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SSTI Digest

President’s 2001 Budget Request: An S&T Overview

The Clinton Administration’s final budget request calls for substantial increases in most civilian R&D areas. Overall, civilian R&D would see a six percent increase totaling $2.5 billion and would surpass military R&D spending, which, at $42 billion, essentially would be held level with FY 2000 appropriations.

The Administration also proposed funding for several technology-related initiatives in the $1.84 trillion budget; many of these were announced during the last two weeks of January. The centerpiece remains the 21st Century Research Fund, a packaging of new and existing programs used by the Clinton Administration to measure federal investment in basic and applied research. Aggregated, the programs within the fund would receive a seven percent increase of $2.8 billion.

Interagency Initiatives

U.S. Department of Agriculture (USDA)

The overall FY2001 budget request for the U.S. Department of Agriculture reflects a decrease of more than 9% over FY2000. For several research and economic development programs, the Administration is requesting the opportunity to use funds appropriated in previous years but blocked from use by Congressional appropriations language in 1999 and 2000. Selected agency program highlights include:

Department of Commerce

Several Clinton Administration programs in the Department of Commerce are perennial budget battles, and this year is likely to be no exception. Selected program highlights include:

Department of Defense

The Clinton Administration budget request for Defense R&D would be essentially equal in FY2001 to FY2000 levels. Research, Development, Testing & Evaluation would dip from $38.3 billion to $37.9 billion. Selected highlights include:

Department of Education

With 12.6 percent growth, the Department's budget request includes the largest increase in discretionary spending in the history of the Department. Funding for educational research would increase by $30 million. S&T highlights include:

Department of Energy

The President's request for the Department of Energy reflects a 9.2 percent increase over last year's budget. Funding for science and technology activities, however, would increase by $12 percent. Research and development funding for nuclear and fossil fuel energy systems would decrease by five percent and ten percent respectively. Program highlights include:

  • Inventions and Innovations Program – $6 million (up $1 million).
  • NICE3 – $6 million
  • Industries of the Future – $174 million (up $14 million)

Environmental Protection Agency

There are several environmental R&D initiatives in the Administration's budget request, however, except for the Global Climate Change Technology Initiative, few of these include the Environmental Protection Agency as an active financial participant. EPA's R&D activities are slated to decrease by $6 million in FY 2001 to $530 million (excluding Climate Change expenditures, which is requesting a 120 percent increase).

National Institutes of Health

The Administration’s budget request includes a 5.6% increase of $1 billion in biomedical research within the National Institutes of Health. The funding would support research in the areas of diabetes, brain disorders, cancer, genetic medicine, disease prevention strategies, and development of an AIDS vaccine. The increased funding also would result in approximately $25 million in additional funding for the NIH SBIR Program.

NASA

For the first time in many years, the budget request for NASA reflects an increase, rather than a cut. R&D programs would receive a 14 percent increase if the President's budget request passes. Commercial Technology Programs within the Science, Aeronautics and Technology unit would receive $135 million, a decrease of $5 million over FY 2000. Academic programs would experience a sharper drop of $38.8 million to a FY 2001 total of $100 million. HIghlights include:

National Science Foundation

Under the President's budget request, NSF would receive increased funding of $675 million or 17.3 percent, doubling the single largest increase ever for the Foundation. If passed, Funding for NSF will have increased by 66 percent since President Clinton took office. Selected program highlights for the FY 2001 request:

Small Business Administration

The SBA budget requests $1 billion in new spending authority, including the expanded New Markets Venture Capital Program mentioned under the Interagency Initiatives. The program is designed to increase access to equity capital and technical assistance to women, minorities and to businesses located in low- and  moderate-income rural areas and inner cities. It proposes $150 million in SBA-backed funds for these venture capital companies, and $30 million to pay for technical assistance for the firms in which they invest.

Other potentially technology-relevant highlights include: