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Congress Comes Back to Work

Congress returns to work this week for a final few weeks of work before the November elections.  While there is plenty of legislating to do, I don’t expect that we’ll see much action with most major issues being delayed until the post-election lame-duck session.  The only thing that Congress MUST act on before October 1st is to pass a continuing resolution (CR) to fund government for the next couple of months.  Appropriators are now working on the CR, which could run until the middle of next month or after Thanksgiving.  A second CR may also be needed to buy time as lawmakers work to clear the spending package before the end of the year.

Appropriations

No separate floor action on additional FY11 appropriations bills is currently expected in either the House or Senate, but the Senate may try to complete committee action on their three remaining bills:  Defense, Interior, and Legislative Branch.  All 12 of the House spending bills have been approved by subcommittee, with MilCon-VA and Transportation-HUD also receiving full committee approval.  

Small-Business Aid

The first priority for the Senate appears to be to pass the small-business lending bill.  The bill (HR 5297) would establish a $30 billion lending fund for small businesses, provide $12 billion in tax breaks, and enhance federal programs that support small businesses.  After the Senate passes the bill, the measure will go back to the House for consideration.  The version passed earlier by that chamber includes a smaller tax package, and thus fewer revenue-raising offsets.

Tax Cuts

Extension of the Bush tax cuts is the only other major budget-related legislation that may be considered in the next few weeks.  Senate leadership has indicated their desire to move on extending the 2001 and 2003 tax cuts for the middle class before the Senate adjourns for October but it may be difficult to get enough votes for that proposal.  This mirrors the President’s proposal to allow the tax cuts for individuals making more than $200,000 and families making more than $250,000 a year to expire.  Others believe that all rates to be extended thus preventing any tax increases during these tough economic times.

Climate Change & Energy

The Senate has dropped plans to consider energy or climate legislation before November.  Senate leadership has indicated that they would like to take up in the lame-duck session either all or a portion of an oil spill and energy bill.

Immigration

There is almost no chance Congress will act on any legislation to assist the illegal immigrant population this year, but congressional aides expect lawmakers to at least talk about the issue over the next several weeks.  There is some pressure on the Senate to take action on a bill that allows children of illegal immigrants who go to college to earn citizenship (the DREAM Act) but it is still unlikely that this measure will move before November – at the earliest.  

Stem Cells

Thanks to a federal court’s decision last week to temporarily lift a judge’s ban on embryonic stem cell funding, a House vote on the volatile issue of government funding for stem cell research might be put off until after the midterm election.

Murray Amendment Advances Crucial State Funding

The Senate today passed a crucial amendment that will help states avoid education job losses, and provides desperately needed Federal Medical Assistance Percentage (FMAP) payments to states . The FMAP/Teacher Jobs Bill passed the senate on a vote of 61-39 and will now be sent to the House where most expect it to pass and then sent to the President for his signature. The Amendment, which was attached to the Aviation Safety and Investment Act of 2010, will send more than $26 billion in aid to states and its costs are fully offset, largely due to spending reductions made in other areas. Patty Murray, was a driving force behind this bill and worked to achieve a solution that would draw bipartisan support.

The legislation provides $16.1 billion for FMAP, and will keep the level of federal Medicaid assistance (which was increased by a minimum of 6.2% in the Recovery Act) consistent for the next 6 months and then gradually decrease the contribution level for the following 6 months. The amendment will also provide $10 billion for additional support to local school districts to prevent imminent layoffs. Nationwide it is estimated that this fund will help to save the jobs of nearly 140,000 educators.

If the legislation passes the House, the State of Washington would realize approximately $546.3 million in FMAP funds. The bill will also prevent the layoffs of up to 3,000 teachers within our state and allow the State legislature to avoid conducting a costly special session. In the words of Senator Murray, “This amendment will allow Washington State to avoid layoffs, service cuts, or tax increases—and it will make sure our children don’t walk through the schoolhouse doors this September to larger class sizes and fewer subjects”.

In an uncommon move, House Speaker Nancy Pelosi called the House back from its August recess to vote on the measure. They are expected to take up the issue next Tuesday the 10th.

FY11 Appropriations Update

***Updated 8/5/10

House and Senate Appropriations committees and subcommittees made substantial movement in their consideration of FY11 appropriations bills during the monthy of July. However, concerns over the federal deficit combined with the associated election year politics have cast a shadow over the appropriations process. Although appropriations bills will continue to advance through committee, it remains unlikely that most will receive consideration by a full chamber before the November congressional elections. The chart below captures budget items of interest to the UW and the broader higher education/research community. We will update the chart as the process unfolds.

Figures in millions of dollars

Approps. Bill Agency Program FY10 Final FY11 PBR* FY11 UW Rec.** FY11 House Comm. FY11 Senate Comm.
Agriculture Agriculture Agriculture and Food Research Initiative

263

429

429

 

310.1 

    McIntire-Stennis

29

29

35

 

 

CJS NSF Agency

6,926

7,424

7,424

7,400

7,350

    Education and Human Resources  

892

892

 

892

    Research and Related Activities

5,617

6,019

6,019

 

6,000

    MREFC

117

165

165

 

155

  NOAA Agency

 4,737.0

5,550

5,605

 

5,550

    Sea Grant

 63.0

65

77

 

63.1 

    OAR

 449.1

465

465

 

449

    NMFS, Fisheries Research and Management 

191

183

193

 

182.2 

    Integrated Ocean Observing System

34

21

53

 

27 

  NASA Science Mission

4,469

5,006

5,006

4,700

5,000

    Aeronautics Research Mission

501

1,152

1,152

 

904.6 

    Education

182

184

184

205.2 

 

  NIST Technology Innovation Program

 69.9

80

80

 

70

    Manufacturing Extension Program

 124.0

130

130

 

