AMERICAN ASSOCIATION OF ENGINEERING SOCIETIES
1111 19th St. N.W.
Suite 403
Washington, D.C. 20036
(202) 296-2237; fax (202) 296-1151

For Immediate Release:
February 25, 2000

Contact:
Thomas Jones
(202) 296-2237; [email protected]

Charles Blue
(202) 296-2237; [email protected]

Engineers Voice Their Concerns to the Presidential Candidates

WASHINGTON, DC - The American Association of Engineering Societies (AAES) today encouraged the four major Presidential Candidates to become more supportive of the engineering issues facing our nation in the next Administration.

"The federal government plays a crucial role in national science, engineering, and technology policy. AAES believes that it was crucial that we let the Presidential candidates know early the important positive impact their administration could have on the engineering community. This is crucial because ultimately good science, engineering and technology policy, is good national economic policy," said Luther Graef, chair of the AAES' Engineers' Public Policy Council. In his statement to the candidates, Graef also stressed that "engineers will continue to play an essential role in the American economy. Whether it is in developing next generation of technology to power the Internet, or designing and modernizing the national highway system, the work of engineers will continue to improve the quality of life of all Americans."

Graef outlined a number of issues that are a priority for the engineering community in the next administration, including:

--Continuing federal support for basic engineering research;

--Promoting partnership programs with government, academia, and private industry;

--Permanently establishing the research and experimentation tax credit;

--Providing government support for promising high-risk technologies;

--Establishing policies that will promote a well-educated, technically literate population;

--Continuing and expanding the tax-exemption for employer provided tuition assistance;

--Developing a broad, well-balanced environmental policy; and,

--Placing engineers in high-level technical positions within the new administration.

"These policies are not only good for engineers, but they are good for all Americans. Previous investments in engineering research and development have yielded the technologies that are a significant factor in America's unprecedented economic growth. We hope that the Presidential candidates will take our suggestions to heart and develop policies that will help sustain our economic growth," commented Graef.

AAES is a federation of engineering societies dedicated to advancing the knowledge, understanding, and practice of engineering. Its member societies represent more than one million U.S. engineers in industry, government and academia.

A copy of the letter follows this release.

# # #

Dear Candidate:

On behalf of the American Association of Engineering Societies, its member societies and the nearly one million engineers we represent, I would like to highlight the important role U. S. engineers play in the national economy, our national security, and our quality of life. Over two million U.S. engineers are practicing in a broad number of diverse fields, such as chemical, mechanical, electrical, optical, and materials engineering. These men and women are the engine driving America's economic growth.

In representing this national professional community, AAES is pleased to be able to provide its views on how your presidency can have a significant positive effect on our nation and its way of life.

1. Federal support for basic engineering research is critical to the economic well being of this nation.

One of the greatest contributions the federal government has made and should continue to make to research is the support for basic research in science and engineering. Basic scientific and engineering research are fundamental to furthering human knowledge and development, but often have little direct applications in the marketplace. The benefits of basic research are accrued by all of society, and as such, private industry lacks the incentive to adequately invest in basic research. Basic engineering research occurs well before a process or application can be put into practical use, yet still yields enormous societal and economic benefits.

Federal support for basic engineering research is not only appropriate, but also critical to the economic well being of the nation. It is because of the initial support by the federal government that the United States is the leader in many of the industrial sectors that are driving our economic growth. For example, without the federal research and development in networking and satellite technology, it is questionable whether the United States would be the world leader in the information technology industry. By supporting a long-term, cutting edge, high-risk research policy America will be planting the seeds for continued growth and innovation in the twenty-first century.

2. Partnership programs with government, academia, and private industry are essential in taking leading-edge knowledge to commercial products.

Fostering partnership programs between the federal government, academia, and private industry continues to be a vital mechanism to efficiently move new knowledge toward practical applications for the marketplace. Whenever feasible partnerships should be utilized in order to ensure that the supported research is being performed with the optimum diversity of talent and the results broadly disseminated. Working together enables each of these sectors to share the cost burdens and risks, as well as enjoy the results of research. Providing research opportunities in academic settings not only draws in some of the best minds, but also has the important added benefit of training the next generation of researchers. Streamlining the administration of research activities, the peer review process and the measurement of the results from research grants should continue in order to ensure that tax dollars are spent on research, not paperwork.

