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Manufacturing Extension Partnership Program: An Overview (CRS Report for Congress)

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Release Date Revised Nov. 20, 2013
Report Number 97-104
Authors Wendy H. Schacht, Specialist in Science and Technology Policy
Source Agency Congressional Research Service
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Summary:

The Omnibus Trade and Competitiveness Act of 1988, P.L. 100-418, created aprogram of regional centers to assist small and medium-sized manufacturing companiesuse knowledge and technologies developed under the auspices of the National Instituteof Standards and Technology (NIST), a laboratory of the Department of Commerce.Now known as the Manufacturing Extension Partnership (MEP), centers in all 50 statesand Puerto Rico provide technical and managerial assistance to firms. Federal fundingis matched by non-federal sources. Support for the program increased 19% betweenFY1997 and FY1998, to $113.5 million. Funding for FY1999 fell to $106.8 million,reflecting a decrease in the federal portion of financing from one-half to one-third asindividual centers operate longer than 6 years. Since that time, funding has remainedfairly constant, with small (1-2%) increases or decreases. FY2002 support was $106.5million. For FY2003, the Bush Administration requested $12.9 million for the MEP,88% below the previous year. This budget reflected the President's recommendationthat manufacturing extension centers "...with more than six years experience opcratewithout federal contribution." The program was financed at FY2002 levels by a seriesof Continuing Resolutions until P.L. 108-7 was enacted which provides FY2003 fundingof $105.9 million for the Partnership (after the 0.65% across the board recisionmandated by the legislation). The Administration's FY2004 budget again requests asignificant decrease in support for MEP. The $12.6 million proposed is to financeoperations of centers that have not reached 6 years of federal funding. H.R. 2799, aspassed by the House, would appropriate $39.6 million for the Partnership, 63% belowthe amount provided for FY2003.