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THE WHITE HOUSE
WASHINGTON
October 8, 1991
MEMORANDUM FOR JOHN SUNUNU
FROM:
D. ALLAN BROMLEY
Ana
SUBJECT:
TECHNOLOGY AND A PRODUCTIVE AMERICA
We recently discussed the possibility of recapturing for the President the political
initiative in the area of technology and its impact on American productivity.
As a first step in a program to this end, building on one of your specific suggestions,
I enclose herein three short documents.
1. An overall statement of the Bush Administration's policies in this area.
2. A brief listing of activities and accomplishments of the Bush
Administration.
3. An outline proposal for a Presidential level conference that could be
announced before the end of the year and held in March or April of 1992.
These are attached as appendices 1, 2, and 3, respectively.
I would very much appreciate your suggestions and reactions. If you agree with the
general thrust, after making whatever changes you may wish to suggest I would want
to get the input and support of Dick Darman, Mike Boskin, and Roger Porter in
developing a document that we could present to the President for his possible
approval. I am confident that we can count on enthusiastic participation from most
of the Cabinet Members, based on general conversations that I have had with many
-
of them over the past two months. I am confident that industrial leaders would
respond equally well.
I would look forward to discussing this with you once you have had an opportunity to
glance through the enclosed material and will welcome your comments and
suggestions.
I remain convinced that there is a very exciting opportunity here, if properly
addressed, to highlight the President's leadership in an area of critical importance to
our Nation.
Attachments
APPENDIX 1:
THE ROLE OF TECHNOLOGY
IN BUSH ADMINISTRATION POLICIES
CONCEPT
That the President should adopt technological excellence as a theme of the 1992
campaign and as an important component of the Administration's focus on investing
in the future. As part of this effort, the President should convene and host in early
1992 a national conference on "Technology for a Productive America," which would
bring together key government officials and business leaders to establish a shared
vision of how America can more effectively develop and deploy technology.
BACKGROUND
Throughout its history, the United States has served as a magnet for people who
wished to live and work in a country that permits the fullest expression of their
innate abilities. Our traditions of freedom, individual mobility, access to quality
education, and minimal government interference have led to America's becoming a
world leader in such diverse areas as the arts, higher education, business, scientific
research, defense capability, economic growth, manufacturing productivity, and concern
for the environment.
In our ability to work and express ourselves in unfettered fashion, the United States
has also served as a model to which other nations have aspired. Today the results of
those aspirations are abundantly evident. The dramatic tide of political and economic
reform in the Eastern European countries and Soviet Union is only the most recent
example, with other examples sure to follow.
The development and application of technology have been integral parts of America's
history and of our ideas about ourselves. This country was born during the
Industrial Revolution, pioneered many of the inventions that shaped life in the 19th
and 20th centuries, and is today leading the world through the Information Age into
an era of unimagined possibilities. We are known worldwide for our "can do" spirit
and for the work ethic of our people. In science fairs and engineering competitions,
our best students stand head and shoulders above students from any other country.
Appendix 1
Page 2
Our workforce, schooled in the American tradition of freedom and self-reliance, is
among the most adaptable and flexible in the world.
The effective application of technology has become a key element in the success of
virtually every company in America -- and therefore a major source of economic
growth. To achieve its greatest returns, leading-edge technology must be fully
integrated with astute management practices, skilled workers, and high levels of
investment. But world leadership in commerce is no longer possible without world-
class technology.
Similarly, technology is playing an ever more pervasive and influential part in our
daily lives. Today most Americans take for granted a standard of warmth,
cleanliness, food, medical care, music, and entertainment that was undreamt of 150 --
or even 50 -- years ago. This great surge forward in our standard of living can and
will continue, and one of our greatest challenges is to ensure that an ever greater
fraction of our citizenry enjoys this heightened quality of life.
Our resourcefulness, optimism, and entrepreneurial genius, coupled with our abundant
natural resources and favorable political climate, have fueled our long history of
unparalleled agricultural and industrial growth. This growth, in turn, has created
opportunities for vast improvements in health care, education, and science, which has
led to still further advances in productivity. This powerful reinforcing cycle has made
America one of the most creative and productive societies in history.
This country has many other strengths. In most respects, the United States continues
to have the strongest science and technology enterprise the world has ever known.
Quality in all sectors of the economy is becoming a national focus. The success of
Operation Desert Storm restored pride and confidence in the American ability to
innovate, organize, meet the challenge of an external threat, and work together in
achieving a shared objective. That same spirit can spur greater productivity, quality
improvement, and economic growth.
But past successes must not lead to complacency. One of the most important lessons
of history is that a nation must continuously renew itself and strive for improvement
if it is to continue to prosper. Several emerging trends are grounds for concern and
renewed American commitment. Low savings rates, compounded by the size of the
U.S. budget deficit, have reduced investment in new productive capacity. For example,
Japan, with an economy half the size of America's, now invests more each year than
we do in new plant and equipment. As a result, new technologies are incorporated
into productive capacity in Japan much more rapidly than they are here.
In addition, a number of countries have become more adept than have U.S.
innovators at incorporating new ideas and devices into new products and processes.
Successful industrial production is today characterized by continuous innovation and
unprecedented levels of production flexibility.
Appendix 1
Page 3
The United States has been and will remain vigilant and prepared in all matters
concerning national security. We must be equally conscious of the need to ensure
that our institutions and individuals have the opportunity to achieve everything they
set out to achieve.
The Development and Deployment of Technology
The public and private sectors both support extensive technology development. The
private sector spent $46 billion on the development of products and processes in 1989;
the federal government spent $31 billion. Private industry supports the development
of technology to achieve greater success in the marketplace. The federal government
supports technology development to meet broad national needs in such areas as
defense, health, energy, space exploration, and agriculture.
But continued improvement in national productivity and therefore in the American
standard of living -- depends not only on the development of technology but on its
effective deployment. In 1990 U.S. business invested over $500 billion in new plant
and equipment; a substantial fraction of this investment incorporated advanced
technology. Firms also continually make decisions about what kinds of goods and
services to offer, how best to produce those goods or provide those services, what
kinds of employees to hire, how best to train those employees and all of these
decisions increasingly involve technology.
Government cannot and should not make those decisions for private industry. But
government can help create an environment in which institutions have the opportunity
to achieve their fullest technological potential. Through its fiscal, regulatory, and
trade policies, the federal government can reduce the risk for companies that are
developing and deploying advanced technologies. It can work with the private sector
to foster technologies that have broad application in both government and industry.
