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White House Outlines FY 2019 R&D Budget Priorities, Emphasizes Role of Industry

On August 17, Director of the White House Office of Management and Budget (OMB) Mick Mulvaney, with Michael Kratsios, Deputy Assistant Secretary to the President, Office of Science and Technology Policy (OSTP), issued a joint memorandum to federal agency and department heads on “FY 2019 Administration Research and Development Budget Priorities.” The R&D memo, along with an earlier memo released in July that outlines more general budget reforms, keeps with the practices of past administrations to lay out key White House priorities as agencies begin working on their budget submissions for the next fiscal year. Of course, the priorities within the memos can differ dramatically depending on the Administration, which is the case with this year’s guidance.

The FY 2019 R&D memo acknowledges the important role of science and technology to America’s global leadership, and particularly to issues of “national security, economic growth, and job creation.” However, there is some subtle, yet important language signaling possible shifts in this Administration’s priorities for science funding. For example, the memo states, “In spurring future advances, Federal funding of research and development programs and research infrastructure can play a crucial supporting role [emphasis added].” While it directs federal agencies to “continue, and expand where necessary, efforts to focus on basic research,” it directs agencies to reduce funding overlaps with private industry in later-stage research. It further states that “Working in tandem, the Government and the private sector can promote the nation’s economic growth through innovation, and create new products and services for the American people.”

The memo also outlines a number of priorities related to funding practices and accountability, including ensuring that “proposed programs are based on sound science, do not duplicate existing R&D efforts, and have the potential to contribute to the public good.” It further states that federal agencies should identify existing programs “that could progress more efficiently through private sector R&D, and consider their modification or elimination where Federal involvement is no longer needed or appropriate.”

Other key science priorities for the Trump Administration in FY 2019 include research “that can support the military of the future,” the development of “technologies necessary to prevent terrorist attacks, mitigate the effects of both natural and adversarial threats and hazards, and secure American borders,” and development of a domestic energy portfolio that includes “fossil, nuclear, and renewable energy sources.” As for biomedical (NIH) research, the memo calls for priority to be placed on programs “that encourage innovation to prevent, treat, and defeat diseases, and maintain America’s standing as a world leader in medicine.” Further, agencies should prioritize research addressing aging populations, drug addiction, and other public health challenges.

Additional details can be found in the memorandum.

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Posted in Issue 17 (September 5), Update, Volume 36 (2017)

OMB’s FY 2019 Budget Guidance Calls for Major Funding Reforms

On July 7, the White House Office of Management and Budget (OMB), led by Director Mick Mulvaney, issued a memorandum to federal departments and agencies with guidance on how to approach development of the fiscal year (FY) 2019 budget submission. According to the memo, “the FY 2019 Budget will provide an opportunity to present a comprehensive plan for reforming the Federal Government and reducing the Federal civilian workforce. It also will reflect the first impacts of the Government reorganization called for by Executive Order 13781 [issued in March].” Budget submissions are expected to continue proposals included in the FY 2018 budget. Initial FY 2019 budget proposals from the agencies are due to OMB by September 11, 2017, even though agencies will not yet know what their FY 2018 budgets will be (see related article).

As you may recall, the Trump Administration implemented a temporary federal workforce hiring freeze during its first few weeks in office and issued a “Comprehensive plan for Reorganizing the Executive Branch and Reducing the Federal Civilian Workforce.” Agencies’ FY 2019 budgets are expected to include “agency reform plans” that make proposals for eliminating activities, restructuring or merging, improving organizational efficiency and effectiveness, and workforce management.

Alongside submission of their budget proposals, agencies are also tasked with submitting draft strategic plans covering FY 2018-2022, a draft FY 2019 performance plan, and agency priority goals for FY 2018-2019. OMB will work with federal departments and agencies over the next several months to prepare the final FY 2019 budget request, which will be delivered to Congress in February 2018.

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Posted in Issue 15 (July 25), Update, Volume 36 (2017)

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