Implementation

President Obama signed the stimulus bill (sorry I didn't blog when the senate voted it out, but hey it was all over the news...). So now what.

Implementation, that's what.

Here's what we know, or more likely, what we DON'T know:

1. Research. Each agency (see below) is scrambling to establish guidelines regarding the stimulus dollars. Some agencies, we've heard, believe that they have enough proposals in the queue or that received meritorious marks (yet no money to fund) that will comply with the stimulus goals. Some agencies may require RFP's, etc. So we're anxiously awaiting instructions. NIH is holding a meeting today so we might get a sense there. All agencies will need to get the money out fast. And keep a separate accounting of how the funds are expended. So any institution that receives said funds will need to keep this in mind. Stay tuned.

2. State stabilization funds. This is now a state issue. Governors across the country are looking at all that is associated with accepting these funds. Texas included. What we're interested in is this: If Texas agrees to accept funding that can be used for education purposes, how much will be allocated to higher education and for what purposes? Will keep you posted on that.

If anybody hears anything regarding how the federal research dollars may be spent at a particular agency, then email me. We're in the "fact finding" stage. Or is that RUMOR gathering stage?

One down, one to go...oh and a signature.

The House today passed the conference committee report known as the American Recovery and Reinvestment Act, HR 1. 246-183. OK, the economic stimulus bill. No Repubs voted for the bill. Seven Dems voted no, with one "present." The senate should take it up shortly. Word is the president wants to sign on Monday.


One aspect of the bill not covered in my last entry is the State Fiscal Stabilization funding. [The research and financial aid provisions are noted below]. $53.6 billion to be exact. $39.5 billion is set for elementary, secondary, and public higher education. Nearly $8.8 billion would be allocated for "other government services." No word on the State of Texas share.


There are some "strings" attached and we're just now getting the first reading of the bill so details are sketchy. Even though infrastructure funding was not allocated per se, these "stabilization" dollars could be utilized for construction if deemed appropriate at the state level.


Oh, new word for Beltway speak: "covered funds." In essence any stimulus funds are now defined in the bill as "covered funds." So throw this around, as in, "I have a really great NSF proposal I submitted recently that got high marks so I'm hoping it will received covered funds.'"


Oh, on that note: PI's pay attention. It is possible that most if not all, "covered funds," will be allocated to projects/proposals that are already in the queue. That is, projects that were deemed meritorious by an agency (NSF, etc.) but there were not any funds available. So it is entirely possible that there will not be any "new" RFP's, BAA's or the like issued in order to distribute funding. We've heard this about NSF, not too sure if that applies to NIH.


AGAIN, THIS IS JUST TALK and NOT FACT. We'll have to wait for agencies to issue instructions.


Whew......

Well. That was quick.....

Ok, we have a deal. Struck late yesterday afternoon. Well, among the leadership--House, Senate and WH. Rank and file members are taking it all in today.

So what's in it? A conference committee report has not been released. But the press releases have. Speaker Pelosi issued one and here are some areas that affect higher education:

• Investing in Scientific Research (More than $15 Billion)
  o Provides $3 billion for the National Science Foundation, for basic research in fundamental science and engineering – which spurs discovery and innovation.
  o Provides $1.6 billion for the Department of Energy’s Office of Science, which funds research in such areas as climate science, biofuels, high-energy physics, nuclear physics and fusion energy sciences – areas crucial to our energy future.
  o Provides $400 million for the Advanced Research Project Agency-Energy (ARPA-E) to support high-risk, high-payoff research into energy sources and energy efficiency in collaboration with industry.
  o Provides $580 million for the National Institute of Standards and Technology, including the Technology Innovation Program and the Manufacturing Extension Partnership.
  o Provides $8.5 billion for NIH, including expanding good jobs in biomedical research to study diseases such as Alzheimer’s, Parkinson’s, cancer, and heart disease.
  o Provides $1 billion for NASA, including $400 million to put more scientists to work doing climate change research.
  o Provides $1.5 billion for NIH to renovate university research facilities and help them compete for biomedical research grants.
• Extending Broadband Services
  o Provides $7 billion for extending broadband services to underserved communities across the country, so that rural and inner-city businesses can compete with any company in the world.
  o For every dollar invested in broadband, the economy sees a ten-fold return on that investment.

Some other general educational provisions were noted, yet it is not altogether clear higher education's role (sans the financial aid piece) in some of this--infrastructure for one:

• Preventing Teacher Layoffs and Education Cuts by the States
  o Prevents teacher layoffs and other cutbacks in education and other key services, by establishing a $53.6 billion State Fiscal Stabilization Fund, including $40.6 billion to local school districts using existing funding formulas, which can be used for preventing cutbacks, preventing layoffs, school modernization, or other purposes; $5 billion to states as bonus grants for meeting key performance measures in education; and $8 billion to states for other high priority needs such as public safety and other critical services, which may include education.
• Making College More Affordable
  o Increases the higher education tax credit to a maximum of $2,500. Also makes it available to nearly 4 million low-income students who had not had any access to the higher education tax credit in the past – by making it partially refundable.
  o Increases the maximum Pell Grant by $500, for a maximum of $5,350 in 2009 and $5,550 in 2010.
  o Adds $200 million to the vital College Work-Study program.

As soon as specifics are released, I'll post......

Now what?

OK, the senate has passed their version of the stimulus package (see below). In essence it's the Collins/Nelson amendment. The senate has named their conference committee members--Inouye, Reed, Bacus, Grassley, Cochran and Reid.

Usually higher education issues are not high profile, under the radar. However, the education infrastructure provisions that were struck in the Collins/Nelson amendment will be a MAJOR issue during conference committee negotiations.

And it's public...from today's National Journal CongressDaily:

"The Senate bill creates about 400,000 jobs less than our bill; over 300,000 of those jobs are in school construction, higher education and K-12," said House Education and Labor Chairman George Miller. "If this was a jobs bill, this was a huge mistake to take this out." Miller added that several senators have called him to ask that the House restore the funding.

The House will name their conferees soon, like today, and get after it.The goal is to have a final package by the Feb. 16 President's Day recess.

Developing...

Collins/Nelson

In an effort to reduce expenditures in the senate stimulus bill, Sen. Collins (Maine) and Nelson (Neb.) crafted an amendment that cut $83 billion from the original bill (floor amendments were not addressed in their recommendations). There appears to be enough votes to adopt the amendment and hence the entire package to move the bill to the house.



Several highlights that affect higher education:

• Maintains the original amount in the bill for Pell Grants;


• Reduces the amount allocated to the National Science Foundation (NSF) by $200 million;


• Eliminates the $3.5 billion for higher education infrastructure;


• Reduces the size of the "State Fiscal Stabilization Fund" by $40 billion;


• Cuts Agriculture and Food Research Initiative (AFRI) by $50 million.


• Cuts NASA $200 million;


• Sustains the NIH $6.5 billion addition made on the Senate floor for total funding of $10 billion;


• Cuts DOE office of Science $100 million for advanced computing, leaving a total of $330 million for lab construction.

The senate is scheduled to vote on the amendment this evening and possibly on the entire bill Tuesday.



Stay tuned!

Stimulus Update

HR 1, the stimulus bill is still being debated on the senate floor. Many amendments are being offered--few are passing. The plan, or Chairman Inouye's plan, is to get the bill voted off the floor by Friday. The ultimate goal is to have a final conference committee report, the house and senate compromise, voted on by the 16th.

Right now it is uncertain if these time lines will be met, but this is the plan.

Several senate amendments are being offered that relate to higher education. Once a final package is adopted, that is IF it is adopted, in the senate I'll provide that info.

Stay tuned....