SBIR/STTR

SBIR/STTR

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Mrs. SHAHEEN. I took the opportunity yesterday in an Armed Services Committee subcommittee to ask Department of Defense officials who have been responsible for maintaining our military technological edge what the impact would be on DOD's research if Congress does not reauthorize the SBIR Program. Assistant Secretary Zachary Lemnios said the SBIR is ``something we absolutely need.'' He spoke of what it is like talking to small innovative companies he works with through SBIR, and he told me:

There are small companies willing to take some risk in areas where larger companies just, for whatever reason, just don't. You spend a day with a small business like that, and your mind explodes with new ideas.

That is the kind of innovative spirit we need to stay competitive. We need this for America's national security, and as the Senator from Louisiana points out, this is a program that creates jobs.

We need to get this reauthorization done. We need to talk about regulatory reform, but we need to do this first.

In a few minutes we will be voting on whether to move forward with a bill reauthorizing a program that is critically important to my home State of New Hampshire and the entire country--the Small Business Innovation Research program, or SBIR.

As Chair LANDRIEU has pointed out, the Senate has been debating this bill for 5 weeks now. My colleagues and I from the Small Business Committee have come to the floor several times to talk about the importance of this program for the future of our economy. The bottom line is that SBIR promotes innovation among the entrepreneurs that will keep the American economy competitive in the 21st century.

But as we decide whether to move forward with this bill--which has broad bipartisan support--I wanted to talk about the importance of SBIR--not just for our small businesses, but also for our national defense.

Many agencies have come to rely on small, innovative companies to help them think outside the box and solve important problems. This is especially true for agencies that are charged with protecting our national security. Agencies like the Department of Defense rely on small companies to perform R&D that often leads to technologies that help our troops in the battlefield and help secure our country.

I took the opportunity yesterday at an Armed Services Committee hearing to ask the Department of Defense officials responsible for maintaining our military's technological edge what the impact would be on DOD's research if Congress did not reauthorize SBIR. Assistant Secretary Zachary Lemnios said the SBIR is ``something we absolutely need.'' He discussed what it is like talking to the small, innovative entrepreneurs that he works with through the SBIR program. He told me, ``there are small companies willing to take some risk in areas where larger companies just, for whatever reason, just don't. You spend a day with a small business like that, and your mind explodes with new ideas.''

That is the kind of innovative spirit that we need to stay competitive. And it is the same spirit that agencies like the Department of Defense need to keep America secure. In 2010, the Department of Defense issued nearly 3,000 awards through the SBIR program.

Let me give just one example of a company in my State that has benefitted from the SBIR program and has helped the Department of Defense develop a product that is currently helping our troops carry out their missions.

Earlier this year, I visited a firm called Active Shock in Manchester, NH. Active Shock showed me the suspension technologies that it developed with funding from a competitive SBIR award. These technologies are now used by the Department of Defense to help our troops in the field. They help stabilize our war vehicles in rough terrain.

This is exactly the kind of high-tech product that is developed as a result of SBIR. And SBIR awards are absolutely critical for these small companies. Bill Larkins, the CEO of Active Shock, told me that Active Shock would simply not be here today were it not for the SBIR program. The products that Active Shock developed also have commercial applications, so the SBIR awards have helped them grow and create jobs. Active Shock started with only a few employees; now, it has grown to over 30 employees.

Active Shock is just one of many small firms in New Hampshire that have successfully competed for funding through SBIR in the 28 years it has been in existence. All across New Hampshire, small businesses that otherwise would not be able to compete for federal R&D funding have won competitive SBIR grants that advance technology and science and create good jobs. In just the last 2 years, New Hampshire firms have won 80 SBIR awards.

And many of these companies are helping the Department of Defense meet its R&D needs--in fact, despite its small size, New Hampshire is ranked 22nd in the Nation for total grants awarded from the Department of Defense since SBIR began.

We need to focus on smart ways to create jobs and stay competitive. This

program is critical for meeting that goal. But we also need to remember that SBIR also enhances our national security.

I encourage my colleagues to join me in supporting this important program.

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