TESTIMONY OF
DAVID A. SAMPSON
DEPUTY SECRETARY OF COMMERCE
BEFORE THE
COMMITTEE ON SCIENCE
UNITED STATES HOUSE OF REPRESENTATIVES
February 15, 2006
Mr. Chairman and Members of the
Committee, I am pleased to join you today as we examine the Administration’s FY
2007 budget request for research and development at the Department of
Commerce. I want to thank the Committee, especially
Chairman Boehlert, for your continued support and leadership on innovation
issues. You have been a constant and
strong voice for the science and technology community, and I look forward to
continuing our work together to ensure that
INTRODUCTION
Innovation and competitiveness drive
the Nation’s economy. The Department of
Commerce provides the tools to help maximize
I was pleased to play a role in the
National Summit on Competitiveness that was held at the Department of Commerce
on December 6, 2005. The purpose of the summit was to raise
awareness about the seriousness of the global competitiveness challenge and to
promote an action agenda to ensure continued
The summit involved key leaders
from Government including Commerce Secretary Carlos Gutierrez, Energy Secretary
Sam Bodman, Education Secretary Margaret Spellings, Labor Secretary Elaine Chao
and National Science Foundation Director Arden Bement. About 50 corporate CEOs and university
leaders joined with these Government officials to discuss actions necessary to
strengthen
In his, State of the State of the
Union address, President Bush made it clear that we are faced with a choice in
responding to the increasingly global economy.
We can pursue the path of isolationism or we can choose to compete with confidence. President Bush
has chosen the latter path by announcing the American Competitiveness
Initiative (ACI), which will help ensure that
Under the ACI, NIST is slated for $535 million for its laboratory research and facilities appropriations. This budget proposal includes a $104.1 million increase above NIST’s FY 2007 base—or more than 24 percent. If appropriated this would be the largest dollar increase ever for NIST’s laboratory research.
The increase reflects the importance of the work that NIST undertakes to promote competitiveness and innovation – with the aim of improving economic security and improving the quality of life. It also reflects the importance that this Administration places on improving the environment for innovation and competitiveness. This commitment – as evidenced by the NIST budget proposal -- is extraordinary in a budget that is mindful of the need to be stringent and restrain Federal spending and reduce the deficit.
This funding will support the work of 3,900 scientists and engineers from Government, industry and universities – an increase of 600 researchers over FY 2006. Their work in areas including nanotechnology, hydrogen and quantum information will lead to the innovations of tomorrow, such as much more efficient batteries, and smaller computer chips to power our digital devices, as well as fuel cells to power pollution-free cars and unbreakable codes to protect electronic financial transactions and video transmissions.
The Department also proudly houses
another extremely important science agency, the National Oceanic and
Atmospheric Administration (NOAA).
NOAA’s mission is to understand and
predict changes in the Earth’s environment, as well as to conserve and manage
wisely the coastal and marine resources to meet our nation’s economic, social,
and environmental needs. The
work performed at NOAA touches the daily lives of every person in the
· provides weather, water, and climate services;
· manages and protects marine resources and ecosystems;
· conducts atmospheric, climate, and ecosystems research;
· promotes efficient and environmentally safe commerce and transportation; and
· provides emergency response and vital information in support of homeland security.
In addition to using science and technology to create jobs, stimulate innovation and improve economic prosperity, the Department is also directing resources toward disaster prediction and prevention, to better understand and minimize the loss of life and property from disasters.
The 2005 Atlantic hurricane season was the busiest on record and extended the current period of increased hurricane activity which began in 1995—a trend likely to continue for years to come. This season shattered records that have stood for decades—the most named storms, most hurricanes and most category five storms. Arguably, it was the most devastating hurricane season the country has experienced in modern times.
The devastation along the
NOAA’s forecasts and warnings for
the 2005 Gulf hurricanes pushed the limits of state-of-the-art hurricane
prediction. Our continuous research
efforts, including observations, modeling, and expanded computational resources
at NOAA, and in partnership with other Federal agencies, have led to our
current predictive capabilities and improved ways of describing uncertainty in
prediction. But NOAA’s work does not end
there. NOAA assessed damage from storms,
as well as the impact to the areas’ fisheries.
