[Budget of the United States Government]
[V. Investing in the Common Good: Program Performance in Federal Functions]
[13. General Science, Space, and Technology]
[From the U.S. Government Publishing Office, www.gpo.gov]


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               13.  GENERAL SCIENCE, SPACE, AND TECHNOLOGY

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               Table 13-1.  Federal Resources in Support of General Science, Space, and Technology
                                            (In millions of dollars)
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                                                                               Estimate
               Function 250                   1999   -----------------------------------------------------------
                                             Actual     2000      2001      2002      2003      2004      2005
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Spending:
  Discretionary Budget Authority..........    18,793    19,192    20,761    21,179    21,471    22,094    22,495
  Mandatory Outlays:
    Existing law..........................        42       102        66        34        34        34        34
Tax Expenditures:
  Existing law............................     3,595     2,875     5,245     5,675     5,060     4,850     3,915
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  Science and technology are principal agents of change and progress, 
with over half of the Nation's economic productivity growth in the last 
50 years attributable to technological innovation and the science that 
supported it. Appropriately enough, the private sector makes many 
investments in technology development. The Federal Government, however, 
also plays a role--particularly when risks are too great or the 
potential return for companies is too long-term.
  Within this function, the Federal Government supports areas of 
cutting-edge science, through the National Aeronautics and Space 
Administration (NASA), the National Science Foundation (NSF), and the 
Department of Energy (DOE). The activities of these agencies contribute 
to greater understanding of the world in which we live, ranging from the 
edges of the universe to the smallest imaginable particles, and to new 
knowledge that may or may not have immediate applications to improving 
our lives. Because the results of basic research are unpredictable, 
developing performance goals for this area presents unique challenges.
  Each of these agencies funds high-quality research and contributes to 
the Nation's cadre of skilled scientists and engineers. To continue this 
tradition, and as a general goal for activities under this function, at 
least 80 percent of the research projects will be reviewed by 
appropriate peers and selected through a merit-based competitive 
process. In 1999, 94 percent of the project funds awarded through grants 
by NSF, 82 percent by NASA, and 91 percent by DOE were reviewed by 
appropriate peers and selected through a merit-based competitive 
process. Because these percentages are based on data that do not reflect 
the entire research activity at all agencies, the Administration will 
need to reform the definitions in next year's report.
  Another important Federal role is to construct and operate major 
scientific facilities and capital assets for multiple users. These 
include telescopes, satellites, oceanographic ships, and particle 
accelerators. Many of today's fast-paced advances in medicine and other 
fields rely on these facilities. As general goals, agencies will keep 
the development and upgrade of these facilities on schedule and within 
budget, not to exceed 110 percent of estimates. In 1999, NASA 
development and upgrades were within 113 percent of cost estimates and 
108 percent of schedule estimates, and those within DOE were within 100 
percent of cost and schedule estimates. In operating the facilities, 
agencies will keep the operating time lost due to unscheduled

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downtime to less than 10 percent of the total scheduled possible 
operating time, on average. In 1999, NASA developed a baseline for loss 
of scheduled operating time due to scheduled downtime of 5.6 percent to 
enable them to report next year on unscheduled downtime. DOE user 
facilities kept unscheduled downtime to nine percent. NSF is in the 
process of developing a database, and will report in next year's budget.
  One of the specific areas in which the Federal Government has invested 
is the Internet, which has changed the lives of millions of Americans. 
Previous Federal investments helped to establish the Internet, and 
current investments are making the Internet faster and available to more 
Americans. Since 1998, the Federal Government has invested in the Next 
Generation Internet Initiative, which focuses on a variety of ways to 
improve the operation of the network. For example, it is focusing on how 
to make the Internet operate at speeds 100 to 1,000 times faster than 
the current Internet to allow a typical user to view routinely highly-
detailed pictures and to explore complex data bases. In 1999, the 
testbed connected over 100 sites to a network that will deliver speeds 
100 times faster than the 1998 Internet, and over 10 sites to a second 
network that will deliver speeds 1,000 times faster. This initiative is 
also examining ways to ensure that information transferred over the 
Internet is used only by the intended user for its intended purpose, and 
to make the Internet as reliable as local telephone service while 
greatly reducing the effort required to administer and manage the 
network.
  The budget proposes $20.76 billion to conduct activities in support of 
general science, space, and technology. The Government also stimulates 
private investment in these activities through over $5 billion a year in 
tax credits and other preferences for research and development (R&D).

