2005 Arizona Revised Statutes - Revised Statutes §41-1552.01  SBIR and STTR awards; application for research funding; criteria

A. Within thirty days after the public announcement of the SBIR and STTR phase I award winners by the appropriate federal agency, the office shall issue a public notice that the commission is making available grants of up to fifty thousand dollars to phase I recipients who submit applications to the commission as provided in this section. Applications may be submitted by all phase I award recipients who have an operational facility located in this state. A recipient, at least sixty days before the completion of its SBIR or STTR phase I grant period, may submit to the commission a notice of its desire to secure research and development funding pursuant to this article, together with a copy of its original federal SBIR or STTR proposal and any additional information the commission may require to assist it in determining the eligibility of the recipient for the program. The commission shall forward all applications and supporting materials to the governor's Arizona science and technology council. The council shall review the materials and submit the council's written recommendations to the commission within thirty days after receipt of the materials from the commission if the council finds the applicant has met all of the criteria required by this article.

B. In addition to receipt of a federal phase I SBIR or STTR award, a small business is eligible for funding under this article only if it meets all of the following criteria:

1. The small business has an operational facility in this state.

2. The small business certifies that the research and development to be conducted with the monies received under this article will be performed solely in this state.

3. The small business certifies that it will not spend monies received pursuant to this section for travel, equipment or facilities.

4. The small business certifies that it will conduct a minimum of two-thirds of the research and development.

5. The small business uses the monies to extend the phase I research and development and to prepare for the phase II research and development consistent with a work plan submitted by the small business.

6. The research and development are performed at cost including overhead and general and administrative costs but excluding any profit or fee charges.

C. Members of the commission and the governor's Arizona science and technology council are subject to the provisions of title 38, chapter 3, article 8 regarding conflict of interest, and shall formally withdraw from any consideration and voting on any application submitted under this section if such member has any interest in a pending application.