balanced nanotechnology research portfolio and ensure 
that each agency and each program component area 
is allocated the level of funding required to meet the 
goals and priorities established for the Program; 
(5) develop a plan to utilize Federal programs, 
such as the Small Business Innovation Research Pro-
gram and the Small Business Technology Transfer 
Research Program, in support of the goal stated in 
subsection (b)(4); and 
(6) in carrying out its responsibilities under 
paragraphs (1) through (5), take into consideration 
the recommendations of the Advisory Committee and 
the views of academic, State, industry, and other ap-
propriate groups conducting research on and using 
nanotechnology. 
SEC. 4. ANNUAL REPORT. 
The chairperson of the Interagency Committee shall 
prepare an annual report, to be submitted to the Committee 
on Science of the House of Representatives and the Com-
mittee on Commerce, Science, and Transportation of the 
Senate at the time of the President’s budget request to Con-
gress, that includes—
(1) the Program budget, for the current fiscal 
year, for each agency that participates in the Pro-
gram, including a breakout of spending for the devel-
opment and acquisition of research facilities and in-
strumentation, for each program component area, and 
for all activities pursuant to section 3(b)(5); 
(2) the proposed Program budget, for the next 
fiscal year, for each agency that participates in the 
Program, including a breakout of spending for the de-
velopment and acquisition of research facilities and 
instrumentation, for each program component area, 
and for all activities pursuant to section 3(b)(5); 
(3) an analysis of the progress made toward 
achieving the goals and priorities established for the 
Program; 
(4) an analysis of the extent to which the Pro-
gram has incorporated the recommendations of the 
Advisory Committee; and 
(5) an assessment of how Federal agencies are 
implementing the plan described in section 3(c)(5), 
and a description of the amount of Small Business 
Innovative Research and Small Business Technology 
Transfer Research funds supporting the plan. 
SEC. 5. ADVISORY COMMITTEE. 
(a) IN GENERAL.—The President shall establish or des-
ignate an advisory committee on nanotechnology consisting 
of non-Federal members, including representatives of re-
search and academic institutions and industry, who are
qualified 
to 
provide 
advice 
and 
information 
on 
nanotechnology research, development, demonstration, edu-
cation, technology transfer, commercial application, and so-
cietal and ethical concerns. The recommendations of the Ad-
visory Committee shall be considered by Federal agencies 
in implementing the Program. 
(b) ASSESSMENT.—The Advisory Committee shall as-
sess—
(1) trends and developments in nanotechnology 
science and engineering; 
(2) progress made in implementing the Program; 
(3) the need to revise the Program; 
(4) the balance among the components of the 
Program, including funding levels for the program 
component areas; 
(5) whether the program component areas, prior-
ities, and technical goals developed by the Interagency 
Committee are helping to maintain United States 
leadership in nanotechnology; 
(6) the management, coordination, implementa-
tion, and activities of the Program; and 
(7) whether societal and ethical concerns are ade-
quately addressed by the Program. 
(c) REPORTS.—The Advisory Committee shall report 
not less frequently than once every 2 fiscal years to the
President on its findings of the assessment carried out 
under subsection (b), its recommendations for ways to im-
prove the Program, and the concerns assessed under sub-
section (b)(7). The first report shall be due within 1 year 
after the date of enactment of this Act. 
(d) FEDERAL ADVISORY COMMITTEE ACT APPLICA-
TION.—Section 14 of the Federal Advisory Committee Act 
shall not apply to the Advisory Committee. 
SEC. 6. NATIONAL NANOTECHNOLOGY COORDINATION OF-
FICE. 
The 
President 
shall 
establish 
a 
National 
Nanotechnology Coordination Office, with full-time staff, 
which shall—
(1) provide technical and administrative support 
to the Interagency Committee and the Advisory Com-
mittee; 
(2) serve as a point of contact on Federal 
nanotechnology activities for government organiza-
tions, academia, industry, professional societies, and 
others to exchange technical and programmatic infor-
mation; and 
(3) conduct public outreach, including dissemi-
nation of findings and recommendations of the Inter-
agency Committee and the Advisory Committee, as 
appropriate.
