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113th Congress  }                                      {  Rept. 113-599
  2d Session    }       HOUSE OF REPRESENTATIVES       {         Part 1

=======================================================================
 
      REVITALIZE AMERICAN MANUFACTURING AND INNOVATION ACT OF 2014 

                                _______
                                

 September 15, 2014.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                                _______
                                

     Mr. Smith of Texas, from the Committee on Science, Space, and 
                  Technology, submitted the following

                              R E P O R T

                        [To accompany H.R. 2996]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Science, Space, and Technology, to whom 
was referred the bill (H.R. 2996) to require the Secretary of 
Commerce to establish the Network for Manufacturing Innovation 
and for other purposes, having considered the same, report 
favorably thereon with an amendment and recommend that the bill 
as amended do pass.

                                CONTENTS

                                                                   Page
   I. Amendment.......................................................2
  II. Purpose and Summary............................................11
 III. Background and Need for the Legislation........................11
  IV. Hearing Summary................................................12
   V. Committee Consideration........................................13
  VI. Committee Votes................................................14
 VII. Summary of Major Provisions of the Bill........................17
VIII. Committee Views................................................18
  IX. Committee Oversight Findings...................................19
   X. Statement on General Performance Goals and Objectives..........19
  XI. New Budget Authority, Entitlement Authority, and Tax Expenditur19
 XII. Advisory on Earmarks...........................................20
XIII. Committee Cost Estimate........................................20
 XIV. Congressional Budget Office Cost Estimate......................20
  XV. Federal Mandates Statement.....................................23
 XVI. Compliance with House Resolution 5.............................23
XVII. Federal Advisory Committee Statement...........................23
XVIII.Applicability to Legislative Branch............................23

 XIX. Section-by-Section Analysis of the Legislation.................23
  XX. Changes in Existing Law Made by the Bill, As Reported..........25
 XXI. Proceedings of the Full Committee Markup.......................47

                              I. Amendment

    The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Revitalize American Manufacturing and 
Innovation Act of 2014''.

SEC. 2. FINDINGS.

  Congress finds the following:
          (1) In 2012, manufacturers contributed $2.03 trillion to the 
        economy, or \1/8\ of United States Gross Domestic Product.
          (2) For every $1.00 spent in manufacturing, another $1.32 is 
        added to the economy, the highest multiplier effect of any 
        economic sector.
          (3) Manufacturing supports an estimated 17,400,000 jobs in 
        the United States--about 1 in 6 private-sector jobs. More than 
        12,000,000 Americans (or 9 percent of the workforce) are 
        employed directly in manufacturing.
          (4) In 2012, the average manufacturing worker in the United 
        States earned $77,505 annually, including pay and benefits. The 
        average worker in all industries earned $62,063.
          (5) Taken alone, manufacturing in the United States would be 
        the 8th largest economy in the world.
          (6) Manufacturers in the United States perform two-thirds of 
        all private-sector research and development in the United 
        States, driving more innovation than any other sector.

SEC. 3. ESTABLISHMENT OF NETWORK FOR MANUFACTURING INNOVATION.

  The National Institute of Standards and Technology Act (15 U.S.C. 271 
et seq.) is amended--
          (1) by redesignating section 34 as section 35; and
          (2) by inserting after section 33 (15 U.S.C. 278r) the 
        following:

``SEC. 34. NETWORK FOR MANUFACTURING INNOVATION.

  ``(a) Establishment of Network for Manufacturing Innovation 
Program.--
          ``(1) In general.--The Secretary shall establish within the 
        Institute a program to be known as the `Network for 
        Manufacturing Innovation Program' (referred to in this section 
        as the `Program').
          ``(2) Purposes of program.--The purposes of the Program are--
                  ``(A) to improve the competitiveness of United States 
                manufacturing and to increase the production of goods 
                manufactured predominantly within the United States;
                  ``(B) to stimulate United States leadership in 
                advanced manufacturing research, innovation, and 
                technology;
                  ``(C) to facilitate the transition of innovative 
                technologies into scalable, cost-effective, and high-
                performing manufacturing capabilities;
                  ``(D) to facilitate access by manufacturing 
                enterprises to capital-intensive infrastructure, 
                including high-performance electronics and computing, 
                and the supply chains that enable these technologies;
                  ``(E) to accelerate the development of an advanced 
                manufacturing workforce;
                  ``(F) to facilitate peer exchange of and the 
                documentation of best practices in addressing advanced 
                manufacturing challenges;
                  ``(G) to leverage non-Federal sources of support to 
                promote a stable and sustainable business model without 
                the need for long-term Federal funding; and
                  ``(H) to create and preserve jobs.
          ``(3) Support.--The Secretary, acting through the Director, 
        shall carry out the purposes set forth in paragraph (2) by 
        supporting--
                  ``(A) the Network for Manufacturing Innovation 
                established under subsection (b); and
                  ``(B) the establishment of centers for manufacturing 
                innovation.
          ``(4) Director.--The Secretary shall carry out the Program 
        through the Director.
  ``(b) Establishment of Network for Manufacturing Innovation.--
          ``(1) In general.--As part of the Program, the Secretary 
        shall establish a network of centers for manufacturing 
        innovation.
          ``(2) Designation.--The network established under paragraph 
        (1) shall be known as the `Network for Manufacturing 
        Innovation' (referred to in this section as the `Network').
  ``(c) Centers for Manufacturing Innovation.--
          ``(1) In general.--For purposes of this section, a `center 
        for manufacturing innovation' is a center that--
                  ``(A) has been established by a person or group of 
                persons to address challenges in advanced manufacturing 
                and to assist manufacturers in retaining or expanding 
                industrial production and jobs in the United States;
                  ``(B) has a predominant focus on a manufacturing 
                process, novel material, enabling technology, supply 
                chain integration methodology, or another relevant 
                aspect of advanced manufacturing, such as 
                nanotechnology applications, advanced ceramics, 
                photonics and optics, composites, biobased and advanced 
                materials, flexible hybrid technologies, and tool 
                development for microelectronics;
                  ``(C) as determined by the Secretary, has the 
                potential--
                          ``(i) to improve the competitiveness of 
                        United States manufacturing, including key 
                        advanced manufacturing technologies such as 
                        nanotechnology, advanced ceramics, photonics 
                        and optics, composites, biobased and advanced 
                        materials, flexible hybrid technologies, and 
                        tool development for microelectronics;
                          ``(ii) to accelerate non-Federal investment 
                        in advanced manufacturing production capacity 
                        in the United States; or
                          ``(iii) to enable the commercial application 
                        of new technologies or industry-wide 
                        manufacturing processes; and
                  ``(D) includes active participation among 
                representatives from multiple industrial entities, 
                research universities, community colleges, and such 
                other entities as the Secretary considers appropriate, 
                which may include industry-led consortia, career and 
                technical education schools, Federal laboratories, 
                State, local, and tribal governments, businesses, 
                educational institutions, and nonprofit organizations.
          ``(2) Activities.--Activities of a center for manufacturing 
        innovation may include the following:
                  ``(A) Research, development, and demonstration 
                projects, including proof-of-concept development and 
                prototyping, to reduce the cost, time, and risk of 
                commercializing new technologies and improvements in 
                existing technologies, processes, products, and 
                research and development of materials to solve 
                precompetitive industrial problems with economic or 
                national security implications.
                  ``(B) Development and implementation of education, 
                training, and workforce recruitment courses, materials, 
                and programs.
                  ``(C) Development of innovative methodologies and 
                practices for supply chain integration and introduction 
                of new technologies into supply chains.
                  ``(D) Outreach and engagement with small and medium-
                sized manufacturing enterprises, including women and 
                minority owned manufacturing enterprises, in addition 
                to large manufacturing enterprises.
                  ``(E) Such other activities as the Secretary, in 
                consultation with Federal departments and agencies 
                whose missions contribute to or are affected by 
                advanced manufacturing, considers consistent with the 
                purposes described in subsection (a)(2).
          ``(3) Additional centers for manufacturing innovation.--
                  ``(A) In general.--The National Additive 
                Manufacturing Innovation Institute and other 
                manufacturing centers formally recognized as 
                manufacturing innovation centers pursuant to Federal 
                law or executive actions, or under pending interagency 
                review for such recognition as of the date of enactment 
                of the Revitalize American Manufacturing and Innovation 
                Act of 2014, shall be considered centers for 
                manufacturing innovation, but such centers shall not 
                receive any financial assistance under subsection (d).
                  ``(B) Network participation.--A manufacturing center 
                that is substantially similar to those established 
                under this subsection but that does not receive 
                financial assistance under subsection (d) may, upon 
                request of the center, be recognized as a center for 
                manufacturing innovation by the Secretary for purposes 
                of participation in the Network.
  ``(d) Financial Assistance to Establish and Support Centers for 
Manufacturing Innovation.--
          ``(1) In general.--In carrying out the Program, the Secretary 
        shall award financial assistance to a person or group of 
        persons to assist the organization in planning, establishing, 
        or supporting a center for manufacturing innovation.
          ``(2) Application.--A person or group of persons seeking 
        financial assistance under paragraph (1) shall submit to the 
        Secretary an application therefor at such time, in such manner, 
        and containing such information as the Secretary may require. 
        The application shall, at a minimum, describe the specific 
        sources and amounts of non-Federal financial support for the 
        center on the date financial assistance is sought, as well as 
        the anticipated sources and amounts of non-Federal financial 
        support during the period for which the center could be 
        eligible for continued Federal financial assistance under this 
        section.
          ``(3) Open process.--In soliciting applications for financial 
        assistance under paragraph (1), the Secretary shall ensure an 
        open process that will allow for the consideration of all 
        applications relevant to advanced manufacturing regardless of 
        technology area.
          ``(4) Selection.--
                  ``(A) Competitive, merit review.--In awarding 
                financial assistance under paragraph (1), the Secretary 
                shall use a competitive, merit review process that 
                includes peer review by a diverse group of individuals 
                with relevant expertise from both the private and 
                public sectors.
                  ``(B) Participation in process.--
                          ``(i) In general.--No political appointee may 
                        participate on a peer review panel. The 
                        Secretary shall implement a conflict of 
                        interest policy that ensures public 
                        transparency and accountability, and requires 
                        full disclosure of any real or potential 
                        conflicts of interest on the parts of 
                        individuals that participate in the merit 
                        selection process.
                          ``(ii) Definition.--For purposes of this 
                        subparagraph, the term `political appointee' 
                        means any individual who--
                                  ``(I) is employed in a position 
                                described under sections 5312 through 
                                5316 of title 5, United States Code, 
                                (relating to the Executive Schedule);
                                  ``(II) is a limited term appointee, 
                                limited emergency appointee, or 
                                noncareer appointee in the Senior 
                                Executive Service, as defined under 
                                paragraphs (5), (6), and (7), 
                                respectively, of section 3132(a) of 
                                title 5, United States Code; or
                                  ``(III) is employed in a position in 
                                the executive branch of the Government 
                                of a confidential or policy-determining 
                                character under schedule C of subpart C 
                                of part 213 of title 5 of the Code of 
                                Federal Regulations.
                  ``(C) Performance measurement, transparency, and 
                accountability.--For each award of financial assistance 
                under paragraph (1), the Secretary shall--
                          ``(i) make publicly available at the time of 
                        the award a description of the bases for the 
                        award, including an explanation of the relative 
                        merits of the winning applicant as compared to 
                        other applications received, if applicable; and
                          ``(ii) develop and implement metrics-based 
                        performance measures to assess the 
                        effectiveness of the activities funded.
                  ``(D) Collaboration.--In awarding financial 
                assistance under paragraph (1), the Secretary shall, 
                acting through the National Program Office established 
                under subsection (f)(1), collaborate with Federal 
                departments and agencies whose missions contribute to 
                or are affected by advanced manufacturing.
                  ``(E) Considerations.--In selecting a person who 
                submitted an application under paragraph (2) for an 
                award of financial assistance under paragraph (1), the 
                Secretary shall consider, at a minimum, the following:
                          ``(i) The potential of the center for 
                        manufacturing innovation to advance domestic 
                        manufacturing and the likelihood of economic 
                        impact, including the creation or preservation 
                        of jobs, in the predominant focus areas of the 
                        center for manufacturing innovation.
                          ``(ii) The commitment of continued financial 
                        support, advice, participation, and other 
                        contributions from non-Federal sources, to 
                        provide leverage and resources to promote a 
                        stable and sustainable business model without 
                        the need for long-term Federal funding.
                          ``(iii) Whether the financial support 
                        provided to the center for manufacturing 
                        innovation from non-Federal sources 
                        significantly exceeds the requested Federal 
                        financial assistance.
                          ``(iv) How the center for manufacturing 
                        innovation will increase the non-Federal 
                        investment in advanced manufacturing research 
                        in the United States.
                          ``(v) How the center for manufacturing 
                        innovation will engage with small and medium-
                        sized manufacturing enterprises, to improve the 
                        capacity of such enterprises to commercialize 
                        new processes and technologies.
                          ``(vi) How the center for manufacturing 
                        innovation will carry out educational and 
                        workforce activities that meet industrial needs 
                        related to the predominant focus areas of the 
                        center.
                          ``(vii) How the center for manufacturing 
                        innovation will advance economic 
                        competitiveness and generate substantial 
                        benefits to the Nation that extend beyond the 
                        direct return to participants in the Program.
                          ``(viii) Whether the predominant focus of the 
                        center for manufacturing innovation is a 
                        manufacturing process, novel material, enabling 
                        technology, supply chain integration 
                        methodology, or other relevant aspect of 
                        advanced manufacturing that has not already 
                        been commercialized, marketed, distributed, or 
                        sold by another entity.
                          ``(ix) How the center for manufacturing 
                        innovation will strengthen and leverage the 
                        assets of a region.
                          ``(x) How the center for manufacturing will 
                        encourage the education and training of 
                        veterans and individuals with disabilities.
          ``(5) Limitations on awards.--
                  ``(A) In general.--No award of financial assistance 
                may be made under paragraph (1) to a center of 
                manufacturing innovation after the 7-year period 
                beginning on the date on which the Secretary first 
                awards financial assistance to that center under that 
                paragraph.
                  ``(B) Matching funds and preferences.--The total 
                Federal financial assistance awarded to a center of 
                manufacturing innovation, including the financial 
                assistance under paragraph (1), in a given year shall 
                not exceed 50 percent of the total funding of the 
                center in that year, except that the Secretary may make 
                an exception in the case of large capital facilities or 
                equipment purchases. The Secretary shall give weighted 
                preference to applicants seeking less than the maximum 
                Federal share of funds allowed under this paragraph.
                  ``(C) Funding decrease.--The amount of financial 
                assistance provided to a center of manufacturing 
                innovation under paragraph (1) shall decrease after the 
                second year of funding for the center, and shall 
                continue to decrease thereafter in each year in which 
                financial assistance is provided, unless the Secretary 
                determines that--
                          ``(i) the center is otherwise meeting its 
                        stated goals and metrics under this section;
                          ``(ii) unforeseen circumstances have altered 
                        the center's anticipated funding; and
                          ``(iii) the center can identify future non-
                        Federal funding sources that would warrant a 
                        temporary exemption from the limitations 
                        established in this subparagraph.
  ``(e) Funding.--
          ``(1) General rule.--Except as provided in paragraph (2), no 
        funds are authorized to be appropriated by the Revitalize 
        American Manufacturing and Innovation Act of 2014 for carrying 
        out this section.
          ``(2) Authority.--
                  ``(A) NIST industrial technical services account.--
                The Secretary may use not to exceed $5,000,000 for each 
                of the fiscal years 2015 through 2024 to carry out this 
                section from amounts appropriated to the Institute for 
                Industrial Technical Services.
                  ``(B) Energy efficiency and renewable energy 
                account.--The Secretary of Energy may transfer to the 
                Institute not to exceed $250,000,000 for the period 
                encompassing fiscal years 2015 through 2024 for the 
                Secretary to carry out this section from amounts 
                appropriated for advanced manufacturing research and 
                development within the Energy Efficiency and Renewable 
                Energy account for the Department of Energy.
  ``(f) National Program Office.--
          ``(1) Establishment.--The Secretary shall establish, within 
        the Institute, the National Office of the Network for 
        Manufacturing Innovation Program (referred to in this section 
        as the `National Program Office'), which shall oversee and 
        carry out the Program.
          ``(2) Functions.--The functions of the National Program 
        Office are--
                  ``(A) to oversee the planning, management, and 
                coordination of the Program;
                  ``(B) to enter into memorandums of understanding with 
                Federal departments and agencies whose missions 
                contribute to or are affected by advanced 
                manufacturing, to carry out the purposes described in 
                subsection (a)(2);
                  ``(C) to develop, not later than 1 year after the 
                date of enactment of the Revitalize American 
                Manufacturing and Innovation Act of 2014, and update 
                not less frequently than once every 3 years thereafter, 
                a strategic plan to guide the Program;
                  ``(D) to establish such procedures, processes, and 
                criteria as may be necessary and appropriate to 
                maximize cooperation and coordinate the activities of 
                the Program with programs and activities of other 
                Federal departments and agencies whose missions 
                contribute to or are affected by advanced 
                manufacturing;
                  ``(E) to establish a clearinghouse of public 
                information related to the activities of the Program; 
                and
                  ``(F) to act as a convener of the Network.
          ``(3) Recommendations.--In developing and updating the 
        strategic plan under paragraph (2)(C), the Secretary shall 
        solicit recommendations and advice from a wide range of 
        stakeholders, including industry, small and medium-sized 
        manufacturing enterprises, research universities, community 
        colleges, and other relevant organizations and institutions on 
        an ongoing basis.
          ``(4) Report to congress.--Upon completion, the Secretary 
        shall transmit the strategic plan required under paragraph 
        (2)(C) to the Committee on Commerce, Science, and 
        Transportation of the Senate and the Committee on Science, 
        Space, and Technology of the House of Representatives.
          ``(5) Hollings manufacturing extension partnership.--The 
        Secretary shall ensure that the National Program Office 
        incorporates the Hollings Manufacturing Extension Partnership 
        into Program planning to ensure that the results of the Program 
        reach small and medium-sized entities.
          ``(6) Detailees.--Any Federal Government employee may be 
        detailed to the National Program Office without reimbursement. 
        Such detail shall be without interruption or loss of civil 
        service status or privilege.
  ``(g) Reporting and Auditing.--
          ``(1) Annual reports to the secretary.--
                  ``(A) In general.--The Secretary shall require each 
                recipient of financial assistance under subsection 
                (d)(1) to annually submit a report to the Secretary 
                that describes the finances and performance of the 
                center for manufacturing innovation for which such 
                assistance was awarded.
                  ``(B) Elements.--Each report submitted under 
                subparagraph (A) shall include--
                          ``(i) an accounting of expenditures of 
                        amounts awarded to the recipient under 
                        subsection (d)(1); and
                          ``(ii) consistent with the metrics-based 
                        performance measures developed and implemented 
                        by the Secretary under this section, a 
                        description of the performance of the center 
                        for manufacturing innovation with respect to--
                                  ``(I) its goals, plans, financial 
                                support, and accomplishments; and
                                  ``(II) how the center for 
                                manufacturing innovation has furthered 
                                the purposes described in subsection 
                                (a)(2).
          ``(2) Annual reports to congress.--
                  ``(A) In general.--Not less frequently than once each 
                year until December 31, 2024, the Secretary shall 
                submit a report to Congress that describes the 
                performance of the Program during the most recent 1-
                year period.
                  ``(B) Elements.--Each report submitted under 
                subparagraph (A) shall include, for the period covered 
                by the report--
                          ``(i) a summary and assessment of the reports 
                        received by the Secretary under paragraph (1);
                          ``(ii) an accounting of the funds expended by 
                        the Secretary under the Program, including any 
                        temporary exemptions granted from the 
                        requirements of subsection (d)(5)(C);
                          ``(iii) an assessment of the participation 
                        in, and contributions to, the Network by any 
                        centers for manufacturing innovation not 
                        receiving financial assistance under subsection 
                        (d)(1); and
                          ``(iv) an assessment of the Program with 
                        respect to meeting the purposes described in 
                        subsection (a)(2).
          ``(3) Assessments by gao.--
                  ``(A) Assessments.--Not less frequently than once 
                every 2 years, the Comptroller General shall submit to 
                Congress an assessment of the operation of the Program 
                during the most recent 2-year period.
                  ``(B) Final assessment.--Not later than December 31, 
                2024, the Comptroller General shall submit to Congress 
                a final report regarding the overall success of the 
                Program.
                  ``(C) Elements.--Each assessment submitted under 
                subparagraph (A) or (B) shall include, for the period 
                covered by the report--
                          ``(i) a review of the management, 
                        coordination, and industry utility of the 
                        Program;
                          ``(ii) an assessment of the extent to which 
                        the Program has furthered the purposes 
                        described in subsection (a)(2);
                          ``(iii) such recommendations for legislative 
                        and administrative action as the Comptroller 
                        General considers appropriate to improve the 
                        Program; and
                          ``(iv) an assessment as to whether any prior 
                        recommendations for improvement made by the 
                        Comptroller General have been implemented or 
                        adopted.
  ``(h) Additional Authorities.--
          ``(1) Appointment of personnel and contracts.--The Secretary 
        may appoint such personnel and enter into such contracts, 
        financial assistance agreements, and other agreements as the 
        Secretary considers necessary or appropriate to carry out the 
        Program, including support for research and development 
        activities involving a center for manufacturing innovation.
          ``(2) Transfer of funds.--The Secretary may transfer to other 
        Federal agencies such sums as the Secretary considers necessary 
        or appropriate to carry out the Program. No funds so 
        transferred may be used to reimburse or otherwise pay for the 
        costs of financial assistance incurred or commitments of 
        financial assistance made prior to the date of enactment of the 
        Revitalize American Manufacturing and Innovation Act of 2014.
          ``(3) Authority of other agencies.--In the event that the 
        Secretary exercises the authority to transfer funds to another 
        agency under paragraph (2), such agency may accept such funds 
        to award and administer, under the same conditions and 
        constraints applicable to the Secretary, all aspects of 
        financial assistance awards under this section.
          ``(4) Use of resources.--In furtherance of the purposes of 
        the Program, the Secretary may use, with the consent of a 
        covered entity and with or without reimbursement, the land, 
        services, equipment, personnel, and facilities of such covered 
        entity.
          ``(5) Acceptance of resources.--In addition to amounts 
        appropriated to carry out the Program, the Secretary may accept 
        funds, services, equipment, personnel, and facilities from any 
        covered entity to carry out the Program, subject to the same 
        conditions and constraints otherwise applicable to the 
        Secretary under this section.
          ``(6) Covered entity.--For purposes of this subsection, a 
        covered entity is any Federal department, Federal agency, 
        instrumentality of the United States, State, local government, 
        tribal government, territory, or possession of the United 
        States, or of any political subdivision thereof, or 
        international organization, or any public or private entity or 
        individual.
  ``(i) Patents.--Chapter 18 of title 35, United States Code, shall 
apply to any funding agreement (as defined in section 201 of that 
title) awarded to new or existing centers for manufacturing 
innovation.''.