It can catalyze educational reform to help ensure adequate levels of training in the
-
workforce. And the President, as the leader of the nation, can provide a national
vision and the leadership needed for all Americans and their institutions to realize
that vision.
Political Considerations and Future Prospects
Early statements by the Democratic Presidential candidates indicate that technology
will be a major focus of the 1992 Presidential election. The Democrats are
positioning themselves to seize the initiative on this issue, despite the Administration's
solid record of accomplishments in technology. The upcoming campaign will therefore
require that the President reiterate Bush Administration policies and focus on the
tremendous benefits to be gained by the more effective development and deployment of
technology.
Appendix 1
Page 4
The stakes surrounding technology development are large. Over the next few decades,
scientific research and technological advances are going to present us with
unprecedented opportunities. The transformation of the workplace through its
integration into global networks of information, new forms of energy and
transportation, the conquest of illness -- including mental illness -- all of these
developments and many more are now within our reach. Furthermore, the greatest
opportunities are likely to be those that we cannot today foresee.
The United States will have a tremendous opportunity to strengthen its economy and
boost its citizens' quality of life if it can develop and apply the technologies that
emerge from these advances. We must take steps now to prepare ourselves for these
difficult-to-predict but inevitable developments. We must challenge all Americans to
realize their fullest potential, strive for continuous improvement, and rededicate
themselves to excellence.
#
APPENDIX 2:
CURRENT BUSH ADMINISTRATION POLICIES
THAT AFFECT TECHNOLOGY
The Bush Administration has an outstanding record of supporting and fostering the
creation of innovative technology. These efforts must continue if the United States is
to remain at the forefront of the technological frontier.
Many Administration policies are not generally framed in terms of their direct or
indirect effect on technology. Viewing these policies in the context of technology casts
them in a new light, suggesting new means of implementing and promoting
Administration positions.
What follows is a very selective view of Administration policies as they affect
technology -- a "technology policy" in the broadest sense of the phrase.
Fiscal and Monetary Policy
The Omnibus Budget Reconciliation Act of 1990 will reduce federal deficits by
nearly $500 billion over the next five years, increasing the pool of capital available to
fuel technological advances and economic growth. Better control of the deficit also
enhances the opportunity for the Federal Reserve to pursue a noninflationary
monetary policy.
The proposed reduction in the tax rate on capital gains, greater flexibility for IRA
withdrawals, and family savings accounts would all encourage long-term investments
-
in resources and activities that enhance productivity. It would also encourage the
entrepreneurship that is essential to the creation of new jobs and the
commercialization of new ideas.
Making the research and experimentation (R&E) tax credit permanent, as
proposed by the Administration, would boost private sector R&D and provide more
certainty for firms as they make investment plans.
Legal and Regulatory Policy
The Administration is promoting a legal and regulatory environment that provides
stability for innovation without unnecessary barriers to private investments in R&D
and domestic production.
Appendix 2
Page 2
The proposed expansion of the National Cooperative Research Act of 1984, which
allowed companies to form consortia for precompetitive research and technology
development, would extend the same provisions to joint production ventures,
promoting the commercialization of new technologies.
Support for a single uniform liability law, as proposed by the Administration,
would restore balance to the tort system and reduce the uncertainty surrounding the
introduction of new products.
International Policies
The Administration is continuing to encourage international cooperation in science
and technology for the benefit of all nations.
The Federal Government has participated aggressively in international
standardization efforts to achieve greater harmonization of regulations and standards
for products and processes.
The Administration has been working for better international protection of
intellectual property to allow more benefits to be recovered from R&D investments.
Support for Research and Development
The Bush Administration has proposed substantial increases in research and
development in each of its budgets. In the FY 1992 budget, for example, the
Administration proposed a record $76 billion in research and development, an
increase of 13 percent over FY 1991 enacted levels, despite the constraints of the
budget agreement. Activities targeted for increases include:
-- Basic research at the National Institutes of Health
-- Basic research at the National Science Foundation
-- R&D at the National Institute of Standards and Technology
-- Defense R&D
-- Space activities
-- Global change research
-- Biotechnology R&D
-- Competitive grants at the Department of Agriculture
-- Superconducting Super Collider
-- High performance computing and communications
-- Energy R&D
-- Aeronautics R&D
The President has announced several major budget-related initiatives that heavily
Appendix 2
Page 3
involve technology, including Presidential initiatives in high performance computing
and communications and mathematics and science education.
The Administration has been participating with the private sector in precompetitive
research on generic, enabling technologies that have the potential to contribute to a
broad range of government and commercial applications.
The Administration is maintaining a strong defense technology base to provide
options for future weapons systems and countermeasures development and to help
avoid technological surprises by potential adversaries. Emphasis must be placed on
shortening the time requirements for transferring R&D results to production and on
using commercial products to the maximum extent possible.
Federal-Private Partnerships and Technology Transfer
The Administration is increasing collaborations among industry, Federal
laboratories, and universities, including personnel exchanges, to help convert Federally
supported R&D into new technologies that the private sector can then turn into
commercial products and processes. More than 500 cooperative R&D agreements
between private sector entities and Federal laboratories are in effect, as provided for
by the Technology Transfer Act of 1986.
The Federal Government has improved opportunities for the private sector to
commercialize technologies and computer software developed during the performance
of government contracts by allowing contractors to retain rights in technical data and
by protecting their trade secrets.
Education and Training
The Administration has organized all federal activities in mathematics and science
education into an integrated interagency program and has recommended, in the FY
1992 budget, a 13 percent increase for that effort.
The AMERICA 2000 strategy has furthered the national goal of establishing
standards for what students should know in mathematics and science as they progress
through elementary and secondary school, fostering new methods of assessment that
can spur educational reform and achievement.
#
APPENDIX 3:
PROPOSAL FOR A CONFERENCE
ON "TECHNOLOGY FOR A PRODUCTIVE AMERICA"
The shared interest of the federal government and the private sector in fostering
technological excellence calls for a close working relationship between government and
industry. The proposed conference "Technology for a Productive America" is to be a
clarion call for forging such a long-term relationship.
The conference would be held in early 1992. Attendees would include the President,
key Administration officials, up to 200 industrial leaders (including Chief Executive
Officers, Chief Financial Officers, Presidents, Chief Operating Officers, and top
technical and research officials), and labor leaders.
