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U.S. Deputy Secretary of Commerce Blank Announces Fiscal Year 2014 Budget Request

FY 2014 Commerce Department budget requests new funds to strengthen manufacturing, promote innovation, and expand exports, finds $195 million in administrative savings

Contacts: DOC Office of Public Affairs, 202-482-4883
Wednesday, April 10, 2013

WASHINGTON — U.S. Deputy Secretary of Commerce Rebecca Blank today released the Department of Commerce’s fiscal year 2014 budget request (PDF), which supports President Obama’s plan for an economy built to last with crucial investments in advanced manufacturing, innovation, trade promotion and enforcement, and research and development. These investments are designed to help grow the economy, create jobs and strengthen the middle class. The $8.6 billion budget request is an increase of $1 billion over the fiscal year 2012 level. The Department also identified a total of $195 million in administrative savings.

“The Department of Commerce has a vital mission to help American businesses thrive so they can create jobs here at home and maintain a competitive edge abroad,” said U.S. Deputy Secretary of Commerce Rebecca Blank. “The Department’s fiscal year 2014 budget reflects our commitment to our core priorities, including revitalizing American manufacturing, spurring innovation by investing in world-class research, science and technology, and driving export growth. Overall, this budget proposes targeted investments that will enable us to carry out our responsibility to help grow American businesses and the economy, while also spending federal dollars wisely.”

The FY 2014 Department of Commerce budget includes key investments in the following areas:

Revitalizing American Manufacturing: The President’s budget includes $113 million for the creation of the Investing in Manufacturing Communities Partnership (IMCP)—a multi-agency initiative housed at the Department’s Economic Development Administration (EDA) that will help American communities attract manufacturers and their supply chains. IMCP will provide targeted financial assistance to manufacturing communities while also leveraging non-federal funds to invest in infrastructure projects and research facilities that will promote long-term economic growth. The budget also proposes $928 million for the National Institute of Standards and Technology (NIST) to continue its work to support advanced manufacturing and research and development in cutting-edge fields.

Spurring U.S. Innovation: The budget provides full spending authority for the $3.1 billion the U.S. Patent and Trademark Office (USPTO) expects to receive in fees in FY14. This will support the protection of intellectual property that is crucial to innovation and economic growth. The budget also includes $141 million to support NIST laboratories’ work in advanced manufacturing and materials science.

Driving U.S. Exports: The budget requests $520 million for the International Trade Administration (ITA) to expand its Foreign Commercial Service and support the President’s National Export Initiative, a government-wide strategy to strengthen our economy, support additional American jobs, and ensure long-term growth through the promotion of exports. This figure includes $20 million for the Interagency Trade Enforcement Center (ITEC), created last year, which will significantly enhance the administration’s capabilities to aggressively challenge unfair trade practices around the world.

While the FY 2014 budget request includes crucial investments to grow the economy and create jobs, it also identifies $195 million in administrative savings and organizational efficiencies, consistent with the President’s Campaign to Cut Waste. Department-wide, Commerce has focused on finding administrative savings through acquisition reform, strategic sourcing, and infrastructure modernization—reflecting the agency’s aggressive efforts to ensure proper stewardship of taxpayer dollars.

Additional budget investments to help revitalize manufacturing include:

To support a rejuvenated U.S. manufacturing sector and to ensure our continued leadership in innovation, the Department’s work spans the manufacturing lifecycle spectrum to reduce the gap between cutting-edge science and development and the deployment of advanced manufacturing technologies. The following programs will help to expand these efforts:

National Network for Manufacturing Innovation (NNMI)
As part of the Administration’s ongoing commitment to advanced manufacturing, the President’s budget proposes $1 billion in mandatory funding to establish a National Network for Manufacturing Innovation (NNMI), which was also requested in his FY13 budget. Through NNMI, the Department will partner with businesses and communities to create manufacturing innovation institutes across the U.S. that invest in cutting-edge manufacturing technologies to boost the competitiveness of U.S. manufacturing and support American workers.

Manufacturing Technology Acceleration Centers (M-TACs)
The President’s budget proposes $25 million to launch Manufacturing Extension Partnership Manufacturing Technology Acceleration Centers (M-TACs). M-TACs will provide expertise and tools to help smaller U.S. manufacturers adopt and adapt advanced technologies into their manufacturing processes and products, helping to ensure highly effective and competitive domestic supply chains. A program designed to be locally driven, but nationally connected to industry, M-TACs support the President’s goal of enhancing U.S. competitiveness in advanced manufacturing by focusing on the need to build highly effective supply chains in technology-intensive, high-value-added manufacturing sectors.

Advanced Manufacturing Technology Consortia (AMTech)
The budget also requests $21 million for the Advanced Manufacturing Technology Consortia (AMTech), a public-private partnership that will accelerate manufacturing research and early-stage technology development. This has the potential to drive economic growth, strengthen U.S. competitiveness, and spur creation of high-end technology jobs. The proposed AMTech program will provide cost-shared funding to industry led consortia that will develop technologies to address major technical problems that will spur the adoption of advanced manufacturing capabilities in the United States.

Additional highlights of the $8.6 billion budget request include:

Increasing foreign direct investment: $20 million to support implementation of the SelectUSA program, which will create jobs and spur economic growth by encouraging and accelerating foreign direct investment in the U.S.

Increasing economic development: $12 million to the Economic Development Administration (EDA) for the creation of a Regional Export Challenge to assist communities in developing robust and sustainable export action plans that support jobs.

Expanding research and development on the environment: $472.4 million for the National Oceanic and Atmospheric Administration’s (NOAA) Office of Oceanic and Atmospheric Research to enhance the agency’s ability to forecast global climate change and provide science-based information to help communities prepare for consequences of the changing climate.

Protecting the Nation’s cyber infrastructure: An increase of $15 million to enable NIST to strengthen its core cybersecurity research and development programs, which help protect our nation’s infrastructure and economy from growing threats.

Informing the Nation: $154.2 million increase to the U.S. Census Bureau to fund research and testing to improve the design and administration of the 2020 Census and $4 million for the Bureau of Economic Analysis (BEA) to improve overall coverage and measurement of Foreign Direct Investment, which will improve the ability of communities to plan for new inbound investment.

Enhancing public safety: $2 billion for NOAA’s satellites systems, which are critical to its ability to provide accurate weather forecasts and warnings that help protect lives and property.

Increasing wireless access: $52 million to the National Telecommunications and Information Administration (NTIA) to improve telecommunications performance, optimize Federal agencies’ use of spectrum for radars and satellites, and increase broadband access to communities nationwide.

Advancing national security: $11 million increase to the Bureau of Industry and Security (BIS) to help implement the administration’s Export Control Reform initiative to enhance national security and advance our overall economic competitiveness.

The full Department of Commerce FY 2014 budget request can be found at http://osec.doc.gov/bmi/Budget/FY14BIB/ENTIREBIB.pdf (PDF).