SEC. 4. NATIONAL STRATEGIC PLAN FOR ADVANCED MANUFACTURING.

  Section 102 of the America COMPETES Reauthorization Act of 2010 (42 
U.S.C. 6622) is amended--
          (1) in subsection (a), by adding at the end the following: 
        ``In furtherance of the Committee's work, the Committee shall 
        consult with the National Economic Council.'';
          (2) in subsection (b), by striking paragraph (7) and 
        inserting the following:
          ``(7) develop and update a national strategic plan for 
        advanced manufacturing in accordance with subsection (c).''; 
        and
          (3) by striking subsection (c) and inserting the following:
  ``(c) National Strategic Plan for Advanced Manufacturing.--
          ``(1) In general.--The President shall submit to Congress, 
        and publish on an Internet website that is accessible to the 
        public, the strategic plan developed under paragraph (2).
          ``(2) Development.--The Committee shall develop, and update 
        as required under paragraph (4), in coordination with the 
        National Economic Council, a strategic plan to improve 
        Government coordination and provide long-term guidance for 
        Federal programs and activities in support of United States 
        manufacturing competitiveness, including advanced manufacturing 
        research and development.
          ``(3) Contents.--The strategic plan described in paragraph 
        (2) shall--
                  ``(A) specify and prioritize near-term and long-term 
                objectives, including research and development 
                objectives, the anticipated time frame for achieving 
                the objectives, and the metrics for use in assessing 
                progress toward the objectives;
                  ``(B) describe the progress made in achieving the 
                objectives from prior strategic plans, including a 
                discussion of why specific objectives were not met;
                  ``(C) specify the role, including the programs and 
                activities, of each relevant Federal agency in meeting 
                the objectives of the strategic plan;
                  ``(D) describe how the Federal agencies and Federally 
                funded research and development centers supporting 
                advanced manufacturing research and development will 
                foster the transfer of research and development results 
                into new manufacturing technologies and United States-
                based manufacturing of new products and processes for 
                the benefit of society to ensure national, energy, and 
                economic security;
                  ``(E) describe how such Federal agencies and centers 
                will strengthen all levels of manufacturing education 
                and training programs to ensure an adequate, well-
                trained workforce;
                  ``(F) describe how such Federal agencies and centers 
                will assist small and medium-sized manufacturers in 
                developing and implementing new products and processes;
                  ``(G) analyze factors that impact innovation and 
                competitiveness for United States advanced 
                manufacturing, including--
                          ``(i) technology transfer and 
                        commercialization activities;
                          ``(ii) the adequacy of the national security 
                        industrial base;
                          ``(iii) the capabilities of the domestic 
                        manufacturing workforce;
                          ``(iv) export opportunities and trade 
                        policies;
                          ``(v) financing, investment, and taxation 
                        policies and practices;
                          ``(vi) emerging technologies and markets;
                          ``(vii) advanced manufacturing research and 
                        development undertaken by competing nations; 
                        and
                          ``(viii) the capabilities of the 
                        manufacturing workforce of competing nations; 
                        and
                  ``(H) elicit and consider the recommendations of a 
                wide range of stakeholders, including representatives 
                from diverse manufacturing companies, academia, and 
                other relevant organizations and institutions.
          ``(4) Updates.--Not later than May 1, 2018, and not less 
        frequently than once every 4 years thereafter, the President 
        shall submit to Congress, and publish on an Internet website 
        that is accessible to the public, an update of the strategic 
        plan submitted under paragraph (1). Such updates shall be 
        developed in accordance with the procedures set forth under 
        this subsection.
          ``(5) Requirement to consider strategy in the budget.--In 
        preparing the budget for a fiscal year under section 1105(a) of 
        title 31, United States Code, the President shall include 
        information regarding the consistency of the budget with the 
        goals and recommendations included in the strategic plan 
        developed under this subsection applying to that fiscal year.
          ``(6) AMP steering committee input.--The Advanced 
        Manufacturing Partnership Steering Committee of the President's 
        Council of Advisors on Science and Technology shall provide 
        input, perspective, and recommendations to assist in the 
        development and updates of the strategic plan under this 
        subsection.''.

SEC. 5. REGIONAL INNOVATION PROGRAM.

  Section 27 of the Stevenson-Wydler Technology Innovation Act of 1980 
(15 U.S.C. 3722) is amended to read as follows:

``SEC. 27. REGIONAL INNOVATION PROGRAM.

  ``(a) Establishment.--The Secretary shall establish a regional 
innovation program to encourage and support the development of regional 
innovation strategies, including regional innovation clusters.
  ``(b) Cluster Grants.--
          ``(1) In general.--As part of the program established under 
        subsection (a), the Secretary may award grants on a competitive 
        basis to eligible recipients for activities relating to the 
        formation and development of regional innovation clusters.
          ``(2) Permissible activities.--Grants awarded under this 
        subsection may be used for activities determined appropriate by 
        the Secretary, including the following:
                  ``(A) Feasibility studies.
                  ``(B) Planning activities.
                  ``(C) Technical assistance.
                  ``(D) Developing or strengthening communication and 
                collaboration between and among participants of a 
                regional innovation cluster.
                  ``(E) Attracting additional participants to a 
                regional innovation cluster.
                  ``(F) Facilitating market development of products and 
                services developed by a regional innovation cluster, 
                including through demonstration, deployment, technology 
                transfer, and commercialization activities.
                  ``(G) Developing relationships between a regional 
                innovation cluster and entities or clusters in other 
                regions.
                  ``(H) Interacting with the public and State and local 
                governments to meet the goals of the cluster.
          ``(3) Eligible recipient defined.--In this subsection, the 
        term `eligible recipient' means--
                  ``(A) a State;
                  ``(B) an Indian tribe;
                  ``(C) a city or other political subdivision of a 
                State;
                  ``(D) an entity that--
                          ``(i) is a nonprofit organization, an 
                        institution of higher education, a public-
                        private partnership, a science or research 
                        park, a Federal laboratory, or an economic 
                        development organization or similar entity; and
                          ``(ii) has an application that is supported 
                        by a State or a political subdivision of a 
                        State; or
                  ``(E) a consortium of any of the entities described 
                in subparagraphs (A) through (D).
          ``(4) Application.--
                  ``(A) In general.--An eligible recipient shall submit 
                an application to the Secretary at such time, in such 
                manner, and containing such information and assurances 
                as the Secretary may require.
                  ``(B) Components.--The application shall include, at 
                a minimum, a description of the regional innovation 
                cluster supported by the proposed activity, including a 
                description of--
                          ``(i) whether the regional innovation cluster 
                        is supported by the private sector, State and 
                        local governments, and other relevant 
                        stakeholders;
                          ``(ii) how the existing participants in the 
                        regional innovation cluster will encourage and 
                        solicit participation by all types of entities 
                        that might benefit from participation, 
                        including newly formed entities and those rival 
                        existing participants;
                          ``(iii) the extent to which the regional 
                        innovation cluster is likely to stimulate 
                        innovation and have a positive impact on 
                        regional economic growth and development;
                          ``(iv) whether the participants in the 
                        regional innovation cluster have access to, or 
                        contribute to, a well-trained workforce;
                          ``(v) whether the participants in the 
                        regional innovation cluster are capable of 
                        attracting additional funds from non-Federal 
                        sources; and
                          ``(vi) the likelihood that the participants 
                        in the regional innovation cluster will be able 
                        to sustain activities once grant funds under 
                        this subsection have been expended.
                  ``(C) Special consideration.--The Secretary shall 
                give special consideration to applications from regions 
                that contain communities negatively impacted by trade.
          ``(5) Special consideration.--The Secretary shall give 
        special consideration to an eligible recipient who agrees to 
        collaborate with local workforce investment area boards.
          ``(6) Cost share.--The Secretary may not provide more than 50 
        percent of the total cost of any activity funded under this 
        subsection.
          ``(7) Outreach to rural communities.--The Secretary shall 
        conduct outreach to public and private sector entities in rural 
        communities to encourage those entities to participate in 
        regional innovation cluster activities under this subsection.
          ``(8) Funding.--The Secretary may accept funds from other 
        Federal agencies to support grants and activities under this 
        subsection.
  ``(c) Regional Innovation Research and Information Program.--
          ``(1) In general.--As part of the program established under 
        subsection (a), the Secretary shall establish a regional 
        innovation research and information program--
                  ``(A) to gather, analyze, and disseminate information 
                on best practices for regional innovation strategies 
                (including regional innovation clusters), including 
                information relating to how innovation, productivity, 
                and economic development can be maximized through such 
                strategies;
                  ``(B) to provide technical assistance, including 
                through the development of technical assistance guides, 
                for the development and implementation of regional 
                innovation strategies (including regional innovation 
                clusters);
                  ``(C) to support the development of relevant metrics 
                and measurement standards to evaluate regional 
                innovation strategies (including regional innovation 
                clusters), including the extent to which such 
                strategies stimulate innovation, productivity, and 
                economic development; and
                  ``(D) to collect and make available data on regional 
                innovation cluster activity in the United States, 
                including data on--
                          ``(i) the size, specialization, and 
                        competitiveness of regional innovation 
                        clusters;
                          ``(ii) the regional domestic product 
                        contribution, total jobs and earnings by key 
                        occupations, establishment size, nature of 
                        specialization, patents, Federal research and 
                        development spending, and other relevant 
                        information for regional innovation clusters; 
                        and
                          ``(iii) supply chain product and service 
                        flows within and between regional innovation 
                        clusters.
          ``(2) Research grants.--The Secretary may award research 
        grants on a competitive basis to support and further the goals 
        of the program established under this subsection.
          ``(3) Dissemination of information.--Data and analysis 
        compiled by the Secretary under the program established in this 
        subsection shall be made available to other Federal agencies, 
        State and local governments, and nonprofit and for-profit 
        entities.
          ``(4) Regional innovation grant program.--The Secretary shall 
        incorporate data and analysis relating to any grant under 
        subsection (b) into the program established under this 
        subsection.
  ``(d) Interagency Coordination.--
          ``(1) In general.--To the maximum extent practicable, the 
        Secretary shall ensure that the activities carried out under 
        this section are coordinated with, and do not duplicate the 
        efforts of, other programs at the Department of Commerce or 
        other Federal agencies.
          ``(2) Collaboration.--
                  ``(A) In general.--The Secretary shall explore and 
                pursue collaboration with other Federal agencies, 
                including through multiagency funding opportunities, on 
                regional innovation strategies.
                  ``(B) Small businesses.--The Secretary shall ensure 
                that such collaboration with Federal agencies 
                prioritizes the needs and challenges of small 
                businesses.
  ``(e) Evaluation.--
          ``(1) In general.--Not later than 3 years after the date of 
        enactment of the Revitalize American Manufacturing and 
        Innovation Act of 2014, the Secretary shall enter into a 
        contract with an independent entity, such as the National 
        Academy of Sciences, to conduct an evaluation of the program 
        established under subsection (a).
          ``(2) Requirements.--The evaluation shall include--
                  ``(A) whether the program is achieving its goals;
                  ``(B) any recommendations for how the program may be 
                improved; and
                  ``(C) a recommendation as to whether the program 
                should be continued or terminated.
  ``(f) Definitions.--In this section:
          ``(1) Regional innovation cluster.--The term `regional 
        innovation cluster' means a geographically bounded network of 
        similar, synergistic, or complementary entities that--
                  ``(A) are engaged in or with a particular industry 
                sector and its related sectors;
                  ``(B) have active channels for business transactions 
                and communication;
                  ``(C) share specialized infrastructure, labor 
                markets, and services; and
                  ``(D) leverage the region's unique competitive 
                strengths to stimulate innovation and create jobs.
          ``(2) State.--The term `State' means one 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, or any other 
        territory or possession of the United States.
  ``(g) Funding.--
          ``(1) General rule.--Except as provided in paragraph (2), no 
        funds are authorized to be appropriated by the Revitalize 
        American Manufacturing and Innovation Act of 2014 for carrying 
        out this section.
          ``(2) Authority.--The Secretary may use not to exceed 
        $10,000,000 for each of the fiscal years 2015 through 2019 to 
        carry out this section from amounts appropriated for economic 
        development assistance programs.''.

                        II. Purpose and Summary

    The purpose of H.R. 2996 is to support a Network for 
Manufacturing Innovation (NMI) Program within NIST to improve 
American manufacturing competitiveness; stimulate innovation; 
facilitate transition of novel technologies to 
commercialization; accelerate workforce development; and 
leverage non-Federal capital.

              III. Background and Need for the Legislation

    Manufacturing has been a significant part of American 
productivity since the industrial revolution. Manufacturing's 
share of gross domestic product is approximately 11 percent, 
and manufacturing output has risen by 13 percent in the last 
several years. However, employment in the manufacturing sector 
as a share of the economy is significantly lower than in the 
post-World War II era. Despite some modest increases recently, 
American manufacturing has seen large employment declines since 
2000.1,2,3 Some reports have cited declines in 
manufacturing employment as an indicator of a decrease in U.S. 
economic competitiveness, while others suggest that declines 
are primarily attributed to increases in 
productivity.4,5
---------------------------------------------------------------------------
    \1\Made in America, Again, August 2011, Boston Consulting Group.
    \2\Manufacturing's Secret Shift: Gaining Competitive Advantage by 
Getting Closer to the Customer; March 2011, Accenture.
    \3\Bureau of Labor Statistics, http://www.bls.gov/data/.
    \4\S. Ezell and R. Atkinson, ``The Case for a National 
Manufacturing Strategy,'' April, 2011, The Information Technology and 
Innovation Foundation. http://www.itif.org/files/2011-national-
manufacturing-strategy.pdf.
    \5\Council on Competitiveness Report, Make: An American 
Manufacturing Movement, December 2011, http://www.compete.org/
publications/detail/2064/make/.
---------------------------------------------------------------------------
    Most analysts agree that manufacturing continues to be an 
important part of the American economy. Manufacturing is 
generally more research and development intensive than other 
sectors of the economy, and therefore more closely tied to the 
Nation's innovative capacity.6,7
---------------------------------------------------------------------------
    \6\OECD Science, Technology and R&D; Statistics http://www.oecd-
ilibrary.org/content/data/data-00183-en.
    \7\S. Ezell and R. Atkinson, ``The Case for a National 
Manufacturing Strategy,'' April, 2011, The Information Technology and 
Innovation Foundation. http://www.itif.org/files/2011-national-
manufacturing-strategy.pdf.
---------------------------------------------------------------------------

The National Network for Manufacturing Innovation (NNMI)

    The President's FY13 and FY14 budget requests included a 
proposal for a one-time mandatory fund of $1 billion to 
establish the National Network for Manufacturing Innovation 
(NNMI), a public-private partnership of competitively-selected 
institutes that would each concentrate on a particular area of 
advanced manufacturing technology development. According to 
background information provided by the Administration, the goal 
of the institutes is to ``bring together industry, universities 
and community colleges, federal agencies, and regional and 
state organizations to accelerate innovation by investing in 
industrially relevant manufacturing technologies with broad 
applications, and to support manufacturing technology 
commercialization by bridging the gap between the laboratory 
and the market.''\8\
---------------------------------------------------------------------------
    \8\National Network for Manufacturing Innovation http://
www.manufacturing.gov/amp/nnmi.html.
---------------------------------------------------------------------------
    The NNMI also includes an emphasis on education and 
workforce development in advanced manufacturing skills. The 
Administration proposed up to 15 institutes across the country, 
with the federal support to last 5-7 years. The Committee on 
Science, Space and Technology held a hearing to review the 
Administration's NNMI proposal in the 112th Congress.\9\
---------------------------------------------------------------------------
    \9\``Technology and Innovation Subcommittee Hearing--Examining the 
Proposed National Network for Manufacturing Innovation''. May 31, 2012. 
http://science.house.gov/hearing/technology-and-innovation-
subcommittee-hearing-assembling-facts-examining-proposed-national.
---------------------------------------------------------------------------
    In August 2012, the Administration announced a pilot 
manufacturing institute, the ``National Additive Manufacturing 
Innovation Institute (NAMII),'' based in Youngstown, Ohio to 
accelerate and integrate additive manufacturing technologies to 
the U.S. manufacturing sector and to increase domestic 
manufacturing competitiveness. The pilot institute was 
established by reprogramming $30 million in appropriations for 
the Department of Defense (DOD), the Department of Energy 
(DOE), NASA, NSF and other federal agencies.
    In the 2013 State of the Union Address, the President 
announced plans for three additional manufacturing institutes 
to be funded through DOD and DOE appropriations, which were 
subsequently awarded in 2013:
           Digital Manufacturing & Design Innovation 
        Institute, led by an Illinois consortium led by UI Labs
           Lightweight & Modern Metals Manufacturing 
        Innovation (LM3I) Institute, led by a Michigan-
        headquartered consortium of businesses and universities
           Next Generation Power Electronics National 
        Manufacturing Innovation Institute, to be developed by 
        a consortium of businesses and universities led by 
        North Carolina State University
    The White House subsequently announced plans for additional 
awards in 2014 and has issued solicitations for proposals for 
the Clean Energy Manufacturing Innovation Institute for 
Composites Materials and Structures and a Department of Defense 
Request for Information from Industry and Academia, as part of 
an effort to determine technology focus areas for future 
Institutes for Manufacturing Innovation.

