[Congressional Record Volume 152, Number 6 (Thursday, January 26, 2006)]
[Senate]
[Pages S212-S227]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
By Mr. DOMENICI (for himself, Mr. Bingaman, Mr. Alexander, Ms.
Mikulski, Mr. Lugar, Mr. Dodd, Mr. Warner, Mr. Obama, Mr. Bond,
Mr. Lieberman, Mr. Burns, Mrs. Murray, Mr. Craig, Mr. Bayh,
Mrs. Hutchison, Ms. Cantwell, Mr. DeWine, Mr. Menendez, Mr.
Thomas, Mr. Kohl, Mr. Smith, Mr. Kerry, Mr. Voinovich, Mr.
Nelson of Florida, Mr. Allen, Mr. Leahy, Mr. Talent, Mr. Akaka,
Mr. Chambliss, Mrs. Clinton, Mr. Cornyn, Ms. Stabenow, Mr.
Coleman, Mr. Dayton, Mr. Martinez, Mr. Salazar, Mr. Inouye, Mr.
Stevens, Mr. Biden, Mr. Cochran, Mr. Hagel, Ms. Murkowski, Mr.
Pryor, Ms. Collins, Mr. Vitter, and Ms. Landrieu):
S. 2199. A bill to amend the Internal Revenue Code of 1986 to provide
tax incentives to promote research and development, innovation, and
continuing education; to the Committee on Finance.
Mr. DOMENICI. Mr. President, I rise today to introduce a legislative
package which we refer to as the ``Protecting America's Competitive
Edge Act of 2006'' or the ``PACE'' Act. This legislation ensures that
the United States continues to set the pace in science, and in the
development of new technologies.
I know my colleagues Senator Bingaman, Senator Alexander, and Senator
Mikulski share my conviction that this legislation addresses one of the
most pressing challenges before us today. There are troubling signs
that the United States is becoming less competitive in scientific and
high-technology fields. Today, the United States is a net importer of
high technology products. The U.S. share of global high-technology
exports has fallen over the last two decades from 30 percent to only 17
percent.
The PACE legislation closely follows the recommendations made in a
recent National Academy of Sciences report entitled ``Rising Above the
Gathering Storm.'' The metaphorical storm is the challenge to our
global competitiveness in science and technology. I want to
congratulate Norm Augustine, who chaired the National Academy
committee, and the members of his committee for producing such a
comprehensive, ground-breaking report on this important issue.
The Augustine report makes 20 recommendations for U.S. schools,
universities, research and economic policy. Our legislation will enact
each of the recommendations. For example, our legislation doubles
authorizations for basic research in the physical sciences by over the
next 7 years. It also requires that at least 8 percent of Federal
research budgets are allocated to high-risk, potentially high pay-off
research. It will strengthen the skills of thousands of math and
science teachers by establishing training and education programs at
summer institutes hosted at the National Laboratories.
We need to take U.S. competitiveness seriously. We need to take
action to support our standard of living, and ensure we continue to
grow and prosper. If we do not, we can expect other nations to rival
our global competitiveness--and one day to surpass us.
I ask unanimous consent that the text of all three bills in the
following order, the PACE-Energy Act, the PACE-Education Act, and the
PACE-Finance Act, be printed in the Record.
S. 2197
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
[[Page S213]]
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Protecting America's
Competitive Edge Through Energy Act of 2006'' or the ``PACE-
Energy Act''.
SEC. 2. MATHEMATICS, SCIENCE, AND ENGINEERING EDUCATION AT
THE DEPARTMENT OF ENERGY.
(a) Science Education Programs.--Section 3164 of the
Department of Energy Science Education Enhancement Act (42
U.S.C. 7381a) is amended--
(1) by redesignating subsections (b) through (d) as
subsections (c) through (e), respectively;
(2) by inserting after subsection (a) the following:
``(b) Organization of Mathematics, Science, and Engineering
Education Programs.--
``(1) Director of mathematics, science and engineering
education.--The Secretary, acting through the Under Secretary
for Science (referred to in this subsection as the `Under
Secretary'), shall appoint a Director of Mathematics,
Science, and Engineering Education (referred to in this
subsection as the `Director') with the principal
responsibility for administering mathematics, science, and
engineering education programs of the Department.
``(2) Qualifications.--The Director shall be an individual,
who by reason of professional background and experience, is
specially qualified to advise the Under Secretary on all
matters pertaining to mathematics, science, and engineering
education at the Department.
``(3) Duties.--The Director shall--
``(A) oversee all mathematics, science, and engineering
education programs of the Department;
``(B) represent the Department as the principal interagency
liaison for all mathematics, science, and engineering
education programs, unless otherwise represented by the
Secretary or the Under Secretary;
``(C) prepare the annual budget and advise the Under
Secretary on all budgetary issues for mathematics, science,
and engineering education programs of the Department; and
``(D) perform other such matters related to mathematics,
science, and engineering education as are required by the
Secretary or the Under Secretary.
``(4) Staff and other resources.--The Secretary shall
assign to the Director such personnel and other resources as
the Secretary considers necessary to permit the Director to
carry out the duties of the Director.
``(5) Assessment.--The Secretary shall offer to enter into
a contract with the National Academy of Sciences under which
the National Academy, not later than 5 years after, and not
later than 10 years after, the date of enactment of this
paragraph, shall assess the performance of the mathematics,
science, and engineering education programs of the
Department.
``(6) Authorization of appropriations.--There are
authorized to be appropriated such sums as are necessary to
carry out this subsection.''; and
(3) by striking subsection (d) (as redesignated by
paragraph (1)) and inserting the following:
``(d) Mathematics, Science, and Engineering Education
Fund.--The Secretary shall establish a Mathematics, Science,
and Engineering Education Fund, using not less than 0.3
percent of the amount made available to the Department for
research, development, demonstration, and commercial
application for each fiscal year, to carry out sections 3165,
3166, and 3167.''.
(b) Definition.--Section 3168 of the Department of Energy
Science Education Enhancement Act (42 U.S.C. 7381d) is
amended by adding at the end the following:
``(5) National laboratory.--The term `National Laboratory'
has the meaning given the term in section 2 of the Energy
Policy Act of 2005 (42 U.S.C. 15801).''.
(c) Mathematics, Science, and Engineering Education
Programs.--The Department of Energy Science Education
Enhancement Act (42 U.S.C. 7381 et seq.) is amended--
(1) by inserting after section 3162 the following:
``Subpart A--Science Education Enhancement'';
(2) in section 3169, by striking ``part'' and inserting
``subpart''; and
(3) by adding at the end the following:
``Subpart B--Mathematics, Science, and Engineering Education Programs
``SEC. 3170. DEFINITIONS.
``In this subpart:
``(1) Director.--The term `Director' means the Director of
Mathematics, Science, and Engineering Education.
``(2) National laboratory.--The term `National Laboratory'
has the meaning given the term in section 2 of the Energy
Policy Act of 2005 (42 U.S.C. 15801).
``CHAPTER 1--ASSISTANCE FOR SPECIALTY SCHOOLS FOR MATHEMATICS AND
SCIENCE
``SEC. 3171. ASSISTANCE FOR SPECIALTY SCHOOLS FOR MATHEMATICS
AND SCIENCE.
``(a) In General.--Consistent with sections 3165 and 3166,
the Director shall make available necessary funds for a
program using scientific and engineering staff of the
National Laboratories, in which the staff--
``(1) assists teaching courses at statewide specialty
secondary schools that provide comprehensive mathematics and
science (including engineering) education; and
``(2) uses National Laboratory scientific equipment in the
teaching of the courses.
``(b) Report to Congress.--Not later than 2 years after the
date of enactment of the Protecting America's Competitive
Edge Through Energy Act of 2006, the Director shall submit a
report to the appropriate committees of Congress detailing
the impact of the activities assisted with funds made
available under this section.
``CHAPTER 2--EXPERIENTIAL-BASED LEARNING OPPORTUNITIES
``SEC. 3175. EXPERIENTIAL-BASED LEARNING OPPORTUNITIES.
``(a) Internships Authorized.--From the amounts authorized
under subsection (d), the Secretary, acting through the
Director, shall establish a summer internship program for
middle school and secondary school students that shall--
``(1) provide the students with internships at the National
Laboratories; and
``(2) promote experiential, hands-on learning in
mathematics or science.
``(b) Eligibility Criteria.--The Director shall establish
criteria to determine the sufficient level of academic
preparedness necessary for a student to be eligible for an
internship under this section.
``(c) Priority.--
``(1) In general.--The Director shall give priority for an
internship under this section to a student who meets the
eligibility criteria described in subsection (b) and who
attends a school--
``(A)(i) in which not less than 40 percent of the children
enrolled in the school are from low-income families; or
``(ii) that is designated with a school locale code of 7 or
8, as determined by the Secretary of Education; and
``(B) for which there is--
``(i) a high percentage of teachers who are not teaching in
the academic subject areas or grade levels in which the
teachers were trained to teach;
``(ii) a high teacher turnover rate; or
``(iii) a high percentage of teachers with emergency,
provisional, or temporary certification or licenses.
``(2) Coordination.--The Director shall consult with the
Secretary of Education in order to determine whether a
student meets the priority requirements of this subsection.
``(d) Authorization of Appropriations.--There is authorized
to be appropriated to carry out this section $50,000,000 for
each of the fiscal years 2007 through 2013.
``CHAPTER 3--NATIONAL LABORATORIES CENTERS OF EXCELLENCE IN MATHEMATICS
AND SCIENCE EDUCATION
``SEC. 3181. NATIONAL LABORATORIES CENTERS OF EXCELLENCE IN
MATHEMATICS AND SCIENCE EDUCATION.
``(a) In General.--The Secretary shall establish at each of
the National Laboratories a program to support a Center of
Excellence in Mathematics and Science at 1 public secondary
school located in the region of the National Laboratory to
provide assistance in accordance with subsection (c).
``(b) Goals.--The Secretary shall establish goals and
performance assessments for each Center of Excellence
authorized under subsection (a).
``(c) Assistance.--Consistent with sections 3165 and 3166,
the Director shall make available necessary funds for a
program using scientific and engineering staff of the
National Laboratories, during which the staff--
``(1) assists teaching courses at the Centers of Excellence
in Mathematics and Science; and
``(2) uses National Laboratory scientific equipment in the
teaching of the courses.
``(d) Evaluation.--The Secretary shall consider the results
of the performance assessments required under subsection (b)
in any performance review of a National Laboratories
management and operations contractor.
``CHAPTER 4--SUMMER INSTITUTES
``SEC. 3185. SUMMER INSTITUTES.
``(a) Definition of Summer Institute.--In this section, the
term `summer institute' means an institute at a National
Laboratory, conducted during the summer, that--
``(1) is conducted for a period of not less than 2 weeks;
``(2) includes, as a component, a program that provides
direct interaction between students and faculty; and
``(3) provides for follow-up training during the academic
year.
``(b) Summer Institute Programs Authorized.--The Secretary,
acting through the Director, shall establish or expand
program of summer institutes at each of the National
Laboratories to provide additional training to strengthen the
mathematics and science teaching skills of teachers employed
at public schools in kindergarten through grade 12 education,
with a particular focus on teachers of kindergarten through
grade 8.
``CHAPTER 5--DISTINGUISHED SCIENTIST PROGRAM
``SEC. 3191. DISTINGUISHED SCIENTIST PROGRAM.
``(a) Purpose.--The purpose of this section is to promote
scientific and academic excellence at National Laboratories.
``(b) Establishment.--The Secretary, acting through the
Director and in consultation with the Director of the Office
of Science, shall establish a program to support the
appointment of distinguished scientists by National
Laboratories.
``(c) Qualifications.--Successful candidates under this
section shall be persons who, by reason of professional
background and experience, are able to bring international
recognition to the appointing National Laboratory in their
field of scientific endeavor.
[[Page S214]]
``(d) Selection.--A distinguished scientist appointed under
this section shall be selected through an open peer review
process.
``(e) Appointment.--An appointment by a National Laboratory
under this section shall be at the rank of the highest grade
of distinguished scientist or technical staff of the National
Laboratory.
``(f) Duration.--An appointment under this section shall be
for 6 years, consisting of 2 3-year funding allotments.
``(g) Use of Funds.--Funds made available under this
section may be used for--
``(1) the salary of the distinguished scientist and support
staff;
``(2) undergraduate, graduate, and post-doctoral
appointments;
``(3) research-related equipment;
``(4) professional travel; and
``(5) such other requirements as the Director determines
are necessary to carry out the purpose of the program.
``(h) Review.--
``(1) In general.--The appointment of a distinguished
scientist under this section shall be reviewed at the end of
the first 3-year allotment for the distinguished scientist
through an open peer review process to determine if the
appointment is meeting the purpose of this section under
subsection (a).
``(2) Funding.--Funding of the appointment of the
distinguished scientist for the second 3-year allotment shall
be determined based on the review conducted under paragraph
(1).''.
SEC. 3. DEPARTMENT OF ENERGY EARLY-CAREER RESEARCH GRANTS.
(a) Purpose.--It is the purpose of this section to
authorize research grants in the Department of Energy for
early-career scientists and engineers for purposes of
pursuing independent research.
(b) Definition of Eligible Early-Career Researcher.--In
this section, the term ``eligible early-career researcher''
means an individual who--
(1) completed a doctorate or other terminal degree not more
than 10 years before the date of enactment of this Act and
has demonstrated promise in the field of science, technology,
engineering, or mathematics; or
(2) has an equivalent professional qualification in the
field of science, technology, engineering, or mathematics.
(c) Grant Program Authorized.--
(1) In general.--The Secretary of Energy, through the
Director of the Office of Science of the Department of
Energy, shall award not less than 65 grants per year to
outstanding eligible early-career researchers to support the
work of such researchers in the Department, particularly the
National Laboratories, or other federally-funded research and
development centers.
(2) Application.--An eligible early-career researcher who
desires to receive a grant under this section shall submit to
the Secretary of Energy an application at such time, in such
manner, and accompanied by such information as the Secretary
may require.
(3) Special consideration.--In awarding grants under this
section, the Secretary of Energy shall give special
consideration to eligible early-career researchers who have
followed alternative career paths such as working part-time
or in non-academic settings, or who have taken a significant
career break or other leave of absence.
(4) Duration and amount.--A grant under this section shall
be 5 years in duration. An eligible early career-researcher
who receives a grant under this section shall receive
$100,000 for each year of the grant period.
(5) Use of funds.--An eligible early career-researcher who
receives a grant under this section shall use the grant funds
for basic research in natural sciences, engineering,
mathematics, or computer sciences at the Department of
Energy, particularly the National Laboratories, or other
federally-funded research and development center.
(6) Authorization of appropriations.--There are authorized
to be appropriated to carry out this section--
(A) $6,500,000 for fiscal year 2007;
(B) $13,000,000 for fiscal year 2008;
(C) $19,500,000 for fiscal year 2009;
(D) $26,000,000 for fiscal year 2010; and
(E) $32,500,000 for fiscal year 2011.
SEC. 4. ADVANCED RESEARCH PROJECTS AUTHORITY-ENERGY.
(a) Definitions.--In this section:
(1) ARPA-E.--The term ``ARPA-E'' means the Advanced
Research Projects Authority-Energy established under
subsection (b).
