Scientists & Engineers for America

Federal Research and Development Funding: FY2008

Excerpted from Congressional Research Services Report RL34048
September 20, 2007
Michael E. Davey (Coordinator),
Christine M. Mathews, John D. Moteff, Daniel Morgan,
Robert Esworthy, and Wendy H. Schacht
Resources, Science, and Industry Division
Pamela W. Smith
Domestic Social Policy Division
Wayne A. Morrissey
Knowledge Services Group
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The Bush Administration has requested $142.7 billion in federal research and development (R&D) funding for FY2008. As in the recent past, the FY2008 proposed increase over the FY2007 funding level is due to significant funding increases in the Department of Defense (DOD); the National Aeronautics and Space Administration’s (NASA’s) space vehicles development program; and the continuation of the American Competitiveness Initiative (ACI). The President initiated the ACI in FY2007 and continues to promote it in his FY2008 R&D budget.

While the ACI is likely to be well received by lawmakers, other administration proposals for agency R&D funding are likely to encounter strong opposition in Congress. For example, the administration’s proposed budget for the National Institutes of Health (NIH) is $28.5 billion, a decrease of $529 million (1.8%) below the estimated 2007 funding level. This proposed level represents the fifth year in a row the administration has proposed cutting NIH’s budget.

While NASA’s R&D budget would increase in FY2008, the entire increase is designated for two major initiatives: finishing the international space station and developing the crew launch vehicle/crew exploration vehicle combination. However, as a result of these priorities, funding for NASA’s basic and applied research programs has declined 18% since FY2006.

Funding for the Department of Defense is proposed to increase by $765 million to $79 billion in FY2008. DOD’s weapons development program would increase to an all time high of $68.1 billion. However, DOD’s science and technology research programs, which include medical research and technology development, would decline 21.1% to $10.9 billion, which would negate seven years of past funding increases.

R&D funding for the U.S. Geological Survey, the lead science agency for the Department of the Interior is proposed to decline 4% in FY2008. The Environmental Protection Agency’s R&D budget is proposed to be cut 3.2% from its estimated FY2007 funding level. As a result, according to the American Association for the Advancement of Science, funding for EPA’s R&D budget would fall to its lowest level in two decades, in constant FY2007 dollars.

Despite Administration efforts to restrain the growth of non-defense discretionary spending, both the House and the Senate have approved funding increases for every major non-defense R&D funding agency. As a result of these actions, funding for basic and applied research would increase, in real dollars, for the first time in three years. However, these proposed increases could be short lived, because the President has indicated that he will veto any appropriations bills that exceed his FY2008 budget request.

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