Cryptome DVDs. Donate $25 for two DVDs of the Cryptome collection of 47,000 files from June 1996 to January 2009 (~6.9 GB). Click Paypal or mail check/MO made out to John Young, 251 West 89th Street, New York, NY 10024. The collection includes all files of cryptome.org, cryptome.info, jya.com, cartome.org, eyeball-series.org and iraq-kill-maim.org, and 23,100 (updated) pages of counter-intelligence dossiers declassified by the US Army Information and Security Command, dating from 1945 to 1985.The DVDs will be sent anywhere worldwide without extra cost.


20 July 1999
Source: http://www.usia.gov/cgi-bin/washfile/display.pl?p=/products/washfile/latest&f=99071605.wlt&t=/products/washfile/newsitem.shtml


Jump to encryption comments. Jump to H.R. 2086

USIS Washington File
_________________________________

19 July 1999

Clinton Administration Calls for Increased IT Funding


(Economic, social and medical benefits cited) (3550)



Neal Lane, assistant to the president for science and technology, said

that the administration supports greater federal funding for

information technology (IT) research and development.



During a July 14 hearing before the House Subcommittee on Basic

Research Washington, Lane said that current appropriations to fund the

Information Technology for the 21st Century Initiative (IT2) are

inadequate. Development in this area will lead to advances in economic

and national security, transportation and an overall increased

standard of living for Americans, making it a "high priority" for

funding, Lane said.



In response to the findings of the President's Information Technology

Advisory Committee (PITAC), the administration increased its FY 2000

allocations request by approximately 28 percent to $366 million. Lane

said that the administration based its request on the fact that growth

in IT has been enormous, past investments in IT have resulted in GDP

growth and higher wages, and IT is changing the skills required in

almost every career field. In addition, Lane pointed to the growing

social, political and economic divide between those who can access new

technology and those who cannot as a major factor in the need to

increase funding.



IT growth benefits a wide variety of fields. Developments in medicine,

weather forecasting, mathematics and engineering will not only improve

knowledge and understanding in these areas, but will also help to

bolster the U.S. economy in the future, Lane said.



Lane said that the strength of federal IT research depends on its

development in several different agencies. The administration feels

that the Department of Defense (DOD) and the National Institutes of

Health (NIH) have been crucial in IT development, and should be

included in proposed legislation that seeks to strengthen IT research

and development.



Following is the text of Lane's testimony:



(begin text)



Testimony of The Honorable Neal Lane, Assistant to the President for

Science and Technology before the Subcommittee on Basic Research,

Committee on Science, U.S. House of Representatives



July 14, 1999



Mr. Chairman and Members of the Subcommittee, I am pleased to be here

today to discuss how the Administration and the Congress, working

together, can strengthen our nation's investments in information

technology (IT) research and development.



To put my remarks today in context, I want to state that I am

concerned about the overall funding situation for science and

technology. Although I am encouraged by current efforts I have seen in

Congress to build support for science and technology (S&T)

investments, the allocations that have been supplied to the

Appropriations Subcommittees would make it virtually impossible to

fund many of the Administration's priorities, including the

Information Technology for the 21st Century Initiative (IT2). As Jack

Lew, the Director of OMB has said, "the Appropriations Committees are

now implementing an untenable budget resolution which is a blueprint

for chaos."



The IT2 Initiative is the centerpiece of the President's FY 2000 R&D

budget request which presents a balanced R&D portfolio that recognizes

the interdependence of all fields of science and engineering. The

President's request reflects the fact that broad-based investments in

science and technology-both public and private-have driven our

economic growth and improved the quality of life in America for the

last 200 years. Advances across a variety of fields have generated new

knowledge and new industries, created new jobs, ensured economic and

national security, reduced pollution and increased energy efficiency,

provided better and safer transportation, improved medical care, and

increased the overall living standards for the American people. I hope

that the Administration and Congress can work together to achieve full

funding for IT research and the entire R&D budget.



The Administration strongly supports the aims of H.R. 2086, namely to

strengthen Federal IT R&D. My testimony will cover some areas where we

believe the bill could be improved, but we are confident that we can

rapidly reach agreement in areas where we differ.



