One topic of great interest to many lawmakers these days is the question
of how the U.S. can maintain its competitiveness in manufacturing, as
other countries rapidly improve their manufacturing technologies, their
S&T capacity, and the skills of their workforce. Before leaving
for its summer recess, the House on July 9 passed a bill designed to
support American manufacturing. The "Manufacturing Technology Competitiveness
Act" (H.R. 3598), introduced by Rep. Vern Ehlers (R-MI), would
authorize substantial increases in the years FY 2005-2008 for NIST's
Manufacturing Extension Partnership (MEP) program and for NIST's in-house
laboratories. The bill would also authorize a new coordinating body
for federal manufacturing efforts, and fellowship and grant programs
to assist manufacturers and strengthen manufacturing technologies in
the U.S. It does not mention the Advanced Technology Program, one of
NIST's two extramural programs, which the Administration proposed terminating
and the House concurred to in its FY 2005 Commerce-Justice-State appropriations
bill (see FYI #93).
"Our action today is a victory for America's manufacturing sector,
especially the small and medium-sized manufacturers in Michigan and
around the country who are constantly striving to remain competitive
in the global marketplace," said Ehlers of the bill's passage.
House Science Committee Chairman Sherwood Boehlert (R-NY) commented
that the bill would help ensure that "manufacturers across America...have
easy access to information about the latest technologies and organizational
ideas that can help them stay ahead of their foreign competitors. Simply
put, this bill means jobs here at home."
Specifically, the bill would authorize $110.0 million in FY 2005 for
the MEP, which is a national network of not-for-profit centers, supported
by a mix of federal, state, local and private funds, that provide technical
and business assistance to small and medium-sized manufacturers in every
state. If appropriated, this amount would be a 185.0 percent increase
over FY 2004 MEP funding of $38.6 million, and a 180.6 percent increase
over the President's FY 2005 request of $39.2 million. After several
years of budgets in the range of $106.0 million, MEP funding was cut
more than 60 percent in FY 2004, in line with the original plan to phase
out federal funding for centers more than six years old. However, many
Members of Congress support continued federal funding, praising the
centers' value to manufacturers in their states, and warning that loss
of federal funds could force a number of centers to close. The Ehlers
bill would authorize steadily increasing appropriations levels for the
MEP, reaching a high of $125.0 million in FY 2008.
The bill would also authorize an FY 2005 appropriation of $425.7 million
for Scientific and Technical Research and Services (STRS), which are
NIST's core laboratory programs. This would be a 28.6 percent increase
over FY 2004 funding of $331.0 million, and a 2.0 percent increase over
the FY 2005 request of $417.5 million. The STRS authorization levels
would rise to a high of $492.8 million in FY 2008. The bill also authorizes
"such sums as may be necessary" for NIST facility construction
and maintenance.
In addition to providing guidance on funding levels, the bill would
seek to strengthen U.S. manufacturing by authorizing several new programs
and entities. It would direct the President to establish an Interagency
Committee to plan and coordinate federal manufacturing R&D efforts,
and an Advisory Committee to provide input to the Interagency Committee
on goals, priorities, and emerging problems and opportunities for U.S.
manufacturers.
The bill would require the NIST Director to establish a pilot program
to provide competitive grants to partnerships among manufacturing firms,
educational and research institutions, State agencies, and nonprofit
organizations "to encourage the development of innovative, multidisciplinary
manufacturing technologies."
Among other provisions, it would also authorize establishment of an
awards program at the postdoctoral and senior researcher levels for
fellowships at NIST to pursue research activities in manufacturing sciences,
and it would establish a competitive grant program among participants
in the MEP program "to develop projects to solve new or emerging
manufacturing problems." Additionally, it would require public
audits of all MEP centers, and notification to centers of performance
deficiencies that might result in probation or eventual closure.
Authorization bills, of course, only offer guidance for appropriators,
who actually control the money. The House already approved an FY 2005
appropriations level of $106.0 million for MEP in its Commerce-Justice-State
appropriations bill, passed several days before the authorization bill.
Both the Manufacturing Technology Competitiveness Act and the FY 2005
Commerce-Justice-State appropriations bill now await action from the
relevant committees in the Senate.
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