Comment on FR Doc # 2012-11586

I fully support the proposed change to determine eligibility at the time proposal (Section 121.704). Some argue this may be a hurdle to university or large corporation employees who prepare proposals while retaining the comfort and security of a day job, then jump ship or spin off when a proposal is selected. SBIR is strongest in providing support for great ideas that might otherwise languish. Those committed to building a long-term sustainable business based on innovative R&D are not cowed by the risks involved in striking out on their own, while many of those coming from industry or university settings might simply fold and return to their pre-SBIR status. With determination at time of award: A corporate or university employee may propose an SBIR, get selected, take a leave from their post, conduct a Phase I, then a Phase II. Towards the end of the Phase II, they make some phone calls to their old employer, pitch the new technology to them. They like that the government has paid the salary for a few years and has taken all the risk of the early-stage out of the picture. They agree to acquire the SBIR firm and hire the employee back. The inventor moves from the comfort of a secure job to the temporary certainty of a government contract or grant. After a few years, the ostensible small business is simply reabsorbed into the large corporate structure. How is that different from the government simply contracting directly with a small division or team at a large prime? I don't believe that that is the intent of the SBIR program. The issue is how best can the federal government expend resources to support transformative innovations that otherwise would never see the light of day. The safe and comfortable professor or corporatier if they're committed to them will likely pursue their interests regardless (as they already have access to more than 95% of federal R&D investments). Let's leave SBIR to drive innovations where they might otherwise never have a chance.