OFFICE OF GOVERNMENT RELATIONS
Legislation and Policy Report
June 2008
WASHINGTON, D. C.
Prior to adjourning for a week-long Independence Day recess Congress approved the FY2008 Supplemental Appropriations measure, began to address FY2009 appropriations bills, and extended the current Higher Education Act for another month.
Back to index
Budget and Appropriations:
FY2008 Supplemental Appropriations –The bipartisan compromise was negotiated with the White House but the Senate was not included in the discussions. House and Senate Democratic leadership signaled that they may pursue another supplemental appropriations bill later this year. The supplemental includes funding for the Iraq and Afghanistan wars through the end of 2008 with several other domestic funding provisions including additional dollars for federal R&D agencies in their FY2008 budgets.
The bill provides a total of $400 million for the science agencies including $150 million for NIH and $62.5 million each for NSF, DOE OS and NASA. The legislation also includes $62.5 million for DOE environmental management. The NSF allocation directs $22.5 million for Research and Related Activities, of which $5 million is set aside for several programs authorized by the America COMPETES Act and the remaining $40 million for Education and Human Resources. The NASA dollars are directed to Science, Aeronautics and Exploration.
The science funding is provided on an emergency basis. It is, therefore, considered a one-time appropriation that does not increase the spending baseline for the future.
The bill also contains increased veterans’ education benefits, an extension of unemployment benefits, disaster funding for recent tornadoes and flooding in the Midwest, and funding for other priorities. While not all spending will be offset, the Defense component of the bill was cut by $3.6 billion to help pay for non-defense elements in the measure.
FY2009 Budget Resolution – Congress approved the FY09 budget resolution (S. Con. Res. 70), which provides guidance for Congressional tax and spending policies for the next fiscal year. It is not signed into law by the president and is not binding.
The conference report assumes $21 billion more in discretionary spending in FY09 than the President’s request. According to CQToday, “Congressional Democrats admit their budget blueprint will serve mostly as a placeholder until the new president and new Congress are elected. They do not plan to tackle major spending or tax issues this year.”
FY2009 Appropriations bills – With final approval of the FY09 Budget Resolution, the House and Senate Appropriations Committees are moving ahead to schedule markups in their respective 12 subcommittees. The schedule:
Subcommittee House Senate
Agriculture June 10 July 17
Commerce/Justice /State June 12 June 19
Defense July 16 July 24
Energy/Water June 17 July 10
Homeland Security June 11 June 19
Interior June 11 June 26
Labor/HHS/Education June 19 June 26
Legislative Branch June 20 July 24
Mil Con/VA June 12 July 17
Foreign Ops/State July 16 July 17
Transportation/HUD June 20 July 10
These are very aggressive schedules and subject to change. It is expected that very few appropriations measures, if any, will receive floor votes in either chamber.
The Senate Appropriations Committee approved the 302(b) allocations for the 12 appropriations bills. The Senate spending totals $1 trillion, the same as the House total, which is $21 billion above the President’s FY09 budget and $72 billion above the FY08 enacted level. Overall, the Committee would provide $373 billion for domestic programs.
Commerce/Justice/State - The House Appropriations Committee approved the Commerce/Justice/State subcommittee’s mark-up its FY09 funding bill, providing near to the President’s request for the National Science Foundation (NSF) and additional funds for NASA. NSF would be funded at $6.9 billion with the President requesting $6.85 billion. NASA would receive $17.8 billion, which is approximately $200 million above the President’s request.
The Senate Appropriations Committee approved the FY09 Commerce/Justice/State funding bill. It provides $6.9 billion for NSF and the same level as the House bill. NASA would receive $17.8 billion with the Science Mission Directorate receiving $4.5 billion, which is $226 million above the President’s request. The additional dollars would be distributed as follows:
- $72 million for Earth Science.
- $76.7 million for Planetary Science.
- $21.6 million for Astrophysics, primarily for increases to Hubble and James Webb Space Telescope.
- $56 million for Heliophysics, primarily for Living with a Star and Solar Terrestrial Probes.
Interior - The House Interior subcommittee voted to fund the National Endowment for the Humanities (NEH) at $160 million. This represents an increase of $15.6 million or 10.8 percent above the Administration’s FY09 request and $15.3 million above FY08 funding. The National Endowment for the Arts (NEA) was funded at $160 million also.
