The 2012 Budget:Winning the Future Winning the Future

Through Investments in Innovation Education and InfrastructureInnovation, Education, and Infrastructure

Kei Koizumi,

White House Office of Science & Technology Policy

“We know what it takes to compete for the jobs and p jindustries of our time. We need to out-innovate, out-educate, and out-build the rest of the world.”

- President Barack ObamaJanuary 25, 2011

“This is our generation’s Sputnik moment... We’ll invest in biomedical research, information technology, and especially clean energy technology – an investment that will strengthen our security protect our planet and create countless new jobs our security, protect our planet, and create countless new jobs for our people.”

- President Barack ObamaJ 25 2011January 25, 2011

Winning the Future:Federal Research by Agency, FY 1995-2012

70

y g y,

in billions of constant FY 2011 dollars

50

60 NIH

NSF

DOD

20

30

40 DOD

DOE

NASA

0

10

95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12

USDA

All Other

199

199

199

199

199

200

200

200

200

200

200

200

200

200

200

201

201

201

FY 2009 figures include Recovery Act appropriations.2011 figures are prelminary estimates.Research includes basic research and applied research. FEB. '11 OSTP

Investing in the Building Blocks of American Innovation:The President's Plan for Science and Innovation

$15$15

Recovery Act

$10NIST labs

$5DOE Science

$0

2006

2007

2008

2009

2010

2011

2012

NSF

budget authority in billions of current dollars(2011 figures are from the 2011 Budget)

The 2012 Budget: Winning the FutureThe 2012 Budget: Winning the Future

• Jumpstarts Innovation

• Supports STEM Students

• Invests in Infrastructure

• Makes Tough Choices–Offsets all increases with cuts in other programs

i di i di fl f h d–Keeps non-security discretionary spending flat for the second year in a row

“Maintaining our leadership in research and technology is i l A i ’ if i h f crucial to America’s success. But if we want to win the future –

if we want innovation to produce jobs in America and not overseas – then we also have to win the race to educate our kids.”

- President Barack ObamaJanuary 25 2011January 25, 2011

Educating a Competitive Workforce

L h th NSTC C itt

$3.4 billion for STEM Education in programs throughout the Federal government.

-Launch the NSTC Committee on STEM Education to coordinate this investment.

-The “Educate to Innovate” campaign leverages these Federal resources with over $700 million in private-sector commitments.

- The 2012 Budget also proposes $90 million to launch ARPA-ED with the

i i f ti mission of supporting transformational education technology.

Source: ITIF Report “The Atlantic Century”, February, 2009

“We’re telling America’s scientists and engineers that if they assemble teams of the best minds in their fields, and focus on the hardest problems in clean energy we’ll fund the Apollo projects of our clean energy, we ll fund the Apollo projects of our time.”

- President Barack ObamaJ January 25, 2011

Energy R&D Highlights in the 2012 Budget lWinning Our Clean Energy Future

Advance Critical Energy Research

•Doubles the number of Energy Innovation Hubs from 3 to 6

Energy Innovation Hubs

•$550 million to DOE for support of transformational clean energy research

ARPA-E

• Invest $8.7 billion from basic research to development and deployment by ending fossil fuel subsidies

Clean Energy Technology

Support American Leadership in Clean fossil fuel subsidies gyLeadership in Clean Energy

Understanding and Responding to Our Changing Planet:

Recovery Act

US Global Change Research Program

2000

2500 All Other

NASA

NIH

1000

1500 EPA

Interior

Agriculture

0

500Commerce (NOAA, NIST)

Energy

NSF0

2000 2002 2004 2006 2008 2010 2012in millions of constant  FY 2011 dollars

FEB. '11 OSTP 2011 figures are preliminary estimates.

Trends in DOD "S&T", FY 1994-2012in billions of constant FY 2011 dollars

18%15

12%

14%

16%

10 DOD "6.3"

6%

8%

10%

5

DOD "6.2"

DOD "6.1"

"6 1" % f S&T ( i ht

0%

2%

4%

0

4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2

"6.1" as % of S&T (right scale)

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2011 figures are preliminary estimates. FEB. '11 OSTP

Defense Research Drives InnovationDefense Research Drives Innovation

$ M2010

actual2012

budget‘10-’12 Change

DOD basic research (“6.1”)

1815* 2078 + 14.5%

DOD applied 4984* 4787** - 4.0%research (“6.2”)

DOD adv. technology development (“6.3”)

6507* 5481 - 15.8%

• The Budget invests in defense S&T across a diverse portfolio, including biodefense, cybersecurity, medical R&D, force protection, rapid fielding, undersea warfare, and advanced energy technologies. rapid fielding, undersea warfare, and advanced energy technologies.

• The Budget provides $3 billion for DARPA’s breakthrough research.

* I l d C i l j t **I l d $100 illi f WIN F d* Includes Congressional projects **Includes $100 million from WIN Fund

President’s Strategy for American InnovationT h R l i S i O E i G h d P i

Catalyze Breakthroughs

Tech Role in Securing Our Economic Growth and Prosperity

Breakthroughs for National

Priorities

• Unleash a clean energy revolution• Accelerate biotechnology,nanotechnology, and advanced manufacturing• Develop breakthroughs in space applications• Drive breakthroughs in health care technology• Create a quantum leap in educational technologies

Promote Market-Based Innovation

i h ildi l k f i i

• Accelerate business innovation with the R&E tax credit

• Promote investments in ingenuity through effective intellectual property policy

• Encourage high-growth and innovation-based entrepreneurship

• Promote innovative, open, and competitive markets

Invest in the Building Blocks of American Innovation

• Educate Americans with 21st century skills and create a world-class workforce• Strengthen and broaden American leadership in fundamental research• Build a leading physical infrastructure• Develop an advanced information technology ecosystem

Source: http://www.whitehouse.gov/innovation/

“The third step in winning the future is rebuilding The third step in winning the future is rebuilding America. To attract new businesses to our shores, we need the fastest, most reliable ways to move people goods and information from high speed people, goods, and information — from high-speed rail to high-speed Internet.”

