Investing in National Next-Generation Opportunities for Venture Acceleration and Technological Excellence; INNOVATE Act
Summary
The INNOVATE Act aims to improve the SBIR and STTR programs, which support small businesses in research and development. It focuses on promoting technological advancements, streamlining program participation, and protecting American innovation from foreign influence. The act includes provisions for enhancing small business success, encouraging innovation, and simplifying program standards.
Expected Effects
The act will likely lead to increased funding and opportunities for small businesses in the SBIR and STTR programs. It could also result in more efficient program administration and greater protection of intellectual property. The changes aim to foster innovation and national security.
Potential Benefits
- Increased funding and opportunities for small businesses, especially in rural areas.
- Streamlined processes and reduced administrative burdens for SBIR/STTR applicants.
- Enhanced protection of American innovation from foreign adversarial influence.
- Promotion of transition for battle-ready technologies.
- Encouragement of new entrants into the SBIR and STTR programs.
Potential Disadvantages
- Potential for increased bureaucracy due to new reporting requirements.
- Possible limitations on certain businesses based on foreign connections, even if unintentional.
- Risk of unintended consequences from altering program criteria.
- Some provisions may disproportionately benefit certain sectors or regions.
- The shift away from considering race or gender in SBIR/STTR awards may be viewed negatively by some.
Constitutional Alignment
The INNOVATE Act primarily concerns itself with the allocation of federal funds and the regulation of small business programs. Article I, Section 8 of the Constitution grants Congress the power to lay and collect taxes, duties, imposts, and excises, to pay the debts and provide for the common defense and general welfare of the United States. The Act's provisions related to protecting American innovation from foreign influence align with the national security interests, a legitimate concern under the Constitution.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).