Title 15, Commerce and TradeRelease 119-110

§3704 Experimental Program to Stimulate Competitive Technology

Title 15 › CHAPTER 63 — TECHNOLOGY INNOVATION › § 3704

Last updated Sep 23, 2026|Official source

Summary

Starting in fiscal year 1999, the Secretary must set up a program called the Experimental Program to Stimulate Competitive Technology to help States that have gotten less Federal research and development money. The Secretary must work with State science committees, State science and technology councils, and small technology businesses. The program can give grants or cooperative agreements for technology research and development, moving university research into use, spreading and installing technology, and building stronger tech partnerships made up of small tech firms, industries, universities, and State or local development groups. Awards must be chosen by competition with a review of their quality. Non‑Federal partners must pay at least 25 percent of the costs (except for planning). The Secretary will set goals each State must reach; once a State meets all goals it is no longer eligible. The Secretary should, when possible, coordinate this program with other Commerce Department programs. The Secretary must also create a Minority Serving Institution Digital and Wireless Technology Opportunity Program to give grants, cooperative agreements, and contracts to eligible minority-serving colleges so they can get and use digital and wireless technology to improve teaching and learning. Applicants must apply with a plan; the Secretary will use an advisory council and review panels (including minority-serving institution representatives) to judge proposals and avoid conflicts of interest. No institution that gets more than $2,500,000 can get another award under this program. Consortia and planning grants are allowed. The Secretary must try to fund different types of eligible institutions and give priority to the ones with the greatest need. Funds can buy equipment, training, teacher preparation, technical help, and support research and education. Recipients must report yearly. The Secretary must contract with the National Academy of Public Administration within 6 months after August 14, 2008, for independent assessments every 3 years for the 10‑year period after August 14, 2008; those assessments will evaluate effectiveness and give recommendations, and the Secretary must send them and any planned responses to Congress. Matching rule for this Minority program: grantees must provide non‑Federal contributions equal to 25 percent of the award or $500,000, whichever is less; the Secretary must waive this if an institution has no endowment or an endowment under $50,000,000. Definitions (one line each): digital and wireless networking technology — equipment and software for sending information in digital form; eligible institution — various types of minority‑serving colleges or consortia; institution of higher education — as defined in federal education law; local educational agency — as defined in federal education law; minority business — includes certain HUBZone small businesses; minority individual — persons from specified racial or ethnic groups; State and State educational agency — as defined in federal education law.