(2) Fund.--The term ``Fund'' means the Acceleration Fund
for Research and Development of Energy Technologies
established under subsection (c).
(3) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(4) Under secretary.--The term ``Under Secretary'' means
the position of Under Secretary for Science established under
section 202(b) of the Department of Energy Organization Act
(42 U.S.C. 7132(b)).
(b) ARPA-E.--
(1) Establishment.--There is established the Advanced
Research Projects Authority-Energy.
(2) Director.--ARPA-E shall be headed by a Director, who
shall be appointed by the Secretary and report to the Under
Secretary.
(3) Responsibilities.--The Director shall use the Fund to
award competitive, merit-based grants, cooperative
agreements, and contracts to public or private entities
(including businesses, federally funded research and
development centers, and institutions of higher education)
to--
(A) support basic and applied energy research to promote
revolutionary changes in technologies that would promote the
missions of the Department of Energy;
(B) advance the development, testing, evaluation, and
deployment of critical energy technologies; and
(C) accelerate prototyping and development of technologies
that would address national energy priorities.
(4) Targeted competitions.--The Director may solicit
proposals to address areas of national need in science and
energy technology, as identified by the Director.
(5) Coordination.--The Director--
(A) shall ensure that the activities of ARPA-E are
coordinated with activities of other appropriate research
agencies; and
(B) may carry out projects under this section jointly with
other agencies.
(6) Personnel.--
(A) In general.--In hiring personnel for ARPA-E, the
Secretary shall have the hiring and management authorities
described in section 1101 of the Strom Thurmond National
Defense Authorization Act for Fiscal Year 1999 (Public Law
105-261; 5 U.S.C. 3104 note).
(B) Term.--The term of appointments for an employee under
subparagraph (A) may not exceed 5 years, except that the
Secretary may renew the term of appointment of the employee
for an additional term of 5 years.
(7) Demonstrations.--The Director shall periodically hold
energy technology demonstrations to improve contact among
technology developers, vendors, and acquisition personnel.
(c) Fund.--
(1) Establishment.--There is established in the Treasury of
the United States a revolving fund, to be known as the
``Acceleration Fund for Research and Development of Energy
Technologies'', consisting of--
(A) such amounts as are appropriated to the Fund under
paragraph (5); and
(B) any interest earned on investment of amounts in the
Fund under paragraph (3).
(2) Expenditures from fund.--
(A) In general.--Subject to subparagraph (B), on request by
the Director, the Secretary of the Treasury shall transfer
from the Fund to the Director such amounts as the Director
determines are necessary to carry out this section.
(B) Administrative expenses.--An amount not exceeding 5
percent of the amounts in the Fund shall be available for
each fiscal year to pay the administrative expenses necessary
to carry out this section.
(3) Investment of amounts.--
(A) In general.--The Secretary of the Treasury shall invest
such portion of the Fund as is not, in the judgment of the
Secretary of the Treasury, required to meet current
withdrawals.
(B) Interest-bearing obligations.--Investments may be made
only in interest-bearing obligations of the United States.
(C) Acquisition of obligations.--For the purpose of
investments under subparagraph (A), obligations may be
acquired--
(i) on original issue at the issue price; or
(ii) by purchase of outstanding obligations at the market
price.
(D) Sale of obligations.--Any obligation acquired by the
Fund may be sold by the Secretary of the Treasury at the
market price.
(E) Credits to fund.--The interest on, and the proceeds
from the sale or redemption of, any obligations held in the
Fund shall be credited to, and form a part of, the Fund.
(4) Transfers of amounts.--
(A) In general.--The amounts required to be transferred to
the Fund under this subsection shall be transferred at least
monthly from the general fund of the Treasury to the Fund on
the basis of estimates made by the Secretary of the Treasury.
(B) Adjustments.--Proper adjustment shall be made in
amounts subsequently transferred to the extent prior
estimates were in excess of or less than the amounts required
to be transferred.
(5) Authorization of appropriations.--There are authorized
to be appropriated to the Fund--
(A) $300,000,000 for fiscal year 2007;
(B) $500,000,000 for fiscal year 2008;
(C) $700,000,000 for fiscal year 2009;
(D) $900,000,000 for fiscal year 2010; and
(E) $1,000,000,000 for fiscal year 2011.
SEC. 5. AUTHORIZATION OF APPROPRIATIONS FOR THE DEPARTMENT OF
ENERGY FOR BASIC RESEARCH.
Section 971(b) of the Energy Policy Act of 2005 (42 U.S.C.
16311(b)) is amended--
(1) in paragraph (2), by striking ``and'' at the end;
(2) in paragraph (3), by striking the period at the end and
inserting a semicolon; and
(3) by adding at the end the following:
``(4) $5,320,000,000 for fiscal year 2010;
``(5) $5,851,000,000 for fiscal year 2011;
``(6) $6,436,000,000 for fiscal year 2012; and
``(7) $7,080,000,000 for fiscal year 2013.''.
____
S. 2198
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
(a) Short Title.--This Act may be cited as the ``Protecting
America's Competitive Edge Through Education and Research Act
of 2006'' or the ``PACE-Education Act''.
(b) Table of Contents.--The table of contents for this Act
is as follows:
Sec. 1. Short title.
[[Page S215]]
TITLE I--10,000 TEACHERS, 10,000,000 MINDS K-12 MATHEMATICS AND SCIENCE
EDUCATION
Subtitle A--Education
Sec. 111. Definitions.
CHAPTER 1--MATH AND SCIENCE TEACHERS
Sec. 121. Baccalaureate degrees in mathematics and science with teacher
certification.
Sec. 122. Master's degrees in mathematics and science education for
teachers.
CHAPTER 2--NATIONAL SCIENCE FOUNDATION SCHOLARSHIPS AND FELLOWSHIPS
SUBCHAPTER A--National Science Foundation Scholarships for Mathematics
and Science Teachers
Sec. 131. Purpose.
Sec. 132. Recruiting and training new mathematics and science teachers.
SUBCHAPTER B--National Science Foundation Fellowships for Mathematics
and Science Teachers
Sec. 141. National Science Foundation fellowships for mathematics and
science teachers.
CHAPTER 3--ADVANCED PLACEMENT AND INTERNATIONAL BACCALAUREATE PROGRAMS
Sec. 151. Advanced Placement and International Baccalaureate Programs.
CHAPTER 4--NATIONAL CLEARINGHOUSE ON MATHEMATICS AND SCIENCE TEACHING
MATERIALS
Sec. 161. National clearinghouse on mathematics and science teaching
materials.
CHAPTER 5--FUTURE AMERICAN-SCIENTIST SCHOLARSHIPS
Sec. 171. Future American-Scientist Scholarships.
CHAPTER 6--GRADUATE RESEARCH FELLOWSHIPS
Sec. 181. Graduate Research Fellowships in scientific areas of national
need.
Subtitle B--National Science Foundation Early-Career Research Grants
Sec. 191. National Science Foundation early-career research grants.
TITLE II--SOWING THE SEEDS THROUGH SCIENCE AND ENGINEERING RESEARCH
Subtitle A--Office of Science and Technology Policy Matters
Sec. 211. Coordination of science, mathematics, and engineering
education programs.
Sec. 212. National Coordination Office for Advanced Research
Instrumentation and Facilities.
Sec. 213. High-risk, high-payoff research.
Sec. 214. President's Innovation Award.
Subtitle B--National Aeronautics and Space Administration Matters
Sec. 221. National Aeronautics and Space Administration early-career
research grants.
Sec. 222. Authorization of appropriations for the National Aeronautics
and Space Administration for basic sciences.
Subtitle C--Communications Matters
Sec. 231. Sense of Senate on policies to accelerate deployment of
access to broadband Internet.
Subtitle D--Science Parks
Sec. 241. Development of science parks.
Subtitle E--Authorization of Appropriations for the National Science
Foundation for Research and Related Activities
Sec. 251. Authorization of appropriations for the National Science
Foundation for research and related activities.
TITLE III--ENSURING THE BEST AND BRIGHTEST REMAIN IN THE UNITED STATES
Subtitle A--Visas for Doctorate Students in Mathematics, Engineering,
Technology, or the Physical Sciences
Sec. 311. Findings.
Sec. 312. Sense of the Senate.
Sec. 313. Visas for doctorate students in mathematics, engineering,
technology, or the physical sciences.
Sec. 314. Aliens not subject to numerical limitations on employment-
based immigrants.
Subtitle B--Patent Reform
Sec. 321. Patent reform.
TITLE IV--REFORMING DEEMED EXPORTS
Sec. 401. Sense of Senate on exemption of certain uses of technology
from treatment as exports.
TITLE V--STRENGTHENING BASIC RESEARCH AT THE DEPARTMENT OF DEFENSE
Sec. 501. Department of Defense early-career research grants.
Sec. 502. Authorization of appropriations for the Department of Defense
for basic research.
TITLE I--10,000 TEACHERS, 10,000,000 MINDS K-12 MATHEMATICS AND SCIENCE
EDUCATION
Subtitle A--Education
SEC. 111. DEFINITIONS.
Unless otherwise specified in this subtitle, the terms used
in this subtitle have the meanings given the terms in section
9101 of the Elementary and Secondary Education Act of 1965
(20 U.S.C. 7801).
CHAPTER 1--MATH AND SCIENCE TEACHERS
SEC. 121. BACCALAUREATE DEGREES IN MATHEMATICS AND SCIENCE
WITH TEACHER CERTIFICATION.
(a) Grants Authorized.--From the amounts authorized under
subsection (g), the Secretary shall award grants to eligible
recipients to enable the eligible recipients to provide
integrated courses of study in mathematics, science, or
engineering and teacher education, that lead to a
baccalaureate degree in mathematics, science, or engineering
with concurrent teacher certification.
(b) Definition of Eligible Recipient.--In this section, the
term ``eligible recipient'' means any department of
mathematics, science, or engineering of an institution of
higher education.
(c) Award and Duration.--
(1) Award.--The Secretary shall award a grant under this
section to each eligible recipient that collaborates with a
teacher preparation program at an institution of higher
education to develop undergraduate degrees in mathematics,
science, or engineering with pedagogy education and teacher
certification.
(2) Duration.--The Secretary shall award a grant under this
section to each eligible recipient in an amount that is not
more than $1,000,000 per year for a period of 5 years.
(d) Matching Requirement.--Each eligible recipient
receiving a grant under this section shall provide, from non-
Federal sources (provided in cash or in kind), to carry out
the activities supported by the grant, an amount that is not
less than 25 percent of the amount of the grant for the first
year of the grant, not less than 35 percent of the amount of
the grant for the second year of the grant, and not less than
50 percent of the amount of the grant for each succeeding
fiscal year of the grant.
(e) Application.--
(1) In general.--Each eligible recipient desiring a grant
under this section shall submit an application to the
Secretary at such time, in such manner, and accompanied by
such information as the Secretary may require.
(2) Contents.--Each application submitted pursuant to
paragraph (1) shall include--
(A) a description of how the eligible recipient will use
grant funds to develop and administer undergraduate degrees
in mathematics, science, or engineering with pedagogy
education and teacher certification, including a description
of proposed high-quality research and laboratory experiences
that will be available to students;
(B) a description of how the mathematics, science, or
engineering departments will coordinate with a teacher
preparation program to carry out the activities authorized
under this section;
(C) a resource assessment that describes the resources
available to the eligible recipient, the intended use of the
grant funds, and the commitment of the resources of the
eligible recipient to the activities assisted under this
section, including financial support, faculty participation,
time commitments, and continuation of the activities assisted
under the grant when the grant period ends;
(D) an evaluation plan, including measurable objectives and
benchmarks for--
(i) improving student retention;
(ii) increasing the percentage of highly qualified
mathematics and science teachers; and
(iii) improving kindergarten through grade 12 student
academic performance in mathematics and science;
(E) a description of the activities the eligible recipient
will conduct to ensure graduates of the program keep informed
of the latest developments in the respective fields;
(F) a description of how the eligible recipient will work
with local educational agencies in the area in which the
eligible recipient is located and, to the extent practicable,
with local educational agencies where graduates of the
program authorized under this section are employed, to ensure
that the activities required under subsection (f)(3) are
carried out; and
(G) a description of efforts to encourage applications to
the program from underrepresented groups, including women and
minority groups.
(f) Authorized Activities.--An eligible recipient shall use
the funds received under this section--
(1) to develop and administer teacher education and
certification programs with in-depth content education and
subject-specific education in pedagogy, leading to
baccalaureate degrees in mathematics, science, or engineering
with concurrent teacher certification;
(2) to offer high-quality research experiences and training
in the use of educational technology; and
(3) to work with local educational agencies in the area in
which the eligible recipient is located and, to the extent
practicable, with local educational agencies where graduates
of the program authorized under this section are employed, to
support the new teachers during the initial years of
teaching, which may include--
(A) promoting effective teaching skills;
[[Page S216]]
(B) development of skills in educational interventions
based on scientifically-based research;
(C) providing opportunities for high-quality teacher
mentoring;
(D) providing opportunities for regular professional
development;
(E) interdisciplinary collaboration among exemplary
teachers, faculty, researchers, and other staff who prepare
new teachers; and
(F) allowing time for joint lesson planning and other
constructive collaborative activities.
(g) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section--
(1) $30,000,000 for fiscal year 2007;
(2) $90,000,000 for fiscal year 2008;
(3) $190,000,000 for fiscal year 2009;
(4) $290,000,000 for fiscal year 2010;
(5) $390,000,000 for fiscal year 2011;
(6) $500,000,000 for fiscal year 2012; and
(7) $500,000,000 for fiscal year 2013.
SEC. 122. MASTER'S DEGREES IN MATHEMATICS AND SCIENCE
EDUCATION FOR TEACHERS.
(a) Purposes.--The purpose of this section is provide
competitive institutional grants for eligible recipients to
develop part-time, 3-year master's degree programs in
mathematics and science education for teachers in order to
enhance the content knowledge and pedagogical skills of
teachers.
(b) Definition of Eligible Recipient.--In this section, the
term ``eligible recipient'' means a mathematics, science, or
engineering department of an institution of higher education.
(c) Grants Authorized.--
(1) Grants to eligible recipients.--From the amounts
authorized under subsection (i), the Secretary is authorized
to award grants of not more than $1,000,000, on a competitive
basis, to eligible recipients to enable the eligible
recipients to carry out the authorized activities described
in subsection (f).
(2) Qualification.--In order to qualify for a grant under
this section, an eligible recipient shall collaborate with a
teacher preparation program of an institution of higher
education.