3. Research and tax credit must be made permanent.

The most immediate action that the federal government can take to strengthen innovation policy is to make the research and experimentation tax credit permanent. Making the tax credit permanent would enable businesses to include it in their short and long range business plans. A well-structured R&E Tax Credit will provide incentives to private industry to undertake more research, some of which might not be undertaken without the tax credit. The GAO, Bureau of Labor Statistics, the National Bureau of Economic Research, and many private researchers agree that the R&E tax credit stimulates substantial amounts of additional R&D. A dollar of new R&D spending in the short run creates as much as two dollars in the long run. Additionally, reforming the basic research tax credit to include supporting such research at our nation's universities would provide numerous benefits, from expanding the breadth of knowledge to supporting more graduate students in their educational goals.

4. Promising high-risk technologies need government support.

The engineering community strongly believes that it is appropriate for the federal government to support development of long range, high-risk technologies that promise significant societal benefits, where industry lacks the ability/incentive to pursue such research effectively by itself. Certain research endeavors are very expensive and have little potential for immediate application, but with success come enormous benefits to our nation. For example, the benefits of the U.S. space program are innumerable, from satellite technologies to health research. Also, few could have predicted the economic impact of the research performed by the Defense Advanced Research Project Agency that resulted in a global communications system, the Internet. Neither of these research endeavors could have been undertaken by the private sector.

The federal government should redouble its efforts to bridge the gulf that exists between government funded basic research and industry efforts to commercialize innovations that arise out of that research. Too often, important discoveries and advancements have been made by federally funded research but have gone unnoticed or underutilized (i.e., ends up being "left on the shelf"), thus losing the benefits of this investment. Research partnerships between industry, government, and academia are one of the proven methods of promoting the effective transfer of technology.

5. The nation needs a well-educated, technically literate population.

A well-educated population is the foundation upon which this nation will continue to grow and be the leader in technological advancement worldwide. Math and science education is a key ingredient. We urge you to make science, mathematics, engineering, and technology education a national priority. The federal government can be a valuable resource for local school systems that are laboring to improve their science, mathematics, engineering and technology education. The next administration needs to focus on better coordination of efforts among federal agencies that provide significant support for K-12 science, mathematics, engineering, and technology education. Finally, the federal government should develop incentives and opportunities for partnerships between the private sector, federal agencies, universities and colleges, industry, schools and teachers to develop and improve local educational programs.

6. Employer paid education benefits should be encouraged by continuing and expanding the tax-exemption.

Re-extending Section 127, the tax exemption for employer paid education benefits, to cover graduate level research is another immediate action that policy makers can take. Undergraduate and graduate education should receive equal tax treatment. Congress has instead added costs and complexity to this private sector initiative by imposing taxes on graduate assistance. It is not sound policy to allow tax-free reimbursements for advanced courses that fall under a "job-related test," but not for graduate classes toward an advanced degree that happens to fall outside the test. The tax code should not punish employers that are willing to invest in education to make their workers more competitive. Section 127 graduate tuition reimbursement coverage is not a tax perk but an important enabler of professional growth.

7. The Federal government needs to ensure a broad, well-balanced environmental policy.

Even before the late sixties and early seventies, the federal government had taken a strong role in maintaining our quality of life through maintaining our national resources. Policies that promote the use of recyclable materials reduce consumption of energy and non-renewable resources and also reduce waste generation will be essential if we are to protect the environment in the twenty-first century. Specifically technologies such as advanced manufacturing processes and equipment, and regenerative/recyclable products can dramatically reduce the burden we place on our environment. The federal government can play a positive role by supporting policies that encourage and support the engineers who are working in public, private and non-profit sectors to develop these technologies.

8. Well-qualified engineers must be engaged in technical positions within the new administration.

As the first Administration for the new millennium begins to assemble toward the end of this year, well-qualified engineers should be selected to fulfill those positions where technical expertise and judgment are essential. This new administration must find and utilize technically trained and experienced individuals in order to make the decisions necessary to develop a national consensus on science, engineering, and technology policy. There is no substitute for a technical basis.

The U.S. engineering profession has contributed substantially to the well being of this nation. To continue with this type of economic growth and rise in quality of life, these engineers are firmly committed to working with you on these issues. AAES will build on this basis over the next several years. I sincerely hope that you will join us in working to these changes. They can only help our nation and its people.

The engineering community looks forward to building this next millennium.

Sincerely,

Mr. Luther Graef, Chair
Engineers' Public Policy Council

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