At an opening plenary session, the President could summarize the current state of
American technological achievement and present a vision of where we hope to be as
we enter the 21st century. The vision could focus on American strengths in science
and technology and on ways of using those strengths to enhance economic growth. It
would emphasize the factors that allow us to make the best use of our technology:
the creative genius and entrepreneurial spirit of our citizens, the political and
economic systems that allow these attributes to flourish.
After the opening plenary session, conference attendees would divide into working
groups in which each level of federal official would meet with the corresponding level
of private sector official: the President with CEOs; appropriate Cabinet officers with
Presidents, Chief Operating Officers, and labor leaders; and R&D executives with
federal science and technology officials. Summaries of the working group
deliberations and conclusions would be available in a final plenary session and could
be woven into a closing address by the President.
Among the desired outcomes of the conference are:
A consensus on the basic principles that inform both public sector and private
sector actions affecting technology.
Enhanced visibility for Administration initiatives and a commitment for further
action.
The development of mechanisms to follow up on actions emerging from the
conference.
Appendix 3
Page 2
A final Presidential statement summarizing the results of the conference and the
steps needed to realize the vision developed at the conference.
As the first step in the planning of such a conference, a steering group of
Administration officials should be formed -- augmented by private sector leaders at a
somewhat later date -- to plan its format and agenda and to discuss its relationship
to other Administration activities.
#
THE WHITE HOUSE
WASHINGTON
October 8, 1991
MEMORANDUM FOR JOHN SUNUNU
FROM:
D. ALLAN BROMLEY
Mar
SUBJECT:
TECHNOLOGY AND A PRODUCTIVE AMERICA
We recently discussed the possibility of recapturing for the President the political
initiative in the area of technology and its impact on American productivity.
As a first step in a program to this end, building on one of your specific suggestions,
I enclose herein three short documents.
1. An overall statement of the Bush Administration's policies in this area.
2. A brief listing of activities and accomplishments of the Bush
Administration.
3. An outline proposal for a Presidential level conference that could be
announced before the end of the year and held in March or April of 1992.
These are attached as appendices 1, 2, and 3, respectively.
I would very much appreciate your suggestions and reactions. If you agree with the
general thrust, after making whatever changes you may wish to suggest I would want
to get the input and support of Dick Darman, Mike Boskin, and Roger Porter in
developing a document that we could present to the President for his possible
approval. I am confident that we can count on enthusiastic participation from most
of the Cabinet Members, based on general conversations that I have had with many
-
of them over the past two months. I am confident that industrial leaders would
respond equally well.
I would look forward to discussing this with you once you have had an opportunity to
glance through the enclosed material and will welcome your comments and
suggestions.
I remain convinced that there is a very exciting opportunity here, if properly
addressed, to highlight the President's leadership in an area of critical importance to
our Nation.
Attachments
APPENDIX 1:
THE ROLE OF TECHNOLOGY
IN BUSH ADMINISTRATION POLICIES
CONCEPT
That the President should adopt technological excellence as a theme of the 1992
campaign and as an important component of the Administration's focus on investing
in the future. As part of this effort, the President should convene and host in early
1992 a national conference on "Technology for a Productive America," which would
bring together key government officials and business leaders to establish a shared
vision of how America can more effectively develop and deploy technology.
BACKGROUND
Throughout its history, the United States has served as a magnet for people who
wished to live and work in a country that permits the fullest expression of their
innate abilities. Our traditions of freedom, individual mobility, access to quality
education, and minimal government interference have led to America's becoming a
world leader in such diverse areas as the arts, higher education, business, scientific
research, defense capability, economic growth, manufacturing productivity, and concern
for the environment.
In our ability to work and express ourselves in unfettered fashion, the United States
has also served as a model to which other nations have aspired. Today the results of
those aspirations are abundantly evident. The dramatic tide of political and economic
reform in the Eastern European countries and Soviet Union is only the most recent
example, with other examples sure to follow.
The development and application of technology have been integral parts of America's
history and of our ideas about ourselves. This country was born during the
Industrial Revolution, pioneered many of the inventions that shaped life in the 19th
and 20th centuries, and is today leading the world through the Information Age into
an era of unimagined possibilities. We are known worldwide for our "can do" spirit
and for the work ethic of our people. In science fairs and engineering competitions,
our best students stand head and shoulders above students from any other country.
Appendix 1
Page 2
Our workforce, schooled in the American tradition of freedom and self-reliance, is
among the most adaptable and flexible in the world.
The effective application of technology has become a key element in the success of
virtually every company in America and therefore a major source of economic
growth. To achieve its greatest returns, leading-edge technology must be fully
integrated with astute management practices, skilled workers, and high levels of
investment. But world leadership in commerce is no longer possible without world-
class technology.
Similarly, technology is playing an ever more pervasive and influential part in our
daily lives. Today most Americans take for granted a standard of warmth,
cleanliness, food, medical care, music, and entertainment that was undreamt of 150 --
or even 50 -- years ago. This great surge forward in our standard of living can and
will continue, and one of our greatest challenges is to ensure that an ever greater
fraction of our citizenry enjoys this heightened quality of life.
Our resourcefulness, optimism, and entrepreneurial genius, coupled with our abundant
natural resources and favorable political climate, have fueled our long history of
unparalleled agricultural and industrial growth. This growth, in turn, has created
opportunities for vast improvements in health care, education, and science, which has
led to still further advances in productivity. This powerful reinforcing cycle has made
America one of the most creative and productive societies in history.
This country has many other strengths. In most respects, the United States continues
to have the strongest science and technology enterprise the world has ever known.
Quality in all sectors of the economy is becoming a national focus. The success of
Operation Desert Storm restored pride and confidence in the American ability to
innovate, organize, meet the challenge of an external threat, and work together in
achieving a shared objective. That same spirit can spur greater productivity, quality
improvement, and economic growth.
But past successes must not lead to complacency. One of the most important lessons
of history is that a nation must continuously renew itself and strive for improvement
if it is to continue to prosper. Several emerging trends are grounds for concern and
renewed American commitment. Low savings rates, compounded by the size of the
U.S. budget deficit, have reduced investment in new productive capacity. For example,
Japan, with an economy half the size of America's, now invests more each year than
we do in new plant and equipment. As a result, new technologies are incorporated
into productive capacity in Japan much more rapidly than they are here.
