DE-FOA-0003504.pdf

Department of Energy (DOE) Office of Science (SC)

Small Business Innovation Research (SBIR) / Small Business Technology Transfer (STTR)

FY25 Phase I Release 2

Notice of Funding Opportunity (NOFO) Number:

DE-FOA-0003504

NOFO Type: Initial

CFDA Number: 81.049

NOFO Issue Date: December 27, 2024 Submission Deadline for Letters of Intent:

January 14, 2025 at 5:00PM Eastern Time A Letter of Intent is required.

Letter of Intent Response Date January 27, 2025 Submission Deadline for Applications: February 26, 2025 at 11:59PM Eastern Time

Table of Contents

I. BASIC INFORMATION

EXECUTIVE SUMMARY

FUNDING DETAILS

KEY FACTS

KEY DATES

AGENCY CONTACT INFORMATION

INFORMATIONAL WEBINAR / OFFICE HOURS

RECOMMENDATION

WHERE TO FIND THE TOPICS

GET ASSISTANCE WITH YOUR APPLICATION

II. ELIGIBILITY

A. ELIGIBLE APPLICANTS

B. COST SHARING

C. ELIGIBLE INDIVIDUALS

D. LIMITATIONS ON SUBMISSIONS

E. OTHER ELIGIBILITY REQUIREMENTS

F. DIVERSITY, EQUITY, INCLUSION, AND ACCESSIBILITY

G. TECHNOLOGY TRANSFER OPPORTUNITY (TTO)

III. PROGRAM DESCRIPTION

A. PURPOSE

B. PROGRAM GOALS, OBJECTIVES, AND PRIORITIES

C. AWARD CONTRIBUTION TO GOALS AND OBJECTIVES

D. PERFORMANCE GOALS

E. SUBSTANTIAL INVOLVEMENT

F. PROGRAM UNALLOWABLE COSTS

G. CITATIONS TO STATUTE AND REGULATIONS

H. OTHER INFORMATION

I. BIPARTISAN INFRASTRUCTURE LAW (BIL) FUNDED AWARDS

J. JUSTICE40 INITIATIVE

K. RESTRICTIONS ON THE MANAGEMENT OF SBIR/STTR PROJECTS

IV. APPLICATION CONTENTS AND FORMAT

A. PRELIMINARY SUBMISSIONS

B. APPLICATION

C. COMPONENT PIECES OF THE APPLICATION (PHASE I ONLY)

D. COMPONENT PIECES OF THE APPLICATION (FAST-TRACK ONLY)

E. INFORMATION THAT MUST BE SUBMITTED AFTER APPLICATION BUT

BEFORE AWARD

V. SUBMISSION REQUIREMENTS AND DEADLINES

A. ADDRESS TO REQUEST APPLICATION PACKAGE

B. UNIQUE ENTITY IDENTIFIER (UEI) AND SYSTEM FOR AWARD MANAGEMENT

(SAM.GOV)

C. SUBMISSION INSTRUCTIONS

D. SUBMISSION DATES AND TIMES

VI. APPLICATION REVIEW INFORMATION

A. RESPONSIVENESS REVIEW

B. REVIEW CRITERIA

C. REVIEW AND SELECTION PROCESS

D. RISK REVIEW

VII. AWARD NOTICES

A. TYPE OF AWARD INSTRUMENT

B. ANTICIPATED TIMELINE FOR NOTICE OF SELECTION FOR AWARD

NEGOTIATION

VIII. POST-AWARD REQUIREMENTS AND ADMINISTRATION

A. ADMINISTRATIVE AND NATIONAL POLICY REQUIREMENTS

B. REPORTING

C. REPORTING OF MATTERS RELATED TO RECIPIENT INTEGRITY AND

PERFORMANCE (DECEMBER 2015)

D. INTERIM CONFLICT OF INTEREST POLICY FOR FINANCIAL ASSISTANCE

IX. OTHER INFORMATION

A. CHECKLIST FOR AVOIDING COMMON ERRORS

B. HOW-TO GUIDES

C. ADMINISTRATIVE AND NATIONAL POLICY REQUIREMENTS

D. REFERENCE MATERIAL

I. Basic Information

U.S. Department of Energy (DOE) Office of Science (SC)

Executive Summary

This NOFO describes two distinct funding opportunities for DOE: the Small Business Innovation Research (SBIR) and the Small Business Technology Transfer (STTR) programs for Fiscal Year (FY) 2025. Both Phase I and Fast-Track grant opportunities are included in this FY 2025 Phase I Release 2 competition.

Funding Details Expected total available funding Approximately $65,000,000 is expected to be available for new awards under this NOFO.

Funding for all awards and future budget periods are contingent upon the availability of funds appropriated by Congress for the purpose of this program and the availability of future-year budget authority, and Congressional authorization of the SBIR/STTR programs.

Expected number of awards Approximately 260 awards. SBIR and STTR awards are subject to the availability of appropriated funds and this NOFO does not obligate DOE to make any awards under Phase I or Fast-Track.

Expected dollar amount of individual awards Phase I Ceiling (i.e., the maximum amount for an individual award made under this NOFO):

$200,000 or $250,000 for SBIR and STTR grants. Refer to the individual topic for its respective maximum award size.

Fast-Track Ceiling (i.e., the maximum amount for an individual award made under this NOFO): $1,300,000 or $1,850,000 for SBIR and STTR grants. Refer to the individual topic for its respective maximum award size.