Labor/HHS/Education -The House subcommittee on Labor/HHS/Education marked up its bill and includes $30.4 billion for NIH, a $1.5 billion increase over FY08. The legislation retains the annual $300 million transfer from NIH to the AIDS Global Fund that has been included in recent bills. The NIH budget also includes:
- $192 million for the Children’s Study, an increase of $81 million over FY08.
- $544 million to the Office of the Director for the Common Fund.
- Makes permanent and mandatory the FY08 provision on public access to NIH-funded research.
The measure would increase the maximum Pell Grant by $169. The Administration requested a $100 increase. The maximum grant for FY08 is $4,731, which includes $490 from mandatory funds under budget reconciliation enacted last year. With additional discretionary funds under the legislation the maximum Pell Grant would rise to $4,900 of which $4,410 would come from appropriated discretionary funds and $490 would come from mandatory funds.
The Senate Appropriations Committee approved its FY09 Labor/HHS/Education bill. The measure provides less funding for research and student aid than the bill approved by the House Labor/HHS/Education subcommittee. The Senate bill would allocate $30.25 billion to NIH, which is a $1.025 billion increase over FY08. The Committee report states that the funding would enable the agency to keep up with biomedical research inflation and fund an estimated 10,471 new competitive awards. The bill matches the House version in the permanent transfer of $300 million to the AIDS Global Fund and $192 million for the Children’s Study. Its allocation to the Office of the Director for the Common Fund is $568 million, which is higher than the House version.
The Senate bill provides less funding for Pell Grants than the House. Its version would increase the maximum Pell Grant by $69, which is $100 less than the House.
Energy & Water – The House Appropriations Committee approved its version of the FY09 Energy & Water funding bill, endorsing the decision by the panel’s subcommittee to add $140 million to the President’s FY09 request for the Department of Energy Office of Science (DOE OS). The increase would raise the Office of Science budget to $4.9 billion, which is $844 million above the FY08 enacted level. The bill would include:
- Advanced Energy - $862 million ($26 million above the President’s request and $365 million above FY08) for basic research to address scientific barriers to advancing technologies for energy generation and storage such as fusion energy and advanced batteries. This includes $100 million for approximately 24 Energy Frontier Research Centers targeted at addressing a broad array of breakthrough energy research avenues; and $15 million to establish an Advanced Research Project Agency –Energy (ARPA-E).
- New Tools and Facilities for Energy Research - $2.3 billion ($85 million above the President’s request and $531 million above FY2008) for accelerating construction and operation of cutting edge facilities and infrastructure critical for enabling new generation of advanced energy research.
- Climate Change Research - $160 million ($5 million above President’s request and $23 million over FY08) for climate change research including advanced computer modeling.
Although the Senate Appropriations Committee is moving forward with consideration of its FY09 appropriations bills, a contentious session of the House Appropriations Committee in late June may have delayed House action indefinitely. House Appropriations Committee Chairman David Obey (D-WI) has refused to commit to further mark-ups or to take any of the FY09 funding bills to the House floor saying that the appropriations process may be over the year.
Back to index
Health and Human Services:
FDA – FDA Commissioner Andrew von Eschenbach has asked Congress for $275 million in additional agency funds to strengthen food and drug inspections. The White House has announced that it agrees with the suggested budget boost, which would represent an 18 percent increase over current levels.
Back to index
Higher Education:
Congress approved another one-month extension of the Higher Education Act to provide additional time for House and Senate negotiators to complete the conference on the HEA reauthorization. The extension authorizes HEA programs through July 31.
Back to index
Homeland Security:
Visas - The Association of American Universities, the American Council on Education, and the National Association of State Universities and Land Grant Colleges have submitted comments to the Department of Homeland Security (DHS) that express concerns about the Department’s interim final rule governing extension of Optional Practical Training (OPT) for certain non-immigrant students. OPT is a period during which undergraduate and graduate students in F-1 non-immigrant status who have completed their degrees or have been pursuing their degrees for more than nine months are permitted to work in an area complementary to their degree program for one year on a student visa without an H-1B work visa.
The Associations’ letter thanks the Department for extending OPT from 12 to 29 months but expresses concern that the extension is limited to degree holders in the fields of science, technology, engineering and mathematics; that the rule limits the extension to students employed by employers enrolled in the e-Verify system; and that it imposes administrative and financial burdens on the university community to implement the program changes proposed in the rule.
