• As the most comprehensive resource available for those involved in technology-based economic development, SSTI offers the services that are needed to help build tech-based economies.  Learn more about membership...

SSTI Digest

FY09 Federal Budget Boosts Science, TBED

Many agencies may see Congress passing their annual appropriations bill six months into the fiscal year as worth the wait, given the increases most science, technology and economic development supporting programs experienced. While some budget bump ups are modest, accommodating little more than inflation and Congressional earmarks, others should result in more grants flowing to researchers, universities, small businsses, and TBED organizations. SSTI has prepared summaries below of selected programs that may be of interest to Digest subscribers.

Department of Agriculture

The enacted budget funds the Department of Agriculture (USDA) at $106 billion for FY09, with increases over FY08 funding for several programs related to TBED. Most of the USDA appropriation, $86.6 billion, is reserved for mandatory spending programs such as food and nutrition assistance and farm commodity programs. The remaining $19.4 billion is appropriated for discretionary spending, including most USDA research and TBED-related programs. Most USDA programs related to TBED and traditional economic development are administered through Rural Development, which received $2.7 billion, an increase of $398 million over FY08. The Rural Development's Rural-Business Cooperative Service, which administers loan subsidies and grants, is funded at $132 million. Funded programs include: Rural Business Enterprise Grants - $38.7 million for rural projects that finance and facilitate development of small and emerging rural businesses, help fund distance learning networks, and help fund employment related adult education programs; Rural Business Opportunity Grants - $2.5 million to promote sustainable economic development in rural communities with exceptional needs through…

Department of Commerce

The FY09 enacted budget provides $9.3 billion for the Department of Commerce, up $1.6 billion over FY08. Much of this additional funding will support the 2010 U.S. Census and not TBED-related and research activities. The Economic Development Administration (EDA) FY09 allocation is $272.8 million. This is about $7 million less than the enacted amount in FY08 for salaries, expenses and programs, though EDA also received an additional $500 million in FY08 emergency appropriations. EDA oversees programs to generate jobs, help retain existing jobs, and stimulate industrial and commercial growth in economically distressed areas of the United States. EDA assistance is available to rural and urban areas of the Nation experiencing high unemployment, low income, or other severe economic distress. Individual spending allocations at EDA include: Public Works - $133.3 million to help local communities and industries deal with increased economic pressures and dislocations in a rapidly-changing economy; Economic Adjustment Assistance - $35.3 million to provide a wide range of technical, planning and infrastructure assistance in regions experiencing adverse economic changes…

Department of Commerce

The FY09 enacted budget provides $9.3 billion for the Department of Commerce, up $1.6 billion over FY08. Much of this additional funding will support the 2010 U.S. Census and not TBED-related and research activities. The Economic Development Administration (EDA) FY09 allocation is $272.8 million. This is about $7 million less than the enacted amount in FY08 for salaries, expenses and programs, though EDA also received an additional $500 million in FY08 emergency appropriations. EDA oversees programs to generate jobs, help retain existing jobs, and stimulate industrial and commercial growth in economically distressed areas of the United States. EDA assistance is available to rural and urban areas of the Nation experiencing high unemployment, low income, or other severe economic distress. Individual spending allocations at EDA include: Public Works - $133.3 million to help local communities and industries deal with increased economic pressures and dislocations in a rapidly-changing economy; Economic Adjustment Assistance - $35.3 million to provide a wide range of technical, planning and infrastructure assistance in regions experiencing adverse economic changes…

Department of Defense

The enacted FY09 Appropriations bill authorizes $512 billion for the Department of Defense (DoD) base as well as $66 billion for operations in Iraq and Afghanistan. The Defense Advance Research Projects Agency (DARPA) received $3.1 billion, an increase from the 2008 appropriation of $2.95 billion. Defense Basic Research is funded at $1.8 billion, a 13 percent increase above the FY08 appropriation. For overall Science & Technology (S&T) programs, the enacted budget allocates $13.5 billion, an increase of 6 percent. S&T programs include defense-wide and military service funding for 6.1 basic research, 6.2 applied research, and 6.3 advanced technology development. The FY09 enacted funding for DoD departments is as follows: Army 6.1 Basic Research - $439 million 6.2 Applied Research - $1.2 billion 6.3 Advanced Technology Development - $1.4 billion Navy 6.1 Basic Research  - $547 million 6.2 Applied Research  - $776 million 6.3 Advanced Technology Development - $836 million Air Force 6.1 Basic Research - $469 million 6.2 Applied Research - $1.2 billion 6.3 Advanced Technology Development…

Department of Education

The Department of Education's FY09 total budget appropriation is $66.5 billion. The FY09 education budget includes specialized funding toward a few K-12 math and science programs: $179 million for the Mathematics and Science Partnerships program, which provides grants to states and localities to improve academic achievement in mathematics and science by developing teaching skills for elementary and secondary school teachers and introducing integrated teaching methods based on scientifically based research and technology into the curriculum; and, $43.5 million for the Advanced Placement (AP) program, which provides grants to eligible entities to enable them to increase the participation of low-income students in both pre-AP and AP courses and tests. Other key budget issues include: Pell Grants - $17.3 billion that increases the maximum Pell Grant to $4,860. 21st Century Community Learning Centers - $1.1 billion to provide resources for the states to award grants of at least $50,000 to school districts, community-based organizations, faith-based organizations, and other public or private entities for centers that primarily serve students…

Department of Energy

The FY09 budget provides $27 billion for the Department of Energy (DOE), a nine percent increase over the FY08 enactment. The bill includes significant increases for the Office of Energy Efficiency and Renewable Energy (EERE), the Office of Science and the Office of Fossil Energy and reduced funding for nuclear energy programs through the Office of Nuclear Energy. EERE received $1.9 billion in FY09, $206 million more than FY08. Much of that total is to support the commercialization of energy technologies targeted by the Advanced Energy Initiative, launched by former President Bush in 2006. EERE is responsible for research, development and deployment of energy efficiency and clean power technology and practices. Energy technologies targeted in this funding include: Biomass and Biorefinery Systems - $217 million for integrated R&D, with the stipulation that the department pursue development of biofuels from non-food sources, especially sources with the largest potential for carbon-dioxide sequestration that are also compatible with gasoline and diesel fuels; Solar Energy - $175 million to projects to make solar energy more affordable, including $30 million for…

Department of Homeland Security

The Department of Homeland Security (DHS) was one of three federal agencies whose budget was enacted in September 2008. Since the department's funding was finalized last year, only minimal funding is provided in the current bill. Among the few provisions related to DHS in the finalized budget bill is an extension of the Commission on the Prevention of Weapons of Mass Destruction of Proliferation and Terrorism through next year, transferring $1.1 million from the Department of Defense appropriation for its continuance.  The FY09 appropriation passed last year funded DHS at $41.2 billion, including $933 million for the Science and Technology Directorate. This funding level represents a $102 million increase for Science and Technology over FY08. Within the directorate, $800 million funds R&D, Acquisitions and Operations. Research funding includes: Chemical and Biological - $200 million to increase preparedness and surveillance; Explosives - $96 million to prevent and mitigate the effects of non-nuclear explosions; Infrastructure and Geophysical - $76 million to protect critical infrastructure and assets; Command, Control and Interoperability - $75…

Department of Housing and Urban Development

The FY09 enacted budget includes $38.6 billion for the Department of Housing and Urban Development, a $3 billion increase over the 2008 appropriation. The Office of Policy Development and Research (PD&R) received $18.1 million for personnel compensation and benefits. The FY09 budget includes $58 million ($6.5 million increase) for Research and Technology contracts, grants, and expenses of programs of research and studies related to housing and urban problems. The Community Development Fund received $3.9 billion in FY09 ($34 million above the FY08 appropriation) with $3.6 billion earmarked for the Community Development Block Grant (CDBG) program. Within this account, $165 million is slated for the Economic Development Initiative (EDI) to finance a variety of targeted economic investments. Additionally, $19.5 million is earmarked for Neighborhood Initiatives. The goal of this program is to improve the conditions of distressed and blighted areas and neighborhoods, to stimulate investment, economic diversification, and community revitalization in areas with population outmigration or a stagnating or declining economic base, and to determine whether housing benefits can…

Department of Labor

The FY09 omnibus awards $15.3 billion to the Department of Labor, a 4.1 percent increase over the previous fiscal year. The Employment and Training Administration (ETA) received $9.4 billion, a 4.8 percent increase from FY08. About $2.97 billion supports grants to states for training and employment services. These state grants are divided between $862 million for adult training, $924 for youth activities, and $1.18 billion for training dislocated workers. Of the $489 million appropriated for federal training and employment service programs, $283 million is allocated for the dislocated workers assistance national reserve. State unemployment insurance and employment services received $3.69 billion through the Unemployment Trust Fund in the Employment Security Administration Account, an 8.1 percent increase. The Job Corps program, assisting 16 to 24 year olds with vocational and academic training, received $1.68 billion in FY09 - a 4.6 increase from FY08 - with $1.54 billion going towards operations and $115 million for the construction, rehab, or acquisition of Job Corps Centers. The funds allow the existing 122 Job Corps centers to continue, as well as…

Department of Transportation

The FY 2009 Department of Transportation's (DOT) total budgetary resources are $67.2 billion. Funding for the NextGen technology is more than doubled, providing $688 million for the transformation from radar-based to satellite-based air traffic systems to help meet the nation's rapidly growing demand for air travel. The FY09 enacted funding for all research, engineering and development at the Federal Aviation Administration is $171 million, to be derived from the Airport and Airway Trust Fund and to remain available until September 30, 2011. The FY09 budget request for the Research and Innovative Technology Administration (RITA) includes $12.9 million for RD&T. RITA advances innovative transportation technologies emphasizing work in alternative fuels in support of national economic and environmental priorities. RITA also leads DOT's Position, Navigation and Timing (PNT) activities. Under the Federal Highway Administration (FHWA), up to $429.8 million has been appropriated for research and development. In FHWA's budget request, $110 million is provided for the Research and Intelligent Transportation System (ITS) program, now managed by RITA, to continue…

Department of the Treasury

The FY09 enacted budget provides $1.16 billion for the Treasury Department, not including the IRS. Though the overall appropriation for the department dropped, TBED-related funding increased. Treasury's Community Development Financial Institutions Fund (CDFI) program account received $107 million to be divided between its associated activities, up from $94 million in FY08. Of that amount $14.7 million may be used for administrative expenses, including the administration of the New Markets Tax Credit. Another $7.5 million may be used for CDFI direct loans. The American Recovery and Reinvestment Act, passed earlier this year, authorized $3 billion in tax credit authority under the New Markets Tax Credit program in addition to the $3.5 billion that had been approved already for 2009. Other CDFI programs include: Bank Enterprise Award - $22 million to support FDIC-insured financial institutions that finance and support community and economic development activities; Native Initiatives - $8.5 million for technical assistance to Native American, Native Hawaiian and Alaskan Native communities; and, Financial Counseling grants - $2 million for a new competitive grant pilot…