National Aeronautics and Space Administration

  The budget proposes $13.1 billion for NASA activities in this 
function. NASA serves as the lead Federal agency for research and 
development in civil space activities, working to expand frontiers in 
air and space to serve America and improve the quality of life on Earth. 
NASA pursues this vision through balanced investment in four 
enterprises--Space Science, Earth Science, Space Transportation 
Technology, Human Exploration and Development of Space--and mission 
support to carry out these activities.
  NASA's achievements in 1999 included direct and independent 
confirmation of the existence of extrasolar planets; production of a 
global, three-dimensional map of Mars; successful launch and operation 
of the Chandra X-ray Observatory, which is now returning unprecedented 
images of never-before-seen objects beyond our galaxy; improvement in 
measuring global rainfall from an uncertainty of 50 percent to 25 
percent; and, the first successful docking of the Space Shuttle to the 
International Space Station.
  Space Science programs, for which the budget proposes $2.4 billion, 
are designed to enhance our understanding of how the universe was 
created, what fundamental rules govern its evolution, how stars and 
planets evolve and die, how space phenomena affect Earth, and the 
possible existence of life beyond Earth. In 1999, NASA developed and 
launched seven spacecraft with an average 3.8 percent cost overrun, 
although two Mars missions failed to return data. The NASA Advisory 
Council indicated that eight of the eight NASA performance plan 
objectives for Space Science have been successfully met. In 2001,
   NASA will successfully launch at least four of its six 
          planned spacecraft--the Mars Surveyor--01 Orbiter, the Genesis 
          mission, the Galaxy Evolution Explorer, the Microwave 
          Anisotropy Probe, Cooperative Astrophysics and Technology 
          Satellite, and Gravity Probe B--within 10 percent of their 
          schedules and budgets. For those spacecraft already 
          successfully launched, NASA Space Science will meet expected 
          operations performance for at least 80 percent of its 
          operating missions;
   NASA's Advisory Council will rate the Space Science 
          performance plan objectives as being successfully met. 
          Examples of objectives include: investigate the composition, 
          evolution and resources of Mars, the

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          Moon, and small solar system bodies such as asteroids and 
          comets; identify planets around other stars; and observe the 
          evolution of galaxies and the intergalactic medium; and,
   NASA will continue and expand the integration of education 
          and enhanced public understanding within its research and 
          flight mission programs. Space Science funded education and 
          outreach activities will be in planning or implementation in 
          at least 34 States.
  Earth Science programs, for which the budget proposes $1.4 billion, 
focus on the effects of natural and human-induced changes on the global 
environment through long-term, space-based observation of Earth's land, 
oceans, and atmospheric processes. In 1999, NASA launched two 
spacecraft, Landsat-7, and the Quick Scatterometer. Users have routinely 
received earth science data products within five days of receipt or 
production of the requested data product. The NASA Advisory Council 
indicated that 29 of 35 performance targets were successfully met. In 
2001,
   NASA will successfully launch and operate at least two of 
          three planned spacecraft--Aqua, IceSat, and Triana--within 10 
          percent of their schedules and budgets;
   NASA will increase by 20 percent the volume of climate data 
          it archives over the 2000 target of 368 terabytes, increase 
          the number of products delivered from its archives by 10 
          percent over 2000, and make the data available to users within 
          five days; and,
   NASA's Advisory Council will rate all near-term Earth Science 
          objectives as being met or on schedule. Examples of objectives 
          include: observe and document land cover and land use change 
          and impacts on sustained resource productivity; and understand 
          the causes and impacts of long-term climate variations on 
          global and regional scales.
  Aero-Space Technology programs, for which the budget proposes $616 
million, work with the private sector to develop and test experimental 
launch vehicles that reduce the cost of access to space. In 1999, the X-
33 program began testing of the liquid hydrogen tank and the aerospike 
engine resulting in a decision to redesign the tank. The X-34 program 
initiated hotfire testing of the Fastrac engine and completed delivery 
roll out and systems verification review of the first flight vehicle. In 
2001,
   the X-34 program will complete assembly of the third 
          experimental test vehicle; and,
   the X-37 program will commence vehicle assembly.
  Human Exploration and Development of Space programs, for which the 
budget proposes $5.5 billion, focus on the use of human skills and 
expertise in space. In 1999, the space shuttle achieved a 60 percent 
increase in predicted reliability over the 1995 levels, observed an 
average of 4.75 anomalies per flight, achieved an on-time launch rate of 
67 percent, and achieved a 12-month flight preparation cycle. The 
International Space Station program delivered the first two elements of 
the orbiting laboratory to space, and conducted successful operations 
throughout the year. In 2001,
   NASA will successfully complete no less than 85 percent of 
          planned operations schedules and milestones for 2001 for the 
          International Space Station. For example, NASA will conduct 
          permanent on-orbit operations with an estimated 8,000 crew 
          hours dedicated to assembly, vehicle operations, and payload 
          operations; and
   NASA will ensure that Space Shuttle safety, reliability, 
          availability and cost will improve, by achieving seven or 
          fewer flight anomalies per mission, successful on-time 
          launches 85 percent of the time, and a 12-month manifest 
          preparation time. NASA will complete the checkout launch and 
          control system application for the Orbiter Processing 
          Facility.