(d) Application.--To be eligible to receive a grant under
this section, an eligible recipient shall submit an
application to the Secretary that--
(1) meets the requirements of this section;
(2) includes a description of how the eligible recipient
intends to use the grant funds provided under this section;
(3) contains such information and assurances as the
Secretary may require;
(4) describes how the eligible recipient will prepare
teachers to become more effective mathematics or science
teachers;
(5) describes how the eligible recipient will coordinate
with a teacher preparation program, and how the activities of
the eligible recipient will be consistent with State, local,
and other education reform activities that promote student
achievement;
(6) describes the resources available to the eligible
recipient, the intended use of the grant funds, and the
commitment of resources of the eligible recipient to the
activities assisted under this section, including financial
support, faculty participation, time commitments, and
continuation of the activities when the grant period ends;
(7) provides an evaluation plan pursuant to subsection (g);
(8) describes how the eligible recipient will align the
proposed master's degree program with challenging student
academic achievement standards, and challenging academic
content standards, established by the State in which the
eligible recipient is located;
(9) describes the activities the eligible recipient will
undertake to ensure that local educational agencies in the
geographic areas served by the eligible recipient are
provided information about the activities carried out with
grant funds under this section; and
(10) describes how the eligible recipient will encourage
applications to the program from underrepresented groups,
including women and minority groups.
(e) Priority.--The Secretary may give priority
consideration to applications that demonstrate that the
eligible recipient shall--
(1) consult with local educational agencies in developing
and administering master's degree programs;
(2) use online technology to allow for flexibility in the
pace at which candidates complete the master's degree
programs; and
(3) develop innovative efforts aimed at reducing the
shortage of master's degree level mathematics or science
teachers in low-income urban or rural areas.
(f) Authorized Activities.--An eligible recipient shall use
the grant funds received under this section to develop part-
time, 3-year master's degree programs in mathematics and
science education for teachers, conducted over 3 full-time
summer sessions, and alternate weekends during the academic
year, as appropriate, which shall include--
(1) developing courses that--
(A) are based on rigorous mathematics and science content
and aligned with challenging State academic content
standards;
(B) promote effective teaching skills; and
(C) promote understanding of effective instructional
strategies for students with special needs, including
students with disabilities, students who are limited English
proficient, and students who are gifted and talented;
(2) hiring and training professional staff to administer
the program;
(3) purchasing equipment for computer and teaching aids;
(4) providing educational instruction for not fewer than 20
teachers per year;
(5) providing stipends to help support the participants in
the form of tuition reimbursement and travel expenses; and
(6) creating opportunities for clinical experience and
training for teachers through participation with
professionals in business, research, and work environments
relating to mathematics, science, or engineering, including
opportunities for using laboratory equipment.
(g) Annual Evaluation.--Each eligible recipient shall
establish and include in the application submitted pursuant
to section (d) an evaluation plan that includes strong
performance objectives. The plan shall include objectives and
measures for increasing--
(1) the percentage of master's degree level mathematics or
science teachers hired by the State in which the eligible
recipient is located;
(2) teacher retention;
(3) the percentage of master's degree level mathematics or
science teachers serving in high-need schools;
(4) the percentage of master's degree level mathematics or
science teachers among underrepresented groups; and
(5) the competencies of program graduates in their
respective fields of mathematics or science.
(h) Graduate Fellowships.--An individual who has received a
master's degree in mathematics or science education under a
program developed pursuant to this section and who meets the
requirements of section 141(b)(2) shall be eligible for a
fellowship authorized under such section 141(b)(2).
(i) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section--
(1) $200,000,000 for fiscal year 2007;
(2) $500,000,000 for fiscal year 2008;
(3) $500,000,000 for fiscal year 2009;
(4) $500,000,000 for fiscal year 2010;
(5) $500,000,000 for fiscal year 2011;
(6) $500,000,000 for fiscal year 2012; and
(7) $500,000,000 for fiscal year 2013.
CHAPTER 2--NATIONAL SCIENCE FOUNDATION SCHOLARSHIPS AND FELLOWSHIPS
Subchapter A--National Science Foundation Scholarships for Mathematics
and Science Teachers
SEC. 131. PURPOSE.
The purpose of this subchapter is to annually recruit and
train 10,000 new mathematics and science teachers by
providing scholarships for undergraduate courses of study
leading to baccalaureate degrees in mathematics, science, or
engineering, with concurrent teacher certification.
SEC. 132. RECRUITING AND TRAINING NEW MATHEMATICS AND SCIENCE
TEACHERS.
(a) Grants Authorized.--From the amounts authorized under
subsection (g), the Director of the National Science
Foundation (referred to in this section as the ``Director'')
shall award merit-based undergraduate scholarships to
eligible students to assist the eligible students in paying
their college education expenses, which shall include
tuition, fees, books, supplies, and equipment required for
courses of instruction.
(b) Definition of Eligible Student.--In this section, the
term ``eligible student'' means a student who--
(1) attends an institution of higher education;
(2) is majoring in mathematics, science, or engineering;
(3) is pursuing concurrent certification in teaching; and
(4) demonstrates continued academic achievement and
progress, as determined by the Director, toward completion of
a baccalaureate degree in mathematics, science, or
engineering with concurrent certification in teaching.
(c) Awards.--The Director shall award a scholarship under
this section to an eligible student in an amount that is not
greater than $20,000 per academic year for not more than 4
years of undergraduate study. The amount awarded for each
academic year shall not exceed the student's cost of
attendance for the academic year.
(d) Service Requirements.--
(1) Service requirement.--An individual who is awarded a
scholarship under this section shall enter into an agreement
with the Director under which the individual agrees to be
employed for not less than 5 academic years as a full-time
mathematics, science, or elementary school teacher in a
public elementary school or secondary school, or 4 academic
years as a full-time mathematics, science, or elementary
school teacher in a public elementary school or secondary
school--
(A)(i) in which not less than 40 percent of the children
enrolled in the school are from low-income families; or
(ii) designated with a school locale code of 7 or 8, or
otherwise designated as a rural school, as determined by the
Secretary; and
(B)(i) in which there is a higher percentage of teachers
not teaching in the academic subject areas or grade levels in
which the teachers were trained to teach; or
(ii) in which there is a high teacher turnover rate or a
high percentage of teachers with emergency, provisional, or
temporary certification or licenses.
(2) Coordination with the secretary of education.--The
Director shall coordinate with the Secretary to determine
whether an individual who receives a scholarship award under
this section is employed as a full-time
[[Page S217]]
mathematics, science, or elementary school teacher in
accordance with paragraphs (1), (3), and (4).
(3) Failure to comply.--If an individual who receives a
scholarship award under this section fails to comply with the
agreement entered into pursuant to paragraph (1), the
Director shall take 1 or more of the following actions:
(A) Require the individual to repay all or the applicable
portion of the total scholarship amount awarded to the
individual under this section.
(B) Impose a fine or penalty in an amount to be determined
by the Director.
(4) Regulations.--The Director shall promulgate regulations
setting forth the terms of repayment and the criteria to be
considered in granting a waiver for the service requirements.
Such criteria shall include whether compliance with the
service requirements is inequitable and represents undue
hardship.
(e) Coordination With the Secretary of Defense.--The
Director shall coordinate with the Secretary of Defense to
ensure members of the Armed Forces are aware of the
educational opportunity under this section, particularly
members of the Armed Forces who have training in engineering.
(f) Fellowships.--An individual shall be eligible for a
fellowship under section 141(b)(1) if the individual--
(1) has received a baccalaureate degree in mathematics,
science, or engineering, and concurrent certification in
teaching;
(2) has received a scholarship award under this section;
and
(3) meets the requirements of section 141(b)(1).
(g) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section--
(1) $50,000,000 for fiscal year 2007;
(2) $100,000,000 for fiscal year 2008;
(3) $150,000,000 for fiscal year 2009;
(4) $170,000,000 for fiscal year 2010;
(5) $170,000,000 for fiscal year 2011;
(6) $170,000,000 for fiscal year 2012; and
(7) $170,000,000 for fiscal year 2013.
Subchapter B--National Science Foundation Fellowships for Mathematics
and Science Teachers
SEC. 141. NATIONAL SCIENCE FOUNDATION FELLOWSHIPS FOR
MATHEMATICS AND SCIENCE TEACHERS.
(a) Fellowship Authorized.--The Director of the National
Science Foundation (referred to in this section as the
``Director'') is authorized to award fellowships to
individuals, as described in subsection (b), a portion of
which shall be used for continuing education and professional
development activities.
(b) Fellowship Awards.--The Director shall award the
following fellowships:
(1) The Director shall award $10,000 annually for 4
academic years to an individual who meets the following
criteria:
(A) The individual has received a baccalaureate degree in
mathematics, science, or engineering, and concurrent
certification in teaching.
(B) The individual received a scholarship award under
section 132.
(C) The individual is employed as a full-time mathematics,
science, or elementary school teacher in a public elementary
school or secondary school--
(i)(I) in which not less than 40 percent of the children
enrolled in the school are from low-income families; or
(II) designated with a school locale code of 7 or 8, or
otherwise designated as a rural school, as determined by the
Secretary; and
(ii)(I) in which there is a high percentage of teachers not
teaching in the academic subject areas or grade levels in
which the teachers were trained to teach; or
(II) in which there is a high teacher turnover rate or a
high percentage of teachers with emergency, provisional, or
temporary certification or licenses.
(2) The Director shall award $10,000 annually for 5
academic years to an individual who has received a master's
degree in mathematics or science education under a program
developed pursuant to section 122 and who undertakes
increased responsibilities, such as teacher mentoring and
other leadership activities.
(c) Application.--An individual desiring a fellowship under
this section shall submit an application to the Director at
such time, in such manner, and accompanied by such
information as the Director may require. Each application
shall include assurances that the individual meets the
requirements of the fellowship for which the individual is
applying.
(d) Coordination.--The Director shall coordinate with the
Secretary to determine whether an individual who receives a
fellowship under this section meets the requirements of this
section.
(e) Authorization of Appropriations.--There are authorized
to be appropriated--
(1) to carry out subsection (b)(1)--
(A) $5,000,000 for fiscal year 2008;
(B) $15,000,000 for fiscal year 2009;
(C) $30,000,000 for fiscal year 2010;
(D) $45,000,000 for fiscal year 2011;
(E) $45,000,000 for fiscal year 2012; and
(F) $45,000,000 for fiscal year 2013; and
(2) to carry out subsection (b)(2)--
(A) $100,000,000 for fiscal year 2010;
(B) $200,000,000 for fiscal year 2011;
(C) $300,000,000 for fiscal year 2012; and
(D) $400,000,000 for fiscal year 2013.
CHAPTER 3--ADVANCED PLACEMENT AND INTERNATIONAL BACCALAUREATE PROGRAMS
SEC. 151. ADVANCED PLACEMENT AND INTERNATIONAL BACCALAUREATE
PROGRAMS.
(a) Purpose.--The purposes of this section are--
(1) to educate an additional 70,000 Advanced Placement (AP)
or International Baccalaureate (IB) and 80,000 pre-AP or pre-
IB teachers of mathematics and science over the 5 year period
beginning with 2007; and
(2) to triple to 1,500,000 the number of students who take
AP and IB mathematics and science examinations.
(b) Grants Authorized.--
(1) In general.--From the amounts authorized under
subsection (i), the Secretary shall award grants, on a
competitive basis, to eligible recipients to enable the
eligible recipients to carry out the activities authorized in
subsection (f).
(2) Limitation.--An eligible recipient may not receive more
than 1 grant at a time under this section to undertake
authorized activities within the same State.
(c) Definitions.--In this section:
(1) Eligible recipient.--The term ``eligible recipient''
means a nonprofit educational entity with expertise in
Advanced Placement or International Baccalaureate services.
(2) Master teacher.--The term ``master teacher'' means a
teacher--
(A) with an advanced degree or an advanced certification;
(B) who uses the most effective teaching methods in the
teacher's disciplines; and
(C) who has shown demonstrable results of higher student
achievement in mathematics or science.
(d) Application.--
(1) In general.--Each eligible recipient desiring a grant
under this section shall submit an application to the
Secretary at such time, in such manner, and accompanied by
such information as the Secretary may require.
(2) Contents.--Each application submitted pursuant to
paragraph (1) shall--
(A) describe the need for increased access to Advanced
Placement or International Baccalaureate programs in
mathematics and science;
(B) provide for the involvement of business and community
organizations in the activities to be assisted;
(C) describe the availability of matching funds from non-
Federal sources to assist in the activities authorized; and
(D) demonstrate an intent to carry out activities that
target local educational agencies--
(i) that serve not fewer than 10,000 children from low-
income families;
(ii) for which not less than 20 percent of the children
served by the local educational agency are children from low-
income families; or
(iii) with a total of less than 600 students in average
daily attendance at the schools that are served by the local
educational agency and all of those schools are designated
with a school locale code of 7 or 8, or otherwise designated
as a rural school, as determined by the Secretary.
(e) Priority Consideration.--The Secretary shall give
priority to eligible recipients that submit an application
under subsection (d) that demonstrates a pervasive need to
expand or develop Advanced Placement or International
Baccalaureate programs in mathematics and science.
(f) Authorized Activities.--An eligible recipient shall use
the grant funds provided under this section for the following
activities:
(1) To identify and work with local educational agencies to
expand or develop Advanced Placement or International
Baccalaureate and pre-Advanced Placement or pre-International
Baccalaureate programs in mathematics and science in schools
served by the local educational agencies.
(2) To work with the local educational agencies to
establish Advanced Placement or International Baccalaureate
coordinators in each secondary school served by the local
educational agencies.
(3) To ensure master teachers provide training to prepare
teachers to teach Advanced Placement or International
Baccalaureate courses in mathematics and science, which shall
include at a minimum--
(A) week-long summer institutes; and
(B) 2-day seminars in the teachers' disciplines each year
for 4 years.
(4) To ensure master teachers provide training to prepare
teachers to teach pre-Advanced Placement or pre-International
Baccalaureate courses in mathematics and science, which shall
include at a minimum--
(A) a 4-day summer institute; and
(B) 4 days on campus each year for 4 years.
(5) To provide stipends to teachers who satisfactorily
complete the Advanced Placement or International
Baccalaureate or pre-Advanced Placement or pre-International
Baccalaureate training.
(6) To provide a bonus to a teacher who has satisfactorily
completed the Advanced Placement or International
Baccalaureate or pre-Advanced Placement or pre-International
Baccalaureate training for each student of the teacher who
passes an Advanced Placement or International Baccalaureate
examination in mathematics and science.
(7) To provide test preparation sessions for students
taking Advanced Placement or International Baccalaureate
examinations in mathematics and science.
(8) To reimburse students half of the cost of the Advanced
Placement or International Baccalaureate mathematics and
science examination fees.
[[Page S218]]
(9) To provide scholarships to students who pass the
Advanced Placement or International Baccalaureate mathematics
and science examinations.
(g) Evaluation and Accountability Plan.--
(1) In general.--Each eligible recipient receiving a grant
under this section shall develop an evaluation and
accountability plan for activities assisted under this
section that includes rigorous objectives that measure the
impact of activities assisted under this section.
(2) Contents.--The plan developed pursuant to paragraph (1)
shall include--
(A) the number of students served by the eligible recipient
who are taking pre-Advanced Placement or pre-International
Baccalaureate courses in mathematics and science;
(B) the number of students served by the eligible recipient
who are taking Advanced Placement or International
Baccalaureate courses in mathematics and science;
(C) the number of students served by the eligible recipient
who take Advanced Placement or International Baccalaureate
mathematics and science examinations;
(D) the number of students served by the eligible
recipients who pass Advanced Placement or International
Baccalaureate mathematics and science examinations; and
(E) the number of teachers trained in Advanced Placement or
International Baccalaureate and pre-Advanced Placement or
pre-International Baccalaureate mathematics and science
programs.