                          IV. Hearing Summary

    On Wednesday, July 10, 2013, the Subcommittee on Research 
and Technology held a hearing on the need for strategic 
planning for national manufacturing competitiveness. The 
hearing focused specifically on H.R. 2447, the ``American 
Manufacturing Competitiveness Act'', sponsored by Rep. Dan 
Lipinski. The legislation would modify an existing report 
required by the America COMPETES Reauthorization Act of 2010 by 
directing the National Science and Technology Council's 
Committee on Technology to lead other agencies and stakeholders 
in developing a national manufacturing competitiveness strategy 
every four years. The Subcommittee heard from three witnesses:
           Dr. Jonathan Rich, Chairman and CEO, Berry 
        Plastics, Inc.;
           Ms. Deborah Wince-Smith, President and CEO, 
        Council on Competitiveness ; and
           Mr. Zach Mottl, Chief Alignment Officer, 
        Atlas Tool and Die Works, Inc.
    On Tuesday, September 10, 2013, the Subcommittee on 
Research and Technology held a hearing to examine federal 
advanced manufacturing programs, with a focus on research and 
development programs at the National Institute of Standards and 
Technology, and to review H.R. 1421, the ``Advancing Innovative 
Manufacturing Act of 2013'' sponsored by Committee Ranking 
Member Eddie Bernice Johnson. The Subcommittee heard from three 
witnesses:
           Dr. Alan Taub, Professor, Material Science 
        and Engineering, University of Michigan
           Dr. Thomas Baer, Executive Director, 
        Stanford Photonics Research Center, Stanford University
           Mr. Mark Muro, Senior Fellow and Policy 
        Director, Metropolitan Policy Program, Brookings 
        Institution
    On Thursday, December 12, 2013 the Subcommittee on Research 
and Technology held a legislative hearing to examine the need 
for a manufacturing innovation network and to review H.R. 2996, 
the ``Revitalize American Manufacturing and Innovation Act of 
2013,'' sponsored by Representatives Tom Reed (R-NY) and Joe 
Kennedy (D-MA). The Subcommittee heard from two panels of 
witnesses:

Panel I

           The Honorable Tom Reed, Member, U.S. House 
        of Representatives; and
           The Honorable Joseph P. Kennedy, III, 
        Member, U.S. House of Representatives.

Panel II

           Mr. Jonathan Davis, Global Vice President of 
        Advocacy, SEMI;
           Dr. Richard A. Aubrecht, Vice Chairman of 
        the Board, Vice President, Strategy & Technology, Moog 
        Inc.;
           Dr. Stephan Biller, Chief Scientist 
        Manufacturing Technology, GE Global Research; and
           Dr. Stan A. Veuger, Resident Scholar, 
        American Enterprise Institute for Public Policy 
        Research

                       V. Committee Consideration

    The Committee on Science, Space, and Technology met to 
consider H.R. 2996 on Friday, July 25, 2014. The Committee 
considered and approved by voice vote an amendment in the 
nature of a substitute offered by Mr. Smith and Mr. Kennedy to 
H.R. 2996. The Committee also considered six amendments to the 
amendment in the nature of a substitute. The amendments were 
considered en bloc and passed by voice vote. The bill, as 
amended, was agreed to by voice vote, and was favorably 
reported to the House.

                          VI. Committee Votes

    Clause 3(b) of rule XIII of the Rules of the House of 
Representatives requires the Committee to list the recorded 
votes on the motion to report legislation and amendments 
thereto. A motion to order H.R. 2996 favorably reported to the 
House, as amended, was agreed to by voice vote.
    During Full Committee consideration of H.R. 2996, the 
following amendments were considered:

[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]

              VII. Summary of Major Provisions of the Bill

    H.R. 2996 would support a Network for Manufacturing 
Innovation (NMI) Program within NIST to improve American 
manufacturing competitiveness; stimulate innovation; facilitate 
transition of novel technologies to commercialization; 
accelerate workforce development; and leverage non-Federal 
capital.
    The bill would fund Centers for Manufacturing Innovation 
(CMI) to address challenges in advanced manufacturing and focus 
on manufacturing processes, new materials or technologies, and 
supply chain methodologies. CMIs would include active 
participation from industry, research universities, community 
colleges, and other entities. Activities of the CMIs include 
research and development, proof-of-concept and prototyping, and 
reducing the cost, time, and risk of commercialization of new 
technologies and processes. CMIs would also develop education 
and training programs and conduct outreach and engagement with 
small and mid-size businesses. Existing manufacturing centers, 
including the National Additive Manufacturing Innovation 
Institute, would be considered part of the NMI.
    Under the bill, federal funding for CMIs would be awarded 
by the Secretary to assist in the planning, establishment, and 
support of centers through an open, merit-based application 
process. Federal funding to Centers will be limited to seven 
years, after which Centers will need to be self-sustaining.
    H.R. 2996 would fund a National Program Office to carry out 
the planning, management and coordination of the centers for 
innovation. The Office would coordinate with other federal 
agencies engaged in advanced manufacturing including: DOD, 
Education, DOE, NASA, NSF and NIST. Within one year, the 
program offices must develop a strategic plan to guide the 
entire program. The Office is to work with the Hollings 
Manufacturing Extension Partnership programs in order to 
coordinate and avoid duplication of efforts.
    The bill also requires the President to develop and submit 
to Congress and to the public a national strategic plan for 
Advanced Manufacturing, commencing no later than May 1, 2018 
and with updates to be published no less frequently than every 
four years. The plan would establish short- and long-term 
objectives, timelines for achievement, and metrics for 
assessing progress.
    The plan would describe how Federal agencies and Federally-
funded research and development centers supporting advanced 
manufacturing R&D; will abet the transfer of new manufacturing 
technologies in the U.S. The plan is to be developed in 
consultation with a broad array of stakeholders and must 
include analyses of all factors that affect innovation within, 
and the competitiveness of, U.S. advanced manufacturing.
    H.R. 2996 would develop a regional innovation program to 
encourage and support the development of regional innovation 
strategies and regional innovation clusters. The Secretary 
would be authorized to award competitive grants in support of 
such regional efforts, including: feasibility studies, 
planning, technical assistance, regional collaboration and 
communication, market development, and interaction with other 
regional innovation groups. The Secretary may not provide more 
than 50 percent of the total cost of any activity funded under 
this program. In awarding competitive grants, the Secretary 
would accord preference for eligible recipients that will 
cooperate with local workforce investment boards. The Secretary 
would also conduct outreach to stakeholders in rural 
communities to encourage participation, and would ensure that 
small business needs are recognized and prioritized.
    Under the bill, the Secretary would develop a regional 
innovation research and information program to gather, analyze 
and disseminate information about best practices for regional 
innovation; provide technical assistance; support development 
of relevant metrics for results of regional innovation 
strategies; and collect and make available other relevant data 
regarding regional innovation cluster activity in the U.S.

                         VIII. Committee Views


Section 3

    At (c)(1)(B) and (c)(1)(C)(i), the Committee lists key 
advanced manufacturing technologies to be considered for 
establishment of the Network for Manufacturing Innovation 
Program: ``. . . such as nanotechnology applications, advanced 
ceramics, photonics and optics, composites, bio-based and 
advanced materials, flexible hybrid technologies, and tool 
development for microelectronics.'' The Committee expects the 
Secretary and the Director will consult with a broad array of 
private and public stakeholders in order to assure that all 
aspects of advanced manufacturing in the United States are 
considered for the Program. In this regard, the committee 
recognizes that advanced manufacturing innovations can and do 
come from all over the United States, and that these 
innovations often reflect regional strengths and priorities. As 
such, the committee encourages the Director to seek input from 
and consider geographically diverse entities in an effort to 
reflect these regional differences.
    At (d)(4), the Secretary is directed to establish a 
competitive, merit-based and transparent process for awarding 
financial assistance under the program. This process is to 
include peer-review through which public and private sector 
experts in fields that relate to advanced manufacturing 
competitiveness in the United States, including manufacturing 
technologies and processes, international trade, business 
finance, and international economics provide their evaluations 
of proposals as part of peer-review panels or otherwise. The 
Committee further directs at Section (d)(4)(B)(i) that no 
political appointee, as defined at (4)(B)(ii) may serve on a 
peer review panel. However, the Committee does not intend to 
prohibit federal career employees and temporary federal 
employees with responsibilities comparable to career employees, 
such as those hired specifically for their scientific and 
technical expertise, from participating in peer-review. 
Further, the Committee recognizes that final sign-off on any 
major award may require approval by senior agency officials.
    At (d)(4)(C)(i), the Secretary is required to make 
available publicly at the time of an award of financial 
assistance an explanation of the bases for selection of a 
winning application, including its relative strengths. The 
Committee intends that such explanations will be focused on 
winning applications, rather than on competing applications 
which were not funded.
    At (e)(2)(A), the Secretary is authorized to use up to $5 
million for each of fiscal years 2015 through 2024 from amounts 
appropriated for Industrial Technical Services. The committee 
intends that the Secretary will not use funds appropriated for 
the Hollings Manufacturing Extension Partnership program.
    At (g)(2), the Secretary is required to submit an Annual 
Report to Congress about the Program, including (g)(2)(B)(iv), 
which specifies ``an assessment of the Program with respect to 
meeting the purposes described in subsection (a)(2).'' The 
Committee intends that the Annual Report should include a 
review and assessment of the relevant capabilities of competing 
nations since the previous Annual Report, including investments 
in advanced manufacturing research and development, investments 
in education and workforce training for advanced manufacturing, 
implementation of trade and non-trade barriers which result in 
competitive advantages in advanced manufacturing, effectiveness 
of business and government espionage in advanced manufacturing 
industries, and overall economic growth tied to advanced 
manufacturing.

Section 4

    Regarding (c)(6), the committee recognizes that the Office 
of Science and Technology Policy has already established the 
Advanced Manufacturing Partnership Steering Committee of the 
President's Council of Advisers on Science and Technology. The 
existing Steering Committee will be sufficient to fulfill the 
duties spelled out in this section.

                    IX. Committee Oversight Findings

    Pursuant to clause 3(c)(1) of rule XIII of the Rules of the 
House of Representatives, the Committee held an oversight 
hearing and made findings that are reflected in the descriptive 
portions of this report.

        X. Statement on General Performance Goals and Objectives

    In accordance with clause 3(c)(4) of rule XIII of the Rules 
of the House of Representatives, the performance goals and 
objectives of the Committee are reflected in the descriptive 
portions of this report, including the goal to support a 
Network for Manufacturing Innovation (NMI) Program within NIST 
to improve American manufacturing competitiveness; stimulate 
innovation; facilitate transition of novel technologies to 
commercialization; accelerate workforce development; and 
leverage non-Federal capital

 XI. New Budget Authority, Entitlement Authority, and Tax Expenditures

    In compliance with clause 3(c)(2) of rule XIII of the Rules 
of the House of Representatives, the Committee adopts as its 
own the estimate of new budget authority, entitlement 
authority, or tax expenditures or revenues contained in the 
cost estimate prepared by the Director of the Congressional 
Budget Office pursuant to section 402 of the Congressional 
Budget Act of 1974.

                       XII. Advisory on Earmarks

    In compliance with clause 9(e), 9(f), and 9(g) of rule XXI, 
the Committee finds that H.R. 2996, the ``Revitalize American 
Manufacturing and Innovation Act of 2013,'' contains no 
earmarks.

                     XIII. Committee Cost Estimate

    The Committee adopts as its own the cost estimate prepared 
by the Director of the Congressional Budget Office pursuant to 
section 402 of the Congressional Budget Act of 1974.

             XIV. Congressional Budget Office Cost Estimate

    Pursuant to clause 3(c)(3) of rule XIII of the Rules of the 
House of Representatives, the following is the cost estimate 
provided by the Congressional Budget Office pursuant to section 
402 of the Congressional Budget Act of 1974.
                                     U.S. Congress,
                               Congressional Budget Office,
                                Washington, DC, September 15, 2014.
Hon. Lamar Smith,
Chairman, Committee on Science, Space, and Technology,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 2996, the 
Revitalize American Manufacturing and Innovation Act of 2014.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Susan Willie.
            Sincerely,
                                              Douglas W. Elmendorf.
    Enclosure.

H.R. 2996--Revitalize American Manufacturing and Innovation Act of 2014

    Summary: H.R. 2996 would establish the Network for 
Manufacturing Innovation Program (NMIP) within the National 
Institute of Standards and Technology (NIST). Under the 
program, NIST would award grants to establish a network of 
centers of innovation to improve the competitiveness of 
domestic manufacturers. H.R. 2996 also would reauthorize a 
program to develop regional clusters of businesses that operate 
in similar or complementary industries. Finally, the bill would 
require the Government Accountability Office (GAO) to assess 
the NMIP every two years and direct NIST to develop a strategic 
plan for advanced manufacturing that would be updated every 
four years.
    CBO estimates that implementing H.R. 2996 would cost $105 
million over the 2015-2019 period, assuming appropriation 
actions consistent with the bill. Enacting H.R. 2996 also would 
affect direct spending; therefore, pay-as-you-go procedures 
apply. CBO estimates, however, that such effects would be 
insignificant. Enacting H.R. 2996 would not affect revenues.
    H.R. 2996 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA), 
and any costs to state, local, or tribal governments, including 
matching funds, would be incurred as conditions of receiving 
federal assistance.
    Estimated cost to the Federal Government: The estimated 
budgetary effect of H.R. 2996 is shown in the following table. 
The costs of this legislation fall within budget functions 370 
(commerce and housing credit) and 450 (community development).

----------------------------------------------------------------------------------------------------------------
                                                                  By fiscal year, in millions of dollars--
                                                           -----------------------------------------------------
                                                                                                          2015-
                                                              2015     2016     2017     2018     2019     2019
----------------------------------------------------------------------------------------------------------------
                                  CHANGES IN SPENDING SUBJECT TO APPROPRIATIONaNetwork for Manufacturing Innovation:
    Estimated Authorization Levelb........................       30       30       30       30       30      150
    Estimated Outlays.....................................        3        9       17       23       26       77
Regional Innovation Program:
    Authorization Level...................................       10       10       10       10       10       50
    Estimated Outlays.....................................        1        3        5        8       10       25
Reports
    Estimated Authorization Level.........................        2        0        1        2        *        5
    Estimated Outlays.....................................        1        1        0        1        1        4
    Total Changes:
        Estimated Authorization Level.....................       42       40       41       42       40      205
        Estimated Outlays.................................        5       12       21       31       36      105
----------------------------------------------------------------------------------------------------------------
Note: *= less than $500,000; components may not sum to totals because of rounding.
aCB0 estimates that enacting H.R. 2996 also would have an insignificant effect on direct spending.
bAn additional $150 million would be authorized to be appropriated over the 2020-2024 period.

    Basis of estimate: For this estimate, CBO assumes that H.R. 
2996 will be enacted near the end of 2014, that the necessary 
amounts will be appropriated near the begirming of each fiscal 
year, and that spending will follow historical patterns for 
similar programs.

Spending subject to appropriation

    Network for Manufacturing Innovation. H.R. 2996 would 
authorize NIST to establish a network of centers to support 
research and development, education, training, and other 
efforts to improve the capacity of domestic manufacturers to 
use advanced technology. Under the bill, MIST would be required 
to develop a strategic plan for the program and a system to 
award and oversee grants to eligible applicants, and to report 
to the Congress annually on program performance.
    H.R. 2996 would authorize appropriations of $300 million 
over the 2015-2024 period to establish the network; the bill 
would authorize a portion of that amount ($50 million) to be 
transferred from future appropriations for other programs at 
NIST and the balance ($250 million) to be transferred from 
future appropriations for the Energy Efficiency and Renewable 
Energy (EERE) program at the Department of Energy (DOE). In 
2013, DOE obligated $128 million for advanced manufacturing 
activities from the EERE program We expect that the transfers 
would be spread evenly over the period they are authorized.
    Based on information from NIST, CBO expects that the agency 
would eventually create four institutes with the funds 
authorized under the bill. Those new institutes would join four 
existing institutes that were created with funds from the 
Departments of Defense and Energy and four other institutes 
currently under development. CBO estimates that fully funding 
the NMIP would require appropriations totaling $150 million 
over the 2015-2019 period and cost $77 million over the same 
period. The remaining $150 million would be authorized over the 
2020-2024 period.
    Regional Innovation Program. H.R. 2996 would reauthorize a 
program to encourage the development of regional innovation 
clusters that is, networks of similar or complementary entities 
that, among other things, are located within a certain 
geographic area, are engaged with a specific industry sector, 
and share specialized infrastructure, labor markets, and 
services. As part of the program, the bill would support 
research and information collection efforts that would provide 
data on the activities of regional clusters.
    H.R. 2996 would provide authority for $10 million per year 
over the 2015-2019 period from funds for economic development 
assistance programs. This amount is similar to the amount 
provided by the Congress for this activity in 2014. Based on 
historical spending patterns, CBO estimates that that fully 
funding those provisions of H.R. 2996 would require 
appropriations totaling $50 million over the 2015-2019 period 
and cost $25 million over the same period.
    Reports. The bill also would require NIST to develop a 
national strategic plan for advanced manufacturing that would 
be updated every four years and require a report to the 
Congress by GAO assessing NMIP operations every two years.
    Based on information from the agencies, CBO estimates that 
preparing the strategic plan and the GAO reports would cost 
about $4 million over the 2015-2019 period, assuming 
appropriation of the necessary amounts.

