GOVERNMENT
Clinton's Proposed Economic Plan Boosts Research, Technology Funding • Big winners under investment proposals are NSF, NIST, and Energy Department; savings aim at specific earmarked projects
T
he economic plan that President Bill Clinton presented to Con gress last month contains a num ber of investment proposals designed to accelerate the development and use of science and technology. Taken together they would increase available funding for selected federal civilian research and technology programs by some $14 bil lion over the next five years. The govern ment is spending about $28 billion for all its civilian R&D programs in the current fiscal year. However, the new Administration also found some waste in the federal research venture, primarily in the form of money earmarked for specific research projects and facilities. Cutting out such waste would save some $3.4 billion over the next five years, it estimates. And placing a cap on research overhead charges paid by federal grant funding agencies, which the Administration intends to do, is ex pected to save an estimated $1.6 billion over the same period. The National Science Foundation is a clear winner on the investment side of the Clinton economic plan. The report "A Vision of Change for America," which details Clinton's economic plan, notes that NSF had $1 billion of unfunded proposals that were rated excellent in 1992. Thus, it says, 'It appears that NSF has the capaci ty to invest more funds in a broad range of important research areas, including strategically targeted research in improv ing our understanding of the climate sys tem and improved engineering approach es to mitigate environmental problems; advanced computers and digital net works; biotechnology; materials process-
Science/technology community's gains outweigh losses in Clinton economic plan 1994
$ Millions, outlays
SAVINGS PROPOSALS Agriculture Eliminate Cooperative State Research Service (CSRC) earmarked grants Eliminate CSRS earmarked facilities Eliminate Agricultural Research Service earmarked facilities Energy Eliminate unnecessary nuclear reactor R&D Stretch out Superconducting Super Collider construction EPA Increase private-sector Superfund financing Health Increase FDA user fees NASA Redesign space station, invest in new technology Tennessee Valley Authority Terminate fertilizer and community development Cap university R&D overhead rate
$
1995
1996
1997
1998
Total 1994-98
-4 $ -18 $ -32 $ -42 $ -46 $ -142 -3 -1
-7 -6
-32 -7
-44 -10
-60 -10
-146 -34
-97
-198
-257
-268
-279
-1099 108
108
-31
-73
-95
-109
-118
^26
-167
-230
-285
-336
-387
-1405
203
662
625
636
510
2636
-Λ2
-46
-50
-50
-52
-240
-156
-330
-369
-383
-396
-1634
72
144
215
282
731
168 25
304 55
420 90
520 112
1460 287
50 39
116 72
243 90
439 95
859 305
46
84
127
175
446
322 266
420 383
456 457
480 514
1811 1720
158
253
320
362
1146
219 35 451 1503
403 47 758 1750
628 50 954 1977
805 50 1100 2200
2111 196 3397 8637
INVESTMENT PROPOSALS Agriculture research initiatives 18 Energy Conservation and renewable energy 48 5 Natural gas R&D: Emphasize utilization 11 Advanced neutron source Fusion research 9 Environment 14 Environmental technology (EPA) Technology and Business Reinvestment and Defense Conversion 133 Dual-use technology (DOD) Research initiatives (Federal 100 Coordinating Council for Science, Engineering & Technology) Crosscutting high-performance 53 computing (NSF, NIH, NASA, and NIST) NIST growth 56 14 National labs (nondefense) NSF 134 1207 Extend research and experimentation tax incentive
Note: NIST = National Institute of Standards & Technology Source: A Vision of Change for America. the White House
MARCH 8, 1993 C&EN
35
GOVERNMENT ing; advanced manufacturing; math and science education; and 'smarf highways, bridges, and other civil infrastructure." To ensure that NSF can make such investments, the plan calls for providing the agency with an additional $3.4 billion from 1994 through 1998. The National Institute of Standards & Technology (NIST) is also a primary beneficiary of the Clinton economic plan's emphasis on technology as an engine of economic growth. Its budget would be enhanced with an additional $2.1 billion over the next five years. Most of the increase goes to the advanced technology program, which provides matching grants for industry-led R&D programs. But it will also allow NIST to double, by 1998, the amount of R&D it performs in its own labs, and fund more than 100 manufacturing extension centers, which assist manufacturers in modernizing their production capabilities nationwide. The plan would provide the Department of Energy with additional funding of $1.5 billion, to be split about equally among solar energy, renewable energy, and industrial, transportation, and building conservation R&D, over the next five years. The largest increases are slated for technology transfer and commercialization activities, advanced materials, industrial wastes and materials processing, and electric and hybrid vehicles. DOE would also benefit from the additional $859 million the plan earmarks for construction and operation of an advanced neutron source, plus the additional $305 million for fusion research, and $287 million for natural gas R&D. The national labs would see their budgets increase by $196 million over the next five years for work on projects set up under cooperative research and development agreements. The projects are one of the mechanisms by which the labs can work with industry to transfer lab-developed technology and knowhow to the private sector. Meanwhile, the Department of Defense would see its research money directed away from purely military systems toward so-called dual-use technology and manufacturing programs, if Congress endorses Clinton's plan, which proposes spending an additional $1.8 billion for such research over five years. The plan also would provide $446 million over five years for environmental and engineering technology development programs aimed at advanced environmental systems and treatment tech36 MARCH 8, 1993 C&EN