SEC. 7. AUTHORIZATION OF APPROPRIATIONS. 
(a) NATIONAL SCIENCE FOUNDATION.—There are au-
thorized to be appropriated to the National Science Foun-
dation for carrying out this Act—
(1) $350,000,000 for fiscal year 2004; 
(2) $385,000,000 for fiscal year 2005; and 
(3) $424,000,000 for fiscal year 2006. 
(b) DEPARTMENT OF ENERGY.—There are authorized 
to be appropriated to the Secretary of Energy for carrying 
out this Act—
(1) $265,000,000 for fiscal year 2004; 
(2) $292,000,000 for fiscal year 2005; and 
(3) $322,000,000 for fiscal year 2006. 
(c) NATIONAL AERONAUTICS AND SPACE ADMINISTRA-
TION.—There are authorized to be appropriated to the Na-
tional Aeronautics and Space Administration for carrying 
out this Act—
(1) $31,000,000 for fiscal year 2004; 
(2) $34,000,000 for fiscal year 2005; and 
(3) $37,000,000 for fiscal year 2006. 
(d) NATIONAL INSTITUTE OF STANDARDS AND TECH-
NOLOGY.—There are authorized to be appropriated to the 
National Institute of Standards and Technology for car-
rying out this Act—
(1) $62,000,000 for fiscal year 2004; 
(2) $68,000,000 for fiscal year 2005; and
(3) $75,000,000 for fiscal year 2006. 
(e) ENVIRONMENTAL PROTECTION AGENCY.—There 
are authorized to be appropriated to the Environmental 
Protection Agency for carrying out this Act—
(1) $5,000,000 for fiscal year 2004; 
(2) $5,500,000 for fiscal year 2005; and 
(3) $6,000,000 for fiscal year 2006. 
SEC. 
8. 
EXTERNAL 
REVIEW 
OF 
THE 
NATIONAL 
NANOTECHNOLOGY RESEARCH AND DEVEL-
OPMENT PROGRAM. 
(a) IN GENERAL.—Not later than 6 months after the 
date of enactment of this Act, the Director shall enter into 
an agreement with the National Academy of Sciences to 
conduct periodic reviews of the Program. The reviews shall 
be conducted once every 3 years during the 10-year period 
following the enactment of this Act. The reviews shall in-
clude—
(1) an evaluation of the technical achievements 
of the Program; 
(2) recommendations for changes in the Pro-
gram; 
(3) an evaluation of the relative position of the 
United States with respect to other nations in 
nanotechnology research and development;
(4) an evaluation of the Program’s success in 
transferring technology to the private sector; 
(5) an evaluation of whether the Program has 
been successful in fostering interdisciplinary research 
and development; and 
(6) an evaluation of the extent to which the Pro-
gram has adequately considered societal and ethical 
concerns. 
(b) STUDY
ON MOLECULAR MANUFACTURING.—Not 
later than 3 years after the date of enactment of this Act 
a review shall be conducted in accordance with subsection 
(a) that includes a study to determine the technical feasi-
bility of the manufacture of materials and devices at the 
molecular scale. The study shall—
(1) examine the current state of the technology 
for enabling molecular manufacturing; 
(2) determine the key scientific and technical 
barriers to achieving molecular manufacturing; 
(3) review current and planned research activi-
ties that are relevant to advancing the prospects for 
molecular manufacturing; and 
(4) develop, insofar as possible, a consensus on 
whether molecular manufacturing is technically fea-
sible, and if found to be feasible—
(A) the estimated timeframe in which mo-
lecular manufacturing may be possible on a com-
mercial scale; and 
(B) recommendations for a research agenda 
necessary to achieve this result. 
(c) STUDY ON SAFE NANOTECHNOLOGY.—Not later 
than 6 years after the date of enactment of this Act a review 
shall be conducted in accordance with subsection (a) that 
includes a study to assess the need for standards, guidelines, 
or strategies for ensuring the development of safe 
nanotechnology, including those applicable to—
(1) self-replicating nanoscale machines or de-
vices; 
(2) the release of such machines or devices in 
natural environments; 
(3) distribution of molecular manufacturing de-
velopment; 
(4) encryption; 
(5) the development of defensive technologies; 
(6) the use of nanotechnology as human brain 
extenders; and 
(7) the use of nanotechnology in developing arti-
ficial intelligence.