In addition, a number of countries have become more adept than have U.S.
innovators at incorporating new ideas and devices into new products and processes.
Successful industrial production is today characterized by continuous innovation and
unprecedented levels of production flexibility.
Appendix 1
Page 3
The United States has been and will remain vigilant and prepared in all matters
concerning national security. We must be equally conscious of the need to ensure
that our institutions and individuals have the opportunity to achieve everything they
set out to achieve.
The Development and Deployment of Technology
The public and private sectors both support extensive technology development. The
private sector spent $46 billion on the development of products and processes in 1989;
the federal government spent $31 billion. Private industry supports the development
of technology to achieve greater success in the marketplace. The federal government
supports technology development to meet broad national needs in such areas as
defense, health, energy, space exploration, and agriculture.
But continued improvement in national productivity -- and therefore in the American
standard of living depends not only on the development of technology but on its
effective deployment. In 1990 U.S. business invested over $500 billion in new plant
and equipment; a substantial fraction of this investment incorporated advanced
technology. Firms also continually make decisions about what kinds of goods and
services to offer, how best to produce those goods or provide those services, what
kinds of employees to hire, how best to train those employees -- and all of these
decisions increasingly involve technology.
Government cannot and should not make those decisions for private industry. But
government can help create an environment in which institutions have the opportunity
to achieve their fullest technological potential. Through its fiscal, regulatory, and
trade policies, the federal government can reduce the risk for companies that are
developing and deploying advanced technologies. It can work with the private sector
to foster technologies that have broad application in both government and industry.
It can catalyze educational reform to help ensure adequate levels of training in the
workforce. And the President, as the leader of the nation, can provide a national
vision and the leadership needed for all Americans and their institutions to realize
that vision.
Political Considerations and Future Prospects
Early statements by the Democratic Presidential candidates indicate that technology
will be a major focus of the 1992 Presidential election. The Democrats are
positioning themselves to seize the initiative on this issue, despite the Administration's
solid record of accomplishments in technology. The upcoming campaign will therefore
require that the President reiterate Bush Administration policies and focus on the
tremendous benefits to be gained by the more effective development and deployment of
technology.
Appendix 1
Page 4
The stakes surrounding technology development are large. Over the next few decades,
scientific research and technological advances are going to present us with
unprecedented opportunities. The transformation of the workplace through its
integration into global networks of information, new forms of energy and
transportation, the conquest of illness -- including mental illness -- all of these
developments and many more are now within our reach. Furthermore, the greatest
opportunities are likely to be those that we cannot today foresee.
The United States will have a tremendous opportunity to strengthen its economy and
boost its citizens' quality of life if it can develop and apply the technologies that
emerge from these advances. We must take steps now to prepare ourselves for these
difficult-to-predict but inevitable developments. We must challenge all Americans to
realize their fullest potential, strive for continuous improvement, and rededicate
themselves to excellence.
#
APPENDIX 2:
CURRENT BUSH ADMINISTRATION POLICIES
THAT AFFECT TECHNOLOGY
The Bush Administration has an outstanding record of supporting and fostering the
creation of innovative technology. These efforts must continue if the United States is
to remain at the forefront of the technological frontier.
Many Administration policies are not generally framed in terms of their direct or
indirect effect on technology. Viewing these policies in the context of technology casts
them in a new light, suggesting new means of implementing and promoting
Administration positions.
What follows is a very selective view of Administration policies as they affect
technology -- a "technology policy" in the broadest sense of the phrase.
Fiscal and Monetary Policy
The Omnibus Budget Reconciliation Act of 1990 will reduce federal deficits by
nearly $500 billion over the next five years, increasing the pool of capital available to
fuel technological advances and economic growth. Better control of the deficit also
enhances the opportunity for the Federal Reserve to pursue a noninflationary
monetary policy.
The proposed reduction in the tax rate on capital gains, greater flexibility for IRA
withdrawals, and family savings accounts would all encourage long-term investments
in resources and activities that enhance productivity. It would also encourage the
entrepreneurship that is essential to the creation of new jobs and the
commercialization of new ideas.
Making the research and experimentation (R&E) tax credit permanent, as
proposed by the Administration, would boost private sector R&D and provide more
certainty for firms as they make investment plans.
Legal and Regulatory Policy
The Administration is promoting a legal and regulatory environment that provides
stability for innovation without unnecessary barriers to private investments in R&D
and domestic production.
Appendix 2
Page 2
The proposed expansion of the National Cooperative Research Act of 1984, which
allowed companies to form consortia for precompetitive research and technology
development, would extend the same provisions to joint production ventures,
promoting the commercialization of new technologies.
Support for a single uniform liability law, as proposed by the Administration,
would restore balance to the tort system and reduce the uncertainty surrounding the
introduction of new products.
International Policies
The Administration is continuing to encourage international cooperation in science
and technology for the benefit of all nations.
The Federal Government has participated aggressively in international
standardization efforts to achieve greater harmonization of regulations and standards
for products and processes.
The Administration has been working for better international protection of
intellectual property to allow more benefits to be recovered from R&D investments.
Support for Research and Development
The Bush Administration has proposed substantial increases in research and
development in each of its budgets. In the FY 1992 budget, for example, the
Administration proposed a record $76 billion in research and development, an
increase of 13 percent over FY 1991 enacted levels, despite the constraints of the
budget agreement. Activities targeted for increases include:
-- Basic research at the National Institutes of Health
-- Basic research at the National Science Foundation
-- R&D at the National Institute of Standards and Technology
-- Defense R&D
-- Space activities
-- Global change research
-- Biotechnology R&D
-- Competitive grants at the Department of Agriculture
-- Superconducting Super Collider
-- High performance computing and communications
-- Energy R&D
-- Aeronautics R&D
The President has announced several major budget-related initiatives that heavily
Appendix 2
Page 3
involve technology, including Presidential initiatives in high performance computing
and communications and mathematics and science education.
The Administration has been participating with the private sector in precompetitive
research on generic, enabling technologies that have the potential to contribute to a
broad range of government and commercial applications.
The Administration is maintaining a strong defense technology base to provide
options for future weapons systems and countermeasures development and to help
avoid technological surprises by potential adversaries. Emphasis must be placed on
shortening the time requirements for transferring R&D results to production and on
using commercial products to the maximum extent possible.
