1. Dept. of Homeland Security Science & Technology Directorate
Obtaining Federal R&D Funding
Contracting and R&D Summit
McLean, VA
May 11, 2010
Douglas Maughan, Ph.D.
Branch Chief / Program Mgr.
douglas.maughan@dhs.gov
202-254-6145 / 202-360-3170

2. Agenda
 Understanding the Landscape
 Contracting
 Small Business Programs
 Larger R&D Solicitations
 Summary / Q&A

3. Federal Cyber Research Community
Customers /
Agency / Org Research Agenda Researchers Consumers
National Science Broad range of cyber security Academics and Non- Basic Research - No
Foundation (NSF) topics; Several academic centers Profits specific customers
Defense Advanced Mostly classified; unclassified Few academics; large Mostly DOD; most
Research Projects topics are focused on MANET system integrators; solutions are GOTS, not
Agency (DARPA) solutions research and government COTS
labs
National Security Agency SELinux; Networking theory; Mostly in-house Intelligence community;
(NSA) CAEIAE centers some NSA internal; some
open source
Intelligence Advanced Accountable Information Flow Mostly research labs, Intelligence community
Research Projects (AIF); Large Scale System system integrators, and
Agency (IARPA) Defense (LSSD); Privacy national labs; Some
Protection Technologies (PPT) academics
Department of Homeland All unclassified; Secure Internet Blend of academics, DHS Components
Security (DHS) S&T Protocols; Process Control research and government (including NPPD, NCSC,
Systems (PCS), Emerging labs, non-profits, private USCG, FLETC and
Threats, Insider Threat, Cyber sector and small business USSS); CI/KR Sectors;
Forensics; Open Security USG and Internet
Technologies, Next Generation
Technologies

4. Increasing Your Success Rate
 Understand your client
 Federal agencies have distinctly different characters
 Different missions
 Different processes
 Federal agencies are not charities
 Money is appropriated to them for specific purposes
 You will be more successful if you can explain why your
proposed R&D supports their mission

5. Federal R&D Programs
 A program is led by a Program Manager (PM)
 A program will have:
 Specific Technology Objectives aligned with customer
needs that will have a significant operational impact
 Plan to move from current level of technical maturity to a
higher level (e.g., DOD = Technology Readiness Levels)
 An approach indicating how objectives will be achieved
 A program structure indicating how the PM has deployed
resources (time, money, executors) to achieve objectives
 Deliverables
 Transition Strategy/Technology Development Path

6. Federal R&D Process
• Identify requirements
• Develop program plan and allocate resources
•Planning • Communicate plans and priorities to technical
community
• Posting Solicitations
•Solicitation • Solicitation Process – White Papers
• Submitting proposals
• Different programs demand
•Contract different contract vehicles
• Flexibility used to match mission
• Programs tailored to meet
unique conditions of
•Execution objectives
• Active interaction with
performers

7. Relationship with Program Manager
 PM’s job is to manage technical and programmatic
risk and WANTS YOU TO SUCCEED
 PM wants to leverage existing technology, others’
R&D investment and market pull
 PM wants the intellectual property strategy aligned
with transition plan, but will usually negotiate
 The PM is a resource for you in accomplishing the
R&D and in transitioning to the (government)
customer

8. Mechanics of Proposing R&D
 Find agencies with closest mission match
 Identify R&D element(s) within the agencies
 Look for existing R&D solicitations (Money already
exists for these efforts!)
 Do your homework (read website, workshop results,
any presentations on your target program solicitation)
 Respond to solicitation carefully – meet all
administrative requirements and make sure your
R&D matches the stated program needs
 If no solicitation, contact R&D PM. Explain
relevance to mission. Be patient. Be persistent.

