Commerce Budget Reflects President’s Focus On
Economic Growth, Homeland Security and Fiscal Responsibility

President Bush’s $5.4 billion budget request for the U.S. Department of Commerce is focused on President Bush’s priorities of economic growth and homeland security.

“Our budget request puts growing the economy and creating jobs at the forefront. President Bush and I believe that one American without a job is one too many,” said Evans. “President Bush is determined to fund the priorities of our government while not losing sight of the need for fiscal discipline.”

The Commerce Department’s budget also will focus on promoting innovation, and entrepreneurship, while also spreading opportunity to all Americans and ensuring responsible stewardship of our natural resources.

Economic Growth

A central theme for the President’s FY 2004 Budget is growing the economy. The FY 2004 budget request contains requests of more than $80 million in increases to programs at the Department of Commerce aimed at growing the economy.

The Bureau of Economic Analysis (BEA), part of the Economics and Statistics Administration (ESA), is requesting an increase of $5.4 million to accelerate the release of major economic estimates, incorporate new international economic data classification, and acquire real-time data to improve the quality and timeliness of economic statistics. The increase will allow for a stronger, more competitive U.S. economy by providing key economic data, such as Gross Domestic Product, in a more accurate, timely and cost-effective manner.

Along the same lines, the ESA’s Census Bureau is slated for a $9.3 million increase to fill gaps in data collection, improve methodologies for collecting that information, and improve the measurement of the nation’s service sector. The budget further requests funds for Census to process and review data from the Economic Census, and to continue planning and designing the 2010 Decennial Census.

The U.S. Patent and Trademark Office (USPTO) encourages innovation, and the President’s budget reduces the annual practice of fee diversion by nearly 50 percent allowing USPTO to keep a greater share of its user fees. These additional funds will enable the USPTO to continue its transformation into a quality-focused, highly productive, market-driven organization, by implementing the second year of its comprehensive 5-year "21st Century Strategic Plan."

Furthering the Department’s commitment to the economy, the Economic Development Administration (EDA) and the Minority Business Development Agency (MBDA) requests will help accelerate the nation’s economic growth by promoting a business environment favorable to private capital investments and higher-skill, higher-wage jobs. In the President’s budget, EDA would receive an increase of $13.8 million to assist communities that have been severely impacted by plant closures and other mass layoffs. MBDA’s request focuses on accelerating economic development and competitiveness of minority-owned businesses by closing the gap in economic opportunities and capital access.

The International Trade Administration’s (ITA) request for FY 2004 focuses on promoting U.S. exports, fighting unfair foreign trade barriers, and negotiating and implementing multilateral and bilateral trade agreements, to enhance the competitiveness of U.S. businesses in the global economy.

Investments in the National Oceanic & Atmospheric Administration (NOAA) support the sustainability and economic viability of our nation’s fisheries, expand the Administration’s commitment to study areas of scientific uncertainty in climate change, and improve weather and climate forecasting capabilities. For example, NOAA is requesting $6.3 million to build and sustain a global ocean observing system that will accurately document climate-scale changes in ocean heat, carbon and sea level. An additional $5.0 million will go toward implementing a carbon cycle atmospheric observing system, with concentration on North America, to gauge the effectiveness of future carbon emission strategies. The economic payoff of these initiatives will allow United States to create more accurate targets and timetables, which could save billions of dollars.

At the National Institute of Standards and Technology (NIST), a key part of the department's Technology Administration (TA), the President's budget requests $9.2 million to implement a program to build or strengthen the nation's measurement and standards infrastructure in three fast-growing, globally competitive fields of technology: nanotechnology, with a market predicted to reach $1 trillion during the next decade; quantum computing, which could yield devices that process immensely more information than today’s best supercomputers; and health care, where improved measurements and services could cut the estimated $50 billion annual cost of inaccurate clinical measurements and repeat testing.

Consistent with the Administration's emphasis on shifting resources to reflect changing needs, the FY 2004 Budget proposes to terminate the Advanced Technology Program (ATP), and to maintain the FY 2003 policy of significantly reducing federal funding for the Manufacturing Extension Partnership (MEP).

To meet increasing demand for federal wireless communication systems and services, an increase of $1 million is requested for the National Telecommunications and Information Administration (NTIA) to establish a paperless system for spectrum issue resolution, certification, satellite coordination and frequency authorization. The FY 2004 budget also proposes to suspend the Public Telecommunications Facilities Planning and Construction (PTFPC) grants, a program reduction of $41.1 million for NTIA during FY 2004. The Administration is proposing to target funding of up to $80 million for digital transition grants for public television stations within the Corporation for Public Broadcasting.

Homeland Security

One of the key bureaus providing homeland defense is the Bureau of Industry and Security (BIS). BIS is requesting a $2.3 million increase to address vulnerabilities in regulating exports of critical goods and services as well as encouraging growth of exports to maintain U.S. global economic leadership in order to advance national security and foreign policy interests. The increase will enable BIS to strengthen export enforcement with additional agents and capabilities, and to enhance the bureau’s analysis of U.S. export control regulations to ensure that they reflect the dynamics of 21st century market and technological changes.

The Department of Commerce’s budget requests $10.3 million for the National Institute of Standards and Technology (NIST) to provide the measurement infrastructure necessary for stronger homeland security. This includes developing and disseminating standards for safety and security of buildings, for biometric identification systems, and for radiation systems.

To address increased security issues, the National Oceanic and Atmospheric Administration (NOAA) is requesting a program increase of $7.7 million. These funds will facilitate cooperation between the National Weather Service (NWS) and local officials in the development of an All Hazards Weather Radio Warning Network, allowing the dissemination of all types of emergency warnings in addition to warnings for severe weather. NOAA also will use a portion of these funds to upgrade physical security at NWS facilities.