Upcoming House Budget Vote Has Important Impacts on Science

Little noticed during the last few weeks because of yesterday’s NAFTA vote is an upcoming House vote on a deficit-cutting bill that would have significant impacts on federal science funding and policies. If passed, this legislation would, among other changes, create a new Department of Science, cut fusion energy funding, and reduce university R&D overhead rates.

Fiscal conservatives were promised an opportunity to make further cuts in federal spending during this summer’s consideration of the controversial tax and deficit cutting legislation. Late last month, President Clinton sent to Congress a bill, H.R. 3400, which would (including further congressional adjustments) cut federal spending by over $11 billion in the next five years.

This afternoon, the House Rules Committee is expected to clear the way for an amendment to H.R. 3400 which would be voted on by the House this Saturday cutting federal spending by an additional $103 billion over five years. Known as the Penny-Kasich Deficit Reduction Plan after its two House cosponsors (Timothy Penny, D-Minnesota; John Kasich, R-Ohio), it contains over 90 proposals to cut federal spending. Among them are (quoting from the plan where indicated):

Consolidation of science and technology agencies into a single new Department of Science: This consolidation includes the National Science Foundation, NASA, Department of Energy, Department of Commerce, and OSTP. The plan’s sponsors claim this “could result in $1 billion of reduced spending due to administrative consolidation and elimination of programmatic duplication.” In addition, “National labs would be focused and unjustified capacity would be sold off or closed.”

A 20% reduction in fusion energy research and development: “Commercial markets for fusion energy R&D may be years away, and large-scale demonstration projects may be premature...this proposal reduces magnetic fusion R&D to 50% of its CBO [Congressional Budget Office] baseline levels over the next five years.” The plan’s sponsors claim this would reduce fusion energy R&D spending by $375 million over this period.

Imposition of a 50% cap on the overhead rate for federally sponsored university research and development.

Elimination of funding for the High Temperature Gas Reactor.

Putting “Federally Funded Research and Development Centers Under the Competition in Contracting Act.”

“Lab Closure Commission: This provision calls for the formation of an independent commission, patterned on the Base Closure Commission, to determine the most effective organization of the national defense and energy research labs.”

Also included in the plan is a proposal to Strengthen and Restructure NASA Management: "...primary suggestions include increased contracting-out, relaxed regulations to encourage private investment, and reducing personnel.”

Another program creates a Single Polar Satellite program: "...to reduce duplication and save $1 billion, various current and proposed polar satellite programs should be consolidated under NOAA....”

It is expected that Saturday’s House floor vote on the Penny-Kasich amendment will be very close. House freshmen, who it should be remembered were instrumental in providing the votes to terminate the SSC, are anxious to demonstrate to constituents their willingness to cut federal spending. The House may also vote on an amendment sponsored by Reps. Barney Frank (D-Massachusetts) and Christopher Shays (R-Connecticut) which would cancel the space station, reduce spending for the ballistic missile defense program, and terminate the Department of Energy’s advanced liquid metal reactor.

The short-term outlook in the Senate is very uncertain if the House passes the Penny-Kasich amendment. Senators Bob Kerrey (D-Nebraska) and Hank Brown (R-Colorado) have authored a similar plan. Senator Robert Byrd (D-West Virginia) has said that it is “inconceivable” that any bill further reducing federal spending would pass the Senate this year. Byrd generally opposes legislation curtailing the ability of Congress to make spending decisions. Congress is scheduled to adjourn in the next two weeks, and the long recess until next year’s session might dampen congressional enthusiasm to cut federal spending. Nevertheless, if the House does pass the Penny-Kasich package it would significantly strengthen future moves to cut governing spending as they propose.