Federal-Private Partnerships and Technology Transfer
The Administration is increasing collaborations among industry, Federal
laboratories, and universities, including personnel exchanges, to help convert Federally
supported R&D into new technologies that the private sector can then turn into
commercial products and processes. More than 500 cooperative R&D agreements
between private sector entities and Federal laboratories are in effect, as provided for
by the Technology Transfer Act of 1986.
The Federal Government has improved opportunities for the private sector to
commercialize technologies and computer software developed during the performance
of government contracts by allowing contractors to retain rights in technical data and
by protecting their trade secrets.
Education and Training
The Administration has organized all federal activities in mathematics and science
education into an integrated interagency program and has recommended, in the FY
1992 budget, a 13 percent increase for that effort.
The AMERICA 2000 strategy has furthered the national goal of establishing
standards for what students should know in mathematics and science as they progress
through elementary and secondary school, fostering new methods of assessment that
can spur educational reform and achievement.
#
APPENDIX 3:
PROPOSAL FOR A CONFERENCE
ON "TECHNOLOGY FOR A PRODUCTIVE AMERICA"
The shared interest of the federal government and the private sector in fostering
technological excellence calls for a close working relationship between government and
industry. The proposed conference "Technology for a Productive America" is to be a
clarion call for forging such a long-term relationship.
The conference would be held in early 1992. Attendees would include the President,
key Administration officials, up to 200 industrial leaders (including Chief Executive
Officers, Chief Financial Officers, Presidents, Chief Operating Officers, and top
technical and research officials), and labor leaders.
At an opening plenary session, the President could summarize the current state of
American technological achievement and present a vision of where we hope to be as
we enter the 21st century. The vision could focus on American strengths in science
and technology and on ways of using those strengths to enhance economic growth. It
would emphasize the factors that allow us to make the best use of our technology:
the creative genius and entrepreneurial spirit of our citizens, the political and
economic systems that allow these attributes to flourish.
After the opening plenary session, conference attendees would divide into working
groups in which each level of federal official would meet with the corresponding level
of private sector official: the President with CEOs; appropriate Cabinet officers with
Presidents, Chief Operating Officers, and labor leaders; and R&D executives with
federal science and technology officials. Summaries of the working group
deliberations and conclusions would be available in a final plenary session and could
be woven into a closing address by the President.
Among the desired outcomes of the conference are:
A consensus on the basic principles that inform both public sector and private
sector actions affecting technology.
Enhanced visibility for Administration initiatives and a commitment for further
action.
The development of mechanisms to follow up on actions emerging from the
conference.
Appendix 3
Page 2
A final Presidential statement summarizing the results of the conference and the
steps needed to realize the vision developed at the conference.
As the first step in the planning of such a conference, a steering group of
Administration officials should be formed -- augmented by private sector leaders at a
somewhat later date -- to plan its format and agenda and to discuss its relationship
to other Administration activities.
#
THE WHITE HOUSE
WASHINGTON
April 18, 1991
Dear Mr. Fisher:
Thank you for your letter of March 26 inviting me to be the keynote speaker at your
Annual Conference scheduled for June 27 in Long Island, New York.
Although I would very much like to join you, particularly given the importance and
potential of the communications industry, my schedule for the month of June is
completely booked, so I must regretfully decline.
I appreciate your thinking of me and would like to offer my best wishes for a
successful conference.
Sincerely yours,
Damn Romley. D. Allan Bromley
The Assistant to the President
for
Science and Technology
Mr. Fen Fisher, Chairman
Long Island Forum for Technology, Inc.
P.O. Box 170
Farmingdale, Long Island, New York 11735
"INVITATION FOR DR. BROMLEY"
TYPE: INVITATION-SPEECH
DOCUMENT NUMBER: 9120958
SPEECH:
YES
NO
FROM:
FISHER, Fen: LIFT
DATE OF EVENT: 06/27/91
LOCATION OF EVENT: RADISSON PLAZA HOTEL, LONG ISLAND, NEW YORK
TIME OF EVENT: 01:15PM
SUBJECT:
INVITATION TO BE THE KEYNOTE SPEAKER AT LIFT'S
ANNUAL CONFERENCE TITLED, "INFORMATION IN THE 21st
CENTURY: POTENTIALS AND OPPORTUNITIES."
RSVP:
CONTACT PERSON:
CONTACT NUMBER:
INVITATION ACCEPTED?
App
NO
COPIES TO:
Dr. Wong
REMARKS:
DATE OF LETTER:
03/26/91
DATE RECEIVED: 04/01/91
FILE:
INVITATION-SPEECH
LIFT
LONG ISLAND FORUM FOR TECHNOLOGY, INC., P.O. Box 170, Farmingdale, Long Island, New York 11735 (516) 755-3321 FAX (516) 755-9264
CHAIRMAN
FENIMORE FISHER. Synergy Gas
PRESIDENT
March 26, 1991
GEORGE C. SOOS
FIRST VICE CHAIRMAN
2
BRIAN M. MALONEY. Harris Corp-GSSD
Dr. Allan Bromley
48
SECOND VICE CHAIRMAN
BERNARD LEIBOWITZ. Loral Microwave-Narda
Director
THIRD VICE CHAIRMAN
ALLAN E. GREENBERG. Cardion Electronics
Office of Science Technology Policy
*VICE PRESIDENTS
Executive Office of the President
STEPHEN A. BARRE. Servo Corp of America
JAMES J. CONTI. Webb Institute
Washington, D.C. 20500
ALEXANDER COVER. Ernst & Young
CHARLES H. HERBERT. General Instrument-GSD
IRA H. LEIBOWITZ. Leibowitz, Peterson & Kane
KENT R. MARTIN. Republic Electronics
Dear Dr. Bromley:
C. KENNETH MORRELLY, Dayton T. Brown. Inc
MICHAEL A. PELLE. Loral Fairchild Systems
ERNEST B. RACZ. Polytechnic University
DAVID G. SALTEN. Nassau County IDA
The Long Island Forum for Technology, Inc. (LIFT) invites you to
JERRY R. SCHUBEL SUNY at Stony Brook
be the luncheon keynote speaker at our Annual Conference, on
SECRETARY
*ROBERT J. CIOVACCO. Whitman. Ciovacco & Gorray. PC
Thursday, June 27, 1991. Titled, "INFORMATION IN THE 21ST
TREASURER
*RICHARD E. MAIKIS. Maikis Associates. Inc
CENTURY: POTENTIALS AND OPPORTUNITIES", this full day
ASSISTANT EXECUTIVE DIRECTOR
conference will be held at Radisson Plaza Hotel, 1350 Old Walt
STEFANIE M. EISNER
CHIEF EXECUTIVE COUNCIL
Whitman Road, Melville, Long Island, NY 11747.