Many of the remarkable advances in IT that we enjoy today have their

origins in past Federal investments in long-term fundamental and

applied research. The returns on those investments - made two, three,

and even four decades ago - have been spectacular. Federal funding in

long-term computing and communications research has facilitated the

advancement of an outstanding array of technologies (the Internet, web

browsers, high performance computers, RAID disks, multiprocessors,

local area networks, graphic displays, etc.) that have created

dynamic, new industries. Federal investments in long-term computing

and communications research, in parallel with corresponding

investments in fundamental physical sciences and engineering, have not

only fueled innovation, but also has helped produce the best academic

system in the world which, in turn, has educated the business and

university leaders who have made the information revolution possible.

Now is not the time to reduce our investment in the future.



Information Technology Research - A National Priority



The Administration continues to place a high a priority on information

technology research. Working with Congress, we have secured constant

growth in this important research area. In this year's budget, we

responded quickly to the advice of the Congressionally-chartered

President's Information Technology Advisory Committee (PITAC) and

increased our request by roughly 28%, a $366 million incremental

investment within the framework of a balanced budget. We specifically

responded to PITAC's warning that we are under-investing in

fundamental research in information technology. We believe that our

program, largely endorsed by your legislation, provides a sound and

balanced approach.



We have placed emphasis on expanding information technology research

for good reason. The technologies will play a key role in building a

prosperous American future through expanding business opportunities

and by providing an essential set of tools for spurring research in

all other areas-better medical treatments, improved weather

forecasting, advanced materials, and safer, more efficient cars and

aircraft.



The growth in information technology has been spectacular. There are

now approximately 160 million computers in use throughout the U.S.-up

from 62 million at the start of the decade. Forty-two percent of

American households owned computers by the end of 1998, up from

twenty-four percent in 1994. In 1993, 3 million Americans-mainly

researchers and academics-were connected to the Internet. Today

twenty-six percent of U.S. households are connected to the Internet

and nearly a third of all Americans have access to the Internet either

at home or at work. Web addresses (URLs) are nearly ubiquitous and

appear on the packaging of virtually every popular American product.



Our past investments in information technology have translated

directly into GDP growth and higher wages. Recent studies suggest that

they were responsible for 35% of the nation's real economic growth

between 1995 and 1998. The software and computer services sector alone

has more than doubled in size since 1990, growing to a $152 billion

business by 1998. Workers in the IT-producing industries earned

$53,000 compared to the economy-wide average of $30,000, according to

1997 statistics. The indirect impacts are probably much larger but

more difficult to measure-such as making it easier for firms to serve

individual customers, allowing small companies access to international

markets, or allowing disabled workers access to high-wage jobs.



The advantages presented by these technologies are already

transforming our economy, redefining the skills needed in virtually

every job, and changing our economy and its major institutions in ways

that are difficult to forecast. It is troubling to discover, however,

that the gap separating Internet access and computer ownership of

white Americans and access by Hispanic and Black Americans has

actually increased over the past few years. Our nation cannot afford a

digital divide separating those who can benefit from these

technologies from those who have inadequate access. Clearly we also

need research to help us identify the pitfalls associated with these

technological changes so that all Americans-not just a privileged

few-benefit. Both the President's IT2 Initiative and your legislation

support such research.



In addition to the major economic impacts, advances in information

technology are essential for tackling some of the greatest challenges

facing the U.S. in the next century. The Director of NIH recently

asked a group of independent experts to evaluate the importance of

information technology to advances in medicine. They concluded that

"the principal obstacle impeding effective health care is lack of new

knowledge, and the principal mission of the NIH is to overcome this

obstacle. At this point the impact of computer technology is so

extensive it is no longer possible to think about that mission without

computers." Advances in diagnosis, surgery, clinical practice,

neurobiology, medical genetics, clinical trials, rational drug design

at the cellular level, cell biology, and many other areas depend

critically on an ability to capture, communicate, and manipulate

enormous quantities of information. A modern biomedical laboratory can

produce 100 terabytes of information a year. Advanced computation is

essential to determine and understand the chemical structure of DNA

and the complex molecules, which are the basis of modern drug designs.