National Science Foundation

  The budget proposes $4.5 billion in 2001 for NSF in this function. 
While NSF represents just three percent of Federal R&D spending, it 
supports nearly half of the non-medical basic research conducted at 
academic institutions, and 30 percent of Federal support for mathematics 
and science edu

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cation. In 1999, NSF-funded scientists uncovered the structural basis 
that explains a virus' ability to force host cells to manufacture the 
virus' own proteins. This is important for understanding retroviruses, 
which are responsible for causing many cancers in vertebrates. In 
addition, the May 3, 1999, tornado outbreak in Central Oklahoma was used 
to test a regional forecast system developed at an NSF-funded center. 
The storm-scale forecast showed improved predictive ability and 
increased precision. As this forecasting capability is further 
developed, it will become a critical tool in determining which areas 
will be most severely hit by storms, allowing sufficient and timely 
warnings to be issued to persons in affected areas.
  NSF research and education investments are made in three primary 
areas:
  Ideas: Approximately one-half of NSF's resources support research 
projects performed by individuals, small groups, and centers. In 2001,
   an independent panel will judge whether research results in 
          the period demonstrate sufficient progress toward achieving a 
          robust and growing fundamental knowledge base; important 
          discoveries; partnerships connecting discovery to innovation, 
          learning and societal advancement; and research and education 
          processes that are synergistically coupled; and,
   NSF will maintain the 2000 goal of having a minimum of 30 
          percent of competitive research grants go to new 
          investigators. In 1999, 27 percent of competitive research 
          grants went to new investigators.
  Tools: NSF investments provide state-of-the art tools for research and 
education, such as instrumentation and equipment, multi-user facilities, 
accelerators, telescopes, research vessels and aircraft, and earthquake 
simulators. In addition, resources support large databases as well as 
computation and computing infrastructures for all fields of science, 
engineering, and education. Nearly a quarter of NSF's budget provides 
the tools required for cutting-edge research. In 2001,
   NSF facilities will continue to meet the function-wide goals 
          to remain within cost and schedule, and to operate 
          efficiently.
  People: Activities to facilitate development of a diverse and talented 
work force of scientists, engineers, and well-prepared citizens account 
for about 25 percent of NSF's budget. NSF supports formal and informal 
science, mathematics, engineering, and technology education at all 
levels, including multi-disciplinary education and training for graduate 
students. In addition, resources support projects to develop curriculum, 
enhance teacher training and professional development, and provide 
educational opportunities for students from pre-K through postdoctoral. 
In 1999, 40 NSF-sponsored projects implemented mathematics and science 
standards-based curricula in over 81 percent of participating schools, 
and provided professional development for more than 156,000 teachers. 
All participating educational systems demonstrated some level of 
improvement in student achievement in mathematics and science on a 
battery of system-selected assessment instruments. Moreover, in 1999, 
systemic initiatives and related teacher enhancement programs provided 
intensive professional development to a total of 82,400 teachers, 
exceeding the goal of 65,000. For 2001, NSF will continue to adhere to 
the following goal:
   Over 80 percent of schools participating in a systemic 
          initiative program will: 1) implement a standards-based 
          curriculum in science and mathematics; 2) further professional 
          development of the instructional work force; and, 3) improve 
          student achievement on a selected battery of tests, after 
          three years of NSF support.