CHARLES E. BARRON. AIL Systems. Inc
*GEORGE BUGLIARELLO. Polytechnic University
As Long Island seeks to diversify its high technology industry base,
ALLEN E. BUSCHING. Lambda Electronics
we believe our region is well positioned to capitalize on the
RONALD S. COOPER. Ernst & Young
HON. THOMAS J. DOWNEY. 2nd C.D.
extraordinary foreseeable growth of the information industry. For
ANGELO FILOSA, Hazeltine Corp.
JOEL M. GAZES. Coopers & Lybrand
example, our region is home to the world's leading independent software
HON GEORGE J. HOCHBRUECKNER. 1st CD
GEORGE G. HOUSER. Unisys
provider Computer Associates International; the world's leading
HON NORMAN F. LENT. 4th C.D.
*RICHARD E. MAIKIS. Maikis Associates. Inc
information systems company Reuters Information Services; and, the
*BRIAN M MALONEY. Harris Corp-GSSD
HON. RAYMOND J. McGRATH, 5th C.D.
world's leading developer of bar code scanning - Symbol Technologies.
*VICTOR P. MESKILL. Dowling College
In addition, a significant portion of our core defense industry is devoted
HON. ROBERT J MRAZEK. 3rd C.D.
HON. JAMES T. SCHEUER 8th C.D.
to information products, including command and control systems, avionics
BOARD OF DIRECTORS
and telecommunications.
RALPH A. BAUM. ILC Data Device Corp
DANIEL A. CASTELLANO, Biscotti. Grassi & Co
FRANK A CIPRIANI. SUNY at Farmingdale
Lunch is at 12:30 p.m. You will be introduced at 1:15 p.m. Currently,
THOMAS J. DEGNAN. NSHUH-Biomedical Research Ctr
the time allotted for your remarks is 45 minutes with or without Q/A
GENE DeMARK. KPMG Peat Marwick
WILLIAM EWING. Nat'l Westminster Bank USA
as you prefer. The Conference will reconvene at 2:30 p.m. The
JOHN A. FARRIS. Pall Corporation
MURRAY H. FEIGENBAUM, Logimetrics
Conference will include top business executives and senior government
GRAHME FISCHER. Technical Problem Solvers Inc.
PAUL R FREEMAN. P.R. Freeman & Co Inc
officials. I have enclosed an initial draft conference program which
STEVEN M. GOLDSCHEIN. Lambda Electronics
J RUSSELL HAWKINS. A T & T
illustrates the flavor of the event. We expect 250 people to be in
EDWARD A. HEIL Deloitte Touche
attendance.
RICHARD K. KOEHN. Center for Biotechnology
DOUGLAS W. KURZ. Coopers & Lybrand
JOHN H. MARBURGER. SUNY at Stony Brook
LIFT is a nonprofit organization prepared to reimburse your round
JAMES T McCARTHY. Norstar Bank
RONALD M MILLER Marks Polarized Corporation
trip travel expenses from Washington, D.C., to Long Island, New York.
RICHARD C. ORTH. Gen'l Applied Science Labs. Inc
Details of your travel schedule, including pickup at the airport and
L. EUDORA PETTIGREW SUNY at Old Westbury
A.C. PROVIDENTI. Precision Electronics. Inc
return transport to your next appointment, will be worked out with your
KENNETH C RISCICA. Arthur Andersen & Co
staff.
HEINZ ROSEN. Underwriters Laboratories
ARTHUR L. ROSSOFF. Arthur Rossoff & Associates
CHARLES N RUGGIERO. Grimes & Battersby
Since we are attempting to confirm the conference program as soon
DONALD L SCHILLING SCS Telecom
PATRICIA A SCHOPPMEYER. Unisys
as practicable, your reply before April 15 would be appreciated. We
MURRAY SIMPSON Sedco Systems
await your favorable response to our invitation and look forward to
JOHN P TUTUNJIAN. Consultant
LEONARD ZUCKERMAN. Electronic Dev Assoc Inc.
greeting you on June 27.
PAST PRESIDENTS/CHAIRMEN
SANTOS T. ABRILZ Apoca Industries
HENRY BACHMAN Hazeltine Corp.
*HERMAN FIALKOV. PolyVentures
Sincerely,
*PAUL G. HOLCOMBE. Consultant
LAWRENCE M. MEAD
*KARLE S. PACKARD. Consultant
*BERNARD "BUD" PEYTON, AIL Systems. Inc.
7en Fusher
*ROBERT J. SANATOR. Geotel. Inc.
*ELSTON SWANSON. Instruments for Industry. Inc.
DAVID WESTERMANN. Westermann & Tryon
Fen Fisher, Chairman
*Board Member
THE WHITE HOUSE
WASHINGTON
January 3, 1991
Dear Jim:
Thank you for your letter of December 12, 1990 outlining DOE's responses to the
review of technology transfer contract clause provisions under the National
Competitive Technology Transfer Act of 1989 (NCTTA).
Although much remains to be accomplished, I feel, as you know, that DOE has made
remarkable progress over the past two years in the area of technology transfer. Based
on my conversations with DOE laboratory directors, it is clear that technology
transfer, as well as the alliances that can be built among laboratories, industries and
universities, are priority items. While this mission requires further strengthening,
much progress has obviously been made. In addition, the streamlining of the
contractual process and the strengthening of industry's rights under a CRADA, has
remarkably enhanced industry's interest in working with DOE laboratories.
This process is going to take time. Industry and the DOE laboratories simply are not
accustomed to working together in this mode. DOE laboratories must be maintained
from a marketing standpoint to appear more attractive to industry.
We look forward to working with you in this important endeavor.
Sincerely,
Ima
D. Allan Bromley
Assistant to the President
for
Science and Technology
The Honorable James D. Watkins
Secretary of Energy
Washington, D.C. 20585
THE WHITE HOUSE
WASHINGTON
July 9, 1991
Dear Jim:
Many thanks for sending me a copy of "Technology '90." This is a very impressive
document that I have read with both pleasure and profit.