Advances in computation are essential to understand the complex forces

affecting local and global weather. Every minute of extra warning

means additional lives saved in communities in the path of a tornado.

Forecasting the path of hurricanes will help those in the path take

appropriate action and avoid the costs of evacuations where they are

not needed. Computer simulations make it possible for automobile

designers to experiment with many more designs to improve

crash-safety. Smart highway communication systems ensure that the

appropriate rescue crews are dispatched and that emergency rooms are

prepared for the types of injuries they will be required to treat.



It is important to understand that the extraordinary advances made in

the speed and application of computation and communication during the

past few years have brought us to a new threshold in the way

computation can be used in scientific research and engineering design.

Advanced communications are fundamentally changing the management of

research by making it possible for teams to collaborate-and even share

in the operation of complex equipment-even though individual members

may be in different parts of the country. Powerful computer

simulations have become an essential tool for understanding phenomena

in astrophysics, cellular communication, the structure of materials,

and many other areas in ways that were considered impossible a decade

earlier.



Characterizing the properties of a simple three-atom molecule using a

computer simulation, for example, took more than a week on equipment

available in 1987. The more important calculation, which involves

embedding the atom in a realistic structure of 600 or more other

atoms, would require four years - obviously not a practical option.

Advances in mathematics, in computer software design, and our

understanding of basic chemistry combined with the enormous gains made

in the raw power of new computers now make it possible to do the 600

atom calculation in 8 hours. With the investments proposed in our

initiative, the time can be cut by another order of magnitude. This

makes it practical to perfect the software, the mathematics and the

chemistry used in the calculation itself. It also gives researchers a

practical tool to explore phenomena previously inaccessible to theory.



The same story holds for engineering design and testing. Design tools

capable of acceptable simulations for aerodynamic performance, safety,

and other characteristics of a modern aircraft, for example, require

computers to keep track of nearly seven million separate data points

in the area immediately surrounding the aircraft. Performance

estimates on this scale that took 24 months with the earlier

generation of machines a few years ago, now take 8 hours. The next

generation of software, algorithms and equipment will make it possible

to alter designs and test them in a few minutes, greatly increasing

opportunities for improving performance, cutting design costs, and

improving safety.



In short, we have given information technology research a high

priority in our research program because of its enormous power to

advance the American economy in the next century and because it

provides essential tools for all important areas of research.



Laying A Foundation for the Future



The Administration has proposed major increases in information

technology that are directly responsive to the advice of PITAC.

Specifically, we have proposed significant increases in support for:



Expanding basic research on information technologies with a strong

emphasis on improvements in software. It is essential that we develop

software that is dependable, resistant to intrusion, and inexpensive

to build. Entirely new approaches are needed to move from today's

computers to new machines that may link thousands or millions of

individual process.



Approaches making it easier for people to communicate their

requirements to computers and to understand the information the new

systems make available. This will require entirely new tools for

searching texts, pictures, and large sets of data. Special systems are

needed for people with disabilities.



Entirely new approaches to the design of computers needed to ensure

that computational power continues to increase even when we begin to

approach the limits of how small we can make electronic components.

This will include exploring exotic tools such as quantum computing or

using DNA or other chemicals for processing data.



Ensuring that the civilian research community can continue its

innovation through access to vastly more powerful machines than are

available to them today and have the necessary software design tools

and other assistance needed to take full advantage of these new

machines.



Understanding the social, political, economic, and ethical issues

raised by the transformations in our economy and society being created

by information technology. This includes, for example, attention to

the increases in the gap separating Internet access and computer

ownership of white Americans and access by Hispanic and Black

Americans discussed earlier. Our nation can't afford a digital divide

separating those who can benefit from these technologies from those

with inadequate access. Research is essential to understand and

respond to these and other challenges created by an information rich

economy.



