IIA
103D CONGRESS
1ST SESSION
H. R. 820
IN THE SENATE OF THE UNITED STATES
MAY 24 (legislative day, APRIL 19), 1993
Received; read twice and referred to the Committee on Commerce, Science,
and Transportation
AN ACT
To amend the Stevenson-Wydler Technology Innovation Act
of 1980 to enhance manufacturing technology develop-
ment and transfer, to authorize appropriations for the
Technology Administration of the Department of Com-
merce, including the National Institute of Standards and
Technology, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
TITLE I—GENERAL PROVISIONS
SEC. 101. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘National Competitiveness Act of 1993’’.
(b) TABLE OF CONTENTS.—
TITLE I—GENERAL PROVISIONS
Sec. 101. Short title; table of contents.
Sec. 102. Findings.
Sec. 103. Purposes.
Sec. 104. Definitions.
TITLE II—MANUFACTURING
Subtitle A—Manufacturing Technology and Extension
Sec. 201. Short title.
Sec. 202. Findings, purpose, and statement of policy.
Sec. 203. Role of the Department of Commerce.
Sec. 204. National Technology Outreach Program.
Sec. 205. Advanced Manufacturing Technology Development Program.
Sec. 206. Miscellaneous and conforming amendments.
Sec. 207. Manufacturing Technology Centers.
Sec. 208. State Technology Extension Program.
Subtitle B—National Science Foundation Manufacturing Programs
Sec. 211. Role of the National Science Foundation in manufacturing.
Sec. 212. Engineering and Cooperative Research Centers.
Sec. 213. Manufacturing traineeships and fellowships.
Sec. 214. Total quality management.
TITLE III—CRITICAL TECHNOLOGIES
Subtitle A—Benchmarking Science and Technology
Sec. 301. Benchmarking United States science and technology against foreign
capabilities.
Subtitle B—Advanced Technology Program
Sec. 321. Development of program plan.
Sec. 322. Large scale research and development consortia.
Sec. 323. Technical amendments.
Sec. 324. Country qualification notice.
Sec. 325. Recoupment.
Subtitle C—Civilian Technology Loan Program
Sec. 331. Loan and loan guarantee authority.
Sec. 332. Operating plan and effective date.
Sec. 333. Terms and conditions.
Sec. 334. Technical assistance for lenders and borrowers.
Sec. 335. Outreach to economically depressed areas.
Sec. 336. Socially and economically disadvantaged individuals.
Sec. 337. Definitions.
Subtitle D—Civilian Technology Development Program
Sec. 341. Short title.
Sec. 342. Definitions.
Sec. 343. Establishment and purpose.
Sec. 344. Advisory Committee.
Sec. 345. Organization and licensing.
Sec. 346. Capital and management requirements.
Sec. 347. Financing for licensees.
Sec. 348. Issuance and guarantee of trust certificates.
Sec. 349. Venture capital for qualified business concerns.
Sec. 350. Operation.
Sec. 351. Regulations; liability.
Sec. 352. Technical assistance for licensees and qualified business concerns.
Sec. 353. Performance measures; Annual report.
Sec. 354. Reports, investigations, and examinations.
Sec. 355. Revocation and suspension of licenses; cease and desist orders.
Sec. 356. Injunctive relief.
Sec. 357. Conflicts of interest.
Sec. 358. Removal or suspension of directors and officers.
Sec. 359. Violations.
Sec. 360. Civil penalties.
Sec. 361. Antitrust savings clause.
TITLE IV—MISCELLANEOUS
Sec. 401. Department of Commerce Technology Advisory Board.
Sec. 402. International standardization.
Sec. 403. Malcolm Baldrige Award amendments.
Sec. 404. Cooperative research and development agreements.
Sec. 405. Competitiveness assessments and evaluations.
Sec. 406. Study of semiconductor lithography technologies.
Sec. 407. American workforce quality partnerships.
Sec. 408. Severability.
Sec. 409. Sunset.
Sec. 410. Use of domestic products.
Sec. 411. National Quality Program.
Sec. 412. Definitions.
Sec. 413. Fastener Quality Act amendments.
TITLE V—AUTHORIZATIONS OF APPROPRIATIONS
Sec. 501. Technology Administration.
Sec. 502. National Institute of Standards and Technology.
Sec. 503. Additional activities of the Technology Administration.
Sec. 504. National Science Foundation.
Sec. 505. Availability of appropriations.
Sec. 506. Prohibitions.
SEC. 102. FINDINGS.
The Congress finds that—
(1) the creation, development, and adoption of
advanced technologies are significant determinants
of sustainable economic growth, productivity im-
provement, and competitive standing;
(2) over the last decade, the rate of advanced
technology adoption in the United States has been
about half that of some prominent foreign nations
and has contributed to a relative decline in United
States industrial competitiveness;
(3) maintaining a highly competitive manufac-
turing base in the United States is essential for eco-
nomic prosperity and national welfare and requires
continuous development and adoption of advanced
manufacturing technologies that will enable United
States manufacturers to develop innovative products
rapidly and manufacture goods of the highest quality
at competitive prices;
(4) there is general agreement on which fields
of technology are critical for economic competitive-
ness through the first decade of the next century,
but the United States Government must pursue a
comprehensive strategy to ensure that the appro-
priate research, development, and applications activi-
ties and other reforms occur so these technologies
are readily available to United States manufacturers
for incorporation into products made in the United
States;
(5) technology-based products of the twenty-
first century must be developed incorporating the
values of sustainable development, including low en-
ergy and material use, safety, recyclability, and
minimal pollution;
(6) the cost of and difficulty in obtaining in-
vestment capital for small high technology compa-
nies are significant deterrents to their formation, de-
velopment, and growth;
(7) standardization of weights and measures,
including development and promotion of product and
quality standards, has a significant role to play in
competitiveness;
(8) strategic technology planning for sustain-
able economic growth, the support of critical civilian
technology research, development, and application,
and advancement of manufacturing technology re-
search, development, and adoption are appropriate
Government roles; and
(9) programs established under this Act, and
the amendments made by this Act, shall be funded
as a result of shifting the total Federal investment
in research and development to achieve a balance be-
tween support for defense and civilian activities, and
shall not be financed through additional deficit
spending.
