Bill Text: IL HB3109 | 2025-2026 | 104th General Assembly | Introduced

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Bill Title: Amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois. Provides that the Department of Commerce and Economic Opportunity may award grants to match the funds received by a business through an SBIR/STTR Phase I proposal up to a maximum of $75,000 (currently, $50,000). Provides that the Department of Commerce and Economic Opportunity may award grants to match the funds received by a business through an SBIR/STTR Phase II proposal up to a maximum of $250,000. Provides that 50% of the total Phase II grant shall be remitted to the business upon submission by the business of the Phase II final report to the federal funding agency. Provides that a business may receive only one such grant per year. Provides that, over its lifetime, a business may receive a maximum of 2 such awards.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2025-02-18 - Referred to Rules Committee [HB3109 Detail]

Download: Illinois-2025-HB3109-Introduced.html

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104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3109 Introduced , by Rep. Barbara Hernandez SYNOPSIS AS INTRODUCED:
20 ILCS 605/605-1055
Amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois. Provides that the Department of Commerce and Economic Opportunity may award grants to match the funds received by a business through an SBIR/STTR Phase I proposal up to a maximum of $75,000 (currently, $50,000). Provides that the Department of Commerce and Economic Opportunity may award grants to match the funds received by a business through an SBIR/STTR Phase II proposal up to a maximum of $250,000. Provides that 50% of the total Phase II grant shall be remitted to the business upon submission by the business of the Phase II final report to the federal funding agency. Provides that a business may receive only one such grant per year. Provides that, over its lifetime, a business may receive a maximum of 2 such awards.
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A BILL FOR
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AN ACT concerning State government.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Department of Commerce and Economic
Opportunity Law of the Civil Administrative Code of Illinois
is amended by changing Section 605-1055 as follows:
(20 ILCS 605/605-1055)
Sec. 605-1055. Illinois SBIR/STTR Matching Funds Program.
(a) There is established the Illinois Small Business
Innovation Research (SBIR) and Small Business Technology
Transfer (STTR) Matching Funds Program to be administered by
the Department. In order to foster job creation and economic
development in the State, the Department may make grants to
eligible businesses to match funds received by the business as
an SBIR or STTR Phase I award and to encourage businesses to
apply for Phase II awards.
(b) In order to be eligible for a grant under this Section,
a business must satisfy all of the following conditions:
(1) The business must be a for-profit, Illinois-based
business. For the purposes of this Section, an
Illinois-based business is one that has its principal
place of business in this State;
(2) The business must have received an SBIR/STTR Phase

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I award from a participating federal agency in response to
a specific federal solicitation. To receive the full
match, the business must also have submitted a final Phase
I report, demonstrated that the sponsoring agency has
interest in the Phase II proposal, and submitted a Phase
II proposal to the agency.
(3) The business must satisfy all federal SBIR/STTR
requirements.
(4) The business shall not receive concurrent funding
support from other sources that duplicates the purpose of
this Section.
(5) The business must certify that at least 51% of the
research described in the federal SBIR/STTR Phase II
proposal will be conducted in this State and that the
business will remain an Illinois-based business for the
duration of the SBIR/STTR Phase II project.
(6) The business must demonstrate its ability to
conduct research in its SBIR/STTR Phase II proposal.
(c) The Department may award grants to match the funds
received by a business through an SBIR/STTR Phase I proposal
up to a maximum of $75,000 $50,000. Seventy-five percent of
the total grant shall be remitted to the business upon receipt
of the SBIR/STTR Phase I award and application for funds under
this Section. Twenty-five percent of the total grant shall be
remitted to the business upon submission by the business of
the Phase II application to the funding agency and acceptance

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of the Phase I report by the funding agency. A business may
receive only one grant under this subsection Section per year.
A business may receive only one grant under this subsection
Section with respect to each federal proposal submission. Over
its lifetime, a business may receive a maximum of 5 awards
under this subsection Section.
(c-5) The Department may award grants to match the funds
received by a business through an SBIR/STTR Phase II proposal
up to a maximum of $250,000. Fifty percent of the total grant
shall be remitted to the business upon receipt of the
SBIR/STTR Phase II award and application for funds under this
Section. Fifty percent of the total grant shall be remitted to
the business upon submission by the business of the Phase II
final report to the federal funding agency. A business may
receive only one grant under this subsection per year. A
business may receive only one grant under this subsection with
respect to each federal proposal submission. Over its
lifetime, a business may receive a maximum of 2 awards under
this subsection.
(d) A business shall apply, under oath, to the Department
for a grant under this Section on a form prescribed by the
Department that includes at least all of the following:
(1) the name of the business, the form of business
organization under which it is operated, and the names and
addresses of the principals or management of the business;
(2) an acknowledgment of receipt of the Phase I report

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and Phase II proposal by the relevant federal agency; and
(3) any other information necessary for the Department
to evaluate the application.
(Source: P.A. 101-657, eff. 3-23-21; 102-813, eff. 5-13-22.)