Direct spending

    H.R. 2996 would authorize NIST to accept funds from private 
entities to carry out the NMIP and would make those amounts 
available to the agency without further appropriation. Based on 
information from NIST, CBO estimates that this provision would 
have an insignificant effect on net direct spending because 
amounts collected would be small, less than $500,000 per year. 
Any additional collections would be spent by the agency.
    Pay-As-You-Go considerations: The Statutory Pay-As-You-Go 
Act of 2010 establishes budget-reporting and enforcement 
procedures for legislation affecting direct spending or 
revenues. CBO estimates that enacting H.R. 2996 would affect 
direct spending because the bill would authorize NIST to accept 
and spend gifts from private entities without further 
appropriation action, but those effects would be insignificant. 
Enacting H.R. 2996 would not affect revenues.
    Intergovernmental and private-sector impact: H.R. 2996 
contains no intergovernmental or private-sector mandates as 
defined in UMRA, and any costs to state, local, or tribal 
governments, including matching funds, would be incurred as 
conditions of receiving federal assistance.
    Previous CBO estimate: On June 6, 2014, CBO transmitted a 
cost estimate for S. 1468, the Revitalize American 
Manufacturing and Innovation Act of 2014, as ordered reported 
by the Committee on Commerce, Science, and Transportation on 
April 9, 2014. The Senate bill would authorize the 
appropriation of $300 million in 2015 to develop the NMIP; CBO 
estimates that implementing S. 1468 would cost $255 million 
over the 2015-2019 period.
    Estimate Prepared by: Federal costs: Susan Willie and Dan 
Hoople; Impact on state, local, and tribal governments: Jon 
Sperl; Impact on the private sector: Marin Burnett.
    Estimate approved by: Theresa Gullo, Deputy Assistant 
Director for Budget Analysis.

                     XV. Federal Mandates Statement

    The Committee adopts as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act.

                     XVI. Compliance with H. Res. 5

    A. Directed Rule Making. This bill does not direct any 
executive branch official to conduct any specific rule-making 
proceedings.
    B. Duplication of Existing Programs. This bill does not 
establish or reauthorize a program of the federal government 
known to be duplicative of another program. Such program was 
not included in any report from the Government Accountability 
Office to Congress pursuant to section 21 of Public Law 111-139 
or identified in the most recent Catalog of Federal Domestic 
Assistance published pursuant to the Federal Program 
Information Act (Public Law 95-220, as amended by Public Law 
98-169) as relating to other programs.

               XVII. Federal Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act were created by this 
legislation.

               XVIII. Applicability to Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act.

                    XIX. Section-by-Section Analysis


Section 1. Short title

    This act may be cited as the ``Revitalize American 
Manufacturing and Innovation Act of 2014.''

Sec. 2. Findings

    This section contains findings regarding the economic 
impact of manufacturing in the United States. This section 
states that manufacturers in the United States perform two-
thirds of all private-sector research and development in the 
United States, driving more innovation than any other sector.

Sec. 3. Establishment of Network for Manufacturing Innovation

    This section revises the National Institute of Standards 
and Technology Act to include a new section to support a 
Network for Manufacturing Innovation Program. The purpose of 
the NMI Program is: to improve competitiveness of United States 
Manufacturing and to increase the production of goods 
manufactured predominantly within the United States; to 
stimulate United States leadership in advance manufacturing 
research; to facilitate the transition of innovative 
technologies into manufacturing capabilities; to facilitate 
access by manufacturing enterprises to capital-intensive 
infrastructure; to accelerate the development of an advanced 
manufacturing workforce; to facilitate peer exchange and 
documentation of best practices; to leverage non-Federal 
sources of support to promote a stable and sustainable business 
model; and to create and preserve jobs.
    This section authorizes support for a network of centers 
for manufacturing innovation. The purpose of the centers is to: 
address challenges in advanced manufacturing; have potential to 
improve the competitiveness of United States manufacturing; 
accelerate non-Federal investment in advanced manufacturing 
production capacity or enable the commercial application of new 
technologies or manufacturing processes; and elicit 
participation among representatives of specified entities. This 
section specifies the activities that may be undertaken by the 
centers.
    This section stipulates that other existing or planned 
manufacturing centers formally recognized as manufacturing 
innovation centers under federal law or executive action shall 
be considered centers for manufacturing innovation under this 
act and may, upon request, be recognized as a center for 
participation in the network. This section also states that 
such centers may not receive funds authorized by this act.
    This section states that in carrying out the NMI Program, 
the Secretary of Commerce shall award financial assistance to a 
person or group of persons to assist in planning, establishing, 
or supporting a center for manufacturing innovation. This 
section provides guidelines for applications for assistance and 
for competitive, merit awards of financial assistance. This 
section provides guidelines for publicizing information 
regarding the awards.
    This section does not authorize appropriations for the NMI 
Program. It states that the Secretary may use not to exceed $5 
million for each of the fiscal years 2015 to 2024 to carry out 
this section from the amounts appropriated to the National 
Institute of Standards and Technology (NIST) for Industrial 
Technical Services. The section also authorizes the Secretary 
of Energy to transfer not to exceed $250 million for the period 
encompassing fiscal years 2015 to 2024 to carry out this 
section from amounts appropriated for advanced manufacturing 
research and development within the Energy Efficiency and 
Renewable Energy account for the Department of Energy. This 
section specifies certain limitations on funding to centers.
    This section directs the Secretary to support, within NIST, 
the National Office of the Network for Manufacturing Innovation 
Program, to oversee and carry out the NMI Program. This section 
specifies the functions of the National Program Office, 
including the development and submission to Congress of a 
regularly updated strategic plan to guide the NMI Program. This 
section requires the Secretary to solicit recommendations from 
a wide range of stakeholders in developing and updating the 
strategic plan. This section requires the Comptroller General 
to submit to Congress a biennial assessment of the NMI 
Program's operation. This section requires the Secretary to 
ensure that the National Program Office incorporates the 
Hollings Manufacturing Extension Partnership into NMI Program 
planning.

Sec. 4. National Strategic Plan for Advanced Manufacturing

    This section amends the America COMPETES Reauthorization 
Act of 2010 to require the Committee under the National Science 
and Technology Council, in consultation with the National 
Economic Council and various public and private stakeholders, 
to develop and update a strategic plan to provide guidance for 
Federal programs and activities in support of United States 
advanced manufacturing competitiveness. This section requires 
the strategic plan to describe the progress made in achieving 
the objectives from prior strategic plans and analyze factors 
that impact innovation and competitiveness for United States 
advanced manufacturing. This section specifies a schedule for 
updating the strategic plan. This section requires the 
President to include information regarding the consistency of 
the budget with the goals and recommendations included in the 
strategic plan developed under this section. This section 
requires the Advanced Manufacturing Partnership Steering 
Committee of the President's Council of Advisors on Science and 
Technology to provide input, perspective, and recommendations 
to assist in the development and updates of the strategic plan 
under this section.

Sec. 5. Regional Innovation Program

    This section amends the Stevenson-Wydler Act. The Secretary 
may award funds to Regional Innovation Centers from 
appropriations for economic development assistance programs, 
not to exceed $10,000,000 per fiscal year for fiscal years 
2015-2024. No funds are authorized to be appropriated for the 
NMI Program. This section provides that the Secretary shall 
conduct outreach in rural communities regarding program 
participation.

       XX. Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

           NATIONAL INSTITUTE OF STANDARDS AND TECHNOLOGY ACT




           *       *       *       *       *       *       *
SEC. 34. NETWORK FOR MANUFACTURING INNOVATION.

  (a)  Establishment of Network for Manufacturing Innovation 
Program.--
          (1) In general.-- The Secretary shall establish 
        within the Institute a program to be known as the 
        ``Network for Manufacturing Innovation Program'' 
        (referred to in this section as the ``Program'').
          (2) Purposes of program.-- The purposes of the 
        Program are--
                  (A) to improve the competitiveness of United 
                States manufacturing and to increase the 
                production of goods manufactured predominantly 
                within the United States;
                  (B) to stimulate United States leadership in 
                advanced manufacturing research, innovation, 
                and technology;
                  (C) to facilitate the transition of 
                innovative technologies into scalable, cost-
                effective, and high-performing manufacturing 
                capabilities;
                  (D) to facilitate access by manufacturing 
                enterprises to capital-intensive 
                infrastructure, including high-performance 
                electronics and computing, and the supply 
                chains that enable these technologies;
                  (E) to accelerate the development of an 
                advanced manufacturing workforce;
                  (F) to facilitate peer exchange of and the 
                documentation of best practices in addressing 
                advanced manufacturing challenges;
                  (G) to leverage non-Federal sources of 
                support to promote a stable and sustainable 
                business model without the need for long-term 
                Federal funding; and
                  (H) to create and preserve jobs.
          (3) Support.-- The Secretary, acting through the 
        Director, shall carry out the purposes set forth in 
        paragraph (2) by supporting--
                  (A) the Network for Manufacturing Innovation 
                established under subsection (b); and
                  (B) the establishment of centers for 
                manufacturing innovation.
          (4) Director.-- The Secretary shall carry out the 
        Program through the Director.
  (b)  Establishment of Network for Manufacturing Innovation.--
          (1) In general.-- As part of the Program, the 
        Secretary shall establish a network of centers for 
        manufacturing innovation.
          (2) Designation.-- The network established under 
        paragraph (1) shall be known as the ``Network for 
        Manufacturing Innovation'' (referred to in this section 
        as the ``Network'').
  (c)  Centers for Manufacturing Innovation.--
          (1) In general.-- For purposes of this section, a 
        ``center for manufacturing innovation'' is a center 
        that--
                  (A) has been established by a person or group 
                of persons to address challenges in advanced 
                manufacturing and to assist manufacturers in 
                retaining or expanding industrial production 
                and jobs in the United States;
                  (B) has a predominant focus on a 
                manufacturing process, novel material, enabling 
                technology, supply chain integration 
                methodology, or another relevant aspect of 
                advanced manufacturing, such as nanotechnology 
                applications, advanced ceramics, photonics and 
                optics, composites, biobased and advanced 
                materials, flexible hybrid technologies, and 
                tool development for microelectronics;
                  (C) as determined by the Secretary, has the 
                potential--
                          (i) to improve the competitiveness of 
                        United States manufacturing, including 
                        key advanced manufacturing technologies 
                        such as nanotechnology, advanced 
                        ceramics, photonics and optics, 
                        composites, biobased and advanced 
                        materials, flexible hybrid 
                        technologies, and tool development for 
                        microelectronics;
                          (ii) to accelerate non-Federal 
                        investment in advanced manufacturing 
                        production capacity in the United 
                        States; or
                          (iii) to enable the commercial 
                        application of new technologies or 
                        industry-wide manufacturing processes; 
                        and
                  (D) includes active participation among 
                representatives from multiple industrial 
                entities, research universities, community 
                colleges, and such other entities as the 
                Secretary considers appropriate, which may 
                include industry-led consortia, career and 
                technical education schools, Federal 
                laboratories, State, local, and tribal 
                governments, businesses, educational 
                institutions, and nonprofit organizations.
          (2) Activities.-- Activities of a center for 
        manufacturing innovation may include the following:
                  (A) Research, development, and demonstration 
                projects, including proof-of-concept 
                development and prototyping, to reduce the 
                cost, time, and risk of commercializing new 
                technologies and improvements in existing 
                technologies, processes, products, and research 
                and development of materials to solve 
                precompetitive industrial problems with 
                economic or national security implications.
                  (B) Development and implementation of 
                education, training, and workforce recruitment 
                courses, materials, and programs.
                  (C) Development of innovative methodologies 
                and practices for supply chain integration and 
                introduction of new technologies into supply 
                chains.
                  (D) Outreach and engagement with small and 
                medium-sized manufacturing enterprises, 
                including women and minority owned 
                manufacturing enterprises, in addition to large 
                manufacturing enterprises.
                  (E) Such other activities as the Secretary, 
                in consultation with Federal departments and 
                agencies whose missions contribute to or are 
                affected by advanced manufacturing, considers 
                consistent with the purposes described in 
                subsection (a)(2).
          (3) Additional centers for manufacturing 
        innovation.--
                  (A) In general.-- The National Additive 
                Manufacturing Innovation Institute and other 
                manufacturing centers formally recognized as 
                manufacturing innovation centers pursuant to 
                Federal law or executive actions, or under 
                pending interagency review for such recognition 
                as of the date of enactment of the Revitalize 
                American Manufacturing and Innovation Act of 
                2014, shall be considered centers for 
                manufacturing innovation, but such centers 
                shall not receive any financial assistance 
                under subsection (d).
                  (B) Network participation.-- A manufacturing 
                center that is substantially similar to those 
                established under this subsection but that does 
                not receive financial assistance under 
                subsection (d) may, upon request of the center, 
                be recognized as a center for manufacturing 
                innovation by the Secretary for purposes of 
                participation in the Network.
  (d)  Financial Assistance to Establish and Support Centers 
for Manufacturing Innovation.--
          (1) In general.-- In carrying out the Program, the 
        Secretary shall award financial assistance to a person 
        or group of persons to assist the organization in 
        planning, establishing, or supporting a center for 
        manufacturing innovation.
          (2) Application.-- A person or group of persons 
        seeking financial assistance under paragraph (1) shall 
        submit to the Secretary an application therefor at such 
        time, in such manner, and containing such information 
        as the Secretary may require. The application shall, at 
        a minimum, describe the specific sources and amounts of 
        non-Federal financial support for the center on the 
        date financial assistance is sought, as well as the 
        anticipated sources and amounts of non-Federal 
        financial support during the period for which the 
        center could be eligible for continued Federal 
        financial assistance under this section.
          (3) Open process.-- In soliciting applications for 
        financial assistance under paragraph (1), the Secretary 
        shall ensure an open process that will allow for the 
        consideration of all applications relevant to advanced 
        manufacturing regardless of technology area.
          (4) Selection.--
                  (A) Competitive, merit review.-- In awarding 
                financial assistance under paragraph (1), the 
                Secretary shall use a competitive, merit review 
                process that includes peer review by a diverse 
                group of individuals with relevant expertise 
                from both the private and public sectors.
                  (B) Participation in process.--
                          (i) In general.-- No political 
                        appointee may participate on a peer 
                        review panel. The Secretary shall 
                        implement a conflict of interest policy 
                        that ensures public transparency and 
                        accountability, and requires full 
                        disclosure of any real or potential 
                        conflicts of interest on the parts of 
                        individuals that participate in the 
                        merit selection process.
                          (ii) Definition.-- For purposes of 
                        this subparagraph, the term ``political 
                        appointee'' means any individual who--
                                  (I) is employed in a position 
                                described under sections 5312 
                                through 5316 of title 5, United 
                                States Code, (relating to the 
                                Executive Schedule);
                                  (II) is a limited term 
                                appointee, limited emergency 
                                appointee, or noncareer 
                                appointee in the Senior 
                                Executive Service, as defined 
                                under paragraphs (5), (6), and 
                                (7), respectively, of section 
                                3132(a) of title 5, United 
                                States Code; or
                                  (III) is employed in a 
                                position in the executive 
                                branch of the Government of a 
                                confidential or policy-
                                determining character under 
                                schedule C of subpart C of part 
                                213 of title 5 of the Code of 
                                Federal Regulations.
                  (C) Performance measurement, transparency, 
                and accountability.-- For each award of 
                financial assistance under paragraph (1), the 
                Secretary shall--
                          (i) make publicly available at the 
                        time of the award a description of the 
                        bases for the award, including an 
                        explanation of the relative merits of 
                        the winning applicant as compared to 
                        other applications received, if 
                        applicable; and
                          (ii) develop and implement metrics-
                        based performance measures to assess 
                        the effectiveness of the activities 
                        funded.
                  (D) Collaboration.-- In awarding financial 
                assistance under paragraph (1), the Secretary 
                shall, acting through the National Program 
                Office established under subsection (f)(1), 
                collaborate with Federal departments and 
                agencies whose missions contribute to or are 
                affected by advanced manufacturing.
                  (E) Considerations.-- In selecting a person 
                who submitted an application under paragraph 
                (2) for an award of financial assistance under 
                paragraph (1), the Secretary shall consider, at 
                a minimum, the following:
                          (i) The potential of the center for 
                        manufacturing innovation to advance 
                        domestic manufacturing and the 
                        likelihood of economic impact, 
                        including the creation or preservation 
                        of jobs, in the predominant focus areas 
                        of the center for manufacturing 
                        innovation.
                          (ii) The commitment of continued 
                        financial support, advice, 
                        participation, and other contributions 
                        from non-Federal sources, to provide 
                        leverage and resources to promote a 
                        stable and sustainable business model 
                        without the need for long-term Federal 
                        funding.
                          (iii) Whether the financial support 
                        provided to the center for 
                        manufacturing innovation from non-
                        Federal sources significantly exceeds 
                        the requested Federal financial 
                        assistance.
                          (iv) How the center for manufacturing 
                        innovation will increase the non-
                        Federal investment in advanced 
                        manufacturing research in the United 
                        States.
                          (v) How the center for manufacturing 
                        innovation will engage with small and 
                        medium-sized manufacturing enterprises, 
                        to improve the capacity of such 
                        enterprises to commercialize new 
                        processes and technologies.
                          (vi) How the center for manufacturing 
                        innovation will carry out educational 
                        and workforce activities that meet 
                        industrial needs related to the 
                        predominant focus areas of the center.
                          (vii) How the center for 
                        manufacturing innovation will advance 
                        economic competitiveness and generate 
                        substantial benefits to the Nation that 
                        extend beyond the direct return to 
                        participants in the Program.
                          (viii) Whether the predominant focus 
                        of the center for manufacturing 
                        innovation is a manufacturing process, 
                        novel material, enabling technology, 
                        supply chain integration methodology, 
                        or other relevant aspect of advanced 
                        manufacturing that has not already been 
                        commercialized, marketed, distributed, 
                        or sold by another entity.
                          (ix) How the center for manufacturing 
                        innovation will strengthen and leverage 
                        the assets of a region.
                          (x) How the center for manufacturing 
                        will encourage the education and 
                        training of veterans and individuals 
                        with disabilities.
          (5) Limitations on awards.--
                  (A) In general.-- No award of financial 
                assistance may be made under paragraph (1) to a 
                center of manufacturing innovation after the 7-
                year period beginning on the date on which the 
                Secretary first awards financial assistance to 
                that center under that paragraph.
                  (B) Matching funds and preferences.-- The 
                total Federal financial assistance awarded to a 
                center of manufacturing innovation, including 
                the financial assistance under paragraph (1), 
                in a given year shall not exceed 50 percent of 
                the total funding of the center in that year, 
                except that the Secretary may make an exception 
                in the case of large capital facilities or 
                equipment purchases. The Secretary shall give 
                weighted preference to applicants seeking less 
                than the maximum Federal share of funds allowed 
                under this paragraph.
                  (C) Funding decrease.-- The amount of 
                financial assistance provided to a center of 
                manufacturing innovation under paragraph (1) 
                shall decrease after the second year of funding 
                for the center, and shall continue to decrease 
                thereafter in each year in which financial 
                assistance is provided, unless the Secretary 
                determines that--
                          (i) the center is otherwise meeting 
                        its stated goals and metrics under this 
                        section;
                          (ii) unforeseen circumstances have 
                        altered the center's anticipated 
                        funding; and
                          (iii) the center can identify future 
                        non-Federal funding sources that would 
                        warrant a temporary exemption from the 
                        limitations established in this 
                        subparagraph.
  (e)  Funding.--
          (1) General rule.-- Except as provided in paragraph 
        (2), no funds are authorized to be appropriated by the 
        Revitalize American Manufacturing and Innovation Act of 
        2014 for carrying out this section.
          (2) Authority.--
                  (A) NIST industrial technical services 
                account.-- The Secretary may use not to exceed 
                $5,000,000 for each of the fiscal years 2015 
                through 2024 to carry out this section from 
                amounts appropriated to the Institute for 
                Industrial Technical Services.
                  (B) Energy efficiency and renewable energy 
                account.-- The Secretary of Energy may transfer 
                to the Institute not to exceed $250,000,000 for 
                the period encompassing fiscal years 2015 
                through 2024 for the Secretary to carry out 
                this section from amounts appropriated for 
                advanced manufacturing research and development 
                within the Energy Efficiency and Renewable 
                Energy account for the Department of Energy.
  (f)  National Program Office.--
          (1) Establishment.-- The Secretary shall establish, 
        within the Institute, the National Office of the 
        Network for Manufacturing Innovation Program (referred 
        to in this section as the ``National Program Office''), 
        which shall oversee and carry out the Program.
          (2) Functions.-- The functions of the National 
        Program Office are--
                  (A) to oversee the planning, management, and 
                coordination of the Program;
                  (B) to enter into memorandums of 
                understanding with Federal departments and 
                agencies whose missions contribute to or are 
                affected by advanced manufacturing, to carry 
                out the purposes described in subsection 
                (a)(2);
                  (C) to develop, not later than 1 year after 
                the date of enactment of the Revitalize 
                American Manufacturing and Innovation Act of 
                2014, and update not less frequently than once 
                every 3 years thereafter, a strategic plan to 
                guide the Program;
                  (D) to establish such procedures, processes, 
                and criteria as may be necessary and 
                appropriate to maximize cooperation and 
                coordinate the activities of the Program with 
                programs and activities of other Federal 
                departments and agencies whose missions 
                contribute to or are affected by advanced 
                manufacturing;
                  (E) to establish a clearinghouse of public 
                information related to the activities of the 
                Program; and
                  (F) to act as a convener of the Network.
          (3) Recommendations.-- In developing and updating the 
        strategic plan under paragraph (2)(C), the Secretary 
        shall solicit recommendations and advice from a wide 
        range of stakeholders, including industry, small and 
        medium-sized manufacturing enterprises, research 
        universities, community colleges, and other relevant 
        organizations and institutions on an ongoing basis.
          (4) Report to congress.-- Upon completion, the 
        Secretary shall transmit the strategic plan required 
        under paragraph (2)(C) to the Committee on Commerce, 
        Science, and Transportation of the Senate and the 
        Committee on Science, Space, and Technology of the 
        House of Representatives.
          (5) Hollings manufacturing extension partnership.-- 
        The Secretary shall ensure that the National Program 
        Office incorporates the Hollings Manufacturing 
        Extension Partnership into Program planning to ensure 
        that the results of the Program reach small and medium-
        sized entities.
          (6) Detailees.-- Any Federal Government employee may 
        be detailed to the National Program Office without 
        reimbursement. Such detail shall be without 
        interruption or loss of civil service status or 
        privilege.
  (g)  Reporting and Auditing.--
          (1) Annual reports to the secretary.--
                  (A) In general.-- The Secretary shall require 
                each recipient of financial assistance under 
                subsection (d)(1) to annually submit a report 
                to the Secretary that describes the finances 
                and performance of the center for manufacturing 
                innovation for which such assistance was 
                awarded.
                  (B) Elements.-- Each report submitted under 
                subparagraph (A) shall include--
                          (i) an accounting of expenditures of 
                        amounts awarded to the recipient under 
                        subsection (d)(1); and
                          (ii) consistent with the metrics-
                        based performance measures developed 
                        and implemented by the Secretary under 
                        this section, a description of the 
                        performance of the center for 
                        manufacturing innovation with respect 
                        to--
                                  (I) its goals, plans, 
                                financial support, and 
                                accomplishments; and
                                  (II) how the center for 
                                manufacturing innovation has 
                                furthered the purposes 
                                described in subsection (a)(2).
          (2) Annual reports to congress.--
                  (A) In general.-- Not less frequently than 
                once each year until December 31, 2024, the 
                Secretary shall submit a report to Congress 
                that describes the performance of the Program 
                during the most recent 1-year period.
                  (B) Elements.-- Each report submitted under 
                subparagraph (A) shall include, for the period 
                covered by the report--
                          (i) a summary and assessment of the 
                        reports received by the Secretary under 
                        paragraph (1);
                          (ii) an accounting of the funds 
                        expended by the Secretary under the 
                        Program, including any temporary 
                        exemptions granted from the 
                        requirements of subsection (d)(5)(C);
                          (iii) an assessment of the 
                        participation in, and contributions to, 
                        the Network by any centers for 
                        manufacturing innovation not receiving 
                        financial assistance under subsection 
                        (d)(1); and
                          (iv) an assessment of the Program 
                        with respect to meeting the purposes 
                        described in subsection (a)(2).
          (3) Assessments by gao.--
                  (A) Assessments.-- Not less frequently than 
                once every 2 years, the Comptroller General 
                shall submit to Congress an assessment of the 
                operation of the Program during the most recent 
                2-year period.
                  (B) Final assessment.-- Not later than 
                December 31, 2024, the Comptroller General 
                shall submit to Congress a final report 
                regarding the overall success of the Program.
                  (C) Elements.-- Each assessment submitted 
                under subparagraph (A) or (B) shall include, 
                for the period covered by the report--
                          (i) a review of the management, 
                        coordination, and industry utility of 
                        the Program;
                          (ii) an assessment of the extent to 
                        which the Program has furthered the 
                        purposes described in subsection 
                        (a)(2);
                          (iii) such recommendations for 
                        legislative and administrative action 
                        as the Comptroller General considers 
                        appropriate to improve the Program; and
                          (iv) an assessment as to whether any 
                        prior recommendations for improvement 
                        made by the Comptroller General have 
                        been implemented or adopted.
  (h)  Additional Authorities.--
          (1) Appointment of personnel and contracts.-- The 
        Secretary may appoint such personnel and enter into 
        such contracts, financial assistance agreements, and 
        other agreements as the Secretary considers necessary 
        or appropriate to carry out the Program, including 
        support for research and development activities 
        involving a center for manufacturing innovation.
          (2) Transfer of funds.-- The Secretary may transfer 
        to other Federal agencies such sums as the Secretary 
        considers necessary or appropriate to carry out the 
        Program. No funds so transferred may be used to 
        reimburse or otherwise pay for the costs of financial 
        assistance incurred or commitments of financial 
        assistance made prior to the date of enactment of the 
        Revitalize American Manufacturing and Innovation Act of 
        2014.
          (3) Authority of other agencies.-- In the event that 
        the Secretary exercises the authority to transfer funds 
        to another agency under paragraph (2), such agency may 
        accept such funds to award and administer, under the 
        same conditions and constraints applicable to the 
        Secretary, all aspects of financial assistance awards 
        under this section.
          (4) Use of resources.-- In furtherance of the 
        purposes of the Program, the Secretary may use, with 
        the consent of a covered entity and with or without 
        reimbursement, the land, services, equipment, 
        personnel, and facilities of such covered entity.
          (5) Acceptance of resources.-- In addition to amounts 
        appropriated to carry out the Program, the Secretary 
        may accept funds, services, equipment, personnel, and 
        facilities from any covered entity to carry out the 
        Program, subject to the same conditions and constraints 
        otherwise applicable to the Secretary under this 
        section.
          (6) Covered entity.-- For purposes of this 
        subsection, a covered entity is any Federal department, 
        Federal agency, instrumentality of the United States, 
        State, local government, tribal government, territory, 
        or possession of the United States, or of any political 
        subdivision thereof, or international organization, or 
        any public or private entity or individual.
  (i) Patents.--Chapter 18 of title 35, United States Code, 
shall apply to any funding agreement (as defined in section 201 
of that title) awarded to new or existing centers for 
manufacturing innovation.
  Sec. [34.]  35. This Act may be cited as the National 
Institute of Standards and Technology Act.
                              ----------                              