H.R. 2086 directly complements the Administration's IT2 initiative and

attests to our common bipartisan commitment to ensure adequate and

sustained Federal investments for the future benefit of the nation. We

both clearly agree that past U.S. investment in research has yielded

enormous returns and remains critical to our scientific, technical,

and economic leadership - and we agree that expanded investment is

essential to maintain this leadership.



There are, however, a few areas of difference that I would like to

highlight for the Committee's consideration.



Ensuring Participation and Adequate Funding for Key IT Agencies



U.S. leadership in information technology has depended on our ability

to manage a federal research program that draws on the unique

strengths of many different agencies. Clearly, this should continue.

The Administration believes that the Department of Defense (DOD) and

the National Institutes of Health (NIH), both important components of

our interagency information technology research and development work,

should be included in the proposed legislation. The DOD has played a

central role in developing the Internet and supporting fundamental

advances in computing, and it must continue to be a vital part of the

Federal IT R&D program. In the years ahead, the power of computing

will be absolutely essential to the biomedical community for research

and improving the health of our nation's citizens in the years ahead.

The previously cited advisory committee report to the NIH stresses the

importance of developing computing capabilities to support new

biomedical knowledge. DOD and the NIH both have proposed research

under the IT2 initiative, as well as important activities in the

existing HPCC and NGI programs. While we understand the jurisdictional

difficulties raised by including these agencies in H.R. 2086, we trust

a measure can be developed that ensures both agencies receive the

necessary support for information technology-related research. Their

efforts must be integrated into any national plan. The bill should

contain language indicating that ongoing interagency coordination

authorized under the original HPC Act should continue and provide the

agencies covered by the proposed legislation the authority to

coordinate in the new areas of research proposed by the bill.



The Administration is also concerned that H.R. 2086 provides

insufficient levels of funding for DOE's support of new programs in

terascale computing infrastructure and for other information

technology research in DOE. We share your conviction that our civilian

research community needs greater access to state-of-the art computers

and the unique expertise needed to employ them in solving practical

research problems. Over the past year DOE and NSF have worked together

to develop an implementation plan that would provide complementary

terascale computing facilities to the nation's science and engineering

communities. The Department of Energy would develop and deploy a

fundamental new capability in scientific simulation to address a class

of highly complex scientific problems. The potential benefits include

developing exotic new materials essential for manufacturing,

microelectronics, and many other areas; modeling regional and global

climate patterns and changes; and, developing cleaner, efficient

combustion devices that power our economy.



Because of its extensive experience and technical capabilities in

managing the acquisition and operation of large, complex user

facilities, its history of making first-of-a-kind computer facilities

available to the research community, and its experience in managing

large multidisciplinary scientific and engineering teams focused on

solutions to critical national problems, DOE is well qualified to

perform this role.



The Administration hopes that we can work together to ensure adequate

funding to take full advantage of the DOE's enormous strengths in

terascale computing and networking and scientific applications, and

its unique and its longstanding expertise in providing user-facilities

to our nation's research community. We can achieve our shared vision

of providing enhanced computational capabilities and research tools to

our nation's science and engineering communities to solve extremely

complex problems only if we bring the full complement of technical

assets in the Federal government to bear on this important initiative



We also have concerns about the other authorizations for DOE under

H.R. 2086. The legislation proposes a one-year increase in FY 2000 DOE

funding for the NGI of $10.4 million, along with a significant

reduction in HPCC funding of approximately $16 million from the

request. It will be difficult to take full advantage of the one-year

NGI increase in a research and development program if not sustained.

The HPCC funding reduction would devastate the DOE's ongoing program

of IT research. Furthermore, since neither H.R. 2086 nor H.R. 1655,

the main DOE R&D authorization bill, includes language for the IT

research and development base programs that are not part of the

programs coordinated through HPCC, the result is an unanticipated $6

million cut in DOE's base advanced mathematics and computation

programs from the FY 1999 appropriation. The Administration would like

to see DOE authorizations modified to restore adequate funding levels

for its HPCC and other IT programs.



Similarly, the funding authorized by H.R. 2086 for the National

Institute of Standards and Technology (NIST) does not reflect all the

funding for HPCC program component areas and double counts other

funds. Therefore, the legislation should be modified to reflect the

total NIST authorizations of $22.7M in FY 2000.



