[Senate Hearing 106-1043]
[From the U.S. Government Publishing Office]
S. Hrg. 106-1043
THE NATIONAL TECHNICAL INFORMATION SERVICE
=======================================================================
HEARING
before the
SUBCOMMITTEE ON SCIENCE, TECHNOLOGY, AND SPACE
OF THE
COMMITTEE ON COMMERCE,
SCIENCE, AND TRANSPORTATION
UNITED STATES SENATE
ONE HUNDRED SIXTH CONGRESS
FIRST SESSION
__________
OCTOBER 21, 1999
__________
Printed for the use of the Committee on Commerce, Science, and
Transportation
U.S. GOVERNMENT PRINTING OFFICE
74-342 WASHINGTON : 2002
____________________________________________________________________________
For Sale by the Superintendent of Documents, U.S. Government Printing Office
Internet: bookstore.gpo.gov Phone: toll free (866) 512-1800; (202) 512-1800
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SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
ONE HUNDRED SIXTH CONGRESS
FIRST SESSION
JOHN McCAIN, Arizona, Chairman
TED STEVENS, Alaska ERNEST F. HOLLINGS, South Carolina
CONRAD BURNS, Montana DANIEL K. INOUYE, Hawaii
SLADE GORTON, Washington JOHN D. ROCKEFELLER IV, West Virginia
TRENT LOTT, Mississippi JOHN F. KERRY, Massachusetts
KAY BAILEY HUTCHISON, Texas JOHN B. BREAUX, Louisiana
OLYMPIA J. SNOWE, Maine RICHARD H. BRYAN, Nevada
JOHN ASHCROFT, Missouri BYRON L. DORGAN, North Dakota
BILL FRIST, Tennessee RON WYDEN, Oregon
SPENCER ABRAHAM, Michigan MAX CLELAND, Georgia
SAM BROWNBACK, Kansas
Mark Buse, Staff Director
Martha P. Allbright General Counsel
Ivan A. Schlager, Democratic Chief Counsel and Staff Director
Kevin D. Kayes, Democratic General Counsel
------
Subcommittee on Science, Technology, and Space
BILL FRIST, Tennessee, Chairman
CONRAD BURNS, Montana JOHN B. BREAUX, Louisiana
KAY BAILEY HUTCHISON, Texas JOHN D. ROCKEFELLER IV, West
TED STEVENS, Alaska Virginia
SPENCER ABRAHAM, Michigan JOHN F. KERRY, Massachusetts
BYRON L. DORGAN, North Dakota
C O N T E N T S
----------
Page
Hearing held October 21, 1999.................................... 1
Statement of Senator Frist....................................... 1
Prepared statement........................................... 1
Witnesses
Challinor, Joan, ph.d., member U.S. National Commission on
Libraries and Information Science.............................. 23
Prepared statement........................................... 25
Statement of Assessment by Westat............................ 42
Clark, Bill, executive committee member, National Federation of
Employees, Local 1627.......................................... 33
Prepared statement........................................... 34
August 26, 1999 letter sent by IRS to NTIS in terms of the
reasoning for its choice in having NTIS produce the IRS CD-
ROM........................................................ 49
Davis III, Hon. Charles M., U.S. Representative from Virginia.... 27
Prepared statement with attachments.......................... 29
DiMario, Michael F., public printer, U.S. Government Printing
Office......................................................... 16
Prepared statement........................................... 17
Moran, Hon. James P., U.S. Representative from Virginia.......... 2
Mallett, Hon. Robert, deputy secretary, U.S. Department of
Commerce....................................................... 5
Prepared statement........................................... 7
Robb, Hon. Charles S., U.S. Senator from Virginia................ 22
Prepared statement........................................... 22
.................................................................
Appendix
Statement for the Record on behalf of the American Association of
Law Libraries, American Library Association, Association of
Research Libraries, Medical Library Association, Special
Libraries Association.......................................... 53
Billington, James H., The Librarian of Congress, prepared
statement...................................................... 59
Response to Written Questions Submitted by Hon. Bill Frist to:
Joan Challinor............................................... 64
Bill Clark................................................... 67
Michael F. DiMario........................................... 62
Robert Mallett............................................... 71
THE NATIONAL TECHNICAL INFORMATION SERVICE
----------
THURSDAY, OCTOBER 21, 1999
U.S. Senate,
Subcommittee on Science, Technology, and Space Committee on
Commerce, Science, and Transportation,
Washington, DC.
The subcommittee met, pursuant to notice, at 2:35 p.m., in
room SR-253, Russell Senate Office Building, Hon. Bill Frist,
chairman of the subcommittee, presiding.
Staff members assigned to this hearing: Floyd DesChamps,
Republican professional staff; Elizabeth Prostic, Republican
staff assistant; Margaret Spring, Democratic senior counsel;
and Jean Toal Eisen, Democratic professional staff.
OPENING STATEMENT OF HON. BILL FRIST,
U.S. SENATOR FROM TENNESSEE
Senator Frist. Good afternoon and welcome to the Science,
Technology, and Space Subcommittee hearing on the National
Technical Information Service.
Today's hearing is particularly important because it
concerns the potential closure of one of the Federal
Government's largest scientific clearinghouses in the country.
We will now move directly to Congressman James Moran's
testimony, and then I will make an opening statement. There are
votes currently going on in the House, and out of respect for
the Congressman, I would turn to him immediately and hear his
statement. Welcome.
STATEMENT OF HON. JAMES P. MORAN, U.S. REPRESENTATIVE FROM
VIRGINIA
Mr. Moran. Thank you very much, Senator. You set a standard
for courtesy. I sure hope that Senators get treated half as
well as you are treating me. We do have a series of five votes,
and it is very thoughtful of you to allow me to testify right
away.
Senator, I am troubled by the Department of Commerce's
proposal for substantive and for procedural reasons.
Procedurally, it is clear that no stakeholders were consulted
before Commerce unveiled its plan. The Library of Congress was
not consulted. The Government Printing Office, the largest
distributor of government information in the world, was not
consulted. The community that relies on NTIS documents was not
consulted before making this decision. The National Archives
was not consulted. And, perhaps most importantly, at least from
our perspective, the Congress was not consulted.
Failure to meet with these stakeholders ensured that the
proposal would be substantively, and perhaps fatally, flawed.
The substantive problems with this proposal are numerous.
Nevertheless, they all stem from a single source. This proposal
was drafted without a clear concept of the role of the
government and its agencies in the archival, retention,
retrieval, and dissemination of scientific and technical
information.
A proposal to reorganize or reinvent NTIS without such a
understanding will ensure that important scientific documents
are not properly retained. This is going to cause distress
within the communities which rely on scientific data produced
by the Federal Government. We can expect a corresponding
decrease in the quality of new research if access to old data
is substantially diminished.
First, although it is clear that some change is necessary
at NTIS, it is not clear that a complete overhaul is necessary.
For fiscal year 2000, NTIS needs a modest appropriation to pay
for public functions. It is certainly appropriate to debate
whether NTIS should be entirely self-funded or whether
taxpayers pay for the services that benefit the public as a
whole.
Yet, rather than address this issue, the Department of
Commerce asked appropriators to provide $9 million to close
NTIS, even though no statutory authority for doing so exists.
The Department of Commerce testified before the House Science
Committee, arguing that new technology now made much of NTIS
obsolete. Furthermore, the Department asserted that in
attempting to fully fund its operations, NTIS had to charge
such high fees that customers would either be unwilling to make
a purchase or they would look elsewhere.
As an example, Senator, the Department referenced a
particular report which NTIS would sell for $29, which could be
found in the Library of Congress. Interestingly, the Department
did not mention that the Library's photo duplication service
would charge the same amount to copy the document. Clearly, the
Library does not offer an alternative to sell documents at
substantially better prices. Furthermore, the Library is not
authorized to charge patrons for materials. Its photo
duplication service only exists as a self-funded entity as a
result of a private grant.
The Department of Commerce argued alternatively that
agencies should post scientific and technical information on
the Internet, thus permitting easy, ready access to all.
Certainly agencies should post all the information possible on
the Internet, but despite Bill Gates' best efforts, there is
still not a computer in every home. And in fact, the single
biggest group of NTIS customers are libraries. Libraries make
this vital information available to those who are
technologically savvy and to those who must rely on paper
products and microfiche. Clearly, the Internet will not provide
access to everyone.
But let us assume for a moment that complete overhaul is
necessary, that NTIS is now somehow unsustainable or outdated.
The decision we must then make is to determine what functions
of NTIS must be retained and determine who should perform them.
Scientific information will continue to be produced. It is
obviously valuable to have a central location to obtain this
information. Can you imagine searching through every single
government agency to see whether a particular study had ever
been done? You need a central location.
One serious problem with the Department's proposal is its
failure to adequately address the fugitive document problem.
Fugitive documents are those documents which are not part of
the depository library system and are not indexed with other
government documents. It is virtually impossible to index or
search for these documents unless they are part of a well-known
collection, such as that housed by NTIS.
While NTIS and the Government Printing Office have often
done battle about the fugitive documents housed by NTIS, NTIS
holds a collection which is well known within the community
which uses scientific and technical information, and employs a
staff to aggressively search for important documents that are
not within its collection. Transferring the NTIS collection
without transferring the staff responsible for tracking down
documents will only ensure that more scientific and technical
documents will escape from the system and be useless for future
reference.
I am troubled by the Department's proposal that the Library
of Congress assume some of the NTIS functions, especially since
the Library was not consulted before making that suggestion.
The Library can keep and maintain any collection of
information, but they need to be complicit in such a
decisionmaking process.
If the primary concern in transferring NTIS was maintaining
its collection, the Library of Congress would be a good fit.
But this ignores the role that the GPO performs in collecting
and disseminating information. Unlike the Library, the
Government Printing Office seeks to retain and disseminate all
government information to every State. The Library of Congress
does not retain all information and does not disseminate it
broadly.
Similarly, the Library of Congress may not be best suited
to take advantage of economies of scale. I urge this committee
to carefully consider these complexities in determining which
agencies are best suited to take on any NTIS functions which
are transferred.
So, in closing, Mr. Chairman, let me suggest that the best
approach might be to step back, take a hard look at the role of
the agencies responsible for archival, retention, retrieval,
and dissemination of scientific and technical information. And
only after we take that hard look, only then can we assess
where the function performed by NTIS should be today and where
they should be in the future.
Mr. Chairman, obviously I have problems with the decision
that was made, largely because of the way in which it was made.
But I think it is far more complex than the solution that has
been offered us. And I greatly appreciate your taking the
initiative and giving this issue the kind of focus it deserves.
And, again, thank you very much for your consideration,
Senator.
Senator Frist. Thank you, Mr. Moran. I appreciate you
coming by. I appreciate your written and oral testimony. As we
proceed forward, we will be taking this into full
consideration.
Mr. Moran. Thank you so much, Mr. Chairman.
Senator Frist. I know you need to get back and vote. Thank
you very much. I appreciate you coming.
Mr. Moran. Thank you.
[The prepared statement of Senator Frist follows:]
Prepared Statement of Hon. Bill Frist, U.S. Senator From Tennessee
Good afternoon and welcome to the Science, Technology, and Space
Subcommittee hearing on the National Technical Information Service
(NTIS). Today's hearing is particularly important because it concerns
the potential closure of one of the federal government's largest
scientific clearinghouses in the country. Given the fact that the
federal government is spending approximately $40 billion in civilian
research and development per year, a level which I have actively
supported doubling over the next decade. I am very concerned about
whether or not we are adequately capturing the results of this
significant public investment. To me, this is the central issue that we
must address in any restructuring proposal.
The NTIS, created by Congress in 1950, was designed to archive and
disseminated scientific and technical information products at no cost
to the United States taxpayer. While the clearinghouse now boasts a
distribution system of more than 3 million products a year, the cost to
the public has been increasing steadily since 1987.
In the President's FY 2000 budget, the Administration requested $2
million to keep NTIS operating. This is a direct result of declining
NTIS revenues over the past five years. Between 1993 and 1998, NTIS
revenues dropped by 18 percent while sales of publications dropped by
43 percent. Over this same period, the number of reports received by
NTIS from other agencies declined by 34 percent. These dramatic figures
illustrate the difficulty that the agency has had in not only
maintaining its archives in the information age, but also ensuring that
the agency did not incur debt. It is also important that we step back
from the declining numbers and profits and think about the importance
of having a federally funded clearinghouse. I just made reference to
our current information age in which access to the Internet has changed
our daily lives. In this new economy, where instant information is a
premium, we have the ability to peruse government documents directly on
an agency's Web page. But we must also have a guarantee that the
documents will be available next year, or 10 years from now. Our
federal government currently spends approximately $70 billion in
research and development each year. Without a clearinghouse like NTIS,
we won't have the ability to effectively archive and disseminate the
results of our R&D to the public.
The Department of Commerce is here today to discuss its recent
proposal to close NTIS and to transfer its collection and dissemination
responsibilities to the Library of Congress. Unfortunately. the Library
was unable to testify today, but will submit a written statement for
the record. We are fortunate to have the Government Printing Office,
the National Commission on Libraries and Sciences, and the National
Federation of Federal Employees to offer insight into the realities of
the closure and the Department of Commerce's proposal.
Senator Frist. Representative Tom Davis will be by at some
point. What we will do, in the interest of time, is proceed
with our second panel, the Hon. Robert Mallett. You can come
forward, I will continue with my opening statement, and then we
will turn to the second panel.
Given the fact that the Federal Government is spending
approximately $40 billion in civilian research and development
per year, a level which I have actively supported doubling over
the next decade, I am very concerned about whether or not we
are adequately capturing the results of this significant public
investment. To me, this is the central issue to address in any
restructuring proposal.
The National Technical Information Service, created by
Congress in 1950, was designed to archive and disseminate
scientific and technical information products at no cost to the
United States taxpayer. While the clearinghouse now boasts a
distribution system of more than 3 million products a year, the
cost to the public has been increasing steadily since 1987.
In the President's fiscal year 2000 budget, the
Administration requested $2 million to keep NTIS operating.
This is a direct result of declining NTIS revenues over the
past 5 years. Between 1993 and 1998, NTIS revenues dropped by
18 percent, while sales of publications dropped by 43 percent.
Over this same period, the number of reports received by NTIS
from other agencies declined by 34 percent. These dramatic
figures illustrate the difficulty that the agency has had in
maintaining its archives in this so-called information age, as
well as ensuring that the agency did not incur debt.
It is also important that we step back from the declining
numbers and profits to think about the importance of having a
federally funded clearinghouse. I made reference to the
information age in which access to the Internet has changed all
of our lives. In this economy, where instant information is a
premium, we have the ability to peruse government documents
directly from an agency's web page.
But we must also have a guarantee that the documents will
be available next year, or 5 years from now, or 10 years from
now. The Federal Government currently spends approximately $70
billion in research and development each year. Without a
clearinghouse like NTIS, we will not have the ability to
effectively archive and disseminate the results of our R&D to
the public.
The Department of Commerce is here today to discuss its
recent proposal to close NTIS, and to transfer its collection
and dissemination responsibilities to the Library of Congress.
Unfortunately, the LOC was unable to testify today, but they
have submitted a written statement for the record. We are
fortunate to have the Government Printing Office, the National
Commission on Libraries and Sciences, and the National
Federation of Federal Employees to offer insight into the
realities of the closure and the Department of Commerce's
proposal.
We will proceed with the second panel: The Hon. Robert
Mallett, Deputy Secretary of Commerce, U.S. Department of
Commerce. Welcome, Mr. Secretary.
STATEMENT OF HON. ROBERT MALLETT, DEPUTY
SECRETARY, U.S. DEPARTMENT OF COMMERCE
Mr. Mallett. Thank you, Mr. Chairman. And thank you for
inviting the Department to testify today on behalf of our
proposed plan for the National Technical Information Service.
Every day, Mr. Chairman, we see new examples of how the
Internet is changing the way Americans work, live and play.
Now, Congressman Moran referred to a report that the Department
of Commerce released in January, called ``The Emerging Digital
Economy 2,'' showing how dramatic these changes have been. And
I can tell you from some experience that we are seeing those
changes firsthand at the Department.
And he is correct in citing that if taxpayers visit the
Department's Web site for that report, they can go to our
electronic commerce Web page and download that report for free.
He is also correct that if taxpayers go to the Department's
NTIS Web page and order the report, it has a list price of $27.
Now, if it were my money, I know what I would do. And that, in
a nutshell, sums up the problem facing NTIS.
For years, NTIS and the Department have struggled with how
to ensure public access to government information at a
reasonable cost, while keeping NTIS self-sufficient. Looking to
the future, the Department believes that the economics of the
Internet will dramatically affect NTIS's ability to remain
solvent. It already has.
The growth of the Internet has rendered outmoded the
business model NTIS uses to carry out its core mission.
Therefore, we undertook a serious and comprehensive review of
our potential options to address this question. And we
considered each option along three dimensions.
First, what impact would it have on the dissemination of
science and technology information to the American people?
Second, is it fiscally responsible? Third, what impact would it
have on the employees of NTIS?
This spring, at the Secretary's and my request, the
Department set up an internal working group, with the charge of
developing long-term options for NTIS. And after careful
consideration, we decided that the most appropriate course of
action would be to propose closing NTIS at the end of fiscal
year 2000. This was not a decision taken lightly, and it was
not intended to harm anyone. But, looking down the road, we
could see nothing but deterioration at NTIS, given the
realities of the marketplace.
