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What GAO found
The institutional timeliness for issuing the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) awards remained the same from FY2020 to FY2021. This is true across governments, but defense agencies lag behind civilian agencies in their performance (see chart). You can read the full GAO analysis here.
Civilian and Department of Defense Award Timeliness, Fiscal Year 2016-2021
Note: Private institutions, with the exception of the National Science Foundation and the National Institutes of Health, which have different time frames for award notification and issuance.
Government-wide, program participants have consistently met the timeframes required to notify winners over the recommended timeframes for issuing awards. The timeliness of the Department of Defense (DOD) depends on the achievements of the War, Navy, and Air Departments, which collectively issued 83% of defense-related awards for fiscal 2021. From FY 2016 to FY 2021, compared to 85% by private agencies.
The Small Business Administration (SBA) is required to annually report to Congress timeliness data for the agency’s awards, along with other information about participating agencies’ implementation of SBIR and STTR programs. However, SBA has consistently lagged behind in his fiscal 2016 through fiscal 2021 annual reports, falling behind by six to 16 months. Without a comprehensive and documented analysis of the process that produces these annual reports, it is unclear whether SBA is missing an opportunity to take action to improve the timeliness of its required reports. Additionally, SBA misses an opportunity to provide real-time award timeliness data on its website. Although SBA is not required to do so, providing current award timeliness data on its website provides an alternative source of information to Congress and the public about the agency’s performance in meeting award time frames. , which could spur further improvements.
Why GAO did this study
Agencies participating in the SBIR and STTR programs have awarded nearly $3 billion to small businesses in fiscal 2021. In its oversight role for the two programs, the SBA sets timeliness for award notification and issuance. SBA is required to report annually to Congress on the overall results of both programs, including the timeliness of awards.
The Fiscal Year 2019 Defense Authorization Act included provisions for GAO to consider the timeliness of notification and issuance of awards. This report is GAO’s fourth, among other purposes, to report on agency timeliness and trends in award notifications and issuance for the years 2016-2021, and the SBA’s reporting on the timeliness of agency awards. Examine the range.
GAO analyzed the SBIR and STTR award data, conducted questionnaires for all 29 participating institutions, and reviewed the documents of the participating institutions and the SBA. GAO also interviewed SBA officials and, where necessary, conducted follow-up interviews with officials from other agencies to clarify the information provided.
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