SEC. 103. PURPOSES.
The purposes of this Act are to—
(1) promote and facilitate the creation, develop-
ment, and adoption of technologies by United States
companies throughout the Nation that will contrib-
ute significantly to United States competitiveness,
employment, and sustainable economic growth;
(2) improve the competitiveness of United
States manufacturers, particularly small businesses,
by developing a nationwide technology outreach pro-
gram to improve access to information, expertise,
technology, and management practices required to
compete throughout the world;
(3) promote the development and rapid applica-
tion of advanced manufacturing technologies and
processes by United States manufacturers, with em-
phasis on environmentally sound practices and sus-
tainable economic growth;
(4) stimulate long-term investment in United
States companies engaged in development or utiliza-
tion of critical or other advanced technologies;
(5) establish mechanisms to ensure synergistic
linkages between Federal, State, and local initiatives
aimed at enhancing the competitiveness of United
States companies;
(6) enhance and expand the core programs of
the National Institute of Standards and Technology,
including the Advanced Technology Program;
(7) monitor and assess foreign technology capa-
bilities relative to those of the United States in order
to assist United States companies and policymakers
in identifying and responding to competitive oppor-
tunities and challenges; and
(8) facilitate cooperation among Federal agen-
cies with the goal of achieving an integrated national
effort to improve United States competitiveness, em-
ployment, and sustainable growth.
SEC. 104. DEFINITIONS.
For purposes of this Act—
(1) the term ‘‘advanced manufacturing tech-
nology’’ has the meaning given such term in section
4 of the Stevenson-Wydler Technology Innovation
Act of 1980, as amended by section 206(a) of this
Act;
(2) the term ‘‘critical technologies’’ means tech-
nologies identified as critical technologies pursuant
to section 603(d) of the National Science and Tech-
nology Policy, Organization, and Priorities Act of
1976 (42 U.S.C. 6683(d));
(3) the term ‘‘Director’’ means the Director of
the Institute;
(4) the term ‘‘Institute’’ means the National In-
stitute of Standards and Technology;
(5) the term ‘‘modern technology’’ has the
meaning given such term in section 4 of the Steven-
son-Wydler Technology Innovation Act of 1980, as
amended by section 206(a) of this Act;
(6) the term ‘‘Secretary’’ means the Secretary
of Commerce;
(7) the term ‘‘small business’’ means a United
States company that is a small business within the
meaning given such term in the Small Business Act;
(8) the term ‘‘sustainable economic growth’’ has
the meaning given such term in section 4 of the Ste-
venson-Wydler Technology Innovation Act of 1980,
as amended by section 206(a) of this Act;
(9) the term ‘‘State’’ means each of the several
States, the District of Columbia, the Commonwealth
of Puerto Rico, the Virgin Islands, Guam, American
Samoa, the Commonwealth of the Northern Mariana
Islands, and any other territory or possession of the
United States;
(10) the term ‘‘United States’’ means the sev-
eral States, the District of Columbia, the Common-
wealth of Puerto Rico, the Virgin Islands, Guam,
American Samoa, the Commonwealth of the North-
ern Mariana Islands, and any other territory or pos-
session of the United States;
(11) the term ‘‘United States company’’ has the
meaning given such term in section (4) of the Ste-
venson-Wydler Technology Innovation Act of 1980,
as amended by section 206(a) of this Act;
(12) the term ‘‘United States manufacturer’’
has the meaning given such term in section 4 of the
Stevenson-Wydler Technology Innovation Act of
1980, as amended by section 206(a) of this Act; and
(13) the term ‘‘Under Secretary’’ means the
Under Secretary of Commerce for Technology.
TITLE II—MANUFACTURING
Subtitle A—Manufacturing
Technology and Extension
SEC. 201. SHORT TITLE.
This subtitle may be cited as the ‘‘Manufacturing
Technology and Extension Act of 1993’’.
SEC. 202. FINDINGS, PURPOSE, AND STATEMENT OF POL-
ICY.
The Stevenson-Wydler Technology Innovation Act of
1980 (15 U.S.C. 3701 et seq.) is amended by adding at
the end the following new title:
‘‘TITLE III—MANUFACTURING
TECHNOLOGY
‘‘SEC. 301. FINDINGS, PURPOSE, AND STATEMENT OF POL-
ICY.
‘‘(a) FINDINGS.—Congress finds and declares the fol-
lowing:
‘‘(1) United States manufacturers, especially
small businesses, require the adoption and imple-
mentation of both modern and advanced manufac-
turing and process technologies to meet the chal-
lenge of foreign competition.
‘‘(2) The development and application of mod-
ern and advanced manufacturing technologies are
vital to the sustainable economic growth, standard of
living, competitiveness in world markets, and na-
tional security and welfare of the United States.
‘‘(3) New developments in flexible, computer-in-
tegrated manufacturing, electronic manufacturing
communications networks, and other new tech-
nologies make possible dramatic improvements
across all industrial sectors in productivity, quality,
and the speed with which United States manufactur-
ers can respond to changing market opportunities.
‘‘(4) The application of advances in computer
science and technology to manufacturing is also vital
to the Nation’s prosperity, national and economic se-
curity, industrial production, engineering, and sci-
entific advancement.
‘‘(5) The Department of Commerce’s Tech-
nology Administration, along with other Federal
agencies, can continue to play an important role in
assisting United States companies to develop, test,
and adopt modern and advanced manufacturing
technologies and in establishing high-performance
computing technology testbeds to develop, refine,
test, and transfer advanced manufacturing and
networking technologies and associated applications.
‘‘(b) PURPOSE.—It is the purpose of this title to con-
tribute to the competitiveness of the United States by en-
hancing the Department of Commerce’s technology pro-
grams to—
‘‘(1) provide United States manufacturers, es-
pecially small businesses, with ready access to high
quality advice and assistance in the development,
adoption, and improvement of modern manufactur-
ing processes and technology, and in solving their
specific technology-based problems; and
‘‘(2) encourage, facilitate, and support the de-
velopment and adoption of advanced manufacturing
principles and technologies by United States manu-
facturers.
