SBIR/STTR REAUTHORIZATION ACT OF 2011--Continued

Floor Speech

BREAK IN TRANSCRIPT

Mr. President, I rise this afternoon to speak in support of the incredibly important legislation that is on the Senate floor, the Small Business Innovation Research Program reauthorization, a bill, S. 493, which also reauthorizes the Small Business Technology Transfer Program.

I want to commend Senator Landrieu, the chair of the Small Business and Entrepreneurship Committee, and her ranking minority member, Senator Snowe of Maine, for their leadership in moving this to the Senate floor. Getting this considered is vital to making progress on this bipartisan bill.

This is the third in a series of bipartisan bills we have taken up. The first two--the FAA reauthorization, and the second, the patent reform bill--have passed, and it is my hope that all of us in this Chamber will seriously consider supporting S. 493.

The 30 million small businesses in America are incubators of creativity and job creation. They drive our innovation sector and make us more competitive globally. In addition to employing over half our private sector workforce, small businesses are the backbone of our American communities and can be a source of economic advancement for millions of Americans in every State.

The Small Business Innovation Research Program, or SBIR, sets aside a small part of the research and development budget from a number of Federal agencies to be used as grants for small businesses, and the Small Business Technology Transfer Program, or STTR, helps scientists and innovators at research institutions take their discoveries and commercialize them through small business startups.

Since their creation in 1982 and 1992, respectively, SBIR and STTR have invested more than $28 billion in helping American small businesses turn into big businesses through innovation and commercialization of cutting-edge products. The classic example, which a number of our colleagues, including Senator Landrieu, have highlighted in the conversation so far is Qualcomm of San Diego, which began as a small business of just 35 employees and has now, in fact, grown to a company of 17,000. It pays more in taxes every year than the whole budget of the SBA.

We can't lose sight that every large company in America at one point began as a small business. The SBIR and STTR Programs were created through bipartisanship and should maintain wide support. In fact, SBIR was signed into law by former President Ronald Reagan. They more than pay for themselves and the jobs and economic growth they create and the taxes paid by these companies as they grow.

For too long, the Senate has kicked the can down the road by passing temporary extensions month after month, year after year, for these two vital programs. This week, at long last, we have a chance to pass real long-term reauthorization.

It is a shame that we had to vote for cloture even to just begin debating this bill which has wide bipartisan support. Ideology should not trump practical solutions that can put more Americans back to work and get our economy moving again. These two programs are proven vehicles for growth in all our States, including my home State of Delaware.

In Delaware, where we have a strong and growing high-tech sector, small businesses have been benefiting from these two programs. With your forbearance, Mr. President, I will, for a moment, just mention three.

One Delaware company that received a critical SBIR grant was Elcriton. Elcriton started with two employees who patented a process to take bacteria which turned algae into butanol for fuel. Imagine that. Think of the possibility of literally using pond scum to produce fuel for cars and trucks. Butanol is superior to ethanol in many respects because it is more compatible with the whole current petroleum infrastructure. This SBIR grant enabled this company to expand significantly, to grow their production, and to scale up not just the research and development but their early-stage manufacturing.

Another company--Compact Membrane Systems of Newport, DE--is putting a $1 million SBIR grant to work developing a hollow fiber filter that is used to filter hydraulic fluid from water. This extends the life of machinery, such as wind turbines, that use hydraulic fluid or filter oil. They started with three employees and now have 24. Five of those hires were directly made possible through the SBIR grant.

Last, in Newark, DE, ANP Technologies is using an SBIR grant to build biological detection systems for our American Department of Defense. The kit they are developing is rapid, lightweight, and lifesaving for our troops and our first responders. This is another example of a great application of cutting-edge technology by a small business that will have positive impacts for our first responders, our Armed Forces, and my home community of Newark, DE.

Since 1983, over 403 Delaware small businesses have received more than $100 million in SBIR grants. I know every one of my colleagues in the Senate has a similar positive story from his or her State. Each one of these businesses I just spoke about in Delaware could be the next Qualcomm. Any one of the small businesses in our States that receive grants through SBIR and support through STTR could generate a revolution in high tech that spurs the creation of thousands of jobs.

In my view, we cannot afford to let this critical job-creating program expire. According to one report, businesses backed by SBIR grants have been responsible for almost one-quarter of our Nation's most important innovations over the past decade, and they account for almost 40 percent of our Nation's patents. The applications range from the military to medicine, from education to emergency services.

Congress must have a smart approach to budget reform that balances budget cuts with strategic long-term investments that create growth and job creation for our communities--a great example of exactly what it is that the SBIR and STTR Programs do. I hope all our colleagues will join in supporting Senator Landrieu of Louisiana in supporting this vital bill and the great work she and the committee have done to advance it to this stage.

Mr. President, I yield the floor.

BREAK IN TRANSCRIPT

Source