Additionally we would like to bring to the Committee's attention that

while the National Oceanic and Atmospheric Administration (NOAA) is an

integral part of both the HPCC program and the President's proposed

IT2 initiative, authorization for its HPCC program ($13.5M in FY 2000)

is contained in the proposed NITRD legislation, while authorization

for IT2 ($5.7M in FY 2000 and $8.0 in FY 2001) is contained in H.R.

1553, the NOAA authorization. Thus proposed NITRD authorizations in

H.R. 2086 do not fully cover NOAA's coordinated IT research and

development programs, as it does for most other agencies in the

legislation.



Evaluation of Capabilities of Foreign Encryption and R&E Tax Credit



The Administration is also concerned about a provision in H.R. 2086

calling for the NSF to conduct a study to assess foreign encryption

technologies and domestic technologies subject to export restriction.

The Administration recognizes the concerns of Congress in this area,

but does not support a statutory mandate requiring that a study be

conducted by NSF. The Department of Commerce's Bureau of Export

Administration, in consultation with the National Security Agency,

completed an assessment a number of years ago at the direction of the

President and with the support of the Congress, and it is prepared to

do so again. The Administration believes that this is the appropriate

approach.



H.R. 2086 proposes making the research and experimentation tax credit

permanent. The Administration supports making the tax credit

permanent. However, it must be paid for per the PAYGO requirements of

the Budget Enforcement Act.



Conclusion



There is much common ground shared by the Administration's Information

Technology Initiative and H.R. 2086. We share a conviction that an

expanded investment in information technology research is a critical

investment in our country's future. We look forward to working with

the Committee to expeditiously resolve any differences and to push for

final passage of this important legislation. We also look forward to

working with the Committee to ensure that the appropriators are fully

informed of the importance of these investments. Thank you for the

opportunity to work with you in this critical effort.



U.S. Department of Commerce. The Emerging Digital Economy. June 1999.

Available online at http://www.ecommerce.gov/ede/ede2.pdf



U.S. Department of Commerce. Falling Through the Net: Defining the

Digital Divide, July 1999. Available online at

http://www.ntia.doc.gov/ntiahome/fttn99/contents.html.



Working Group on Biomedical Computing, Advisory Committee to the

Director, National Institutes of Health. The Biomedical Information

Science and Technology Initiative. June 3, 1999. Available online at

http://www.nih.gov/welcome/director/060399.htm.



(end text)