              AMERICA COMPETES REAUTHORIZATION ACT OF 2010




           *       *       *       *       *       *       *
TITLE I--OFFICE OF SCIENCE AND TECHNOLOGY POLICY

           *       *       *       *       *       *       *


SEC. 102. COORDINATION OF ADVANCED MANUFACTURING RESEARCH AND 
                    DEVELOPMENT.

  (a)  Interagency Committee.--The Director shall establish or 
designate a Committee on Technology under the National Science 
and Technology Council. The Committee shall be responsible for 
planning and coordinating Federal programs and activities in 
advanced manufacturing research and development. In furtherance 
of the Committee's work, the Committee shall consult with the 
National Economic Council.
  (b)  Responsibilities of Committee.--The Committee shall--
          (1) * * *

           *       *       *       *       *       *       *

          [(7) develop, and update every 5 years, a strategic 
        plan to guide Federal programs and activities in 
        support of advanced manufacturing research and 
        development, which shall--
                  [(A) specify and prioritize near-term and 
                long-term research and development objectives, 
                the anticipated time frame for achieving the 
                objectives, and the metrics for use in 
                assessing progress toward the objectives;
                  [(B) specify the role of each Federal agency 
                in carrying out or sponsoring research and 
                development to meet the objectives of the 
                strategic plan;
                  [(C) describe how the Federal agencies and 
                Federally Funded Research and Development 
                Centers supporting advanced manufacturing 
                research and development will foster the 
                transfer of research and development results 
                into new manufacturing technologies and United 
                States based manufacturing of new products and 
                processes for the benefit of society to ensure 
                national, energy, and economic security;
                  [(D) describe how Federal agencies and 
                Federally Funded Research and Development 
                Centers supporting advanced manufacturing 
                research and development will strengthen all 
                levels of manufacturing education and training 
                programs to ensure an adequate, well-trained 
                workforce;
                  [(E) describe how the Federal agencies and 
                Federally Funded Research and Development 
                Centers supporting advanced manufacturing 
                research and development will assist small- and 
                medium-sized manufacturers in developing and 
                implementing new products and processes; and
                  [(F) take into consideration the 
                recommendations of a wide range of 
                stakeholders, including representatives from 
                diverse manufacturing companies, academia, and 
                other relevant organizations and institutions.]
          (7) develop and update a national strategic plan for 
        advanced manufacturing in accordance with subsection 
        (c).
  [(c)  Report.--Not later than 1 year after the date of 
enactment of this Act, the Director shall transmit the 
strategic plan developed under subsection (b)(7) to the Senate 
Committee on Commerce, Science, and Transportation, and the 
House of Representatives Committee on Science and Technology, 
and shall transmit subsequent updates to those committees as 
appropriate.]
  (c)  National Strategic Plan for Advanced Manufacturing.--
          (1) In general.-- The President shall submit to 
        Congress, and publish on an Internet website that is 
        accessible to the public, the strategic plan developed 
        under paragraph (2).
          (2) Development.-- The Committee shall develop, and 
        update as required under paragraph (4), in coordination 
        with the National Economic Council, a strategic plan to 
        improve Government coordination and provide long-term 
        guidance for Federal programs and activities in support 
        of United States manufacturing competitiveness, 
        including advanced manufacturing research and 
        development.
          (3) Contents.-- The strategic plan described in 
        paragraph (2) shall--
                  (A) specify and prioritize near-term and 
                long-term objectives, including research and 
                development objectives, the anticipated time 
                frame for achieving the objectives, and the 
                metrics for use in assessing progress toward 
                the objectives;
                  (B) describe the progress made in achieving 
                the objectives from prior strategic plans, 
                including a discussion of why specific 
                objectives were not met;
                  (C) specify the role, including the programs 
                and activities, of each relevant Federal agency 
                in meeting the objectives of the strategic 
                plan;
                  (D) describe how the Federal agencies and 
                Federally funded research and development 
                centers supporting advanced manufacturing 
                research and development will foster the 
                transfer of research and development results 
                into new manufacturing technologies and United 
                States-based manufacturing of new products and 
                processes for the benefit of society to ensure 
                national, energy, and economic security;
                  (E) describe how such Federal agencies and 
                centers will strengthen all levels of 
                manufacturing education and training programs 
                to ensure an adequate, well-trained workforce;
                  (F) describe how such Federal agencies and 
                centers will assist small and medium-sized 
                manufacturers in developing and implementing 
                new products and processes;
                  (G) analyze factors that impact innovation 
                and competitiveness for United States advanced 
                manufacturing, including--
                          (i) technology transfer and 
                        commercialization activities;
                          (ii) the adequacy of the national 
                        security industrial base;
                          (iii) the capabilities of the 
                        domestic manufacturing workforce;
                          (iv) export opportunities and trade 
                        policies;
                          (v) financing, investment, and 
                        taxation policies and practices;
                          (vi) emerging technologies and 
                        markets;
                          (vii) advanced manufacturing research 
                        and development undertaken by competing 
                        nations; and
                          (viii) the capabilities of the 
                        manufacturing workforce of competing 
                        nations; and
                  (H) elicit and consider the recommendations 
                of a wide range of stakeholders, including 
                representatives from diverse manufacturing 
                companies, academia, and other relevant 
                organizations and institutions.
          (4) Updates.-- Not later than May 1, 2018, and not 
        less frequently than once every 4 years thereafter, the 
        President shall submit to Congress, and publish on an 
        Internet website that is accessible to the public, an 
        update of the strategic plan submitted under paragraph 
        (1). Such updates shall be developed in accordance with 
        the procedures set forth under this subsection.
          (5) Requirement to consider strategy in the budget.-- 
        In preparing the budget for a fiscal year under section 
        1105(a) of title 31, United States Code, the President 
        shall include information regarding the consistency of 
        the budget with the goals and recommendations included 
        in the strategic plan developed under this subsection 
        applying to that fiscal year.
          (6) AMP steering committee input.-- The Advanced 
        Manufacturing Partnership Steering Committee of the 
        President's Council of Advisors on Science and 
        Technology shall provide input, perspective, and 
        recommendations to assist in the development and 
        updates of the strategic plan under this subsection.

           *       *       *       *       *       *       *

                              ----------                              


           STEVENSON-WYDLER TECHNOLOGY INNOVATION ACT OF 1980




           *       *       *       *       *       *       *
[SEC. 27. REGIONAL INNOVATION PROGRAM.

