A bill that would reauthorize two programs intended to help small businesses commercialize research projects is expected to be marked up Wednesday by a Senate panel.

The draft bill, to be marked up by the Senate Committee on Small Business and Entrepreneurship, would reauthorize the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (SBTT) programs. Both are run by the Small Business Administration, but many agencies participate, including the Defense and Energy departments.

The SBIR program seeks to make small high-tech businesses more involved in federal research activities. The SBTT program helps fund cooperative research between small businesses and research institutions. Both are intended to encourage the commercialization of federal research and development efforts.

Details on the draft bill’s scope and authorization levels were unavailable, but a Democratic committee aide said the draft is expected to contain a longer authorization period than that in a bill passed by the House (HR 5819) in April. The House bill would authorize SBIR for two years and SBTT for one.

According to committee documents, the draft bill will contain a compromise on an issue that has plagued the House bill: whether to allow small businesses that are majority-owned by venture capital firms to be eligible for the grants.

The House legislation would allow these venture capital-backed companies to apply for grants. But small businesses that aren’t venture-capital backed have argued that this would crowd out the very startup businesses the programs are intended to help flourish.

Details on the compromise in the Senate bill were unavailable because they are still being drafted.

The bill will be marked up at 10 a.m. Wednesday in Russell 428-A.