SEC. 9. SCIENCE AND TECHNOLOGY GRADUATE SCHOLAR-
SHIP PROGRAMS. 
(a) ESTABLISHMENT OF PROGRAMS.—
(1) IN GENERAL.—The agency heads shall each 
establish within their respective departments and 
agencies a Science and Technology Graduate Scholar-
ship Program to award scholarships to individuals 
that is designed to recruit and prepare students for 
careers in the Federal Government that require engi-
neering, scientific, and technical training. 
(2) COMPETITIVE
PROCESS.—Individuals shall 
be selected to receive scholarships under this section 
through a competitive process primarily on the basis 
of academic merit, with consideration given to finan-
cial need and the goal of promoting the participation 
of individuals identified in section 33 or 34 of the 
Science and Engineering Equal Opportunities Act 
(42 U.S.C. 1885a or 1885b). 
(3) SERVICE AGREEMENTS.—To carry out the 
Programs the agency heads shall enter into contrac-
tual agreements with individuals selected under para-
graph (2) under which the individuals agree to serve 
as full-time employees of the Federal Government, for 
the period described in subsection (f)(1), in positions 
needed by the Federal Government and for which the
individuals are qualified, in exchange for receiving a 
scholarship. 
(b) SCHOLARSHIP ELIGIBILITY.—In order to be eligi-
ble to participate in a Program, an individual must—
(1) be enrolled or accepted for enrollment as a 
full-time student at an institution of higher education 
in an academic field or discipline described in a list 
made available under subsection (d); 
(2) be a United States citizen or permanent resi-
dent; and 
(3) at the time of the initial scholarship award, 
not be a Federal employee as defined in section 2105 
of title 5 of the United States Code. 
(c) APPLICATION REQUIRED.—An individual seeking 
a scholarship under this section shall submit an application 
to an agency head at such time, in such manner, and con-
taining such information, agreements, or assurances as the 
agency head may require. 
(d) ELIGIBLE ACADEMIC PROGRAMS.—The agency 
heads shall each make publicly available a list of academic 
programs and fields of study for which scholarships under 
their department’s or agency’s Program may be utilized, 
and shall update the list as necessary. 
(e) SCHOLARSHIP REQUIREMENT.—
(1) IN
GENERAL.—Agency heads may provide 
scholarships under their department’s or agency’s 
Program for an academic year if the individual ap-
plying for the scholarship has submitted to the agency 
head, as part of the application required under sub-
section (c), a proposed academic program leading to 
a degree in a program or field of study on a list made 
available under subsection (d). 
(2) DURATION OF ELIGIBILITY.—An individual 
may not receive a scholarship under this section for 
more than 4 academic years, unless an agency head 
grants a waiver. 
(3) SCHOLARSHIP AMOUNT.—The dollar amount 
of a scholarship under this section for an academic 
year shall be determined under regulations issued by 
the agency heads, but shall in no case exceed the cost 
of attendance. 
(4) AUTHORIZED USES.—A scholarship provided 
under this section may be expended for tuition, fees, 
and other authorized expenses as established by the 
agency heads by regulation. 
(5) CONTRACTS REGARDING DIRECT PAYMENTS 
TO INSTITUTIONS.—Each agency head may enter into 
a contractual agreement with an institution of higher 
education under which the amounts provided for a
scholarship under this section for tuition, fees, and 
other authorized expenses are paid directly to the in-
stitution with respect to which the scholarship is pro-
vided. 
(f) PERIOD OF OBLIGATED SERVICE.—
(1) DURATION OF SERVICE.—The period of serv-
ice for which an individual shall be obligated to serve 
as an employee of the Federal Government is, except 
as provided in subsection (h)(2), 24 months for each 
academic year for which a scholarship under this sec-
tion is provided. 
(2) SCHEDULE
FOR
SERVICE.—(A) Except as 
provided in subparagraph (B), obligated service 
under paragraph (1) shall begin not later than 60 
days after the individual obtains the educational de-
gree for which the scholarship was provided. 
(B) An agency head may defer the obligation of 
an individual to provide a period of service under 
paragraph (1) if the agency head determines that 
such a deferral is appropriate. The agency head shall 
prescribe the terms and conditions under which a 
service obligation may be deferred through regulation. 
(g) PENALTIES
FOR
BREACH
OF
SCHOLARSHIP 
AGREEMENT.—
(1) FAILURE
TO
COMPLETE
ACADEMIC
TRAIN-
ING.—Scholarship recipients who fail to maintain a 
high level of academic standing, as defined by the ap-
propriate agency head by regulation, who are dis-
missed from their educational institutions for dis-
ciplinary reasons, or who voluntarily terminate aca-
demic training before graduation from the edu-
cational program for which the scholarship was 
awarded, shall be in breach of their contractual agree-
ment and, in lieu of any service obligation arising 
under such agreement, shall be liable to the United 
States for repayment within 1 year after the date of 
default of all scholarship funds paid to them and to 
the institution of higher education on their behalf 
under the agreement, except as provided in subsection 
(h)(2). The repayment period may be extended by the 
agency head when determined to be necessary, as es-
tablished by regulation. 
(2) FAILURE TO BEGIN OR COMPLETE THE SERV-
ICE OBLIGATION OR MEET THE TERMS AND CONDI-
TIONS OF DEFERMENT.—Scholarship recipients who, 
for any reason, fail to begin or complete their service 
obligation after completion of academic training, or 
fail to comply with the terms and conditions of 
deferment established by the appropriate agency head
pursuant to subsection (f)(2)(B), shall be in breach of 
their contractual agreement. When recipients breach 
their agreements for the reasons stated in the pre-
ceding sentence, the recipient shall be liable to the 
United States for an amount equal to—
(A) the total amount of scholarships re-
ceived by such individual under this section; 
plus 
(B) the interest on the amounts of such 
awards which would be payable if at the time 
the awards were received they were loans bearing 
interest at the maximum legal prevailing rate, 
as determined by the Treasurer of the United 
States, 
multiplied by 3. 
(h) WAIVER OR SUSPENSION OF OBLIGATION.—
(1) DEATH OF INDIVIDUAL.—Any obligation of 
an individual incurred under a Program (or a con-
tractual agreement thereunder) for service or payment 
shall be canceled upon the death of the individual. 
(2) IMPOSSIBILITY
OR
EXTREME
HARDSHIP.—
The agency heads shall by regulation provide for the 
partial or total waiver or suspension of any obliga-
tion of service or payment incurred by an individual 
under their department’s or agency’s Program (or a
contractual agreement thereunder) whenever compli-
ance by the individual is impossible or would involve 
extreme hardship to the individual, or if enforcement 
of such obligation with respect to the individual 
would be contrary to the best interests of the Govern-
ment. 
(i) DEFINITIONS.—In this section the following defini-
tions apply: 
(1) AGENCY
HEAD.—The term ‘‘agency head’’ 
means the Director of the National Science Founda-
tion, the Secretary of Energy, the Administrator of 
the National Aeronautics and Space Administration, 
the Director of the National Institute of Standards 
and Technology, or the Administrator of the Environ-
mental Protection Agency. 
(2) COST OF ATTENDANCE.—The term ‘‘cost of 
attendance’’ has the meaning given that term in sec-
tion 472 of the Higher Education Act of 1965 (20 
U.S.C. 1087ll). 
(3) INSTITUTION OF HIGHER EDUCATION.—The 
term ‘‘institution of higher education’’ has the mean-
ing given that term in section 101(a) of the Higher 
Education Act of 1965 (20 U.S.C. 1001(a)).
(4) PROGRAM.—The term ‘‘Program’’ means a 
Science and Technology Graduate Scholarship Pro-
gram established under this section.
Union Calendar No. 48
108TH CONGRESS 
1ST SESSION 
H. R. 766
[Report No. 108–89] 
A BILL 
To provide for a National Nanotechnology Research 
and Development Program, and for other purposes. 
MAY 6, 2003
Reported with an amendment, committed to the Com-
mittee of the Whole House on the State of the Union, 
and ordered to be printed