It continues to support hazardous materials containment and abatement
efforts, provide necessary data critical for post-storm response and recovery
operations, and assist dredging operations, allowing our nation’s ports and
waterways impacted by the storm to open.
NOAA’s science is just as critical to our understanding and management of our oceans. In December 2004, the Administration released the U.S. Ocean Action Plan (Plan), in response to the U.S. Commission on Ocean Policy’s report entitled, An Ocean Blueprint for the 21st Century. NOAA will continue to play a key role in implementing many of the Plan’s ocean policy measures, including the establishment of a coordinated ocean governance structure. Chairman Ehlers has noted that “these are critical issues crucial to the survival of humans on the planet when we consider the extent and the complexity of the oceans and life on the planet.” Consistent with this approach, the Administration continues to support Commerce’s leadership role in oceans policy and activities by promoting passage of a NOAA Organic Act.
NOAA’s global leadership extends to
monitoring the planet through the development of the Global Earth Observation
System of Systems (GEOSS). Last April,
the
NOAA also serves as the lead coordinating agency for the U.S. Climate Change Science Program (CCSP) which integrates a broad range of climate-related observations, field studies and computer model projections sponsored by 13 Federal agencies. CCSP has a goal of substantially improved understanding of both the causes and the potential effects of climate variability and change, on time scales extending from weeks to decades. NOAA’s mission also includes the implementation of climate predictive and interpretive services for a wide range of applications, thereby providing significant benefits to users in several sectors of the economy.
HIGHLIGHTS OF THE FY
2007 BUDGET REQUEST
The FY 2007
President’s budget request for the Technology Administration is $582.8 million,
including $1.5 million for the Office of the Under Secretary and $581.3 million
for NIST. TA and its various components
seek to maximize technology’s contribution to economic growth, high-wage job
creation, and the social well-being of the
For NOAA, we request a total of $3.684 billion. The request is an increase of $345 million or 10 percent above NOAA’s FY 2007 base. This FY 2007 request reflects our continuing effort to better serve the American people by restraining spending and advancing only the most mission-critical services. The NOAA staff of dedicated professionals, working with extramural researchers and our international partners, is extending our knowledge of climate change, expanding meteorological prediction capabilities, improving coastal resource management, charting more of our oceans and coasts, and enhancing environmental stewardship.
For the remainder of my testimony I would like to focus on the Department’s science and technology budget priorities for the upcoming fiscal year as reflected in TA/NIST’s and NOAA’s requests. The Commerce Department’s budget illustrates our commitment to preserve the core competencies of TA, NIST and NOAA, and to promote competitiveness, innovation and economic growth.
Technology
Administration Programs
The Technology Administration and
its various components – NIST, the National Technical Information Service, and
the Office of the Under Secretary - seek to maximize technology’s contribution
to economic growth, high-wage job creation, and the social well-being of the
National
NIST has long been a center for high-impact basic research, as evidenced by the three Nobel Prizes that have been awarded to its scientists in the last decade. NIST research has led to innovations that we can see today, from the high-density magnetic storage technology that makes devices such as computer hard drives and mp3 players so compact, to protective body armor for law enforcement officers and diagnostic screening for cancer patients
NIST’s Scientific and
Technical Research and Services ($467.0 million)
The NIST budget is divided into three appropriations, the first of which is $467.0 million covering Scientific and Technical Research and Services (STRS). This includes $459.4 million for NIST’s laboratory research, which is the core of NIST’s operations. Through these laboratories, NIST plays a unique role in the Nation’s scientific, industrial and business communities. Scientists, engineers, health care professionals, manufacturers and business people compare and trade data, test results, manufactured goods, and commodities with greater confidence when NIST is present in the background -- anchoring the national measurement and standards system that is the language of research and commerce.