Expected award project period Phase I: DOE anticipates making awards that will have a period of performance of 6 to 12 months with a start date of July 8, 2025.

Fast-Track: DOE anticipates making awards that will have a period of performance of up to 36 months with the project beginning on July 8, 2025.

Key Facts NOFO Title FY25 Phase I Release 2 NOFO Number DE-FOA-0003504 Announcement Type Initial Assistance Listing 81.049 Statutory Authority The programmatic authorizing statutes are:

Section 646 of Public Law 95-91, U.S. Department of Energy Organization Act Section 901, et seq. of Public Law 109-58, Energy Policy Act of Section 9 of the Small Business Act (15 U.S.C. § 638);

Public Law 117-58, also known as the Bipartisan Infrastructure Law

(BIL)

Governing Regulations

Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, codified at 2 CFR 200 U.S. Department of Energy Financial Assistance Rules, codified at 2

CFR 910

Size and Eligibility Requirements for the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) Programs, codified at 13 CFR 121.701 et seq.

Key Dates

Key dates are printed on the cover of this NOFO.

Agency Contact Information

Grants.gov Customer Support

800-518-4726 (toll-free) support@Grants.gov

PAMS

Customer Support

855-818-1846 (toll-free) 301-903-9610 sc.pams-helpdesk@science.doe.gov

Technical/Scientific Program Contact

Please refer to the appropriate DOE Program Manager listed after each subtopic in the accompanying DOE SBIR/STTR Topics document located on the DOE SBIR/STTR Programs website at https://science.osti.gov/sbir/Funding-Opportunities.

Administrative Contact (questions about budgets and eligibility)

Carl Hebron, (301) 903-5707, SBIR-STTR@science.doe.gov

Informational Webinar / Office Hours

SBIR/STTR plans to hold an informational webinar about this NOFO on Thursday, January 2, 2025, and a Q&A webinar Friday, January 3, 2025. Registration instructions and other details will be posted at https://science.osti.gov/sbir/Funding-Opportunities.

mailto:support@grants.gov mailto:sc.pams-helpdesk@science.doe.gov https://science.osti.gov/sbir/Funding-Opportunities mailto:SBIR-STTR@science.doe.gov https://science.osti.gov/sbir/Funding-Opportunities

Recommendation

SC encourages you to register in all systems as soon as possible. You are also encouraged to submit letters of intent (LOIs) and applications well before the deadline.

Where to Find the Topics

To download the FY 2025 Phase I Release 2 Topics in a searchable PDF file, please visit the DOE SBIR/STTR website by clicking on the following link:

https://science.osti.gov/sbir/Funding-Opportunities.

Get Assistance with Your Application

If you are applying for a DOE SBIR or STTR grant for the first time, you may be able to get assistance with completing your Phase I application through DOE’s Phase 0 assistance program. Learn more.

http://www.dawnbreaker.com/doephase0/

II. Eligibility

A. Eligible Applicants

SBIR/STTR program eligibility requirements are in place to ensure that the funds go only to small, independent United States (U.S.) businesses. The regulations, 13 CFR 121, include restrictions about (1) the type of firm, (2) its ownership structure, and (3) the firm’s size in terms of the number of employees.

The purpose of the requirement regarding type of firm is to target the awards to firms with an economic interest in developing the idea or research into a commercial application. The purpose of the ownership requirement is to limit the program to independent firms controlled by U.S.

citizens or permanent resident aliens as a way of maximizing the likelihood that the funding will stimulate innovative activity within the U.S. economy. The purpose of the size restriction (number of employees of the firm and its affiliates) is to limit program funding to small business concerns with a unique capacity for innovation, which are more likely to be constrained by lack of access to such funding.

OWNERSHIP AND CONTROL

A majority (more than 50%) of your firm’s equity (e.g., stock) must be directly owned and controlled by one of the following:

1. One or more individuals who are citizens or permanent resident aliens of the U.S. Each individual you include as part of the eligible majority ownership of your company must be either a citizen or permanent resident alien of the U.S. The term “individual” refers only to actual people—it does not refer to companies or other legal entities of any sort. “Permanent resident alien” refers to an alien admitted to the U.S. as a lawful permanent resident by the U.S. Citizenship and Immigration Services.;

2. Other for-profit small business concerns (each of which is more than 50% directly owned and controlled by individuals who are citizens or permanent resident aliens of the U.S.); or

3. A combination of (1) and (2) above.

SMALL BUSINESS CONCERN (SBC)

An SBC is one that, at the time of award for both Phase I and Phase II SBIR/STTR awards, meets all of the following criteria (time of award is the date when the grant is signed by Grants/Agreements Officer, and DOE anticipates that this date will be at or around the grant start date listed in Section I, Funding Details, Expected award project period, of this NOFO):

• Organized for profit, with a place of business located in the U.S., which operates primarily within the U.S., or which makes a significant contribution to the U.S. economy through payment of taxes or use of American products, materials or labor;

• Is in the legal form of an individual proprietorship, partnership, limited liability company, corporation, joint venture, association, trust or cooperative, except that where the form is a joint venture, there can be no more than 49% participation by foreign business entities in the joint venture;

• Meets the Ownership and Control requirements stated above; and

• Has, including its affiliates, not more than 500 employees and meets the other regulatory requirements found in 13 CFR 121. Business concerns, other than investment companies licensed, or state development companies qualifying under the Small Business Investment Act of 1958, 15 U.S.C. 661, et seq., are affiliates of one another when either directly or indirectly, (a) one concern controls or has the power to control the other; or (b) a third-party/parties controls or has the power to control both. Control can be exercised through common ownership, common management, and contractual relationships. The term “affiliates” is defined in greater detail in 13 CFR 121. The term “number of employees” is defined in 13 CFR 121.

