Welcome everyone. Let's begin the FY 2000 Research and Development Budget Rollout. I'm sure most of you are acquainted with the individuals here with me on stage, but just in case, I would like to introduce:

• Secretary Bill Richardson, of the Department of Energy
• Dr. Rita Colwell, Director of NSF
• Mr. Dan Goldin, Administrator of NASA
• Dr. Jacques Gansler, Under Secretary of Defense for Acquisition and Technology
• Dr. Jim Baker, Under Secretary of Commerce for the NOAA
• Mr. Elgie Holstein, Associate Director of OMB for Natural Resources, Energy, and Science
• I would also like to acknowledge Dr. Ruth Kirschstein, Deputy Director of NIH who will take Q/A with us at the end.

You'll hear from all of these folks in just a minute, but I want to provide a brief overview of the R&D budget highlights.

I think you all know -- this has been a tough year to put a budget together -- and Elgie will say more about that in a minute.

21^st Century Research Fund

The FY 2000 Budget includes $38 billion for 21^st Century Research Fund. That's a 3% increase in FY 2000. It provides for overall budget stability and for growth in the highest priority research programs. This year the Research Fund includes Defense basic and applied research programs, further evidence of the Administration's commitment to effective integration of the Nation's university-based research portfolio.

Within the Research Fund, we have emphasized a number of areas, including: Information Technology, Environmental Research, National Security, Protecting Human Health, and the Space program.

IT²

This year's budget proposes a bold new initiative; Information Technology for the 21^st Century (IT²), which is funded at $366 million, a 28% increase. IT², which the Vice President rolled out at the AAAS annual meeting in Anaheim on January 24^th, responds to the recommendations of the President's Information Technology Advisory Committee that we increase support for fundamental long-term research aimed to advance IT. Several of the people who are here with me on stage today form the NSTC principals committee that will oversee the progress of this initiative. IT² has been a team effort -- WH and agencies. It is a high priority with the President and the Vice President.

Environment

The President and Vice President have also made substantial investments in environmental research. Included in these efforts are:

• A $96 million new Initiative on Integrated Science for Ecological Challenges, a multiagency effort that will develop an environmental information infrastructure and modeling framework to manage and preserve the Nation's natural resources.
• A $1.4 billion Initiative on Climate Change Technology, an increase of $347 million or 34%, aimed at increasing energy efficiency and spurring the broader use of renewable energy; and
• A $105 million increase, a 6% increase, for the U.S. Global Change Research Program to $1.8 billion.

The President's FY 2000 budget includes substantial R&D increases to defend America against 21^st century threats. It provides:

• $7.4 billion for defense basic, applied, and advanced technology R&D, nearly 3% over last year's request.
• $500 million in R&D funding for advanced critical infrastructure protection technologies, a 6.4% increase ($30 million); and
• $166 million in R&D to help strengthen America's defense against the threat of chemical and biological weapons, including research of new vaccines.

The budget continues the Administration's requested increases for R&D for protecting human health:

• It keeps NIH on track with last year's ambitious goals, a 2% ($320 million) increase.
• It provides a $25 million increase for the Centers for Disease Control to combat emerging infectious diseases; and
• It increases funding for food safety by $72 million.

Finally I want to talk about the space program:

• The budget includes $2.48 billion for the International Space Station, which will help to maintain the construction schedule and enable development of backup capabilities in the event of potential shortfalls in Russian contributions.
• NASA also receives a 3% increase for Earth Science and a 4% increase for Space Science.

ORDER OF THE DAY

I would now like to invite Elgie Holstein, to discuss the overall FY 2000 budget picture. When Elgie has concluded his remarks, Secretary Richardson, Mr. Goldin, Dr. Colwell, Dr. Gansler and Dr. Baker will give you thumbnail sketches of their agency's R&D budget. Each of them will be providing a more detailed look at their entire agency's budget this afternoon, which we encourage you to attend. We will take all of the Q&A after the brief presentations.

[Dr. Lane turns podium over to S&T Agency heads for their presentations.]
 

CONCLUDING REMARKS

Thank you all very much, it has been a remarkable six months of effort to make IT² , indeed this entire R&D budget, come together. And without your help it could not have been successful.

True, it's not all good news this year. The overall R&D budget declines by 1% from FY 99 enacted levels, due largely to a 6% decrease in DOD development programs. But the Presidents FY 2000 budget for R&D continues the important trends established early-on by the President and Vice President:

• Civilian R&D spending is up for the seventh year in a row. At almost $40 billion -- up 31% since 1993 -- it now constitutes 51% of the federal R&D budget.
• The budget boosts funding for basic research by 4.2% -- a $727 million increase. That's up 36% since 1993.
• R&D support to Universities increases 2% -- a $353 million increase. And that's up 33% since 1993.
• Finally, this budget presents a balanced R&D portfolio, which recognizes the interdependence of all fields of science.

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