DHS classification – A Homeland Security subcommittee has marked up several bills to address how the Department of Homeland Security (DHS) addresses unclassified and “sensitive but unclassified” information. HR 4806 – Reducing Over-Classification Act – would require the DHS Secretary to establish a strategy “to prevent the over-classification of homeland security” information. H.R. 6193 – improving Public Access to Documents Act of 2008 – would require DHS to implement a new framework for maximizing public access to unclassified information.
Back to index
Immigration:
Despite recent statements by federal officials encouraging foreign students and visitors to come to the US to study, it was revealed recently that US consulates are charging individuals who call to inquire about visas, including student visas, for their telephone calls. Charges range from a flat rate of about $14 in Chile and $23 in Brazil to $1.28 per minute in Hong Kong and $2.36 per minute in Italy. In Japan, even a reply to an e-mail incurs a charge of about $20. A UCLA study of perceptions of international students and scholars in the US reported in Inside Higher Education uncovered many complaints from respondents about the costs of calling State Department hotlines about non-immigrant visa applications. The State Department pointed out that it is required by law to cover costs associated with non-immigrant visa applications.
Back to index
Intellectual Property:
AAU and the National Association of State Universities and Land-Grant Colleges (NASULGC) sent a letter on June 18 to the House Judiciary Committee on H.R. 5889, the Orphan Works Act of 2008. H.R. 5889 has been marked up in the Courts, the Internet, and Intellectual Property Subcommittee and awaits markup in full committee. In the Senate, the comparable bill is S. 2913, The Shawn Bentley Orphan Works Act of 2008. The Senate bill has been marked up by the Senate Judiciary Committee and could go to the floor soon.
The AAU/NASULGC letter expresses the strong support of universities for efforts to develop an effective, balanced program for using orphan works, copyrighted works whose owners cannot be found. The letter notes that the framework of H.R. 5889 balances the importance of making orphan works available against the interests of copyright owners in not having their works inappropriately categorized as orphan works. The letter identifies three issues of concern in the proposed legislation:
• The current requirements or “best practices” for a qualifying search are overly burdensome. The letter states that they must be sufficiently flexible to accommodate search processes appropriate to universities and other nonprofit entities. Search requirements that are unreasonably burdensome will preclude effective use of the program by universities. Legislative language defining diligent but flexible search procedures is attached to the letter.
• The Notice of Use filing requirement would be extremely costly and burdensome without significant benefit to copyright owners, and universities should not be subjected to such a requirement.
• For public universities, certain provisions of the legislation need to be modified to clarify that these institutions can participate in the orphan works program under terms comparable to those applying to other entities without having to waive state sovereign immunity, which most public universities are not free to do; language providing such clarification is attached to the letter.
The Senate bill is similar or identical to the House bill in most respects but it improves the legislation by omitting a Notice of Use filing requirement.
Back to index
NASA:
Reauthorization – During the week of June 9 the House began debate on the NASA FY09 reauthorization bill (H.R. 6063). A provision directing the President’s Office of Science and Technology Policy (OSTP) to undertake a study of federal export controls is included in the measure.
Back to index
National Institutes of Health:
Peer Review – The Working Group of the Advisory Committee to the NIH Director on NIH Peer review reported and forwarded recommendations to NIH at the Advisory Committee meeting on June 6. The recommendations of the Working Group will be used by Ad Hoc peer Review Task Force charged to develop detailed plans and begin initial implementation. The recommendations will not be effective until the work of the Ad Hoc Group is announced to the community.
The final recommendations focus on the quality and transparency of the reviews with notable changes in the application process itself. For applicants, the Working Group recommends a shorter application – 12 pages for R01s with other funding mechanisms’ applications scaled appropriately. The structure of the application would be changed to match the recommended explicit review criteria and appendices would be limited to eight pages and used to address specific information needed for review.
The explicit review criteria would focus less on methodological detail and more on scientific impact. The Working Group recommends five criteria: impact, investigator(s), innovation/originality, project plan/feasibility and environment. Reviews and the resulting summary statements would be aligned with explicit review criteria providing a more useful indication of the wisdom of resubmissions.
The Self-Study discussion of a required minimum (20 percent) effort by investigators was not recommended. The Working Group proposes a subfield in the Environment section of the application for applicants to indicate if they have or project having NIH research project grant support in excess of $1 million at the time the current application would be funded. If yes, the applicant would be required to justify the need for additional resources.
For peer reviewers the Working Group makes a number of recommendations including flexible service commitments, flexible application submission deadlines for reviewers, compensation for sustained service, and additional training. The rating system would be streamlined and NIH would explore a ranking system as well. Slides of the Working Group’s presentation are available at: http://enhancing-peer-review.nih.gov/calendar.html.