ADDITIONAL INFORMATION

A joint venture, as defined in Section IX, may apply, provided the entity created also qualifies as an SBC at the time of the award.

PLEASE NOTE: Applicants must meet size and eligibility requirements established in 13 CFR 121.701, et seq., Size and Eligibility Requirements for the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) Programs. DOE has not elected to make a portion of its SBIR awards to SBCs that are majority-owned by multiple venture capital operation companies, hedge funds, or private equity firms under 15 U.S.C. 638(dd)(1) and 13 CFR 121.702(a)(1)(ii). SBCs majority-owned by multiple venture capital operation companies, hedge funds, or private equity firms are not eligible for awards contemplated by this Funding Opportunity.

If a size determination of your firm is conducted, you may be asked to show proof of ownership.

Further information on eligibility for the SBIR/STTR programs is available from the Small Business Administration at https://www.sbir.gov/sites/default/files/elig_size_compliance_guide_1.pdf.

SBCs submitting to both the SBIR and STTR programs must meet eligibility requirements of both SBIR and STTR applicants. If an application is submitted to both programs but fails to meet the eligibility requirements for one of the programs, it will only be considered for the one program for which it does meet the eligibility requirements.

There are two eligibility requirements associated with prior progress from Phase I to II (Phase I to Phase II Transition Rate Benchmark) and from Phase II to Phase III (Commercialization Rate Benchmark):

• To be eligible to submit a DOE Phase I SBIR or STTR application, the applicant must meet the Phase I to Phase II Transition Rate Benchmark as required by the SBIR/STTR Reauthorization Act of 2011. The Transition Rate Benchmark applies only to SBIR and STTR Phase I applicants that have received more than 20 Phase I awards over the past five fiscal years, excluding the most recently completed fiscal year. For these companies, the benchmark establishes a minimum number of Phase II awards the company must have received for a given number of Phase I awards received during the five-year time period in https://www.ecfr.gov/current/title-13/chapter-I/part-121/subpart-A/subject-group-ECFRb7921b3fcf04228 https://www.ecfr.gov/current/title-13/chapter-I/part-121/subpart-A/subject-group-ECFRb7921b3fcf04228 https://www.sbir.gov/sites/default/files/elig_size_compliance_guide_1.pdf order to be eligible to receive a new Phase I award. This requirement does not apply to companies that have received 20 or less Phase I awards over the five-year period.

• The Commercialization Rate Benchmark applies only to SBIR and STTR Phase I applicants that have received more than 15 Phase II awards during the past 10 fiscal years, excluding the two most recently completed fiscal years. For these companies, this benchmark establishes the minimum levels of commercialization activity a company must have achieved to-date that result from its Phase II awards from this 10-year period of time. SBCs are encouraged to update commercialization results for their prior SBIR/STTR awards at SBIR.gov to ensure accuracy in assessing the Commercialization Rate Benchmark.

On June 1 of each year, SBIR/STTR awardees registered on SBIR.gov are assessed to determine if they meet the benchmark requirements. Companies that fail to meet the transition rate benchmark on June 1, 2024 are not eligible to submit a Phase I application during the period June 1, 2024 through May 31, 2025.

The Transition Rate is calculated as the total number of SBIR and STTR Phase II awards a company received during the past five fiscal years divided by the total number of SBIR and STTR Phase I awards it received during the past five fiscal years, excluding the most recently completed year. The benchmark minimum Transition Rate is currently 0.25.

The Commercialization Rate is calculated as the total revenues and additional investment to-date that have resulted from Phase II awards received during the past ten fiscal years, excluding the two most recently completed fiscal years, divided by the total number of such Phase II awards OR the total number of patents resulting from these Phase II awards divided by the total number of Phase II awards. The Commercialization Rate minimums are currently set at $100,000 for total revenue/investment and 0.15 for number of patents per Phase II awards. SBA calculates the individual company Transition and Commercialization Rates using SBIR and STTR award information across all Federal agencies reported on www.sbir.gov. Companies that fail to meet these benchmarks are notified directly by the SBA. More information on the Transition Rate and Commercialization Rate requirements is available at www.sbir.gov.

In accordance with 2 CFR 910.126, Competition, eligibility for award is restricted to SBCs as described above.

INCREASED MINIMUM PERFORMANCE STANDARDS

Effective April 1, 2023, an SBC that received or receives more than 50 Phase II awards during the consecutive period of 10 fiscal years preceding the most recent 2 fiscal years ("covered period"), must have an average of $250,000 of aggregate sales and investments per Phase II award received during such covered period. An SBC that received or receives more than 100 Phase II awards during the consecutive period of 10 fiscal years preceding the most recent 2 fiscal years ("covered period") must have an average of $450,000 of aggregate sales and investments per Phase II award received during such covered period.

The SBA is charged with implementation of the increased minimum performance standards.