This is the oldest and one of the most important of NIST’s long-standing missions. It affects every American who goes to the store, buys gasoline or pays a utility bill, because each year $4.5 trillion in wholesale and retail trade is measured against standards that are ultimately traceable to NIST. It affects:
It is a vital mission, and one
that is far from static, because a modern, progressive, industrialized society
imposes constant demands for improvements in its measurements and its
standards. The pace of
NIST’s reputation and past
accomplishments are known worldwide because of its laboratory-based work, and
its level of excellence is the goal for all measurement research institutions. NIST is increasingly focused on the most
intriguing and challenging technologies and industries of the new century, and
the measurements and standards that will be crucial if
The requested increases for the NIST
laboratories match the President’s R&D priorities and the Nation’s
measurements and standards needs. Discoveries
and advances in nanotechnology and manufacturing supply chain integration have
the potential to dramatically transform manufacturing and business industries
through innovation and productivity improvements. Similarly, developments and
discoveries in quantum information science, hydrogen research, and new imaging
techniques for materials and medical applications will potentially improve not
only the life of every American, but will also have an impact on the future of
people throughout the world. The ability of
The President’s American Competitiveness Initiative for NIST totals $104.1 million in enhancements for the core NIST programs including the NIST laboratories and facilities improvements. The major NIST focus of the American Competitiveness Initiative includes the following:
o Enabling Nanotechnology from Discovery to Manufacture ($20 million),
o Enabling the Hydrogen Economy ($10 million),
o Quantum Information Science: Infrastructure for 21st Century Innovation ($9 million),
o Innovations in Measurement Science ($4 million), and
o Cyber Security: Innovative Technologies for National Security ($2 million).
o
o Synchrotron Measurement Science and Technology: Enabling Next Generation Materials Innovation ($5 million).
o Manufacturing Innovation through Supply Chain Integration ($2 million),
o Structural Safety in Hurricanes, Fires, and Earthquakes ($2 million),
o International Standards and Innovation: Opening Markets for American Workers and Exporters ($2 million),
o Bioimaging: A 21st Century Toolbox for Medical Technology ($4 million), and
o Biometrics: Identifying Friend or Foe ($2 million).
· NIST facilities improvement plan ($20.1 million)
o Phase
I design of the renovation of the main Building 1, in
o Design
and limited renovation of Building 4 in
o Increasing the base for Safety, Capacity, Maintenance and Major Repairs of NIST facilities ($10 million).
I want to emphasize and provide additional information about several of these important initiatives, to explain why the President has decided that they merit such an investment in tight budget times.
Enabling Nanotechnology from Discovery to
Manufacture (+$20 million)
Nanotechnology is anticipated to be the major breakthrough
technology in the 21st century—with the nanotechnology-related
market predicted to exceed $1 trillion globally by 2015. Within the next 10
years, experts expect at least half
of the newly designed advanced materials and manufacturing processes to be at
the nanoscale. The
Successfully translating nanoscale discoveries into manufactured products will be critically dependent on:
Enabling the Hydrogen Economy (+$10 million)
President Bush issued a challenge to the Nation’s scientists and engineers in his 2003 State of the Union speech to overcome technical obstacles so that “the first car driven by a child born today could be powered by hydrogen, and pollution-free.” Hydrogen fuels are expected to reduce the environmental impact of energy use as well as lower dependence on foreign energy sources. NIST has the technical expertise, unique facilities, and the mandate from Congress needed to make substantial contributions toward a robust hydrogen economy.
For the past 50 years, NIST has
been a leading provider of data on the chemical and physical properties of
hydrogen. NIST’s Center for Neutron
Research (NCNR) is a premier facility for the study of hydrogen. The NCNR
already is being used in conjunction with major
Moreover, NIST’s expertise in manufacturing will be critical for advancing hydrogen process control technologies and the design of fuel cells that can be manufactured cost-effectively. That is why the President is requesting additional funding for NIST’s laboratory work in this area as part of the effort to achieve the vision of a hydrogen economy.
Quantum Information Science: Infrastructure for 21st-Century
Innovation (+$9 million)
Research
in quantum information seeks to control and use these properties for scientific
and societal benefits. Researchers are working toward quantum computers that
can solve problems in seconds that today’s best supercomputers could not
solve in years. Much like the way computers of today greatly improved
our quality of life, quantum computers of the future will solve problems beyond
our current imagination. We do know that they will create unbreakable codes to
protect commercial communications, including financial transactions and video transmissions,
but we also believe they will do much more. Advances in quantum information
science have the potential to expand and strengthen the
NIST is a leader in quantum research with several world-renowned scientists, including three Nobel laureates—and it is perfectly positioned to play a more critical role in advancing the quantum realm of science and harnessing its power to achieve benefits for the economy and for our security.