niques that could yield both national environmental benefits and a positive effect on the U.S. balance of trade through the export of "green" technologies. The Environmental Protection Agency currently allocates about $120 million annually for such activities. The Department of Agriculture's national research initiative grants program, which funds research in such areas as animal and plant biotechnology, food safety, and technologies to manufacture new agricultural materials, would get an additional $348 million over five years. The increase is expected to provide funding for an additional 500 projects each year. USDA's forestry research programs would get an additional $384 million. But USDA is also the target of some of the savings called for in the economic plan. Like previous Administrations, the Clinton Administration has discovered Congressional earmarks and wants the practice to stop. The report points out the 1993 agriculture appropriation specifically earmarked 126 grants totaling over $50 million for funding through the Cooperative State Research Service (CSRS). The grants, the report notes in by-now-familiar language, "were not peer reviewed, competitively awarded, or specifically authorized." Eliminating such grants would save $142 million over five years. Eliminating CSRS and Agricultural Research Service funding earmarked for facilities would save an estimated $180 million more. However, knowing how hard Congress finds it to stop earmarking funds, the Administration says it identifies "such projects with the understanding that Congress may find offsetting savings within the same programs to preserve these initiatives." The savings side of the equation would also hit DOE. The plan calls for eliminating R&D and related facility funds for nuclear reactors that have no commercial or other identified application. That would save $1.1 billion over five years. The Clinton economic plan also calls for increasing fees charged for a number of government services. For instance, requiring manufacturers to pay the full cost the Food & Drug Administration incurs in certifying the safety and efficacy of drugs and medical devices would save the government $1.4 billion over five years. Ensuring that fees collected by the Patent & Trademark Office fully covered its costs would save $346 million. Janice Long
Federal Alertnew regulations This listing highlights new regulations published in the Federal Register from Jan. 19 to Feb. 22. Complete information can be found on the pages listed for the particular issue. • FINAL Environmental Protection Agency— Establishes procedures for filing and resolving claims by parties for reimbursement from Superfund; effective Feb. 22 (Jan. 21, page 5460). Publishes labeling requirements for products made with, containers made of, and products containing ozonedepleting substances such as chlorofluorocarbons, carbon tetrachloride, or halons; effective March 15 (Feb. 11, page 8136). Amends air pollutant surveillance regulations to require enhanced monitoring of ozone, nitrogen oxides, and volatile organic compounds in areas not meeting air quality standards; effective Feb. 12 (Feb. 12, page 8452). Adds local government financial responsibility requirements for owners and operators of underground storage tanks holding petroleum products; effective March 22 (Feb. 18, page 9026). Publishes final policy on export of pesticides, clarifies notification and purchaser acknowledgment requirements and rules on export of R&D pesticides; effective April 19 (Feb. 18, page 9062). Promulgates rules on use, landfilling, or incineration of sewage sludge to protect environment from pesticides, heavy metals, or pathogenic organisms; effective March 22 (Feb. 19, page 9248). • PROPOSED Environmental Protection Agency— Amends Toxic Substances Control Act to permit premanufacture notification exemptions for some chemicals expected to be produced in quantities of less than 10,000 kg per year; comments by April 9 (Feb. 8, page 7646). Establishes environmental standards for disposal of spent nuclear fuel, highlevel, and transuranic wastes to protect human health and groundwater; comments by March 22 (Feb. 10, page 7924). Exempts soil and debris collected during remediation of leaking underground storage tank sites from hazardous waste toxicity characteristic regulations; comments by April 13 (Feb. 12, page 8504). Nuclear Regulatory Commission— Amends spent fuel storage licenses to increase safety because of increased reliance on on-site storage; comments by April 5 (Feb. 2, page 6730).