The proposal would transfer NTIS's collection to the
Library of Congress, offer a buyout to NTIS employees eligible
for retirement or early retirement, and take steps to help move
remaining NTIS employees into other positions. And to ensure
that the public continues to have the best possible access to
government information at the lowest possible cost, we want to
take steps to ensure that the government agencies provide
technical and business reports to the public via the Internet.
Now, once the decision was reached, we made our intent
public and we provided the outline of our plan. But before we
submitted the draft legislation to the Congress, we wanted
something in hand to begin our discussions with interested
parties. And the draft legislation we have provided the
committee reflects a number of comments from the stakeholders
at NTIS. We propose several actions in the draft legislation.
First, we transfer the collection to the Library of
Congress. If the Congress approves this, NTIS's paper,
microfiche and digital collection and its bibliographic data
base, nearly 3 million titles in all, would be transferred to
the Library of Congress in order to maintain them and ensure
they remain available to the public for years to come.
In addition, copies of current and future scientific,
technical and engineering information would be electronically
transmitted to the Library of Congress, where they would be
electronically stored. The bill also provides that the chief
information officer of each executive agency that produces
scientific, technical and engineering information will report
annually to the Congress on that agency's compliance with the
relevant provisions. We believe that this policy mechanism will
help to ensure that agencies provide new documents to the
Library--a problem that we have had in the past at NTIS.
In addition, so that the American taxpayer has the best
possible access to Federal Government information, the
Department is working to ensure that government agencies post
their technical and business reports on the Internet for at
least 3 years. And that period of time is consistent with the
Paperwork Reduction Act.
The American people will be able to use search engines of
government Web sites that already exist to find the documents
they want. There are more powerful search engines, electronic
clearinghouses, and they continue to be developed so that the
American people can more easily find the reports that they
want.
Finally, Senator, as I noted, the Secretary and I are
determined to minimize any adverse impact on NTIS employees
resulting from implementation of this proposal. And I want to
emphasize that if Congress approves the Department's proposal,
we will take every available action to help NTIS employees move
into other jobs within the government. We have already provided
that kind of assistance to 46 NTIS employees. They moved to
other positions within the Department of Commerce.
The Secretary also sent a memorandum to every bureau head
within the Department, instructing them to work with us to be
able to place employees. And we also have contacted the Office
of Personnel Management, to offer any assistance that they can.
We intend to offer buyouts for those employees who are eligible
to retire, as well as those eligible for early retirement. Our
record at moving employees has been strong, and we believe that
our commitment is clear.
That is the highlight of the legislation, Senator. We have
prepared a longer statement for the record. I am prepared to
answer your questions.
[The prepared statement of Mr. Mallett follows:]
Prepared Statement of Hon. Robert Mallett, Deputy Secretary,
U.S. Department of Commerce
Mr. Chairman, members of the Subcommittee, thank you for inviting
me to testify today on our proposed plan for the National Technical
Information Service.
Every day we see new examples of how the Internet is changing the
way Americans work, live, and play. This past June, the Department of
Commerce released a report--The Emerging Digital Economy II--showing
how dramatic these changes have been. Indeed, growth in information
technologies has accounted for more than one-third of our economic
expansion since 1995, and the information technologies industry has
helped cut the overall inflation rate by an average of 0.7 percentage
points.
And I can tell you from experience that we are seeing those changes
firsthand at the Department of Commerce. For example, if taxpayers
visit the Department's web site, they can go to our electronic commerce
web page and download this report for free. Alternatively, taxpayers
can go to the Department's National Technical Information Service
(NTIS) web page and order the report with a list price of $27. If it
were my money, I know what I would do. This, in a nutshell, sums up the
problem facing NTIS.
For years, NTIS and the Department have struggled with how to
ensure public access to government information at a reasonable cost,
while keeping NTIS self-sufficient. Looking to the future, the
Department believes that the economics of the Internet will
dramatically affect NTIS' ability to remain solvent. The growth of the
Internet has rendered outmoded the business model NTIS uses to carry
out its core mission. The long-term strategic issue we were forced to
deal with is: Does it makes sense for NTIS to continue to perform its
core functions of collecting, organizing, storing, and disseminating
government scientific, technical, and engineering (STE) information as
the organization is currently constituted, or can those functions be
more effectively performed elsewhere in the government? Therefore, we
undertook a serious and comprehensive review of our potential options
to address this question.
We considered each option along three dimensions: first, what
impact would it have on the dissemination of science and technology
information to the American people; second, is it consistent with good
fiscal management; and third, what impact would it have on the
employees of NTIS?
After careful consideration, we decided the most appropriate course
of action would be to propose closing NTIS at the end of fiscal year
2000, transfer its collection to the Library of Congress, offer a buy-
out to NTIS employees eligible for retirement and early retirement, and
take steps to help move remaining NTIS employees into other positions.
To ensure that the public continues to have the best possible
access to government information at the lowest possible cost, we want
to take steps to ensure that Government agencies provide technical and
business reports to the public via the Internet.
Let me briefly explain to the Committee why NTIS' business model is
no longer viable in today's environment. NTIS was created in 1950 to
operate as a clearinghouse within the U.S. Government for the
collection and dissemination of technical, scientific, and engineering
information of all kinds. However, the rapid growth of the Internet has
fundamentally changed the way NTIS' customers acquire and use
information.
As the Department's Inspector General (IG) noted in March 1999,
``Federal agencies are increasingly bypassing NTIS as a distribution
channel, instead offering their publications directly to the public
over the Internet.'' It is not surprising then that--largely because of
these changes in the marketplace--the number of titles received from
government agencies declined 34% over this period, and more
significantly, sales of publications from the traditional NTIS
clearinghouse declined from almost 2.3 million units in Fiscal Year
1993 to 1.3 million units in Fiscal Year 1998. As a result over the
past several years, NTIS' clearinghouse lost millions of dollars.
It is important to note that, to offset losses, NTIS has
significantly changed its business mix. Over half of its revenues are
now derived from services provided to other government agencies, up
from one-third only five years ago. NTIS has also ventured into other
business products; one example is producing and selling a CD-ROM of IRS
tax forms. Revenues from NTIS' other business lines in FY 1999 have
offset Clearinghouse losses and has allowed the organization to show a
profit. But, as the Department's IG stated earlier this year, "We are
also concerned that in order to replace lost sales, NTIS is seeking
business opportunities on the perimeter of its statutory mission, where
it risks competing against private businesses." Others, including
Members of Congress, have raised similar concerns.
To address NTIS' financial situation in the short term and to
offset declining revenues from the Clearinghouse, the Department has
asked Congress to provide a $2 million appropriation in FY 2000.
However, neither the House nor the Senate appropriations bills provide
this funding.
I believe that the Department's draft bill--``The Access to
Government Scientific, Technical, and Engineering Information Act of
1999''--is a fiscally responsible long-term approach that will provide
the American public with continued access to government STE information
and will minimize the impact on NTIS' employees.
We propose the following two actions in the draft legislation:
first, we transfer NTIS' collection to the Library of Congress. If
approved by Congress, NTIS' paper, microfiche, and digital collection,
and its bibliographic database--nearly three million titles in all--
would be transferred to the Library of Congress in order to maintain
them and ensure they remain available to the public. The Department is
currently working with the Library, the National Archives, and the
Government Printing Office and other interested parties--so that the
public will continue to have the best possible access to government
information. Of course, the Department will comply with all of its
responsibilities under the Federal Records Act and other relevant
statutes.
In addition, copies of current and future Government STE
information would be electronically transmitted to the Library of
Congress, where they would be electronically stored. The draft bill
provides for the Chief Information Officer (CIO) of each Executive
agency that produces scientific, technical, and engineering information
to report annually to Congress on that CIO's respective agency's
compliance with the relevant provisions on an annual basis. We believe
that this policy mechanism will help ensure that agencies provide new
documents to the Library.
Second, so that the American taxpayer has the best possible access
to Federal government information, the Department is working to ensure
that Government agencies post their technical and business reports on
the Internet for at least three years--consistent with the Paperwork
Reduction Act.
The American people will be able to use search engines of
Government Web sites that already exist to find the documents they
want. And more powerful search engines--electronic clearinghouses--
continue to be developed within the Government so that the American
people can more easily find the reports they want.
Finally, as I noted, Secretary Daley and I are determined to
minimize any adverse impact on NTIS' employees resulting from
implementation of our proposal. I want to emphasize that if Congress
approves the Department's proposal, we will take every available action
to help NTIS' employees move into other jobs within the Government.
The Secretary sent a memorandum to every bureau head within the
Department instructing them to work with our Human Resources office to
place employees in jobs consistent with their abilities, and when
necessary, restructure open positions in order to place as many of the
NTIS staff as possible. The Department also intends to offer buy-outs
for those NTIS employees who are eligible to retire as well as those
eligible for early retirement. Our record at moving employees has been
strong: as part of our effort to keep NTIS from becoming deficient in
FY 1999, we successfully moved 46 NTIS employees to other bureaus
within the Department in just two months.
In the event that Congress approves closing NTIS and we cannot
place every employee in another job within the Department, the
Secretary has asked Office of Personnel Management (OPM) Director
Janice Lachance for her assistance in placing and retraining NTIS
employees for other jobs within the Government. She has assured the
Secretary that OPM will do what it can, and indeed, we have already
worked with OPM staff to draft provisions of the bill to help make the
transition for our NTIS employees easier.
Thank you again for this opportunity to represent the Department's
position. I would be pleased to respond to any questions.
Senator Frist. Thank you, Mr. Secretary. Your entire
written statement will be made part of the record.
You mentioned the process used by the Department in
reaching its decision. Could you elaborate on the stakeholders
who were consulted during the process?
Mr. Mallett. During the process of reaching the decision,
it was very much an internal working group, working with the
financial and fiscal history of NTIS. I personally met with
NTIS's advisory board to talk about the problem. But we did not
at that time have on the table that we would be closing NTIS.
It was a pretty drab picture we were painting of NTIS's
financial position, but that conversation reflected that NTIS
was having a clear financial problem.
I will have to say mea culpa to the charge that we did not
meet with a great many outside stakeholders prior to announcing
our intentions. However, what we decided to do, that we would
not submit any legislation to Congress until we have that
opportunity. So the legislation that we have developed has been
modified as a result of our consultation with the stakeholders.
We have had that opportunity now. We have talked to a number of
users of the service at NTIS. We have ongoing conversations
internally about this. And our legislation is in draft form
because we continue to have that dialog.
The Library of Congress has since submitted a number of
questions to us regarding the transfer of NTIS. And we have
forwarded our answers to those questions to the Library of
Congress. And I think we did that 2 days ago, if I am not
mistaken. Because I wanted the opportunity to read them before
they left the Department, and I had that opportunity 2 days
ago.
Senator Frist. The participation of the stakeholders
obviously is an important aspect of this whole process and we
appreciate your statement in that regard. Looking through the
written statement in today's hearing from the Employees Union,
it mentions that the employees are not permitted to be direct
participants in the review and analysis process. So I would ask
that you comment on this disparity, recognizing that the
Department of Commerce's report on NTIS stated that the
Department is sensitive to the needs and the concerns of the
NTIS work force.
Mr. Mallett. Senator, it would not be a true statement to
say that we did not consult with employees of NTIS. We
certainly did consult with the management at NTIS, there is no
question about that, over a long period of time. In fact, the
senior management at NTIS has been--we had a retirement and
somebody was brought in. We brought in a new financial officer.
We have had a lot of conversations with people at NTIS.
It would be, I think, a fair criticism to say that the
Department was not deeply involved in consultations with the
union about this. We did have meetings with the union. We did
do some notifications about sort of the direction we were
moving when we thought we were going to defer those. We did
have conversations. But I think this is a criticism I am
willing to take--that it would have been better for the
Department to have a full-blown consultative process.
I do not think the positions would be different today had
we done so, but I think it is a fair comment to say that more
consultation is better than less. We now have that opportunity.
We had that opportunity in the House, where we learned a number
of things from the people with whom I shared the panel, from
the Government Printing Office and a member of the advisory
board for NTIS. I think, in our meetings, where we invited
stakeholders from NTIS to comment to the Department, they met
in my conference room, if I am not mistaken, and we had a
pretty thorough session about that.
I think some of our senior management from the Secretary's
office went to NTIS yesterday to sort of meet with the
employees. All of this I think is productive and helpful in the
posture we are in now. Because we can have a legitimate
conversation about the proposal that is on the table. I think
that is where we are now, and we are trying to sort of make up
for misdeeds of the past.
Senator Frist. The Government Printing Office has indicated
their interest in receiving these functions. Would this
transfer to GPO generate any concerns for the Department of
Commerce?
Mr. Mallett. Well, not particularly. I will note that GPO's
position, which I was heartened when I read the testimony last
night, is an evolved position. When we were at the House, I do
not think they were quite as strong about it, and now they have
made a statement. We strongly considered GPO. And our concern
all along is that the collection remain intact. And the reason
we did not choose GPO was that they did not have a centralized
collection of scientific documents, unlike the Library of
Congress, which has over 4 million scientific titles now,
volumes. And our concern was that the collection remain intact.
I certainly think that GPO is an appropriate place for this
to go, as well. That certainly depends on the wisdom of the
Congress and, I think, further discussions with the
stakeholders. But we staked out a position with the Library of
Congress because, one, it has a history of making lots of
documents available to the public. It has a 4-million-volume
scientific collection now. And we believe that its public good
functions could be carried out there.
It is not to say, and we did not mean to imply or suggest
in any way, that GPO was not competent to perform similar
functions.
Senator Frist. Could you update the committee on the
financial position of the NTIS through the end of fiscal year
1999?
Mr. Mallett. Well, at the end of fiscal year 1999, NTIS had
a surplus of $650,000. And we were all very heartened to hear
that. We were quite ecstatic about it. Because, during the
course of the year, when we were nursing NTIS along and trying
to figure out the actions we needed to take to keep it from
being anti-deficient, at one time it even was projecting a
$600,000 deficiency. But, by the grace of God and a lot of, I
think, internal management changes and cuts, program cuts, NTIS
ended up with a $650,000 surplus.
Its archival functions, however, its clearinghouse
function, did remain in the red. But, overall, the rosy picture
at the end of the year is one that we welcome. We were really
pleased to hear it. When they brought me the news, to say that
NTIS had a $650,000 surplus, all I could was, hallelujah,
praise the Lord. Because it was touch and go there much of the
time.
Senator Frist. So it would have no impact on your
recommendation, your proposal to close the agency?
Mr. Mallett. I think it is a factor to consider, but I do
not think it would be dispositive, Senator. Looking back over
the history of NTIS over the last few years, every year in the
clearinghouse function there has been a deficit. As we look at
the technology trend, as I think we as responsible stewards, we
would have to do, the market is a little different than what it
was when NTIS's mission was first derived.
I think there is a better way to do it than the current
business model. And we believe we propose that in the
legislation. We certain welcome and are open to suggestions
from others. But I think the marketplace has changed so
dramatically that we simply have to recognize that this problem
is not going to get better. It may worsen. So it would not
change our view that we are proceeding along the right track.
Senator Frist. You mentioned in your statement that NTIS is
seeking business opportunities on the perimeter of its
statutory mission, where it risks competing with private
business. Could you elaborate on these activities that may be
on the perimeter, or outside of the NTIS mission?
Mr. Mallett. There are a number of functions that NTIS
performs, its production functions, its brokerage function
services that they perform that either the private sector could
perform or other entities could perform within the government
even. One of its, I think, lucrative governmental contracts is
with the IRS, in providing forms to taxpayers. That is a wholly
legitimate function that is a service to the taxpayers. But
there is no uniqueness in NTIS being a provider of the service.
In fact, we are aware of some private sector entities--I do
not know the name of them, and we will be glad to provide that
for the record--that have suggested that they could perform a
number of these functions. The very unfortunate thing is when
you propose an agency closing, you are sort of put in the
position of being against these employees and not wanting to
see the government perform its legitimate functions.
That is not where we are. That is not our point of view. We
recognize fully the legitimacy of the function, part of the
function, that NTIS serves. It is a necessary and essential
government function. It can be performed elsewhere, some of the
other, more private sector-like functions, performed by NTIS.
Its Federal function could be performed by another government
agency, for example.
So I would be glad to provide a more detailed statement for
the record for you, Senator, outlining some of those private
functions, and the amount of revenue that they have generated
to help NTIS remain solvent. And we will be glad to do that.
Senator Frist. That would be helpful.
[Note: The above material was not available at the time
this hearing was sent to press.]
Senator Frist. As you know, the $2 million budget request
for NTIS was not included in the Commerce, Justice, State
appropriations bill that passed the Senate last night. What is
the impact to NTIS of not receiving the $2 million budget
request?
Mr. Mallett. Obviously this is going to make this year a
much tougher year. But I am optimistic, Senator, that the
budget process is not quite over yet. We have, I think, a few
more discussions to have. And we are hopeful that we would be
able to come to some understanding with the Congress, the
Administration hopes it will be able to come to some
understanding with the Congress, about how to handle this
problem with NTIS.
Because what we see, if we are unable to begin the closure
of NTIS and transferring its collection, what we see is another
year of touch and go finances for the agency. We are hoping
that this will become an issue that the Administration and
Congress can come to agreement about before the budget process
is over.
