federal agency

On Monday, President Obama released his $4 trillion budget request for FY16. His proposal is again unlikely to find support in Congress, but serves as a useful guide to the administration’s priorities and a source of new ideas. This year’s budget document is being presented as a policy pathway to rebuilding middle class opportunities, embracing “Middle Class Economics for the 21^st Century.” In embracing this agenda, the administration has included several new programs and significant spending increases for STEM education, manufacturing and R&D, though the proposed funding levels for most offices appear similar to those included in the administration’s past budget requests.

President Obama’s proposed FY16 budget would provide $25 million for the EDA’s Regional Innovation program, a key legislative initiative for the technology-based economic development community. The Regional Innovation Program was authorized under the American COMPETES Act and is designed to provide funding to support regional innovation activities. The program received its first funding of $10 million in FY14 after extensive work on the Hill by SSTI, its members and others. A second infusion of $10 million was provided in the December FY15 continuing resolution/omnibus spending bill. More than 60 organizations signed a letter urging Congress to fund the program at $20 million (see August 7, 2014 Digest article) for FY15. The U.S. Department of Commerce announced that the FY14 solicitation had received 254 applications requesting more than $100 million in funding.

The U.S. Department of Commerce announced a second round of the Investing in Manufacturing Communities Partnership (IMCP) competition. IMCP, a cross-agency initiative, coordinates federal investments behind long-term economic development strategies in manufacturing communities. The first four designee communities were announced in May 2014. Applicants must demonstrate that their communities have a significant manufacturing presence and develop strategies to boost workforce and training, advanced research, infrastructure and site development, supply chain support, trade and international investment and capital access. Read the Federal Register notice…

Funding for public colleges decreased by 12 percent overall from FY03 to FY12, while tuition rates for all public colleges rose by 55 percent during the same time, according to a new report from the Government Accountability Office (GAO).  Driven in part by the impact of the recent recession on state budgets, the decline in state funding has had a significant impact on college affordability for students and their family. The GAO found that a larger portion of family budgets are going towards helping offset the cost of their children’s college education. In the report, GAO also identified several potential approaches that the federal government could use to expand incentives to states to improve affordability such as creating new grants, providing more consumer information on affordability, or changing federal student aid programs. In addition to the report, GOA also released a web-based interview to share their thoughts and recommendations of how the federal government can help states to address the issue of college affordability. Read the report…

Earlier this week, congressional appropriators reached a tentative agreement on spending levels for the 2015 fiscal year just a few days before the Thursday deadline. The continuing resolution omnibus, “cromnibus,” spending package would, if approved by the House, Senate and president, avert a government shutdown and again defer budget negotiations until next September. Under the agreement, most agency budgets would remain at similar levels to those enacted for FY14.

Labor Secretary Thomas Perez announced details of a new $100 million grant competition to expand apprenticeship opportunities in high-growth industries. The program will specifically target industries that are using H-1B visas to hire foreign workers.  By investing in collaborative efforts around the country, officials hope the program will help develop clear career pathways through apprenticeship, particularly for underrepresented populations. Labor expects to make about 25 awards, ranging between $2.5-5 million, to public-private partnerships that will register, improve and expand apprenticeship programs around the country. Applications are due April 30, 2015. Read the grant solicitation (FOA-ETA-15-02)…

As part of President Obama’s recent executive order on immigration, the Department of Homeland Security (DHS) recently issued a number of new policies and regulations intended to capitalize on the skills of foreign workers, researchers and students. The White House Office of Science and Technology Policy published an explanation of how the new rules will also be used to attract immigrant entrepreneurs through two new pathways to legal residency.

On November 20, the Securities Exchange Commission (SEC) held its annual Government-Business Forum on Small Business Capital Formation. During the daylong event, panelists focused on two important issues – secondary market liquidity for securities of small businesses and the potential revision of accredited investor definition. The SEC has posted both the panelists’ presentations and an archived webcast of the morning session. Presentations from the SEC and the Angel Capital Association (ACA) provide up-to-date statistics and infographics on the potential economic impacts of revising the accredited investor definition, including current share of angel group deals by U.S. region and number of individual/households who would qualify under proposed increase in the threshold for accreditation. 

Federal Communications Commission (FCC) Chairman Tom Wheeler has proposed a permanent $1.5 billion increase in the cap of the E-rate program as part of the largest overhaul of the initiative in 18 years. The E-rate program is the federal government’s largest educational technology program, funding broadband and wireless access for schools and libraries with a portion of the funds received through the Universal Service fee for interstate communications. Chairman Wheeler notes that the rate increase is necessary to provide high-speed access, including WiFi, to 100 percent of schools, which is needed for a modern STEM curriculum. Read the announcement…

The Department of Defense (DOD) released a federal funding opportunity (FFO) to establish an Integrated Photonics Institute for Manufacturing Innovation (IP-IMI). Administered by the Air Force Research Laboratory, the Integrated Photonics Institute will assist in developing an end-to-end photonics ecosystem in the U.S. and support photonics-focused research and development efforts across the country (see related Digest article). DOD requires a 1:1 match in private funds by the awardee – an over $220 million commitment from federal and private resources. Lead applicant eligibility is restricted to nonprofit organizations. However, applicants are encouraged to establish a regional consortium that includes members from academia, government and industry. Applications are due December 19. Read the announcement (FOA-RQKM-2015-0009)…