SSTI Digest

Department of Energy

ARRA includes $39 billion in stimulus funding for the Department of Energy (DoE) as part of the package's support for upgrading the country's infrastructure and power grid. DoE allocations include funding for the department's science office, research grants, and energy efficiency programs.

The stimulus bill provides $16.8 billion for DoE energy efficiency and renewable energy projects, including $2.5 billion to support applied research, development, demonstration and deployment of advanced energy technologies. Almost half of this R&D funding will be dedicated to biomass- and geothermal-related projects, which will receive $800 million and $400 million respectively. Other energy efficiency and renewable energy investments include:

ARRA will provide $7.2 billion to upgrade the country's broadband infrastructure through the Department of Agriculture (USDA), the National Telecommunications and Information Administration (NTIA) and the Federal Communications Commission (FCC).

NTIA will receive $4.7 billion, in partnership with the FCC, to establish a broadband service development and expansion program. The Broadband Technology Opportunities Program will support broadband improvements by awarding competitive grants to accelerate deployment and improve service at strategic institutions that are likely to create jobs or produce other public benefits. Of this funding, $350 million will support the State Broadband Data and Development Grant program, which will help develop and maintain a national broadband inventory map. 

ARRA includes $19 billion in funding to promote the development and implementation of interoperable Health Information Technology (HIT). The $2 billion in discretionary funds and $17 billion in investments and incentives through Medicare and Medicaid will be used to improve the quality of medical care in the U.S. and create jobs in the information technology sector. The effort will be overseen by the Department of Health and Human Services' (DHHS) Office of the National Coordinator for Health Information Technology (ONCHIT).

The major federal R&D funding agencies all received significant funding through ARRA, including:

Department of Health and Human Services

A total of $10 billion will be provided to the National Institutes of Health (NIH), which will be distributed among the following entities:

In addition to providing Trade Adjustment Assistance (TAA) to both firms and workers, the stimulus extends the TAA concept for the first time to include funding for communities. A community can receive funding if designated by the secretary of Commerce as "affected by trade." In all, $517.5 million is authorized in the bill for the components of the Trade Adjustment Assistance for Communities provision, which distributes $230 million in FY09, $230 million in FY10, and $57.5 million in the three-month period from October 1, 2010 to December 31, 2010.

For each of the three fiscal periods, the funds for communities are distributed into three distinct programs. For FY09, the money is allocated in the following manner:

Department of Treasury

Department of Labor

The Department of Labor will receive $750 million for a program to provide competitive grants for worker training and placement in high growth and emerging industries. Of this amount, $500 million is directed for careers in energy efficiency and renewable energy. Training for health care careers is specified in the bill to be the main priority of the remaining $250 million in this program, but the conference report indicates training for wireless and broadband deployment, advanced manufacturing, and other high-demand industry sectors may be included.

ARRA contains a number of provisions to provide fiscal relief to the states at a time of record deficits. Most attention has focused on the $53.6 billion provided through the State Fiscal Stabilization Fund, but the act also contains other provisions to assist the states.

The State Fiscal Stabilization Fund directs $53.6 billion to the states through the U.S. Department of Education. The Fund holds back $5 billion for the secretary of Education for State Incentive Grants and an Innovation Fund. The Incentive Grants are to states that have met certain education provisions (e.g., achieving equity in teacher distribution). The $650 million Innovation Fund will be used for awards to recognize school districts or partnerships between nonprofit organizations and state education agencies, school districts or one or more schools that have made achievement gains.

Department of Labor

The Department of Labor will receive $750 million for a program to provide competitive grants for worker training and placement in high growth and emerging industries. Of this amount, $500 million is directed for careers in energy efficiency and renewable energy. Training for health care careers is specified in the bill to be the main priority of the remaining $250 million in this program, but the conference report indicates training for wireless and broadband deployment, advanced manufacturing, and other high-demand industry sectors may be included.

Department of Energy

ARRA includes $39 billion in stimulus funding for the Department of Energy (DoE) as part of the package's support for upgrading the country's infrastructure and power grid. DoE allocations include funding for the department's science office, research grants, and energy efficiency programs.

The stimulus bill provides $16.8 billion for DoE energy efficiency and renewable energy projects, including $2.5 billion to support applied research, development, demonstration and deployment of advanced energy technologies. Almost half of this R&D funding will be dedicated to biomass- and geothermal-related projects, which will receive $800 million and $400 million respectively. Other energy efficiency and renewable energy investments include:

Whichever version of the H.R. 1, the American Recovery and Reinvestment Act (ARRA), emerges from conference committee would provide a significant reversal to the direction spending has gone for the past four years for federal research and development, based on data released by the National Science Foundation during the past week.  From FY 2005 through FY 2008, federal R&D obligations decreased 7.8 percent in constant dollars. Between FY07 and FY08 alone, total federal R&D spending dropped $3.5 billion or 4.8 percent of the $116.7 billion total in FY07 once adjusted for inflation.

In constant 2000 dollars, projected obligations for FY08 approximate the FY03 spending levels.  Potentially more troubling for sustaining the nation's innovation edge are the disproportionate drops in basic and applied research versus development. Basic research spending in constant dollars has not been as low as FY08 levels since FY2002; applied research levels set innovation back to 2001.

On March 12 from 1:00-5:00 p.m. in San Francisco, SSTI is co-hosting a meeting with officials from the Technology Innovation Program (TIP) and the Manufacturing Extension Partnership (MEP) that we would encourage you or one of your colleagues to attend. TIP and MEP are two of the most market-driven programs operated by the federal government. Both programs have launched new investments and innovative services in the last year. The meeting will give you a chance to learn about:

New federal funding opportunities; New resources to support early-stage research; New products and services to expand manufacturing; New tools to help foster growth and innovation in companies you work with; New models to accelerate technology commercialization and translation; and New ideas about ways to integrate state, local,and federal investments.

Who should attend?