(h) Matching Requirements for Grants.--Each eligible
recipient receiving a grant under this section shall provide,
from non-Federal sources (in cash or in kind), an amount
equal to 100 percent of the amount of the grant for each year
of the grant, of which not less than 25 percent shall come
from State sources.
(i) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section--
(1) $241,000,000 for fiscal year 2007;
(2) $341,000,000 for fiscal year 2008;
(3) $453,000,000 for fiscal year 2009;
(4) $596,000,000 for fiscal year 2010; and
(5) $731,000,000 for fiscal year 2011.
CHAPTER 4--NATIONAL CLEARINGHOUSE ON MATHEMATICS AND SCIENCE TEACHING
MATERIALS
SEC. 161. NATIONAL CLEARINGHOUSE ON MATHEMATICS AND SCIENCE
TEACHING MATERIALS.
(a) Purpose.--The purpose of the this section is to
strengthen the skills of mathematics and science teachers by
establishing a national clearinghouse of proven effective
kindergarten through grade 12 mathematics and science
teaching materials.
(b) Effective Mathematics and Science Teaching Materials.--
The Secretary is authorized to convene, not later than 1 year
after the date of enactment of this Act, a national panel to
collect proven effective kindergarten through grade 12
mathematics and science teaching materials, or to support the
development of new materials where no effective models exist.
(c) Composition of National Panel.--
(1) Consultation.--The Secretary shall appoint members to
the panel after consultation with the National Academy of
Sciences of the National Academies.
(2) Selection.--The Secretary shall ensure that the panel
broadly represents scientists, practitioners, educators,
representatives from entities with expertise in education,
mathematics, and science, and parents. The Secretary shall
ensure that the panel includes the following:
(A) A majority representation of educators and parents
directly involved in the kindergarten through grade 12
education process.
(B) Proportionate representation of educators and parents
from all demographic areas, including urban, suburban and
rural schools.
(C) Proportionate representation of educators and parents
from public and private schools.
(3) Qualifications of members.--The members of the panel
shall be individuals who have substantial knowledge or
experience relating to--
(A) education, mathematics, or science policy or programs;
or
(B) education, mathematics, or science curricula content
development.
(d) Authorized Activities of National Panel.--The panel
shall--
(1) identify proven effective kindergarten through grade 12
mathematics and science teaching materials;
(2) identify the need for new mathematics and science
teaching materials, and support the development of such new
materials through contracts and cooperative agreements; and
(3) establish a national clearinghouse of information on
effective kindergarten through grade 12 mathematics and
science teaching materials.
(e) Dissemination.--The Secretary shall disseminate
information related to the clearinghouse to State educational
agencies, and otherwise make available and accessible to
local educational agencies and schools the teaching materials
collected by the panel in the form of a searchable online
database or Internet web site.
(f) Mathematics and Science Teaching Materials.--
(1) Reliability and measurement.--The kindergarten through
grade 12 mathematics and science teaching materials collected
under this section shall be--
(A) reliable, valid, and grounded in scientific theory and
research in existence as of the date of the collection of
materials;
(B) reviewed regularly to assess effectiveness; and
(C) developed in careful consideration of State academic
assessments and student academic achievement standards.
(2) Students with diverse learning needs.--The teaching
materials shall include relevant materials for students with
diverse learning needs, particularly for students with
disabilities and students with limited English proficiency.
(g) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section $20,000,000 for
fiscal year 2007 and $20,000,000 for each of the fiscal years
2008 through 2011.
CHAPTER 5--FUTURE AMERICAN-SCIENTIST SCHOLARSHIPS
SEC. 171. FUTURE AMERICAN-SCIENTIST SCHOLARSHIPS.
(a) Purpose.--The purpose of this section is to increase
the number and percentage of citizens of the United States
who earn baccalaureate degrees in mathematics or science
(including engineering) by providing 25,000 new competitive
merit-based undergraduate scholarships to students who are
citizens of the United States, for the purpose of enabling
each such student to obtain a baccalaureate degree in
mathematics or science at a 4-year institution of higher
education.
(b) Scholarships.--
(1) In general.--From the amounts authorized under
subsection (e), the Secretary shall award the scholarships to
eligible students that shall be used by the eligible students
to pay for qualifying expenses at the 4-year institution of
higher education of the eligible students' choosing.
(2) Future american-scientist scholarships.--A scholarship
awarded under this section shall be called a ``Future
American-Scientist Scholarship''.
(c) Amount; Duration.--
(1) Amount.--A scholarship award under this section shall
be in an amount of not more than $20,000 per year.
(2) Duration of scholarship.--A scholarship awarded to an
eligible student under this section shall be for the number
of years necessary for the eligible student to earn a
baccalaureate degree in mathematics or science, except that
no scholarship under this section shall be awarded for a
period of more than 4 years.
(d) Definitions.--In this section:
(1) Eligible student.--The term ``eligible student'' means
a student who--
(A) is a citizen of the United States;
(B) is attending a 4-year institution of higher education;
(C) is enrolled, or will be enrolled at the start of the
next academic year, in a course of study at an institution of
higher education that leads to a baccalaureate degree in
mathematics or science;
(D) demonstrates aptitude, as determined by the Secretary,
in mathematics or science; or
(E) for each year of a scholarship under this section,
demonstrates continued academic achievement and progress, as
determined by the Secretary, toward completion of a
baccalaureate degree in mathematics or science.
(2) Institution of higher education.--The term
``institution of higher education'' has the meaning given the
term in section 101(a) of the Higher Education Act of 1965
(20 U.S.C. 1001(a)).
(3) Qualified expenses.--The term ``qualified expenses''
means the tuition, books, fees, supplies, and equipment
required for a course of instruction leading to a
baccalaureate degree in mathematics or science at a 4-year
institution of higher education of the eligible student's
choosing.
(4) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(e) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section--
(1) $375,000,000 for fiscal year 2007;
(2) $750,000,000 for fiscal year 2008;
(3) $1,125,000,000 for fiscal year 2009; and
(4) $1,500,000,000 for each of the fiscal years 2010
through 2013.
CHAPTER 6--GRADUATE RESEARCH FELLOWSHIPS
SEC. 181. GRADUATE RESEARCH FELLOWSHIPS IN SCIENTIFIC AREAS
OF NATIONAL NEED.
(a) Fellowships Authorized.--From the amounts appropriated
under subsection (e), the Secretary shall establish a
fellowship program to provide tuition and financial support
for eligible students pursuing master's and doctoral degrees
in mathematics or science (including engineering) or other
areas of national need.
(b) Areas of National Need.--The Secretary may establish,
on an annual basis, areas of national need important to the
mission of the Department of Energy, and may use the areas of
national need in determining the specific fields of study to
be supported by fellowship awards under this section. In
establishing the areas of national need, the Secretary shall
consider the results of the survey conducted under section
1101 of the Energy Policy Act of 2005 (42 U.S.C. 16411).
(c) Use and Amount of Awards.--A fellowship award under
this section shall be--
(1) in an amount that is commensurate with the amount of
similar graduate research fellowships awarded by the National
Science Foundation; and
[[Page S219]]
(2) used by the eligible student to cover educational
expenses and to provide additional financial support.
(d) Definitions.--In this section:
(1) Eligible student.--The term ``eligible student'' means
a student who is enrolled in a master's or doctoral degree
program in mathematics or science (including engineering) or
other areas of national need at an institution of higher
education (as defined in section 171).
(2) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(e) Authorization of Appropriations.--There are authorized
to be appropriated under this section--
(1) $225,000,000 for fiscal year 2007;
(2) $450,000,000 for fiscal year 2008; and
(3) $675,000,000 for each of the fiscal years 2009 through
2013.
Subtitle B--National Science Foundation Early-Career Research Grants
SEC. 191. NATIONAL SCIENCE FOUNDATION EARLY-CAREER RESEARCH
GRANTS.
(a) Purpose.--It is the purpose of this section to
authorize research grants in the National Science Foundation,
for early-career scientists and engineers for purposes of
pursuing independent research.
(b) Definition of Eligible Early-Career Researcher.--In
this section, the term ``eligible early-career researcher''
means an individual who--
(1) completed a doctorate or other terminal degree not more
than 10 years before the date of enactment of this Act and
has demonstrated promise in the field of science, technology,
engineering, or mathematics; or
(2) has an equivalent professional qualification in the
field of science, technology, engineering, or mathematics.
(c) Grant Program Authorized.--
(1) In general.--The Director of the National Science
Foundation shall award not less than 65 grants per year to
outstanding eligible early-career researchers to support the
work of such researchers in universities, private industry,
or federally-funded research and development centers.
(2) Application.--An eligible early-career researcher who
desires to receive a grant under this section shall submit to
the Director of the National Science Foundation an
application at such time, in such manner, and accompanied by
such information as the Director may require.
(3) Special consideration.--In awarding grants under this
section, the Director of the National Science Foundation
shall give special consideration to eligible early-career
researchers who have followed alternative career paths such
as working part-time or in non-academic settings, or who have
taken a significant career break or other leave of absence.
(4) Duration and amount.--A grant under this section shall
be 5 years in duration. An eligible early career-researcher
who receives a grant under this section shall receive
$100,000 for each year of the grant period.
(5) Use of funds.--An eligible early career-researcher who
receives a grant under this section shall use the grant funds
for basic research in natural sciences, engineering,
mathematics, or computer sciences at a university, private
industry, or federally-funded research and development
center.
(6) Authorization of appropriations.--There are authorized
to be appropriated to carry out this section--
(A) $6,500,000 for fiscal year 2007;
(B) $13,000,000 for fiscal year 2008;
(C) $19,500,000 for fiscal year 2009;
(D) $26,000,000 for fiscal year 2010; and
(E) $32,500,000 for fiscal year 2011.
TITLE II--SOWING THE SEEDS THROUGH SCIENCE AND ENGINEERING RESEARCH
Subtitle A--Office of Science and Technology Policy Matters
SEC. 211. COORDINATION OF SCIENCE, MATHEMATICS, AND
ENGINEERING EDUCATION PROGRAMS.
(a) National Goals.--
(1) Body for establishment of goals.--The Director of the
Office of Science and Technology Policy shall establish
within the President's Committee of Advisors on Science and
Technology a standing subcommittee on education in
mathematics, science, and engineering in the Federal
Government.
(2) Responsibility.--The subcommittee established under
this subsection shall--
(A) develop national goals for the support by the Federal
Government of education in mathematics, science, and
engineering; and
(B) periodically review and update any goals so developed.
(3) Public comment.--The Director shall enter into an
agreement with the National Academy of Sciences or other
appropriate scientific organization to seek public comment on
the national goals developed under this subsection.
(b) Deputy Assistant Director for Science, Mathematics, and
Engineering Education Programs.--
(1) In general.--There shall be in the Office of Science
and Technology Policy a Deputy Assistant Director of the
Office of Science and Technology Policy for Science,
Mathematics, and Engineering Education Programs who shall be
appointed by the Director of the Office of Science and
Technology Policy, acting through the Associate Director for
Science of the Office of Science and Technology Policy, from
among individuals having the qualifications specified in
paragraph (2).
(2) Qualifications for appointment.--The qualifications of
an individual for appointment as Deputy Assistant Director
shall include such professional experience and expertise, and
such other qualifications, as the Director of the Office of
Science and Technology Policy considers appropriate to permit
such individual to advise the Director on all matters
relating to the education programs of the Executive Branch on
mathematics, science, and technology.
(c) Responsibility.--The Deputy Assistant Director of the
Office of Science and Technology Policy for Science,
Mathematics, and Engineering Educations Programs shall ensure
effective coordination among the departments, agencies, and
elements of the Federal Government in the discharge of the
education programs of the Executive Branch on mathematics,
science, and technology.
(d) Plan for Coordination of Programs.--
(1) In general.--In carrying out the responsibility
described in subsection (c), the Deputy Assistant Director of
the Office of Science and Technology Policy for Science,
Mathematics, and Engineering Educations Programs shall
develop each year a plan for the coordination of the
education programs of the Executive Branch on mathematics,
science, and technology during the five fiscal years
beginning in the year of such plan.
(2) Elements.--Each plan developed under this subsection
shall include--
(A) mechanisms for the coordination of the education
programs of the Executive Branch on mathematics, science, and
technology during the five fiscal years beginning in the year
of such plan; and
(B) recommendations on funding, by agency, of such
education programs during each such fiscal year.
(3) Consistency with national goals.--Each plan developed
under this subsection shall be consistent with the most
current national goals for the support by the Federal
Government of education in mathematics, science, and
engineering developed under subsection (a).
(4) Availability to public.--The Director of the Office of
Science and Technology Policy shall take appropriate actions
to ensure that each plan developed under this subsection is
available to the public.
(e) Staffing and Other Resources.--The Director of the
Office of Science and Technology Policy shall assign the
Deputy Assistant Director of the Office of Science and
Technology Policy for Science, Mathematics, and Engineering
Educations Programs such personnel and other resources as the
Director considers appropriate in order to permit the Deputy
Assistant Director to carry out the duties of the Deputy
Assistant Director under this section.
(f) Deadlines for Certain Actions.--
(1) Establishment of subcommittee.--The Director of the
Office of Science and Technology Policy shall establish the
subcommittee required by subsection (a)(1) not later than 30
days after the date of the enactment of this Act.
(2) Appointment of deputy assistant director.--The Director
of the Office of Science and Technology Policy, acting
through the Associate Director for Science of the Office of
Science and Technology Policy, shall make the first
appointment to the position of Deputy Assistant Director of
the Office of Science and Technology Policy for Science,
Mathematics, and Engineering Education Programs under
subsection (b)(1) not later than 60 days after the date of
the enactment of this Act.
SEC. 212. NATIONAL COORDINATION OFFICE FOR ADVANCED RESEARCH
INSTRUMENTATION AND FACILITIES.
(a) Establishment.--
(1) In general.--The Director of the Office of Science and
Technology Policy shall establish within the Office of
Science and Technology Policy an office to be known as the
``National Coordination Office for Advanced Research
Instrumentation and Facilities''.
(2) Head of office.--The head of the National Coordination
Office for Advanced Research Instrumentation and Facilities
shall be the Director of the National Coordination Office for
Advanced Research Instrumentation and Facilities, who shall
be appointed by the Director of the Office of Science and
Technology Policy.
(3) Staff and other resources.--The Director of the Office
of Science and Technology Policy shall assign to the National
Coordination Office for Advanced Research Instrumentation and
Facilities such personnel and other resources as the Director
of the Office of Science and Technology Policy considers
appropriate in order to permit the National Coordination
Office for Advanced Research Instrumentation and Facilities
to carry out its duties under this section.
(4) Deadline for establishment.--The National Coordination
Office for Advanced Research Instrumentation and Facilities
shall be established not later than 30 days after the date of
the enactment of this Act.
(b) Duties.--
(1) In general.--The National Coordination Office for
Advanced Research Instrumentation and Facilities shall
coordinate the award by the departments, agencies, and other
elements of the Federal Government of grants for advanced
research instrumentation and facilities.
