SB 24-140

Senate Bill 24-140, also known as the Small Business Research Matching Program, provides Colorado-based small businesses with matching funds for federal grants they receive through the SBIR or STTR programs. This means if a business gets money from these federal programs, the state will match it up to certain limits: $100,000 for Phase I and $250,000 for Phase II awards. To qualify, businesses must commit to staying connected to Colorado for at least three years after using the funds to develop their products or services. If they don't meet this requirement, they have to pay back the state money plus interest. The bill has been signed into law and is now active, meaning small businesses in Colorado can start applying for these matching grants to help grow their innovative projects.

Official Summary

The bill creates the Colorado small business innovative research matching money program (program) in the Colorado office of economic development (office). The program provides businesses with money to match money that a business received pursuant to a federal small business innovative research (SBIR) program award or a federal small business technology transfer (STTR) program award. To be eligible for an award from the program, a business must be Colorado-based and must maintain a meaningful nexus to the state for at least 3 years following the commercialization of a service, product, concept, design, or other marketable asset developed using money from the program. A business must also agree to certain reporting requirements. The office may award matching money in an amount up to 100% of a phase I federal SBIR program or federal STTR program award, not to exceed $100,000; or, up to 100% of a phase II federal SBIR program or federal STTR program award, not to exceed $250,000. Matching money comes from the Colorado small business innovative research matching fund created in the bill. A business that receives money from the program, commercializes a service, product, concept, design, or other marketable asset using the money from the program, and then fails to maintain a meaningful nexus to the state while continuing to market the asset, is required to repay all matching money awarded by the program plus interest. The office is required to adopt policies for the program that include eligibility requirements, application procedures, prioritization of funding applications, the number of awards and amount of money available for award in any fiscal year, timing of the issuance of money awarded, provision for repayment of money awarded, the allowable use of money awarded, requirements for additional nonstate public or private financing, the conduct of research in the state, requirements for and review of marketable assets, and provisions to ensure adequate consideration to the state in exchange for the amount of money awarded to a business. (Note: This summary applies to this bill as introduced.)