Full Legal Text

Title 15, §3704

Commerce and Trade, Source: USLM XML via OLRC

(a)Program establishment
(1)In general
Beginning in fiscal year 1999, the Secretary shall establish a program to be known as the Experimental Program to Stimulate Competitive Technology (referred to in this subsection as the “program”). The purpose of the program shall be to strengthen the technological competitiveness of those States that have historically received less Federal research and development funds than those received by a majority of the States.
(2)Arrangements
In carrying out the program, the Secretary shall—
(A)enter into such arrangements as may be necessary to provide for the coordination of the program through the State committees established under the Experimental Program to Stimulate Competitive Research of the National Science Foundation; and
(B)cooperate with—
(i)any State science and technology council established under the program under subparagraph (A); and
(ii)representatives of small business firms and other appropriate technology-based businesses.
(3)Grants and cooperative agreements
In carrying out the program, the Secretary may make grants or enter into cooperative agreements to provide for— (A)
(B)technology transfer from university research;
(C)technology deployment and diffusion; and
(D)the strengthening of technological capabilities through consortia comprised of—
(i)technology-based small business firms;
(ii)industries and emerging companies;
(iii)universities; and
(iv)State and local development agencies and entities.
(4)Requirements for making awards
(A)In general
In making awards under this subsection, the Secretary shall ensure that the awards are awarded on a competitive basis that includes a review of the merits of the activities that are the subject of the award.
(B)Matching requirement
The non-Federal share of the activities (other than planning activities) carried out under an award under this subsection shall be not less than 25 percent of the cost of those activities.
(5)Criteria for States
The Secretary shall establish criteria for achievement by each State that participates in the program. Upon the achievement of all such criteria, a State shall cease to be eligible to participate in the program.
(b)Coordination
To the extent practicable, in carrying out subsection (a), the Secretary shall coordinate the program with other programs of the Department of Commerce.
(c)Minority Serving Institution Digital and Wireless Technology Opportunity Program
(1)In general
The Secretary shall establish a Minority Serving Institution Digital and Wireless Technology Opportunity Program that awards grants, cooperative agreements, and contracts to eligible institutions to enable the eligible institutions in acquiring, and augmenting the institutions’ use of, digital and wireless networking technologies to improve the quality and delivery of educational services at eligible institutions.
(2)Application and review procedures
(A)In general
To be eligible to receive a grant, cooperative agreement, or contract under this subsection, an eligible institution shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require. Such application, at a minimum, shall include a description of how the funds will be used, including a description of any digital and wireless networking technology to be acquired, and a description of how the institution will ensure that digital and wireless networking technology will be made accessible to, and employed by, students, faculty, and administrators. The Secretary, consistent with subparagraph (C) and in consultation with the advisory council established under subparagraph (B), shall establish procedures to review such applications. The Secretary shall publish the application requirements and review criteria in the Federal Register, along with a statement describing the availability of funds.
(B)Advisory council
The Secretary shall establish an advisory council to advise the Secretary on the best approaches to encourage maximum participation by eligible institutions in the program established under paragraph (1), and on the procedures to review applications submitted to the program. In selecting the members of the advisory council, the Secretary shall consult with representatives of appropriate organizations, including representatives of eligible institutions, to ensure that the membership of the advisory council includes representatives of minority businesses and eligible institution communities. The Secretary shall also consult with experts in digital and wireless networking technology to ensure that such expertise is represented on the advisory council.
(C)Review panels
Each application submitted under this subsection by an eligible institution shall be reviewed by a panel of individuals selected by the Secretary to judge the quality and merit of the proposal, including the extent to which the eligible institution can effectively and successfully utilize the proposed grant, cooperative agreement, or contract to carry out the program described in paragraph (1). The Secretary shall ensure that the review panels include representatives of minority serving institutions and others who are knowledgeable about eligible institutions and technology issues. The Secretary shall ensure that no individual assigned under this subsection to review any application has a conflict of interest with regard to that application. The Secretary shall take into consideration the recommendations of the review panel in determining whether to award a grant, cooperative agreement, or contract to an eligible institution.
(3)Awards
(A)Limitation
An eligible institution that receives a grant, cooperative agreement, or contract under this subsection that exceeds $2,500,000 shall not be eligible to receive another grant, cooperative agreement, or contract under this subsection.
(B)Consortia
Grants, cooperative agreements, and contracts may only be awarded to eligible institutions. Eligible institutions may seek funding under this subsection for consortia, which may include other eligible institutions, a State or a State educational agency, local educational agencies, institutions of higher education, community-based organizations, national nonprofit organizations, or businesses, including minority businesses.
(C)Planning grants
The Secretary may provide funds to develop strategic plans to implement grants, cooperative agreements, or contracts awarded under this subsection.
(D)Institutional diversity
