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Senate Bill Introduced to Require National Manufacturing Strategy

On July 28, 2010, Senator Stabenow (D) introduced the National Manufacturing Strategy Act of 2010 (S. 3662), which would require the President to submit a National Manufacturing Strategy to Congress and post it on a public website.

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S. 3662 has been referred to the Senate Committee on Commerce, Science, and Transportation and is not yet in effect. Generally, in order for a bill to be implemented, identical versions of that bill must be passed by both the House and Senate, and then the bill must be approved (enacted) by the President.

Virtually Identical to House Bill

The bill is virtually identical, with only minor organizational changes, to the National Manufacturing Strategy Act of 2010 (H.R. 4692), which the House passed on July 28, 2010. (See ITT’s Online Archives or 08/03/10 news, 10080324, for BP summary of H.R 4692.)

First Strategy Due Within One Year of Enactment, Quadrennial Thereafter

The first National Manufacturing Strategy (Strategy) would be due not later than one year after the date of enactment. Subsequent Strategies would be quadrennial - submitted to Congress not later than the first day of July of the second year of each Presidential term.

Manufacturing Strategy Board Would Prepare Strategy, Advise President, Etc.

The President would be required to establish within the Commerce Department, the President’s Manufacturing Strategy Board. The Board would be comprised of specified Cabinet Secretaries, the U.S. Trade Representative, 2 State Governors, individuals from the private sector, etc.

The Board would be required to:

Advise President, Congress - advise the President and Congress on issues affecting the U.S. manufacturing sector;

Analyze sector - conduct a comprehensive analysis of the U.S. manufacturing sector, including an analysis of government programs and other factors which affect the competitiveness, growth, and sustainability of the U.S. manufacturing sector;

Develop strategy - develop a National Manufacturing Strategy1. Each Strategy would include: (i) short- and long-term goals for the U.S. manufacturing sector, taking into account the matters addressed in the Board’s comprehensive analysis; and (ii) recommendations for achieving the short-term and long-term goals for the U.S. manufacturing sector. The draft Strategy would be published for public comment in the Federal Register and on a public website.

Submit strategy, with budget estimate -- Once the Strategy is finalized, the Board would be required to submit a report containing the Strategy to Congress, and post it on a public website. The report would have to include an estimate of the short and long-term Federal government expenditures necessary to implement the Strategy.

Annual report - Not later than one year after the date on which the first Strategy is published, and annually thereafter, the Board would have to submit a report to the President and Congress with: (i) views on the current state of U.S. manufacturing; (ii) assessment of the implementation of the previous Strategies; (iii) recommendations for furthering implementation of previously issued Strategies; and (iv) any suggested revisions to the budget estimate required to implement the recommendations.

GAO Would Review Strategy and its Implementation, Recommend Improvements

Not later than the first day of April in calendar years 2013, 2017, and 2021, the Government Accountability Office would be required to submit to Congress a report regarding the National Manufacturing Strategy including:

  • an assessment of whether the Strategy’s recommendations were implemented;
  • an analysis of the impact of such recommendations;
  • review of the process involved in developing the Strategy; and
  • recommendations for improvements in developing the next Strategy.

President Would Have to Consider Strategy When Preparing FY Budgets

In preparing the fiscal year budget, the President would have to include information regarding the consistency of the budget with goals and recommendations included in the Strategy covering that fiscal year.

1based on the results of: (i) the comprehensive analysis, (ii) certain studies carried out by the National Academy of Sciences, and (iii) other information, studies, or perspectives the Board determines to be appropriate.

(See ITT’s Online Archives or 07/19/10 news, 10071923, for BP summary of a House hearing to consider the legislation.)