[Congressional Record: June 9, 1999 (Extensions)] [Page E1186] From the Congressional Record Online via GPO Access [wais.access.gpo.gov] [DOCID:cr09jn99-65] INTRODUCTION OF NETWORKING AND INFORMATION TECHNOLOGY RESEARCH AND DEVELOPMENT ACT ______ HON. F. JAMES SENSENBRENNER, JR. of wisconsin in the house of representatives Wednesday, June 9, 1999 Mr. SENSENBRENNER. Mr. Speaker, I rise today to introduce H.R. 2086 the Networking and Information Technology Research and Development Act of 1999. And I recommend that all my colleagues join with Science Committee Ranking Member George Brown, Congressman Tom Davis and 23 other Republican and Democrat Members of the Science Committee in cosponsoring this important bipartisan research initiative. Two decades ago, the changes wrought by information technology were unimaginable. The scope and scale of the changes produced by the explosion in information technology are comparable to those created during the Industrial Revolution of the 17th and 18th centuries. But whereas the Industrial Revolution ushered in the era of the machine-- symbolized by the steam engine, the factory, and the captain of industry--the Information Revolution promises to create the era of the mind--symbolized by the silicon chip, the microprocessor, and the high- tech entrepreneur. Today, the United States is the undisputed global leader in computing and communications, and a healthy information-technology industry is a critical component of U.S. economic and National security. The impact of information technology on the economy is telling. It represents one of the fastest growing sectors of the U.S. economy, growing at an annual rate of 12 percent between 1993 and 1997. Since 1992, businesses producing computers, semiconductors, software, and communications equipment have accounted for one-third of the economic growth in the U.S. Fundamental information-technology research has played an essential role in fueling the Information Revolution and creating new industries and millions of new, high-paying jobs. But maintaining the Nation's global leadership in information technology will require keeping open the pipeline of new ideas, technologies, and innovations that flow from fundamental research. Although the private sector provides the lion's share of the research funding, its spending tends to focus on short- term, applied work. The Federal Government, therefore, has a critical role to play in supporting the long-term, basic research the private sector requires but is ill-suited to pursue. However, as the Congressionally-chartered President's Information Technology Advisory Committee (PITAC) noted in its recent report, the emphasis of Federal information technology research programs in recent years has shifted from long-term, high-risk research to short-term, mission oriented research. This is a trend that began in 1986 but has accelerated over the last six years. PITAC warned that current Federal support for fundamental research in information technology is inadequate to maintain the Nation's global leadership in this area, and it advocated a five-year initiative that would significantly increase basic-research funding. The Administration's response to the PITAC report is its Information Technology for the 21st Century proposal--IT \2\. I believe this proposal, however well-intentioned, falls short of what PITAC envisioned. It does not, for example, commit the Administration to any funding increases beyond fiscal year 2000. In fact, according to the non-partisan Congressional Budget Office, the Administration's own figures show flat or declining budgets beyond next year for the IT \2\ agencies, so any increasess in information technology research would have to come out of other important science programs, an untenable situation. To address the issues raised in the PITAC report, I am introducing the Networking and Information Technology Research and Development Act today. This is a five-year bill that provides justifiable, sustainable, and realistic increase in information technology research. It authorizes for fiscal years 2000 through 2004 nearly $4.8 billion, almost doubling IT research funding from current level, at the six agencies under the Science Committee's jurisdiction: the National Science Foundation, the National Aeronautics and Space Administration, the Department of Energy, the National Institute of Standards and Technology, the National Oceanographic and Atmospheric Administration, and the Environmental Protection Agency. This bill will fundamentally alter the way information technology research is supported and conducted. Its centerpiece is the Networking and Information Technology Research and Development program, which: Limits grants to long-term basic research with priority given to research which helps address issues related to high-end computing, and software and network stability, fragility, security (including privacy) and scalability. Requires all grants to be peer reviewed by panels that include private sector representatives. Establishes 20 large grants of up to $1 million in FY 2000-2001; 30 large grants in FY 2002-2004. Makes $40 million available for grants of up to $5 million for IT Centers (6 or more researchers collaborating on cross-disciplinary research issues) in FY 2000-2001; $45 million in FY 2002-2003; $50 million in FY 2004. Provides $95 million to create for-credit private sector internship programs at two and four-year colleges and universities for IT students. To participate in the program, a company must commit to provide 50 percent of the cost of the internship program. Authorizes a total of $385 million for new computer hardware for terascale computing, which will be allocated in an open competition by NSF. Awardees must agree to integrate with the existing Advanced Partnership for Advanced Computational Infrastructure program and give access to Networking and Information Technology Research and Development Act research grant recipients. In addition, the bill authorizes $111 million through fiscal year 2002 for the completion of the Next Generation Internet program. Another of the bill's provisions requires NSF to report to Congress on the availability of encryption technologies in foreign countries and how they compare with similar technologies subject to export restrictions in the United States. I believe that export controls on encryption are stifling development in this critical area, and I think this study will demonstrate that the current policy on encryption is self-defeating. I also have included language in the bill to make the research tax credit permanent. For too long, businesses have been unable to plan for long-term research projects because of the annual guessing game surrounding the extension of the credit. To encourage capital formation, the credit must be a fixture in law instead of a perennial budget battle. As you know, there are a number of bills that expand the R&D tax credit, but I believe extending it permanently is a good start. Once that hurdle is cleared, we can then examine ways to improve it. The Networking and Information Technology Research and Development Act of 1999 has been endorsed by both the Technology Network, a coalition of leading technology executives, and Ken Kennedy, the academic co-chair of the PITAC. It is a strong bipartisan bill, and I encourage all my House colleagues to support the measure. ____________________