9. Agenda
 Understanding the Landscape
 Contracting
 Small Business Programs
 Larger R&D Solicitations
 Summary / Q&A

10. Contracting Vehicles
 The Government has a range of contracting vehicles
to match programmatic needs and contractor
character
 Grants
 Contracts
 Cooperative agreements
 Other Transactions for Research or Prototypes
 Only some agencies have authority for OTs
 Allows government to deal with non-traditional contractors who
have desirable technologies, but do not want to keep “Government
books”
 Must comply with “generally acceptable accounting principles”

11. R&D Proposals
 Contract Types for R&D
 Team approach (technical & business)
 Consider hiring government contracting specialist
 Cost realism - Cost or Price Analysis
 Business Capabilities
 Financial Audit
 Proposal Costs
 Accounting System
 Estimating System
 Financial Capabilities
 Past Performance

12. The Normal Contract
 Terms
 Read & Understand Your Contract
 Contract Line Items/Deliverables
 Contract Clauses
 Performance
 Proposal - What did you say you would do?
 Deliverables - Due Dates
 Acceptance - How Accomplished
 Payment
 Invoicing Procedures and Certification
 Prompt Payment Act
 Limitation of Funds/Limitation of Cost

13. Helpful Contracting Websites
 http://www.dcaa.mil/dcaap7641.90.pdf
 http://www.sba.gov/services/contractingopportunities
 http://farsite.hill.af.mil
 http://acquisition.gov/far/index.html

14. Agenda
 Understanding the Landscape
 Contracting
 Small Business Programs
 Larger R&D Solicitations
 Summary / Q&A

15. Programs for U. S. Small Business
 Small Business Innovation Research (SBIR)
2.5%  Set-asideprogram for small business concerns to
engage in federal R&D -- with potential for
commercialization
 Small Business Technology Transfer (STTR)
 Set-aside program to facilitate cooperative R&D
.3%
between small business concerns and research
institutions -- with potential for commercialization

16. SBIR - A 3 Phase Program
•PHASE I
• Feasibility Study
• $100K (in general) and 6 month effort
•PHASE II
• Full Research/R&D
• $750K and 24 month effort
• Commercialization plan required
•PHASE III
• Commercialization Stage
• Use of non-SBIR Funds

17. Which Government Agencies?
 Both SBIR/STTR
 Defense
 Health & Human Services
 NASA
 DOE
 NSF
 DHS
 SBIR only
 DOA
 DOC
 ED
 EPA
 DOT
 NIH

18. Agency SBIR Differences
 Number and timing of solicitations
 R&D Topic Areas – Broad vs. Focused
 Dollar Amount of Award (Phase I and II)
 Proposal preparation instructions
 Financial details (e.g., Indirect Cost Rates)
 Proposal review process
 Proposal success rates
 Types of award
 Commercialization assistance
 And more…………

19. SBIR Program: Small Business
Concern Eligibility
 Organized for-profit
 placeof business located in the U.S.,
 operates primarily with the U.S.,
 or which makes significant contribution to the U.S.
economy through payment of taxes or use of American
products, materials or labor
 Is in the legal form of an individual proprietorship,
partnership, limited liability company, corporation,
joint venture, association, trust or cooperative
 except that where the form is a joint venture, there can be
no more than 49% participation by business entities in the
joint venture

20. SBIR Program: Small Business
Concern Eligibility (continued)
 Fewer than 500 employees, including affiliates
 Principal Investigator’s (PI) primary employment
must be with the small business concern at the time of
award and for the duration of the project period

21. Performance of R&D Activities
 “All research/R&D must be performed in its entirety
in the U.S.”
 Rare cases to conduct testing of specific patient
populations outside U.S. is allowable
 Travel to scientific meeting in foreign country is allowable
 Foreign consultants/collaborators allowable, but must
perform consulting in U.S.

22. Intellectual Property, Data Rights
and the SBIR Program
 As with all contracts, pursuant to the Bayh-Dole Act,
an SBIR contractor can elect title to inventions
discovered under the SBIR contract (FAR 52.227-11)
 The Small Business Act (15 U.S.C. 631(j)(2)(A))
provides for retention by an SBIR awardee of the
rights to data generated by the concern in the
performance of an SBIR award
 Protection of SBIR data is intended to provide incentive for
further development or commercialization of technology by
the SBIR awardee