Senator Frist. Also in your testimony you refer to the
Department's Inspector General report, indicating that the
number of titles received has fallen by 34 percent. Was this
observed decline due to a reduction in the number of government
reports produced, or neglect on the agency's part to report
these documents to NTIS? And if it is the latter, what is the
Administration doing to make sure that the agencies are
providing documents to NTIS as required?
Mr. Mallett. Our experience has been it is the latter. That
agencies have simply stopped forwarding, at the appropriate
volume, their reports to NTIS. As a result of that, NTIS has
had to participate in a Web harvesting exercise, assigning
employees to sort of go comb through Web sites of other
agencies to find those scientific, technical and engineering
documents. That is an unfortunate practice.
The mandate, the statutory mandate, is that each agency is
to provide those documents to NTIS. It worked reasonably well
in the beginning as I understand it. But as we have grown as a
government and our scientific, technical and engineering
expertise has grown and we produce more information, agencies
have stopped forwarding that information to NTIS, and they have
begun to use their own agency technology.
They simply post it on their Web site, believing that they
are meeting the obligation because they are having it
accessible to the public. That is a reasonable point of view,
but it does not give us the opportunity to make certain that we
have it in our permanent collection. And that is why NTIS has
had to do very serious Web harvesting.
Our legislation takes a different tact. And this is part of
our consultation with the stakeholders of NTIS. And they may
want to propose something even more stringent than what we
have. But what we have done is we have asked, because of the
Klinger-Cohen Act, requiring that each agency have a chief
information officer, that one of the responsibilities of the
chief information officer is to report to the Congress on that
agency's practice of complying with its responsibility to
provide those documents to a central place so that we can have
them in perpetuity.
Senator Frist. Mr. Secretary, the National Commission on
Libraries and Information Science sent me a letter about a
month ago, in late September, arguing that the Administration
and Congress lack an overall policy to guide electronic
publishing. Did you consider the underlying principles of
electronic dissemination in your decisionmaking process to
close NTIS?
Mr. Mallett. I had a chance to read the testimony of that
organization last night. And I actually, to be quite blunt
about it, I thought they had a very good point. And I think it
is necessary for the government to come forward with some
standards about this. And we are hoping that if we are able to
move in the direction we propose that we get some report
language or something, instructing the Administration, in
consultation with the Librarian of Congress and any other
interested parties, to develop standards for electronic
formats, so that we could provide materials to the Congress.
It is a problem. And I think that it is a very well-taken
suggestion by the Commission on Libraries and Information
Science's that the government has not done well and that we
need to come up with better standards to ensure that this
information is in readable format, accessible and easy to
retrieve, and understandable by users. So I think that is a
very helpful suggestion.
Senator Frist. In the Department's proposal, it was
mentioned that the evaluation would be based upon three
objectives. First, the need for responsible fiscal management.
Second, the need to provide continual public access. Third, the
need to minimize the impact on NTIS employees. The evaluation
section of the report did make a comparison of the various
options for fiscal management. Can you compare the options
against the other two objectives?
Mr. Mallett. Yes. We considered three options when we were
trying to decide what to do about this hemorrhage, fiscal
hemorrhage, at NTIS. One, we could maintain the NTIS at the
Department of Commerce and request annual appropriations every
year, to digitize--at least request appropriations to digitize
the last 10 years of the collection, and then an annual
appropriation to fund the clearinghouse public good function of
NTIS, and older documents could be transferred to another
organization. When we looked at that cost over a period of
about 5 years, from 2001 to 2004, we concluded that the
cumulative cost would be about $29 million.
The second option we looked at was that we would maintain
current operations at NTIS while seeking an annual
appropriation to supplement the declining revenues, while we
would continue to do cuts at NTIS. The cumulative costs under
that proposal we figured would be about $31 million.
And then we looked at the option of trying to get a one-
time appropriation to close NTIS, transfer its public good
functions elsewhere, try to offer buyouts to employees eligible
to retire, those who can take early retirement. And our
projection of that cost would be about $24 million. And those
were the variance in cost estimates.
Senator Frist. We are spending about $70 billion per year
on research and development. And the Department's mission to
encourage technology transfer between the Federal laboratories
and the private sector is an important one. Do you believe that
the plays an important role in meeting the Department's
objectives for technology transfer? If so, how do you plan on
replacing that?
Mr. Mallett. Well, obviously, the Department of Commerce is
one of the elite scientific agencies of the government. We have
the National Institute of Standards and Technology as part of
the Department of Commerce, the National Telecommunications and
Information Administration, the National Oceanic and
Atmospheric Administration, the Patent and Trademark Office. We
have a number of elite scientific agencies which produce lots
of technical engineering information.
Regrettably, the Department itself, when it produces
reports, and some of these other entities, we have not done a
very good job of providing that information to NTIS, a sister
agency of other agencies within the Department. What we believe
at root is that NTIS, in its current form, is not the only way
to get the job done of preserving scientific and technical
information.
And right now, given its business model, it is not even the
best way to do it. And that is why we are here today. No
particular problems with the dedication of the employees and
their hard work. It is a changing marketplace. And we are
trying to recognize that. And I think we are a little late in
doing so, to be quite frank about it.
Senator Frist. So there is currently no role that NTIS
plays in that overall technical transfer that needs to be
played by some other agency?
Mr. Mallett. None of which I am aware that cannot be
satisfied under the proposal that we have submitted.
Senator Frist. Your cost estimate, looking here for NTIS
closure, does not include the cost that that would be incurred
by other Federal agencies to maintain or create, if
nonexistent, an infrastructure that can make available and
store all the published technical information electronically.
Can you comment on that cost or give the Subcommittee some sort
of feel for what that cost might be and to what degree those
infrastructures are already in existence?
Mr. Mallett. You know, I have been perplexed by that
question. In preparing for this hearing, I was trying to fully
understand how there would be additional costs imposed on other
agencies. One of the problems we already have seen is that
other agencies are posting their reports on their own Web
sites. They already do it. They are doing it today. And we want
to encourage that. We want to encourage them to make reports
available to the public.
So there is no particular cost in sort of making that
document available to the Library of Congress or the Government
Printing Office or whatever agency has the responsibility for
maintaining these documents. And there is a very full
infrastructure in place at most Federal agencies with the use
of the Internet. Most of them have Web pages. It is already
being done. And in fact, NTIS has spent a considerable amount
of money doing Web harvesting of these sites.
So maybe it is something I do not understand, and I would
grant that I may not fully understand. But what we know is, one
of the reasons we have had a decline in documents coming to
NTIS is because the agencies have been bypassing NTIS, going
straight to the public. So the mechanism for providing this
information already in place, the infrastructure is already in
place. What we simply want to do is begin to make someone
accountable inside the agency to make that information
available to the permanent depository.
Senator Frist. Finally, and then we will move on to the
next panel, do you see legislative changes that we have got to
make to the Act of the Library of Congress to enable it to take
on the additional function as suggested by your plan of closure
of NTIS?
Mr. Mallett. We believe that enactment of the legislation
we have proposed, with any modifications the Congress deemed
appropriate, would be as much legislative authority as is
required. Now, having said that, I have not consulted with the
lawyers about that. I am not an expert on that. And I would be
glad to ask our general counsel to examine whether or not any
other legislation would be necessary besides this draft
legislation.
Senator Frist. That would be helpful for the Subcommittee.
That completes my questions. We will keep the record open
for submission of questions by my colleagues. And we
appreciate, Mr. Secretary, your coming by and making your very
honest presentation and discussion and helping us to understand
why this is necessary.
Mr. Mallett. Thank you, Mr. Chairman. And thank you for
your interest.
Senator Frist. Thank you.
At this juncture I will ask the third panel to come
forward. Congressman Davis will be here shortly. What I would
like to do is have the Hon. Michael F. DiMario, Public Printer,
Government Printing Office; the Hon. Joan Challinor,
Commissioner, United States National Commission on Libraries
and Information Science; and Mr. Bill Clark, Executive
Committee Member, National Federation of Federal Employees, all
come forward.
We will have each of you, in that order, present your
testimony. I do ask your forbearance when Mr. Davis comes. We
will turn to him, since they are in a series of votes, at that
juncture. I do want whoever is presenting when he arrives in to
go ahead and complete your presentation.
Again, welcome to all three of you. I appreciate your
preparation, your testimony, and I thank you in advance for
helping us understand this proposal and the appropriate
response by the U.S. Congress to the proposal that we have just
heard.
Mr. DiMario.
STATEMENT OF MICHAEL F. DIMARIO, PUBLIC PRINTER,
U.S. GOVERNMENT PRINTING OFFICE
Mr. DiMario. Thank you. Mr. Chairman and members of the
Subcommittee, thank you for inviting me to participate in this
review of the Department of Commerce's plan to terminate the
National Technical Information Service, or NTIS. In the
interest of time, I will briefly summarize my prepared remarks,
which have been submitted for the record.
As Public Printer, I am chief executive officer of the
Government Printing Office. As my statement details, the GPO
has a long-established responsibility for disseminating Federal
Government information via sales, depository library
distribution, and other programs. Since 1994, we have been
electronically disseminating information from all three
branches of the Federal Government over the Internet, through
our GPO Access service. The public currently uses the service
to download more than 20 million documents per month.
Because of our role in high-volume government information
dissemination to the public, I am here today to ask that
Congress consider the transfer of the NTIS collection and
associated functions to GPO if NTIS is truly going to be closed
down.
In my view, such a transfer would consolidate the
government's primary information dissemination programs under a
single agency, simplifying public access; provide for public
access for the first time to the NTIS collection for STI
through Federal depository libraries located in virtually every
congressional district nationwide, thereby eliminating a major
source of fugitive documents; end duplication and waste in the
operation of dual government publication sales programs and
potentially bring economies of scale to bear on the sale of
Federal STI that may lower NTIS's document prices; revert the
NTIS' performance of printing and publishing services for other
Federal agencies to GPO where they statutorily belong; and
otherwise ensure the continued availability of Federal STI to
the public.
GPO has a strong interest in making the NTIS collection
available to depository libraries. Most of the Federal
Government publications in the collection have never been made
available to depository libraries by their issuing agencies. As
such, the NTIS collection currently constitutes the single
largest known aggregation of fugitive documents. These
documents should be available to the public through the
depository library program, but are not.
We think the NTIS collection should be made available to
depository libraries not only as a matter of law, but as a
matter of good public policy. Inclusion of the NTIS collection
in our depository library program would simplify and unify
public access to government information through a single
source.
We have had the opportunity to review a draft Commerce
Department bill that would transfer the NTIS collection to the
Library of Congress. In our view, the draft legislation has
several drawbacks, including provisions that would seriously
handicap the operation of the FDLP regardless of the final
disposition of NTIS. Our comments are detailed in the
attachment to my prepared statement.
I would also point out that the Library of Congress is a
Federal depository library and would receive any documents from
the NTIS collection that it requires if the collection were
transferred to GPO. We have an excellent working relationship
with the Library, and we would certainly make any arrangements
that are necessary to provide them with everything they need.
Mr. Chairman, the similarities in function between GPO and
NTIS, the prospect of providing free public access through
depository libraries to the vast body of NTIS literature for
the first time, the opportunity to consolidate and simplify
public access to government information, and the potential for
valuable synergies of technologies and staff expertise that
could benefit public access to government information--all of
these are reasons, in my view, for you to consider the
potential realignment of NTIS functions with GPO.
Mr. Chairman and members of the Subcommittee, I thank you
again for inviting me to participate in this hearing, and I
would be pleased to answer any questions that you might have.
[The prepared statement of Mr. DiMario follows:]
Prepared Statement of Michael F. DiMario, Public Printer, U.S.
Government Printing Office
Mr. Chairman and Members of the Subcommittee, thank you for
inviting me to participate in this review of the Department of
Commerce's plan to terminate the National Technical Information Service
(NTIS). Because of the similarities in information dissemination
functions between GPO and NTIS, I am here today to ask that Congress
consider the transfer of NTIS's collection of scientific and technical
information (STI) and associated functions to GPO. In my view, such a
transfer would:
consolidate the Government's primary information
dissemination programs under a single agency, simplifying
public access;
provide for free public access for the first time to
the NTIS collection of STI through Federal depository libraries
located in virtually every congressional district nationwide;
end duplication and waste in the operation of dual
Government publication sales programs which have frequently
sold the same items, often at different prices, and potentially
bring economies of scale to bear on the sale of Federal STI
that may lower NTIS's high document prices;
revert the NTIS's performance of printing and
publishing services for other Federal agencies to GPO where
they statutorily belong; and
otherwise ensure the continued availability of Federal
STI to the public.
government printing office
Mission. As Public Printer, I am chief executive officer of the
GPO. GPO's operations are authorized by Title 44 of the U.S. Code. Our
mission for more than a century has been to print, bind, and distribute
the publications of the Congress and Federal departments and agencies.
We have performed that mission using electronic printing and
information technologies for nearly a generation. In 1993, our mission
was amended by Congress to include statutory responsibility to provide
online access to the Congressional Record, the Federal Register, and
other Government publications. Today, our online service, GPO Access
(at www. aceess.gpo.gov/su-docs) is one of the largest and most heavily
used Federal web sites, with more than 20 million documents retrieved
by the public every month.
Staffing. GPO currently has a workforce of approximately 3,300
skilled individuals in printing, procurement, electronic information
technologies, documents dissemination, administrative, and related
specialties. Most of our workforce is located in Washington, DC. We
also have 20 procurement offices and 24 GPO bookstores nationwide.
Finances. Unlike most Federal agencies, GPO operates on a
businesslike revolving fund. We are reimbursed by our customers for the
cost of work performed. In FY 1998, GPO's revenues totaled $723
million, yielding net income of $1.4 million.
Only 15 percent of our annual revenues are derived from
appropriated funds. These appropriations are provided through the
Legislative Branch Appropriations Act, and include the Congressional
Printing and Binding Appropriation, which covers the cost of work for
Congress ($74.5 million in FY 1999), and the Salaries and Expenses
Appropriation of the Superintendent of Documents ($29.3 million), which
primarily pays for the cost of disseminating Government information to
Federal depository libraries.
For FY 1998 (as in previous years) we received an ``unqualified''--
or clean--opinion on our finances in an audit by KPMG Peat Marwick,
working under contract with the General Accounting Office.
gpo's information dissemination programs
GPO operates the Federal Government's largest and longest-running
information dissemination programs under the authority of the
Superintendent of Documents--an official appointed by the Public
Printer.
Sales Program. The larger of our dissemination programs is our
documents sales program, which is authorized by chapter 17 of Title 44.
The program offers about 12,000 titles for sale. Major bestsellers
include IRS tax publications, health publications, publications about
the Government such as the U.S. Government Manual, and a wide variety
of other information produced by Congress and Federal agencies. With
few exceptions, the titles are obtained by the program from the work
that GPO produces or procures, and include publications in both print
and electronic (CD-ROM) formats. Publication prices are established
according to a statutory formula. Publications can be ordered via
phone, fax, the Internet, or through our bookstores.
The sales program operates entirely from sales revenues and does
not receive any appropriated funds. In FY 1998, the program sold
approximately 19.1 million copies, generating revenues of $60.1
million.
Depository Library Program. Another major dissemination program is
the Federal depository library program (FDLP), which is authorized by
chapter 19 of Title 44. With origins that date to 1813, the FDLP in
reality is America's first "freedom of information" program.
The FDLP distributes Government publications to Federal
depositories in approximately 1,350 public, academic, law, and Federal
agency libraries nationwide. There is a depository library in nearly
every congressional district. The libraries are designated as
depositories by Senators and Representatives as well as by law. GPO
makes available to the libraries copies of all Government publications
that are not purely of an administrative nature, cooperatively
sponsored, or classified for reasons of national security.
Publications sent to the libraries are funded by the Salaries and
Expenses Appropriation of the Superintendent of Documents if they are
produced by or through GPO (agencies must pay the cost of producing the
publications if they are produced elsewhere than GPO, and GPO pays for
the distribution costs).
In return for receiving the publications, the libraries make them
available to the public without charge and provide necessary services,
including storing the publications, assisting the public in locating
information, and related services. Some estimates put the library
community's share of the program at approximately $10.00 for every
$1.00 spent by the Salaries and Expenses Appropriation. Depository
collections are used by tens of thousands of students, researchers,
businesspersons, academicians, and others every week. The majority of
the depository libraries are selective depositories, which tailor their
Government publications accessions to local needs, choosing from among
7,000 organizational and series categories. Fifty-three libraries, or
roughly one per state (depending on size and resources, some States
have no regional libraries while others have more than one), are
regional depository libraries and receive every publication distributed
by the program. They are required to retain the publications
indefinitely, providing permanent public access to these resources.
Regional libraries also provide inter-library loan and related services
to other depository libraries in their regions.
In FY 1998, GPO distributed 14.4 million copies of more than 40,000
titles to depository libraries. Since 1994, when GPO Access began
operations, the FDLP has been moving to an increasingly electronic
basis. We estimate that approximately 47 percent of all titles that are
currently available to the libraries are in electronic format.
