The Illinois Biotechnology Innovation Organization (iBIO) delivered a coalition lettercoalition letter signed by 74 companies and organizations from across Illinois to the state’s U.S. Congressional delegation, urging immediate action to reauthorize the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs before their September 30 expiration.
The broad coalition represents Illinois’s thriving life sciences ecosystem, which employs more than 94,000 professionals statewide and includes research-intensive biotechnology companies, academic institutions, and investors developing breakthrough treatments for cancer, rare diseases, and other critical health challenges.
“The SBIR/STTR programs are the largest source of early-stage capital for biomedical R&D startups,” said John Conrad, iBIO President and CEO. “Their expiration would be a crushing blow to American innovation and small business job creation.”
The coalition emphasized the significant economic impact of these programs on Illinois, noting that startup high-tech companies in the state annually receive $75 million in Phase I and II SBIR grants. This funding is critical for launching companies from university laboratories and creating jobs throughout Illinois, with the state further amplifying the impact through its SBIR Phase I matching grant program.
As part of the outreach effort, iBIO also provided 37 testimonials from Illinois startups and incubators demonstrating the real-world importance of SBIR funding. The testimonials showcase how companies have used SBIR support to complete pivotal clinical studies, develop medical devices, establish operations in Illinois, and attract additional private investment.
One testimonial highlighted how SBIR funding enabled Rhaeos to complete a 9-center pivotal study supporting FDA approval, fund clinical-grade device builds used on over 400 patients nationwide, and successfully spin out of Northwestern University while creating 10 full-time jobs in Illinois.
The coalition is requesting that Congress pass an extension of the SBIR/STTR programs prior to the September 30 deadline to provide continuity while comprehensive reauthorization legislation is developed.
“These essential programs fuel innovation, create jobs, and advance medical breakthroughs that improve and save lives,” the coalition stated in their letter to Illinois representatives.
The SBIR/STTR programs, established in 1982, provide certainty, stability, and predictability that both small businesses and federal agencies need to budget and plan for future innovation initiatives.