Each SBC that is subject to an increased minimum performance standard must submit to the http://www.sbir.gov/

SBA supporting documentation evidencing that all covered sales of the SBC were properly used to meet the increased minimum performance standard. Covered sales are defined at 15 U.S.C. § 638(qq)(3)(B)(iii)(II).

There are consequences of failure to meet the increased minimum performance standards, including prohibition against receiving more than 20 total Phase I awards and Phase II awards from each agency during the 1-year period beginning on the date on which such determination is made.

1. DOE/NNSA National Laboratories

DOE/NNSA National Laboratories are not eligible to submit applications under this NOFO but may be proposed as subrecipients under another organization’s application. The cognizant DOE Contracting Officer must authorize in writing the use of a DOE/NNSA FFRDC on the proposed project and this authorization should be submitted with the application, if available. The following wording is acceptable for this authorization.

“Authorization is granted for the (insert name) National Laboratory and its Contractor to participate in the proposed project entitled _________. The work proposed for the National Laboratory Contractor is consistent with or complementary to the missions of the Laboratory, will not adversely impact execution of the DOE/NNSA assigned programs at the Laboratory, and will not place the Laboratory in direct competition with the domestic private sector.”

Failure to obtain such approval in a timely manner may delay the project if a grant is awarded, as work may not be performed by the FFRDC until DOE Contracting Officer approval is provided.

2. Non-DOE/NNSA FFRDCs

Non-DOE/NNSA FFRDCs are not eligible to submit applications under this NOFO but may be proposed as subrecipients under another organization’s application. The Federal agency sponsoring the FFRDC must authorize in writing the use of the FFRDC on the proposed project and this authorization must be submitted with the application. The use of an FFRDC must be consistent with its award and must not place the FFRDC in direct competition with the private sector.

3. Other Federal Agencies

Other Federal Agencies are neither eligible to submit applications under this NOFO nor to be proposed as subrecipients under another organization’s application.

Notes for applicants of all types:

PHASE I

Phase I grants resulting from this competition will be made during FY 2025 to small businesses with maximum award sizes of $200,000 or $250,000. Refer to the individual topic for its respective maximum award size (a proposal submitted that exceeds the maximum award size for the respective topic will be declined without review). The period of performance will depend on the scope of the effort but will not exceed 12 months. Please note that the Phase II grant application will be due approximately 9.5 months after the grant start date. This will be the only opportunity to submit a Phase II application for a Phase I award made under this NOFO.

Grantees that select a Phase I period of performance of 9 months or less will be able to complete their Phase I project prior to submission of their Phase II grant application. Grantees that select a Phase I longer than 9 months will be able to continue research and development (R&D) after their Phase II application is submitted but will not be able to utilize these results in the preparation of their Phase II application.

Phase I is to evaluate, insofar as possible, the scientific or technical merit and feasibility of ideas that appear to have commercial potential and/or substantial application in support of DOE mission research. The grant application should concentrate on research that will contribute to proving scientific or technical feasibility of the approach or concept. Success in a DOE Phase I is a prerequisite to further DOE support in Phase II.

Only awardees issued Phase I grants under this NOFO are eligible to submit a Phase II application under the corresponding FY 2026 Phase II NOFO, i.e., FY 2026 Phase II Release 2.

Approximately 40% of Phase I awardees submitting a Phase II application will receive a Phase II award. Instructions and eligibility requirements for submitting Phase II grant applications will be posted at a later date on the internet at https://www.grants.gov/.

FAST-TRACK (COMBINED PHASE I AND PHASE II)

Fast-Track grants are opportunities to expedite the decision and award of SBIR and STTR Phase I and II funding for scientifically meritorious applications that have a high potential for commercialization. Fast-Track incorporates a submission and review process in which both Phase I and Phase II grant applications are combined into one application and submitted and reviewed together. The Project Narrative portion of a Fast-Track application must specify clear, measurable goals and milestones that should be achieved prior to initiating Phase II work. If these milestones are not met in Phase I, authorization to proceed to Phase II may not be provided and the grant will discontinue following Phase I efforts. The work proposed for Fast-Track, assuming that it proceeds, should be suitable in nature for subsequent progress to non- SBIR/STTR funding in Phase III.

For a specific R&D effort, applicants may submit either a Phase I application or a Fast-Track application, but not both. If both Phase I and Fast-Track applications are submitted, the application with the most recent submission date and time to Grants.gov will be evaluated. An individual application may be made only to either the traditional Phase I or to the Fast-Track. A project selected for Fast-Track funding which fails to meet its objectives may not later apply for Phase II funding.

https://www.grants.gov/

Fast-Track grant awards resulting from this competition will be made during FY 2025 to small businesses with maximum award sizes of $1,300,000 or $1,850,000 depending on the topic. Please refer to the topic descriptions under the NOFO found on the DOE SBIR/STTR website at https://science.osti.gov/sbir/Funding-Opportunities to determine the maximum award size for each topic. The period of performance under Fast-Track will depend on the scope of the effort but will not exceed 36 months.

Grant opportunities are announced pursuant to the Small Business Innovation Development Act of 1982 (Public Law 97-219), the Small Business Research and Development Enhancement Act of 1992 (Public Law 102-564), the SBIR/STTR Reauthorization Act of 2011 (Public Law 112- 81), and the SBIR/STTR Extension Act of 2022 (Public Law 117-183). Small businesses (see definition in Section IX) with strong research capabilities in science or engineering are encouraged to apply. Some topics may seek manufacturing-related innovations in accordance with Executive Order 13329, “Encouraging Innovation in Manufacturing.”

