November 17, 2006

APPROPRIATIONS - STATUS & OUTLOOK FOR FY2007 SPENDING BILLS (NIH, NSF & DOE)

 

FY2007 Outlook
With the elections behind them, Congress reassembled the week of November 12th for a lame-duck session that was to have been mostly devoted to completing work on the ten remaining FY2007 spending bills, including the measures that fund the National Institutes of Health, the National Science Foundation and the Department of Energy’s Office of Science. However, Congress ended up being so consumed with their internal leadership races that final decisions on the FY2007 Appropriations bills will be postponed until after Thanksgiving.


As a result, Congress passed a continuing resolution (CR) that provides funding through December 8th for agencies whose FY2007 spending bills have not yet been enacted. For agencies for which neither the House nor Senate passed a bill by October 1, 2006, such as NIH, the funding rate is at the FY2006 current rate. Given the limited amount of time left in the year, it is unlikely that Congress will be able to pass every bill separately. Therefore, the odds are increasing that Congress will have to resort to an Omnibus bill, where numerous bills are cobbled together and voted on as a single package, or pass a long-term CR lasting into early 2007.


NIH
The specific bill that provides funding for NIH (the Labor-HHS-Education Appropriations bill) was the lone spending bill that did not reach the House floor for a vote. The Senate also has not scheduled a vote on its version of the Labor-HHS-Education spending bill. Therefore, with only a few weeks remaining in the lame-duck session, it is beginning to look like NIH will have to operate under a long-term CR, most likely until February, 2007. The inadequate funding levels for important health and education programs, including NIH, is making it increasingly likely that Congress will decide to put off consideration of the bill until next year. However, because we believe that there is a small window of opportunity to convince legislators to complete action on the Labor-HHS-Education bill before adjourning for the year, FASEB plans to make one last push to persuade Congress to provide an additional $2 billion for important health and education programs. Such action would prevent NIH from continuing to lose purchasing power.


FASEB’s Action Plan
The day Congress returns from its Thanksgiving recess (December 4, 2006), FASEB’s Office of Public Affairs plans to facilitate an effort to contact and encourage its 80,000 Society member colleagues to implore their respective Senators and House member to restore funding for labor, health, and education programs to the FY2005 funding level. This will require that Congress provide an additional $2 billion to the Senate Labor-HHS-Education Appropriations Subcommittee’s allocation. FASEB society members can expect to receive a sample letter to send to their Congressional Members as well as instructions on how best to ensure that your voice is heard on Capitol Hill. We encourage you to participate in this effort and take time to explain to your Members of Congress that they should view NIH as a national priority.


If additional funding is not added to the Labor-HHS-Education Appropriations bill, NIH’s FY2007 appropriation most likely will fall somewhere between the levels recommended by the Senate ($28.5 billion, a .78 percent increase) and House ($28.3 billion, an amount equal to FY2006).


NSF & DOE
Incoming Speaker of the House Nancy Pelosi (D-CA) met with President Bush after the elections, and in an apparent effort to demonstrate goodwill, Ms. Pelosi indicated that Democrats will take up the “innovation agenda” laid out by President Bush in his State of the Union address last January and pass his proposal to increase funding for basic research in the physical sciences and alternative energy programs. Therefore, this would mean that the National Science Foundation (NSF) and Department of Energy’s (DOE) Office of Science would receive significant increases in FY2007 and beyond. The President’s American Competitiveness Initiative proposed to double the budgets over ten years for both agencies. And, at this point, the House and Senate are backing the President’s proposal and have recommended that NSF receive $6.0 billion in FY2007, which would represent a 7.9 percent increase over FY2006, while DOE’s Office of Science is scheduled to receive $4.1 billion, which would represent a 14.1 percent increase over FY2006.
 

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NIH REAUTHORIZATION

 

The election results completely changed the outlook for NIH Reauthorization during the lame-duck session. With Democrats poised to become the majority party in January in
both the Senate and House of Representatives, it’s expected that very little legislation is likely to pass during the lame-duck session unless the legislation enjoys broad support in both Houses of Congress. While the NIH Reauthorization bill passed overwhelmingly in the House by a vote of 414-2, it does not enjoy the same kind of support in the Senate. Specifically, Senators Tom Harkin (D-IA), Arlen Specter (R-PA) and Edward Kennedy (D-MA) have made it clear that they oppose capping NIH’s annual growth rate at five percent, mandating that fifty percent of all new dollars go to the common fund, and allowing NIH to implement organizational changes without the approval of Congress.

 

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INSIDE (The Beltway) SCOOP - Jon Retzlaff, Legislative Director

 

During the past few years, FASEB and the broader biomedical research community have consistently conveyed the message that the erosion of NIH’s budget is occurring at a time when opportunities for scientific progress and advances in human health have never been greater. Unfortunately, Administration officials and Republican leaders have chosen to mostly ignore this message and have continued to support inadequate budgets for NIH since 2003.


However, the election results from November 7, 2006, provide us with an opportunity to alter the dynamics surrounding the debate on funding NIH. While in the minority, many influential Democrats strongly criticized the Bush Administration and Republican leaders for not supporting NIH. Now that those same Democrats will become part of the majority and control the agenda on Capitol Hill, we are hopeful that those who spoke so eloquently in support of the agency (while in the minority) will introduce proposals (when in the majority) to fund NIH at sufficient levels to take advantage of the enormous scientific opportunities that exist today.


For example, earlier this year, the incoming Chair of the House Appropriations Committee, David Obey (D-WI) said, “Another area where we are neglecting needed investments is biomedical research at the National Institutes of Health. By most measures, NIH is now going backward in terms of research funding and purchasing power. This is not the time to be slamming on the brakes, as scientists begin to translate those advances into new therapies for diseases like cancer or Parkinson’s or Alzheimer’s.” In addition, Senator Edward Kennedy (D-MA), the incoming Chairman of the Health, Environment, Labor and Pensions Committee, expressed astonishment that four out of five ideas were rejected in FY2006. He further remarked that, “This will be the highest percent of grant rejections in decades. In these grants lie the possibilities of life saving treatments and cures.” Senator Kennedy concluded his statement by pointing out that, “the possibility of achieving breakthroughs that benefit every family in America are virtually unlimited if we invest the resources.”


And, while we understand that the extraordinarily tight federal budgets will continue, many influential Democrats have said that NIH funding is important regardless of the state of our current fiscal environment. For example, the incoming Senate Assistant Majority Leader, Richard Durbin (D-IL) recently stated, “In this troubled time, when we are having difficulties with our budget, the one area we absolutely must protect is medical research at the National Institutes of Health.” The incoming Senate Labor-HHS-Education Appropriations Subcommittee Chairman Tom Harkin (D-IA) also recently said, “Medical research is the sole hope we can provide to millions of Americans who will experience disease and disability either in their own lives or in their families.”

 

 

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GO BACK TO NOV 17, WASHINGTON UPDATE

 

FASEB’s Washington Update is brought to you bi-monthly by the FASEB Office of Public Affairs. We welcome your questions and comments – please contact Carrie Wolinetz at cwolinetz@faseb.org or 301-634-7650. For more information about how to get involved in research advocacy, visit: http://capwiz.com/faseb/home/

 

   
   
 

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