‘‘(c) STATEMENT
OF POLICY.—Congress declares
that it is the policy of the United States that—
‘‘(1) Federal agencies, particularly the Depart-
ment of Commerce, shall work with United States
manufacturers, labor, and the States to ensure that
the United States is second to no other nation in the
development, adoption, and use of modern and ad-
vanced manufacturing technology;
‘‘(2) the Department of Commerce shall work
with all the major Federal research and development
agencies to encourage the development and adoption,
by United States manufacturers, of advanced manu-
facturing technologies, and shall work closely with
United States manufacturers and labor, and with
the Nation’s universities, to develop and test those
technologies; and
‘‘(3) the Department of Commerce shall place a
high priority on the establishment and growth of a
National Technology Outreach Program to promote
and facilitate the development and use by United
States manufacturers of modern and advanced man-
ufacturing systems and applications for manufactur-
ing.
‘‘(d) CONSTRUCTION.—Nothing in this title shall be
construed as modifying the duties and responsibilities of
the Department of Energy with regard to its technology
resources and expertise in matters under its jurisdiction.’’.
SEC. 203. ROLE OF THE DEPARTMENT OF COMMERCE.
Title III of the Stevenson-Wydler Technology Innova-
tion Act of 1980, as added by section 202 of this Act,
is further amended by adding at the end the following new
section:
‘‘SEC. 302. ROLE OF THE DEPARTMENT OF COMMERCE.
‘‘(a) DEPARTMENT OF COMMERCE.—Consistent with
the purposes and policies of section 301, the Department
of Commerce shall have primary responsibility in the Fed-
eral Government in working with United States manufac-
turers and labor and the States to develop advanced man-
ufacturing technologies and to promote and assist the
adoption and use of modern and advanced manufacturing
technologies, practices, and management techniques
throughout the United States. In carrying out this title,
the Secretary, acting, as appropriate, through the Under
Secretary and the Director, shall—
‘‘(1) consult and cooperate with other Federal
agencies, including the Department of Defense, the
Department of Energy, and the National Aero-
nautics and Space Administration to ensure consist-
ent and, where possible, coordinated efforts to pro-
mote the development and adoption of modern and
advanced manufacturing technologies;
‘‘(2) assist the Office of Science and Tech-
nology Policy in its efforts to coordinate the manu-
facturing technology activities of the various Federal
agencies; and
‘‘(3) work with representatives of Federal,
State, and local agencies, manufacturing extension
programs, private industry, industry groups, worker
organizations, and academia to encourage and facili-
tate the use of both advanced manufacturing tech-
nologies, including those developed by the Advanced
Manufacturing Technology Development Program
established under section 304 of this Act, and mod-
ern manufacturing technologies and practices to
United States manufacturers.
The Secretary shall annually report to Congress on actions
taken under this subsection.
‘‘(b) OTHER FEDERAL AGENCIES.—To the extent
permitted by other law, other Federal agencies shall co-
operate with the Secretary in carrying out this title.’’.
SEC. 204. NATIONAL TECHNOLOGY OUTREACH PROGRAM.
Title III of the Stevenson-Wydler Technology Innova-
tion Act of 1980, as added by sections 202 and 203 of
this Act, is further amended by adding at the end the fol-
lowing new section:
‘‘SEC. 303. NATIONAL TECHNOLOGY OUTREACH PROGRAM.
‘‘(a) ESTABLISHMENT
AND
PURPOSE.—There is
hereby established a National Technology Outreach Pro-
gram (in this section referred to as the ‘Outreach Pro-
gram’), the purpose of which shall be to—
‘‘(1) interconnect, programmatically and elec-
tronically, the Nation’s technology and manufactur-
ing extension centers, programs, and activities;
‘‘(2) improve the competitiveness of United
States manufacturers and create jobs located in the
United States; and
‘‘(3) assist United States manufacturers, espe-
cially small businesses, to expand and accelerate the
use of cost-effective modern manufacturing tech-
nologies and practices and to develop and adopt ad-
vanced manufacturing technologies. The Secretary,
acting through the Under Secretary and the Direc-
tor, shall implement and coordinate the Outreach
Program in accordance with an initial plan and a 5-
year plan for the Outreach Program, to be submit-
ted to the Congress under subsection (g).
‘‘(b) PROGRAM COMPONENTS.—The Outreach Pro-
gram shall constitute a partnership between the Depart-
ment of Commerce, the States, the private sector, and,
as appropriate, shall include other Federal agencies to
provide a national system of manufacturing and tech-
nology extension centers and technical services to United
States manufacturers, particularly small businesses. The
Outreach Program shall include—
‘‘(1) Manufacturing Outreach Centers estab-
lished under subsection (c);
‘‘(2) Regional Centers for the Transfer of Man-
ufacturing Technology established under section 25
of the National Institute of Standards and Tech-
nology Act (15 U.S.C. 278k);
‘‘(3) the State Technology Extension Program
established under section 26 of the National Insti-
tute of Standards and Technology Act (15 U.S.C.
278l);
‘‘(4) the Outreach Program Information Net-
work and the Clearinghouse established under sub-
sections (d) and (e) of this section, respectively; and
‘‘(5) other technology and manufacturing exten-
sion centers and activities supported by Federal,
State, or local agencies which could contribute to the
goals of this title and that the Secretary considers
appropriate for inclusion in the Outreach Program.
‘‘(c) MANUFACTURING OUTREACH CENTERS.—(1)
Eligible government and private sector organizations that
are engaged in technology or manufacturing extension ac-
tivities may apply to the Secretary for designation as Man-
ufacturing Outreach Centers, in such form and manner
as the Secretary may prescribe. Eligible organizations in-
clude Federal, State, and local government agencies, ex-
tension programs, universities, and laboratories; small
business development centers; and professional societies,
worker organizations, industrial organizations, nonprofit
organizations, community development organizations,
community colleges, and technical schools and colleges.
‘‘(2) The Secretary shall establish standards, consist-
ent with the requirements of subsection (f), for designa-
tion of existing technology or manufacturing extension
programs and for qualification of start-up programs as
Manufacturing Outreach Centers.