(2) Advanced research instrumentation and facilities.--
(A) In general.--For purposes of this section, advanced
research instrumentation and
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facilities are specially designed and developed instruments
or tools (whether of a physical or nonphysical nature) that
are available commercially but are overly expensive for
design and development under a single research grant.
(B) Examples.--Examples of advanced research
instrumentation and facilities for purposes of this section
include the following:
(i) Single, stand-alone instruments or instrument suites.
(ii) Networks.
(iii) Computational modeling applications.
(iv) Computer databases.
(v) Sensor systems.
(vi) Facilities that house ensembles of interrelated
instruments.
(vii) Instruments assembled from components.
(3) Discharge of duties.--The Office shall coordinate the
award of grants for advanced research instrumentation and
facilities under this section in accordance with the
strategic implementation plan developed under subsection (c).
(c) Strategic Implementation Plan.--
(1) Plan required.--Not later than one year after the date
of the enactment of this Act, the Director of the Office of
Science and Technology Policy shall, in consultation with the
Director of the Office of Management and Budget, develop a
plan for the award by the departments, agencies, and other
elements of the Federal Government of grants for advanced
research instrumentation and facilities during the five-year
period beginning on the date of the issuance of the plan.
(2) Elements.--The plan required by paragraph (1) shall
include the following:
(A) Criteria applicable to the award of grants for advanced
research instrumentation and facilities, including criteria
applicable to--
(i) scientific and technical merit;
(ii) the identification of the strategic requirements of
the departments, agencies, and other elements of the Federal
Government; and
(iii) national science and technology needs.
(B) An assessment of the current and anticipated needs of
the departments, agencies, and other elements of the Federal
Government for advanced research instrumentation and
facilities.
(C) A report to Congress on the proposed allocation of
funds, including amounts authorized to be appropriated by
subsection (f), by the departments, agencies, and other
elements of the Federal Government for grants for advanced
research instrumentation and facilities.
(3) Public comment.--In developing the plan required by
paragraph (1), the Director of the Office of Science and
Technology Policy shall enter into an agreement with the
National Academy of Sciences, or other similar entity, to
secure public comments on the plan.
(d) Recommendations on Agency Funding.--
(1) In general.--The Director of the Office of Science and
Technology Policy shall, in consultation with the Director of
the National Coordination Office for Advanced Research
Instrumentation and Facilities, make recommendations each
year to the Director of the Office of Management and Budget
on the amount of funds to be requested for the departments,
agencies, and other elements of the Federal Government for
the fiscal year beginning in such year for the award of
grants for advanced research instrumentation and facilities.
(2) Purpose.--The purpose of the recommendations under
paragraph (1) shall be to advise the Director of the Office
of Management and Budget on the amounts to be requested in
the budget of the President (as submitted to Congress under
section 1105 of title 31, United States Code) for each fiscal
year for the award of grants for advanced research
instrumentation and facilities.
(e) Use of Grant Amounts.--Amounts under grants awarded by
departments, agencies, and other elements of the Federal
Government for advanced research instrumentation and
facilities may be used for purposes as follows:
(1) The purchase and installation of instruments.
(2) The commissioning of equipment.
(3) The calibration of instruments.
(4) The acquisition of parts and materials for construction
of instruments.
(5) Personnel costs of personnel engaged in the development
of instruments.
(6) The operation and maintenance of instruments.
(7) Such other purposes as the Director of the National
Coordination Office for Advanced Research Instrumentation and
Facilities considers appropriate.
(f) Authorization of Appropriations.--
(1) In general.--In addition to amounts appropriated under
Federal law other than this Act, there is authorized to be
appropriated for each of fiscal years 2008 through 2012, to
carry out this section (including the plan specified in
subsection (c))--
(A) $1,000,000 to the Office of Science and Technology
Policy;
(B) $150,000,000 to the National Science Foundation;
(C) $87,000,000 to the Department of Defense;
(D) $152,000,000 to the Office of Science of the Department
of Energy; and
(E) $117,000,000 to the National Aeronautics and Space
Administration.
(2) Availability.--The amount authorized to be appropriated
by this subsection shall remain available until expended.
SEC. 213. HIGH-RISK, HIGH-PAYOFF RESEARCH.
(a) In General.--Not later than 180 days after the date of
the enactment of this Act, the Director of the Office of
Science and Technology Policy shall, in consultation with the
Director of the Office of Management and Budget, establish
guidelines to ensure that each Federal research agency
allocates not less than 8 percent of the funds available to
such agency each fiscal year for basic research for high-
risk, high-payoff research.
(b) High-Risk, High-Payoff Research.--For purposes of this
section, high-risk, high-payoff research is research that--
(1) has the potential for yielding results with far-ranging
or wide-ranging implications; but
(2) is too novel or spans too diverse a range of
disciplines to fare well in the traditional peer review
process.
(c) Guideline Elements.--The guidelines required by
subsection (a) shall include provisions on the following:
(1) Expedited procedures for the approval of the use of
funds for high-risk, high-payoff research.
(2) Annual reports by Federal research agencies on
activities relating to high-risk, high-payoff research.
(3) Criteria to establish the duration of funding for high-
risk, high-payoff research projects.
(4) Objectives for high-risk, high-payoff research
projects.
(5) Such other criteria, objectives, or other matters as
the Director of the Office of Science and Technology Policy
considers appropriate.
(d) Public Comment.--The Director of the Office of Science
and Technology Policy shall enter into an agreement with the
National Academy of Sciences, or similar entity, to solicit
public comment, through a broad media solicitation, on the
guidelines required by subsection (a) before the final
issuance of such guidelines.
(e) Review.--The President's Committee of Advisors on
Science and Technology shall, not less often than once every
two years, conduct a review to determine whether or not
Federal research agencies are allocating basic research funds
in accordance with the guidelines required by subsection (a).
(f) Annual Reports to Congress.--
(1) Reports required.--The Director of the Office of
Management and Budget shall, in consultation with the
Director of the Office of Science and Technology Policy,
submit to Congress each year a report on the use by Federal
research agencies of basic research funds for high-risk,
high-payoff research during the preceding fiscal year.
(2) Time for submittal.--The Director of the Office of
Management and Budget shall submit the report required by
paragraph (1) for a year together with the budget of the
President for the fiscal year beginning in such year (as
submitted to Congress under section 1105 of title 31, United
States Code).
(g) Definitions.--In this section:
(1) Federal research agency.--The term ``Federal research
agency'' means a major organizational component of a
department or agency of the Federal Government, or other
establishment of the Federal Government operating with
appropriated funds, that has as its primary purpose the
performance of scientific research.
(2) Major organizational component.--The term ``major
organizational component'', with respect to a department,
agency, or other establishment of the Federal Government,
means a component of the department, agency, or other
establishment that is administered by an individual whose
rate of basic pay is not less than the rate of basic pay
payable under level V of the Executive Schedule under section
5316 of title 5, United States Code.
SEC. 214. PRESIDENT'S INNOVATION AWARD.
(a) Authority To Award.--
(1) In general.--The Director of the Office of Science and
Technology Policy shall, subject to the approval of the
President, award each year to one or more individuals an
award that recognizes recent innovations in science and
engineering in the United States.
(2) Designation.--The award made under this section shall
be known as the ``President's Innovation Award''.
(3) Presentation.--The presentation of awards made under
this section shall be made by the President.
(b) Selection of Recipients.--
(1) In general.--The Director of the Office of Science and
Technology Policy shall identify recipients of the award
under this section from among individuals whose achievements
are recognized in the most recent document entitled
``Interagency Research and Development Priorities'' published
by the Director of the Office of Management and Budget and
the Director of the Office of Science and Technology Policy.
(2) Solicitation of recommendations.--In identifying
potential recipients of the award under this section, the
Director of the Office of Science and Technology Policy shall
solicit recommendations from the heads of Federal agencies
and the general public.
(c) Nature of Award.--The award made under this section
shall consist of the following:
(1) A medal, of such design as the Director of the Office
of Science and Technology Policy shall determine (subject to
the approval of the President).
[[Page S221]]
(2) A certificate of recognition.
(3) A cash prize, in such amount as the Director considers
appropriate.
(d) Authorization of Appropriations.--There is hereby
authorized to be appropriated to the Office of Science and
Technology Policy each fiscal year $1,000,000 for the making
of awards under this section.
Subtitle B--National Aeronautics and Space Administration Matters
SEC. 221. NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
EARLY-CAREER RESEARCH GRANTS.
(a) Purpose.--It is the purpose of this section to
authorize research grants in the National Aeronautics and
Space Administration for early-career scientists and
engineers for purposes of pursuing independent research.
(b) Definition of Eligible Early-Career Researcher.--In
this section, the term ``eligible early-career researcher''
means an individual who--
(1) completed a doctorate or other terminal degree not more
than 10 years before the date of enactment of this Act and
has demonstrated promise in the field of science, technology,
engineering, or mathematics; or
(2) has an equivalent professional qualification in the
field of science, technology, engineering, or mathematics.
(c) Grant Program Authorized.--
(1) In general.--The Administrator of the National
Aeronautics and Space Administration shall award not less
than 45 grants per year to outstanding eligible early-career
researchers to support the work of such researchers in
universities, private industry, or federally-funded research
and development centers.
(2) Application.--An eligible early-career researcher who
desires to receive a grant under this section shall submit to
the Administrator of the National Aeronautics and Space
Administration an application at such time, in such manner,
and accompanied by such information as the Administrator may
require.
(3) Special consideration.--In awarding grants under this
section, the Administrator of the National Aeronautics and
Space Administration shall give special consideration to
eligible early-career researchers who have followed
alternative career paths such as working part-time or in non-
academic settings, or who have taken a significant career
break or other leave of absence.
(4) Duration and amount.--A grant under this section shall
be 5 years in duration. An eligible early career-researcher
who receives a grant under this section shall receive
$100,000 for each year of the grant period.
(5) Use of funds.--An eligible early career-researcher who
receives a grant under this section shall use the grant funds
for basic research in natural sciences, engineering,
mathematics, or computer sciences at a university, private
industry, or federally-funded research and development
center.
(6) Authorization of appropriations.--There are authorized
to be appropriated to carry out this section--
(A) $4,500,000 for fiscal year 2007;
(B) $9,000,000 for fiscal year 2008;
(C) $13,500,000 for fiscal year 2009;
(D) $18,000,000 for fiscal year 2010; and
(E) $22,500,000 for fiscal year 2011.
SEC. 222. AUTHORIZATION OF APPROPRIATIONS FOR THE NATIONAL
AERONAUTICS AND SPACE ADMINISTRATION FOR BASIC
SCIENCES.
(a) In General.--There is hereby authorized to be
appropriated for the National Aeronautics and Space
Administration for basic sciences for research specified in
subsection (b), amounts as follows:
(1) $2,768,000,000 for fiscal year 2007.
(2) $3,044,000,000 for fiscal year 2008.
(3) $3,349,000,000 for fiscal year 2009.
(4) $3,684,000,000 for fiscal year 2010.
(5) $4,052,000,000 for fiscal year 2011.
(6) $4,457,000,000 for fiscal year 2012.
(7) $4,903,000,000 for fiscal year 2013.
(b) Covered Research.--The research specified in this
subsection is research under programs as follows:
(1) The Solar System Exploration Research Program.
(2) The Mars Exploration Research Program.
(3) The Astronomical Search for Origins Research Program.
(4) The Structure and Evolution of the Universe Research
Program.
(5) The Earth-Sun Connection Research Program.
(6) The Earth Systems Science Research Program.
(7) The Earth Science Applications Research Program.
(8) The Biological Sciences Research Program.
(9) The Physical Sciences Research Program.
(10) The Aeronautics Program.
(11) Such other basic research programs as the
Administrator of the National Aeronautics and Space
Administration may determine to be appropriate, after
notifying the appropriate committees of Congress of the
Administrator's intent to make the determination.
Subtitle C--Communications Matters
SEC. 231. SENSE OF SENATE ON POLICIES TO ACCELERATE
DEPLOYMENT OF ACCESS TO BROADBAND INTERNET.
It is the sense of the Senate that Congress and the Federal
Communications Commission should work together to ensure the
implementation of regulatory policies that facilitate and
accelerate the deployment of access to broadband Internet to
order to provide broadband Internet service to as many
residences, businesses, and schools as possible in both urban
areas and rural areas.
Subtitle D--Science Parks
SEC. 241. DEVELOPMENT OF SCIENCE PARKS.
(a) Finding.--Section 2 of the Stevenson-Wydler Technology
Innovation Act of 1980 (15 U.S.C. 3701) is amended by adding
at the end the following new paragraph:
``(12) It is in the best interests of the Nation to
encourage the formation of science parks to promote the
clustering of innovation through high technology
activities.''.
(b) Definition.--Section 4 of such Act (15 U.S.C. 3703) is
amended by adding at the end the following new paragraphs:
``(14) `Science park' means a group of interrelated
companies and institutions, including suppliers, service
providers, institutions of higher education, start-up
incubators, and trade associations that cooperate and compete
and are located in a specific area whose administration
promotes real estate development, technology transfer, and
partnerships between such companies and institutions, and
does not mean a business or industrial park.
``(15) `Business or industrial park' means primarily a for-
profit real estate venture of businesses or industries which
do not necessarily reinforce each other through supply chain
or technology transfer mechanisms.
``(16) `Science park infrastructure' means facilities that
support the daily economic activity of a science park.''.
(c) Promotion of Development of Science Parks.--Section
5(c) of such Act (15 U.S.C. 3704(c)) is amended--
(1) in paragraph (14), by striking ``and'' at the end;
(2) in paragraph (15), by striking the period at the end
and inserting ``; and''; and
(3) by adding at the end the following new paragraph:
``(16) promote the formation of science parks.''.
(d) Science Parks.--Such Act is further amended by adding
at the end the following new section:
``SEC. 24. SCIENCE PARKS.
``(a) Development of Plans for Construction of Science
Parks.--
``(1) In general.--The Secretary shall award grants for the
development of feasibility studies and plans for the
construction of new or expansion of existing science parks.
``(2) Limitation on amount of grants.--The amount of a
grant awarded under this subsection may not exceed $750,000.
``(3) Award.--
``(A) Competition required.--The Secretary shall award any
grant under this subsection pursuant to a full and open
competition.
``(B) Advertising.--The Secretary shall advertise any
competition under this paragraph in the Commerce Business
Daily.
``(C) Selection criteria.--The Secretary shall publish the
criteria to be utilized in any competition under this
paragraph for the selection of recipients of grants under
this subsection. Such criteria shall include requirements
relating to--
``(i) the number of jobs to be created at the science park
each year for a period of 5 years;
``(ii) the funding to be required to construct or expand
the science park over the first 5 years;
``(iii) the amount and type of cost matching by the
applicant;
``(iv) the types of businesses and research entities
expected in the science park and surrounding community;
``(v) letters of intent by businesses and research entities
to locate in the science park;
``(vi) the capacity of the science park for expansion over
a period of 25 years;
``(vii) the quality of life at the science park for
employees at the science park;
``(viii) the capability to attract a well trained workforce
to the science park;
``(ix) the management of the science park;
``(x) expected risks in the construction and operation of
the science park;
``(xi) risk mitigation;
``(xii) transportation and logistics;
``(xiii) physical infrastructure, including
telecommunications; and
``(xiv) ability to collaborate with other science parks
throughout the world.