- President Barack ObamaJanuary 25, 2011

H i Th l d I i T f h E

Technology Highlights in the 2012 BudgetHarnessing Technology and Innovation to Transform the Economy

Invest in the Building Blocks of American Innovation

•$3 billion fund for: basic research, test beds, and public sector application development from spectrum receipts.

•NSF DARPA ARPA-E NIST and others

Wireless Innovation (WIN) Fund

Promote Market-Based Innovation

NSF, DARPA, ARPA E, NIST, and others will participate.

•$190 million to NSF for promising areas like “materials by design,” nano-Advanced

Catalyze Breakthroughs for National Priorities

like materials by design, nanomanufacturing, next-generation robotics

•$1 billion over five years to DARPA dramatically reduce time to production

Manufacturing

for National Priorities•$500 million to DOE for flexible electronics, lightweight materials, etc.

•$12 million to NIST for Advanced M f i Th l C i Manufacturing Technology Consortia

“All these investments – in innovation, education, and infrastructure – will make America a better place to do business and create jobs.”

- President Barack ObamaJanuary 25, 2011

Backup Slides

FY 2012 R&D Budget Two-YearPercent Changes from FY 2010

DHS

DOE

NIST +48%

NASA

DOT

NSF

DHS

EPA

NIH

NOAA

NASA

VA 12%

USGS

DOD

EPA

-10% -5% 0% 5% 10% 15% 20%

USDA -18%

VA -12%

FEB. '11 OSTP

Trends in Federal R&D, FY 1976-2012in billions of constant FY 2011 dollars

160

100

120

140 TOTAL R&D

DEFENSE R&D

40

60

80

100

NONDEF. R&D

0

20

40

6 2 8 4 0 6 2

1976

1982

1988

1994

2000

2006

2012

FY 2009 figures include Recovery Act appropriations. 2011 figures are preliminary estimates. R&D includes conduct of R&D and R&D facilities.FEB. '11 OSTP

Selected Trends in Nondefense R&D, FY 1976-2012in billions of constant FY 2011 dollars

80

50

60

70DHS nondef

20

30

40 NIH

Nondef R&D minus NIH

0

10

976

982

988

994

000

006

012

Nondef. R&D minus NIH, DHS

19 19 19 19 20 20 20FY 2009 figures include Recovery Act appropriations.2011 figures are preliminary estimates. R&D includes conduct of R&D and R&D facilities.FEB. '11 OSTP

Trends in Defense R&D, FY 1976-2012in billions of constant FY 2011 dollars

80

50

60

70

80

DHS defense R&D

30

40

50DOE defense R&D

Other DOD R&D 6.4 -

0

10

20

6 2 8 4 0 6 2

DOD S&T 6.1-6.3

1976

1982

1988

1994

2000

2006

2012

DOD S&T figures are not comparable for all years because of changing definitions. 2011 figures are preliminary estimates. FEB. '11 OSTP

Networking and Information Technology R&D, by Agency (budget authority in millions of constant FY 2011 dollars, FY 2000-2012)

5000 Recovery Act

4000Defense*

National Science Foundation

2000

3000 NASA

Health and Human Services

1000

EPA and All Other

Energy

02000 2002 2004 2006 2008 2010 2012

Commerce

* DOD changed its accounting starting in 2005, HHS changed its accounting starting in 2010. 2011 figures are preliminary estimates. FEB. '11 OSTP

National Nanotechnology Initiative, by Agency (budget authority in millions of constant FY 2011 dollars, FY 2000-2012)

2000

2200Recovery Act

1400

1600

1800 Defense

Health and Human Services

800

1000

1200 Other

National Science Foundation

NASA

0

200

400

600 NASA

Energy

Commerce0

2000 2002 2004 2006 2008 2010 2012

2011 figures are preliminary estimates. FEB. '11 OSTP

STEM Education by Agency: 2012 BudgetBudget Authority in Millions of dollars

DOD, $116 STEM Education = $3.4 billion

Education, $625

NSF, $1,210$3.4 billion

DOE, $41

HHS, $885DOT, $216

DHS, $13NASA, $138

FEB.'11 OSTP

National Institutes of Health Budget with Select Institutes, 1999-2012

$40 ARRA

$30

$35

NIAID

$15

$20

$25Heart Lung Blood

$5

$10

$15Cancer

All Other

$0

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

All Other

2011 figures are preliminary estimates. FEB. '11 OSTP

(budgetauthority in billions of constant FY 2011 dollars)

Total R&D by Agency: 2012 BudgetBudget Authority in billions of dollars

USDA $2 2

DOC (NIST & NOAA), $1.7

All Other, $5.9Total R&D =

$147 9 billion

DOE, $13.0

NSF, $6.3USDA, $2.2 $147.9 billion

DOD $76 6NASA, $9.8

DOD, $76.6HHS (NIH), $32.3

FEB. '11 OSTP