Transcript Research and Development in the FY 2010 Federal Budget

The U.S. Federal R&D
Budget: Overview and
Outlook
Matt Hourihan
February 20, 2014
for the Australian Trade Commission
AAAS R&D Budget and Policy Program
http://www.aaas.org/spp/rd
Federal Spending as a Percent of GDP, 1962 - 2018
30%
25%
Defense
Discretionary
20%
Nondefense
Discretionary
15%
Mandatory
10%
Net Interest
5%
0%
Source: Budget of the U.S. Government FY 2014.
© 2013 AAAS
Emergent Budget Tendencies
 Discretionary spending tends to be constrained…
 Early 1980s: nondefense constraints under Reagan
 Late 1980s/early 1990s: spending caps
 2011 Budget Control Act caps
 While mandatory spending tends to grow
 Health care costs
 Expanding beneficiaries, aging population
 Medicare Part D, Affordable Care Act…
 …versus failed efforts at control/constraint/reform
 And, of course, anti-tax politics
Federal R&D in the Budget and the Economy
Outlays as share of total, 1962 - 2014
14.0%
2.5%
12.0%
2.0%
10.0%
8.0%
6.0%
1.5%
1.0%
4.0%
0.5%
2.0%
0.0%
Source: Budget of the United States Government, FY 2014. FY 2013 data do not
reflect sequestration. FY 2014 is the President's request.
© 2013 AAAS
0.0%
R&D as a Share
of the Federal
Budget (Left
Scale)
R&D as a Share
of GDP (Right
Scale)
Recent R&D Budget History
 R&D down by 8.4 percent between FY10 and FY12
 August 2011: Budget Control Act

AAAS estimated ~$50 billion R&D cuts in first 5 years
 January 2013: American Taxpayer Relief Act
 FY 2013: Sequester cuts nearly $10 billion more
 Summer 2013: Appropriators operate under two
different spending baselines
 December 2013 budget deal: 50% sequester
rollback for FY14
Positive outcomes
Less positive
 Physical Sciences did well
 Defense contractors
 Defense S&T
 NIH overall
 Department of Energy
 Technology programs and
Science
 NSF facilities, EPSCoR,
political science
 NASA Science and
Exploration
 Better for translational
science, IDeA, BRAIN
 Environmental R&D
 But cuts avoided
 High-performance rail
Select International Programs
 Fogarty IC (NIH) keeps pace with most other institutes (3%)
 International Ocean Discovery Program (NSF) funding matched
request
 USAID Global Health programs boosted above request
 ITER below request
Looking ahead…
 President’s budget to be released March 4 (and beyond)
 Priorities: manufacturing, clean energy, climate, IT and
computing, biological innovation, neuroscience, STEM Ed
 Discretionary spending in FY 2015 has already been agreed
 And will increase hardly at all
 25% of sequester reductions rolled back
 Beyond FY 2015: back to sequester levels
 Big-picture fiscal challenges remain largely unchanged
For more info…
[email protected]
202-326-6607
www.aaas.org/spp/rd/