I am happy to know that you have found our document "US Technology Policy" to be
useful and I hope that the later report on critical technologies will also be of use to
the people in the DOE laboratories and to you and your staff.
I consider that it is very important to produce reports of this nature and to do them
in an attractive fashion so that the contents are not only accessible but attractive to
people other than the scientific audience to whom we normally speak. In that light, I
would ask that you pass on my congratulations to whoever was responsible for
producing this particular volume because I think it marks a new level of
sophistication and attractiveness for such reports.
I look forward to seeing you soon.
With warmest best wishes,
Sincerely yours,
Danan D. Allan Bromley Romby
The Assistant to the President
for
Science and Technology
The Honorable James D. Watkins
Department of Energy
Washington, D.C. 20585
"CORRESPONDENCE TRACKING"
TYPE:
CABINET MEMBER INFORMATION
DOCUMENT NUMBER: 9121773
ORIGINATOR: 02
STATUS I
DIRECTORATE STATUS
FROM:
WATKINS, James D.: THE SECRETARY OF ENERGY
TO:
DR. D.A. BROMLEY
DATE OF
CORRESPONDENCE: 06/17/91
SUBJECT: A COPY OF "TECHNOLOGY 90" AND A THANK YOU FOR DR.
BROMLEY'S CONTINUED SUPPORT OF THE DEPARTMENT'S
SCIENCE & TECHNOLOGY PROGRAMS.
DIRECTORATE
STAFF
ASSIGNED:
ASSIGNED:
ACTION
STAFF
REQUIRED:
ACTION:
SENDER'S DUE DATE:
OSTP DUE DATE:
STAFF DUE DATE
DATE COMPLETED:
DATE COMPLETED/DEPT:
COPIES TO: D. Allan Bromley
Carl Bretscher
Ken Yale
INDUSTRIAL
PHYSICAL SCIENCES
WHITE HOUSE TRACKING #:
CONTACT PERSON:
PHONE:
EXT:
REMARKS:
OSTP RECEIVED: 06/17/91
FILE: CABINET MEMBER*TECHNOLOGY
DEPT RECEIVED:
9121773
BRKIMENT OF ENERGY
The Secretary of Energy
STATES OF AMERICA
Washington, DC 20585
RECEIVED
June 13, 1991
91 JUN 17 P2: 56
OFFICE C
The Honorable D. Allan Bromley
DIRECTOR
Assistant to the President
for Science and Technology
The White House
Washington, D.C. 20500
Allan
Dear Dr. Bromley:
It is a pleasure to send you a copy of "Technology '90," the
latest in a series of reports describing technology transfer
accomplishments and opportunities at Department of Energy (DOE)
laboratories. Continued leadership in science and technology is a
key to improving U.S. industrial competitiveness. The science and
technology of the DOE research programs and laboratories are a
valuable national asset. Consistent with recent legislation and
Administration policy, I am committed to maintaining this strong
technology base and to transferring the scientific knowledge and
enabling technologies that it produces to the private sector.
The work of your organization in developing the Administration's
"Technology Policy" report and in assisting in the identification
of technologies critical to U.S. competitiveness has provided an
invaluable roadmap for structuring our national research and
development and technology transfer strategy. As part of
implementing this strategy, I have tasked DOE programs and
laboratories to strengthen and expand their relationships with
private industry, academia, and State and local government
agencies. Such collaboration will be essential to increasing and
accelerating the transfer of technology to private industry.
The enclosed report highlights technologies in the areas of
energy, environment and waste management, instrumentation, biology
and medicine, computers, materials science, and manufacturing
processes. It is being widely distributed to key members of
industry, academia, and the media. We welcome your comments on
"Technology '90" as we seek to expand awareness of the
technological capabilities of the DOE laboratories.
I wish to take this opportunity to thank you for your continued
support of the Department's science and technology programs. DOE
is committed to working with you in a concerted effort to continue
-2-
to enhance our Nation's science and technology resources and to
make these resources more accessible to U.S. industry.
Sincerely,
Jin James D. Watkins
Admiral U.S. Navy (Retired)
Enclosure
THE WHITE HOUSE
WASHINGTON
January 2, 1991
Dear Mr. Secretary:
I would like to call your attention to an October 1991, Department of Energy publication,
Health Bulletin, recently called to my notice, which reports a study of male breast cancer
in males occupationally exposed to electromagnetic ~fields (copy enclosed). A
memorandum from Dr. Paul Ziemer asked that this be distributed to all DOE and DOE-
contractor workers.
I am deeply concerned about a communication such as this which highlights a single
study showing an association of uncertain meaning between an occupational exposure and
the development of a disease. In distributing the document as has been done, it implies
a DOE endorsement that EMF is an exposure risk which supervisors should address.
However, as the authors themselves have cautioned, care must be taken in interpreting
the results of the study. This is indeed pointed out in the Health Bulletin but from a
casual reading of the document, I suspect that the average unsophisticated supervisor
might well conclude that EMF was a proven risk in the development of breast cancer,
at least in males, and endeavor to take action accordingly.
The broader problem, as I see it, is the fact that there are increasing numbers of studies
of all types showing all manner of "associations" between environmental insults and
health, many of which are contradictory and some of which are biologically dubious. I
am sure you would agree that from a practical policy perspective, we would be ill-
advised to encourage action with respect to supposed environmental hazards until a
reasonably solid scientific case had been made. It would seem to me that a document
such as the Health Bulletin which is sent to all manner of persons, both scientists and
non-scientists, bears a special responsibility in maintaining an appropriate perspective.
Let me take this occasion to wish you, and all the Watkins, a very healthy, happy and
rewarding 1992.
Sincerely,
Dra
D. Allan Bromley
The Assistant to the President
for
Science and Technology
Enclosure
The Honorable James D. Watkins
Secretary of Energy
1000 Independence Aveune, S.W.
Washington, D.C. 20585
THE WHITE HOUSE
WASHINGTON
July 9, 1991
Dear Jim:
Many thanks for sending me the detailed breakdown of the "pork" in your
Department. I agree totally that it will be important to get equivalent numbers for
as many other departments as possible. Only by making very evident what is taking
place can we hope to in fact force a more rational distribution of Federal funding.
I much appreciate your help in getting this documentation and I am looking forward
to meeting with you in the very near future because there are a number of rather
important topics that we should discuss.