23. Intellectual Property, Data Rights
and the SBIR Program (continued)
 The SBIR Program is an instance in which
government funds are be used to create data protected
from disclosure, and therefore, has its own rights in
data clause (FAR 52.227-20)
 As a result, the government must protect from disclosure
and non-governmental use “SBIR data”, technical data, and
computer software first produced under a SBIR funding
agreement and properly marked
 The period of protection under the FAR is four years from
delivery of the last deliverable under that agreement
 Protections against disclosure of data from one phase may extend to
four years after subsequent SBIR awards if properly recognized in
subsequent awards

24. DHS S&T SBIR Evaluation Criteria
 The soundness, technical merit, and innovation of the
proposed approach and its progress toward topic
solution
 The qualifications of the proposed principal
investigators, supporting staff, and consultants
 Qualifications include not only the ability to perform the
research and development but also the ability to
commercialize the results
 The potential for commercial (government or private
sector) application and the benefits expected to accrue
from this commercialization

25. Participants in DHS SBIR Program?
50%
44%
45%
40%
35%
30%
25%
20% 16%
14% 13%
15%
8%
10%
3% 2%
5%
0%
1 2-9 10-24 25-49 50-99 100-249 250-500
Number of Employees

26. DHS SBIR Phase I
11 Competitions through FY08.2*
•WA
•46/12 •NH
•MT •ND •VT 6/1 •20/4 •ME
•9/2 •1/0 •8/0
•OR •MN
•13/2 •ID •31/6 •MA 213/35
•SD •WI •NY
•5/0 •MI
•WY •0/0 •10/1 •81/22 •RI 8/2
•2/0 •54/6
•NE •IA •CT 36/4
•PA 51/5
•NV •3/0
•4/1 •IL •IN •OH •NJ 59/4
•16/1 •UT •CO •WV
•CA •33/5 •27/2 •40/1 •DE 7/0
•417/84 •24/7 •57/10 •KS •10/1 •VA •DC 5/0
•MO •165/23 •MD 125/19
•6/1 •13/2 •KY 5/0
•
•NC 29/3
•AZ •OK •AR •TN 16/1
•NM •SC
•38/8 •10/2 •3/0
•34/6 •AL •GA •7/1
•MS •34/6
•32/1
•TX •LA •3/0
•AK •117/22 •17/1
•2/0 •FL
•67/6 •PR 1/0
Total Phase I
Submissions/Awards
•HI 11/1 2,031/321
* Includes STTR data

27. Added Bonus - Cost Match
 Allows small businesses to seek additional funding
for Phase II projects from non-SBIR sources
 Minimum of $100,000 to maximum of $500,000 of
outside funding
 Matched by DHS SBIR up to $250,000 in a 1:2 ratio
 Additional funds require additional scope – need to
either add R&D on SBIR contract or other
development and commercialization activities (or
some of both)
 Cost match is a motivator for, and an indicator of,
commercial potential

28. The DoD IA Research Community
•Industry
NSA ONR AFRL ARL
National IA NRL AFOSR ARO
Research Lab •Academia
SBIRs are funded by DDR&E, DARPA, the Services and
Agencies

29. DDR&E Small Business Innovative
Research (SBIR) Program
 Cyber Security awards since 2007 - present
 123 Phase I awards Includes SBIR & STTR
 39 Phase II awards
 Roughly $11 M per year DDR&E awards
 Annual SBIR Workshop (20-22 July 2010 at
WPAFB, OH)
 Links government, SBIR researchers, prime contractors
 145 participants

30. DOD DDR&E SBIR topics
 OSD09-IA1 Real-time Adversarial Characterization
and Adaptive Software Protection Countermeasures
 OSD09-IA2 Countermeasures to Covert Access
Methods to Reduce Attack Susceptibility and Ensure
Trust
 OSD09-IA3 Software Protection to Fight through an
Attack
 OSD09-IA4 Autonomic Knowledge Representation
Construction for Software Protection Systems
 OSD09-IA5 Developing Cyber Situation Awareness
for Enterprise Health

31. Useful Web Sites and
SBIR Point of Contact
Useful Web Sites
Elissa (Lisa) Sobolewski
 https://sbir.dhs.gov DHS SBIR Program Director
elissa.sobolewski@dhs.gov
 www.dhs.gov
(202) 254-6768
 www.dhs.gov/xopnbiz/
S&T SBIR Program Email:
 www.fedbizopps.gov STSBIR.PROGRAM@dhs.gov
 www.sbir.gov