Other Dissemination Programs. Under other provisions of Title 44,
we catalog and index Government publications, an important ancillary
function that helps the public locate information products and
services; provide reimbursable distribution services for Federal
agencies; distribute publications to recipients designated by law; and
distribute U.S. Government publications to foreign governments which
agree to send copies of their official publications to the Library of
Congress.
gpo access
Our long-standing information dissemination programs are
supplemented by GPO Access, which is authorized by chapter 41 of Title
44, enacted by Congress as P.L. 103-40. GPO Access is one of the few
Government web sites established by law and one of the longest running.
It is virtually the only Government web site that provides easy, one-
stop access to information from all three branches of the Federal
Government.
GPO Access is available without charge to all users. Originally, we
were authorized by P.L. 103-40 to provide free online access only to
depository libraries and to charge reasonable fees to all other users.
However, the expense of administering an online subscription system,
the advent of the World Wide Web, and strong public expectations for
free online access to tax-payer funded Government information led us to
abandon efforts to collect fees. Today, GPO Access is funded
principally through the Salaries and Expenses Appropriation of the
Superintendent of Documents (the cost of this service is a fraction of
what was originally projected in the committee report on P.L. 103-40,
due to technology changes and improvements since its inception.)
GPO Access makes more than 100,000 individual titles available
electronically from its own servers, and provides links to an
additional 60,000 titles on other Federal web sites. Since the system
began operation in 1994, the public has retrieved more than 400 million
documents from GPO Access. Monthly document retrievals today average
more than 20 million.
ntis
We have reviewed a copy of the Department of Commerce's draft
legislation, dated September 30, 1999, which would eliminate the NTIS
and transfer its collection to the Library of Congress. In our view,
the draft has several drawbacks, including provisions that would
seriously handicap the operation of the FDLP regardless of the final
disposition of NTIS. I have attached our comments on this draft
legislation to my statement. The following are my general views on
NTIS, which are similar to those I presented to the House Technology
Subcommittee on September 14, 1999.
Continued Viability of NTIS Collection. I think the NTIS collection
has significant value to the public. (I refer to the assemblage of
titles as a ``collection'' and not an ``archive'' because, like a
library collection, it has ongoing use.) Input we have seen from the
library community and the Federal scientific and technical agencies
takes the same position. The NTIS collection represents a single point
of public sales access to this information.
While increasingly the collection includes documents in electronic
format, its paper-format documents are still used. There still appears
to be a number of sales of older titles. For persons without access to
computers, or for those for whom downloading a lengthy technical report
is burdensome, on-demand reproduction of these materials appears to
provide a cost-effective method of dissemination.
Is there a future for this central collection given the increase in
web postings of STI? I would say there is. The increase in web postings
is a situation that everyone in the Government information community--
disseminators and users alike--is facing. We are confronting it in the
FDLP. An increasing amount of the information made available to
depository libraries is in electronic format.
We have been discussing measures with the library community about
how best--in this electronic era--to ensure that depository libraries
are provided with access to all of the information that should be in
the FDLP, whatever the format. Regardless of whether this discussion
results in a requirement that agencies must notify GPO whenever a
document that is eligible for inclusion in the FDLP is published on the
web, or increased investment in an information-harvesting capability
for the FDLP, it is clear that new approaches need to be devised for
maintaining accessions for any collection in a web environment.
Currently, both GPO and NTIS are proactively harvesting the web,
seeking electronic publications on agency web sites that would be
appropriate to their collections.
There are other reasons that a central collection of STI continues
to be viable and necessary in a web-based environment. We are finding--
and the library and user communities are finding--that with the
increase in web postings there is a growing need to provide assistance
to Government information users to locate what they want. The
burgeoning use of the Internet increases the need for locator and
pathway services, and for the management of Internet-based documents as
a collection.
We have adopted an electronic collection plan for the management of
information products in the FDLP. The public needs the same kind of
management and services for the STI collection that currently resides
at NTIS. The public should not have to experience confusion and
frustration in finding Government information on the web. Since 1813,
the Government has utilized libraries to provide the public with
assistance in finding Government information. The same concept of
assistance should be applied to web-based documents. That assistance is
most cost-effectively provided through a centrally-managed collection
of information.
In addition, the public needs the assurance that STI made available
over the web will continue to be made available on a permanent basis.
In the web environment, documents are put up and taken down by Federal
agencies virtually at random. Without a policy of permanent access,
there is no assurance that a document seen on the web by the public
today will be available next week. A centralized collection, perhaps
utilizing partnership agreements with other institutions (as the FDLP
does with other libraries), provides a practical and efficient
mechanism for ensuring ongoing availability.
The presence of the web does not argue against the continued
utility of a central collection of STI. Instead, it means there is a
growing need for centrally-managed services to collect, organize,
provide search assistance, and make this collection available on a
permanent basis to the public.
Provision of Access to Depository Libraries. GPO has a strong
interest in making the NTIS collection available to depository
libraries.
Most of the Federal Government publications in the NTIS collection
have never been made available to depository libraries by their issuing
agencies. NTIS considers the documents in their program to be
``cooperative publications,'' which must be sold to be self-sustaining.
They therefore do not assume FDLP responsibility since ``cooperative
publications'' are exempt from depository distribution under current
law. With respect to NTIS, this exemption has been upheld by the
General Accounting Office.
The NTIS collection currently constitutes the single largest known
aggregation of ``fugitive documents,'' so called by the library
community because they represent information that should be available
to the public through the FDLP but is not.
NTIS has taken the position that it cannot distribute the
publications to depositories because that would negatively impact on
sales. We do not subscribe to that view. All of the titles we make
available to the public through our sales program are also provided to
the FDLP. We think the NTIS collection should be made available to
depository libraries as a matter of good public policy. In fact, access
to the bibliographic database describing the publications in the NTIS
collection, as well as the ability to examine the STI publications in
an FDLP library, should stimulate rather than limit sales of NTIS
documents. Over the years, we have tried to negotiate FDLP access to
the NTIS collection. Recently, we began a pilot project with NTIS to
provide FDLP access to electronic image files of NTIS publications. The
project is currently limited to 20 depository libraries, and as of mid-
August there were about 42,400 titles in the program. However, we have
been forced to accept, as a condition of the pilot, that there will be
no reuse or redissemination of the image files outside the libraries
that access them, presumably to protect sales of these documents. There
are no limitations on reuse or redissemination of any public domain
information included in the FDLP. We would like to see expansion of
this project to all depository libraries and the inclusion of all
public domain information in the NTIS collection in the FDLP without
restrictions on reuse or redissemination.
Inclusion of the NTIS collection in the FDLP would also be a major
step in simplifying and unifying public access to Government
information through a single source. There is already substantial
confusion among the public about where to find Government information,
about differences in policies on for-free and for-fee access, and other
issues. Aiding the public in finding Government information should be a
major objective to be achieved in any plan for the future of NTIS and
its activities.
I want to make it clear, however, that there would be an
appropriations impact associated with making the NTIS collection
available to depository libraries. As noted above, the FDLP is funded
by the annual Salaries and Expenses Appropriation of the Superintendent
of Documents. An increase in the amount of information products made
available through the FDLP would increase the appropriation
requirement, although in the absence of specific data it is not
currently possible to project by how much. In the current year, the
appropriation is for $29.3 million. About $25 million of this is for
the FDLP ($3.2 million is for cataloging and indexing, while the
remainder is for statutory and international exchange distribution).
The amount of increase in the appropriation would depend on how the
NTIS collection is made available to the libraries. Depending on the
final plan approved for the disposition of NTIS, there may also be an
impact on our statutory limitation on full-time equivalent (FTE)
employment. GPO operates under this limitation which is established
annually in our appropriations legislation.
Sales of Government Information. On a philosophical basis, I think
it is reasonable to provide for the Government sale of information
products to those who want them and are willing to pay for them, as
long as the Government ensures there is equitable, no-fee public access
to the information through a mechanism such as the FDLP. Also, the
price of the information products should be based only on the marginal
cost of reproduction and distribution. This is the basis on which GPO's
sales program operates. Objections to NTIS's sales have been raised
because there is no other opportunity for access to the collection, and
because there is a perception that its prices are too high. Making the
NTIS collection available to the public through the FDLP would remove
the first of these objections.
There is a potential opportunity for affecting the price of NTIS's
products by consolidation with GPO's sales program, although we don't
have sufficient data about NTIS's sales program to make a determination
at this time. However, consolidation would certainly simplify access to
Government information sales products by providing the public with a
unified sales interface. It would unify pricing structures for products
that both NTIS and GPO sell. It is conceivable that GPO's much larger
sales program could provide economies of scale in the sale of STI
products that might lower prices, but that would have to be verified by
looking at the data.
A program consolidation would also end the wasteful competition
between GPO's and NTIS's sales programs that has occurred in recent
years. In providing duplicative sales outlets to the relatively well-
defined market for Government information products, GPO and NTIS have
simply split revenues for products they both sell. In my view, the
competition has not expanded public access to sales products
appreciably, nor has it lowered sales prices. Instead, it has
jeopardized the continued viability of each program.
Like NTIS, GPO's sales program currently is sustaining operating
losses, in part due to the impact of electronics, and in part due to
the removal of several best-selling titles from the program by their
publishing agencies and their subsequent availability through NTIS.
Although we can cover temporary losses through retained earnings, it
seems to me that a major step in a long-term solution for the continued
health of Government publications sales programs would lie in
eliminating this duplication of effort.
Printing Operations. NTIS offers priming and reproduction services
to Federal agencies. The information we have seen suggests that the
value of these services may be as much as $1 million annually. I do not
have an objection to the provision of printing services by agencies for
their own quick turnaround internal administrative purposes. However,
Title 44 clearly provides for printing related to Government
publications (including forms) must be performed by or through GPO in
order to control costs and ensure the public availability of Government
information. More than 70 percent of all GPO printing is actually
performed through private sector contractors. I hope that any
realignment of NTIS activities will return their performance of
printing and reproduction services for other Federal agencies to GPO.
Other Comments. The similarities in function between GPO and NTIS,
the fact that both are experienced in operating on revolving funds, the
potential for valuable synergies of technologies and staff expertise
that could benefit public access to Government information--all of
these are reasons for a realignment of NTIS functions with GPO.
This is not the first time a potential consolidation has been
discussed. It was the subject of negotiations between GPO and the
Commerce Department in the early 1980's and an agreement was very
nearly concluded at that time. Several years later, when the Commerce
Department attempted to privatize the information dissemination
functions of NTIS but found no takers, GPO offered to give NTIS a home.
Certainly, more in-depth study of this matter is needed. However, I
am concerned that the time for such study may be limited. If, as the
Commerce Department plans, the projected closure date for NTIS is the
beginning of FY 2001, and if GPO is to take on any NTIS functions, we
would need to begin planning now. Our budget submission for FY 2001
will be due before the end of this calendar year. Also, the longer a
study lasts, and the longer the uncertainty remains about the
disposition of NTIS, the greater the negative impact is likely to be on
the talented personnel of NTIS, who are its greatest resource. In order
for NTIS to operate successfully wherever it is finally placed, they
will be absolutely essential.
Mr. Chairman and Members of the Subcommittee, I thank you again for
inviting me to participate in this hearing, and I would be pleased to
answer any questions you might have.
Senator Frist. Thank you, Mr. DiMario. I appreciate your
superb testimony. I want to turn now to Senator Robb, then we
will proceed back to the panel.
STATEMENT OF HON. CHARLES S. ROBB, U.S. SENATOR
FROM VIRGINIA
Senator Robb. Thank you, Mr. Chairman. I thank you for
holding this particular hearing. Testimony on my behalf has
already been submitted. I had a bill that I was testifying on
in front of the Judiciary Committee at this same time, and I
did not think I would be able to get over here. I will stand by
my written testimony. I am very pleased that you are holding
the hearing.
I regret, frankly, that we did not have a hearing before
the announcement was made that a very valuable institution and
about 260 fine employees would be placed in a position of great
uncertainty before we could have this full public hearing. So I
commend you and thank you for the hearing. I thank you for
giving us an opportunity to be heard on some of these issues.
And I will, as I say, stick to the written statement that I
have already submitted.
Again, I thank you. And I thank our witnesses.
[The prepared statement of Senator Robb follows:]
Prepared Statement of Hon. Charles S. Robb, U.S. Senator
from Virginia
I'm pleased to offer my statement before the Science, Technology
and Space Subcommittee today and thank Chairman Frist and the Committee
for allowing this discussion on such an important topic. The final
outcome of this subject is a critical one for the scientific, research,
librarian and other communities who value the services National
Technical Information Service (NTIS) provides and also for the over 260
dedicated employees that work for NTIS.
NTIS serves a crucial need as a federal clearinghouse to collect
and disseminate scientific, technical and engineering information, most
of which has been funded in whole or in part by the federal government.
But recently, questions about financial health of NTIS has resulted in
a hasty decision to close NTIS before all the facts have been
considered. This hearing gives us the opportunity to fully assesses
NTIS' mission and how well that mission has been fulfilled.
I believe the current plans for NTIS' closure are premature. As I
understand, the NTIS would close, shift its functions to the Library of
Congress and somehow ensure that all federal agencies publish their
technical and business reports on the Internet without fully examining
if the Library of Congress is the best place to transfer NTIS' archives
and databases and exactly how such a move would transpire.
While I appreciate the Secretary's efforts to inform me and others
of the closure, I remain concerned that the Department of Commerce
announced--rather than consulted with--the employees, about the urgent
need to close. The Department didn't even consult with the Library of
Congress, who would have the considerable responsibility to execute the
core mission functions of NTIS.
Only when it is shown that NTIS cannot fulfill its core mission is
it appropriate to discuss alternatives to replicate what NTIS has done.
And those plans should be undertaken in a methodical and thoughtful
way. As it stands now, the announcement of NTIS' closure could harm
those individuals and organizations who depend on NTIS' services and
products, and most certainly has caused anxiety among the fine
employees working at NTIS.
Finally, I appreciate the opportunity to make my statement on this
matter and I'm heartened that there will now be an opportunity to
better examine the Department of Commerce's plans. I'd again like to
thank the Chairman and the committee for holding this hearing today. I
hope this will be the first step the Committee takes to evaluate the
situation now facing NTIS and answer these very important questions
before committing to only one plan of action.
Senator Frist. Thank you very much. I appreciate your
written statement. A number of people have submitted written
statements, which are very useful as we continue this
discussion. Thank you very much.
Dr. Challinor.
STATEMENT OF JOAN CHALLINOR, PH.D., MEMBER, U.S. NATIONAL
COMMISSION ON LIBRARIES AND INFORMATION SCIENCE
Dr. Challinor. Good afternoon, Mr. Chairman and members of
the subcommittee. My name is Joan Challinor, and it is my
privilege to be a Commissioner for the National Commission on
Libraries and Information Science. The commission's first
concern is the library and information needs of our Nation. And
the second is translating those needs into policy
recommendations to the Congress and the President. That is
exactly the responsibility Congress assigned the Commission at
its creation in 1971.
I am grateful for the opportunity to discuss with you the
issue of closing the National Technical Information Service. We
have submitted written testimony, and I request that it be
included in the record of this hearing.
Senator Frist. Without objection.
Dr. Challinor. I will address some of the points in the
written testimony in a moment, but, first, I would like to
share some personal thoughts on the unusually weighty issues
facing Congress as it deals with the Department of Commerce's
proposal to close NTIS.
I am a historian. And for 45 years I have been married to a
scientist. This combination of disciplines gives me a unique
perspective on some of the issues involved in the NTIS
proposal. I understand the relationship between science and
communication and the value of prior research. Isaac Newton
credited his success, in part, to the work of his predecessors.
``If I have seen further,'' he wrote to a colleague, ``it is by
standing on the shoulders of giants.''
I understand the need to communicate prior research to
future scientists, and that this communication must occur over
decades, perhaps centuries. I was shocked to see in the draft
legislation the requirement that agencies maintain access to
their scientific, technical or engineering information for not
less than 3 years.
In our written testimony, we make three major points:
First, the Commission, as part of its broad mandate, has long
been concerned with issues affecting government information
programs. Most recently, we concluded a survey of government
agency practices as information dissemination moves from a
mostly ink on paper world to a system of electronic
distribution. (This study was undertaken at the request of the
Government Printing Office and was funded with the approval of
Congress' Joint Committee on Printing. A copy of our report,
``Assessment of Government Information Products,'' was provided
to the subcommittee.) We discovered an across-the-board lack of
government information policy to guide electronic publishing.
We saw that there was no uniform understanding of the concept
of permanent public access to government information. And we
noticed a clear lack of coordination of publishing initiatives
at all levels, even within agencies. At the same time--and this
is the good news--we saw agencies making significant strides in
using modern information technologies to expand broadly the
quantity and quality of information made available to our
citizens.
Our second point is that the issues faced by the proposed
organizational changes for NTIS closely correlate with the
issues discovered in our recent survey. Accordingly, Congress
should recognize that it will be making decisions that are far
more consequential than a simple government reorganization that
shifts boxes on an organization chart. We face an opportunity
to write anew the basic policy for creation, use, storage,
distribution, and long-term disposition of one of the most
valuable resources, perhaps the most important, in our
government's possession--information. We urge Congress to
address these issues in a thoughtful and deliberate manner,
even if that means a slower pace than the Commerce Department
might wish.
It would be well for Congress to keep in mind the problem
of unintended consequences while it decides the next steps for
NTIS.