‘‘(3) The Secretary may, through a competitive proc-
ess, make grants, subject to the availability of appropria-
tions, to Manufacturing Outreach Centers designated in
accordance with the standards established under para-
graph (2), to enable them to fulfill the purposes and per-
form the activities of the Outreach Program. If a State
plan for technology extension exists in a State where an
applicant for a grant under this paragraph is operating
or plans to operate, the proposer shall demonstrate in its
application that its proposal is compatible with such State
plan. The purpose of such grants is to upgrade the overall
quality of the Outreach Program and to contribute to the
goal of ready availability of the services and information
provided through the Outreach Program, including infor-
mation on modern and advanced manufacturing tech-
nology, to all interested United States manufacturers.
Such grants shall be awarded to increase the capabilities
and capacity of Manufacturing Outreach Centers. Manu-
facturing Outreach Centers may not concurrently receive
financial assistance under section 25 of the National Insti-
tute of Standards and Technology Act and grants under
this paragraph. Grants may be awarded under this para-
graph for an initial period not to exceed 3 years and may
be renewed for one additional period, not to exceed 2
years. Such grants may not at any time exceed 50 percent
of the operating costs and in-kind contributions of the
grant recipient.
‘‘(4) In selecting applicants to participate in the Out-
reach Program and in making grants under paragraph
(3), the Secretary shall solicit and consider evaluations of
the applicant’s performance record and current capabili-
ties, and the potential usefulness of the applicant’s pro-
posal, from United States manufacturers that the Sec-
retary considers qualified to make such evaluations.
‘‘(d) OUTREACH
PROGRAM
INFORMATION
NET-
WORK.—(1) The Department of Commerce shall provide
for an instantaneous, interactive electronic communica-
tions network (in this section referred to as the ‘outreach
network’) to serve the Outreach Program, to facilitate ef-
fective and efficient interaction within it, and to permit
the collection and dissemination in electronic form, in a
timely and accurate manner, of information described in
subsection (e). The outreach network shall, wherever prac-
ticable, make use of existing public and private computer
networks, data bases, and electronic bulletin boards. The
design, configuration, acquisition plan, and operating poli-
cies, including user fees and appropriate electronic access
for public and private information suppliers and users, of
the outreach network shall be included in the 5-year plan
prepared under subsection (g)(2) and shall address—
‘‘(A) effective mechanisms for providing operat-
ing funds for the maintenance and use of the out-
reach network established under this paragraph, in-
cluding user fees, industry support, and continued
Federal investment;
‘‘(B) the future operation and evolution of the
outreach network, including its relationship with
other public or private information services;
‘‘(C) how to protect the copyrights of material
distributed over the outreach network; and
‘‘(D) appropriate policies—
‘‘(i) to ensure the security of proprietary
information that might be available on the out-
reach network and to protect the privacy of
users of the outreach network; and
‘‘(ii) to facilitate and limit access to the
outreach network and its information to mem-
ber organizations of the Outreach Program and
to United States companies, State and local
governments, United States universities and
colleges, and United States nonprofit organiza-
tions that the Secretary deems appropriate.
‘‘(2) Except as provided in this section, the outreach
network established under paragraph (1) shall be designed
and configured in a manner that will enable interoper-
ability with networks and technologies developed under the
National High-Performance Computing Program de-
‘‘(C) ensure that common standards of inter-
connection are utilized by the outreach network and
the clearinghouse to allow maximum interoperability
and usership; and
‘‘(D) to the extent practicable, inform United
States manufacturers of the availability of such in-
formation.
‘‘(2) The clearinghouse shall include information
available electronically on—
‘‘(A) activities of Manufacturing Outreach Cen-
ters, Regional Centers for the Transfer of Manufac-
turing Technology, the State Technology Extension
Program, and the users of the outreach network;
‘‘(B) domestic and international standards and
other export promotion information, including con-
formity assessment requirements and procedures;
‘‘(C) the Malcolm Baldrige Quality program,
and quality principles and standards;
‘‘(D) manufacturing processes minimizing waste
and negative environmental impact;
‘‘(E) federally funded technology development
and transfer programs;
‘‘(F) how to access data bases and services; and
‘‘(G) skills training, particularly the implemen-
tation and use of modern and advanced manufactur-
ing techniques.
‘‘(3) The Secretary, acting through the Under Sec-
retary, may convene a national conference to develop rec-
ommendations for common standards for interconnection
and for improved dissemination to users of the clearing-
house of information on domestic and international tech-
nical regulations and standards, and on conformity assess-
ment procedures, including draft standards and regula-
tions. Invited participants are to include a broad cross sec-
tion of the standards, accreditation, and user commu-
nities.
‘‘(f) ADDITIONAL REQUIREMENTS.—In carrying out
this section, the Secretary shall satisfy the following re-
quirements:
‘‘(1) The Outreach Program and the outreach
network shall be established and operated through
cooperation and cofunding among Federal, State,
and local governments, other public and private con-
tributors, and end users that the Secretary deter-
mines are appropriate for providing maximum bene-
fit to United States manufacturers.
‘‘(2) The Outreach Program and the outreach
network shall utilize and leverage, to the extent
practicable, existing organizations, data bases, elec-
tronic networks, facilities, capabilities, and existing
standards for interconnection, and shall be designed
to complement rather than supplant State and local
programs.
‘‘(3) The Outreach Program and the outreach
network shall be subject to all applicable provisions
of law for the protection of trade secrets and busi-
ness confidential information.
‘‘(4) Access to the services available through
the Outreach Program and information available
through the outreach network servicing the Outreach
Program shall be limited, as appropriate, to United
States companies, State and local governments,
United States universities and colleges, and United
States nonprofit organizations that the Secretary
deems appropriate.
‘‘(5) Local or regional needs should determine
the management structure and staffing of the Manu-
facturing Outreach Centers. The Outreach Program
shall strive for geographical balance with the ulti-
mate goal of access for all United States manufac-
turers.
‘‘(6) Manufacturing Outreach Centers should
have the capability to deliver outreach services di-
rectly to United States manufacturers, actively work
with, rather than supplant, the private sector, and to
the extent practicable, maximize the exposure of
United States manufacturers to demonstrations of
modern technologies in use, including flexible manu-
facturing practices.
‘‘(7) The Department of Commerce shall de-
velop mechanisms for—
‘‘(A) soliciting the perspectives of United
States manufacturers using the services of the
Manufacturing Outreach Centers and Regional
Centers for the Transfer of Manufacturing
Technology; and
‘‘(B) evaluating the effectiveness of the
Manufacturing Outreach Centers and Regional
Centers for the Transfer of Manufacturing
Technology.