``(4) Authorization of appropriations.--There is authorized
to be appropriated for each of fiscal years 2007 through
2012, $7,500,000 to carry out this subsection.
``(b) Revolving Loan Program for Development of Science
Park Infrastructure.--
``(1) In general.--The Secretary shall make grants to six
regional centers for the development of existing science park
infrastructure through the operation of revolving loan funds
by such centers.
``(2) Selection of centers.--
``(A) In general.--The Secretary shall select the regional
centers to be awarded grants under this subsection utilizing
such criteria as the Secretary shall prescribe.
``(B) Criteria.--The criteria prescribed by the Secretary
under this paragraph shall include criteria relating to
revolving loan funds and revolving loan fund operators under
paragraph (4), including--
``(i) the qualifications of principal officers;
``(ii) non-Federal cost matching requirements; and
``(iii) conditions for the termination of loan funds.
``(3) Limitation on loan amount.--The amount of any loan
for the development of
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existing science park infrastructure that is funded under
this subsection may not exceed $3,000,000.
``(4) Revolving loan funds.--
``(A) In general.--A regional center receiving a grant
under this subsection shall fund the development of existing
science park infrastructure through the utilization of a
revolving loan fund.
``(B) Operation and integrity.--The Secretary shall
prescribe regulations to maintain the proper operation and
financial integrity of revolving loan funds under this
paragraph.
``(C) Efficient administration.--The Secretary may--
``(i) at the request of a grantee, amend and consolidate
grant agreements governing revolving loan funds to provide
flexibility with respect to lending areas and borrower
criteria;
``(ii) assign or transfer assets of a revolving loan fund
to a third party for the purpose of liquidation, and a third
party may retain assets of the fund to defray costs related
to liquidation; and
``(iii) take such actions as are appropriate to enable
revolving loan fund operators to sell or securitize loans
(except that the actions may not include issuance of a
Federal guaranty by the Secretary).
``(D) Treatment of actions.--An action taken by the
Secretary under this paragraph with respect to a revolving
loan fund shall not constitute a new obligation if all grant
funds associated with the original grant award have been
disbursed to the recipient.
``(E) Preservation of securities laws.--
``(i) Not treated as exempted securities.--No securities
issued pursuant to subparagraph (C)(iii) shall be treated as
exempted securities for purposes of the Securities Act of
1933 or the Securities Exchange Act of 1934, unless exempted
by rule or regulation of the Securities and Exchange
Commission.
``(ii) Preservation.--Except as provided in clause (i), no
provision of this paragraph or any regulation issued by the
Secretary under this paragraph shall supersede or otherwise
affect the application of the securities laws (as such term
is defined in section 2(a)(47) of the Securities Exchange Act
of 1934) or the rules, regulations, or orders of the
Securities and Exchange Commission or a self-regulatory
organization thereunder.
``(5) Authorization of appropriations.--There is authorized
to be appropriated for each of fiscal years 2007 through
2012, $60,000,000 to carry out this subsection.
``(c) Loan Guarantees for Science Park Infrastructure.--
``(1) In general.--The Secretary shall guarantee up to 80
percent of the loan amount for loans exceeding $10,000,000
for projects for the construction of science park
infrastructure.
``(2) Limitations on guarantee amounts.--The maximum amount
of loan principal guaranteed under this subsection may not
exceed--
``(A) $50,000,000 with respect to any single project; and
``(B) $500,000,000 with respect to all projects.
``(3) Selection of guarantee recipients.--The Secretary
shall select recipients of loan guarantees under this
subsection based upon the ability of the recipient to
collateralize the loan amount through bonds, equity,
property, and other such criteria as the Secretary shall
prescribe.
``(4) Terms and conditions for loan guarantees.--For
purposes of this section, the loans guaranteed shall be
subject to such terms and conditions as the Secretary may
prescribe, except that--
``(A) the final maturity of such loans made or guaranteed
shall not exceed (as determined by the Secretary) the lesser
of--
``(i) 30 years and 32 days; or
``(ii) 90 percent of the useful life of any physical asset
to be financed by such loan;
``(B) no loan made or guaranteed may be subordinated to
another debt contracted by the borrower or to any other
claims against the borrowers in the case of default;
``(C) no loan may be guaranteed unless the Secretary
determines that the lender is responsible and that adequate
provision is made for servicing the loan on reasonable terms
and protecting the financial interest of the United States;
``(D) no loan may be guaranteed if the income from such
loan is excluded from gross income for purposes of chapter 1
of the Internal Revenue Code of 1986, or if the guarantee
provides significant collateral or security, as determined by
the Secretary, for other obligations the income from which is
so excluded;
``(E) any guarantee shall be conclusive evidence that said
guarantee has been properly obtained, that the underlying
loan qualified for such guarantee, and that, but for fraud or
material misrepresentation by the holder, such guarantee
shall be presumed to be valid, legal, and enforceable;
``(F) the Secretary shall prescribe explicit standards for
use in periodically assessing the credit risk of new and
existing direct loans or guaranteed loans;
``(G) the Secretary must find that there is a reasonable
assurance of repayment before extending credit assistance;
and
``(H) new loan guarantees may not be committed except to
the extent that appropriations of budget authority to cover
their costs are made in advance, as required in section 504
of the Federal Credit Reform Act of 1990.
``(5) Payment of losses.--For purposes of this section--
``(A) In general.--If, as a result of a default by a
borrower under a guaranteed loan, after the holder thereof
has made such further collection efforts and instituted such
enforcement proceedings as the Secretary may require, the
Secretary determines that the holder has suffered a loss, the
Secretary shall pay to such holder the percentage of such
loss (not more than 80 percent) specified in the guarantee
contract. Upon making any such payment, the Secretary shall
be subrogated to all the rights of the recipient of the
payment. The Secretary shall be entitled to recover from the
borrower the amount of any payments made pursuant to any
guarantee entered into under this section.
``(B) Enforcement of rights.--The Attorney General shall
take such action as may be appropriate to enforce any right
accruing to the United States as a result of the issuance of
any guarantee under this section.
``(C) Forbearance.--Nothing in this section may be
construed to preclude any forbearance for the benefit of the
borrower which may be agreed upon by the parties to the
guaranteed loan and approved by the Secretary, if budget
authority for any resulting subsidy costs (as defined under
the Federal Credit Reform Act of 1990) is available.
``(D) Management of property.--Notwithstanding any other
provision of law relating to the acquisition, handling, or
disposal of property by the United States, the Secretary
shall have the right in the Secretary's discretion to
complete, recondition, reconstruct, renovate, repair,
maintain, operate, or sell any property acquired by the
Secretary pursuant to the provisions of this section.
``(6) Review.--The Comptroller General of the United States
shall, within 2 years of the date of enactment of this
section, conduct a review of the subsidy estimates for the
loan guarantees under this subsection, and shall submit to
Congress a report on the review conducted under this
paragraph.
``(7) Termination.--No loan may be guaranteed under this
subsection after September 30, 2012.
``(8) Authorization of appropriations.--There is authorized
to be appropriated--
``(A) $35,000,000 for the cost, as defined in section
502(5) of the Federal Credit Reform Act of 1990, of
guaranteeing $500,000,000 of loans under this subsection; and
``(B) $6,000,000 for administrative expenses for fiscal
year 2007 and such sums as necessary thereafter for
administrative expenses in subsequent years.
``(d) National Academy of Sciences Evaluation.--
``(1) In general.--The Secretary shall enter into an
agreement with the National Academy of Sciences under which
the Academy shall evaluate, on a tri-annual basis, the
activities under this section.
``(2) Tri-annual report.--Under the agreement under
paragraph (1), the Academy shall submit to the Secretary a
report on its evaluation of science park development under
that paragraph. Each report may include such recommendations
as the Academy considers appropriate for additional
activities to promote and facilitate the development of
science parks in the United States.
``(e) Tri-Annual Report.--Not later than March 31 of every
third year, the Secretary shall submit to Congress a report
on the activities under this section during the preceding 3
years, including any recommendations made by the National
Academy of Sciences under subsection (d)(2) during such
period. Each report may include such recommendations for
legislative or administrative action as the Secretary
considers appropriate to further promote and facilitate the
development of science parks in the United States.
``(f) Regulations.--
``(1) Regulations.--Consistent with Office of Management
and Budget Circular A-129, `Policies for Federal Credit
Programs and Non-Tax Receivables', the Secretary shall
prescribe regulations to carry out this section.
``(2) Deadline.--The Secretary shall prescribe such
regulations not later than one year after the date of
enactment of this section.''.
Subtitle E--Authorization of Appropriations for the National Science
Foundation for Research and Related Activities
SEC. 251. AUTHORIZATION OF APPROPRIATIONS FOR THE NATIONAL
SCIENCE FOUNDATION FOR RESEARCH AND RELATED
ACTIVITIES.
(a) In General.--There is hereby authorized to be
appropriated for the National Science Foundation for Research
and Related Activities, amounts as follows:
(1) $4,195,000,000 for fiscal year 2007.
(2) $4,614,000,000 for fiscal year 2008.
(3) $5,076,000,000 for fiscal year 2009
(4) $5,584,000,000 for fiscal year 2010.
(5) $6,143,000,000 for fiscal year 2011.
(6) $6,757,000,000 for fiscal year 2012.
(7) $7,432,000,000 for fiscal year 2013.
(b) Limitation on Availability.--Amounts authorized to be
appropriated for the National Science Foundation by
subsection (a) shall not be available for the United States
Solar Program and Integrative Activities of the Foundation.
TITLE III--ENSURING THE BEST AND BRIGHTEST REMAIN IN THE UNITED STATES
Subtitle A--Visas for Doctorate Students in Mathematics, Engineering,
Technology, or the Physical Sciences
SEC. 311. FINDINGS.
Congress finds the following:
[[Page S223]]
(1) The National Academies, in their congressionally
requested report entitled ``Rising Above the Gathering Storm:
Energizing and Employing America for a Brighter Economic
Future'', recommended that Congress--
(A) continue to improve visa processing for international
students and scholars by providing less complex procedures
and continuing to make improvements on issues such as visa
categories and duration, travel for scientific meetings, the
technology-alert list, reciprocity agreements, and changes in
status;
(B) provide a 1-year automatic visa extension to
international students who receive doctorates or the
equivalent in science, technology, engineering, mathematics,
or other fields of national need at qualified United States
institutions to remain in the United States to seek
employment;
(C) provide such students with automatic work permits and
expedited residence status if they are offered jobs by
employers based in the United States and pass a security
screening test;
(D) institute a new skills-based, preferential immigration
option that gives applicants with doctorate-level education
and science and engineering skills priority in obtaining
United States citizenship; and
(E) increase the number of H-1B visas by 10,000, which
should be allocated for applicants with doctorate degrees in
science, or engineering from a United States university; and
(2) Since the publication of the report by the National
Academies, the Senate has passed the Deficit Reduction Act of
2005, which authorizes an additional 30,000 H-1B visas per
year.
SEC. 312. SENSE OF THE SENATE.
It is the sense of the Senate that--
(1) the Department of State and the Department of Homeland
Security have made significant improvements since 2002 in the
efficiency with which visas are processed for--
(A) students at colleges and universities in the United
States; and
(B) foreign researchers to engage in appropriate scientific
research in the United States;
(2) particular improvements have been made to the MANTIS
clearance process, which--
(A) reduce wait times from more than 70 days to less than
15 days; and
(B) extend the duration of the MANTIS clearance process up
to 4 years, as appropriate, to cover the duration of study
for foreign students in the United States;
(3) both departments and related supporting agencies should
further improve efficiency and convenience in the granting of
visas to foreign students and researchers while protecting
national security;
(4) the departments should extend MANTIS clearance for
foreign researchers for the duration of a specified
scientific research program while balancing security
concerns; and
(5) other such improvements should include--
(A) review of the technology-alert list; and
(B) efforts to better facilitate travel for scientific
conferences.
SEC. 313. VISAS FOR DOCTORATE STUDENTS IN MATHEMATICS,
ENGINEERING, TECHNOLOGY, OR THE PHYSICAL
SCIENCES.
(a) Creation of New Visa Category.--Section 101(a)(15)(F)
of the Immigration and Nationality Act (8 U.S.C.
1101(a)(15)(F)) is amended--
(1) in clause (i)--
(A) by inserting ``(except for a graduate program described
in clause (iv))'' after ``full course of study'';
(B) by striking ``214(l)'' and inserting ``214(m)''; and
(C) by striking the comma at the end and inserting a
semicolon;
(2) in clause (ii)--
(A) by inserting ``or clause (iv)'' after ``clause (i)'';
and
(B) by striking ``, and'' and inserting a semicolon;
(3) in clause (iii), by inserting ``and'' at the end; and
(4) by adding at the end the following:
``(iv) an alien described in clause (i) who has been
accepted and plans to attend an accredited graduate program
in mathematics, engineering, technology, or the physical
sciences in the United States for the purpose of obtaining a
doctorate degree;''.
(b) Requirements for Obtaining an F-4 Visa.--Section 214(m)
of the Immigration and Nationality Act (8 U.S.C. 1184(m)) is
amended--
(1) by striking the matter preceding paragraph (1) and
inserting the following:
``(m) Nonimmigrant Elementary, Secondary, and Post-
Secondary School Students.--''; and
(2) by adding at the end the following:
``(3)(A) An alien who obtains the status of a nonimmigrant
under section 101(a)(15)(F)(iv) shall demonstrate an intent
to--
``(i) return to the country of residence of such alien
immediately after the completion or termination of the
graduate program qualifying such alien for such status; or
``(ii) find employment in the United States related to the
field of study of such alien and become a permanent resident
of the United States upon the completion of the graduate
program, which was the basis for such nonimmigrant status.
``(B) A visa issued to an alien under section
101(a)(15)(F)(iv) shall be valid--
``(i) during the intended period of study in a graduate
program described in such section;
``(ii) for an additional period, not to exceed 1 year
beyond the completion of the graduate program, if the alien
is actively pursuing an offer of employment related to the
knowledge and skills obtained through the graduate program;
and
``(iii) for an additional period, not to exceed 6 months,
while the alien's application for adjustment of status under
section 245(i)(4) is pending.
``(C) An alien shall qualify for adjustment of status to
that of a person admitted for permanent residence if the
alien--
``(i) has the status of a nonimmigrant under section
101(a)(15)(F)(iv);
``(ii) has successfully earned a doctorate degree in
mathematics, engineering, technology or the physical sciences
at an accredited college or university in the United States;
and
``(iii) is employed full-time in the United States in a
position related to the knowledge and skills gained while
pursuing such degree.''.
(c) Adjustment of Status.--Section 245(i) of the
Immigration and Nationality Act (8 U.S.C. 1255(i)) is amended
by adding at the end the following:
``(4) The Secretary of Homeland Security may adjust the
status of an alien who meets the requirements under section
214(m)(3) to that of an alien lawfully admitted for permanent
residence if the alien--
``(A) makes an application for such adjustment;
``(B) is eligible to receive an immigrant visa;
``(C) is admissible to the United States for permanent
residence; and
``(D) remits a fee of $1,000 to the Secretary.''.
