Funds left at the end of fiscal year 2026 may be used in fiscal year 2027
What the document says“If a Federal agency that participates in the SBIR or STTR program has funds remaining at the end of fiscal year 2026 from amounts required to be expended under subsection (f)(1) or (n)(1), respectively, of section 9 of the Small Business Act (15 U.S.C. 638), the Federal agency may use those remaining funds in fiscal year 2027 for the SBIR or STTR program, as applicable, of the Federal agency.”
Subsection (b) allows a one time carry over. Where a participating agency still holds funds at the end of fiscal year 2026 from the amounts it was required to spend under subsection (f)(1) for SBIR or subsection (n)(1) for STTR, it may use them in fiscal year 2027 for the program they came from. The permission is written for those two fiscal years only.
What the document actually says“If a Federal agency that participates in the SBIR or STTR program has funds remaining at the end of fiscal year 2026 from amounts required to be expended under subsection (f)(1) or (n)(1), respectively, of section 9 of the Small Business Act (15 U.S.C. 638), the Federal agency may use those remaining funds in fiscal year 2027 for the SBIR or STTR program, as applicable, of the Federal agency.”
An agency may have money left at the end of the 2026 budget year. It can spend that money in the next year instead. It must spend it on the same program.
This covers one pair of years only. It is not a standing rule. Money for one program cannot be moved to the other.
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