In awarding grants, cooperative agreements, and contracts to eligible institutions, the Secretary shall ensure, to the extent practicable, that awards are made to all types of institutions eligible for assistance under this subsection.
(E)Need
In awarding funds under this subsection, the Secretary shall give priority to the eligible institution with the greatest demonstrated need for assistance.
(4)Authorized activities
An eligible institution may use a grant, cooperative agreement, or contract awarded under this subsection— (A)
(B)to develop and provide training, education, and professional development programs, including faculty development, to increase the use of, and usefulness of, digital and wireless networking technology;
(C)to provide teacher education, including the provision of preservice teacher training and in-service professional development at eligible institutions, library and media specialist training, and preschool and teacher aid certification to individuals who seek to acquire or enhance technology skills in order to use digital and wireless networking technology in the classroom or instructional process, including instruction in science, mathematics, engineering, and technology subjects;
(D)to obtain capacity-building technical assistance, including through remote technical support, technical assistance workshops, and distance learning services; or
(E)to foster the use of digital and wireless networking technology to improve research and education, including scientific, mathematics, engineering, and technology instruction.
(5)Information dissemination
The Secretary shall convene an annual meeting of eligible institutions receiving grants, cooperative agreements, or contracts under this subsection to foster collaboration and capacity-building activities among eligible institutions.
(6)Matching requirement
The Secretary may not award a grant, cooperative agreement, or contract to an eligible institution under this subsection unless such institution agrees that, with respect to the costs incurred by the institution in carrying out the program for which the grant, cooperative agreement, or contract was awarded, such institution shall make available, directly, or through donations from public or private entities, non-Federal contributions in an amount equal to 25 percent of the grant, cooperative agreement, or contract awarded by the Secretary, or $500,000, whichever is the lesser amount. The Secretary shall waive the matching requirement for any institution or consortium with no endowment, or an endowment that has a current dollar value lower than $50,000,000.
(7)Annual report and assessments
(A)Annual report required from recipients
Each eligible institution that receives a grant, cooperative agreement, or contract awarded under this subsection shall provide an annual report to the Secretary on its use of the grant, cooperative agreement, or contract.
(B)Independent assessments
(i)Contract to conduct assessments
Not later than 6 months after August 14, 2008, the Secretary shall enter into a contract with the National Academy of Public Administration to conduct periodic assessments of the program established under paragraph (1). The assessments shall be conducted once every 3 years during the 10-year period following August 14, 2008.
(ii)Evaluations and recommendations
The assessments described in clause (i) shall include—
(I)an evaluation of the effectiveness of the program established under paragraph (1) in improving the education and training of students, faculty, and staff at eligible institutions that have been awarded grants, cooperative agreements, or contracts under the program;
(II)an evaluation of the effectiveness of the program in improving access to, and familiarity with, digital and wireless networking technology for students, faculty, and staff at all eligible institutions;
(III)an evaluation of the procedures established under paragraph (2)(A); and
(IV)recommendations for improving the program, including recommendations concerning the continuing need for Federal support.
(iii)Review of reports
In carrying out the assessments under this subparagraph, the National Academy of Public Administration shall review the reports submitted to the Secretary under subparagraph (A).
(iv)Report to Congress
Upon completion of each assessment under this subparagraph, the Secretary shall transmit the assessment to Congress along with a summary of the Secretary’s plans, if any, to implement the recommendations of the National Academy of Public Administration.
(8)Definitions
In this subsection: (A) Digital and wireless networking technology
(B)Eligible institution
The term “eligible institution” means an institution that is—
(i)a part B institution, as defined in section 1061(2) of title 20, an institution identified in subparagraph (A), (B), or (C) of section 1063b(e)(1) of title 20, or a consortium of institutions described in this clause;
(ii)a Hispanic-serving institution, as defined in section 1101a(a)(5) of title 20;
(iii)a Tribal College or University, as defined in section 1059c(b)(3) of title 20;
(iv)an Alaska Native-serving institution, as defined in section 1059d(b) of title 20;
(v)a Native Hawaiian-serving institution, as defined in section 1059d(b) of title 20;
(vi)a Predominately Black Institution, as defined in section 1059e of title 20;
(vii)a Native American-serving, nontribal institution, as defined in section 1059f of title 20;
(viii)an Asian American and Native American Pacific Islander-serving institution, as defined in section 1059g of title 20; or
(ix)a minority institution, as defined in section 1067k of title 20, with an enrollment of needy students, as defined in section 1058(d) of title 20.
(C)Institution of higher education
The term “institution of higher education” has the meaning given the term in section 1001 of title 20.
(D)Local educational agency
The term “local educational agency” has the meaning given the term in section 7801 of title 20.
(E)Minority business
The term “minority business” includes HUBZone small business concerns (as defined in section 632(p) of this title).
(F)Minority individual
The term “minority individual” means an American Indian, Alaskan Native, Black (not of Hispanic origin), Hispanic (including persons of Mexican, Puerto Rican, Cuban, and Central or South American origin), or Pacific Islander individual.
(G)State
The term “State” has the meaning given the term in section 7801 of title 20.
(H)State educational agency
The term “State educational agency” has the meaning given the term in section 7801 of title 20.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