Back to index
Research:
American Academy of Arts and Sciences Report – A blue ribbon committee of the Academy has recommended that the nation increase its support for early career science faculty and encourage more “high-risk, high-reward, potentially transformative” research. The recommendations are described as priorities for federal science funding agencies, to be applied regardless of fluctuations in available funding. According to the authors of the report many science and technology funding agencies have become “overly conservative, shying away from high-risk, high-reward research and thus limiting the prospects of achieving breakthrough results with the potential to transform a field.” For additional information go to: http://www.amacad.org/ariseFolder/default.aspx
Conflict of interest – An investigation by Senator Charles Grassley (R-IA) has indicated that some Harvard psychiatrists may have violated federal and university conflict-of-interest policies by not properly reporting their consulting payments from drug companies.
Human subjects – The Office of Human Research Protections (OHRP) is requesting public comment on whether it should require universities to “implement training and education programs” for investigators, staff, certain administrators, and members of institutional review boards (IRBs). The solicitation was published in the July 1 Federal Register. The OHRP notice states that the current rules that strongly recommend training have not resulted in sufficient education regarding the rules governing human subjects research, and that this lack of adequate training has been responsible for non-compliance with those rules at many institutions. The notice does not identify the institutions where OHRP found significant non-compliance with the rule. Since 2000 the National Institutes of Health (NIH) has required only that “key personnel” – those responsible for design and conduct of research studies involving human subjects – receive such training. In its notice, OHRP asks for comment on whether the better remedy for non-compliance would be to issue additional guidance recommending training or to develop a regulation requiring the implementation of such training and education programs. The deadline for comments is September 29, 2008.
Robert Wood Johnson Foundation – The Foundation announced a new $300 million commitment to an existing initiative that will begin addressing health care disparities in specific regions across the U.S. The expansion of the project, “Aligning Forces for Quality,” is supported by new research conducted by the Dartmouth Institute for Health Policy and Clinical Practice that found dramatic differences in the quality of healthcare received by Medicare beneficiaries based on race and geographical location. For information go to: http://www.rwjf.org/newsroom/product.jsp?id=30951
Back to index
Taxes:
The Senate will try to approve the tax extenders bill (H.R. 6049) after Senate leaders failed to reach the 60 votes needed to invoke cloture and move to consideration of the bill. At issue is Republican Senators’ opposition to including revenue-raising offsets in the package. A similar disagreement blocked approval of an extenders bill in 2007. According to reports from Capitol Hill Senate Democratic leaders hope that pressure from business groups and a threat by House Democratic leaders to kill the bill if it does not include offsets “will be enough to turn the tide.”
The measure would extend a number of expired and expiring tax provisions, including the tuition tax deduction, the IRA charitable rollover, and the research and development tax credit.
Back to index
Odds and Ends:
Climate Bill – The Senate debate on an amended version of the Lieberman/Warner climate change bill (H.R. 3036) failed to move after Senate Majority Leader Harry Reid’s (D-NV) attempt to limit debate failed, essentially killing further discussion on the measure.
On June 19 several Democratic members of the House Ways & Means Committee introduced yet another plan to control US greenhouse gas emissions using a cap-and-trade scheme. H.R. 6316 would reduce carbon emissions to 80 percent below 1990 levels by 2050. Bill supporters indicate that they intend to take their time in fine-tuning its provisions and expect it to reach mark-up in 2009.
Nanotechnology - The House voted to reauthorize the National Nanotechnology Initiative. The measure seeks to strengthen the federal focus on environmental, health and safety research on nanomaterials.
National Innovation Council – Senators Susan Collins (R-ME) and Hillary Clinton (D-NY) introduced legislation to create a National Innovation Council within the Executive Office of the President. The National Innovation and Job Creation Act of 2008 (S. 3078) implements recommendations made recently in a report by the Brookings Institution and the Information Technology and Innovation Foundation (ITIF) to consolidate and coordinate federal programs involved in innovation and economic development. The new Council would be responsible for “formulating and advocating” for the government’s innovation policy and for managing seven federal programs that would be transferred to its jurisdiction. The legislation would authorize funding for five research grant programs on innovation at the state level.
ADA Legislation – The House approved legislation to modify the American with Disabilities Act (ADA). Overall, H.R. 3195 seeks to address a series of Supreme Court decisions over the past decade that have narrowed the definition of disability. It represents a compromise worked out by committee staff with the employer and disability communities.