  [(a)  Establishment.--The Secretary shall establish a 
regional innovation program to encourage and support the 
development of regional innovation strategies, including 
regional innovation clusters and science and research parks.
  [(b)  Cluster Grants.--
          [(1) In general.-- As part of the program established 
        under subsection (a), the Secretary may award grants on 
        a competitive basis to eligible recipients for 
        activities relating to the formation and development of 
        regional innovation clusters.
          [(2) Permissible activities.-- Grants awarded under 
        this subsection may be used for activities determined 
        appropriate by the Secretary, including the following:
                  [(A) Feasibility studies.
                  [(B) Planning activities.
                  [(C) Technical assistance.
                  [(D) Developing or strengthening 
                communication and collaboration between and 
                among participants of a regional innovation 
                cluster.
                  [(E) Attracting additional participants to a 
                regional innovation cluster.
                  [(F) Facilitating market development of 
                products and services developed by a regional 
                innovation cluster, including through 
                demonstration, deployment, technology transfer, 
                and commercialization activities.
                  [(G) Developing relationships between a 
                regional innovation cluster and entities or 
                clusters in other regions.
                  [(H) Interacting with the public and State 
                and local governments to meet the goals of the 
                cluster.
          [(3) Eligible recipient defined.-- In this 
        subsection, the term ``eligible recipient'' means--
                  [(A) a State;
                  [(B) an Indian tribe;
                  [(C) a city or other political subdivision of 
                a State;
                  [(D) an entity that--
                          [(i) is a nonprofit organization, an 
                        institution of higher education, a 
                        public-private partnership, a science 
                        or research park, a Federal laboratory, 
                        or an economic development organization 
                        or similar entity; and
                          [(ii) has an application that is 
                        supported by a State or a political 
                        subdivision of a State; or
                  [(E) a consortium of any of the entities 
                described in subparagraphs (A) through (D).
          [(4) Application.--
                  [(A) In general.-- An eligible recipient 
                shall submit an application to the Secretary at 
                such time, in such manner, and containing such 
                information and assurances as the Secretary may 
                require.
                  [(B) Components.-- The application shall 
                include, at a minimum, a description of the 
                regional innovation cluster supported by the 
                proposed activity, including a description of--
                          [(i) whether the regional innovation 
                        cluster is supported by the private 
                        sector, State and local governments, 
                        and other relevant stakeholders;
                          [(ii) how the existing participants 
                        in the regional innovation cluster will 
                        encourage and solicit participation by 
                        all types of entities that might 
                        benefit from participation, including 
                        newly formed entities and those rival 
                        existing participants;
                          [(iii) the extent to which the 
                        regional innovation cluster is likely 
                        to stimulate innovation and have a 
                        positive impact on regional economic 
                        growth and development;
                          [(iv) whether the participants in the 
                        regional innovation cluster have access 
                        to, or contribute to, a well-trained 
                        workforce;
                          [(v) whether the participants in the 
                        regional innovation cluster are capable 
                        of attracting additional funds from 
                        non-Federal sources; and
                          [(vi) the likelihood that the 
                        participants in the regional innovation 
                        cluster will be able to sustain 
                        activities once grant funds under this 
                        subsection have been expended.
                  [(C) Special consideration.-- The Secretary 
                shall give special consideration to 
                applications from regions that contain 
                communities negatively impacted by trade.
          [(5) Special consideration.-- The Secretary shall 
        give special consideration to an eligible recipient who 
        agrees to collaborate with local workforce investment 
        area boards.
          [(6) Cost share.-- The Secretary may not provide more 
        than 50 percent of the total cost of any activity 
        funded under this subsection.
          [(7) Use and application of research and information 
        program.-- To the maximum extent practicable, the 
        Secretary shall ensure that activities funded under 
        this subsection use and apply any relevant research, 
        best practices, and metrics developed under the program 
        established in subsection (c).
  [(c)  Science and Research Park Development Grants.--
          [(1) In general.-- As part of the program established 
        under subsection (a), the Secretary may award grants 
        for the development of feasibility studies and plans 
        for the construction of new science parks or the 
        renovation or expansion of existing science parks.
          [(2) Limitation on amount of grants.-- The amount of 
        a grant awarded under this subsection may not exceed 
        $750,000.
          [(3) Award.--
                  [(A) Competition required.-- The Secretary 
                shall award grants under this subsection 
                pursuant to a full and open competition.
                  [(B) Geographic dispersion.-- In conducting a 
                competitive process, the Secretary shall 
                consider the need to avoid undue geographic 
                concentration among any one category of States 
                based on their predominant rural or urban 
                character as indicated by population density.
                  [(C) Selection criteria.-- The Secretary 
                shall publish the criteria to be utilized in 
                any competition for the selection of recipients 
                of grants under this subsection, which shall 
                include requirements relating to the--
                          [(i) effect the science park will 
                        have on regional economic growth and 
                        development;
                          [(ii) number of jobs to be created at 
                        the science park and the surrounding 
                        regional community each year during its 
                        first 3 years;
                          [(iii) funding to be required to 
                        construct, renovate or expand the 
                        science park during its first 3 years;
                          [(iv) amount and type of financing 
                        and access to capital available to the 
                        applicant;
                          [(v) types of businesses and research 
                        entities expected in the science park 
                        and surrounding regional community;
                          [(vi) letters of intent by businesses 
                        and research entities to locate in the 
                        science park;
                          [(vii) capability to attract a well 
                        trained workforce to the science park;
                          [(viii) the management of the science 
                        park during its first 5 years;
                          [(ix) expected financial risks in the 
                        construction and operation of the 
                        science park and the risk mitigation 
                        strategy;
                          [(x) physical infrastructure 
                        available to the science park, 
                        including roads, utilities, and 
                        telecommunications;
                          [(xi) utilization of energy-efficient 
                        building technology including 
                        nationally recognized green building 
                        design practices, renewable energy, 
                        cogeneration, and other methods that 
                        increase energy efficiency and 
                        conservation;
                          [(xii) consideration to the 
                        transformation of military bases 
                        affected by the base realignment and 
                        closure process or the redevelopment of 
                        existing buildings, structures, or 
                        brownfield sites that are abandoned, 
                        idled, or underused into single or 
                        multiple building facilities for 
                        science and technology companies and 
                        institutions;
                          [(xiii) ability to collaborate with 
                        other science parks throughout the 
                        world;
                          [(xiv) consideration of sustainable 
                        development practices and the quality 
                        of life at the science park; and
                          [(xv) other such criteria as the 
                        Secretary shall prescribe.
          [(4) Allocation constraints.-- The Secretary may not 
        allocate less than one-third of the total grant funding 
        allocated under this section for any fiscal year to 
        grants under subsection (b) or this subsection without 
        written notification to the Senate Committee on 
        Commerce, Science, and Transportation and the House of 
        Representatives Committees on Science and Technology 
        and on Energy and Commerce.
  [(d)  Loan Guarantees for Science Park Infrastructure.--
          [(1) In general.-- Subject to paragraph (2), the 
        Secretary may guarantee up to 80 percent of the loan 
        amount for projects for the construction or expansion, 
        including renovation and modernization, of science park 
        infrastructure.
          [(2) Limitations on guarantee amounts.-- The maximum 
        amount of loan principal guaranteed under this 
        subsection may not exceed--
                          [(A) $50,000,000 with respect to any 
                        single project; and
                          [(B) $300,000,000 with respect to all 
                        projects.
          [(3) Selection of guarantee recipients.-- The 
        Secretary shall select recipients of loan guarantees 
        under this subsection based upon the ability of the 
        recipient to collateralize the loan amount through 
        bonds, equity, property, and such other things of 
        values as the Secretary shall deem necessary. 
        Recipients of grants under subsection (c) are not 
        eligible for a loan guarantee during the period of the 
        grant. To the extent that the Secretary determines it 
        to be feasible, the Secretary may select recipients of 
        guarantee assistance in accord with a competitive 
        process that takes into account the factors set out in 
        subsection (c)(3)(C) of this section.
          [(4) Terms and conditions for loan guarantees.-- The 
        loans guaranteed under this subsection shall be subject 
        to such terms and conditions as the Secretary may 
        prescribe, except that--
                  [(A) the final maturity of such loans made or 
                guaranteed may not exceed the lesser of--
                          [(i) 30 years; or
                          [(ii) 90 percent of the useful life 
                        of any physical asset to be financed by 
                        the loan;
                  [(B) a loan guaranteed under this subsection 
                may not be subordinated to another debt 
                contracted by the borrower or to any other 
                claims against the borrowers in the case of 
                default;
                  [(C) a loan may not be guaranteed under this 
                subsection unless the Secretary determines that 
                the lender is responsible and that provision is 
                made for servicing the loan on reasonable terms 
                and in a manner that adequately protects the 
                financial interest of the United States;
                  [(D) a loan may not be guaranteed under this 
                subsection if--
                          [(i) the income from the loan is 
                        excluded from gross income for purposes 
                        of chapter 1 of the Internal Revenue 
                        Code of 1986; or
                          [(ii) the guarantee provides 
                        significant collateral or security, as 
                        determined by the Secretary in 
                        coordination with the Secretary of the 
                        Treasury, for other obligations the 
                        income from which is so excluded;
                  [(E) any guarantee provided under this 
                subsection shall be conclusive evidence that--
                          [(i) the guarantee has been properly 
                        obtained;
                          [(ii) the underlying loan qualified 
                        for the guarantee; and
                          [(iii) absent fraud or material 
                        misrepresentation by the holder, the 
                        guarantee is presumed to be valid, 
                        legal, and enforceable;
                  [(F) the Secretary may not extend credit 
                assistance unless the Secretary has determined 
                that there is a reasonable assurance of 
                repayment; and
                  [(G) new loan guarantees may not be committed 
                except to the extent that appropriations of 
                budget authority to cover their costs are made 
                in advance, as required under section 504 of 
                the Federal Credit Reform Act of 1990 (2 U.S.C. 
                661c).
          [(5) Payment of losses.--
                  [(A) In general.-- If, as a result of a 
                default by a borrower under a loan guaranteed 
                under this subsection, after the holder has 
                made such further collection efforts and 
                instituted such enforcement proceedings as the 
                Secretary may require, the Secretary determines 
                that the holder has suffered a loss, the 
                Secretary shall pay to the holder the 
                percentage of the loss specified in the 
                guarantee contract. Upon making any such 
                payment, the Secretary shall be subrogated to 
                all the rights of the recipient of the payment. 
                The Secretary shall be entitled to recover from 
                the borrower the amount of any payments made 
                pursuant to any guarantee entered into under 
                this section.
                  [(B) Enforcement of rights.-- The Attorney 
                General shall take such action as may be 
                appropriate to enforce any right accruing to 
                the United States as a result of the issuance 
                of any guarantee under this section.
                  [(C) Forbearance.-- Nothing in this section 
                may be construed to preclude any forbearance 
                for the benefit of the borrower which may be 
                agreed upon by the parties to the guaranteed 
                loan and approved by the Secretary, if budget 
                authority for any resulting subsidy costs (as 
                defined in section 502(5) of the Federal Credit 
                Reform Act of 1990) is available.
          [(6) Evaluation of credit risk.--
                  [(A) The Secretary shall periodically assess 
                the credit risk of new and existing direct 
                loans or guaranteed loans.
                  [(B) Not later than 2 years after the date of 
                the enactment of the America COMPETES 
                Reauthorization Act of 2010, the Comptroller 
                General of the United States shall--
                          [(i) conduct a review of the subsidy 
                        estimates for the loan guarantees under 
                        this section; and
                          [(ii) submit to Congress a report on 
                        the review conducted under this 
                        paragraph.
          [(7) Termination.-- A loan may not be guaranteed 
        under this section after September 30, 2013.
          [(8) Authorization of appropriations.-- There are 
        authorized to be appropriated $7,000,000 for each of 
        fiscal years 2011 through 2013 for the cost (as defined 
        in section 502(5) of the Federal Credit Reform Act of 
        1990) of guaranteeing $300,000,000 in loans under this 
        section, such sums to remain available until expended.
  [(e)  Regional Innovation Research and Information Program.--
          [(1) In general.-- As part of the program established 
        under subsection (a), the Secretary shall establish a 
        regional innovation research and information program--
                  [(A) to gather, analyze, and disseminate 
                information on best practices for regional 
                innovation strategies (including regional 
                innovation clusters), including information 
                relating to how innovation, productivity, and 
                economic development can be maximized through 
                such strategies;
                  [(B) to provide technical assistance, 
                including through the development of technical 
                assistance guides, for the development and 
                implementation of regional innovation 
                strategies (including regional innovation 
                clusters);
                  [(C) to support the development of relevant 
                metrics and measurement standards to evaluate 
                regional innovation strategies (including 
                regional innovation clusters), including the 
                extent to which such strategies stimulate 
                innovation, productivity, and economic 
                development; and
                  [(D) to collect and make available data on 
                regional innovation cluster activity in the 
                United States, including data on--
                          [(i) the size, specialization, and 
                        competitiveness of regional innovation 
                        clusters;
                          [(ii) the regional domestic product 
                        contribution, total jobs and earnings 
                        by key occupations, establishment size, 
                        nature of specialization, patents, 
                        Federal research and development 
                        spending, and other relevant 
                        information for regional innovation 
                        clusters; and
                          [(iii) supply chain product and 
                        service flows within and between 
                        regional innovation clusters.
          [(2) Research grants.-- The Secretary may award 
        research grants on a competitive basis to support and 
        further the goals of the program established under this 
        subsection.
          [(3) Dissemination of information.-- Data and 
        analysis compiled by the Secretary under the program 
        established in this subsection shall be made available 
        to other Federal agencies, State and local governments, 
        and nonprofit and for-profit entities.
          [(4) Regional innovation grant program.-- The 
        Secretary shall incorporate data and analysis relating 
        to any grant under subsection (b) or (c) and any loan 
        guarantee under subsection (d) into the program 
        established under this subsection.
  [(f)  Interagency Coordination.--
          [(1) In general.-- To the maximum extent practicable, 
        the Secretary shall ensure that the activities carried 
        out under this section are coordinated with, and do not 
        duplicate the efforts of, other programs at the 
        Department of Commerce or other Federal agencies.
          [(2) Collaboration.--
                  [(A) In general.-- The Secretary shall 
                explore and pursue collaboration with other 
                Federal agencies, including through multiagency 
                funding opportunities, on regional innovation 
                strategies.
                  [(B) Small businesses.-- The Secretary shall 
                ensure that such collaboration with Federal 
                agencies prioritizes the needs and challenges 
                of small businesses.
  [(g)  Evaluation.--
          [(1) In general.-- Not later than 3 years after the 
        date of enactment of the America COMPETES 
        Reauthorization Act of 2010, the Secretary shall enter 
        into a contract with an independent entity, such as the 
        National Academy of Sciences, to conduct an evaluation 
        of the program established under subsection (a).
          [(2) Requirements.-- The evaluation shall include--
                  [(A) whether the program is achieving its 
                goals;
                  [(B) any recommendations for how the program 
                may be improved; and
                  [(C) a recommendation as to whether the 
                program should be continued or terminated.
  [(h)  Definitions.--In this section:
          [(1) Regional innovation cluster.-- The term 
        ``regional innovation cluster'' means a geographically 
        bounded network of similar, synergistic, or 
        complementary entities that--
                  [(A) are engaged in or with a particular 
                industry sector;
                  [(B) have active channels for business 
                transactions and communication;
                  [(C) share specialized infrastructure, labor 
                markets, and services; and
                  [(D) leverage the region's unique competitive 
                strengths to stimulate innovation and create 
                jobs.
          [(2) Science park.-- The term ``Science park'' means 
        a property-based venture, which has--
                  [(A) master-planned property and buildings 
                designed primarily for private-public research 
                and development activities, high technology and 
                science-based companies, and research and 
                development support services;
                  [(B) a contractual or operational 
                relationship with one or more science- or 
                research-related institution of higher 
                education or governmental or non-profit 
                research laboratories;
                  [(C) a primary mission to promote research 
                and development through industry partnerships, 
                assisting in the growth of new ventures and 
                promoting innovation-driven economic 
                development;
                  [(D) a role in facilitating the transfer of 
                technology and business skills between 
                researchers and industry teams; and
                  [(E) a role in promoting technology-led 
                economic development for the community or 
                region in which the science park is located.A 
                science park may be owned by a governmental or 
                not-for-profit entity, but it may enter into 
                partnerships or joint ventures with for-profit 
                entities for development or management of 
                specific components of the park.
          [(3) State.-- The term ``State'' means one 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, or any other territory or possession 
        of the United States.
  [(i)  Authorization of Appropriations.--Except as provided in 
subsection (d)(8), there are authorized to be appropriated 
$100,000,000 for each of fiscal years 2011 through 2013 to 
carry out this section (other than for loan guarantees under 
subsection (d)).]

SEC. 27. REGIONAL INNOVATION PROGRAM.

  (a)  Establishment.--The Secretary shall establish a regional 
innovation program to encourage and support the development of 
regional innovation strategies, including regional innovation 
clusters.
  (b)  Cluster Grants.--
          (1) In general.-- As part of the program established 
        under subsection (a), the Secretary may award grants on 
        a competitive basis to eligible recipients for 
        activities relating to the formation and development of 
        regional innovation clusters.
          (2) Permissible activities.-- Grants awarded under 
        this subsection may be used for activities determined 
        appropriate by the Secretary, including the following:
                  (A) Feasibility studies.
                  (B) Planning activities.
                  (C) Technical assistance.
                  (D) Developing or strengthening communication 
                and collaboration between and among 
                participants of a regional innovation cluster.
                  (E) Attracting additional participants to a 
                regional innovation cluster.
                  (F) Facilitating market development of 
                products and services developed by a regional 
                innovation cluster, including through 
                demonstration, deployment, technology transfer, 
                and commercialization activities.
                  (G) Developing relationships between a 
                regional innovation cluster and entities or 
                clusters in other regions.
                  (H) Interacting with the public and State and 
                local governments to meet the goals of the 
                cluster.
          (3) Eligible recipient defined.-- In this subsection, 
        the term ``eligible recipient'' means--
                  (A) a State;
                  (B) an Indian tribe;
                  (C) a city or other political subdivision of 
                a State;
                  (D) an entity that--
                          (i) is a nonprofit organization, an 
                        institution of higher education, a 
                        public-private partnership, a science 
                        or research park, a Federal laboratory, 
                        or an economic development organization 
                        or similar entity; and
                          (ii) has an application that is 
                        supported by a State or a political 
                        subdivision of a State; or
                  (E) a consortium of any of the entities 
                described in subparagraphs (A) through (D).
          (4) Application.--
                  (A) In general.-- An eligible recipient shall 
                submit an application to the Secretary at such 
                time, in such manner, and containing such 
                information and assurances as the Secretary may 
                require.
                  (B) Components.-- The application shall 
                include, at a minimum, a description of the 
                regional innovation cluster supported by the 
                proposed activity, including a description of--
                          (i) whether the regional innovation 
                        cluster is supported by the private 
                        sector, State and local governments, 
                        and other relevant stakeholders;
                          (ii) how the existing participants in 
                        the regional innovation cluster will 
                        encourage and solicit participation by 
                        all types of entities that might 
                        benefit from participation, including 
                        newly formed entities and those rival 
                        existing participants;
                          (iii) the extent to which the 
                        regional innovation cluster is likely 
                        to stimulate innovation and have a 
                        positive impact on regional economic 
                        growth and development;
                          (iv) whether the participants in the 
                        regional innovation cluster have access 
                        to, or contribute to, a well-trained 
                        workforce;
                          (v) whether the participants in the 
                        regional innovation cluster are capable 
                        of attracting additional funds from 
                        non-Federal sources; and
                          (vi) the likelihood that the 
                        participants in the regional innovation 
                        cluster will be able to sustain 
                        activities once grant funds under this 
                        subsection have been expended.
                  (C) Special consideration.-- The Secretary 
                shall give special consideration to 
                applications from regions that contain 
                communities negatively impacted by trade.
          (5) Special consideration.-- The Secretary shall give 
        special consideration to an eligible recipient who 
        agrees to collaborate with local workforce investment 
        area boards.
          (6) Cost share.-- The Secretary may not provide more 
        than 50 percent of the total cost of any activity 
        funded under this subsection.
          (7) Outreach to rural communities.-- The Secretary 
        shall conduct outreach to public and private sector 
        entities in rural communities to encourage those 
        entities to participate in regional innovation cluster 
        activities under this subsection.
          (8) Funding.-- The Secretary may accept funds from 
        other Federal agencies to support grants and activities 
        under this subsection.
  (c)  Regional Innovation Research and Information Program.--
          (1) In general.-- As part of the program established 
        under subsection (a), the Secretary shall establish a 
        regional innovation research and information program--
                  (A) to gather, analyze, and disseminate 
                information on best practices for regional 
                innovation strategies (including regional 
                innovation clusters), including information 
                relating to how innovation, productivity, and 
                economic development can be maximized through 
                such strategies;
                  (B) to provide technical assistance, 
                including through the development of technical 
                assistance guides, for the development and 
                implementation of regional innovation 
                strategies (including regional innovation 
                clusters);
                  (C) to support the development of relevant 
                metrics and measurement standards to evaluate 
                regional innovation strategies (including 
                regional innovation clusters), including the 
                extent to which such strategies stimulate 
                innovation, productivity, and economic 
                development; and
                  (D) to collect and make available data on 
                regional innovation cluster activity in the 
                United States, including data on--
                          (i) the size, specialization, and 
                        competitiveness of regional innovation 
                        clusters;
                          (ii) the regional domestic product 
                        contribution, total jobs and earnings 
                        by key occupations, establishment size, 
                        nature of specialization, patents, 
                        Federal research and development 
                        spending, and other relevant 
                        information for regional innovation 
                        clusters; and
                          (iii) supply chain product and 
                        service flows within and between 
                        regional innovation clusters.
          (2) Research grants.-- The Secretary may award 
        research grants on a competitive basis to support and 
        further the goals of the program established under this 
        subsection.
          (3) Dissemination of information.-- Data and analysis 
        compiled by the Secretary under the program established 
        in this subsection shall be made available to other 
        Federal agencies, State and local governments, and 
        nonprofit and for-profit entities.
          (4) Regional innovation grant program.-- The 
        Secretary shall incorporate data and analysis relating 
        to any grant under subsection (b) into the program 
        established under this subsection.
  (d)  Interagency Coordination.--
          (1) In general.-- To the maximum extent practicable, 
        the Secretary shall ensure that the activities carried 
        out under this section are coordinated with, and do not 
        duplicate the efforts of, other programs at the 
        Department of Commerce or other Federal agencies.
          (2) Collaboration.--
                  (A) In general.-- The Secretary shall explore 
                and pursue collaboration with other Federal 
                agencies, including through multiagency funding 
                opportunities, on regional innovation 
                strategies.
                  (B) Small businesses.-- The Secretary shall 
                ensure that such collaboration with Federal 
                agencies prioritizes the needs and challenges 
                of small businesses.
  (e)  Evaluation.--
          (1) In general.-- Not later than 3 years after the 
        date of enactment of the Revitalize American 
        Manufacturing and Innovation Act of 2014, the Secretary 
        shall enter into a contract with an independent entity, 
        such as the National Academy of Sciences, to conduct an 
        evaluation of the program established under subsection 
        (a).
          (2) Requirements.-- The evaluation shall include--
                  (A) whether the program is achieving its 
                goals;
                  (B) any recommendations for how the program 
                may be improved; and
                  (C) a recommendation as to whether the 
                program should be continued or terminated.
  (f)  Definitions.--In this section:
          (1) Regional innovation cluster.-- The term 
        ``regional innovation cluster'' means a geographically 
        bounded network of similar, synergistic, or 
        complementary entities that--
                  (A) are engaged in or with a particular 
                industry sector and its related sectors;
                  (B) have active channels for business 
                transactions and communication;
                  (C) share specialized infrastructure, labor 
                markets, and services; and
                  (D) leverage the region's unique competitive 
                strengths to stimulate innovation and create 
                jobs.
          (2) State.-- The term ``State'' means one 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, or any other territory or possession 
        of the United States.
  (g)  Funding.--
          (1) General rule.-- Except as provided in paragraph 
        (2), no funds are authorized to be appropriated by the 
        Revitalize American Manufacturing and Innovation Act of 
        2014 for carrying out this section.
          (2) Authority.-- The Secretary may use not to exceed 
        $10,000,000 for each of the fiscal years 2015 through 
        2019 to carry out this section from amounts 
        appropriated for economic development assistance 
        programs.

           *       *       *       *       *       *       *



                 XXI. PROCEEDINGS OF THE FULL COMMITTEE

                          MARKUP ON H.R. 2996,

                 THE REVITALIZE AMERICAN MANUFACTURING

                       AND INNOVATION ACT OF 2013

                              ----------                              


                         FRIDAY, JULY 25, 2014

                  House of Representatives,
        Committee on Science, Space, and Technology
                                           Washington, D.C.