RESPONSIBILITY

A successful applicant will be the responsible authority regarding the settlement and satisfaction of all contractual and administrative issues, including but not limited to, disputes and claims arising out of any agreement between the applicant and the FFRDC.

CONFLICTS OF INTEREST

Applicants must be aware of potential conflicts of interest in the event their SBIR or STTR application includes a subcontract to a research institution (e.g., National Laboratory, University, etc.) and the applicant’s employee(s)/ownership is (are) also an employee(s) of the research institution. A potential conflict of interest can also arise when an applicant obtains a license or option license for a Technology Transfer Opportunity (TTO) from a National Laboratory Contractor and the applicant subcontracts to the same National Laboratory Contractor for work to be performed in commercializing the TTO. The subcontracted work might either be a Strategic Partnership Project (SPP) or a Cooperative Research and Development Agreement

(CRADA).

Any conflict of interest related to a subcontracted effort with DOE or its contractors shall be addressed prior to award by providing (to DOE) a statement from the DOE Contracting Officer at the Laboratory Site Office, that he/she confirmed that the National Laboratory Contractor is aware of the ownership (or dual employment) and that the National Laboratory Contractor has conducted a conflict review in accordance with its approved conflict procedures. A similar statement should be obtained from the Sponsored Program Office or similar business office in the event the subcontract is with a university or other research institution.

In addition, the recipient shall provide to DOE prior to award, a document detailing how it will exercise both financial and managerial control over the project and how the recipient will isolate the Research Institution employee(s) from influencing control of the project.

http://www.gpo.gov/fdsys/pkg/FR-2004-02-26/pdf/04-4436.pdf

B. Cost Sharing

Cost sharing under this NOFO is not required. However, any commercial contribution will be considered as part of the evaluation.

C. Eligible Individuals

Individuals with the skills, knowledge, and resources necessary to carry out the proposed research as a Principal Investigator (PI) are invited to work with their organizations to develop an application. Individuals from underrepresented groups as well as individuals with disabilities are always encouraged to apply.

SC does not require that individuals be U.S. citizens or permanent residents to be proposed as a PI or in any other role under an award, but all personnel working or proposed to work under an award must have the legal right to perform such work in the jurisdiction where the work will be performed. Individuals at any stage of their career may be proposed as a PI if they have the skills, knowledge, and resources necessary to carry out the proposed research.

D. Limitations on Submissions

Applicant institutions are limited to no more than 10 letters of intent or applications as the lead institution.

DOE will consider the latest received submissions to be the institution’s intended submissions.

• Letters of intent in excess of the limited number of submissions may be marked as ineligible.

• Applications in excess of the limited number of submissions may be declined without review.

LIMITATIONS ON PI

The PI is the key individual designated by the applicant to direct the project. Only one PI is acceptable per project. Co-PIs are not allowed and should not be proposed. The PI must be identified by name at time of application, knowledgeable in all technical aspects of the application, and be capable of leading the research effort. The PI must be primarily employed by either the small business (SBIR or STTR) or Research Institution (STTR only) by the start date of the project period. DOE’s evaluation of the application is critically dependent on the qualifications of the PI. Any changes in the PI that are made after award selection are strongly discouraged and must be pre-approved by DOE. Requests for PI changes will be closely scrutinized and may cause delays in grant execution.

A Phase I PI is required to devote to the project a considerable part of his or her time.

“Considerable” means a minimum average of three hours per week for the duration of the project for both SBIR and STTR Phase I projects. The number of PI hours must be reported in the budget justification. The SF-424 (R&R) Project Narrative must state the duration of the project in weeks. In order to ensure appropriate technical guidance for the project, only one PI will be accepted per project. Before a grant is awarded, the applicant will be required to sign a statement certifying adherence to these requirements.

A Fast-Track PI is required to devote to the Phase II project a minimum average of five hours per week for the duration of the Phase II project. For example, a two-year project, lasting 104 weeks, would require a commitment of 520 hours. The SF-424 (R&R) Project Narrative must state the duration of the project in weeks, if the project is to be completed in less than two years, in order to demonstrate that this requirement is fully met in order to ensure appropriate technical guidance for the project, only one PI will be accepted per project. Processing of applications that include co-PIs may be delayed while the error is corrected by the applicant. Before a grant is awarded, the applicant will be required to sign a statement certifying adherence to these requirements.

ADDITIONAL PI RESTRICTIONS WHEN SUBMITTING TO SBIR PROGRAM ONLY

To be awarded a SBIR grant, the applicant must meet the general requirements and the PI’s primary employment must be with the applicant at the time of award and during the conduct of the proposed research. Primary employment means that no less than 20 hours per week is spent in the employment of the applicant during the conduct of the project and no more than 19 hours per week spent in the employment of another organization.

ADDITIONAL PI RESTRICTIONS WHEN SUBMITTING TO STTR PROGRAM ONLY

To be awarded a STTR grant, the applicant must meet the general requirements and the PI’s primary employment may be with the applicant or the research institution. However, the applicant must still provide technical control and oversight of the project. If the PI is employed by the research institution, his or her primary employment (at least 20 hours per week) must be with the research institution in order to qualify under STTR and the research institution must provide at least 30% of the research effort. The PI’s hours must be budgeted under the organization of his or her primary employment.

