Small Business Innovation and Economic Security Act

Expands and extends federal small business research and development programs through September 30, 2031, while adding new rules on security, funding, and participation. Bars high-risk small businesses from receiving awards after security checks, requires agencies to notify denied applicants, and allows them to reapply. Limits how many proposals businesses can submit each year starting in 2027 and sets deadlines for waiver decisions.

Allows federal agencies to award up to $30 million for advanced projects if matching funds are provided, with this authority ending in 2031. Requires training for federal contracting staff and directs the Small Business Administration to update rules within one year to encourage later-stage, or Phase III, awards and simplify contracting.

Permits small businesses to use limited funds for support services like staffing, training, and security reviews. Requires better tracking of awards and related contracts in federal data systems. Affects small businesses seeking federal research funding and agencies that manage and award these programs.