‘‘(g) PLAN AND REPORTS.—(1) Within 6 months
after the date of enactment of this title, the Secretary,
after consultation with the Under Secretary, the Director,
the Department of Commerce Technology Advisory Board,
other appropriate Federal agencies, and a cross-section of
potential participants in the Outreach Program, shall sub-
mit an initial plan for the implementation of this title to
Congress—
‘‘(A) describing how the Secretary will carry out
the responsibility to create, operate, and support the
Outreach Program and the outreach network, in-
cluding the interactive electronic linkage of Manu-
facturing Outreach Centers to the programs of the
Technology Administration and other appropriate
Federal, State, and local agencies;
‘‘(B) establishing criteria and procedures, con-
sistent with the requirements of this title, for—
‘‘(i) the selection of organizations to re-
ceive Department of Commerce services or fi-
nancial assistance as part of the Outreach Pro-
gram, including qualifications and training of
technology extension agents;
‘‘(ii) access to services provided by partici-
pants in the Outreach Program and to informa-
tion available through the outreach network
servicing the Outreach Program; and
‘‘(iii) the annual evaluation of the Out-
reach Program in achieving the purposes of this
title; and
‘‘(C) evaluating the need for and the benefits of
a National Conference of States on Technology Ex-
tension, similar in structure to the National Con-
ference on Weights and Measures, and, if the Sec-
retary determines that such a Conference is advis-
able, developing, in consultation with the States and
other interested parties, a plan for the establish-
ment, operation, funding, and evaluation of such a
Conference.
‘‘(2) Within 1 year after the date of enactment of
this title, the Secretary, in consultation with the Under
Secretary, the Director, and the Department of Commerce
Technology Advisory Board, shall prepare and submit to
the Congress a 5-year plan for implementing the Outreach
Program and the outreach network and clearinghouse es-
tablished under subsections (d) and (e), respectively. Such
5-year plan shall identify appropriate methods for expand-
ing the Outreach Program in a geographically balanced
manner. Such 5-year plan shall include a detailed imple-
mentation plan and cost estimates and shall take into con-
sideration and build on the report submitted under para-
graph (1). In the preparation of such 5-year plan, the Sec-
retary shall provide an opportunity for public comment,
and the plan submitted to Congress shall include a sum-
mary of comments received. Such plan may not be imple-
mented until 90 days after its submission to the Congress.
‘‘(3) Beginning with first year after submission of the
5-year plan under paragraph (2), the Secretary shall an-
nually report to the Congress, at the time of the Presi-
dent’s annual budget request to Congress, on—
‘‘(A) progress made in achieving the purposes
of the Outreach Program described in subsection (a)
using criteria and procedures established under sub-
section (g)(1)(B)(iii);
‘‘(B) changes proposed to the 5-year plan;
‘‘(C) performance in adhering to schedules; and
‘‘(D) any 
recommendations 
for 
legislative
changes necessary to enhance the Outreach Pro-
gram.
The report under this paragraph submitted at the end of
the fourth year of operation of the Outreach Program
shall include recommendations on whether to terminate
the Outreach Program or extend it for an additional pe-
riod not to exceed 5 years.’’.
SEC. 205. ADVANCED MANUFACTURING TECHNOLOGY DE-
VELOPMENT PROGRAM.
Title III of the Stevenson-Wydler Technology Innova-
tion Act of 1980, as added by sections 202, 203, and 204
of this Act, is further amended by adding at the end the
following new section:
‘‘SEC. 304. ADVANCED MANUFACTURING TECHNOLOGY DE-
VELOPMENT PROGRAM.
‘‘(a) ESTABLISHMENT.—The Secretary, through the
Under Secretary and the Director, shall establish an Ad-
vanced Manufacturing Technology Development Program
which shall include projects to develop advanced manufac-
turing systems, networks, electronic data exchange, and
which shall be complementary with advanced manufactur-
ing technology development programs supported by other
Federal agencies.
‘‘(b) PURPOSE.—The purpose of the Advanced Manu-
facturing Technology Development Program is to create
collaborative multiyear technology development programs
involving United States companies and, as appropriate, co-
operating with other Federal agencies and laboratories,
the States, worker organizations, universities and colleges,
independent research organizations, and other interested
persons, in order to develop, refine, test, and transfer de-
sign and manufacturing technologies and associated appli-
cations, including advanced computer integration and elec-
tronic networks for manufacturing information exchange.
‘‘(c) PROGRAM COMPONENTS.—The Advanced Manu-
facturing Technology Development Program shall in-
clude—
‘‘(1) the advanced manufacturing research and
development activities at the Institute; and
‘‘(2) one or more technology development
testbeds within the United States, selected in ac-
cordance with procedures, including cost sharing, es-
tablished for the Advanced Technology Program es-
tablished under section 28 of the National Institute
of Standards and Technology Act (15 U.S.C. 278n),
whose purpose shall be to develop, refine, and test
advanced 
manufacturing, 
data 
exchange, 
and
networking technologies and associated applications
and to facilitate the transfer of such technologies
and applications to United States manufacturers.
‘‘(d) FUNCTIONS AND ACTIVITIES.—The Advanced
Manufacturing Technology Development Program, under
the coordination of the Secretary, through the Director,
shall—
‘‘(1) test and, as appropriate, facilitate and
support the development of the equipment, computer
software, and systems integration necessary for the
successful operation within the United States of ad-
vanced design and manufacturing systems and asso-
ciated electronic networks;
‘‘(2) establish at the Institute and the tech-
nology development testbed or testbeds—
‘‘(A) prototype advanced computer-inte-
grated manufacturing systems;
‘‘(B) prototype electronic networks linking
manufacturing systems; and
‘‘(C) prototype clean manufacturing sys-
tems;
‘‘(3) assist United States companies to develop
voluntary consensus standards relevant to advanced
computer-integrated manufacturing operations, in-
cluding standards for networks, electronic data
interchange, and digital product data specifications;
‘‘(4) help to make high-performance computing
and networking technologies an integral part of de-
sign and production processes where appropriate;
‘‘(5) conduct research to identify and overcome
technical barriers to the successful and cost-effective
operation of advanced manufacturing systems and
networks and to promote and facilitate electronic
data exchange;
‘‘(6) facilitate the efforts of United States com-
panies to develop and test new applications for man-
ufacturing systems, networks, and information ex-
change;
‘‘(7) involve in the Advanced Manufacturing
Technology Development Program, to the maximum
extent practicable, both those United States manu-
facturers which make manufacturing technology and
of 1991 (15 U.S.C. 5511) to ensure that both pro-
grams are complementary and compatible.