Indeed, the requirement that Congress imposed on NTIS, that
it be self-funding, led to the unintended consequences of
expanded entrepreneurial activities in the hope that revenue
from these new activities would cover the cost of the original
basic functions. While nobody has a crystal ball, it
nevertheless remains possible to conceptualize a range of
consequences for each policy proposal, and thus take steps to
minimize unintended consequences.
Our third point is to offer the assistance of NCLIS. When
the House of Representatives held a hearing on the closing of
NTIS, a number of witnesses proposed that Congress order a
formal study of the issues before taking action affecting the
future of NTIS. We respectfully suggest that NCLIS is the
appropriate mechanism for undertaking this study. In fact, our
statutory charter clearly envisions this role. Indeed, it was
because of this role and the independent point of view that we
can provide that the GPO selected us to perform our study. In 3
to 6 months, NCLIS could review the historical record of NTIS,
invite comment from a broad range of affected constituencies
and bring together a panel of experts to develop a cohesive,
consensual approach to the proposal. NCLIS could then provide
Congress with the policy advice needed to take wise action.
Even before the 13 Colonies became the United States, our
science commanded the attention of remarkable citizens.
Benjamin Franklin, as Postmaster for Philadelphia, sent
journals and scientific information free of charge to other
scientists because he knew that only by the widespread
dissemination of information could flourish.
This subcommittee and Congress itself are now being asked
to make decisions that will also have an effect on whether
science flourishes in this country. Today's hearing is evidence
of the seriousness with which you address this issue. I thank
you for allowing NCLIS to be part of today's hearing, and I
look forward to the Commission's continued involvement with you
on this issue. I would be glad to respond to any questions from
members of the subcommittee, and I thank you.
[The prepared statement of Dr. Challinor follows:]
Prepared Statement of Joan Challinor, Ph.D., Member, U.S. National
Commission on Libraries an Information Science
Mister Chairperson and Members of the Subcommittee, thank you for
inviting the National Commission on Libraries and Information Science
to participate in this review of the Department of Commerce' plan to
close the National Technical Information Service (NTIS). I am Joan
Challinor, a Member of the National Commission and I appear here today
at the request of our Chairperson, Jeanne Hurley Simon, who would be
here herself but for the fact she is undergoing treatment for cancer in
her home in Illinois.
nclis
NCLIS is an independent agency created by a far-sighted Congress in
1970 when it passed PL 91-345. The Commission is comprised of
Presidential appointees who meet four or five times a year for the
specific purpose of developing advice for the President and the
Congress on matters pertaining to library and information needs of the
nation. Therefore, it is appropriate for us to provide testimony, and
offer further assistance if the Congress wishes, on the NTIS proposal,
a matter that we believe is of critical importance to the information
needs of the people of the United States.
reforms needed in public information dissemination
The entire question of government information dissemination needs a
thoroughgoing discussion. On September 23, 1999, we wrote to the Chair
of this Subcommittee that the Department of Commerce' proposal to close
NTIS provides a very timely opportunity to consider ways to strengthen
the overall policy, as well as the organizational and legal machinery
for delivery of Federal information to the public. Greater
understanding of the entire question of government information must
precede discussion on the future of NTIS. The Commission is very
concerned that the short-term measures that must be taken to transfer
authorities, functions, and resources of NTIS by the end of Fiscal Year
2000 not cause the Congress to defer the more substantive
considerations relating to the need for basic reforms in government
information dissemination.
NCLIS has been heavily involved since its establishment nearly
thirty years ago in examining Federal information dissemination
policies, programs and projects. Included in the material we recently
sent to this subcommittee was a copy of the final report of our most
recent study ``Assessment of Electronic Government Information
Products.'' This study is an in-depth investigation, undertaken by a
contractor (Westat, Inc.) under our supervision, of the plans and
practices of Federal agencies to migrate ink-on-paper and microform
Government information products to electronic formats and mediums.
We worked directly with the Government Printing Office (GPO) on
this two-year study completed on March 30, 1999. The study is a direct
outgrowth of Congressional concerns over the impact of electronic
publishing on the ability of citizens to obtain access to Government
information, particularly through the Federal Depository Library
Program.
The heart of the study was a nine-month survey which enjoyed the
active support and participation of all three branches of government.
Twenty-four different Federal entities participated, including the
Supreme Court, several committees of the Congress, one regulatory
commission, and 19 executive branch agencies (including most of the
cabinet departments). In addition to this broad and diverse
participation, an impressive 74% of the survey forms (242 out of 328
sent to the agencies) were returned completed, which is a highly
unusual rate of return for what was a very complex questionnaire with
over 100 questions.
Among the key findings of the survey was the observation that there
is an overall lack of government information policy to guide electronic
publishing and dissemination, permanent public access to Federal
information holdings, and other information policies as they relate to
agency missions. Also, there is a lack of overall coordination of these
initiatives at the governmental, branch, and even at the agency level.
The study found that responsibility for electronic publishing within
agencies is decentralized, diffuse and unclear. Some agencies either
could not identify or had difficulty identifying the individual within
their own agency who was responsible for a specific electronic product.
correlation of nclis study to ntis closure
It is fair to ask ``What do the findings of the aforementioned
NCLIS study have to do with the planned closure of NTIS?'' We believe
there are at least four connections.
First, the public good represented by the NTIS collections--which
are owned by the people of the United States--must remain accessible to
them irrespective of where those collections are organizationally
housed within the Federal structure. The Department of Commerce has
made it very clear that it does not believe it should continue to house
and manage these kind of data and document holdings, even if a way
could be found to make the program break even. The question is, ``Where
is the appropriate location--is it the Library of Congress, the
Government Printing Office, some combination of the two, or another as
yet unidentified organization?''
Second, the nation' 1350 federal depository libraries which, under
law, are supposed to be the ``first line of defense'' in providing
government information to citizens, are ``not in the loop.'' These
institutions need to be assured that agency information is
systematically, routinely, and regularly identified, cataloged and made
available to them quickly after it is published, and that information
is not discontinued from an agency web site without warning.
Senators John Warner and Wendell Ford of the Senate Committee on
Rules and Administration, during the 105th Congress, wrote in their
letter directing the NCLIS study on electronic information products,
``the Federal Depository Library Program served, and continues to serve
the American public by insuring localized access to federal government
information. The mission continues to be as important today to the
fundamental success of our democracy as it was when that program was
first created. The program's original mandate, to assist Americans
regardless of economic, educational, or geographic considerations, is
one that must not be lost as we strategically and thoughtfully use the
tools of the electronic age to enhance that mandate.''
The NTIS closure will certainly exacerbate the problems being faced
by users of the federal depository libraries, as well as users of
public and private libraries across the country who are already
worrying, waiting to find out who the new Federal provider(s) of
scientific, technical, and engineering information will be.
Third, Federal agency chief information officers (CIOs) do not
regard public information dissemination as a high priority. They are,
understandably, far more consumed in the day-to-day challenges of
dealing with the Y2K problem, and replacing rapidly obsolescing
information handling hardware and software with state-of-the-art
versions. They are coping with the very difficult challenge of trying
to ensure that their information technology expenditures are paying off
in terms of their primary agency missions--an area for which they are
regularly reviewed by their own inspectors general, the White House,
the Congress, and the General Accounting Office. Even though the Office
of Management and Budget (OMB) strongly supported the NCLIS study, it
is not surprising that front line information managers give a lower
priority to information dissemination and long-term availability.
Last but by no means least, federal information management policies
are a patchwork quilt of disconnected concerns that have not been
harmonized into a unified Federal information policy fabric. Here we
are talking about matters of privacy, copyright, security,
authentication, encryption, permanent public access, permanent records
retention, the use of metadata tools such as the Government Information
Locator System (GILS), and many other areas. NCLIS found in its survey
that agency personnel were unaware of many of the policies; they were
bewildered and confused on how, if at all, the concepts and
requirements they do know about fit together in an overall information
life cycle context as required by the Paperwork Reduction
Reauthorization Act of 1995 and other legislation. In short, while
there are individual Federal agency CIOs in each agency, there is no
CIO of CIOs at the Executive Office of the President level who is
charged with overall Federal information policy and program planning,
coordination, management, and control.
what does nclis propose?
We believe that the matter of transferring the NTIS holdings out of
the Department of Commerce should not be addressed by the Congress and
the President in an ad hoc manner, disembodied from the overarching
consideration of strengthening overall Federal information management
policy in the areas of public information dissemination and electronic
publishing. We applaud the gigantic strides being made by the
Government in migrating ink-on-paper and microform holdings to
electronic formats and mediums, especially to agency web sites, but we
are very concerned that in the absence of strong leadership and
guidance, there is a real risk that public information dissemination
will continue to fragment. Its cost-effectiveness and efficiency will
erode along with that fragmentation and compartmentalization. The
public is now confronted with a daunting array of Federal information
indexes, indexing systems, gateways, cataloging schemes, software
protocols, hardware platforms, and URL addresses that defy
understanding except by the most sophisticated computer and information
literate experts. The ordinary citizens, including even some librarians
on the firing line, don't have a chance!
NCLIS proposes to be given an opportunity to make a three to six
month assessment of overall Federal information dissemination policies,
programs, authorities, responsibilities, functions, and other
considerations, and how the proposed NTIS closing fits into this
framework. We would then make a series of specific recommendations to
the President and the Congress on how to simplify, streamline and
harmonize this critically important area as we move further into the
Internet era. Such an assessment could be done in a time frame that
would still permit the Department of Commerce to meet its timetable
with respect to the transfer of NTIS.
Thank you Mr. Chairman for affording our Commission this
opportunity to share our views, and we would welcome the opportunity to
discuss our findings and recommendations in more detail with you at
your convenience.
Senator Frist. Thank you, Dr. Challinor.
We will turn to Representative Tom Davis. I think it is
important, for the record to mention the fact that about a year
ago he was the fastest United States Congressman running in the
Marine Corps Marathon. And I know, in about 3 days, he is going
to beat that time.
Mr. Davis.
[Laughter.]
STATEMENT OF HON. THOMAS M. DAVIS, III,
U.S. REPRESENTATIVE FROM VIRGINIA
Mr. Davis. Thank you very much. But we ought to mention
that you were the second fastest.
[Laughter.]
Mr. Davis. I would ask unanimous consent my entire
statement be put in the record, and also an article from
Federal Computer--two articles--they are written by the same
person. One was written August 30th, where the gut reaction
was: NTIS, a relic that led Feds into cyberspace and called for
its dissolution, and then, after examination, says: No
compelling yet to close NTIS. So someone independently has
looked at that and reversed their position.
Senator Frist. Without objection, both will be made a part
of the record.
Mr. Davis. Thank you.
Let me just note a few things. NTIS was created by an act
of Congress in 1950. They have been the Federal repository for
all science and technical information since that time, and they
have amassed a collection of over 3 million pieces. NTIS is
threatened by an innovation they helped to foster, the
Internet. We have to work together to develop a reorganization
that considers the important public functions that the NTIS
performs. We must also consider what financial burdens the
government should bear and what can be continued to be
supported by the NTIS user community.
Today we are reviewing the proposal brought forward by the
Department of Commerce. I am pleased so many of my House and
Senate colleagues have included me in the process of working on
NTIS's future. As the Member of Congress representing many of
these employees at NTIS, I look forward to working with my
colleagues to develop a solution to the problems that we face
at NTIS.
But I am puzzled that the Commerce Department refused to
include me in the discussions on the future of NTIS. Even
though I, along with Senator Warner, from Virginia, requested
that we be part of the process, Commerce has never shared their
draft legislation with me. I think it is because the draft bill
still poses more questions than it does answers.
Commerce has not addressed the clearinghouse function
performed by NTIS. They want Congress to make the Library of
Congress take over these functions so that we can be
responsible for their proposal. The Library of Congress,
though, cannot effectively disseminate information on demand.
The same report that the Department of Commerce uses, called
``The Emerging Digital Economy 2,'' that they hold up and say
this is free on Commerce's Web site and it would cost an
individual $27 to order it from the NTIS, would cost an
individual $29 to order it from the Federal duplication here at
the Library of Congress.
That report could be delivered by NTIS to an individual
within 24 hours if necessary, or it would be delivered in 5 to
7 business days. It would take the Library of Congress 4 to 6
weeks to deliver the report. So it costs more and a longer
delivery time. If the Library were to take on these functions
from NTIS, they would need additional congressional
authorization, as well.
Commerce's recommendations create greater inefficiencies.
NTIS provides a valuable public function by cataloging all
scientific and technical information for the government. We
have to find the most efficient way to perform this function.
And I think we need to explore where and how we can create
economies of scale that make NTIS more efficient.
Any reorganization proposal needs to look at the fugitive
document issue. For instance, in fiscal year 1993, NTIS
received 64,000 documents from Federal agencies. But, 5 years
later, they received only 42,000. Where are those 20,000-plus
documents going? Commerce requires that Federal agencies be
responsible for submitting this information on their own Web
sites for up to 3 years.
But with a lack of uniform standards, will agencies know
what they should and should not post? Will customers know where
to find the information? Will the Library have to develop the
ability to track down this information and catalog it as NTIS
does, with an abstract? Or will the Library develop their own
system for cataloging this information?
Commerce has continued to ignore that two-thirds of the
documents requested from NTIS are 3 to 10 years old.
Additionally, I would just add that I think the bottom line
that is driving Commerce on this is the fact that they get rid
of Federal employees and they can hold it up and say: We have
fewer Federal employees. Really, we ought to be talking about:
Are there any savings to the taxpayers on this? You do not
measure it by number of employees and so on if they are paid
for by fees and other items. And we ought to get away from that
and look at the best way and the most cost-effective way to
look at this. We want to continue to be part of that dialog.
And, Senator, I very much appreciate the opportunity to
share these views with you.
[The prepared statement and information of Representative
Davis follows:]
Prepared Statement of Hon. Thomas M. Davis, III,
U.S. Representative from Virginia
Mr. Chairman, I would like to thank you for inviting me to
participate in this hearing today. The National Technical Information
Service (NTIS) is at an unfortunate crossroads, and the House and the
Senate must now consider the future of an organization created by
Congress fifty years ago to collect all scientific and technical
information for our government. After World War II, our government
struggled to collect and organize the materials brought to us by German
and Japanese scientists. The government then had to determine how to
best use the scientific information that had been collected. It became
readily apparent that the United States government needed to form an
organization charged with collecting, cataloguing, and archiving all
scientific and technical information (STI). It was also the goal of our
Nation to share much of this information with the public in order that
it benefit the greatest number of people. NTIS was created by
Congressional legislation in 1950, and in 1952 began its' role as the
repository for all federal scientific, technical, and engineering
information.
Since its' creation, NTIS has followed its' mission faithfully and
has amassed a collection of over three million pieces. Today, NTIS is
threatened by one of the many technological innovations it helped to
foster. The ease with which we may now access information through the
Internet has hindered the ability of NTIS to remain a self-sustaining
organization. Now we must work together to find out what can be done to
protect the important public functions NTIS performs and determine what
financial burdens should be borne by the federal government, and those
that should be borne by NTIS customers.
Today, we have the opportunity to review the proposal brought forth
by the Department of Commerce in their draft legislation. I am grateful
to this Committee for holding a hearing that allows us to take a more
in-depth look at the proposal that the Department first brought to my
attention in August. Since I was first contacted about the possible
closing of NTIS, I have been heartened by the efforts of my House and
Senate colleagues to include me in this debate. We have truly been
working on crafting a bi-partisan solution that looks at the many
different functions that NTIS performs. I have worked with my
colleagues from the region to address the very real concerns of the
NTIS employees worried about their futures. I have met with the House
Committees on Science and on Administration majority and minority
members to listen to their thoughts on the future of NTIS. I am also
honored to be testifying before your Subcommittee today on the problems
facing NTIS.
However, I remain perplexed by the actions of the Department of
Commerce. On August 11, I sent a letter cosigned by Senator John Warner
from Virginia asking to be included in discussions involving the future
of NTIS. The Department has never contacted me since their preliminary
discussions with me at the beginning of August. I understand they have
shared their draft legislation with the relevant Congressional
committees but have ignored my request to be involved. Nevertheless, I
have reviewed the draft legislation, and I think I know why the
Department did not share it with me. It continues to present more
questions than answers.
For instance, they have neglected to address the important
clearinghouse function that NTIS performs for both federal agencies and
the public. They have ignored the comments of NTIS customer communities
who expressed concern about limiting access to STI, and they have
ignored the concerns of the Library of Congress. Instead, I have been
told that the Department has told Members of this body that it is okay
if the Library does not want to take on these new functions, Congress
can make them do it. The Department is now asking us to be responsible
for their ill-conceived proposal.
Since the September 7th Technology House Subcommittee hearing, I
have met with the Library of Congress to explore some of the assertions
made by the Department regarding the Library's ability to disseminate
information on demand. I was particularly interested in finding out
about the photo duplication unit that the Department said performed
functions similar to NTIS. I was interested to discover that the
Library had already calculated how much it would cost for them to make
``The Emerging Digital Economy II'' available to a customer. I am sure
many of you are familiar with that report--it is the one the Department
has cited as the reason NTIS has outlived its useful existence--that
report is free at Commerce's website, but costs $27.00 if you order a
hard copy from NTIS. The Library estimates that same report would cost
them $29.00 to reproduce for a customer, and would take them an average
of four weeks to get to the customer. NTIS' turnaround time is next day
if necessary, or five business days including in-house processing. We
have not even begun to compare the high volume that NTIS reproduces
versus the relatively small number of requests handled by the Library
of Congress. Additionally, in the opinion of the General Accounting
Office, the Library would need additional Congressional authorization
in order to perform the same functions as NTIS.
