquez). And I would also like to thank the gentlewoman from California, the chairman, and ranking members of the Committee on Science and the committee staffs of both committees who have worked on this piece of legislation. Mr. UDALL of Colorado. Madam Speaker, I rise in support of H.R. 2392, the Small Business Innovation Research Program Authorization of 1999 and urge its adoption. The SBIR program was established by the Small Business Innovation Development Act in 1982, based on a successful pilot program at the National Science Foundation. Today's vote takes us one step closer to extending this valuable program for another 7 years. Madam Speaker, Colorado is home to many cutting-edge small businesses. As creative as these companies are, they often struggle to come up with the funds necessary to refine their ideas, turn them into products, and to take those products to the commercial marketplace. Along the Front Range of Colorado we have experienced tremendous growth in high-tech businesses during the last decade. I feel that the tremendous high-tech growth we have enjoyed can be directly traced to the hundreds of SBIR recipients working in our region. The Small Business Innovation Research Program has filled a real need for these companies over the years. Although the main purpose of the program remains meeting the federal government's research and development needs, small businesses have turned SBIR-inspired research into commercial products that have improved our economy and scientific advances that have helped to improve the health of people everywhere. We have made some improvements in the bill as introduced which are supported by the National Venture Capital Association. Venture capitalists have told us that they look at the quality of the management team as much or more than the quality of the product to be commercialized when funding a start-up company. They feel there is much more to commercial success than a great idea. This is why H.R. 2392 asks each Phase II applicant to submit a commercialization plan to show that in addition to thinking through what it will take to achieve technological success, each Phase II awardee is planning for commercial success as well. If the company plans to license a successful technology, the plan will need to describe how it plans to locate the licensee and get the technology to the point where it meets the licensee's needs. If the company plans to do its own manufacturing, the plan should describe the steps the company will take to acquire manufacturing expertise. These plans are not meant to be long, exhaustive, or burdensome to the companies. Rather, they are just meant to show that commercialization is being taken seriously and that there is a good chance the product developed under SBIR will penetrate intended markets. Of course, if the problem being addressed is unique to the government, the company's commercialization plan should be geared to penetrating the federal procurement system or otherwise meeting the needs of the government customer. Madam Speaker, the SBIR program simply seeks to level the playing field for small businesses. Small businesses might not have the colossal R&D departments that some larger businesses have, but they do have the colossal ideas. SBIR makes sure those ideas are looked at and funded. I urge my colleagues to vote ``yes'' on extending this important program. Ms. JACKSON-LEE of Texas. Madam Speaker, I rise to strongly support this measure. As Calvin Coolidge once wrote, ``The chief business of the American people is business.'' I wholeheartedly agree. But we must acknowledge that all sectors of our society must have equal access to the business world, not just big businesses. To achieve such a goal, it is vitally important that we provide opportunities for small, minority- owned, and women-owned businesses. This bill reauthorizes the Small Business Innovation Research Program, SBIR, a program that assists small businesses in obtaining federal research and development funding. This program also was formed to bolster the involvement of minority and disadvantaged persons in technological innovation and to help small businesses meet federal research and development needs. I have always been an advocate of small business opportunities for minority and disadvantaged persons in technological innovation. In an effort to provide even greater opportunities, I sponsored an amendment that passed in the House that incorporated Historically Black Colleges and Universities and Hispanic Serving Institutions in the language of the FAA Authorization Act of 1997. This amendment targeted research at institutions that involved undergraduates in their research on subjects of relevance to the FAA. Almost four million Texans work in businesses with less than 500 employees, generating a total payroll of about $100 billion a year. This sector of business is growing. From 1992 to 1996, small businesses have added 162,201 new jobs. In 1998, Texas businesses with less than 100 employees employed 42.4 percent of the Texas, non-farm workforce, up from 40.6 percent in 1996. Small and medium businesses account for more than 67 percent of the Texas workforce. Minority-owned businesses are another fast growing segment of the business world. In 1997, our nation's more than 3.2 million minority- owned businesses generated $495 billion in revenues and employed nearly 4 million workers. From 1987 to 1997, the number of minority-owned firms increased 168 percent while their revenues and employees grew nearly twice as fast. Sadly, minority-owned businesses traditionally have not received a fair share of contracting dollars. In 1996, small disadvantaged businesses had the ability to capture 40.2 percent of the contracting dollars but were actually awarded only 26.4 percent. We must provide more opportunities for these minority-owned businesses. Women-owned businesses are equally important. As of 1999, there are 9.1 million women-owned businesses in the United States, employing over 27.5 million people and generating over $3.6 trillion in sales. Between 1987 and 1999, the number of women-owned firms increased by 103 percent nationwide, employment increased by 320 percent, and sales grew by 436 percent. As of 1999, women-owned firms accounted for 38 percent of all firms in the United States. We must assist and advocate small businesses, minority-owned businesses, and women-owned businesses. Not only do these businesses provide jobs for our citizens, but they also bolster our nation's strong economy. To ignore such an important sector of our nation would be a grave misjudgment on our part. For that reason, I urge my colleagues to support this bill. Mr. SENSENBRENNER. Madam Speaker, I rise today in support of H.R. 2392, a bill to reauthorize the Small Business Innovation Research, SBIR, program through Fiscal Year 2006. As Chairman of the House Science Committee, I am pleased that H.R. 2392 continues to recognize the important role that small businesses play in supporting federal research and development efforts. SBIR is designed to promote innovation in federal research by increasing the participation of small businesses across the country through a 2.5 percent set-aside of an agency's extramural R&D budget. Currently, 10 federal agencies participate in the SBIR program. In order to allow H.R. 2392 to move forward expeditiously, the Committee on Small Business agreed to incorporate into the legislation certain provisions authored by the Science Committee. The provisions are of importance to the science community and allow for greater accountability of the multibillion-dollar program. [[Page 22807]] For example, H.R. 2392 takes important steps to enhance Congressional oversight by requiring each agency that participates in the SBIR program to submit to Congress a performance plan consistent with the Government Performance and Results Act. Next, the Small Business Administration will be required to maintain an electronic database that will enable Congress, the Administration, and participating agencies to accurately evaluate the program's performance. In that same light of evaluation, H.R. 2392 calls for the National Research Council to conduct a comprehensive review of the SBIR program. This review follows up on the earlier report done by the NRC at the request of the Science Committee, on how best to evaluate federal research and development. The SBIR study should use that report as its guideline in developing its evaluation methods. Finally, the bill also allows for awards to exceed the Phase I and Phase II caps on time and duration, provided that the awarding agency justifies such action to the Administration. Preference is to be given to small businesses that have commitments for second and third phase funding from sources outside the SBIR program. This provision improves the program's administrative flexibility. I would like to thank the Ranking Member of the Science Committee, Mr. Hall, the Chairwoman of the Subcommittee on Technology, Mrs. Morella, and the Ranking Member Mr. Barcia for their work in bringing this bill to the floor. I would also like to thank the Chairman of the Small Business Committee, Mr. Talent, and Ranking Member Ms. Velazquez, for working with the Science Committee. Madam Speaker, H.R. 2392 is a good bill and I urge all members to support its swift enactment. Mrs. KELLY. Madam Speaker, I have no further requests for time, and I yield back the balance of my time. The SPEAKER pro tempore (Mrs. Biggert). The question is on the motion offered by the gentlewoman from New York (Mrs. Kelly) that the House suspend the rules and pass the bill, H.R. 2392, as amended. The question was taken; and (two-thirds having voted in favor thereof) the rules were suspended and the bill, as amended, was passed. A motion to reconsider was laid on the table. ____________________