The bill includes two provisions of particular concern that would have negative and unintended consequences for academic programs at colleges and universities. The key issue for higher education is that the bill would expand the list of individuals who qualify as disabled to include those who are substantially limited in the major life activities of “thinking “and “concentrating.” The bill would reject previous court decisions that require “substantially” and “major” to be interpreted strictly. These changes are particularly problematic for colleges and universities because the abilities to think and concentrate are exactly what students are expected to improve as a result of their educational activities on which institutions evaluate students.
A second provision would add “learned behavioral or adaptive neurological modifications” to the list of mitigating measures that may not be considered in determining if an individual is disabled under ADA. This means that students who managed without accommodations before college could still claim to need accommodation in college, because the student’s previous study habits would be considered a learned behavior that mitigated the disability.
Back to index
THE BUCKEYE STATE
The General Assembly completed work on the Jobs Stimulus and FY2009-2010 Biennial Capital Budget bills prior to recessing for the summer. Members are not expected to return until the second week in September at the earliest and are expected to hold very few legislative days prior to the November 4 elections.
Back to index
Legislation:
Jobs Stimulus Package: On June 12, 2008 Governor Strickland signed H.B. 554, the $1.57 billion economic stimulus package. The legislation will make investments in job-creating industries and in the state’s communities, infrastructure and workforce to simulate job creation and lay a foundation for long-term economic growth. The governor exercised his line-item veto power on three provisions in the bill:
- Language that limits scientists’ ability to conduct potentially life-saving stem cell research and hinders economic progress.
- The date (July 1, 2008) associated with the transfer of $200 million in budget stabilization funds to a local transportation fund for public works projects.
- Change the name of the ‘Choose Ohio First Co-op/Internship Program to the “Ohio Co-op/Internship Program” to avoid confusion with already existing Choose Ohio First Scholarship Program, which applies exclusively to STEM disciplines.
The package provides funding for the following:
- $50 million – Bio-based Products – production of polymers, plastics and other materials from Ohio-grown crops.
- $100 million – Biomedical
- $150 million – Advanced Renewable Energy
- $100 million – Logistics/Distributions
- $400 million – Local Infrastructure
- $200 million – Clean Ohio Conservation
- $200 million – Clean Ohio Revitalization – brownfields clean-up
- $120 million – Historic Preservation Tax Credit
- $250 million – Higher Education Co-op/Internship Program
Process and procedures for applying for funding will be released within the next few months.
FY2009-2010 Biennial Capital Appropriations Budget Bill: Governor Strickland signed H.B. 562 at the end of June. The $1.3 billion capital and corrections bill reflects the state’s efforts to make Ohio attractive to business and increase economic development and job-creation opportunities. It also addresses a significant shortfall in Ohio’s biennial operating budget (FY2008-2009) caused by a weakening national economy.
Great Lakes Compact: Governor Strickland signed H.B. 416, which ratifies the Great Lakes-St. Lawrence River Basin Water Resource Compact. The Compact will become binding after ratification by all eight Great Lakes states and two Canadian provinces and approval from the US Congress. Under the Compact, the states and provinces will work in regional collaboration to protect the future of the Great lakes and determine governance and other issues related to the lakes. The legislation was sponsored by Representative Matt Dolan (R-Mentor).
Back to index
Other States:
The Louisiana House of Representatives passed an “academic freedom” bill that singles out evolution and other theories or fields of science and implies that they are controversial. Because of an amendment the bill must now return to the Senate, which previously passed it unanimously. Republican Governor Bobby Jindal is expected to sign the legislation.
The Massachusetts state legislature passed a bill that will provide $1 billion to support life sciences. The legislation includes $500 million for capital improvements over 10 years, the majority of which will be directed to the state university system, $250 million tax credits, and $250 million in biotechnology grants. Governor Deval Patrick signed the bill into law.
Back to index
Comings and Goings:
Comings and Goings: State Treasurer Richard Cordray will be the Democratic Party’s candidate for Ohio Attorney General in November. Republicans have not named their candidate.
Back to index
LOCALLY… Cleveland State University President Michael Schwartz announced that he will retire in June 2009.
Back to index
Sources of information for this report include the Association
of American Universities, American Institute of Physics, the
Chronicle of Higher Education, the Association of Independent
Colleges and Universities of Ohio’s updates and reports,
newspapers, political and legislative wire services, and others.
|