‘‘(e) TESTBED AWARDS.—(1) In selecting applicants
to receive awards under subsection (c)(2) of this section,
the Secretary shall give preferential consideration to appli-
cants that have existing computer expertise in manufac-
turing applications and the ability to diffuse such expertise
to United States companies, and that, in the case of joint
research and development ventures, include both suppliers
and users of advanced manufacturing technology. In the
case of systems described in subsection (d)(2)(C), the Sec-
retary shall also give preferential consideration to appli-
cants that have existing program expertise in clean manu-
facturing, including the areas of concurrent engineering,
materials research, and environmental science, and which
have a technology transfer mechanism in place to transfer
testbed results of a clean manufacturing program to in-
dustry participants.
‘‘(2) An industry-led joint research and development
venture applying for an award under subsection (c)(2) of
this section may include one or more State research orga-
nizations, universities, Federal laboratories, independent
research organizations, or Regional Centers for the Trans-
fer of Manufacturing Technology (as created under section
25 of the National Institute of Standards and Technology
Act) and other organizations as the Secretary considers
appropriate.
‘‘(f) ADVICE AND ASSISTANCE.—(1) Within 6 months
after the date of enactment of this title, and before any
request for proposals is issued, the Secretary shall hold
one or more workshops to solicit advice from United
States companies and from other Federal agencies, par-
ticularly the Department of Defense, the Department of
Energy, and the National Aeronautics and Space Adminis-
tration, regarding the specific missions and activities of
the testbeds.
‘‘(2) The Secretary shall, to the greatest extent pos-
sible, coordinate activities under this section with activities
of other Federal agencies and initiatives relating to com-
puter-aided acquisition and logistics support, electronic
data interchange, flexible computer-integrated manufac-
turing, and enterprise integration.
‘‘(3) The Secretary may request and accept funds,
facilities, equipment, or personnel from other Federal
agencies in order to carry out this section.
‘‘(g) ANTITRUST SAVINGS CLAUSE.—This section
shall not be construed to modify, impair, or supersede the
operation of the antitrust laws. For purposes of this sub-
section, the term ‘antitrust laws’ has the meaning given
it in subsection (a) of the first section of the Clayton Act
(15 U.S.C. 12(a)), except that such term includes the Act
of June 19, 1936 (49 Stat. 1526; 15 U.S.C. 13 et seq.),
commonly known as the Robinson Patman Act, and sec-
tion 5 of the Federal Trade Commission Act (15 U.S.C.
45) to the extent that such section 5 applies to unfair
methods of competition.’’.
SEC. 206. MISCELLANEOUS AND CONFORMING AMEND-
MENTS.
(a) DEFINITIONS.—Section 4 of the Stevenson-
Wydler Technology Innovation Act of 1980 (15 U.S.C.
3703) is amended by adding at the end the following new
paragraphs:
‘‘(14) ‘Director’ means the Director of the Na-
tional Institute of Standards and Technology.
‘‘(15) ‘Institute’ means the National Institute
of Standards and Technology.
‘‘(16) ‘Assistant Secretary’ means the Assistant
Secretary of Commerce for Technology Policy.
‘‘(17) ‘Advanced manufacturing technology’
means—
‘‘(A) numerically-controlled machine tools,
robots, automated process control equipment,
computerized flexible manufacturing systems,
associated computer software, and other tech-
nology for improving manufacturing and indus-
trial production of goods, including bio-
technology products, which advance the state-
of-the-art; or
‘‘(B) novel manufacturing techniques and
processes not previously generally available that
improve manufacturing quality, productivity,
and practices, including engineering design,
quality assurance, concurrent engineering, con-
tinuous process production technology, inven-
tory management, upgraded worker skills, com-
munications with customers and suppliers, and
promotion of sustainable economic growth.
‘‘(18) ‘Modern technology’ means the best avail-
able proven technology, techniques, and processes
appropriate to enhancing the productivity of manu-
facturers or to promoting sustainable economic
growth.
‘‘(19) ‘Sustainable economic growth’ means eco-
nomic growth that enhances the national quality of
life and preserves environmental integrity.
‘‘(20) The term ‘United States company’ means
an entity which the Secretary finds, based on a dem-
onstration by such entity—
‘‘(A) maintains substantial employment in
the United States;
‘‘(B) agrees, with respect to a technology
arising from assistance provided under this Act
or the National Competitiveness Act of 1993, to
promote the manufacture within the United
States of products resulting from that tech-
nology;
‘‘(C) agrees to procure parts and materials
for such products from competitive United
States suppliers; and
‘‘(D) either—
‘‘(i) is a United States-owned com-
pany; or
‘‘(ii) is a company incorporated in the
United States that has a parent company
incorporated in a country which the Sec-
retary finds—
‘‘(I) affords to United States-
owned companies opportunities com-
parable to those afforded to any other
company to participate in programs
and to have access to resources and
information equivalent to the opportu-
nities authorized under this Act or the
National Competitiveness Act of 1993
to foreign-owned entities engaged in
commerce in the United States;
‘‘(II) has a standards develop-
ment and conformity assessment proc-
ess that is open and transparent, and
that results in standards that are fair
and reasonable and do not discrimi-
nate against United States products
and production processes;
‘‘(III) affords to United States-
owned companies local investment op-
portunities comparable to those af-
forded any other company; and
‘‘(IV) affords adequate and effec-
tive protection for the intellectual
property rights of United States-
owned companies.
‘‘(21) The term ‘United States manufacturer’
means a United States company which the Secretary
finds, based on a demonstration by such company,
makes substantial investments in the United States
in research, development, and manufacturing (in-
cluding the manufacture of major components or
subassemblies in the United States).