If we follow Commerce's recommendation, we are essentially creating
greater inefficiencies and asking the Library to develop new skills.
This will not save the taxpayers money. If this is an honest discussion
about reorganizing NTIS, let's work together to come up with a solution
best for all involved. Let's start by stating what we know--NTIS
provides a valuable public function. They catalog all scientific and
technical information so it is more readily available to the public.
This costs money-some reports are catalogued that do not make money or
subsidize themselves. In order to support this function, NTIS has
continued to shop for other functions it can perform that are at the
periphery of its' mission. If we believe something similar to NTIS
should exist, than we must make a future commitment to appropriate
dollars for the public functions. We can also ensure that we find the
most efficient way to perform those functions.
A 1998 Arthur Andersen report commissioned by the Department of
Commerce looked at how to make NTIS more efficient. That report came up
with a number of suggestion that ignored NTIS' role as a public agency.
It focused solely on making NTIS an efficient business like Amazon.com,
or Borders Books. We cannot ask a public agency to become solely
profits-driven without anticipating that it will compete with the
private sector, or believing it is a function the private sector should
perform. However, we can find out the most efficient way for NTIS to
operate in our information technology society. We should explore where
and how we can create economies of scale that make NTIS' functions more
efficient.
Therefore, any reorganization proposal should examine the fugitive
document issue, and how the government intends to effectively capture
this information to assure that it is not only available to the public
immediately, but available three years from now, and ten years from
now. A critical statistic that has been overlooked in the early debate
on the future of NTIS is: two-thirds of the documents requested from
NTIS are more than three years old, and fall in the three to ten year
age range. Federal agencies cannot be expected to have information in
that age range readily available to the public. Most agencies simply do
not have the resources available to them to perform that type of
function. Additionally, agencies need to be held accountable for their
role in creating fugitive documents. For instance, in FY 1993, NTIS
received 64,000 documents from federal agencies but in FY1998 they
received only 42,000. Where are those 20,000 plus documents going?
Any future plans for NTIS must also consider the many ways in which
NTIS has adapted to changing technology. The Department of Commerce has
neglected to mention the many successes that NTIS has accomplished in
recent years. NTIS currently maintains an extensive electronic database
for demand printing of technical publications. It is my understanding
that NTIS employs one of the most advanced digital print on demand
technology which is equal, if not superior, to many private sector
printers. Additionally, the Department of Commerce has highlighted that
it will cost $30 million to digitize all of the reports contained in
NTIS' archive but neglects to mention that 30% of the archive has
already been placed in digital format. NTIS has been digitizing reports
each time they are requested instead of immediately updating and
digitizing all information in their archive. I do not believe that the
Department has requested that the Library of Congress immediately
digitize the entire NTIS archive. Moreover, Commerce again neglects
that it is estimated that anywhere from 30 to 50% of information
requests are for copies of rare and hard to find technical documents
not readily available on the Internet, or in any bookstore.
I greatly respect the Department of Commerce's concerns about NTIS
expanding its functions beyond its core mission. I do not advocate
privatizing NTIS, nor do I support allowing a federal agency to compete
with the private sector in order to sustain itself. The employees at
NTIS have worked diligently to find new opportunities to sustain agency
operations. I appreciate their continued efforts to find ways to offset
the significant cost of cataloging, and archiving federal research and
technical information. However, I think we need to reestablish the
preeminence of ensuring the ready availability of scientific and
technical information to the public, and determine at what cost to the
government that function should be performed. NTIS carries out a
clearinghouse functions for all agencies of the federal government. It
would be immensely difficult to ensure that agencies are able to
provide information to the current users of NTIS in a timely manner.
While many federal agencies have developed websites that are
comprehensive and user friendly, the lack of uniform standards and lack
of knowledge within agencies regarding which reports should be made
available to the public could potentially result in the loss of
thousands of reports.
The legislation proposed by Commerce would only further complicate
this problem. It would require that all agencies post STI materials on
their websites for three years than transmitted to the Library of
Congress. This problem could mean that the Library develop another
skill that NTIS already has--tracking down STI. If we are honest about
what happens today and what we would like to have happen in the future,
we can eliminate the problems out there and develop real solutions for
NTIS and work together on the availability of information to the
public.
Again, Mr. Chairman, I would like to thank you for holding this
hearing today. I am hopeful that this hearing will assist all of us in
finding out the needs of the affected communities, and laying out the
various options available to NTIS and its devoted employees. As I
stated at the September 7th House hearing, I am confident that we can
find the best solution for all involved by working through this public
process to understand the concerns of the American public at the
potential loss of this valuable service.
Attachment 1
No compelling reason--yet--to close NTIS
op-ed featured in federal computer week, october 18, 1999
column by j. timothy sprehe
Just weeks ago, we all thought we were bidding farewell to the
National Technical Information Service. NTIS was known to be in trouble
financially, and the Commerce Department secretary had said he would
send Congress legislation to close down the agency. Now it appears
everyone may have been too hasty in delivering eulogies.
Commerce's handling of the issue has been ham-handed. Having
announced that the department would give NTIS' information holdings to
the Library of Congress, deputy secretary of Commerce Robert Mallett
then stated in a congressional hearing that the department had not
consulted with the library in advance. Cavalierly asserting that NTIS
was following an obsolete business model because agencies could now
post their publications on the Internet, Commerce failed to note the
healthy market for print publications. Mallett also said that Commerce
had not talked to the NTIS user community either.
If you begin to suspect Commerce has not done its homework on
closing NTIS, you're dead right.
Commerce is going it alone on this issue. The White House and the
Office of Management and Budget have been silent about the future of
NTIS. Members of Congress are voicing outrage or genuine concern for
NTIS and its employees. The only vocal supporter of the closure is the
Government Printing Office, which salivates over the prospect of
picking at the NTIS carcass.
Commerce has floated a draft bill to abolish NTIS. Even if the bill
is introduced, it may go nowhere, in part because it is so poorly
thought out. These days, Congress does not look with favor on proposals
for employee buy-outs, which is what the department is asking for.
Other agencies are asking the basic questions Commerce should have
addressed in the first place. LOC has asserted that the government must
examine which of NTIS' functions are sufficiently effective and
desirable to merit continued federal support. The question is, how and
where can the needed functions best be sustained to guarantee the
uninterrupted acquisition and preservation of scientific and technical
information?
NTIS occupies a stable position among scientific and technical
agencies, operating as a service bureau or fulfillment house for a wide
range of government information programs. The effects of axing NTIS
would ripple through many other agencies with deleterious consequences.
The financial liability removed from Commerce could cause far greater
liabilities for other agencies.
The tragedy would be if the Commerce declaration became a self-
fulfilling prophecy. Despite the fact that statute requires agencies to
send their scientific and technical publications to NTIS for
clearinghouse and distribution purposes, many fail to do so now.
Agencies that do use NTIS are making contingency plans. With the
handwriting on the wall, even more agencies may look to other
information dissemination channels.
On the other hand, it is never easy to eliminate a government
agency. Jobs are at stake, and people also begin to discover that the
agency performs valuable functions. That is happening right now with
NTIS.
Will Commerce succeed in closing NTIS? I doubt it. For the near
term, Congress probably will have to appropriate several million
dollars to support NTIS. For the long term, Congress should heed the
advice of the library community: NTIS should not be closed, nor its
services transferred elsewhere, until there is a thorough assessment of
NTIS services, of alternatives for providing the services and of the
requirement that the agency be self-supporting.
Sprehe is president of Sprehe Information Management Associates,
Washington, D.C.
Attachment 2
NTIS: A Relic That Led Feds Into Cyberspace
article featured in federal computer week, august 30, 1999
by j. timothy sprehe
The Commerce Department has announced its intention to close down
the National Technical Information Service. Secretary William Daley
said he would submit legislation to Congress for this purpose, and the
department announced that it had started talks with the Library of
Congress about taking over the NTIS information holdings.
Rep. Tom Davis (R-Va.) issued a press release decrying the Commerce
move. NTIS lies in his district, and Davis is doing what any good
representative would: protecting jobs on his home turf.
However lamentable, closing down NTIS is not surprising to those
who have followed its recent fortunes. The agency's enabling
legislation required it to support itself from fees generated by sales
of its publications and services. NTIS was expected to break even
financially, but for the past few years, the agency had run several
million dollars in the red.
In the past year, Commerce began to downsize NTIS aggressively,
outplacing personnel to other departmental components in an effort to
avoid violating the Anti-Deficiency Act. The law states that agencies
may not spend money they do not have, and NTIS was not generating the
revenue necessary to cover its operating costs. Downsizing has not
stemmed the financial hemorrhaging, and the economics of the situation
dictate closing NTIS.
NTIS started shortly after World War II as a clearinghouse for the
vast output of scientific and technical information (STI) federal
agencies were creating. The basic idea was that the so-called STI
agencies would voluntarily give NTIS copies of their publications. NTIS
would subsist by selling the publications to the worldwide STI
community, pricing its products at the cost of reproduction plus a
markup to cover NTIS' operating costs. In return for sending their
publications, agencies received a guarantee that NTIS always would have
the them available for sale to the public.
Over time, NTIS expanded its reach beyond the STI world to any and
all federal information resources it could obtain. It also expanded
beyond paper and microfiche to electronic publishing, including
magnetic tapes and CD-ROMs. For other agencies, NTIS acted as a
fulfillment house, filling orders for publications, billing customers
and collecting revenues.
Over the past decade, NTIS led the way from old-style publishing
into cyberspace with innovations in electronic information
dissemination. What we came to know as FedWorld started out as a
general utility electronic bulletin board, a single source for users to
find and download federal agency database files. FedWorld was a
trailblazer for public access to government information. Its critics
quibbled over NTIS' pricing, wanting the information for free, and its
customers groused at the chronic inefficiency of the agency's
fulfillment services.
Yet no one can question that, for a few shining years, FedWorld
showed the rest of the federal establishment what the future of
government information services would look like.
NTIS and the Internal Revenue Service failed in their bumbled
venture into electronic tax filing. But at least NTIS was out in front
trying to break new ground, succeeding more often than not.
NTIS' size and revenues always were tiny compared with the
Government Printing Office's, but it grew to equal stature in the
public mind. The two agencies have been bitter rivals. GPO always had
far greater business volume yet always seemed to play catch-up to NTIS'
innovations. Ultimately, NTIS showed the way to its own demise,
ushering the federal establishment into the Internet theater of
information access.
Daley aptly characterized NTIS as having a flawed business premise. The
premise was sound in 1950 at the agency's birth. But in the 1990s, the
Internet made the virtual clearinghouse a reality, enabling every
agency to make major information products instantly available for free.
Now everyone can routinely do what once was unique to NTIS, and they
can do it at no cost to the consumer.
The show is over for NTIS, but it was a good one for the half-
century it lasted.
Senator Frist. Thank you, Mr. Davis. I appreciate your
counsel as we further consider it. Thank you for coming by.
Mr. Clark.
STATEMENT OF BILL CLARK, EXECUTIVE COMMITTEE
MEMBER, NATIONAL FEDERATION OF EMPLOYEES,
LOCAL 1627
Mr. Clark. Good afternoon, Mr. Chairman and members of the
Senate Subcommittee on Science, Technology, and Space.
The Union at NTIS wishes to thank you for the opportunity
to address the future mission of the National Technical
Information Service. As the representative for NTIS's
bargaining unit, Local 1627, it is both a privilege and honor
to be testifying on behalf of labor.
I would begin by stating there is no valid reason for
closing NTIS--and I will say that again--no valid reason. The
proposal is flawed and potentially damaging. It jeopardizes the
many critical functions NTIS performs, while placing an
additional burden on taxpayers to cover the cost of
transferring NTIS's functions to the Library of Congress. If
the proposal is implemented, the ultimate losers will be the
users of NTIS's products and services, taxpayers, as well as
more than 240 dedicated NTIS employees.
NTIS's mission to acquire, archive and disseminate a
collection of more than 3 million government information
products is accomplished at no cost to the taxpayer. The
quality of U.S.-sponsored research is known worldwide. Much of
NTIS's collection is made up of highly specialized technical
reports used by corporations, academic and government
researchers, and even internationally based companies and
governments, all of whom pay fees to offset the cost of
dissemination.
These functions are vital in today's growing information-
based economy. At a recent House of Representatives hearing on
the future of NTIS, the Union heard powerful testimony by
members of the library and information community, as well as by
government officials in support of the functions NTIS now
provides.
The Department's process used to evaluate NTIS is flawed.
One of the most disturbing aspects of the Department's decision
is the fact that we were not permitted to be direct
participants in the review and analysis process even though the
Union and the employees it represents were in the best position
to assess NTIS's problems, challenges and strengths.
The Department's public statements distort NTIS's mission
and financial position. This fact, combined with flaws in a
private consulting firm's report on NTIS's business model,
raise serious doubts about the quality of the Department's
extensive review and analysis.
Since early August, the Department has predicted impending
financial disaster. It also attempted to raise doubt about the
usefulness of NTIS's mission. Their reasoning to close NTIS is
not based in fact. If the Union had been able to provide any
feedback to the Department prior to the closure announcement,
we might not be sitting here today.
In January, a new management team took over at NTIS, and
worked closely with the Union to restore NTIS's financial
health. The success of this Union/management partnership
enabled NTIS to address its difficult issues, including the
reduction of labor costs through the outplacement of 46 NTIS
employees to other Commerce agencies.
NTIS has much to be proud of. It annually distributes over
1 million products in a variety of formats. This includes
several electronic data bases reaching millions of potential
users. NTIS's FedWorld office hosts the two most widely used
government Web sites. And that is out of over 12,000 government
Web sites.
NTIS also uses its resources to assist other government
agencies. Recently, NTIS's FedWorld staff shared their online
security experience with the U.S. Senate IT staff.
On the financial side, the Department's dire predictions
did not materialize. Instead, NTIS was solvent during fiscal
year 1999, and finished with a surplus of $650,000. NTIS also
reduced its annual cost by 10 percent. This year's cost savings
alone should total more than $3 million. Our financial position
is very positive.
In closing, it is clear that there are no valid reasons to
eliminate NTIS or its valuable functions. It is not on the
verge of bankruptcy. Its mission is as important as ever, and
it is a vital contributor to this Nation's research community.
And it accomplishes this important mission at no cost to the
taxpayer.
I want to thank the subcommittee and you, Mr. Chairman, for
this opportunity to provide the Union's perspective on the
public good functions that NTIS performs. I would request that
my written testimony become part of the public record, and I am
available to address any questions the subcommittee might have
regarding my testimony.
[The prepared statement of Mr. Clark follows:]
Prepared Statement of Bill Clark, Executive Committee Member,
National Federation of Employees, Local 1627
Mr. Chairman and members of the Senate Subcommittee on Science,
Technology and Space, I want to thank you for the opportunity to speak
to the Subcommittee on the issue concerning the future mission of the
National Technical Information Service (NTIS). As the representative
for NTIS' bargaining unit Local 1627, it is both a privilege and honor
to be before this committee testifying on behalf of labor. My testimony
will bring an employee perspective to the ongoing debate about the
future of the organization and its functions. I should also add this is
the first opportunity for NTIS' bargaining unit to provide its position
on the Department of Commerce's closure proposal. To the dismay of
many, the bargaining unit representing the interest of all NTIS
employees was not part of the Department of Commerce decision-making
process regarding the closure proposal.
introduction
I will begin my testimony by making a statement shared emphatically
by my NTIS colleagues. There is no valid justification for closing
NTIS. The Department's decision to disband NTIS is a flawed and
potentially damaging proposal. It jeopardizes the many critical
functions NTIS performs, while placing an additional burden on U.S.
taxpayers to cover the costs of moving NTIS functions to the Library of
Congress. Continuing to support these functions would require
significant annual appropriations. If the Department's proposal is
implemented, the ultimate losers will be the users of NTIS products and
services, U.S. taxpayers, as well as the more than 240 dedicated NTIS
employees.
As you are aware, NTIS is a non-appropriated agency. NTIS' mission
to archive and disseminate a collection of more than 3 million
government information products is accomplished at no cost to the U.S.
taxpayer. The quality of U.S.-sponsored research is known worldwide,
and NTIS has been the premiere conduit for distributing this content
for more than 50 years. Much of NTIS' collection is made up of highly
specialized technical reports used by corporations, consultants,
academic and government researchers, and even internationally-based
companies and governments, all of whom pay user fees to offset the cost
of dissemination. The functions NTIS performs are vital in today's
growing information-based economy. I was fortunate to attend a recent
House of Representatives' hearing on the future of NTIS where I heard
powerful testimony by members of the library and information community,
as well as by government officials in support of the functions NTIS now
performs. I left the hearing with a clear impression of the strong
broad-based support for the information dissemination mission NTIS
performs.
flawed process
To NTIS employees, one of the most disturbing aspects of the
Department's decision to close NTIS is the fact its employees were not
permitted to be direct participants in the review and analysis process.