(d) Use of Fees.--
(1) Job training; scholarships.--Section 286(s)(1) of the
Immigration and Nationality Act (8 U.S.C. 1356(s)(1)) is
amended by inserting ``and 80 percent of the fees collected
under section 245(i)(4)'' before the period at the end.
(2) Fraud prevention and detection.--Section 286(v)(1) of
the Immigration and Nationality Act (8 U.S.C. 1356(v)(1)) is
amended by inserting ``and 20 percent of the fees collected
under section 245(i)(4)'' before the period at the end.
SEC. 314. ALIENS NOT SUBJECT TO NUMERICAL LIMITATIONS ON
EMPLOYMENT-BASED IMMIGRANTS.
(a) In General.--Section 201(b)(1) of the Immigration and
Nationality Act (8 U.S.C. 1151(b)(1)) is amended by adding at
the end the following:
``(F) Aliens who have earned an advanced degree in science,
technology, engineering, or math and have been working in a
related field in the United States under a nonimmigrant visa
during the 3-year period preceding their application for an
immigrant visa under section 203(b).
``(G) Aliens described in subparagraph (A) or (B) of
section 203(b)(1)(A) or who have received a national interest
waiver under section 203(b)(2)(B).
``(H) The immediate relatives of an alien who is admitted
as an employment-based immigrant under section 203(b).''.
(b) Applicability.--The amendments made by subsection (a)
shall apply to any visa application pending on the date of
enactment of this Act and any visa application filed on or
after such date of enactment.
Subtitle B--Patent Reform
SEC. 321. PATENT REFORM.
It is the sense of the Senate that--
(1) the United States Patent and Trademark Office should be
provided with sufficient resources to make intellectual
property protection more timely, predictable, and effective;
(2) the resources described under paragraph (1) should
include a 20 percent increase in overall funding to hire and
train additional examiners and implement more capable
electronic processing; and
(3) Congress should implement comprehensive patent reform
that--
(A) establishes a first-inventor-to-file system;
(B) institutes an open review process following the grant
of a patent;
(C) encourages research uses of patented inventions by
shielding researchers from infringement liability; and
(D) reduces barriers to innovation in specific industries
with specialized patent needs.
TITLE IV--REFORMING DEEMED EXPORTS
SEC. 401. SENSE OF SENATE ON EXEMPTION OF CERTAIN USES OF
TECHNOLOGY FROM TREATMENT AS EXPORTS.
(a) Sense of Senate.--It is the sense of the Senate that
the use of technology by an institution of higher education
in the United States should not be treated as an export of
such technology for purposes of section 5 of the Export
Administration Act of 1979 (50 U.S.C. App. 2404) and any
regulations prescribed thereunder, as currently in effect
pursuant to the provisions of the International Emergency
Economic Powers Act (50 U.S.C. 1701 et seq.), or any other
provision of law, if such technology is so used by such
institution for fundamental research.
(b) Definitions.--In this section:
(1) Fundamental research.--The term ``fundamental
research'' has the meaning given that term in National
Security Decision Directive 189, entitled ``National Policy
[[Page S224]]
on Transfer of Scientific, Technical, and Engineering
Information'' and dated September 21, 1985.
(2) Institution of higher education.--The term
``institution of higher education'' has the meaning given
that term in section 101(a) of the Higher Education Act of
1965 (20 U.S.C. 1001(a).
TITLE V--STRENGTHENING BASIC RESEARCH AT THE DEPARTMENT OF DEFENSE
SEC. 501. DEPARTMENT OF DEFENSE EARLY-CAREER RESEARCH GRANTS.
(a) Purpose.--It is the purpose of this section to
authorize research grants in the Department of Defense for
early-career scientists and engineers for purposes of
pursuing independent research.
(b) Definition of Eligible Early-Career Researcher.--In
this section, the term ``eligible early-career researcher''
means an individual who--
(1) completed a doctorate or other terminal degree not more
than 10 years before the date of enactment of this Act and
has demonstrated promise in the field of science, technology,
engineering, or mathematics; or
(2) has an equivalent professional qualification in the
field of science, technology, engineering, or mathematics.
(c) Grant Program Authorized.--
(1) In general.--The Secretary of Defense shall award not
less than 25 grants per year to outstanding eligible early-
career researchers to support the work of such researchers in
universities, private industry, or federally-funded research
and development centers.
(2) Application.--An eligible early-career researcher who
desires to receive a grant under this section shall submit to
the Secretary of Defense an application at such time, in such
manner, and accompanied by such information as the Secretary
may require.
(3) Special consideration.--In awarding grants under this
section, the Secretary of Defense shall give special
consideration to eligible early-career researchers who have
followed alternative career paths such as working part-time
or in non-academic settings, or who have taken a significant
career break or other leave of absence.
(4) Duration and amount.--A grant under this section shall
be 5 years in duration. An eligible early career-researcher
who receives a grant under this section shall receive
$100,000 for each year of the grant period.
(5) Use of funds.--An eligible early career-researcher who
receives a grant under this section shall use the grant funds
for basic research in natural sciences, engineering,
mathematics, or computer sciences at a university, private
industry, or federally-funded research and development
center.
(6) Authorization of appropriations.--There are authorized
to be appropriated to carry out this section--
(A) $2,500,000 for fiscal year 2007;
(B) $5,000,000 for fiscal year 2008;
(C) $7,500,000 for fiscal year 2009;
(D) $10,000,000 for fiscal year 2010; and
(E) $12,500,000 for fiscal year 2011.
SEC. 502. AUTHORIZATION OF APPROPRIATIONS FOR THE DEPARTMENT
OF DEFENSE FOR BASIC RESEARCH.
There is hereby authorized to be appropriated for the
Department of Defense for basic (6.1) research, amounts for
the research, development, test, and evaluation accounts of
the Department, and for other accounts of the Department
providing funding for such research, in the aggregate as
follows:
(1) $1,616,000,000 for fiscal year 2007.
(2) $1,778,000,000 for fiscal year 2008.
(3) $1,995,000,000 for fiscal year 2009.
(4) $2,151,000,000 for fiscal year 2010.
(5) $2,364,000,000 for fiscal year 2011.
(6) $2,602,000,000 for fiscal year 2012.
(7) $2,862,000,000 for fiscal year 2013.
____
S. 2199
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Protecting America's
Competitive Edge Through Tax Incentives Act of 2006'' or the
``PACE-Finance Act''.
SEC. 2. EXPANSION OF CREDIT FOR RESEARCH AND DEVELOPMENT.
(a) Credit Made Permanent.--
(1) In general.--Section 41 of the Internal Revenue Code of
1986 (relating to credit for increasing research activities)
is amended by striking subsection (h).
(2) Conforming amendment.--Paragraph (1) of section 45C(b)
of such Code is amended by striking subparagraph (D).
(3) Effective date.--The amendments made by this subsection
shall apply to amounts paid or incurred after the date of the
enactment of this Act, in taxable years ending after such
date.
(b) Credit Rate Doubled.--Paragraphs (1) and (2) of section
41(a) of the Internal Revenue Code of 1986 is are each
amended by striking ``20 percent'' and inserting ``40
percent''.
(c) New Regulations and Guidelines Authorized.--The
Secretary of the Treasury shall issue such regulations or
guidelines as are necessary--
(1) to provide uniform conduct of tax audits relating to
the credit under section 41 of the Internal Revenue Code of
1986, and
(2) to reflect the changing impact of technology on the
character of research and development, such as use of
databases provided by external parties and the conduct of
research and development through joint ventures.
(d) Expansion of Credit to Expenses of General
Collaborative Research Consortia.--Section 41 of the Internal
Revenue Code of 1986 is amended--
(1) by striking ``an energy research consortium'' in
subsections (a)(3) and (b)(3)(C)(i) and inserting ``a
research consortium'',
(2) by striking ``energy'' each place it appears in
subsection (f)(6)(A),
(3) by inserting ``or 501(c)(6)'' after ``section
501(c)(3)'' in subsection (f)(6)(A)(i)(I), and
(4) by striking ``Energy research'' in the heading for
subsection (f)(6)(A) and inserting ``Research'' .
(e) Study of Further Expansion of Credit.--Not later than
180 days after the date of the enactment of this Act, the
Secretary of the Treasury shall study and make
recommendations in a report to the President, the Committee
on Finance of the Senate, and the Committee on Ways and Means
of the House of Representatives on the following possible
methods of expanding the scope of the credit under section 41
of the Internal Revenue Code of 1986:
(1) Modification of the credit to remove the incremental
approach of measuring creditable research and development
expenditures for taxpayers with significant and consistent
annual research and development expenditures.
(2) Expansion of qualifying research and development
expenditures to include--
(A) certain employee benefit costs related to qualifying
wages,
(B) 100 percent of contract research costs,
(C) all expenditures which would qualify for treatment
under section 174 of such Code,
(D) any other costs determined appropriate by the
Secretary.
(3) Reduction or elimination of limitation of credit under
section 280C(c) of such Code.
(f) Effective Date.--Except as otherwise provided, the
amendments made by this section shall apply to taxable years
beginning after December 31, 2005.
SEC. 3. UNITED STATES-BASED INNOVATION INCENTIVES STUDY.
(a) Study.--The Secretary of the Treasury, in consultation
with the Director of the Office of Management and Budget,
shall conduct an analysis of the United States tax system and
its effect on this country as a location for innovation
investment and related activities. The analysis shall include
a comparison of the tax policies of other nations relating to
long-term innovation investment and an examination of various
features of the United States tax system, including--
(1) the treatment of capital gains, including the
appropriate rate for very long-term investments or the
appropriate allowance for loss write-offs,
(2) the overall corporate tax rate, and
(3) incentives for high-tech manufacturing and research
equipment through tax credits and accelerated depreciation.
(b) Report.--Not later than 180 days after the date of the
enactment of this Act, the Secretary of the Treasury shall
report on the study and analysis described in subsection (a)
to the President, the Committee on Finance of the Senate, and
the Committee on Ways and Means of the House of
Representatives.
SEC. 4. EMPLOYEE CONTINUING EDUCATION TAX CREDIT.
(a) In General.--Subpart D of part IV of subchapter A of
chapter 1 of the Internal Revenue Code of 1986 (relating to
business related credits) is amended by adding at the end the
following new section:
``SEC. 45N. EMPLOYEE CONTINUING EDUCATION CREDIT.
``(a) Amount of Credit.--
``(1) In general.--For purposes of section 38, the employee
continuing education credit determined under this section
with respect to any employer for any taxable year is the
applicable percentage of qualified continuing education costs
paid or incurred by the employer during the calendar year
ending with or within such taxable year.
``(2) Applicable percentage.--For purposes of this section,
the applicable percentage is the percentage determined by the
Secretary such that the amount of the credit allowable under
this section for any calendar year does not exceed
$500,000,000.
``(b) Qualified Continuing Education Costs.--For purposes
of this section, the term `qualified continuing education
costs' means costs paid or incurred by an employer for
education to maintain or improve knowledge or skills in
science or engineering of an employee whose employment
requires knowledge or skills in science or engineering.
``(c) Regulations.--The Secretary may prescribe such
regulations as may be necessary or appropriate to carry out
the purposes of this section, including regulations
establishing standards for educational courses and programs
to which this section applies.''.
(b) Credit Made Part of General Business Credit.--Section
38(b) of the Internal Revenue Code of 1986 is amended by
striking ``and'' at the end of paragraph (25), by striking
the period at the end of paragraph (26) and inserting ``,
and'', and by adding at the end the following new paragraph:
``(27) the employee continuing education credit determined
under section 45N(a).''.
(c) Denial of Double Benefit.--Section 280C of the Internal
Revenue Code of 1986 is amended by adding at the end the
following new subsection:
[[Page S225]]
``(e) Employee Continuing Education Credit.--No deduction
shall be allowed for that portion of the expenses otherwise
allowable as a deduction for the taxable year which is equal
to the amount of the credit determined under section
45N(a).''.
(d) Clerical Amendment.--The table of sections for subpart
D of part IV of subchapter A of chapter 1 of the Internal
Revenue Code of 1986 is amended by adding at the end the
following new item:
``Sec. 45N. Employee continuing education credit.''.
(e) Effective Date.--The amendments made by this section
shall apply to costs paid or incurred in taxable years
beginning after December 31, 2005.
Mr. BINGAMAN. Mr. President, I rise today to introduce the Protecting
America's Competitive Edge (PACE) Act that will enable us to build on
our existing strengths to help secure America's continued economic
prosperity in the twenty-first century.
I want to gratefully acknowledge at the outset that I am introducing
this legislation with Senator Domenici, Senator Alexander, Senator
Mikulski, and others. This measure is the product of our combined best
efforts from both sides of the aisle, and our sole focus has been only
on what is in the best interests of the Nation as a whole.
For the last 200 years, our investments in science and technology,
both public and private, have driven our economic growth and improved
the quality of life in America. They have generated new knowledge and
new industries, created new jobs, ensured economic and national
security, reduced pollution and increased energy efficiency, provided
better and safer transportation, improved medical care, and increased
living standards for the American people.
America's scientists and engineers through their unmatched vitality,
creativity, and curiosity have helped us not only imagine but invent
the future. In large measure, their contributions have made this new
century before us so full of promise--molded by science, shaped by
technology, and powered by knowledge.
One of the bedrock policies of our Nation's economic security must be
to sustain our investments in science and technology. Today there is no
dispute that science, and the technology that flows from it, is duly
recognized as the piston that drives the economic engine that enriches
the quality of our lives.
Yet today our preeminence is precarious.
Numerous thoughtful leaders in government, industry, and academia who
are concerned about sustaining U.S. leadership across the frontiers of
scientific knowledge are expressing growing uneasiness over troubling
trends regarding the Nation's future prosperity. They warn we are
slipping in our world leadership role in science and engineering, and
losing sight of the importance of long-term investments in creating the
conditions of prosperity.
Other nations are coming up fast behind us on the scientific track
and are pouring resources into their scientific and technological
infrastructure. There is the distinct possibility that U.S.
competitiveness in key high-tech areas will fall behind the major
Pacific Rim countries of India, China, Taiwan, and South Korea.
Moreover, the focus of our fundamental R&D has shifted away from the
physical sciences, mathematics, and engineering--the critical areas of
R&D most closely correlated with innovation and economic growth.
Many of our foremost research programs that have been curtailed or
cut back in recent years have been the cornerstone for much of our
economic progress and spurred the creation of high paying jobs. Budget
increases have been disproportionately concentrated primarily in two
departments--Defense and Homeland Security--leaving other vital R&D
agencies with very modest increases, or with an increase for some
agencies offset by flat funding, or cuts in others.
In the name of national security, we have been building a swaying
tower of insecurity.
We are on the brink of a new industrial and commercial world order.
The reality of the twenty-first century global economy is that China,
India, and other nations once considered economic backwaters have
discovered how to build strong economies around very sophisticated
technology.
On the Pacific Rim, China has increased spending on colleges and
universities almost tenfold in the last decade, and is doubling the
proportion of GDP invested in that same period on R&D to promote
competitiveness and growth. India is raising its funding of science
agencies by 27 percent, and Japan is increasing its investments in life
science by 32 percent, while South Korea is upgrading research spending
by 8.5 percent.