    The Committee met, pursuant to call, at 10:05 a.m., in Room 
2318 of the Rayburn House Office Building, Hon. Lamar Smith 
[Chairman of the Committee] presiding.
    Chairman Smith. The Committee on Science, Space, and 
Technology will come to order. Without objection, the Chair is 
authorized to declare recesses of the Committee at any time. 
Pursuant to Committee Rule 2(f) and House Rule XI(2)(h)(4), the 
Chair announces that he may postpone roll call votes.
    Today we meet to consider H.R. 2996, the Revitalize 
American Manufacturing and Innovation Act of 2013, sponsored by 
Representative Tom Reed and Representative Joe Kennedy. And 
before I go on, let me explain to my colleagues that there is 
an ongoing Republican conference on a subject that will be 
familiar to everyone right now, which is why we have slim 
attendance on the Republican side, but this just gives me an 
opportunity to trust my friends and neighbors on the other 
side, and be able to go forth in a--go forward in a bipartisan 
way.
    Pursuant to notice, I now call up H.R. 2996, the Revitalize 
American Manufacturing and Innovation Act of 2013, and the 
Clerk will report the bill.
    The Clerk. H.R. 2996, to require the Secretary of Commerce 
to establish the network for manufacturing innovation, and for 
other purposes.
    [H.R. 2996 appears in Appendix I]
    Chairman Smith. Without objection, the bill is considered 
as read, and I will recognize myself for an opening statement, 
then the Ranking Member.
    H.R. 2996, the Revitalize American Manufacturing and 
Innovation Act of 2013, strengthens a critical sector of 
America's economy, manufacturing, and in particular advanced 
manufacturing. Thanks to Congressman Tom Reed from New York for 
his diligent work on this legislation. And I also want to thank 
the gentleman from Massachusetts, Joe Kennedy, a Member of this 
Committee, for his initiative on this subject, and for offering 
today's amendment in the nature of a substitute.
    A strong manufacturing base is fundamental to U.S. economic 
success and national security. Manufacturing supports over 17 
million American jobs. This includes 12 million Americans, 
almost ten percent of the work force, who work for small, 
medium, or large manufacturing companies. Manufacturing 
accounts for over ten percent of our economic output, and its 
multiplier effect surpasses that of any other sector. Each 
dollar generated by manufacturing in the United States 
generates an additional $1.35 in economic activity.
    There are millions of Americans who are employed in 
manufacturing fields. What matters most is that manufacturing 
creates good paying, family supporting, community sustaining 
jobs. As an example, the Texas manufacturing industry employs 
nearly 875,000 people, who earn an average annual wage of over 
$71,000. This includes more than 100,000 Texans who work in the 
energy industry, and earn an average of more than $95,000 per 
year. And Texas is the top state for manufacturing exports, 
with over $24 billion in transportation equipment exported in 
2013.
    The United States has one of the largest, strongest 
manufacturing industries in the world, and has demonstrated its 
ability to adapt and innovate time and time again. But China is 
projected to overtake the U.S. in global R&D; spending in less 
than a decade, and China already has taken the lead in advanced 
manufacturing exports. To enhance our future economic 
prosperity and security, we need to take steps now to emphasize 
the strengths of American industry and shore up weaknesses.
    Manufacturers invest heavily to redesign their products, 
streamline their production lines, and re-train their workers. 
This bill gives a targeted boost to America's manufacturers. It 
will help our advanced manufacturers accelerate the pace at 
which new technology is converted into better manufacturing 
processes, and improved products, and this legislation will 
help America remain globally competitive in manufacturing. It 
will ensure that new and innovative products come equipped with 
``Made in America'' on their labels.
    Again, I would like to thank the gentleman from 
Massachusetts, Mr. Kennedy, for his initiative and ideas on 
this particular subject, and congratulate him on a good bill.
    [The prepared statement of Mr. Smith follows:]

             Prepared Statement of Chairman Lamar S. Smith

    H.R. 2996, the ``Revitalize American Manufacturing and Innovation 
Act of 2013,'' strengthens a critical sector of America's economy - 
manufacturing, and in particular, advanced manufacturing.
    Thanks to Congressman Tom Reed from New York for his diligent work 
on this legislation. I also want to thank the gentleman from 
Massachusetts, Joe Kennedy, for his initiative on this subject and for 
offering today's Amendment in the Nature of a Substitute.
    A strong manufacturing base is fundamental to U.S. economic success 
and national security. Manufacturing supports over 17 million American 
jobs. This includes 12 million Americans--almost 10 percent of the 
workforce--who work for small, medium or large manufacturing companies.
    Manufacturing accounts for over 10 percent of our economic output, 
and its multiplier effect surpasses that of any other sector. Each 
dollar generated by manufacturing in the United States generates an 
additional $1.35 in economic activity.
    For the millions of Americans who are employed in manufacturing 
fields, what matters most is that manufacturing creates good-paying, 
family-supporting, community-sustaining jobs.
    As an example, The Texas manufacturing industry employs nearly 
875,000 people, who earn an average annual wage of over $71,000. This 
includes more than 100,000 Texans who work in the energy industry and 
earn an average of more than $95,000 per year. And Texas is the top 
state for manufacturing exports, with over $24 billion in 
transportation equipment exported in 2013.
    The United States has one of the largest, strongest manufacturing 
industries in the world and has demonstrated its ability to adapt and 
innovate time and time again. But China is projected to overtake the 
U.S. in global R&D; spending in less than a decade, and China already 
has taken the lead in advanced manufacturing exports.
    To enhance our future economic prosperity and security, we need to 
take steps now to emphasize the strengths of American industry and 
shore up weaknesses. Our manufacturers invest heavily to redesign their 
products, streamline their production lines, and re-train their 
workers.
    This bill gives a targeted boost to America's manufacturers. It 
will help our advanced manufacturers accelerate the pace at which new 
technology is converted into better manufacturing processes and 
improved products.
    And this legislation will help America remain globally competitive 
in manufacturing. It will ensure that new and innovative products come 
equipped with ``Made in America'' on their labels.

    Chairman Smith. And I will now recognize the Ranking 
Member, the gentlewoman from Texas, Ms. Johnson, for her 
opening statement.
    Ms. Johnson. Thank you very much, Mr. Chairman. I am very 
pleased that we are considering this important piece of 
legislation this morning, and I would like to thank my 
colleagues, Mr. Kennedy and Mr. Reed, for their bipartisan work 
to develop this legislation. I would also like to thank you, 
Mr. Chairman, for your own contribution to the bipartisan 
efforts to advance this legislation. And, finally, I want to 
thank your staff, and especially Cliff Shannon, for working so 
closely and openly with the Democratic staff to help get this 
to this point.
    The decline in U.S. manufacturing is a threat to middle 
class jobs, and to our entire economy. We have been losing 
lower skilled jobs for decades. More than two million 
manufacturing jobs, including high--higher skilled jobs, were 
lost during the recent recession.
    The good news is we are experiencing a slight rebound in 
higher skilled jobs as our economy continues to recover. 
However, those gains are modest, and with the significant loss 
of infrastructure and talent in recent years, I am deeply 
concerned that we could reach a tipping point beyond which it 
would be nearly impossible to rebuild a vibrant manufacturing 
sector.
    In the meantime, our key competitors are focusing their 
full attention on their own manufacturing capacity. They are 
implementing the policies and programs necessary to build the 
21st century economies now. We too must take appropriate steps 
to ensure that American companies maintain their capacity to 
the most sophisticated--to be the most sophisticated in the 
world, using transformative technologies and manufacturing 
processes.
    Revitalizing American Manufacturing Innovation Act, or 
RAMI, is one of the most critical steps Congress can take to 
help secure the future of American manufacturing. This bill 
makes strategic investments in partnerships with the private 
sector in advanced manufacturing research, development, and 
education.
    To some of my colleagues who are concerned about federal 
industrial policy, I remind them our entire history of 
innovation has been a partnership between the public and 
private sector. This bill does not displace, nor encroach, on 
the private sector's role. It fosters an important partnership 
for the benefit of all Americans.
    I am also pleased that the bipartisan ANS includes a 
national strategic plan for advanced manufacturing, introduced 
by Ms. Lipinski, and the re-authorization of the Regional 
Innovation Program introduced by Mr. Hultgren and Mr. Kilmer. 
These two are important steps in the right direction.
    In summary, I believe this is one of the most constructive 
and significant pieces of legislation considered by this 
committee, and all of Congress. It also a great example of how 
we can work together and compromise for the greater good, when 
we put our minds to it. I support this legislation, and I urge 
all of my colleagues to do the same. I thank you, Mr. Chairman, 
and yield back the balance of my time.
    [The prepared statement of Ms. Johnson follows:]

       Prepared Statement of Ranking Member Eddie Bernice Johnson

    Thank you, Mr. Chairman. I am very pleased we are considering this 
important piece of legislation this morning. I'd like to thank my 
colleagues, Mr. Kennedy and Mr. Reed, for their bipartisan work to 
develop this legislation. I would also like to thank you, Mr. Chairman, 
for your own contribution to the bipartisan efforts to advance this 
legislation. Finally I want to thank your staff, and especially Cliff 
Shannon, for working so closely and openly with Democratic staff to 
help get us to this point.
    The decline of U.S. manufacturing is a threat to middle class jobs 
and to our entire economy. We have been losing lower-skilled jobs for 
decades. More than 2 million manufacturing jobs, including higher-
skilled jobs, were lost during the recent recession.
    The good news is we are experiencing a slight rebound in higher-
skilled jobs as our economy continues to recover. However, those gains 
are modest, and with the significant loss of infrastructure and talent 
in recent years, I am deeply concerned that we could reach a tipping 
point beyond which it will be nearly impossible to rebuild a vibrant 
manufacturing sector. In the meantime, our key competitors are focusing 
their full attention on their own manufacturing capacity. They are 
implementing the policies and programs necessary to build 21st century 
economies now.
    We too must take appropriate steps to ensure that American 
companies maintain their capacity to be the most sophisticated in the 
world, using transformative technologies and manufacturing processes. 
The Revitalizing American Manufacturing Innovation Act--or RAMI--is one 
of the most critical steps Congress can take to help secure the future 
of American manufacturing. This bill makes strategic investments, in 
partnership with the private sector, in advanced manufacturing 
research, development, and education.
    To some of my colleagues who are concerned about federal industrial 
policy, I remind them that our entire history of innovation has been a 
partnership between the public and private sector. This bill does not 
displace or encroach on the private sector's role. It fosters an 
important partnership for the benefit of all Americans. I am also 
pleased that the bipartisan ANS includes the National Strategic Plan 
for Advanced Manufacturing introduced by Mr. Lipinski and the 
reauthorization of the Regional Innovation Program introduced by Mr. 
Hultgren and Mr. Kilmer. These too are important steps in the right 
direction.
    In summary, I believe this is one of the most constructive and 
significant pieces of legislation considered by this Committee all 
Congress. It is also a great example of how we can work together and 
compromise for the greater good when we put our minds to it. I support 
this legislation, and I urge all of my colleagues to do the same.
    Thank you again, Mr. Chairman, and I yield back the balance of my 
time.

