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Technology Transfer: NNSA Did Not Implement the Technology	 
Infrastructure Pilot Program (10-MAY-02, GAO-02-708R).		 
                                                                 
The Department of Energy is required to establish a technology	 
infrastructure pilot program to improve technology partnership	 
activities. The National Nuclear Security Administration (NNSA), 
in April 2002, reported that it was unable to implement the	 
technology infrastructure pilot program in fiscal year 2001,	 
because of other programming priorities. NNSA also said that it  
did not have any immediate plans to implement the pilot program  
in fiscal year 2002. Although it has not funded the pilot	 
program, NNSA stated that it supports technology partnerships	 
with private entities that fulfill mission requirements and	 
agreed that the "cluster" type of infrastructure that the pilot  
program would promote is important for its facilities because	 
community and economic development are enhanced.		 
-------------------------Indexing Terms------------------------- 
REPORTNUM:   GAO-02-708R					        
    ACCNO:   A03310						        
  TITLE:     Technology Transfer: NNSA Did Not Implement the	      
Technology Infrastructure Pilot Program 			 
     DATE:   05/10/2002 
  SUBJECT:   Technology transfer				 
	     Reporting requirements				 
	     Internal controls					 
	     Program evaluation 				 
	     Noncompliance					 

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GAO-02-708R
     
GAO- 02- 708R Technology Transfer United States General Accounting Office

Washington, DC 20548

May 10, 2002 The Honorable Carl Levin Chairman The Honorable John W. Warner
Ranking Minority Member Committee on Armed Services United States Senate

The Honorable Bob Stump Chairman The Honorable Ike Skelton Ranking Minority
Member Committee on Armed Services House of Representatives

Subject: Technology Transfer: NNSA Did Not Implement the Technology
Infrastructure Pilot Program

Section 3161 of the Floyd D. Spence National Defense Authorization Act for
Fiscal Year 2001 directed the Department of Energy?s administrator for
nuclear security to establish a technology infrastructure pilot program to
improve technology partnership activities. The act authorized the
administrator to spend up to $5 million of fiscal years 2001 and 2002 funds.
Section 3161 also directed that (1) the administrator submit to the Senate
and House Committees on Armed Services a report on the implementation and
management of the pilot program by February 1, 2002, and (2) the Comptroller
General provide these committees with an assessment of the administrator?s
report within 30 days after its submission.

In April 2002, the National Nuclear Security Administration (NNSA) reported
that it was unable to implement the technology infrastructure pilot program
in fiscal year 2001, citing higher programming priorities. 1 NNSA further
stated that it did not have any immediate plans to implement the pilot
program in fiscal year 2002. While it has not funded the pilot program, NNSA
stated that it supports technology partnerships with private entities that
fulfill mission requirements and agreed that the ?cluster? type of
infrastructure that the pilot program would promote is important for its
facilities because community and economic development are enhanced. NNSA
noted

1 Report to Congress on the Technology Infrastructure Pilot Program Within
the National Nuclear Security Administration, Fiscal Year 2001 (Apr. 18,
2002).

GAO- 02- 708R Technology Transfer Page 2 that each of the three nuclear
security laboratories- Lawrence Livermore, Los

Alamos, and Sandia National Laboratories- has adjacent sites and facilities
for new or existing businesses to collaborate with laboratory scientists.

We recently reported on technology transfer activities at the 12 Energy
laboratories that have historically been most active in transferring
technology to U. S. businesses, including the 3 nuclear security
laboratories. 2 Overall, we found that the 12 laboratories have
substantially reduced their technology partnerships with private entities.
Specifically, during fiscal year 2001, the number of cooperative research
and development agreements dropped from 800 to 606 and the number of
technical assistance projects with small businesses dropped from 348 to 246.
These reductions are part of a downward trend since fiscal year 1996 that
reflects a decline in dedicated funding for technology partnerships at
Energy?s laboratories. While we assessed the Energy laboratories? overall
technology transfer activities, we did not examine issues specifically
related to the technology infrastructure pilot program because NNSA did not
implement the program.

- - - - We are sending copies of this letter to the secretary of energy, the
director of the Office of Management and Budget, and other interested
parties. We will also make copies available to others on request. In
addition, the letter is available at no charge on the GAO Web site at
http:// www. gao. gov.

If you or your staff have any questions about this letter, please contact me
at (202) 512- 3841. Key contributors to this letter were Richard Cheston and
Kerry Hawranek.

John B. Stephenson Director, Natural Resources

and Environment (360207) 2 U. S. General Accounting Office, Technology
Transfer: Several Factors Have Led to a Decline in Partnerships at DOE?s
Laboratories, GAO- 02- 465 (Washington, D. C.: Apr. 19, 2002).
*** End of document. ***
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