section 632(p) of this title, referred to in subsec. (c)(8)(E), was redesignated section 657a(b) of this title by Pub. L. 115–91, div. A, title XVII, § 1701(a)(2), Dec. 12, 2017, 131 Stat. 1795.

Amendments

2015—Subsec. (c)(8)(D), (G), (H). Pub. L. 114–95 made technical

Amendments

to references in original act which appear in text as references to section 7801 of title 20. 2008—Subsec. (c). Pub. L. 110–315 added subsec. (c). 2007—Pub. L. 110–69, § 3002(a)(5), substituted “Experimental program to stimulate competitive technology” for “Commerce and technological innovation” in section catchline. Subsec. (a). Pub. L. 110–69, § 3002(a)(3)(B), (E), substituted “Program establishment” for “Experimental Program to Stimulate Competitive Technology” in heading and struck out “, acting through the Under Secretary,” after “Secretary” wherever appearing in text. Pub. L. 110–69, § 3002(a)(1), (2), redesignated subsec. (f) as (a) and struck out former subsec. (a) which related to the establishment of a Technology Administration within the Department of Commerce. Subsec. (a)(1). Pub. L. 110–69, § 3002(a)(3)(A), substituted “Beginning in fiscal year 1999, the Secretary shall establish” for “The Secretary, acting through the Under Secretary, shall establish for fiscal year 1999”. Subsec. (a)(6). Pub. L. 110–69, § 3002(a)(3)(C), redesignated par. (6) as subsec. (b). Subsec. (a)(7). Pub. L. 110–69, § 3002(a)(3)(D), struck out par. (7) which required the Under Secretary of Commerce for Technology to submit a report on the Experimental Program to Stimulate Competitive Technology no later than 90 days after Oct. 30, 1998. Subsec. (b). Pub. L. 110–69, § 3002(a)(1), (3)(C), (4), redesignated subsec. (a)(6) as (b), substituted “subsection (a)” for “this subsection”, and struck out former subsec. (b) which related to appointment of Under Secretary of Commerce for Technology and Assistant Secretary of Commerce for Technology Policy. Subsecs. (c) to (e). Pub. L. 110–69, § 3002(a)(1), struck out subsecs. (c) to (e) which related, respectively, to duties of the Secretary, Japanese technical literature, and a progress report required within 3 years after Oct. 21, 1980. Subsec. (f). Pub. L. 110–69, § 3002(a)(2), redesignated subsec. (f) as (a). 2000—Subsec. (c)(11). Pub. L. 106–404 substituted “State or local governments” for “State of local governments”. 1998—Subsec. (f). Pub. L. 105–309 added subsec. (f). 1992—Subsec. (c)(13) to (15). Pub. L. 102–245 added par. (13) and redesignated former pars. (13) and (14) as (14) and (15), respectively. 1988—Subsec. (a). Pub. L. 100–519, § 201(a), amended subsec. (a) generally. Prior to amendment, subsec. (a) read as follows: “The Secretary shall establish and maintain an Office of Productivity, Technology, and Innovation in accordance with the provisions, findings, and purposes of this chapter.” Subsec. (b). Pub. L. 100–519, § 201(b), amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: “The President shall appoint, by and with the advice and consent of the Senate, an Assistant Secretary for Productivity, Technology, and Innovation.” Subsec. (c). Pub. L. 100–519, § 201(c)(2), substituted “Under Secretary, as appropriate,” for “Assistant Secretary, on a continuing basis,” in introductory provisions. Subsec. (c)(1) to (9). Pub. L. 100–519, § 201(c)(1), (2), added pars. (1) to (4) and redesignated former pars. (1) to (5) as (5) to (9), respectively. Former pars. (6) to (9) redesignated (10) to (13), respectively. Subsec. (c)(10). Pub. L. 100–519, § 201(c)(1), (3), redesignated former par. (6) as (10) and substituted “Under Secretary” for “Assistant Secretary”. Former par. (10) redesignated (14). Subsec. (c)(11) to (14). Pub. L. 100–519, § 201(c)(1), redesignated former pars. (7) to (10) as (11) to (14), respectively. Subsec. (d)(1). Pub. L. 100–519, § 201(d)(2), substituted “and the Under Secretary shall establish, and through the National Technical Information Service and with the cooperation of” for “shall establish and, through the National Technical Information Service and”. 1986—Subsec. (a). Pub. L. 99–502, § 9(b)(3), substituted “Office of Productivity, Technology, and Innovation” for “Office of Industrial Technology”. Subsec. (b). Pub. L. 99–502, § 9(b)(4), substituted “an Assistant Secretary for Productivity, Technology, and Innovation” for “a Director of the Office, who shall be compensated at the rate provided for level V of the Executive Schedule in section 5316 of title 5”. Subsec. (c). Pub. L. 99–502, § 9(b)(5)(A), substituted “the Assistant Secretary” for “the Director” in provisions preceding par. (1). Subsec. (c)(6). Pub. L. 99–502, § 9(b)(5)(A), substituted “the Assistant Secretary” for “the Director”. Subsec. (c)(7) to (10). Pub. L. 99–502, § 9(b)(5)(B), (C), added pars. (7) and (8) and redesignated former pars. (7) and (8) as (9) and (10), respectively. Subsec. (d). Pub. L. 99–382, § 2(2), added subsec. (d). Former subsec. (d) redesignated (e). Subsec. (e). Pub. L. 99–502, § 9(e)(2)(A), which directed the insertion of “(as then in effect)” in subsec. (d), was executed to subsec. (e) to reflect the probable intent of Congress in view of the redesignation of subsec. (d) as (e) by Pub. L. 99–382. Pub. L. 99–382, § 2(1), redesignated subsec. (d) as (e).

