(a) Applicants. To be eligible to receive Arkansas Small Business Innovation Research Matching Grant Program funding, applicants shall:

1. (1) Submit a completed signed application, under forms provided by the Division of Science and Technology of the Arkansas Economic Development Commission;
2. (2) Meet the definition of “eligible business”; and

3. (3) Certify that:

   1. (A) For Phase I applications, they have received a Small Business Innovation Research grant from a sponsoring agency in response to a specific federal solicitation;
   2. (B) For Phase II applications, they have:

(i) Submitted a final Phase I Small Business Innovation Research report to the sponsoring agency;

1. (ii) Demonstrated that the sponsoring agency has interest in the Phase II Small Business Innovation Research proposal; and

   1. (iii) Submitted a Phase II proposal to the sponsoring agency;
   2. (C) All federal Small Business Innovation Research grant requirements will be met;
   3. (D) At least fifty-one percent (51%) of the program grant shall be spent in Arkansas;
   4. (E) They shall remain in Arkansas for the duration of the matching grant project;
   5. (F) An Arkansas resident or employee will be designated as the principal investigator/project manager for the duration of the matching grant; and

   6. (G) They will be principally engaged in one (1) or more of the following targeted business activities:

      1. (i) Advanced materials and manufacturing systems;
      2. (ii) Agriculture, food, and environmental sciences;
      3. (iii) Biotechnology, bioengineering, and life sciences;
      4. (iv) Information technology;
      5. (v) Transportation logistics; and
      6. (vi) Bio-based products.