and conforms to the Budget Summit. Much of the increase is attributable to major budget initiatives such as doubling the Strategic Petroleum Reserve fill rate, the first year of construction funding for the Superconducting Super Collider, and significantly higher funding for clean coal, which has already been agreed to by Congress. Defense, which was over two-thirds of our budget two years ago, is about 50 percent in fiscal year 1989, at $8.1 billion out of $16.1 billion. BASIC SCIENCE RESEARCH The budget includes a major increase for basic science research, due principally to the first year funding for the Superconducting Super Collider, an essential element in the Administration's initiative to maintain strength in the Nation's scientific leadership and technical capacity. Funding for this project is requested at $363 million for research and development and construction. It is our belief that this funding is not requested at the expense of other worthy research projects. In future years we expect substantial foreign contributions to the SSC because of the value of this project to the international scientific community. Potential foreign contributors will be watching closely to see if Congressional support develops for the project. Final site, selection is scheduled for January, 1989, and the project can be completed in 1996 if funding is provided as planned. Another major science initiative is the 6/7GeV Synchrotron Light Source at Argonne National Laboratory. This project will help the U.S. maintain its competitive position in such areas as semiconductors, supercomputers, biology, chemistry, and material sciences. Other areas of active research include the Human Genome Project, which was recently endorsed by the National Academy of Sciences; atmospheric carbon dioxide and radon. The budget for magnetic fusion increases from $335 million to $360 million in fiscal year 1989. The principal activity is the Compact Ignition Tokamak project, for which we are asking R&D and construction funds and design and R&D for an international thermonuclear experimental reactor. Our nuclear energy R&D budget is $354 million, up approximately six percent. The fastest-growing program here is Space and Defense Power Systems, at $117 million, up from $75 million in fiscal year 1988. This program supports a number of space reactor designs to provide nuclear power to support civilian and defense requirements. These projects are jointly funded with other Governmental agencies. In the Remedial Action Program, which we have budgeted at $260 million, the Administration will propose legislation to clarify and limit Federal responsibility for future project costs. Mr. MYERS. I thought they would have come to see you. [Laughter.] Mr. HERRINGTON. They did. [Laughter.] Mr. BEVILL. You know, Mr. Myers and I were out at Wes Watkins' district in Oklahoma. We went out into the branch areas there, and it looked like everybody from miles around was there. We landed right in a cow pasture with a helicopter, and little American flags were on the fences all around. It was really impressive looking down there and seeing all those people. We were each thinking-the General was thinking that everybody had turned out to see the General, and Wes Watkins thought they'd turned out to see him, and of course we thought they'd turned out to see us. Wes went back home and found out. He came back and said "Actually, I finally found out what brought that big crowd out. They came to see the helicopter." [Laughter.] Mr. MYERS. If you'll yield for one more story-one of the astronauts came from Indiana, and graduated from Purdue. He came out to see his parents right after he'd gone to the moon. His parents were in a nursing home, and he flew in by helicopter to see them. The people came out of the nursing home and crowded around. He walked off to the side and they all stood around the helicopter and let him walk off. They'd come to see the helicopter, too. Here's an astronaut that had been to the moon and they were more interested in the helicopter than they were in him. It sure deflates us sometimes. [Laughter.] Mr. MYERS. Some of us don't have far to go, though. Mr. BEVILL. We'll have these official remarks from time to time, Mr. Secretary. [Laughter.] Mr. BEVILL. The reporter gets them down, so if you'd like to capture them for posterity- Mr. HERRINGTON. I may want to use them sometime. Mr. BEVILL. You may proceed. CLEAN COAL TECHNOLOGY Mr. HERRINGTON. Thank you. Our request for Clean Coal Technology is $525 million, which has been agreed to by Congress as an advance appropriation. This is a significant increase over the $199 million that was made available in fiscal year 1988. Our goal is to put in place the President's complete five-year, $5 billion plan, with 50 percent Federal and 50 percent private sector. The second clean coal solicitation went out on February 22. Our budget requests for Fossil, Conservation and Renewables R&D are well below the fiscal year 1988 appropriation levels, but are comparable to our fiscal year 1988 request. The specific budgets are $167 million for fossil, $86 million for conservation R&D, and $125 million for renewables. DEFENSE ACTIVITIES Weapons research, development and testing is $1.9 billion, less than $10 million over fiscal year 1988. The three elements of this program are: core activities, nuclear directed energy weapons, and inertial fusion, and all are level funded. The budget for weapons production is $2.3 billion, less than two percent over fiscal year 1988. The program will deliver six different types of nuclear weapons and will continue to upgrade aging weapons production facilities. The materials production budget of $2 billion provides for operation of three production reactors at the Savannah River facility, but it does not support the continued operation of the reactor at Hanford, Washington. The department recently decided not to restart the N Reactor, but to maintain it in cold standby. However, the planned safety upgrades will be