PI RESTRICTIONS WHEN SUBMITTING TO BOTH SBIR AND STTR PROGRAMS

Applicants submitting to both programs must adhere to the PI restrictions set forth. Therefore, if the PI is employed by the applicant, the applicant is eligible to submit to both programs.

However, in cases where the PI is employed by the research institution, the application will only be considered under the STTR Program.

E. Other Eligibility Requirements

All funded research or R&D must be performed in the U.S. for both Phases I and II, except under exceptional circumstances, for which an explanation must be submitted to DOE and an approval, if made, has been conveyed in writing by DOE. “U.S.” means the 50 states, the territories, and possessions of the U.S., the Commonwealth of Puerto Rico, the Republic of the Marshall Islands, the Federated States of Micronesia, the Republic of Palau, and the District of Columbia. Non- U.S. citizens are eligible to perform work on SBIR/STTR projects provided they are legally empowered to work in the U.S. at the time that an award is made and throughout the duration of the project. That is, a foreign national working on an SBIR/STTR project must NOT be an illegal alien and must be an immigrant alien or a foreign national visiting the U.S. on an approved visa.

In exceptional circumstances, where expertise or facilities do not exist in the U.S. to perform the R&D, applicants may propose to perform R&D outside the U.S. in their application. In these situations, the applicant must clearly justify the need for foreign R&D including details of domestic experts and facilities that were contacted to make this determination. No pre-approval of foreign R&D will be granted in advance of the application. DOE will make a determination on whether performance of R&D outside the U.S. is justified as part of the application review process. Insufficient justification may result in declination of the application.

None of the employees or owners of the applicant small business may be paid as consultants.

None of the employees or owners of the applicant small business may be employees of a subcontractor, except when the subcontractor is a research institution. Consultants must not be employees of any proposed subcontractor. Please note, a person listed on the budget form (Section A - Key/Senior Person or Section B - Other Personnel) as an employee of the SBC is required to be either (a) an owner of the business, (b) paid using a W-2 form, or (c) possess an Internal Revenue Service Form SS-8 determination that the person is an employee. Persons receiving a 1099 (and not possessing an employee determination using Form SS-8) are to be treated as independent contractors and should be listed on the budget form in Section F - Other Direct Costs.

An applicant may be required to submit proof that its personnel may legally perform work on this project before a new, continuation, or transition award is made.

Applicants must include all mandatory documents described in Section IV. Failure to include mandatory documents will result in the declination of the application during initial review.

F. Diversity, Equity, Inclusion, and Accessibility

The Federal SBIR/STTR Programs statutory purposes include fostering and encouraging participation in innovation and entrepreneurship by women and socially or economically disadvantaged persons. Diversity, Equity, Inclusion, and Accessibility (DEIA) is a cornerstone to effectively advancing the U.S. research and scientific innovation enterprise. Effective stewardship and promotion of diverse and inclusive research environments and workplaces that value and celebrate a diversity of people, ideas, cultures, and educational backgrounds is foundational to delivering on the DOE SBIR/STTR mission.

The Department of Energy’s SBIR/STTR Programs collaborates with the Department of Energy Office of Science’s Office of Scientific Workforce Diversity, Equity, and Inclusion to advance organizational best practices for promoting DEIA in our business practices for awarding and managing competitive research. For more information on our work to advance DEIA, visit https://science.osti.gov/sbir/About/Fostering-Diverse-Participation.

https://science.osti.gov/sbir/About/Fostering-Diverse-Participation

G. Technology Transfer Opportunity (TTO)

A TTO is an opportunity for small businesses, in the course of an SBIR/STTR award, to leverage technology that has been developed at a participating DOE Research Institution. Please refer to the Topics document associated with this NOFO. The TTO will be described in a particular subtopic and additional information may be obtained by using the link in the subtopic to the DOE Research Institution that has developed the technology. Typically, the technology was developed with DOE funding of either basic or applied research at a DOE Research Institution and is currently available for licensing. The level of technology maturity will vary, and applicants are encouraged to investigate what work has been done prior to submitting an application.

Those selected for award under a TTO subtopic will be able to perform research and development of the technology during their Phase I or Phase II grants under the Government Use License. Please note that these are NOT commercial rights allowing an awardee to license, manufacture, or sell, but only rights to perform research and development during the performance of the award.

In addition, the DOE Research Institution will provide the grantee, prior to the start of its Phase I grant, with a no-cost, six-month option to license the technology. A written statement certifying that the small business and Research Institution have executed at least an option to license any patents owned by the Research Institution related to the TTO topic will be required after notification of selection of an award. It will be the responsibility of the small business to demonstrate adequate progress towards commercialization and to negotiate an extension to the option or convert the option to a license with the Research Institution. A copy of the option agreement template will be available at the Research Institution’s website owning the TTO. A small business’ failure to maintain suitable commercialization rights (at least an option to a license) could result in delayed work, deferment, or removal from the program, as further discussed in Section VII.

III. Program Description

A. Purpose

The DOE Office of Science program in Small Business Innovation Research (SBIR)/Small Business Technology Transfer (STTR) hereby invites eligible Phase I applicants to apply for Phase I awards under this NOFO.

