Module 2 of 7
SBIR/STTR after the 2026 reauthorization
How SBIR/STTR works now: agencies, grants vs. contracts, Phase I vs. II, NSF Project Pitch, proposal caps, foreign-risk screening and Strategic Breakthrough awards.
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SBIR and STTR are back, with new rules, and the rules now shape your strategy as much as your technology does. The programs lapsed on September 30, 2025, stayed unauthorized for about six months, and were reauthorized on April 13, 2026 by the Small Business Innovation and Economic Security Act (Public Law 119-83), through September 30, 2031. If your last information about SBIR is “it’s paused,” this lesson is your update.
How the program is built
SBIR is a set-aside inside federal R&D budgets. Agencies with extramural R&D budgets of $100 million or more must reserve 3.2% for an SBIR program. Agencies with $1 billion or more must also reserve 0.45% for STTR. As of July 2026, the Congressional Research Service lists eleven SBIR agencies (USDA, Commerce, Defense, Education, Energy, HHS, Homeland Security, Transportation, EPA, NASA and NSF) and six STTR agencies (USDA, DoD, DOE, HHS, NASA, NSF).
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