Governor Ernie Fletcher’s Communication Office
Governor's Small Business Innovation Legislation Introduced in the General Assembly
Kentucky would be one of the first states in the nation to provide matching funds
FRANKFORT, Ky. – Governor Ernie Fletcher’s initiative to help maximize potential and profit for Kentucky’s small businesses was introduced last week in the general assembly.
House Bill 422 sponsored by Representatives Harry Moberly, Jr.,(D-Richmond), Jimmie Lee (D-Elizabethtown) and Don Pasley (D-Winchester) would authorize the Kentucky Economic Development Finance Authority to create an incentive program to match federal Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) awards to companies in Kentucky. These initiatives will encourage Kentucky’s small businesses to explore their technological potential and maximize profit from commercialization.
“Kentucky’s small businesses are a valuable resource for technological innovation, which helps stimulate our economy,” said Governor Fletcher. “This is why we proposed a program that would make the commonwealth one of the first states to provide matching funds to companies that receive federal SBIR and STTR awards.”
“This innovative and progressive program is tailored to the particular needs of our high-tech and knowledge-based businesses,” said Commissioner Deborah Clayton of the Department of Commercialization and Innovation. “It will help significantly enhance Kentucky’s economic competitiveness.”
The Cabinet for Economic Development’s Department of Commercialization and Innovation will administer the programs that will match all Phase I and Phase II federal SBIR and STTR awards received by Kentucky businesses. This would include matching awards of up to $100,000 to support Phase I exploration of the technical merit or feasibility of an idea or technology. Phase II federal awards, which support full-scale research and development, would be matched by the commonwealth up $500,000.
“The state match proposed in this bill is an important part of the strategy to create opportunity for Kentuckians through the growth and development of knowledge-based small businesses in our commonwealth,” said Representatives Harry Moberly, Jr. (D-Richmond) and Don Pasley (D-Winchester) in a joint statement. “We are proud to partner with the Governor on this proposal.”