42 



IMPR()\l\(i THiAL/.()CAT10.\ PROCESS / 1' 



Maintaining U.S. Leadership in Science and Technology 



Despite Budget Constraints Will Require Discipline in the 



Allocation of Resources for Federal Investments. 



(Recommendations 6-9) 



RECOMMENDATION 6. Research and development conducted in 

 federal laboratories' should focus on the objectives of the spon- 

 soring agency and not expand beyond the assigned missions of 

 the laboratories. The size and activities of each laboratory 

 should correspond to changes in mission requirements. 



As described in Supplement 1 , the present research and development system 

 developed in the context of postwar economic expansion and the Cold War. Be- 

 cause the world has changed, we must reexamine the system of performers, phasing 

 out weak or ob.solete institutions (see Supplement 2, Box II. 5, for a description of 

 R&D performers). 



Many reports on federal laboratories have been produced in recent years, 

 including major reviews in the past year of Department of Defense, National Aero- 

 nautics and Space Administration. Department of Energy, and National Institutes of 

 Health laboratories.'" All conclude that federal laboratories have an important role 

 in a balanced program of federal science and technology. Compared with extramu- 

 ral programs supporting academic and industrial research and development 

 projects, federal laboratories offer distinctive features: relatively long term and 

 stable fimding of research programs; availabilir\ of unique facilities; full-time re- 

 search opportunities without other distractions for staff scientists and engineers; 

 closer links to the missions of their agencies: the abilitA* to sustain programs for 

 longer periods than those specified in the terms of a rspical grant: and a capacity* for 

 rapid response to emergencies and sudden opportunities." Many federal laborato- 

 ries serve functions that, although they may not be at the frontiers of creating new 

 knowledge, are nonetheless essential to science and technology, such as providing 

 precise measurements and specification of standards or fulfilling specific program 

 needs in health, defense, agriculture, the environment, forestrs', and other areas. 



Federal laboratories, however, have significant limitations. Study after stud\- 

 has shown the unfavorable environment that the federal government provides for 

 research and development, through excessive and inflexible rules governing person- 

 nel, supplies, equipment, and facilities.'- Today, federal laboratories also must 

 accommodate shrinking budgets. Unfortunately, when government agencies receive 

 fewer resources in real terms, the natural tendency is 'to retain as much existing 

 staff and infrastructure as possible in the face of a reduced budget, pull some con- 

 tract work in-house, defer mission plans, and hope that future budgets will improve 

 sufficienth . . to reinstate programs."'^ That tendency will be reinforced by pres- 

 sures from local constituencies, becau.se federal laboratories are major sources of 

 employment and potential economic spin-offs. The committee believes that budget 

 cuts provide a special impetus to a process that the federal laboratories should be 