Under the FY 2007 initiative
proposed by the President, NIST will accelerate the field by expanding its
in-house research efforts and by enhancing its effort to exploit the
fundamental properties of quantum systems to develop new metrology tools and
methods. Moreover, NIST will establish a Joint Quantum Institute to leverage
NIST’s own expertise and resources with those of a university and the National
Security Agency. Specific, practical
benefits will include: improved security
for electronic commerce; maintenance of the
It takes wonderful, talented people
– the best in the world – to conduct the kind of Nobel Prize-winning, McArthur
Genius Award-winning, National Medal of Science-winning work that is done by
NIST. It also takes facilities where
this work gets done, which is one reason that the President’s Budget for 2007
includes $68 million – including a $32.1 million program increase (including $12 million in the NIST Center for
Neutron Research initiative and $20.1 million for the NIST Facilities
Improvement Plan -- for NIST’s Construction and Research Facilities
(CRF) account.) Moreover, these
investments at NIST also support industrial innovation and competitiveness by
making available special research facilities used by scientists and engineers
from industry, universities, and other agencies. Congress has helped NIST to tackle some of its
most pressing facilities needs, resulting in two relatively new additions. The NIST campuses in
The President’s proposal for CRF includes resources for safety, maintenance, repair, and facilities upgrades. The CRF request would fund:
-
Construction and renovations at the
- Increases for the NIST safety, capacity, maintenance and major repairs (SCMMR) budget to repair aging facilities ($10 million), and
-
Building renovations at the agency’s
Finally, the President is requesting $46.3 million to fund the Hollings Manufacturing Extension Partnership program. This is a reduction from the FY 2006 level that would be made in order to address the Nation’s most pressing funding needs in an austere fiscal environment. NIST will focus the FY 2007 funding to maintain an effective network of centers with an emphasis on activities that promote innovation and competitiveness in small manufacturers.
The FY 2006 appropriations and
estimated recoveries will be sufficient to meet all existing obligations of the
Advanced
Technology Program and to phase it out. Accordingly, no FY 2007 funds are requested.
Office of the Under
Secretary ($1.5 million)
The key administrative and policy operations within the Office of the Under Secretary will be streamlined. TA will remain an effective advocate for technology within the Department of Commerce. TA, for instance, was the lead office at the Commerce Department responsible for working on the recent competitiveness summit hosted at the Department.
National Technical Information Service (fee
supported)
The National Technical Information Service (NTIS), the third unit of the Technology Administration, is a repository of much of the Government’s technical information that is used by the science and technical communities. NTIS maintains, sells and distributes a collection of scientific and technical information from various Federal agencies. NTIS covers its operating costs through fees for its products and services; in keeping with past practice, there is no FY 2007 appropriation request.
National Oceanic
and Atmospheric Administration Programs
Americans look to NOAA for a wide
variety of services and support ranging from the local weather forecast, to a
sustainable supply of quality seafood, to the safe transport of millions of tons
of waterborne cargo. Our scientists and
managers also help keep the coastline safe and economically vibrant, and
maintain detailed research on the climate from the frozen
NOAA’s budget proposes increases
for the following high priority areas:
·
Satellite Continuity (+$124 million for GOES-R and
NPOESS)
·
Ecosystem Management (+$108 million, including $19.7
million for fisheries activities in the
·
Weather and Water Information (+$46 million, including
$12 million to complete and operate the Tsunami Warning System and $1.4 million
to operate and maintain Hurricane Buoys)
·
Climate Services (+$24 million, including $6.5 million
for High-Performance Computing and $4 million for the National Integrated
Drought Information System)
·
Commerce and Transportation (+$19.5 million, including
$10.5 million to address nautical survey backlog and $5 million for critical
mapping, charting, and data improvements)
·
Improved facilities (+$30 million)
Mission
Support/People and Infrastructure
The backbone of the NOAA
infrastructure is our integrated observation effort, including building
state-of-the-art satellite programs.