completed so that it could be restarted in the future if the need arises. In fiscal year 1989, the department will begin operation of the Waste Isolation Pilot Plant in New Mexico; and in fiscal year 1990 operation of the Defense Waste Processing Facility at Savannah River in South Carolina will begin. ENVIRONMENT, SAFETY AND HEALTH Our commitment to environmental protection and to worker health and safety at the department's facilities is stronger than ever. The oversight functions of the Office of the Assistant Secretary for Environment, Safety and Health that was established in 1985 are going to continue to grow. We are responding to a number of internal and external studies, including the joint National Academy of Sciences and the National Academy of Engineering study of our production reactor complex. Spending on environmental compliance and safety upgrades for all elements of the department totals $1.5 billion. The budget for the nuclear waste fund fully supports the program as redirected late last year by the Amendments to the Nuclear Waste Policy Act. Yucca Mountain, Nevada was designated for detailed characterization for a potential first depository. Most work at the Texas and Washington sites will cease in 1988. The second repository program was terminated by these amendments. A major legislative initiative is the sale of the Naval Petroleum Reserves Numbers 1 and 3 in California and Wyoming. The proceeds under the budget would be applied to doubling the fill rate of the Strategic Petroleum Reserve and creating a dedicated Defense Petroleum Inventory of 10 million barrels of crude oil. Our national security will improve if this plan is agreed to. Defense needs can be met much more quickly from a Defense Petroleum Inventory than from the oil wells at the NPR's. Our request for conservation grants is $8.6 million to permit continued monitoring of funds made available to the States in past years. Further appropriations are no longer necessary except for monitoring. States have received $3.5 billion in the past few years to overcharge settlements. Overcharge recoveries are estimated at $2.1 billion, which is a substantial portion to be returned to the States. Mr. Chairman, this is a brief summary of our budget, and I appreciate the opportunity in letting me speak on the budget. As we have said, the full statement, with your permission, will be submitted for the record. [The statement of Secretary Herrington appears at the end of this hearing.] Mr. BEVILL. Thank you for a very fine presentation, Mr. Secretary. I want to call your attention to the fact that we're honored with the presence of the Secretary's brother, here from California. Would you stand up, so we can see you? We're glad to have you with us. We also have Mark Pursell here, Congressman Pursell's son. Mark, if you will, raise your hand. We're glad to have you with us. Some folks just get a little older, John. [Laughter.] The Chair recognizes Chairman Whitten. NAVAL PETROLEUM RESERVES Mr. WHITTEN. Thank you, Mr. Chairman. I appreciate this. I know you've got so many subjects here, but we do have a good many things we have to do. Mr. Secretary, the thing that disturbs me once again is that it seems that you want to sell Elk Hills. I was on the summit group on the House side, and insisted that nothing be sold in the way of assets without the approval of Congress. I'd like to put my letter on that in the record. [The information follows:] MAJORITY MEMBERS JAMIE L WHITTEN, MISSISSIPPI, CHAIRMAN ROWARD P. BOLAND MASSACHUSETTS WILLIAM I NATCHER KENTUCKY HEAL BARTH IOWA GHONEY & VATES. ILLINOIS DAVID A OBEY, WISCONSI EDWARD & ROVBAL CALIFORNIA LOUIS STORES. OVO TOM BEVILL ALABAMA BILL CHAPPELL JR FLORIDA BILL ALEXANDER, ARKANSAS JOHN P MURTHA, PENNSYLVANIA 808 TRAILER MICHIGAN JOSEPH D EARLY MASSACHUSETTS LINDY BARS HALE) BOGGS. LOUISIANA MATTHEW MICHUGH, NEW YORK WILLIAM LEHMAN, FLORIDA MARTIN OLAY SABO. MINNESOTA JAIAN C. DIXON CALIFORNIA VIC FADO CALIFORNIA WG BILL HEFNER, NORTH CAROLINA LES AUCO OREGON DANIEL KAKAKA, HAWAH WES WATKINS, OKLAHOMA WILLIAM H. GRAY IL PENNSYLVANIA BERNARD JOWYER NEW JERSEY STERY K HOYER, MARYLAND BOB CARR, MICHIGAN ROBERT & MRAZEL NEW YORK RICHARD & DURBIN ILLIONS RONALDO COLEMAN TEXAS ALAN & MOLLOHAN WEST VIROBIA LINDSAY THOMAS, GEORGIA Congress of the United States December 1, 1987 Juli 124 MINORITY MEMBERS BILVED & CONNTE, MASSACHUSETTS JOHNNY MYERS, NOIANA CLARENCE & MILLER, ONBO LAWRENCE COUDEL PENNSYLVANIA JEASY LEWIS CALFORMA JOHN EDWARD PORTER, ILLINOIS HAROLD ROGERS KENTUCKY KOLD ARSONA CLERK AND STAFF DIRECTOR PREDERICK & MONTAN TELEPHONE 002) 226-2771 You did a fine job in handling an impossible task, which I trust will result in benefits toward reducing the deficit and perhaps an improvement in national policy. One of the questionable provisions discussed was the sale of assets. Here you made it clear that such sales would have to be approved in advance by the Congress. This is absolutely essential. Sale of assets to pay current expenses is questionable to say the least. We still have many forces who wish to sell public power operations; who believe everything operated by the public should be sold so that private interests could make a profit. Efforts to sell power agencies are now being made, in the southeast first and if successful it would reach the TVA, and Bonneville and the west coast. We see what is happening to the land taken from farmers, which is being reduced in value prior to sale largely to insurance companies or large land owners. You saw who raised the possibility of the sale of Elk Hills Oil Reserve, and the great interest by representatives of the Executive Branch, who were willing to forego $1 billion in reductions if they could make that sale. You are familiar with what happened last year in the Senate about payments by R. E.A. in Alaska, where those who paid their loan would be barred from future loans. This was misrepresented to the House. Even now, after language in the supplemental permitting prepayment of |