Instead, this responsibility was handed over to a private consulting
firm and Department of Commerce management. This process undermined the
fact that NTIS employees were in the best position to assess NTIS'
problems, challenges, and strengths, and would have been an invaluable
resource throughout the entire review and analysis process.
Therefore, in order to set the record straight, and to defend the
important contributions NTIS employees make to the public good, I must
address several issues pertaining to the Department's proposal to
eliminate NTIS. A major concern to NTIS employees is that the
Department of Commerce's public statements are distorting NTIS'
financial position and mission. This fact, combined with flaws in a
private consulting finn's report (the Andersen Report) on NTIS'
business model raise serious concerns about the ``Extensive Review and
Analysis'' quoted in the Department's August 12, 1999, press release
and fact sheet proposing to close NTIS.
The Department's press release and fact sheet predicted impending
financial disaster for NTIS. NTIS employees familiar with the
organization's recent financial situation through August 1999 believe
otherwise. The Department and Andersen Report's projected NTIS
financial losses do not ring true. Many NTIS employees suspect that the
Department has relied too much on flawed and outdated analyses, and not
on current financial data being reported by NTIS. Moreover, had NTIS
employees been able to provide feedback to the Department prior to the
August 12th closure announcement, we might not be sitting here today.
Despite the Department's dire predictions the facts are:
NTIS was solvent during FY99 and finished with revenue
$650,000 in excess of costs (see attached Table 1).
NTIS reduced its annual costs by 10% due to a
successful employee outplacement program and office
consolidation resulting in about $700,000 in cost savings
during FY99.
The Clearinghouse recovered all of its costs during
August and September 1999.
Costs savings in FY2000 should total more than
$3,000,000.
Conservative projections anticipate NTIS further
improving its financial status in FY2000.
Clearinghouse revenues increased in FY99 over FY98
(see attached Table 2). NTIS' financial position is clearly
improving.
andersen consulting report
The bargaining unit welcomed the opportunity for an independent
analysis of NTIS' business practices to improve future financial
performance. Improving the long-term financial health of the
organization would be in the best interest of NTIS and its employees.
The results contained in the Andersen Report were published on November
25, 1998, under the title ``Developing a Market-Driven Growth
Strategy.'' The Andersen Report included some valuable assessments of
NTIS capabilities. Nevertheless, the Report has a major flaw. Its
Statement of Work did not adequately address NTIS' need to reduce its
costs. This may be why the consultants placed more emphasis on an
aggressive business strategy to grow NTIS out of its deficit, which the
consultants projected to be $3,000,000 in FY99.
The Report recommends a product development and marketing strategy
requiring NTIS to generate $25,000,000 through the distribution of
1,000,0000 best seller products in order to break even. This
recommendation came with an implementation price tag that could cost
NTIS up to $13,000,000. It's clear that the consulting team's inability
to simultaneously address cost as well as revenue problems made
rightsizing NTIS impossible (had that been their goal). Then too, the
Andersen Report best seller growth strategy and legislative suggestions
were summarily rejected by the Department of Commerce and the
Department's Office of the Inspector General. This was due to inherent
conflicts with NTIS' status as a government agency. While their
strategies might be appropriate to a private sector corporation, they
are contrary to NTIS' enabling legislation.
misuse of the andersen report
From the employee's perspective, the main concern with the Andersen
Report is that the Report's business strategies and financial
projections are based on outdated information. NTIS' successful cost
reduction effort made many of the Report's recommendations obsolete.
Nevertheless, the Report continues to be used by the Department to
justify closing NTIS. During the past several months NTIS has taken
action to reduce its costs by about 10%. The Andersen Report's flawed
growth strategy and projected NTIS financial losses are no longer
relevant. They prove inconsequential when looking at NTIS' current
financial health.
inspector general's report to congress
The Department's August 12, 1999, announcement to close NTIS quotes
the Inspector General's Office and a statement from its ``March 1999
Commerce IG Semiannual Report to Congress'' to support its decision.
However, it is important to return to March 1999 to understand what was
happening at NTIS at the time of the Inspector General Office's report.
NTIS was showing a cumulative FY99 loss of $416,447 through February
28, 1999. At that time, the Inspector General's Office (IG) was relying
on the Andersen Report for direction on NTIS' near term financial
status. The Andersen Report contained information which might cause any
IG great concern. The most immediate concern to the IG may have been
the Andersen Report's projection that NTIS would lose $3,000,000 by the
end of FY99, especially since the report was submitted to the
Department less than four months earlier. Understandably, the IG could
have been open to severe criticism if it had not raised concerns about
NTIS' financial status in its March Report. It was the proper action
for the IG to take at that particular time.
Unfortunately for NTIS and its employees, the results of the
Andersen Report referenced by the IG could not have taken into
consideration the significant changes taking place at NTIS since
January 1999, when a new management team was installed and cost
reductions instituted.
ntis under new management
At the behest of the Department, the new NTIS Management Team was
installed on January 4, 1999. Mr. Ron Lawson officially took the
leadership position of Director of NTIS, while Mr. Alan Neuschatz
became its Associate Director for Financial and Administrative
Management. The team's first task was to put NTIS' financial house in
order, while minimizing the impact on NTIS' ability to carryout its
dissemination mission.
The plan attempted to provide the most favorable environment for
NTIS' more than 300 employees to remain employed as part of the Federal
workforce. As part of this process, the new team forged a close and
successful partnership with the Union at NTIS, and all parties
immediately put their shoulders to the wheel to reclaim NTIS' financial
stability. This included a review of the overall NTIS cost structure.
Changes were made to maximize the efficiency of the organization. Quick
action produced swift results. The process began to trim costs from the
budget. Office space was consolidated; travel was limited; and a hiring
freeze was enacted. These actions alone achieved more than $300,000 in
savings in FY99. The Union commends the Inspector General's Office and
Andersen Consulting for getting the Department's attention regarding
NTIS' financial position. While the Andersen Report's best seller
growth strategy is inappropriate for NTIS, the Department's actions
resulting from the Report had the positive effect of reducing NTIS'
costs.
labor costs
The next major hurdle was reducing NTIS' labor costs. Creative
solutions were necessary to balance the organization's ability to
generate revenue and provide quality service. Within just a few short
years, NTIS has moved from being a provider of primarily paper products
to a hybrid organization supporting both paper and electronic product
dissemination. To their credit, the Union, NTIS Management, as well as
the Department of Commerce developed an innovative program to outplace
61 employees from NTIS to open positions within other Department of
Commerce agencies. To date approximately 46 employees have been
successfully relocated allowing NTIS to reduce its labor costs
significantly. While the need for the outplacement program brought
about an unsettling time for NTIS and its employees, the program
offered displaced staff the opportunity to transition to open
Department of Commerce positions matching their skills to vacant
positions. The result was a win-win situation for all parties:
The Department filled its open positions with proven
talent.
NTIS Management was able to reduce its costs.
The Union was able to protect the interests of NTIS
employees.
Approximately 46 displaced employees secured positions
within other Commerce agencies.
The Secretary of Commerce's Management Team was an active
participant in this innovative program, and it should be commended for
its overall success.
department's attempt to eliminate ntis
In early August, the President of the Union at NTIS was informed
about the Department's decision to close NTIS. This decision was made
without any input from the Union representing NTIS employees. This is
despite the fact the Union played a pivotal role in reducing NTIS'
labor costs through the successful outplacement program.
More disheartening was the August press release from the
Secretary's office that falsely depicted the organization as an
anachronism not in touch with today's current technology. To the
contrary, NTIS provides many state-of-the-art services in order to
promote the public good. For example:
The annual fulfillment of more than 1,000,000 products in a
variety of formats.
Electronic databases reaching millions more users than
their print-based predecessors.
The NTIS Database containing over 2 million records
that is updated weekly.
FedWorld technical expertise, including the FedWorld Web site,
that has been publicly referred to as the 2nd most widely-used
Government Web site.
Expertise and resources to assist government agencies
with their information dissemination missions.
Strong partnerships with private sector organizations
to leverage non-government resources.
disbanding ntis functions and the possible impact
The Department's proposal to close NTIS and move its functions to
other parts of the federal government would require significant annual
appropriations. Then too, it could risk the loss of important
capabilities that NTIS now carries out ultimately reducing public
access to government information. Government agencies, as well as
consumers of NTIS information products, depend upon NTIS for public
dissemination of government information. The testimony to the United
States House of Representatives Subcommittee on Technology on September
14, 1999, provided by the Honorable James H. Billington, the Librarian
of Congress, addressed the need to continue NTIS' important information
dissemination functions stating:
``Editorials and commentaries on NTIS' imminent demise seem to
accept the conclusion that electronic access to, and agency-based
rather than centralized dissemination of, scientific and technical
information have rendered an NTIS-type operation obsolete. Librarians
and business and academic researchers are not so likely to concur with
this conclusion. In many ways, the growth of electronic access and
automated databases have greatly expanded the demand for reference
services that are integrated with document delivery, such as the
services provided by NTIS, as well as those provided by the private
sector information industry. The question of how optimally to meet
those demands in a rapidly changing environment is squarely before this
subcommittee.
As this Subcommittee explores the best way to proceed, I hope you
will consider, by their component parts, the full spectrum of
operations involved in collecting, organizing, and supplying scientific
and technical information. NTIS provides or acquires a wide array of
services, including publication, acquisition, indexing, abstracting,
translation, digitization, distribution, and archiving of information
from many sources and in several formats. NTIS not only provides
centralized access to scientific and technical U.S. government
information, but it also acquires these types of materials from non-
governmental and foreign sources and provides reference and
distribution services for these as well. These functions dovetail with
activities carried out by the Commerce Department, the Library of
Congress, and other federal agencies in assisting the nation academic
and commercial entities to capitalize on research and development of
the United States and the world, and to push innovation to the next
level. The fact that some of NTIS' functions apparently cannot be
sustained on a cost-recovery basis does not necessarily mean that all
or even most of its functions should be discontinued''
The Librarian of Congress' testimony also raised concerns about
some of the important government information dissemination
responsibilities performed by NTIS in relation to the Library of
Congress' current mandate. The Librarian of Congress stated:
``However, such NTIS functions as high volume document
distribution, brokering agency databases to the information industry,
and publication (print or electronic) of information products of
executive agencies, are beyond the Library's current mandate.''
It is clear that the Department's proposal is not considering the
many valuable functions that NTIS performs in its mission to
disseminate government information. Eliminating NTIS could result in
the loss of these important functions.
long term options for ntis
During the September 14, 1999, House of Representatives' heating on
NTIS, the Department of Commerce distributed a report entitled ``The
Department's Report on the National Technical Information Service
(NTIS).'' The Department's Report proposes three options regarding the
long-term status of NTIS. The Union considers each to be flawed:
Option 1: Maintaining NTIS at Commerce and request annual
appropriations to digitize the most recent ten years of its collection
and to fund the Clearinghouse's ``public good'' functions. This first
option suggests that NTIS requires an annual $7.4 million appropriation
to digitize the latest 10 years of its collection, and annual $4.9
million appropriation to support the acquisition, organization, and
preservation of the information products to be added to its collection.
This simply is not true. NTIS more than covered its costs during FY99
and should be in a better financial position during FY2000 based upon
conservative budget projections. While funds allowing NTIS to digitize
its complete collection would make NTIS more cost-effective, it is not
a necessity. NTIS will continue to digitize its older materials as it
receives orders for these products.
Option 2: Maintain current NTIS operations while seeking annual
appropriations to supplement revenues in the Clearinghouse while
continuing to cut costs where possible. The second option projects a
$31.2 million NTIS loss through 2004. This is based upon the false
assumption that NTIS Clearinghouse revenue is declining. NTIS
Clearinghouse revenue actually increased during FY99 compared to the
previous year. It also does not take into account NTIS' $3,000,000 cost
reduction effort. The fact is NTIS' Clearinghouse actually recovered
all of its costs during August and September of 1999. NTIS does not
anticipate any further losses.
Option 3: Obtain one-time appropriations to close NTIS and transfer
its ``public good'' functions elsewhere. This option proposes to shut
down NTIS and comes up with a $15-17 million cost projection to
accomplish this task. The union considers this estimate to be much too
conservative. In addition, Option 3 does not consider the hidden costs
that NTIS' closure could have as a result of discontinued functions
NTIS now performs. However, the Department's Report did hint at a
possible reduction in service by stating: ``This estimate is based on
an analysis of the Clearinghouse's current cost of performing different
activities, some of which can be scaled back depending on the
organization to which the collection is transferred.''
the union recommends a fourth option
In the best interest of the public good, including consumers of
NTIS products and services, federal agencies who depend on NTIS to
disseminate their products, as well as the U.S. taxpayer, the Union
recommends the following alternative option:
Union Option: Permit NTIS to move forward with fully implementing
its restructuring plan in support of its ``public good'' mission. While
not suggested by the Department, this option would allow NTIS to
proceed with its restructuring plan without an appropriation. NTIS'
management team has already proven itself by fightsizing NTIS' cost
burden, and bringing financial stability back to the organization. NTIS
has regained control of its financial position, while eliminating an
appropriations burden on the taxpayer. In light of the recent cost
reduction measures, NTIS more than recovered its costs during FY99 and
will be in a better financial position during FY2000 as $3,000,000 in
overall cost savings are realized. NTIS should be allowed to proceed
with its restructuring strategy while completing its mandated mission
as the nation's Clearinghouse for scientific and technical information.
Permitting NTIS to continue to serve the public good as a self-
sustaining agency is significantly more cost-effective when compared to
the Department Report's costly proposals:
DEPARTMENT REPORT OPTIONS COST THROUGH FY2004
Option 1: $29 Million
Option 2: $31.2 Million
Option 3: $15-17 Million
access to government information: fee vs free
A major misconception within government today is that Web access to
government-sponsored information sources is free. On one hand, the
important government information dissemination efforts such as provided
by the Library of Congress' Thomas online service, the Government
Printing Office's GPO Access, the National Library of Medicine's
MEDLINE Database, and the Department of Energy's Information Bridge
promote themselves as providing free access to government information.
However, what is not mentioned is the fact this free access is paid for
by millions of taxpayer dollars which go toward the development and
support of these systems.
On the other hand, NTIS operates under a different model mandated
by Congress where the agency maintains its specialized collection of
the U.S. government's scientific and technical information and
disseminates its findings at no cost to the U.S. taxpayer. Instead,
both domestic and international consumers of this information pay the
nominal costs associated with supporting ongoing access to this
collection. NTIS places an important emphasis on partnerships with the
private sector to expand dissemination of its content and provide for
ongoing technological innovation, again at no taxpayer expense.
The final result is another win-win situation for U.S. citizens.
They have the benefit of the ongoing availability of the items within
the NTIS Clearinghouse and improved access to the NTIS Collection
through technological innovation spurred by private-sector investment
as opposed to taxpayer dollars. This is accomplished without the need
for an appropriation from Congress. If NTIS were eliminated and all
agencies were required to cover the additional burden of disseminating
their government research information, additional taxpayer resources
would be required.
where do we go from here?
NTIS' successful Union/Management partnership has helped NTIS to
significantly reduce costs. However, now that NTIS' financial crisis
has subsided, the outplacement program and other staff reductions from
faster-than-expected attrition have left NTIS with 10-15 fewer
employees than planned. This has resulted in NTIS having a shortage
regarding the skill mix required to provide its full range of services
to the public and other agencies, and to generate the necessary
revenue. The Union recommends that NTIS have the opportunity to move
forward with its restructuring plan. This would include the lifting of
a hiring freeze now imposed upon the agency by the Department. These
actions would support NTIS' ongoing use of technology to complete its
public good mission, while further reducing costs. In addition, the
Union urges Congress and the Executive Branch to complete a review of
current government information resources (i.e., NTIS, the Government
Printing Office, the Library of Congress, etc.) to develop an overall
``information policy'' which can best utilize these invaluable
government assets.
Senator Frist. Thank you, Mr. Clark.
All of the written statements will be made a part of the
permanent record.
Mr. DiMario, could you elaborate a bit further on the
impact that one NTIS transfer would have on your existing
operations?
Mr. DiMario. Well, the impact would be, if we were to
enlarge the depository library program and the distribution
through that program of documents that are not included in it,
we would need an additional appropriation to do that. The
current appropriation, which is $29.3 million, is for
predominantly the distribution of documents that are already in
the program and the electronic system that we operate, known as
GPO Access. And that is approximately $25 million of that $29.3
million.
There is $3.2 million that we allocate for cataloging and
indexing, and the remainder of the money is for the
international exchange program, where we exchange documents
with other countries, pursuant to a treaty that is in
existence. And the Library of Congress, in turn, receives those
documents from the other countries and helps to build its
collection in that way. So it is a cooperative arrangement.
But if we were to bring the NTIS collection into the
program, to the extent that there would be additional
distribution, would require an appropriation, since it is a
program that operates not on a self-sustaining basis but based
on a specific appropriation for salaries and expenses in the
office of the Superintendent of Documents.
Senator Frist. Are there any estimates for those costs?
Mr. DiMario. I really do not have any estimates because, at
the present time, I do not know what that kind of distribution
would be. Even if you talk in terms of the numbers of
documents, the actual documents distributed would be much
smaller than the total collection because it would probably be
an on-demand distribution. What we would probably do is
identify in a bibliographic data base all of the publications.