With warmest best wishes,
Sincerely yours,
Anan
D. Allan Bromley
The Assistant to the President
for
Science and Technology
The Honorable James D. Watkins
Secretary
Department of Energy
Washington, D.C. 20585
"CORRESPONDENCE TRACKING"
TYPE:
INFORMATION
DOCUMENT NUMBER: 9121405
FROM:
WATKINS, James D.: SECRETARY OF ENERGY
TO:
DR. BROMLEY
DATE OF
CORRESPONDENCE: 05/08/91
SUBJECT: MEMORANDUM FOR DR. BROMLEY REGARDING INFORMATION ON
CONGRESSIONALLY DIRECTED PROJECTS ("PORK") AT THE
DEPARTMENT OF ENERGY.
ASSIGNED TO:
ACTION REQUIRED:
SENDER'S DUE DATE:
OSTP DUE DATE:
DATE COMPLETED:
COPIES TO: D. Allan Bromley
Dr. Phillips
Thomas Ratchford
Ken Yale
Dr. Wong
Dr. Henderson
WHITE HOUSE TRACKING #:
CONTACT PERSON:
REMARKS:
DATE RECEIVED:
FILE:
1121403
RIMENT OF
ENERGY STATES OF
The Secretary of Energy
RECEIVED DC 20585
May 8, 1991
91 MAY 14 P12:31
OFFICE
DIRECTOR
MEMORANDUM FOR THE HONORABLE D. ALLAN BROMLEY
ASSISTANT TO THE PRESIDENT FOR
SCIENCE AND TECHNOLOGY
SUBJECT:
INFORMATION ON CONGRESSIONALLY
DIRECTED PROJECTS ("PORK") AT THE
DEPARTMENT OF ENERGY
Allan:
At our last FCCSET meeting, I promised to send you a
list of the congressionally directed projects in DOE's
FY 1991 budget. I have attached two papers that
delineate the pork that was put in our budget.
Attachment I shows the pork that was added and the cuts
in the legitimate science projects that we requested in
the President's FY 1991 budget proposal. You will see
that we lost a total of $143.7 million in good science
and gained $141.6 million in pork. Attachment II shows
how the congressionally directed funds are to be spent.
As you will see, the vast majority are used for "bricks
and mortar" projects.
As a first step toward a coordinated effort against
"pork", I think it would be worthwhile to collect this
type of data from all science agencies.
Sin James D. Watkins
Admiral, U.S. Navy (Retired)
Attachments
P.S. "Directed Projects" = "Pork"
ATTACHMENT I
DEPARTMENT OF ENERGY
FY 1991 CONGRESSIONALLY DIRECTED PROJECTS ANALYSIS
(Dollars in millions)
FY 1991
FY 1991
REQUEST
APPROPRIATION
CHANGE
Biological and Environmental Research
R&D
$338.8
$321.7
-17.1
Directed Projects
--
72.2
+72.2
TOTAL:
$338.8
$393.9
+55.1
Basic Energy Sciences
R&D
$648.7
$652.6
+3.9
Directed Projects
--
59.2
+59.2
TOTAL:
$648.7
$711.8
+63.1
University and Science Education
DOE Program
$34.7
$36.4
+1.7
Directed Projects
--
10.2
+10.2
TOTAL:
$34.7
$46.6
+11.9
Fusion Energy
$325.2
$273.6 *
-51.6
Superconducting Super Collider
$317.9
$242.9
-75.0
* Excludes $16 million reprogramming
Summary:
Cuts to R&D
-143.7
Adds for Directed Projects
+141.6
ATTACHMENT II
DEPARTMENT OF ENERGY
1991 Congressionally Directed Projects
UNIVERSITY AND SCIENCE EDUCATION
EPSCoR Planning Grants *
$2,000,000
EPSCoR Graduate Traineeships *
2,000,000
Nuclear Engineering; University Nuclear Engineering Programs
5,000,000
Upgrading of University Reactors
1,000,000
Rural Enterprises, Inc.
200,000
Clark Atlanta University; Research Center for Science & Tech.
a/..
Total University and Science Education
$10,200,000
BIOLOGICAL AND ENVIRONMENTAL RESEARCH
Alabama, University of; Biomedical Research Facility
$9,942,000
Case Western Reserve University; Biomedical Research Facility
9,942,000
Childrens Hospital, Detroit, MI; Equip to support demo on
Position Electron Tomography
7,953,600
Laser Medical Applications Centers; Est. Cntrs. of Excellence
1,472,659
Louisiana State University; Biomedical Research Institute
12,427,500
Misericordia Hospital, Phila, PA; 6-MEV linear Accl. for Cancer
2,087,820
Oregon Health Sciences University; Neurosurgery Research Institute 12,427,500
South Carolina, Medical University of; Cardiac Research Institute 5,965,200
West Virginia University; Center for Nuclear Medicine in Alzheimers 9,942,000
Total-Biological and Environmental Research
$72,160,279
BASIC ENERGY SCIENCE
Material Sciences
Fort Hayes State University; Physical Science Center
$1,988,400
Oklahoma State Univ.; Advance Technology Research Center
4,971,000
Indiana State Univ.; Advanced Technology Center
4,814,414
Univ. Of New Orleans,; Center for Energy Resources Management
9,942,000
Boston College; Energy Sciences Research Facility
9,942,000
Purdue; Hqs. of Midwest Superconductivity Consortium
2,982,600
N. Iowa, University of; Center for Energy & Environmental Educ.
3,976,800
Center of Excellence
4,971,000
Ames: Technical and Admin. Services Facility
2,982,600
West Virginia University; planning of proposed Research Center
248,550
ENGINEERING AND GEOSCIENCES
Fort Hayes State University; Physical Science Center
$1,988,400
ADVANCED ENERGY PROJECTS
Louisiana Tech. University; Manufacturing Systems
Engineering Research Center
$745,650
Nebraska Univ. of; Nebraska Center for Science & Tech.
5,666,940
Diag. Instr. Anal. Lab., Miss. St. Univ.; Tech Transfer
3,976,800
Total-Basic Energy Science
$59,197,154
TOTAL CONGRESSIONALLY DIRECTED PROJECTS:
$141,557,433
a/ No amount specified, just language encouraging support
* EPSCoR, Experimental Program to Stimulate Competitive Research Programs