32. Agenda
 Understanding the Landscape
 Contracting
 Small Business Programs
 Larger R&D Solicitations
 Summary / Q&A

33. Broad Agency Announcements (BAAs)
 http://baa.st.dhs.gov
 R&D funding model that delivers both near-term and
medium-term solutions:
 To develop new and enhanced technologies for the
detection of, prevention of, and response to cyber attacks
on the nation’s critical information infrastructure.
 To perform research and development (R&D) aimed at
improving the security of existing deployed technologies
and to ensure the security of new emerging systems;
 To facilitate the transfer of these technologies into the
national infrastructure as a matter of urgency.

34. Past Solicitations
 http://baa.st.dhs.gov
 Left hand side – Past Solicitations
 Look for BAA 07-09 and BAA 04-17
 Review BAA, any modifications or amendments,
presentations, etc.

35. BAA Program / Proposal Structure
 Type I (New Technologies)
 New technologies with an applied research phase, a
development phase, and a deployment phase (optional)
 Funding not to exceed 36 months (including deployment phase)
 Type II (Prototype Technologies)
 More mature prototype technologies with a development
phase and a deployment phase (optional)
 Funding not to exceed 24 months (including deployment phase)
 Type III (Mature Technologies)
 Mature technology with a deployment phase only.
 Funding not to exceed 12 months

36. BAA 07-09 Technical Topic Areas
 Botnets and Other Malware: Detection and Mitigation
 Composable and Scalable Secure Systems
 Cyber Security Metrics
 Network Data Visualization for Information Assurance
 Internet Tomography / Topography
 Routing Security Management Tool
 Process Control System Security
 Secure and Reliable Wireless Communication for Control Systems
 Real-Time Security Event Assessment and Mitigation
 Data Anonymization Tools and Techniques
 Insider Threat Detection and Mitigation

37. BAA 07-09 White Papers
Type I Type II Type III TOTALS
TTA 1 56 48 11 115
TTA 2 85 47 15 147
TTA 3 51 22 8 81
Registrations Received
TTA 4 36 29 10 75
TTA 5 21 12 4 37
TTA 6 10 8 5 23
TTA 7 43 31 13 87
TTA 8 22 16 4 42
TTA 9 49 30 15 94
TOTALS 373 243 85 701
36 months 24 months 12 months
Type I Type II Type III TOTALS
TTA 1 30 25 6 61
TTA 2 49 33 7 89
TTA 3 23 10 2 35
TTA 4 17 18 4 39
TTA 5 10 5 1 16
Submissions Received TTA 6 3 4 2 9
TTA 7 27 16 7 50
TTA 8 10 7 1 18
TTA 9 24 16 6 46
TOTALS 193 134 36 363

38. BAA 07-09 Full Proposal Statistics
FULL PROPOSALS
Type I Type II Type III TOTALS
TTA 1 5 4 3 12
AWARD
TTA 2 5 7 0 12
SUMMARY
TTA 3 2 3 1 6
Type I – 6
TTA 4 4 5 0 9 Type II – 9
TTA 5 3 0 0 3 Type III – 2
TTA 6 2 2 1 5
TTA 7 5 2 1 8 LEADS
TTA 8 1 1 0 2 Academic – 6
TTA 9 3 3 0 6 Industry – 10
TOTALS 30 27 6 63 Labs – 1
80 offerors were encouraged to submit Full Proposals based on
the White Paper reviews; 63 of those offerors submitted Full
Proposals.

39. Summary
 Learn about the agencies, their missions, and meet the
Program Managers
 Build your team to deliver – consider including
contracting personnel
 Understand the opportunities – SBIR, STTR, BAA,
RFP

40. Douglas Maughan, Ph.D.
Program Manager, CID
douglas.maughan@dhs.gov
202-254-6145 / 202-360-3170
For more information, visit
http://www.cyber.st.dhs.gov
9-10 March 2010 40