130

Defense Defense 6.1 Basic Research

1,882

2,000

2,082

 

 

Energy & Water Energy Office of Science

4,904

5,121

5,121

4,900

5,012

    ARPA-E

0

300

300

220

200

    Innovation Hubs

66

107

107

 

 

    RE-ENERGYSE

0

55

55

 

Interior-Environment USGS USGS

1,112

1,133

1,133

1150 

 

  USGS Geologic Hazards, Resources and Processes

250

253

253

 

 

  NEH NEH

168

161

204

170 

 

  NEA NEA

 167.5

161

204

170 

 

  EPA Science to Achieve Results (STAR)

61

87

87

 

 

  Agriculture Forest Service Discretionary

5,315

5,377

5,377

 

 

    Forest and Rangeland Research

308

322

355

 

 

Labor-HHS Education Pell Grant Discretionary

17,495

23,162

23,162

23,162

 

    TRIO Programs

 853

853

1,000

 

868.1 

    Federal Work Study

980

980

1,280

 

980 

    GEAR UP

323

323

400

 

323.2 

    Javits Fellowship Program

 9.7

10

16

 

9.6 

    GAANN

 31.0

31

41

 

31 

    International Education and Foreign Lang. Studies

 125.9

126

133

 

 

  HHS Center for Medicare and Medicaid Services

511,034

493,759

511,034

 

 

  HRSA Nursing Workforce Development

150

150

168

 

 

  HRSA Training in Primary Care Medicine and Dentistry

54

54

61

 

 

  NIEHS/ Superfund Research Initiative

79

82

89

 

 

Interior
  NIH Agency

 31,087

32,007

32,007

32,007

32,007

    National Children’s Study

194

194

 

 

Mil-Con-VA VA Medical and Prosthesis Research Programs

 581

590

700

 

 

State-Foreign Ops. USAID Educational & Cultural Exchanges Programs

635

633

861

635 

 654.2

*President’s Budget Request (PBR)

**FY11 UW Recommended Appropriation Level

COMPETES Act Heading for the Senate Floor

The Senate Commerce, Science and Transportation Committee has approved — with bi-partisan support — its portion of the America COMPETES Act (S. 3605). The bill provides for three-year authorizations for the National Science Foundation (NSF) and the National Institute of Standards and Technology (NIST). An authorization for the Department of Energy Office of Science is expected to be added in a manager’s amendment on the Senate floor.

During the mark-up, the committee adopted 20 amendments to the bill, including a substitute amendment that reduced the funding levels by 10% for NSF and NIST. The bill’s only new program would fall within NSF and enable a $10-million-a-year effort to prepare science and engineering majors to be elementary and secondary school teachers. It’s modeled after the successful UTeach program at the University of Texas, Austin. To ease the fiscal bite, the bill would require a significant contribution from each university grantee (up to 75% by the end of the 5-year grant).

The legislation would require Department of Commerce to study the U.S. economy and innovation infrastructure, including an assessment of the nation’s economic competitiveness. Within one year of completing the study, the Department would be required to develop a 10-year national innovation and competitiveness strategy. 

Given the packed Senate schedule, it is unclear whether the bill will make it to the Senate floor before the August recess.

Senate Commerce, Science and Transportation Committee

S. 3605, the America COMPETES Reauthorization Act of 2010 (Committee Overview)

The original COMPETES Act was a response to the National Academies’ Rising Above The Gathering Storm, which warned that America’s place as a global leader in science and technology was at risk. Urgent action is still needed to guarantee American prosperity in the face of increasing global competition, especially in the areas of K-12 science and math education and funding for basic research. The America COMPETES Act reauthorization focuses on three primary areas of importance to increase American innovation and competitiveness: (1) increasing science and research investments, (2) strengthening science, technology, engineering, and mathematics (STEM) education, and (3) developing an innovation infrastructure.

Increase Science and Research Investments

  • Authorizes funding increases for the National Science Foundation (NSF) and the National Institute of Standards and Technology for fiscal years 2011, 2012, and 2013.
  • Supports programs to assist American manufacturers, such as the Hollings Manufacturing Extension Partnership and the Technology Innovation Program, and creates a loan guarantee program to support innovation in manufacturing.

Strengthen Educational Opportunities in Science, Technology, Engineering, Mathematics

  • Coordinates STEM education across the Federal government, with the goal of reinforcing programs that demonstrate effectiveness.
  • Supports research and internship opportunities for high school and undergraduate students, and increases the number of graduate fellowships supported by the NSF.
  • Reinforces the role of NASA and the National Oceanic and Atmospheric Administration (NOAA) to inspire and educate the future science and technology workforce and encourages the agencies to transfer their technological advances into the private and public sectors.

Develop an Innovation Infrastructure

  • Promotes productivity and economic growth by forming an Office of Innovation and Entrepreneurship to foster innovation and the commercialization of new technologies, products, processes, and services.
  • Requires the development of a national innovation and competitiveness strategy for strengthening the innovative and competitive capacity of the Federal Government, State and local governments, institutions of higher education, and the private sector.
  • Supports the development of regional innovation strategies, including regional innovation clusters and research parks.

White House Releases S&T Priorities for FY12

On July 21st, the Office of Management and Budget (OMB) and White House Office of Science and Technology Policy (OSTP), issued a joint memorandum directing the heads of agencies and departments in their FY2012 budget submissions to reallocate resources from low priority areas to science and technology (S&T) efforts that would address six specific challenges. The six challenges are: 

  • Economic growth and job creation
  • Improving health outcomes while reducing health care costs
  • Clean energy
  • Mitigating climate change
  • Sustainability and biodiversity
  • National security

FY12_Orszag-Holdren_Budget_Guidance_Memo_FINAL