Statutory Notes and Related Subsidiaries

Effective Date

of 2015 AmendmentAmendment by Pub. L. 114–95 effective Dec. 10, 2015, except with respect to certain noncompetitive programs and competitive programs, see section 5 of Pub. L. 114–95, set out as a note under section 6301 of Title 20, Education.

Construction

Pub. L. 110–69, title III, § 3002(b), Aug. 9, 2007, 121 Stat. 586, provided that: “The

Amendments

made by subsection (a) [amending this section] shall not be construed to eliminate the National Institute of Standards and Technology or the National Technical Information Service.” Transition Provision Pub. L. 100–519, title II, § 201(e), Oct. 24, 1988, 102 Stat. 2594, provided that: “The individual serving as the Assistant Secretary of Commerce for Productivity, Technology, and Innovation immediately before the date of enactment of this Act [Oct. 24, 1988] shall serve as Acting Assistant Secretary of Commerce for Technology Policy until the Assistant Secretary takes office.” Commercial Space Programs Pub. L. 100–519, title II, § 201(f), as added by Pub. L. 100–685, title II, § 219, Nov. 17, 1988, 102 Stat. 4095, provided that: “Nothing in this section [amending this section, section 3703 and 3710 of this title, and section 5314 of Title 5, Government Organization and Employees, and enacting provisions formerly set out as a note above] authorizes the Department to establish an Office of Commercial Space Programs or to place such an office into the Technology Administration without prior authorization of the Congress.”

Reference

Citations & Metadata

Citation

15 U.S.C. § 3704

Title 15, Commerce and Trade

Last Updated

Sep 23, 2026

Release point: 119-110