Department of Energy

  The budget proposes $3.2 billion in 2001 for DOE science programs and 
supporting activities. DOE operates major scientific facilities 
including particle accelerators, magnetic plasma confinement reactors 
for fusion research, synchrotron light sources, neutron sources, 
supercomputers, and high-speed networks that researchers use in fields 
ranging from the physical and materials sciences to the biomedical and 
life sciences. These facilities are available, on a competitive basis,

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to scientists and engineers in universities, industry and other Federal 
agencies.
  In 1999, an international team of nuclear scientists at DOE's Lawrence 
Berkeley National Laboratory added three new elements to the periodic 
table. Elements 116 and 118 are the heaviest yet created and confirm 
physicists' long-standing prediction of an ``island'' within the 
Periodic Table of the elements where heavier nuclei become increasingly 
stable. In addition, DOE-funded university researchers have developed a 
new class of organic magnets that are stable in air. For some of these 
materials, their magnetism can be switched on or off using light, a 
process found only in molecular or polymer-based magnets. The potential 
applications of these new materials are only beginning to be explored.
  The budget proposes $1.02 billion for Basic Energy Sciences (BES), 
which supports basic research in the materials, chemical and engineering 
sciences, geosciences, and plant and microbial biosciences. As part of 
its mission, BES plans, constructs, and operates major scientific user 
facilities. In 1999, DOE redesigned the Spallation Neutron Source to 
have a more defensible cost and schedule baseline. In 2001,
   DOE will meet the cost and schedule milestones for upgrade 
          and construction of scientific user facilities, including the 
          construction of the Spallation Neutron Source, as confirmed by 
          regular external independent reviews.
  The budget proposes $182 million for Advanced Scientific Computing 
Research, which supports applied mathematics, computer science, and 
networking research and operates supercomputer, networking and related 
facilities to enable the analysis, simulation, and prediction of complex 
physical phenomena. In 1999, DOE-funded computer scientists developed a 
technique that reduces the time it takes to process a three-dimensional 
x-ray image from overnight to less than 20 minutes. This advance will 
greatly improve the productivity of the Nation's synchrotron light 
sources. By the end of 2001,
   the National Energy Research Scientific Computing Center will 
          deliver 3.6 Teraflop capability to support DOE's science 
          mission.
  The budget proposes $445 million for Biological and Environmental 
Research (BER), which supports basic research to identify, understand, 
and anticipate the long-term health and environmental consequences of 
energy production, development, and use. In 1999, BER-funded scientists 
determined the complete gene sequence of three microbes: the radiation-
resistant Deinococcus radiodu-rans, the pollutant-eating Shewanella 
putrefa-ciens, and the carbon-fixing Chlorobium tepidum. In 2001,
   DOE, through its Joint Genome Institute, will meet its 
          commitment to sequence three of the 24 human chromosomes as 
          part of an international effort to sequence the entire human 
          genome. DOE will sequence and submit to public databases at 
          least 10 percent of the human genome with an accuracy of 99.9 
          percent.
  The budget proposes $1.08 billion for High Energy and Nuclear Physics, 
which strives to understand the nature of matter and energy in terms of 
the most elementary particles and forces and to more completely explain 
the structure and interactions of atomic nuclei. In the third quarter of 
1999, construction of the Relativistic Heavy Ion Collider was completed 
on schedule and within budget. In 2001,
   DOE will make progress in achieving luminosity and 
          operational efficiency goals for the B-factory at the Stanford 
          Linear Accelerator Center, and begin Fermilab's Tevatron 
          Extended Run II, which has the potential to discover a new 
          class of elementary particles.
  The budget proposes $247 million for DOE's Office of Fusion Energy 
Sciences, which conducts research to advance plasma science, fusion 
science, and fusion technology. In 2001,
   DOE will deliver the first physics results from the radio-
          frequency driven Electric Tokamak.

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Tax Incentives

  Along with direct spending on R&D, the Federal Government has sought 
to stimulate private investment in these activities with tax 
preferences. The current law provides a 20-percent tax credit for 
private research and experimentation expenditures above a certain base 
amount. The credit, which expired in 1999, was retroactively reinstated 
for five years, to 2004, in the Tax Relief Extension Act of 1999. The 
credit will cost $3.4 billion in 2001 and $14.2 billion from 2001 to 
2005.
  A permanent tax provision also lets companies deduct, up front, the 
costs of certain kinds of research and experimentation, rather than 
capitalize these costs. This tax expenditure will cost $1.9 billion in 
2001. Finally, equipment used for research benefits from relatively 
rapid cost recovery. The cost of this tax preference is calculated in 
the tax expenditure estimate for accelerated depreciation of machinery 
and equipment.