SUPPLEMENTARY INFORMATION

CHOICE OF TOPIC AND SUBTOPIC

Each LOI and application must be submitted to only one topic, including a TTO topic, if applicable, and, within the topic, to only one subtopic. DOE will not assign a topic and/or subtopic to applications; this must be done by the applicant. When an application has relevance to more than one subtopic within a topic, the applicant must decide which subtopic is the most relevant and submit the application under that subtopic only. Each grant application must fall within the description of the subtopic and also satisfy any conditions contained in the introductory section of that topic. Applications that do not directly address the subtopic statement will not be peer reviewed. The language in both the topic introductions and the subtopics should be taken literally. Applications with a topic and subtopic that do not match the LOI are subject to administrative declination.

RESPONSIVENESS

Applications will be evaluated for responsiveness by DOE technical program experts to ensure that they (1) meet stated NOFO requirements described in Section II and Section IV, (2) identify a topic and subtopic, (3) contain sufficient information for a meaningful technical review, (4) are for research or for research and development, (5) do not duplicate other previous or current DOE-funded work, and (6) are consistent with program area mission, policies, and other strategic and budget priorities. Applications failing to pass this initial review will be declined without further review.

SUBMITTING TO BOTH SBIR AND STTR PROGRAMS

Applications that include at least 30%, but not more than 33%, of cooperative research collaboration with a single research institution may be considered for funding in both SBIR and STTR programs. Applicants may indicate their interest in being considered for both SBIR and STTR programs by selecting the appropriate box under “Program Type” on the “SBIR/STTR Information” form.

SUBMITTING TO BOTH THE PHASE I AND FAST-TRACK PROGRAM

If two applications (Phase I or Fast-Track) proposing substantively the same work are submitted to different topics or subtopics, the application with the most recent submission date and time to Grants.gov will be evaluated.

DUPLICATE APPLICATIONS

Duplicate or substantially similar applications, even if submitted to different topics and/or subtopics, will be rejected without review. That is, the application with the latest Grants.gov submission date and time will be the only version considered for evaluation.

MULTIPLE APPLICATIONS

Applicants are limited to submitting a total of 10 different applications under this NOFO and each application must be uniquely responsive to the topic and subtopic to which it is submitted.

If more than 10 applications are received under this NOFO, only the last 10 applications received will be considered for evaluation.

CLASSIFIED APPLICATIONS

Classified applications are not accepted under the DOE SBIR/STTR Programs and will be appropriately destroyed. Applications that have a probability of resulting in classified work will be administratively declined. Applicants are expected to comply with the following clause, which will be included in any grant awarded:

1) This award is intended for unclassified, publicly releasable research. You will not be granted access to classified information. DOE/NNSA does not expect that the results of the research project will involve classified information. Under certain circumstances, however, a classification review of information originated under the award may be required. The Department may review research work generated under this award at any time to determine if it requires classification.

2) Executive Order 13526 (75 Fed. Reg. 707 (January 5, 2010)) states that basic scientific research information not clearly related to the national security shall not be classified.

Nevertheless, some information concerning (among other things) scientific, technological, or economic matters relating to national security or cryptology may require classification. If you originate information during the course of this award that you believe requires classification, you must promptly:

a. Notify the DOE Project Manager and the DOE Award Administrator;

b. Submit the information by registered mail directly to the Director, Office of Classification and Information Control, SO-10.2; U.S. Department of Energy; P.O. Box A;

Germantown, MD 20875-0963, for classification review.

c. Restrict access to the information to the maximum extent possible until you are informed that the information is not classified, but no longer than 30 days after receipt by the Director, Office of Classification and Information Control.

3) If you originate information concerning the production or utilization of special nuclear material (i.e., plutonium, uranium enriched in the isotope 233 or 235, and any other material so determined under section 51 of the Atomic Energy Act) or nuclear energy, you must:

a. Notify the DOE Project Manager and the DOE Award Administrator;

b. Submit the information by registered mail directly to the Director, Office of Classification and Information Control, SO-10.2; U.S. Department of Energy; P. O. Box A;

Germantown, MD 20875-0963 for classification review within 180 days of the date the recipient first discovers or first has reason to believe that the information is useful in such production or utilization; and

c. Restrict access to the information to the maximum extent possible until you are informed that the information is not classified, but no longer than 90 days after receipt by the Director, Office of Classification and Information Control.

4) If DOE determines any of the information requires classification, you agree that the Government may terminate the award with consent of the recipient in accordance with 2 CFR 200.340(a)(2) and 2 CFR 200.340(a)(3). All material deemed to be classified must be forwarded to the DOE, in a manner specified by DOE.

5) If DOE does not respond within the specified time periods, you are under no further obligation to restrict access to the information.

RESTRICTIONS ON THE LEVEL OF SMALL BUSINESS PARTICIPATION – PHASE

I

For both SBIR and STTR Programs, there are requirements on the amount of the research or analytical effort that must be performed by the small business in order to be selected for and to receive a grant. The research or analytical effort is defined as the total requested funding minus the cost of any work performed by a consultant, a DOE National Laboratory contractor, and any other subcontractor, including TABA. Please refer to the Level of Effort & Max Funding Worksheet on the DOE SBIR/STTR Programs home page, under Application Resources to assist you in assuring the application is in compliance.

SBIR RESTRICTIONS ON LEVEL OF SMALL BUSINESS PARTICIPATION

To be awarded an SBIR Phase I grant, a minimum of two-thirds or 67% of the research or analytical effort must be carried out by the applicant during Phase I; correspondingly, a maximum of one-third or 33% of the effort may be performed by an outside party such as consultants or subcontractors.

