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Summary

President Bush proposed total research and development (R&D) funding of $147.0 billion in his FY2009 budget request to Congress, a $3.9 billion (2.7%) increase over the estimated FY2008 level of $143.1 billion. The President's request included $29.3 billion for basic research, up $847 million (3.0%) from FY2008; $27.1 billion for applied research, down $1.0 billion (-3.6%); $84.0 billion for development, up 1.6 billion (1.9%); and $6.5 billion for R&D facilities and equipment, up $2.5 billion (61.7%). Congress is to play a central role in defining the nation's R&D priorities, especially with respect to two overarching issues: the extent to which the Federal R&D investment can grow in the context of increased pressure on discretionary spending and how available funding will be prioritized and allocated. A low or negative growth rate in the overall R&D investment may require movement of resources across disciplines, programs, or agencies to address priorities. The Administration requested significantly larger percentage increases in the R&D budgets of the three agencies that are part of its American Competitiveness Initiative: the Department of Energy's Office of Science, the National Science Foundation, and the National Institute of Standards and Technology. In 2007, Congress authorized substantial R&D increases for these agencies under the America COMPETES Act (P.L. 110-69). The President's budget would reduce R&D funding for the Department of Agriculture, down $357 million; Department of Veterans Affairs, down $76 million; Department of the Interior, down $59 million; and Environmental Protection Agency, down $7 million. The FY2009 request included increases for three multiagency R&D initiatives: the National Nanotechnology Initiative, up $35 million; Networking and Information Technology R&D program, up $194 million; and Climate Change Science Program, up $177 million. On September 30, 2008, President Bush signed into law H.R. 2638, the Consolidated Security, Disaster Assistance, and Continuing Appropriations Act, 2009 (P.L. 110-329). This act provides FY2009 appropriations for the Department of Defense, Department of Homeland Security, and Military Construction and Veterans Affairs; continued funding for all other agencies not covered under these provisions at their FY2008 funding levels through March 6, 2009; and supplemental funding for disaster relief. Under this act, FY2009 R&D funding is approximately $147.2 billion. None of the FY2008 regular appropriations bills has been passed by both the House and Senate. For the past two years, federal R&D funding and execution has been affected by mechanisms used to complete the annual appropriations process -- the year-long continuing resolution for FY2007 (P.L. 110-5) and the combining of 11 appropriations bills into the Consolidated Appropriations Act, 2008 for FY2008 (P.L. 110-161). For example, FY2008 R&D funding for some agencies and programs is below the level requested by the President and passed by the House of Representatives and the Senate. Completion of appropriations after the beginning of each fiscal year has also resulted in delays or cancellation of planned R&D and equipment acquisition.

Related Legislation:
• H.R.2638

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