NOAA serves with NASA and OSTP as lead for the Federal Government in
developing our
As you are aware, the NPOESS program has encountered significant cost and schedule overruns, which are not included in the FY 2007 request. NPOESS is currently undergoing a recertification review in accordance with Nunn-McCurdy DoD regulatory requirements. This review will shape the way forward, and consequently, the Administration’s future budget requirements. The Department of Defense request for NPOESS matches the NOAA request for FY 2007, as part of the shared funding arrangement.
We are also developing the next
generation of geostationary satellites to maintain continuity of satellite data
into the future. The FY 2007 NOAA budget
requests $113.4 million to move the GEOS-R series satellites into the
acquisition and operations phase of its procurement.
Ecosystems ($107.6
million increase)
The FY 2007 Budget request includes significant resources for NOAA’s ocean and coastal programs, and fisheries and protected species activities in support of the President’s U.S. Ocean Action Plan. NOAA’s primary initiative is to advance ecosystem-based approaches to resource management. By applying innovative strategies to improve internal and external coordination and integration based on ecosystem principles, and by establishing baselines and integrated observations of ecosystem indicators, NOAA will increase the effectiveness of its many program activities intended to produce healthy and productive ecosystems that benefit society. Initiating ecosystem approaches to management requires better monitoring and characterization, and more effective integration and collaboration among NOAA programs and its external partners.
Highlights of
the FY 2007 request in this area include $19.7 million to support fisheries
programs in the
Climate ($24.1 million increase)
NOAA requests $24.1 million increase (for a total of $230 million) for programs and activities increasing our ability to predict and assess current and future impacts of climate events such as droughts, floods, and trends in extreme climate events. These programs provide vital information for farmers, utilities, land managers, weather risk industry, fisheries resource managers, and other customers to make better decisions. One such investment will enable NOAA to continue building the global component of the Integrated Earth Observing System. Advancing observing systems toward global coverage will allow NOAA to better understand the state of the climate system and improve climate predictions. Another key investment is the request for $4.0 million to go towards drought impact research for the National Integrated Drought Information System (NIDIS), which will aid decision makers faced with drought and water resource management issues. The request also includes $7 million to establish the capacity to produce consistent and continually updated climate analysis data, deliver regular and systematic explanations of the state of the climate system, and advance understanding and predictions of climate extremes.
NOAA’s FY 2007 Budget request
includes an increase for
Weather and Water ($46.1 million increase)
The FY 2007 budget includes $46.1
million in increases to sustain and improve weather forecasts and
warnings. NOAA’s weather and water
services make a tremendous contribution to the Nation’s health and economic
vitality. For instance, weather warnings protect the public from extreme
environmental events while forecasts are essential to weather- and
climate-sensitive industries, which account for one-third of the Nation’s GDP. As an example of the benefits, during a
typical hurricane season NOAA’s efforts save the Nation $3 billion. Annually, drought costs the Nation $6 to 8
billion, and floods cost $5 billion and cause more than 80 deaths. There are
estimates that indicate that the
Support of the FY 2007 budget
request will strengthen NOAA’s ability to sustain critical services and to
provide crucial enhanced services. Warning
improvements include $12.4 million to operate the U.S. Tsunami Warning
System and expand its scope from the Pacific to the Atlantic and
Commerce and Transportation ($19.5 million increase)
The
highway, and air
transport to move people, cargo and commerce to, from and across the Nation.
This movement is heavily dependent upon the information and services that NOAA
provides – weather and ice forecasts, real-time and forecast water level
conditions and obstruction surveys, navigational charts, hazardous materials
response, and satellite search and rescue. From 1990 to 2003, the value of
Among our Commerce and Transportation programs, we are requesting $2.0 million
to continue
implementation of the National Vertical Datum Transformation Tool database, or
VDATUM. VDATUM allows Federal, state,
and local government agencies to share geospatial data more effectively and
benefits NOAA’s modernization efforts.
The FY 2007 budget request also includes $1.9 million to continue NOAA’s
efforts to provide Electronic Navigational Charts (ENCs). Sustained funding at this level will enable
NOAA to cover all
CONCLUSION
We are pleased that the President’s Budget reflects the important work of the science agencies housed in the Department of Commerce. The Department’s research and development budget includes a number of investments critical to our nation. Thank you for the opportunity to appear here today. I welcome any questions that you may have.