‘‘(22) The term ‘United States-owned company’
has the meaning given such term in section 28(j)(2)
of the National Institute of Standards and Tech-
nology Act (15 U.S.C. 278n(j)(2).
‘‘(23) ‘Benchmarking’ means the assessment of
foreign science and technology capabilities relative to
comparable United States capabilities.
‘‘(24) 
‘Independent 
research 
organizations’
means nonprofit organizations organized primarily
for the purpose of conducting or managing research
activities.’’.
(b) REDESIGNATIONS.—The Stevenson-Wydler Tech-
nology Innovation Act of 1980 (15 U.S.C. 3701 et seq.)
is amended—
(1) by inserting immediately after section 4 the
following new title heading:
‘‘TITLE 
I—DEPARTMENT 
OF
COMMERCE 
AND 
RELATED
PROGRAMS’’;
(2) by redesignating sections 5 through 10 as
sections 101 through 106, respectively;
(3) by redesignating sections 16 through 22, as
sections 107 through 113, respectively;
(4) by inserting immediately after section 113
(as redesignated by paragraph (3) of this sub-
section) the following new title heading:
‘‘TITLE II—FEDERAL
TECHNOLOGY TRANSFER’’;
(5) by redesignating sections 11 through 15 as
sections 201 through 205, respectively;
(6) by redesignating section 23 as section 206;
(7) in section 4—
(A) by striking ‘‘section 5’’ each place it
appears and inserting in lieu thereof ‘‘section
101’’;
(B) in paragraphs (4) and (6), by striking
‘‘section 6’’ and ‘‘section 8’’ each place they ap-
pear and inserting in lieu thereof ‘‘section 102’’
and ‘‘section 104’’, respectively; and
(C) in paragraph (13), by striking ‘‘section
6’’ and inserting in lieu thereof ‘‘section 102’’;
(8) in section 105 (as redesignated by para-
graph (2) of this subsection) by striking ‘‘section 6’’
each place it appears and inserting in lieu thereof
‘‘section 102’’;
(9) in section 106(d) (as redesignated by para-
graph (2) of this subsection) by striking ‘‘7, 9, 11,
15, 17, or 20’’ and inserting in lieu thereof ‘‘103,
105, 108, 111, 201, or 205’’;
(10) in section 201(i) (as redesignated by para-
graph (5) of this subsection) by inserting ‘‘loan,
lease, or’’ after ‘‘may’’; and by inserting ‘‘Actions
taken under this subsection shall not be subject to
Federal requirements on the disposal of property.’’
after ‘‘activities.’’;
(11) in section 202(b) (as redesignated by para-
graph (5) of this subsection) by striking ‘‘section
14’’ and inserting in lieu thereof ‘‘section 204’’;
(12) in section 204(a)(1) (as redesignated by
paragraph (5) of this subsection) by striking ‘‘sec-
tion 12’’ and inserting in lieu thereof ‘‘section 202’’;
(13) in section 113 (as redesignated by para-
graph (3) of this subsection) by striking ‘‘sections
11, 12, and 13’’ and inserting in lieu thereof ‘‘sec-
tions 201, 202, and 203’’;
(14) in section 206 (as redesignated by para-
graph (6) of this subsection)—
(A) by striking ‘‘section 11(b)’’ in sub-
section (a)(2) and inserting in lieu thereof ‘‘sec-
tion 201(b)’’; and
(B) by striking ‘‘section 6(d)’’ in sub-
section (b) and inserting in lieu thereof ‘‘section
102(d)’’; and
(15) by adding at the end of section 201 (as re-
designated by paragraph (5) of this subsection) the
following new subsection:
‘‘(j) ADDITIONAL TECHNOLOGY TRANSFER MECHA-
NISMS.—In addition to the technology transfer mecha-
nisms set forth in this section and section 202 of this Act,
the heads of Federal departments and agencies also may
transfer technologies through the technology transfer and
extension programs of the Department of Commerce and
the Department of Defense.’’.
SEC. 207. MANUFACTURING TECHNOLOGY CENTERS.
Section 25 of the National Institute of Standards and
Technology Act (15 U.S.C. 278k), is amended—
(1) by amending the section heading to read as
follows: ‘‘MANUFACTURING TECHNOLOGY CENTERS’’;
(2) in subsection (c)(5), by striking ‘‘which are
designed’’ and all that follows through ‘‘operation of
a Center’’ and inserting in lieu thereof ‘‘to a maxi-
mum of one-third Federal funding. Each Center
which receives financial assistance under this section
shall be evaluated during its sixth year of operation,
and at such subsequent times as the Secretary con-
siders appropriate, by an evaluation panel appointed
by the Secretary in the same manner as was the
evaluation panel previously appointed. The Secretary
shall not provide funding for additional years of the
Center’s operation unless the evaluation is positive
and the Secretary finds that continuation of funding
furthers the goals of the Department. Such addi-
tional Federal funding shall not exceed one-third of
the cost of the Center’s operations’’;
(3) by striking subsection (d); and
(4) by adding at the end the following new sub-
sections:
‘‘(d) If a Center receives a positive evaluation during
its third year of operation, the Director may, any time
after that evaluation, contract with the Center to provide
additional technology extension or transfer services above
and beyond the baseline activities of the Center. Such ad-
ditional services may include, but are not limited to, the
development and operation of the following:
‘‘(1) Programs to assist United States compa-
nies that are engaged in manufacturing and their
employees, including front-line production workers,
in the Center’s region to learn and apply the tech-
nologies, techniques, and processes associated with
systems management technology, electronic data ex-
change, or improving manufacturing productivity.
‘‘(2) Services focused on the testing, develop-
ment, and application of manufacturing and process
technologies within specific technical fields such as
advanced materials or electronics fabrication for the
purpose of assisting United States companies that
are engaged in manufacturing, both within the Cen-
ter’s original service region and in other regions, to
improve manufacturing quality, product design,
workforce training, and production efficiency in
those specific technical fields.
‘‘(3) Industry-led demonstration programs that
involve United States manufacturing technology con-
sortia to provide ongoing research, technology trans-
fer, and worker training assistance to their mem-
bers. An award under this paragraph shall be for no
more than $500,000 per year, and shall be subject
to renewal after a 1-year demonstration period.
