HB609 Alabama 2021 Session

Summary

Primary Sponsor

Jeremy GrayRepresentative

Democrat

Co-Sponsor

Bill Poole

Session

Regular Session 2021

Title

Innovate Alabama Matching Grant Program, matching grants to entities receiving Small Business Innovation Research or Small Business Technology grants, Secs. 41-10-820 to 41-10-823, inclusive, added.

Summary

HB609 creates the Innovate Alabama Matching Grant Program to provide state matching funds to Alabama businesses that have won federal SBIR or STTR awards.

What This Bill Does

The Alabama Innovation Corporation would run a matching grants program for entities with federal SBIR/STTR awards, matching up to 50% of the award with caps of $100,000 for Phase I and $250,000 for Phase II. The program prioritizes in-state research activity and underrepresented groups, including partnerships with Alabama colleges, universities, and historically Black colleges and universities. Applicants must apply on forms issued by the corporation, and grants are awarded by the board with terms that require the business to remain in Alabama (including top executives and 75% of employees) for five years and to repay funds if they default.

Who It Affects

• Alabama-based small businesses or other eligible entities that have received SBIR or STTR awards and could receive a state grant to match those awards.
• Underrepresented companies and Alabama research partners (such as HudsonAlpha Institute for Biotechnology, Southern Research Institute, public or nonprofit colleges/universities, community colleges, and historically Black colleges and universities) that would be prioritized for grants and targeted support.

Key Provisions

• Creates the Innovate Alabama Matching Grant Program within the Alabama Innovation Corporation to provide matching funds for SBIR/STTR awards.
• Grants are the lesser of 50% of the federal award or the applicable cap: up to $100,000 for Phase I and up to $250,000 for Phase II.
• Applicants seeking a grant for SBIR/STTR must have a Phase I or Phase II award from a federal agency in response to a specific solicitation.
• The board may set priorities and establish guidelines, and may grant funds to entities conducting funded research in Alabama with in-state partners, emphasizing in-state diversity and partnerships with in-state institutions.
• Grant terms include the grant amount and approved use of funds, requirement that the entity’s primary place of business and most executives reside in Alabama, and that at least 75% of employees live in Alabama for five years after the grant.
• Default on the grant requires repayment of funds, with an exception if the entity ceases to be a going concern prior to default.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Innovation Corporation