    Chairman Smith. Thank you, Ms. Johnson. If there is no 
further discussion on the bill, the bill will be considered at 
read, and open to amendment at any time, and we will proceed 
with amendments in the order listed on the roster.
    And the first amendment on the roster is an amendment in 
the nature of a substitute, to be offered by Mr. Kennedy and 
me. The Clerk will report the amendment.
    The Clerk. Amendment in the nature of a substitute to H.R. 
2996, offered by Mr. Smith of Texas and Mr. Kennedy of 
Massachusetts.
    [The amendment of Mr. Smith and Mr. Kennedy appears in 
Appendix I]
    Chairman Smith. Without objection, the amendment will be 
considered as read. I am going to recognize myself for a very 
brief statement, and then I am going to yield Mr. Kennedy the 
balance of my time, if that is all right with him.
    On behalf of Mr. Kennedy and myself, I am pleased to offer 
this amendment in the nature of a substitute. Our amendment was 
made possible by bipartisan cooperation among the sponsors of 
H.R. 2996, Mr. Reed of New York, Mr. Kennedy of Massachusetts, 
and the Ranking Member, Ms. Johnson, and other Science 
Committee Members.
    Our amendment preserves the concepts and goals of H.R. 
2996. It funds new centers for manufacturing innovation that 
authorize no additional appropriations, and sets a sunset date 
for federal assistance. Our amendment also includes provisions 
for strategic planning for advance manufacturing brought 
forward by Mr. Lipinski. This was part of the first Act 
approved by our Committee earlier this year. And our amendment 
includes changes to the regional innovation program at the 
Department of Commerce from Mr. Hultgren and Mr. Kilmer, once 
again, with no authorization of appropriations.
    And I thank Mr. Kennedy again for his diligent work on this 
amendment, and urge my colleagues to support it. And I will 
yield the balance of my time to the gentleman from 
Massachusetts, Mr. Kennedy.
    Mr. Kennedy. Thank you very much, Mr. Chairman. Thank you 
for yielding. Thank you for all your support for this bill, and 
this amendment, along the way. I am grateful to have your 
support, and your diligence, and the diligence of your staff, 
as we worked very hard to craft this bill going forward.
    Mr. Chairman, I would also ask unanimous consent to submit 
three letters for the record in support of H.R. 2996, and the 
Smith-Kennedy amendment in the nature of a substitute. The 
letters are from the National Association of Manufacturers, 
Precision and Machined Parts--Products Association, and One 
Voice, the joint effort between the National Tooling and 
Machine Association and the Precision Metal Forming 
Association.
    Mr. Chairman, the Smith-Kennedy amendment in the nature of 
a substitute is a strong compromise that keeps intact the 
underlying bill that I introduced last summer, along with my 
colleague from New York, Tom Reed. This bill creates a network 
of manufacturing innovation to improve our competitiveness, to 
stimulate research and development, spread the risk of 
investment, bring new products and ideas to market, educate a 
next generation work force, and facilitate peer to peer 
exchange, and best practices.
    Here is, essentially, how it works. Public/private centers 
of manufacturing innovation will leverage limited and targeted 
government funding, matched dollar for dollar by the private 
sector, with investment in expertise. Each center will be based 
on a new novel technology. Partnerships will include small 
businesses, large businesses, universities, community colleges, 
career and technical schools, federal labs, and not-for-
profits. Centers will leverage the regional assets to overcome 
communal challenges.
    Groups will end up applying for federal funding by putting 
the reins back where they belong, in the hands of industry and 
researchers facing the next big manufacturing challenge. Each 
application will go through an open, transparent, peer merit 
and review process, minimizing conflicts of interest, and 
ensuring that the best proposals move forward. Reporting 
requirements from the Secretary of Commerce and the Government 
Accountability Office will ensure proper Congressional 
oversight.
    We have already seen this model work. In Youngstown, Ohio, 
the America Makes National Additive Manufacturing Innovation 
Institute is helping make 3D printing a reality. Four other 
institutes are in different stages of development, with a fifth 
already on the way. Each of these will be included in the 
network, so we already have a running start.
    As part of this compromise, the Smith-Kennedy amendment in 
the nature of a substitute also includes two other important 
provisions. First, a new national strategic plan for advanced 
manufacturing that would require the National Science and 
Technology Council, in coordination with the National Economic 
Council, to develop a long term Federal Government strategic 
plan for the advanced manufacturing competitiveness. I want to 
thank my colleague, Congressman Lipinski, for his leadership on 
this, and the support for the underlying bill.
    Second, we re-authorize the Regional Innovation Program, or 
RIP. Originally authorized in the 2010 Competes bill, this 
program can--supports regional innovation strategies such as 
scientific research parks. These are state and local level 
initiatives to promote entrepreneurship, commercialization of 
products by providing access to capital and a network. I want 
to thank Congressman Derek Kilmer and Representative Hultgren 
on the committee for their efforts on both re-authorizing, and 
for funding this program. I also want to give a special thanks 
to my New England colleagues, David Cicilline from Rhode 
Island, for his continued support of the RIP.
    Mr. Chairman, before I finish, I want to give you and your 
staff, Cliff Shannon, former staff member Jamie Brown, a big 
thank you for making this bill possible. I want to thank 
Ranking Member Johnson and her staff, Mr. Oberman, Dalia 
Sokolov, Kim Montgomery, and Marcy Gallo as well for their 
strong support, Chairman Buschon, Ranking Member Lipinski for 
their guidance along the way. Of course, Tom Reed and his 
staff, Drew and Laura, for all that they did to have this 
bill--to work their way through the process over the course of 
the past year. Our partners in the Senate, Senator Sherrod 
Brown, and Roy Blunt, and their staffs. All of the outside 
supporters who have helped to raise awareness and advocated for 
this bill along the way. And, finally, and probably most 
importantly, from my perspective, the tireless work of my 
staff, Eric Fins, who led the way on this, and is sitting very 
quietly in the corner, as he always does. Eric, thank you very, 
very much.
    Again, Mr. Chairman, thank you. I want to thank my 
colleagues, and I ask all of them to support the amendment in 
the nature of a substitute. I yield back the balance of my 
time.
    Chairman Smith. Thank you, Mr. Kennedy. Without objection, 
the letters you referred to will be made a part of the record.
    [The information appears in Appendix I]
    Chairman Smith. The gentleman from Illinois, Mr. Hultgren, 
is recognized.
    Mr. Hultgren. I move to strike the last word.
    Chairman Smith. Gentleman is recognized for five minutes.
    Mr. Hultgren. Thank you, Chairman, for bringing this bill 
for markup. As manufacturing is a vital component in my 
district's economy, in Illinois, I was pleased to become a co-
sponsor of this legislation. The workers at my plants have felt 
the economic downturn disproportionately, as Illinois fails to 
change their policies to help my constituents regain full 
employment.
    Much of this is because of burdensome and outdated 
regulation, but another reason is the barriers against working 
together in innovating that are still in place. This bill would 
help fix that, so I would like to thank my good friends Mr. 
Reed and Mr. Kennedy for introducing this bill.
    I would also like to thank you, Chairman Smith, for working 
with me to reauthorize the regional innovation program in the 
amendment in the nature of the substitute. This is a smart, 
targeted program that allows local regions to pool their 
resources and work together.
    Industry clusters are one of the most effective ways to 
compile and share best practices, and the fact that these 
programs give preference to bids involving local workforce 
investment boards is another reason to support this bill. These 
boards are hard at work helping my constituents to find work, 
and this is the cooperative federalism that will ensure our 
taxpayer dollars are not wasted.
    Again, I want to thank you for bringing this bipartisan 
bill before the Committee, and I hope this is something we can 
move quickly to the floor. I yield back my time. Thank you, 
Chairman.
    Chairman Smith. Thank you, Mr. Hultgren. And the gentleman 
from Illinois, Mr. Lipinski, is recognized.
    Mr. Lipinski. Move to strike the last word.
    Chairman Smith. The gentleman is recognized for five 
minutes.
    Mr. Lipinski. Thank you, Mr. Chairman. I want to thank you, 
Subcommittee Chairman Buschon, Ranking Member Johnson, for 
helping to bring this bill up today for the markup. And I would 
also like to thank Mr. Kennedy and Mr. Reed for introducing the 
bill before us. I know it was not easy to revise this bill to 
gain broad bipartisan support, but the product we have before 
us today, I think, is a great accomplishment.
    Everyone on this committee knows that I am one of the 
strongest advocates in Congress for American manufacturing, and 
I have continued to work on developing policies that will give 
manufacturers the best opportunity to succeed and to grow 
American jobs. For every manufacturing job created in America, 
an additional five spin-off jobs are created.
    Despite the economic advantages of supporting American 
manufacturing, the number of manufacturing jobs has been 
shrinking, from 20 million in 1979 to fewer than 12 million 
today, the latest recession has been especially devastating. 
While we are currently seeing a rebound in advanced 
manufacturing, we still have a long way to go before resuming a 
leadership position in manufacturing on the global stage.
    As already discussed, this bill focuses on creating public/
private innovation centers, an idea which I have strongly 
supported. These centers will bring innovators together from 
around the country to increase domestic production, make our 
products price competitive from those from abroad, spur the 
development in implementation of new technologies, and develop 
a work force that is trained with the necessary high tech 
skills desperately needed by U.S. companies in advanced 
manufacturing.
    An NNMI center focusing on digital manufacturing was 
awarded earlier this year to a group led by University of 
Illinois, with a center located in Chicago. A federal 
investment of $70 million has been leveraged so far to achieve 
a commitment of $250 million from industry, academia, 
government, and community partners. The willingness of industry 
to commit such--so much capital to the center demonstrates the 
high value that the private sector places on these types of 
partnerships to develop advanced manufacturing in the United 
States.
    I am also glad that the substitute amendment we are 
considering today contains language from my bill, the American 
Manufacturing Competitiveness Act. This provision would bring 
the public and private sectors together to develop a set of 
policy recommendations to revitalize this important sector of 
the economy. No policies are prescribed, but this provision 
would simply force a consideration of the state of 
manufacturing in America, and in the world, and it would 
require the production of recommendations for promoting 
American manufacturing. A similar bill passed the House in the 
past two Congresses with overwhelming bipartisan support. As 
one of the principals of a small family-owned manufacturing 
business told this committee, when testifying about the 
American Manufacturing Competitiveness Act, this bill will help 
develop a plan for success.
    So I thank the Chairman, and I thank Mr. Kennedy for 
including this in the amendment in the nature of a substitute 
here, and thank everyone who has worked on this bill to--I 
think it is going to do a great job for American manufacturing. 
It is a good bipartisan bill that is going to put more 
Americans back to work. And I yield back the balance of my 
time.
    Chairman Smith. Thank you, Mr. Lipinski. There are six 
amendments to the amendment in the nature of a substitute to 
H.R. 2996 on the roster, all of which I am prepared to accept. 
And I appreciate Members on both sides of the aisle working 
with us to try to come up with good, acceptable amendments.
    Given that, in the interest of efficiency, I would like to 
ask unanimous consent that we proceed with consideration of the 
amendments on the roster en bloc. Individual Members would 
still be recognized to speak on their amendments, but it might 
save time to consider them together. Is there objection to 
considering the following amendments en bloc? Grayson #295, 
Grayson #297, Schweikert #59, Kelly #36, Wilson-Hall #49, 
Rohrabacher #55.
    Hearing none, so ordered, and the Clerk will report the en 
bloc amendment, and I thank the Members for agreeing to that.
    The Clerk. Amendments to the amendment in the nature of a 
substitute for H.R. 2996, offered by Mr. Grayson of Florida, 
#297, Mr. Grayson of Florida, #295, Mr. Schweikert of Arizona, 
#59, Ms. Kelly of Illinois, #36, Ms. Wilson of Florida, and Mr. 
Hall of Texas, #49, and Mr. Rohrabacher of California, #55.
    [The amendments of Mr. Grayson, Mr. Schweikert, Ms. Kelly, 
Ms. Wilson, Mr. Hall, and Mr. Rohrabacher appears in Appendix 
I]
    Chairman Smith. Without objection, the amendment will be 
considered--the en bloc amendment will be considered as read, 
and the gentleman from Florida, Mr. Grayson, is recognized to 
speak on his two amendments.
    Mr. Grayson. Thank you, Mr. Chairman. This bill is intended 
to help foster innovation in America by creating places where 
academics, businessmen, workers, and students, and 
entrepreneurs can come together and find new ways to build 
things in America. Most of us assume that if domestic 
manufacturing innovation increases, then employment will rise, 
but I want to make that assumption explicit, so that is what my 
first amendment does.
    My amendment makes two specific changes to the bill. One is 
that it adds the term preserve or create jobs as a purpose of 
the program, and second it clarifies that one base upon which 
the Secretary should disperse funds, economic impact, includes 
the preservation and creation of jobs. I believe it is useful 
for Congress to be as explicit as possible in our intentions, 
and with this bill we want to make sure that we expand 
employment for Americans in domestic manufacturing, so let us 
make sure that we make it that way.
    The second amendment--should I go on to the second 
amendment, Mr. Chairman?
    Chairman Smith. Yes, please, if the gentleman will proceed.
    Mr. Grayson. Well, the second amendment is meant to clarify 
what represents a growing policy problem. Recently the United 
States Economic Classification Policy Committee recommended 
that goods designed in the United States, but manufactured 
abroad, should somehow be considered to be domestically 
manufactured goods. They call these ``factory-less goods'', but 
what they really mean is goods manufactured in factories 
located abroad.
    The--they said specifically that they recommended to the 
Office of Management Budget a classification of establishments 
that bear the overall responsibility and risk for bringing 
together all the processes necessary for the production of a 
good in the manufacturing sector, even though the actual 
transformation is 100 percent outsourced, meaning 100 percent 
performed overseas.
    My amendment is a repudiation of that proposed 
classification. If goods are manufactured in the United States, 
then they need to be manufactured in the United States. If this 
amendment is accepted, then it will be an acknowledgement that 
this bill is proposing that this network of manufacturing 
innovation centers in the United States is done for the purpose 
of improving domestic manufacturing capacity, not foreign 
manufacturing capacity.
    A critical component of domestic manufacturing is that the 
physical, chemical, and mechanical transformation of inputs 
into outputs is predominantly done in the United States. That 
may seem obvious to all of us here today, but apparently not to 
some others in the government. I believe it is necessary and 
useful for Congress to be as explicit as possible with our 
intentions, especially when bureaucrats are trying to tell us 
that goods manufactured in China somehow count as goods 
manufactured in the United States.
    This network of manufacturing centers will be organized 
within NIST, which is part of the Department of Commerce. The 
Department of Commerce needs to recognize that manufacturing 
means making physical goods, and that domestic manufacturing 
means making goods domestically. The so-called factory-less 
goods classification, which really means factories located in 
foreign companies--sorry, foreign countries by foreign 
companies is not what is operative for this program. In other 
words, when we say domestic manufacturing, we mean domestic 
manufacturing.
    I appreciate the support of the Chairman for this 
amendment, and I reserve the balance of my time.
    Chairman Smith. Does the gentleman yield back the balance 
of his time?
    Mr. Grayson. Yes, I yield back the balance of my time.
    Chairman Smith. Thank you, Mr. Grayson. And the gentleman 
from Arizona, Mr. Schweikert, is recognized to explain his 
amendment.
    Mr. Schweikert. Thank you, Mr. Chairman. The amendment's 
goal is fairly simple. It is to sort of expand a category where 
the United States seems to be taking off quite a lead, and 
making sure that that sort of broad category is also woven 
within this bill. Thank you, Mr. Chairman.
    Chairman Smith. Thank you, Mr. Schweikert. And the 
gentlewoman from Illinois, Ms. Kelly, is recognized to explain 
her amendment.
    Ms. Kelly. Thank you, Chairman Smith, and Ranking Member 
Johnson, for your leadership in bringing this important bill to 
full committee. I also want to commend Congressmen Reed and 
Kennedy on introducing the Revitalize American Manufacturing 
and Innovation Act.
    My amendment requires, within the activities of the Centers 
for Manufacturing Innovation, that they will include minority 
and women-owned manufacturers among the small, medium, and 
large manufacturing enterprises that will be targeted for 
outreach and engagement. This language is a simple fix to 
ensure research and recommendations develop to advance 
manufacturing in the United States be as comprehensible as 
possible.
    This bill has potential to increase American manufacturing, 
create good paying jobs, and strengthen the middle class, and I 
commend our committee's leadership and members for coming 
together in a bipartisan manner to advance American 
manufacturing and American workers.
    I yield back.
    Chairman Smith. Okay. Thank you, Ms. Kelly. We will now go 
to the gentlewoman from Florida, Ms. Wilson, and the gentleman 
from Texas, Mr. Hall, for their amendment. And the gentlewoman 
from Florida is recognized.
    Ms. Wilson. Thank you, Mr. Chairman. The amendment I am 
offering today helps identify peoples of interest who deserve 
and need quality jobs. If passed, H.R. 2996 would establish 
Centers for Manufacturing Innovation. These centers are 
designed to address challenges in advancing manufacturing, 
including an educated and qualified work force. My amendment 
makes sure we are not leaving out our veterans, the fearless 
people who have served our country with their lives, as well as 
people with disabilities. It is our duty to put in priority 
order those important groups of people, who need quality jobs.
    My amendment directs the centers to educate and train 
veterans and people with disabilities. Taken together, veterans 
and people with disabilities would be more independent, and not 
only help themselves and their families, but also their 
communities, and truly aid in the advancement of manufacturing 
technologies.
    We know that manufacturing drives innovation, creates high 
quality jobs, and fuels U.S. exports. We should do all that we 
can to support our veterans, and peoples with disabilities, and 
providing them with the opportunity for higher quality 
manufacturing jobs, now and in the future. I urge adoption of 
this amendment. I yield my remaining time to my colleague, 
Congressman Ralph Hall, for as long as he would like, and then 
I yield back the remaining time.
    Mr. Hall. Thank you very much, and I guess I will only like 
whatever I have, so--I thank Ms. Wilson for the opportunity to 
offer this amendment with her, on behalf of the Nation's 
veterans, and those with disabilities. As a veteran of World 
War II, my dad was a veteran of World War I, my brother, both 
theaters of World War II, I know the veterans, and I know their 
needs. And American manufacturing competitiveness, including 
accelerating education and training programs, and workforce 
development, would create opportunities for companies to train 
new workers and re-train existing workers. It is very 
appropriate that our veterans and our disabled people be 
included in that training and outreach efforts.
    I thank the Chairman, and Mr. Kennedy particularly, for his 
work, and for their work on this bill, and I do yield back.
    Chairman Smith. Thank you, Mr. Hall. And we will now go to 
the gentleman from California, Mr. Rohrabacher, to discuss his 
amendment. And this is the last amendment in the en bloc 
amendment.
    Mr. Rohrabacher. Yes. My amendment is relatively 
uncontroversial. It just simply adds a new list of--adds 
something to the list of things that we need to analyze to 
determine exactly what we are going to be doing to make sure 
our manufacturing is competitive. And that one little item that 
we list is--to analyze is the capability of manufacturing work 
forces in other countries, and so we will have something to 
compare ourselves to.
    But, Mr. Chairman, just--and then I thought about the 
general bill, and the general concept. Mr. Chairman, if we are 
to be a manufacturing nation, if we are to be a country that 
leads the way economically, certainly some of the things in 
this bill are important, but I would just like to draw 
attention to the fact that patent law is vitally important, has 
played a vital role to our country's ability to outcompete 
those--to be a manufacturing center, but also to outcompete 
those who compete with us around the world. I believe our 
patent system has been under attack for the last 20 years by 
major multinational corporations.
    We also need to have an adequate depreciation schedule so 
that our businesses will have, you know, level playing field 
with other countries, like Japan, for example, that prevents 
its industrial tax policies as such that they have depreciation 
immediately when a piece of equipment is purchased for a 
manufacturing unit. We sometimes stretch that out over 10--7, 
to 10, to 15 years, and that depreciation schedule puts our 
people at a disadvantage, in terms of being technologically 
superior to our competitors.
    We need to make sure that we have our R&D.; And we had a 
hearing here in a Subcommittee just last week about how those 
companies with large R&D; budgets are now finding that--in 
hostile takeovers, they--their R&D; budget is being calculated 
as something that could be eliminated in order to--the--to give 
the hostile takeover team a means of getting a loan to take 
over that company, and eliminate the R&D;, which is totally 
ridiculous.
    We also know that without--with a taxing policy with the 
Federal Government, if you tax away too much of people's 
income, there will be no money for capital investment. And you 
can't have manufacturing in this country without capital 
investment.
    And finally, Mr. Chairman, I think we have to make sure 
that we are paying attention to the regulatory burden. If we 
place a regulatory burden on our industries that gives 
industries in other countries the edge, we are not going to be 
a manufacturing country for so long. So just a few thoughts 
that I would like to put into the record. Thank you very much, 
Mr. Chairman.
    Chairman Smith. Thank you, Mr. Rohrabacher for those 
comments. And if there is no further discussion on the 
amendment, the vote occurs on the en bloc amendment to the 
amendment in the nature of a substitute.
    All in favor say aye.
    Those opposed, say nay.
    Opinion of the Chair, the ayes have it, and the amendment 
is agreed to.
    If there are no further amendments to the amendment in the 
nature of a substitute, the question is on agreeing to the 
amendment in the nature of a substitute offered by Mr. Kennedy 
and me.
    All in favor say aye.
    Those opposed, say no.
    Opinion of the Chair, the ayes have it, and the amendment 
is agreed to.
    Without objection, the Motion to Reconsider is laid upon 
the table, and I move that the bill H.R. 2996, as amended, be 
favorably reported to the House, and the staff be authorized to 
make any necessary technical and conforming changes. Without 
objection, so ordered.
    And we are finished, and we will adjourn. Congratulations 
to Mr. Reed and Mr. Kennedy.
    Ms. Johnson. Mr. Chairman----
    Chairman Smith. And what--before we leave, the Ranking 
Member has asked to be recognized, and she is recognized.
    Ms. Johnson. Thank you very much, Mr. Chairman. I was just 
going to count to see how many we had on each side, to see if 
we could do more business.
    Chairman Smith. I am glad we have adjourned. By the way, I 
think it is 12-12. It would have been close.
    Ms. Johnson. 13-12.
    Chairman Smith. I am corrected, 13-12. We can go forward.
    [Whereupon, at 10:38 a.m., the Committee was adjourned.]
                               Appendix I

                              ----------                              


H.R. 2996, THE REVITALIZE AMERICAN MANUFACTURING AND INNOVATION ACT OF 
                                  2013

       Amendment Roster, Amendment in the Nature of a Substitute,

                Section-by-Section Analysis, Amendments


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                            Amendment Roster

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                Amendment in the Nature of a Substitute

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                     Section-by-Section Analysis of

 AMENDMENT IN THE NATURE OF A SUBSTITUTE TO H.R. 2996, THE REVITALIZE 
           AMERICAN MANUFACTURING AND INNOVATION ACT OF 2013

Section by Section-Amendment in the Nature of a Substitute to H.R. 2996

Section 1. Short Title.

    This act may be cited as the ``Revitalize American Manufacturing 
and Innovation Act of 2014.''

Sec. 2. Findings.

    This section contains findings regarding the economic impact of 
manufacturing in the United States. This section states that 
manufacturers in the United States perform two-thirds of all private-
sector research and development in the United States, driving more 
innovation than any other sector.

Sec. 3. Establishment of Network for Manufacturing Innovation.

    This section revises the National Institute of Standards and 
Technology Act to include a new section to support a Network for 
Manufacturing Innovation Program. The purpose of the Program is: to 
improve competitiveness of United States Manufacturing and to increase 
domestic production; to stimulate United States leadership in advance 
manufacturing research; to facilitate the transition of innovative 
technologies into manufacturing capabilities; to facilitate access by 
manufacturing enterprises to capital-intensive infrastructure; to 
accelerate the development of an advanced manufacturing workforce; to 
facilitate peer exchange and documentation of best practices; and to 
leverage non-federal sources of support to promote a stable and 
sustainable business model.
    This section authorizes support for a network of centers for 
manufacturing innovation. Centers to: address challenges in advanced 
manufacturing; have potential to improve the competitiveness of United 
States manufacturing; accelerate non-federal investment in advanced 
manufacturing production capacity or enable the commercial application 
of new technologies or manufacturing processes; and elicit 
participation among representatives of specified entities. This section 
specifies the activities that may be undertaken by the centers.
    This section stipulates that other existing or planned 
manufacturing centers formally recognized as manufacturing innovation 
centers under federal law or executive action shall be considered 
centers for manufacturing innovation under this act and may, upon 
request, be recognized as a center for participation in the Network. 
This section also states that such centers may not receive funds 
authorized by this act.
    This section states that in carrying out the Program, the Secretary 
of Commerce shall award financial assistance to a person or group of 
persons to assist in planning, establishing, or supporting a center for 
manufacturing innovation. This section provides guidelines for 
applications for assistance and for competitive, merit awards of 
financial assistance. This section provides guidelines for publicizing 
information regarding the awards.
    This section does not authorize appropriations for the Program. It 
states that the Secretary may use not to exceed $5 million for each of 
the fiscal years 2015 to 2024 to carry out this section from the 
amounts appropriated to the National Institute of Standards and 
Technology (NIST) for Industrial Technical Services. The section also 
authorizes the Secretary of Energy to transfer not to exceed $250 
million for the period encompassing fiscal years 2015 to 2024 to carry 
out this section from amounts appropriated for advanced manufacturing 
research and development within the Energy Efficiency and Renewable 
Energy account for the Department of Energy. This section specifies 
certain limitations on funding to centers.
    This section directs the Secretary to support, within NIST, the 
National Office of the Network for Manufacturing Innovation Program, to 
oversee and carry out the Program. This section specifies the functions 
of the National Program Office, including the development and 
submission to Congress of a regularly updated strategic plan to guide 
the Program. This section requires the Secretary to solicit 
recommendations from a wide range of stakeholders in developing and 
updating the strategic plan. This section requires the Comptroller 
General to submit to Congress a biennial assessment of the Program's 
operation. This section requires the Secretary to ensure that the 
National Program Office incorporates the Hollings Manufacturing 
Extension Partnership into Program planning.

Sec. 4. National Strategic Plan for Advanced Manufacturing.

    This section amends the America COMPETES Reauthorization Act of 
2010 to require the Committee under the National Science and Technology 
Council, in consultation with the National Economic Council and various 
public and private stakeholders, to develop and update a strategic plan 
to provide guidance for federal programs and activities in support of 
United States advanced manufacturing competitiveness. This section adds 
describing the progress made in achieving the objectives from prior 
strategic plans and analyzing factors that impact innovation and 
competitiveness for United States advanced manufacturing to the 
criteria for the strategic plan. This section specifies a schedule for 
updating the strategic plan. This section requires the President to 
include information regarding the consistency of the budget with the 
goals and recommendations included in the strategic plan developed 
under this section. This section requires the Advanced Manufacturing 
Partnership Steering Committee of the President's Council of Advisors 
on Science and Technology to provide input, perspective, and 
recommendations to assist in the development and updates of the 
strategic plan under this section.

Sec. 5. Regional Innovation Program.

    This section amends the Stevenson-Wydler Act. The Secretary may 
award funds to Regional Innovation Centers from appropriations for 
economic development assistance programs, not to exceed $10,000,000 per 
fiscal year for fiscal years 2015-2024. No funds are authorized to be 
appropriated for the Program. This section provides that the Secretary 
shall conduct outreach in rural communities regarding program 
participation.
                               Amendments

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