‘‘(e) In addition to any assistance provided or con-
tracts entered into with a Center under this section, the
Director is authorized to make separate and smaller
awards, through a competitive process, to nonprofit orga-
nizations which wish to work with a Center. Such awards
shall be for the purpose of enabling those organizations
to provide outreach services, in collaboration with the Cen-
ter, to United States manufacturers located in parts of
the region served by the Center which are not easily acces-
sible to the Center and which are not served by any other
manufacturing outreach center. Organizations which re-
ceive such awards shall be known as Local Manufacturing
Offices. In reviewing applications, the Director shall con-
sider the needs of rural as well as urban manufacturers.
No single award for a Local Manufacturing Office shall
be for more than three years, awards shall be renewable
through the competitive awards process, and no award
shall be made unless the applicant provides matching
funds at least equal to the amount received under this sec-
tion.
‘‘(f) In carrying out this section, the Director shall
coordinate his efforts with the plans for the National
Technology Outreach Program established under section
303 of the Stevenson-Wydler Technology Innovation Act
of 1980.’’.
SEC. 208. STATE TECHNOLOGY EXTENSION PROGRAM.
(a) ESTABLISHMENT.—Section 26(a) of the National
Institute of Standards and Technology Act (15 U.S.C.
278l(a)), is amended—
(1) by inserting immediately after ‘‘(a)’’ the fol-
lowing new sentence: ‘‘There is established within
the Institute a State Technology Extension Pro-
gram.’’; and
(2) by inserting ‘‘through that Program’’ imme-
diately after ‘‘technical assistance’’.
(b) ADDITIONAL AUTHORITIES.—Section 26 of the
National Institute of Standards and Technology Act (15
U.S.C. 278l) is amended by adding at the end the follow-
ing new subsection:
‘‘(c) In addition to the general authorities listed in
subsection (b) of this section, the State Technology Exten-
sion Program also may, through merit-based competitive
review processes—
‘‘(1) make awards to States and conduct work-
shops, pursuant to section 5121(b) of the Omnibus
Trade and Competitiveness Act of 1988, in order to
help States improve their planning and coordination
of technology extension activities;
‘‘(2) support technology demonstration projects
to help States provide technical assistance and serv-
ices to United States manufacturers that will im-
prove their productivity and competitiveness;
‘‘(3) support State efforts to develop and test
innovative ways to help United States manufacturers
improve their technical capabilities;
‘‘(4) support State efforts designed to help
United States manufacturers in rural as well as
urban areas adopt modern manufacturing tech-
nologies;
‘‘(5) support State efforts to assist interested
United States manufacturers in the defense industry
to adapt to modern or advanced manufacturing tech-
nologies as they convert to nondefense or dual-use
purposes;
‘‘(6) support worker technology education pro-
grams in the States at institutions such as research
universities, community colleges, labor education
centers, labor-management committees, and worker
organizations in production technologies critical to
the Nation’s future, with an emphasis on high-per-
formance work systems, the skills necessary to use
modern or advanced manufacturing systems well;
‘‘(7) help States develop programs to train per-
sonnel who in turn can provide technical skills to
managers and workers of United States manufactur-
ers; and
‘‘(8) support State efforts to assist United
States manufacturers to develop on-the-job training
in modern and advanced manufacturing tech-
nologies, techniques, and processes and to promote
the development and adoption of modern and ad-
vanced manufacturing technologies.’’.
Subtitle B—National Science Foun-
dation Manufacturing Programs
SEC. 211. ROLE OF THE NATIONAL SCIENCE FOUNDATION
IN MANUFACTURING.
The Director of the National Science Foundation,
after appropriate consultation with the Secretary, the
Under Secretary, and the Director, shall—
(1) work with United States companies to iden-
tify areas of research in advanced manufacturing
technologies and practices that offer the potential to
improve United States productivity, competitiveness,
employment, and sustainable economic growth;
(2) support research at United States univer-
sities to improve advanced manufacturing tech-
nologies and practices; and
(3) work with the Technology Administration
and the Institute and, as appropriate, other Federal
agencies to accelerate the transfer to United States
companies of manufacturing research and innova-
tions developed at universities.
SEC. 212. ENGINEERING AND COOPERATIVE RESEARCH
CENTERS.
The Director of the National Science Foundation
shall strengthen and expand the number of Engineering
Research Centers and strengthen and expand the Indus-
try/University Cooperative Research Centers Program
with the goal of increasing the engineering talent base
versed in critical technologies, with emphasis on advanced
manufacturing technology and practices, and of advancing
fundamental engineering knowledge in these technologies,
including biotechnology. At least one Engineering Re-
search Center shall have a research and education focus
on the concerns of United States manufacturers, including
small businesses that are trying to modernize their oper-
ations. Awards under this section shall be made on a com-
petitive, merit review basis and on terms and conditions
the Director may prescribe to ensure that the purposes
for which the award is made are satisfied. Such awards
may include support for acquisition of instrumentation,
equipment, and facilities related to the research and edu-
cation activities of the Centers and support for under-
graduate students to participate in the activities of the
Centers.
SEC. 213. MANUFACTURING TRAINEESHIPS AND FELLOW-
SHIPS.
(a) GRADUATE TRAINEESHIPS.—The Director of the
National Science Foundation, in consultation with the
Secretary, may establish a program to provide traineeships
to graduate students at institutions of higher education
within the United States who are citizens of the United
States and who choose to pursue masters or doctoral de-
grees in manufacturing engineering. The Director of the
National Science Foundation shall make an effort to en-
sure the provision of traineeships under this subsection to
socially and economically disadvantaged individuals (with-
in the meaning of section 8(a) (5) and (6) of the Small
Business Act, and including women).
(b) MANUFACTURING MANAGERS
IN
THE CLASS-
ROOM PROGRAM.—The Director of the National Science
Foundation, in consultation with the Secretary, may es-
tablish a program to provide fellowships, on a cost-shared
basis, to employees of United States companies with expe-
rience in manufacturing to serve for 1 or 2 years as in-
structors in manufacturing at 2-year community and tech-
nical colleges in the United States.
SEC. 214. TOTAL QUALITY MANAGEMENT.
The Director of the National Science Foundation, in
consultation with the Secretary, the Under Secretary, and
the Director, may establish a program to develop innova-