COMMERCE DEPT. SENDS TA-NTIA REORGANIZATION PLAN TO HILL

The Commerce Dept.’s proposal to move the NTIA into the Technology Administration (TA) received a lukewarm reception on Capitol Hill Thurs. Neither House Commerce Committee Chmn. Tauzin (R-La.) nor Senate Commerce Committee Chmn. McCain (R-Ariz.) expressed much interest in the proposal, which was submitted by Commerce Secy. Donald Evans.

The proposal, titled the “21st Century Innovation Act,” would create a new agency called the Technology & Telecom Administration (TTA). The bill also would modify the title of the administrator to Undersecy. of Technology & Telecom. The current Undersecy. of TA is Philip Bond.

Addressing concerns raised by Congress, the bill said NTIA, the Office of Technology Policy (OTP) and the National Institute of Standards & Technology (NIST) still would be headed by their respective administrators. The NTIA dir., who holds the title of Asst. Secy. for Communications & Information, still would be the President’s telecom adviser. Connie Correll, counselor to Bond, said the congressional committees wouldn’t lose any jurisdiction under the plan, with the Commerce panels retaining oversight of NTIA and the House Science Committee over NIST. Members and staffers have expressed concern that the bill would strip spectrum authority from the Commerce committees.

Reaction on the Hill was tepid. A House Commerce Committee spokesman said Tauzin would “look at it very carefully and keep an open mind” but “isn’t making any commitments right now.” When asked about the proposal Thurs. morning, McCain said it wasn’t likely to get priority treatment from the Senate Commerce Committee. “I don’t see this as a critical issue,” he said. He added he was open to discussing the idea, but needed to hear more from Evans about it. Correll said Evans and other Commerce officials hadn’t had an opportunity to explain the proposal to McCain, but planned to do so.

The Commerce Dept. has argued that the change is needed to facilitate efficient management of govt. policy. Evans said: “This [Bush] Administration understands that our global marketplace has changed and that telecom and technology operate together, not separately. We need to adjust our thinking and adjust our structure to keep pace with the world, our economy and innovation.” The changes “support the President’s focus on improving management and policy coordination across government,” he said.

The Senate Commerce Committee approved reauthorization of the TA (S-1395), a bill introduced by McCain shortly after the House Commerce Justice State Appropriations Subcommittee voted not to fund the office of the Undersecy, who also is administrator of TA (CD July 11 p1). The full House Appropriations Committee restored $7.8 million in funding for the office of the Undersecy. Wed. McCain’s bill reauthorized TA through 2008 and allocated $8 million for the office of the Undersecy.

Commerce Committee ranking Democrat Hollings (S.C.) also won restoration of funding for the Advanced Technology Program (ATP), which had been cut from the Administration’s budget. Hollings’s amendment would authorize the ATP until 2008 and fund the program $240 million in 2004. He emphasized that the program was needed to keep American firms on the cutting edge of technology and said Japan and other competitive nations put more money into private-sector innovation. McCain said the project gave “handouts” to giant corporations such as GE. He said there was a “philosophical difference” between himself and Hollings on the issue, but acknowledged Hollings had the votes. A spokesman for Hollings said he would work to put ATP funding in the Commerce Justice State (CJS) appropriations bill. Hollings is the ranking Democrat on the Senate CJS Appropriations Subcommittee. The spokesman said Hollings had to fight to reinstate ATP funding each year.