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In the September 12, 1997 Issue:
CONGRESS HOLDS HEARING ON SBIR/STTR PROGRAMS
The Small Business Innovation Research Program (SBIR) and the Small Business Technology Transfer Program (STTR) were the focus of a hearing before the Technology Subcommittee of the House Science Committee last week. The subcommittee is considering re-authorization of the STTR program.Discussion focused on three issues: (1) the effectiveness of SBIR and STTR in meeting program goals; (2) the geographic distribution of SBIR/STTR awards; and (3) the need to balance commercialization objectives with funding research to meet agency needs.
Under STTR, authorized by the Small Business Research and Development Enhancement Act of 1992, federal agencies which have an extramural research and development budget in excess of $1 billion must designate for technology transfer a certain percentage of those budgets for small business. The program operates in a manner similar to SBIR but STTR projects must involve cooperative research by a small business and a non-profit research institution, i.e. a university, college, non-profit research center or government-owned and contractor-operated laboratory
Dan Hill, Assistant Administrator for Technology, U.S. Small Business Administration spoke in favor of the reauthorization. He cited numerous studies that have found that SBIR and STTR are meeting the objectives established by Congress including a recent study by Josh Lerner at Harvard that found that "SBIR awards appear to have had a positive and substantial long-run impact on the firms in regions with considerable venture capital activity. In particular, awardees appear to have grown substantially faster -- whether measured by sales or employment - than a matching set of firms."
Scott Walson, a doctoral candidate at Stanford University, took an opposing view. He reported on an econometric analysis he developed which found that the SBIR program had "no impact on firms' research activities."
The panelists were asked their opinion of a Senate proposal to set aside a share of SBIR funds for specific geographic areas where there is little participation in the program. The panelists urged that awards continue to be made on a competitive basis while acknowledging that additional outreach activities, including supporting state SBIR assistance efforts, might be desirable.
Ann Eskesen, President of Innovation Development Institute, argued the need to maintain SBIR's focus on meeting agency research needs. She expressed concern that the current emphasis on "commercialization" is moving the program away from supporting higher risk, longer term projects.
The subcommittee expects to mark up the STTR reauthorization bill shortly. Copies of testimony can be obtained from the Committee's homepage at http://www.house.gov/science/welcome.htm
SSTI RELEASES ISSUE BRIEF ON STATE SCIENCE & TECHNOLOGY STRATEGIC PLANNING
The State Science and Technology Institute (SSTI) recently released an issue brief that examines the current efforts of states to write and implement science and technology strategic plans. The report is entitled An Overview of State Science & Technology Strategic Planning.The issue brief (1) presents an overview of states' science and technology strategic plans and the process by which they were developed; (2) examines the extent to which the plans explicitly address the needs of distressed areas; and, (3) describes science and technology strategic planning activities in Maryland, North Carolina, North Dakota, and Vermont.
SSTI found that 13 states adopted statewide science and technology strategic plans between 1991 and 1995. During this same time, 29 states adopted overall economic development strategies, some of which addressed the science and technology base in the state or the needs of particular technology-based industries.
Funding for the report was provided by the U.S. Department of Commerce's Economic Development Administration. A final report outlining best practices in state science and technology strategic planning will be issued in early October.
Contact SSTI at 614/421-SSTI (7784) to request a copy of the report or for more information.
TECHNOLOGY TRANSFER STUDY RELEASED
The Federal Laboratory Consortium (FLC) has released a study entitled "Managing the Successful Transfer of Technology from Federal Facilities: A Survey of Selected Laboratories & Facilities in the Mid-Continent Region of the Federal Laboratory Consortium." The study was commissioned by the FLC and was undertaken by Chapman Research Group, Inc.
The study reports that some of the best practices for transferring technology include: incorporating technology transfer into strategic planning for the lab/installation; developing systematic valuation of technology transfer activities; aggressive management of intellectual property; and, innovative use of the CRADA mechanism.
The largest problem still impeding technology transfer is the general lack of top management support at the departmental or agency level. However, the study reports that there is the recognition of the need to change the culture at the laboratory/facility. Management is increasingly aware that "attention must be paid to both current and potential clientele. More effort must be devoted to outreach, making known the capabilities and value that can be delivered, and reaching out to new clientele."
The study examined 11 federal laboratories and technical facilities in eight states located throughout the FLC's Mid-Continent region. The report costs $8.00 and can be obtained by contacting FLC at 360-683-1005.
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