STTR RESTRICTIONS ON LEVEL OF SMALL BUSINESS PARTICIPATION

To be awarded an STTR Phase I grant, at least 40% of the research or analytical effort must be performed by the applicant, and at least 30% of the effort must be performed by a single research institution.

RESTRICTIONS ON THE LEVEL OF SMALL BUSINESS PARTICIPATION – FAST-

TRACK

SBIR RESTRICTIONS ON LEVEL OF SMALL BUSINESS PARTICIPATION

Under Fast-Track, to be awarded an SBIR Phase I grant, a minimum of two-thirds or 67% of the research or analytical effort must be carried out by the small business applicant during Phase I;

correspondingly, a maximum of one-third or 33% of the effort may be performed by an outside party such as consultants or subcontractors. During the Phase II portion of the Fast-Track, at least 50% of the research or analytical effort must be performed by the small business.

https://science.osti.gov/sbir/Applicant-Resources/Grant-Application

Accordingly, at least 50% of the total funding requested on the budget form must be allocated to the small business.

STTR RESTRICTIONS ON LEVEL OF SMALL BUSINESS PARTICIPATION

STTR awards will be made to small businesses for cooperative R&D to be conducted jointly with a research institution. At least 40% of the work must be performed by the small business, and at least 30% of the work must be performed by a single research institution. The research institution must be the same as that used in the Phase I research, except under very unusual circumstances, for which an explanation must be submitted to the DOE and an approval, if made, will be conveyed in writing by the DOE. Accordingly, at least 40% of the total funding requested on the budget form must be allocated to the small business, and at least 30% must be allocated to a single research institution.

Program Objective

The objectives of the SBIR/STTR programs include increasing private sector commercialization of technology developed through DOE-supported research and development (R&D), stimulating technological innovation in the private sector, encouraging participation by women-owned and minority-owned small businesses, and improving the return on investment from Federally funded research for economic and social benefits to the nation. DOE will support high-quality research or R&D on innovative concepts concerning important mission-related scientific or engineering problems and opportunities that have high potential for commercialization. The DOE SBIR/STTR programs do not support either basic science or demonstration projects.

Other than different eligibility requirements (see Section II), the major difference between the SBIR and STTR programs is that STTR grants must involve substantial cooperative research collaboration between the small business and a single Research Institution (see definitions in Section IX at the end of this NOFO). However, it should be noted that the SBIR program also permits substantial collaboration between the small business and other organizations, including Research Institutions. The difference is that in SBIR, collaboration is optional, while in STTR, collaboration is required and must be cooperative in nature.

An important goal of the SBIR/STTR programs is the commercialization of DOE-supported research or R&D. Following the start of Phase I, DOE encourages its awardees to begin thinking about and seeking commitments from private sector or Federal non-SBIR/STTR funding sources in anticipation of Phases II and III. The commitments should be obtained prior to the Phase II grant application submission. The commitment for Phase III may be made contingent on DOE-supported research or R&D meeting some specific technical objectives in Phase II, which if met, would justify funding to pursue further development for commercial purposes in Phase III. For Phase I applicants, more details will be provided in the Phase II NOFO.

Under Phase III, it is intended that non-SBIR/STTR funds be used by the small business to pursue commercial applications of the R&D. That is, the non-SBIR/STTR Federal funding pays for research or R&D meeting DOE mission-related objectives identified by DOE Phases I and II;

non-SBIR/STTR capital provides follow-on developmental funding to meet commercial objectives for Phase III. Additionally, under Phase III, Federal agencies may award non- SBIR/STTR funded follow-on grants or contracts to Phase I and Phase II awarded projects for

(1) products or processes that meet the mission needs of those agencies, or (2) further research or R&D. The competition for SBIR/STTR Phase I and Phase II awards satisfies any competition requirement of the Federal Property and Administrative Services Act, and the Competition in Contracting Act. Therefore, an agency that funds an SBIR/STTR Phase III project is not required to conduct another competition in order to satisfy those statutory provisions.

The receipt of earlier Phase funding does not represent any commitment or obligation to fund a later Phase.

Annual Meetings

Phase I PI meeting: Applicants may include in their Phase I budget a registration fee ($250) and travel expenses for the PI and, if necessary, a registration fee ($250) and travel expenses for a person from the small business representing the commercialization interests of the company to attend the DOE SBIR/STTR Phase I PI Meeting. Attendance by the PI is expected. This two-day meeting, held in the DC metro area, will provide opportunities to meet with DOE Program Managers and TABA providers, as well as learn about the DOE SBIR/STTR programs, with an emphasis on the Phase II application. The DOE SBIR/STTR Phase I PI Meeting will be held approximately four months after the Phase I period of performance begins. PIs will be notified of the exact date and venue for the DOE SBIR/STTR Phase I PI Meeting approximately eight weeks after the Phase I grant start date by an e-mail from the DOE contractor managing the meeting. The email will contain the URL for the DOE SBIR/STTR Phase I PI Meeting website, where participants will be able to register, make lodging reservations, and view the agenda for the meeting.

B. Program Goals, Objectives, and Priorities

The Office of Science’s (SC) mission is to deliver scientific discoveries and major scientific tools to transform our understanding of nature and advance the energy, economic, and national security of the United States (U.S.).