As our share of the world's technical graduate workforce slips,
European and Asian universities are churning out ever greater numbers
of workers in scientific fields. And while young Americans may shy away
from technical careers because they perceive better opportunities in
other high-level occupations, there are still sufficient rewards to
attract ever-increasing numbers of foreign graduate students eager to
pursue science and engineering degrees.
All of these signs, granted, are a cause for concern. Yet none of
them, however, is a cause for panic. To state the facts frankly is not
to despair about the future, nor is it to indict the past. Our task
today is not to fix the blame for yesterday, but to set the proper and
prudent course for tomorrow.
These revolutionary changes in the global marketplace for highly
skilled technical workers are dislodging the long-standing dominance of
the U.S. scientific enterprise.
That is causing our comparative advantage in high tech production to
suffer and, despite the extraordinary power and resilience of our
economy, signals a lengthy and difficult period of adjustment for
American industry, its workforce, and ultimately our strong middle
class standard of living which makes this country great.
It also flags a pivotal moment in American history--a time of
national peril, as well as a time of national opportunity.
What should we do about these international challenges? We have
absolutely no choice but to emphasize what we do best in this coming
rivalry. Our most important strengths have always been education and
innovation. Our can-do spirit of commercializing technological
innovation has always been America's core competence. We do it far
better than anyone else--we have done it before, and we can continue to
excel at it.
Last May, Senator Lamar Alexander and I asked the National Academy of
Sciences to conduct a study to identify ``specific steps our government
should take to ensure the preeminence of America's scientific and
technological enterprise to enable us to successfully compete, prosper,
and be secure in the global community of the 21st century.''
The Academy assembled an extraordinarily distinguished panel of
America's best scientific minds, including three Nobel Prize winners,
business executives, and university leaders and reported their findings
back to us in October in a sobering report entitled, Rising Above the
Gathering Storm.
The National Academy's report proposes four broad recommendations: 1.
Increase America's talent pool by vastly improving K-12 science and
mathematics education; 2. sustain and strengthen the Nation's
traditional commitment to long-term basic research; 3. make the United
States the most attractive setting in which to study and perform
research; and 4. ensure that the United States is the premier place in
the world to innovate.
First and foremost, we need to fix our math and science education
system from kindergarten through high school. We should establish a
merit-based, 4 year undergraduate scholarship program to annually
recruit 10,000 students per year to careers teaching math and science
who then commit to working for at least 4 years in K-12 public schools.
Using incentives and scholarships, our aim should be to quadruple the
number of America students enrolled in advanced math and science
courses to four and a half million by 2010.
A U.S. high school student has about a 70 percent chance of being
taught English by a teacher with an English degree, but only a 40
percent chance of being taught chemistry by a teacher with a degree in
chemistry. And the situation is worse for middle school students: 70
percent of them are taught math by a teacher lacking a certificate or
major in math.
It takes many years to educate a citizen. There are no short term
solutions
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to this problem, and workforce issues rarely respond to quick fixes and
often span generations.
That is why there is such a sense of urgency to recruit thousands of
new math and science teachers in the years ahead through the award of
competitive scholarships. Additionally, we must strengthen 250,000
current teachers' math and science teaching skills with
enhanced training and education by leveraging the expertise of the
world's best physicists, mathematicians, and engineers to help provide
that training.
This legislation will also provide greater opportunities for students
to take advanced math and science classes by increasing the number of
students who enroll in Advanced Placement and International
Baccalaureate science and math courses.
Second, we must steadily increase our investment by 10 percent each
year for the next 7 years in long-term basic research, with special
attention devoted to the physical sciences, engineering, mathematics,
and information sciences.
The Federal Government supports a majority of the Nation's basic
research and nearly 60 percent of the R&D is performed in U.S.
universities. At the same time, this investment at universities and
colleges plays a key role in educating the next generation of
scientists and engineers and a technically skilled workforce. We ought
to provide 200 new research grants annually--worth $500,000 each
payable over 5 years--to the Nation's most outstanding early-career
researchers.
Additionally, we should consider creating a revolutionary agency in
the Energy Department modeled on the highly successful Defense Advanced
Research Projects Agency to sponsor research to meet the Nation's long-
term energy challenges that industry by itself cannot or will not
support.
Just as Olympic-caliber athletes need the finest equipment and
training protocols to triumph in their events, so do scientists,
engineers and their students need the most modern research instruments
and facilities with the best capabilities, the farthest reach, and the
finest accuracy and resolution. To enable us to push beyond the
frontiers of our current knowledge, we should create a centralized
research infrastructure fund of $500 million annually over the next 5
years to ensure we have the equipment necessary for breakthrough
scientific discoveries.
Third, we must increase the number of U.S. citizens earning science,
engineering, and math degrees. We must redouble our efforts to
encourage gifted young American men and women to pursue these high tech
disciplines which require so much from them and which have so much to
offer all of our people. We can do so by providing annually 25,000
competitive undergraduate scholarships in physical sciences,
engineering, and mathematics, and fund 5,000 new portable graduate
fellowships in those fields.
Equally important, we need a global recruitment strategy to attract
the best and brightest to learn and live in America as part of our high
tech workforce. Our visa, immigration and export control policies
desperately need reform. Delays and difficulties in obtaining visas to
the U.S. are contributing to a declining in-flow of scientific talent.
We need to ensure the best and brightest come here, stay here, and
obtain legal residency after college to contribute to our national
economy instead of being forced back to their home countries to compete
against us.
Finally, we need to be able to assure investors that the U.S. is the
preferred site for investments in new or expanded businesses that
create the best jobs and provide the best services.
To spur U.S.-based research and experimentation to meet global
competition, we need to modernize the patent system, realign our tax
policies to encourage long-term investments in innovation, and ensure
the Nation meets the goal of affordable broadband Internet access by
2007.
Our patent laws must also be reformed by moving to a first-to-file
instead of a first-to-invent, thus bringing us into line with the rest
of the world while reducing expensive litigation. Infrastructure
planning grants and loan guarantees could also ensure that U.S. science
parks are competitive with those throughout Asia.
Additionally, we should eliminate uncertainty by doubling the R&D tax
credit and making it permanent. Studies document that this tax credit
encourages as much R&D spending as it costs in foregone revenue--and
perhaps even twice that amount over the long haul.
We face a competitive challenge of historic proportions today due to
several new factors: The growing number of countries with advanced
skills, multinational corporations placing their R&D centers, fueled by
high education and low labor costs, wherever the profits are the
greatest, and virtually every service being electronically
communicable.
It will be difficult to ever match our populous economic competitors
in the quantity of their scientists and engineers. Ours is an even
tougher task: to stay far ahead in the quality of our research and to
keep pioneering scientific fields so cutting edge that others, for the
most part, cannot duplicate them.
We can readily meet this challenge and enjoy a prosperous future,
even though these investments in education and research require
incurring costs now for benefits later.
The PACE Act will sustain our vibrant science and technology sector
and with it our well-being, health, environment, and security.
It will encourage education at home and attract talented scientists
and engineers from abroad, as well as nurture a business environment
that transforms new knowledge into new opportunities for creating high
quality jobs and reaching shared goals.
The passage of this farsighted public investment program will ensure
that the United States is stronger, smarter, and leads the world in
scientific and technological innovation in the twenty-first century.
Mr. ALEXANDER. Mr. President, today I join with Senators Domenici,
Bingaman, Mikulski, and more than 25 other senators, in introducing the
Protecting America's Competitive Edge (PACE) Act--a package of three
bills to enhance American brainpower.
America is now playing in a tougher league. China and India are
competing for our jobs. The best way to keep those jobs in America is
to maintain our brainpower edge in science and technology.
The story of this bill really began last May, when Senator Jeff
Bingaman and I, with the encouragement of Senate Energy Committee
Chairman Pete Domenici, asked the National Academies this question:
``What are the ten top actions, in priority order, that Federal policy
makers could take over the next decade to help the United States keep
our advantage in science and technology?''
To answer the question, the Academies assembled a distinguished panel
of business, government, and university leaders headed by Norm
Augustine, former CEO of Lockheed Martin, that included three Nobel
Prize winners. They took our question seriously. We asked them for 10
recommendations; they gave us 20 when they released their report in
October.
In October, the Energy Committee held a hearing to learn more about
those recommendations from Mr. Augustine and the Academies. It was the
first opportunity Congress had to hear the Academies' answer to our
question.
Following those hearings, Chairman Domenici, Senator Bingaman, and I
convened a series of ``homework sessions'' with members of the
Academies, outside experts, and some officials in the Administration.
These off-the-record sessions allowed Senators and Administration
officials to grapple with the Academies' recommendations and consider
how best to implement them.
Last November, Norm Augustine led a dinner discussion hosted by
Senator Frist with about 30 Senators on the report's recommendations
right here in the Capitol. And then, in December, Senators Domenici,
Bingaman, and I met with President Bush where he graciously listened to
our ideas. The President was very engaged and knew these issues well.
Now, as the Senate begins its session for the year, we are
introducing this legislation to implement the recommendations of the
Augustine Report. Next week, when the President addresses the nation in
his State of the Union address, it is my hope that he will make this a
focus of the address and his remaining three years in office.
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This bill is all about brainpower and the relationship of brainpower
to good American jobs.
The United States produces more than 25 percent of all the wealth in
the world (in terms of GDP)--but has only 5 percent of the world's
population. We are a fortunate country indeed. The Academies explain
this phenomenon in this way: ``. . . as much as 85 percent of measured
growth in U.S. income per capita is due to technological change.''
This technological change is the result, in the report's words, of an
outpouring ``of well trained people and the steady stream of scientific
and technological innovations they produce.''
Most of this good fortune comes from the American advantage in
brainpower: an educated workforce, and our technological innovation.
The United States has the finest system of colleges and universities on
earth, attracting more than 500,000 of the brightest foreign students.
No country has national research laboratories to match ours. Americans
have won the most Nobel prizes in science and registered the most
patents. We have invented electricity, the computer chip, and the
internet.
As one scientist noted, we don't have science and technology because
we're rich. We're rich because we have science and technology.
Yet we worry that America may be losing its brainpower advantage.
American experts who travel to China, India, Finland, Singapore,
Ireland, and elsewhere come home saying, ``Watch out.''
The Augustine Report found that we are right to be worried: Only 6
percent of American college-age students earn degrees in the natural
sciences or engineering, trailing students in China and India and a
dozen other countries, many of which have doubled or tripled their
degree output over the last decade. For the cost of one chemist or
engineer in the United States, a company can hire five chemists in
China or 11 engineers in India. China is spending billions to recruit
the best Chinese scientists from American universities to return home
to build up Chinese universities.
The report also found signs that we are not keeping up: U.S. 12th
graders performed below the average of 21 countries on tests of general
knowledge in math. In 2003 only three American companies ranked among
the top 10 recipients of new U.S. patents. Of 120 new chemical plants
being built around the world with price tags of $1 billion or more, one
is in the United States and 50 are in China.
To maintain America's global leadership in research and development,
the Augustine Report made twenty wide-ranging and urgent
recommendations for U.S. schools, universities, research, and economic
policy that include: Recruit 10,000 new science and math teachers with
4-year scholarships and train 250,000 current teachers in summer
institutes. Create a new coordinating office to manage a centralized
research infrastructure fund of at least $500 million per year. Provide
30,000 scholarships and graduate fellowships for scientists. Increase
federal funding for basic research in the physical sciences by 10
percent a year for 7 years. Give American companies a bigger research
and development tax credit so they will keep their good jobs here
instead of move them offshore. Create a new agency in the Department of
Energy modeled on the Defense Advanced Research Projects Agency to
conduct breakthrough R&D, that will lessen our dependence on foreign
sources of energy.
Some may wince at the price tag--$9 billion in the first year, and
then it edges upward over the full seven year period. I believe the
cost is low, relative to the benefits. Maintaining America's brainpower
advantage will not come on the cheap.
This year, one third of State and local budgets go to fund education.
More than 50 percent of American students have a Federal grant or loan
to help pay for college. The Federal Government spends nearly $30
billion per year on research at universities and another $34 billion to
fund 36 national research laboratories.
Just last year, Congress spent $85 billion to fight the war in Iraq,
$71 billion for hurricane recovery, and $352 billion to finance the
national debt. If we fail to invest the funds necessary to keep our
brainpower advantage, we'll not have an economy capable of producing
enough money to pay the bills for war, social security, hurricanes,
Medicaid, and debt.
The legislation we are introducing today has strong bipartisan
support. It is our hope President Bush will make it a focus of his
State of the Union Address and of his remaining 3 years in office--and
that future candidates for president will make it the center of their
campaigns. Aside from our national security, there is no greater
challenge than maintaining our brainpower advantage so we can keep our
good paying jobs and strengthen our economy. That is the surest way to
keep America on top.
I hope my colleagues will join us in this critical effort to protect
America's competitive edge.
Ms. MIKULSKI. Mr. President, I'd like to thank my colleagues: Senator
Pete Domenici, Senator Jeff Bingaman and Senator Lamar Alexander for
their effort in moving this issue. I am so proud of our great
bipartisan team. I can't say enough about the appreciation that many of
us in the Senate feel about their initiation of the report, ``Rising
Above the Gathering Storm,'' which is the basis for our legislation,
the PACE Act.
America must remain an innovation economy. This legislation creates
the building blocks that we need for a smarter America. Our Nation is
in an amazing race--the race for discovery and new knowledge. The race
to remain competitive and to foster an innovation society, to create
new ideas that lead to new breakthroughs, new products and new jobs.
The innovations that have the power to save lives, create prosperity
and protect the homeland. The innovation to make America safer,
stronger and smarter.
Our legislation is called ``Protecting America's Competitive Edge''
Act or PACE. It is divided into 3 sections: Energy, Education and Tax.
It calls for: getting new ideas by doubling Federal funding for basic
research in the Department of Energy with special attention going to
physical sciences, engineering, math and information sciences; getting
the best minds with scholarships for future math and science teachers
including $20,000 scholarships from the National Science Foundation
(NSF) for undergraduate students majoring in math or science along with
teacher certification; visa reform for foreign science and math
students so the best and brightest can stay here, creating a new
student visa for doctoral students studying math and science so they
can stay in the U.S. longer; and an extension of the R & D tax credit,
doubling the current R & D credit, from 20 percent to 40 percent,
expanding the credit to cover all research--since current law only
allows credit for energy research.
Why is this so important? Because a country that doesn't innovate,
stagnates. The whole foundation of American culture and economy is
based on the concept of discovery and innovation. That's part of our
culture. When you look at what has made America a superpower, it's our
innovation and our technology. We have to look at where the new ideas
are going to come from that are going to generate the new products for
the 21st century.
I want America to win the Nobel prizes and the markets. This
legislation will help to set the framework. It will make sure that
we're helping our young people with scholarships and new visas, and
helping our science teachers and those working in science with funding
and research opportunities. We also are forming partnerships with the
private sector, and building an innovation-friendly government.
This is so important to me and I'm going to use my committee
responsibility and my work and expertise in the United States Senate to
make it happen. Whether it's my position on the HELP Committee, working
to pass the education piece, or in my seat as an appropriator and Vice
Chair on the subcommittee that funds Science. I will work to make sure
that there is money in the federal checkbook to support these important
proposals.
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