That is what the libraries want right now. They want to
know what documents are available in NTIS, by receiving that
bibliographic data base. And then they would make selections as
to what documents they would want. And then we would make the
distribution of those documents based on the selection.
For the most part, the distribution might be electronic or,
in certain instances, it might be in paper. But it is very hard
to put a number to that figure at the present time.
Senator Frist. Dr. Challinor, for the record was the
Commission consulted on the Department's proposal to eliminate
NTIS?
Dr. Challinor. I do not believe so, but I will turn to our
Executive Director--the answer is no.
Senator Frist. The answer is no. You have commented and you
have touched upon it in your opening statement, there is a real
risk that public information dissemination will continue in the
future to be fragmented. Could you elaborate on that risk?
Dr. Challinor. I think the best thing for me to do would be
to get a copy of our report, which we brought with us, and to
enter it into the subcommittee's record.
Senator Frist. Is there a summary of that report?
Dr. Challinor. Yes. And it shows, as I said, that
government information is in no way cohesive. Everyone is doing
their own thing at the moment.
Senator Frist. Why don't we, again, for the record, cite
the report. And we will introduce, if there is an executive
summary in the beginning, three pages of the executive summary,
and we will cite the report for the record.
[The information referred to follows:]
statement of assessment of electronic government information products
by westat, rockville, maryland
executive summary
The Federal Depository Library Program (FDLP) has served and
continues to serve the American public by ensuring localized access to
Federal Government information. The mission continues to be as
important today to the fundamental success of our democracy as it was
when the FDLP was created. The FDLP's original mandate, to assist
Americans regardless of economic, education, or geographic
considerations, is one that must not be lost as we strategically and
thoughtfully use the tools of the electronic age to enhance that
mandate.
Letter to Michael F. DiMario, the Public Printer, from Senators
John Warner and Wendell Ford of the Senate Committee on Rules and
Administration, May 24, 1996.
background
Congress established the antecedents to the Federal Depository
Library Program (FDLP) in the Act of 1813 to ensure that the American
public has access to its Government's information. The mission of the
FDLP, part of the Superintendent of Documents (SuDocs) in the
Government Printing Office (GPO), is to assure current and permanent
public access to the universe of information published by the U.S.
Government. Depository libraries safeguard the public's right to know
by collecting, organizing, maintaining, preserving, and assisting users
with information from the Federal Government. GPO provides that
information at no cost to designated depository libraries throughout
the country. These depository libraries, in turn, provide local, no-fee
access to Government information in all formats in an impartial
environment with professional assistance. Any member of the public can
visit these depository libraries and use the Federal depository
collections.
In order to administer the FDLP, as required by the enabling
legislation for the program, 44 U.S.C. Chapter 19, the SuDocs is
responsible for the acquisition, classification, format conversion,
dissemination, and bibliographic control of tangible and electronic
Government information products; the inspection of depository
libraries; and the continuing education and training initiatives that
strengthen the ability of depository library personnel to serve the
public. An emerging new responsibility is to ensure that electronic
Government information products disseminated through the FDLP, or
incorporated in the FDLP Electronic Collection, remain permanently
accessible to the public. Under 44 U.S.C., Sections 1901-1903, and
Office of Management and Budget (OMB) Circular A-130, Management of
Federal Information Resources, Federal agencies should make all their
publications in all formats available to SuDocs for distribution to
depository libraries.
This study to assess electronic medium and format standards for the
creation and dissemination of electronic information products is an
essential step toward ensuring a successful and cost-effective
transition to a more electronic FDLP. The three goals of this
assessment were to:
Identify medium and format standards that are the most
appropriate for permanent public access;
Assess the cost-effectiveness and usefulness of
various alternative medium and format standards; and
Identify public and private medium and format
standards that are, or could be used for products throughout
their entire information life cycle, not just at the
dissemination or permanent public access stage.
The Superintendent of Documents will use the results of this work
effort to continue to plan and implement the transition to a more
electronic FDLP. The five major specific objectives are:
First, with respect to electronic publishing practices
and plans for Federal agencies (including ways in which the
FDLP can best accommodate them), the objective is to provide an
analysis of current practices as well as future plans for
creating, disseminating, and providing permanent public
accessibility to electronic information products, and to
identify the standards for software and electronic mediums and
formats that are used throughout the product's information life
cycle, from creation to archiving but especially at the stage
of dissemination for permanent public access.
Second, with respect to cost-effectiveness of various
dissemination mediums and formats that are, or could be
utilized, the objective is to gather information on standards
(whether mandated or consensual) that will assist the FDLP in
making near-term decisions regarding the cost-effectiveness of
alternative mediums and formats for all FDLP participants. This
information should also assist participants in long-term
planning for permanent public accessibility, and the collection
and analysis of overall information life cycle costs.
Third, with respect to the practical utility of various
electronic mediums and formats to depository libraries and the
public, the objective is to identify preferred standards used
in various mediums and formats that depository libraries will
need to support.
Fourth, with respect to utilizing standards employed in
mediums and formats that can be used throughout all stages of
the information life cycle (including creation, composition,
computer terminal display, encryption, secure digital signature
with non-repudiation, and secure transmission capabilities),
for electronic dissemination, but especially permanent public
accessibility, the objective is to assess standards for basic
security services in order to provide for secure and reliable
transmission and document interchange.
Fifth, with respect to standards that are being developed and
used in the private sector, the objective is to identify
existing and planned standards for the purpose of determining
what the FDLP must do to accommodate their adoption in terms of
hardware/software requirements, staff and user education and
training, and budgetary impacts.
methodology
The study utilized both quantitative and qualitative data
collection activities: a survey of a cross-section of 314 Government
information products from 24 agencies and interviews with experts. The
response rate for the survey was 74 percent. This cross-section of
products was not a randomly selected sample due to cost and time
constraints. Instead, NCLIS and GPO--assisted by various groups,
including the library associations represented by the Inter-Association
Working Group on Government Information Policy (IAWG), the Federal
Library and Information Center Committee (FLICC), the Depository
Library Council (DLC), and the Interagency Council on Printing and
Publication Services (ICPPS)--developed and refined the criteria for
product selection. NCLIS, GPO, and the other organizations asked
knowledgeable members of these groups to identify products that met one
or more of six criteria.
NCLIS distributed the list of preliminary products to agency Chief
Information Officers (CIOs) who were asked to validate and coordinate
the final selections with their appropriate agency personnel. In
addition, NCLIS asked CIOs to select an agency coordinator. The
coordinator's role was to oversee the distribution of product
questionnaires to the appropriate respondents and to encourage
respondents to complete the questionnaire and return it to Westat.
Product selection was based on six criteria:
Increased emphasis on electronic dissemination, rather
than continuation of paper and microform dissemination;
Replacement of older electronic mediums and formats
with state-of-the-art technologies;
Adoption of mandated (Government or private sector)
and consensual (common agency practice) medium and format
standards;
Adoption and use of preferred mediums or formats that
have widespread support from agency, depository library, and
user communities;
Exemplified cost-effective mediums and standards,
especially those that can be used throughout the entire
information life cycle, rather than the use of expensive
customized or shelf packages; and
Exemplified awareness of the important impact of
medium and format decisions on permanent accessibility,
authentication, and/or security encryption protection.
The survey requested information on four main topics:
General information about the product and agency that
produced it.
The product's current profile including the kinds of
data the product contains, mediums in which it is produced,
formats and online approaches used (if applicable); and
searchability and retrievability of the product.
Future plans for the product including changes in its
data, mediums, and formats.
Other issues including metadata, permanent public
access, permanent retention, authenticity, updating/upgrading
plans, user fees, licensing, and public domain.
The qualitative data collection included site visits to three
depository libraries, meetings with representatives of five Government
agencies, and telephone interviews with six experts. The qualitative
data collection included site visits, agency meetings, and expert
interviews. Westat conducted site visits to three Federal depository
libraries:
McKeldin Library, University of Maryland College Park,
College Park, Maryland
Washington College of Law Library, American
University, Washington, D.C.
Montgomery County Rockville Regional Public Library,
Rockville, Maryland
The purpose of the visits was to discuss the effects of the
transition to a more electronic Federal Depository Library Program on
the end user and on the services and resources of each library.
Meetings with agency representatives had a twofold purpose:
To collect qualitative data about electronic
Government information products, such as cost-effectiveness of
standards, use of locator tools, results of user surveys, etc.,
that were not covered in the survey; and
To discuss the procedures for distribution of the
questionnaire.
In addition to inviting agency coordinators and respondents, the
statement of work specified that Westat invite representatives of the
following offices to attend the meetings:
Public affairs or communications offices
Agency printing and publishing units
Information technology or electronic information
systems offices
Agency libraries, and
Relevant program offices.
The following six agencies agreed to schedule a meeting: Department
of Health and Human Services, Department of Education, U.S. Supreme
Court, Department of Commerce, Environmental Protection Agency, and the
National Archives and Records Administration. Only four of the six
agencies chose to discuss the qualitative questions at the meeting. The
other two agencies discussed the questionnaire only and agreed to
respond to the discussion questions in writing, although only one
actually submitted their written questions.
Finally, Westat held four telephone interviews with six content
experts. The experts included two webmasters (Linda Wallace from the
Internal Revenue Service, and Jerry Malitz from the National Center for
Education Statistics); two preservation specialists (Evelyn Frangakis
from the National Agricultural Library, and Abby Smith from the Council
on Library and Information Resources); and two professors in
information resources management (John Bertot and Charles McClure). The
purpose of expert interviews was to:
Solicit opinions of experts on topics not adequately
covered on the survey or in the agency meetings,
Ask questions to provide a broader context in which to
view the issues, and
Explore current initiatives and future directions.
key findings
These findings reflect the major results of the survey and
qualitative data collection:
policy and planning issues
1. There is an overall lack of Government information policy
guiding electronic publishing, dissemination, permanent public access,
or information life cycle management, especially as information policy
relates to agency missions. Also, there is a lack of overall
coordination of these initiatives at the Governmental, branch, or even
agency level (pp. 68-69).
2. Responsibility for electronic publishing within agencies is
decentralized, diffuse, and unclear. Some agencies either could not
identify or had difficulty identifying the proper respondent within
their own agency, or even the person who was responsible for the
product (pp. 11 and 14).
3. Some Government agencies are monitoring the information needs of
their users to enhance current access to electronic Government
information products (p. 65).
4. There is a lack of specific planning for product development and
technological migration (pp. 34-36; table 23 on p. 42).
5. There is a lack of planning for or consideration of web design
approaches that comply with the Americans with Disabilities Act (ADA)
(table 6a, p. 29)
permanent public access
6. The concept of permanent public access (PPA) is not well
understood. Respondents also had difficulty distinguishing between PPA
for electronic products and archiving electronic Federal records with
the National Archives and Records Administration (tables 18-20, pp. 39-
40).
7. Metadata and their importance to public access are not well
understood, particularly as they may affect PPA. Only 27 percent of
respondents reported having a metadata record for the products surveyed
(table 19, p. 39).
8. For some products, PPA results from the agencies' use of a host
disseminator, as GPO Access (p. 11).
authenticity
9. There is a lack of understanding of what ensuring authenticity
entails, and a lack of planning for or consideration of ensuring
authenticity of electronic Government information products (table 21,
p. 41).
product characteristics
10. Fifteen percent of the products surveyed are not in the public
domain, for all or part of the product (table 27, p. 45). In addition,
user fees are charged for 30 percent of the products (table 24, p. 43).
11. The most prevalent types of mediums are the web, paper, CD-ROM,
and bulletin board systems (table 3a, p. 22); the most prevalent
formats are HTML, PDF, GIF, JPEG, TIFF, and ASCII (table 4a, p. 25).
12. The most prevalent types of data contained in the products
surveyed are textual, numerical, bibliographic, and graphical (tables
2a and 2b, p. 20).
standards
13. There is a lack of standardization for producing Government
information products on CD-ROM (e.g., installation instructions, user
documentation) (p. 55).
14. The most prevalent medium and format standards identified in
the survey are common agency practice rather than agency-mandated
(tables 3b, 4b, 6b, pp. 23, 26, and 30).
15. Some Government agencies have established guidelines or best
practices for presenting and organizing Government information products
on the web, although full compliance with the guidelines is a goal that
has not yet been achieved (p. 64).
16. Some Government agencies are exploring a range of innovative
formats and web design approaches for electronic Government information
products (p. 57).
next steps
As a followup effort, NCLIS indicated that they will use these
findings as a point of departure and analyze them in greater depth. It
is expected that this followup effort will result in broad conclusions
and recommendations to the President and Congress about how the
problems and challenges revealed in this study can be constructively
addressed to improve current and future public access to electronic
Government information.
Senator Frist. Dr. Challinor, to implement your assessment
proposal do you need a specific congressional or Presidential
directive to conduct this study?
Dr. Challinor. We would need one, yes.
Senator Frist. GPO has indicated, Dr. Challinor, in its
statement that inclusion of the NTIS collection into the FDLP
would be a major step in simplifying and unifying public access
to government information through a single source. What are
your thoughts on this? How would it address your concerns about
the overall Federal policy regarding information dissemination?
Dr. Challinor. Well, I have the greatest respect for Mr.
DiMario and his operation. And it was through him that NCLIS
made this study. And I would hope that a through study would be
done before we move forward on this, because the subject of
government information is simply not properly understood at any
levels. And this gives us an opportunity do so.
Senator Frist. Do you have any comment on the report Mr.
DiMario?
Mr. DiMario. I would agree that some study is appropriate.
The problem I would have, and the only problem, is expressed in
my statement. And that is that if you are planning to close
NTIS and you are planning to do something in a hurry, you need
to have a study that is completed in a hurry. Otherwise you
need to carry on the NTIS function. You cannot just let that
function hang out there without some resolution in the short
term. That would be my concern.
Senator Frist. Mr. Clark, what is your reaction to the GPO
proposal?
Mr. Clark. Well, I think in terms of right now, I look at
the situation, where it sounds like there is this major
exigency to shut down NTIS. And if you look at the finances
currently, NTIS has right sized itself. And this is based on
going from the early nineties as primarily a paper product type
of operation to a hybrid situation where you have got both
paper and electronic dissemination. Now, with that, you had
additional costs, and also you have had some disintermediation
in terms of folks--government agencies--putting their content
on the Web.
Now the problem with that is that a lot of agencies, just
like the Department of Commerce, think as soon as they put up
their content, that is the end of their responsibility. And
that is really where the serious problem is. If you look at
NTIS's current revenue streams, our print subscriptions, our
electronic subscriptions are growing. The major losses (product
declines) have been in the demand area--and this is like
individual technical reports. And part of that is because
agencies slap it up on the Web and they think their job is
done.
It is very interesting, in talking about that ``Emerging
Digital Economy Report,'' when we worked with the Department of
Commerce and put a link to their site to order (the Emerging
Digital Economy Report products) from NTIS, we had several
hundred orders for print/paper copy. That is because one of the
reports was over 200 pages. In terms of talking about a flawed
business model, I wish the Department would do more links like
that. We could distribute a lot more copies and do a lot more
public good.
Senator Frist. Let me go back, Mr. Clark, to the $650,000
in excess of cost. You heard my questioning of the Secretary.
He basically said, he is very pleased with $650,000, but it
does not change the underlying thrust of the change in the way
business is conducted as you project out to the future;
therefore, we still need to make this shift.
Mr. Clark. Well, I disagree with that. In terms of if you
are looking at NTIS's clearinghouse revenue, it has actually
increased compared to last year. And in terms of the
dissemination of electronic products, we reach more users of
NTIS information than ever. What has happened, is you have
looked at a shift from a paper environment to an electronic
environment.
Even in terms of trying to compare units, I think there was
a reference in the Department's statement about units dropping
from 2.3 million to 1.3 million. What they did not tell you is
there was a half-a-million print copies of one paper
subscription that went to an electronic format. And so how is
it going to be counted as a print unit? And it is actually now
in a data base that is reaching many more users, with more
information than ever.
So here NTIS is being criticized for declining units when
it is actually doing a better public good in terms of
disseminating more information to more people at a lower cost.
Senator Frist. And the drastic turnaround that resulted in
this $650,000 excess above cost was due to what?
Mr. Clark. NTIS has to live within its means. As far as
when you are moving from a paper environment to an electronic
environment, you cannot grow yourself out of that (deficit
situation). I think the previous management that was in place
up through December 1998 thought that they could bring in more
people and have more skills and try to grow themselves out of a
deficit. And you cannot do that.
First, what you have to do is take a look at your costs.
You also have to look at your mission. You cannot go outside of
that mission. And you have to focus on that (mission) and do
the best you can in terms of providing that mission, and look
at technology to help lower your costs. And that is what NTIS
has been doing.
Senator Frist. Let me go back to the GPO proposal. Mr.
DiMario, in your opinion, would NTIS be subsumed as part of
this transfer? Do you keep it intact? Do you maintain it as a
separate division within GPO that is specifically responsible
for technical information? How do you envision that?
Mr. DiMario. My vision would be to do just that. NTIS
performs a valuable service. It deals with a specific
collection. It has specific cataloging. The community is used
to that cataloging. It would not be to change that. They do an
excellent job, and my sense would be not to disturb that.
However, there are areas in which there are duplications.
This attempt to survive in NTIS caused the management of NTIS
to reach out beyond the original statutory mandate to look at
the definition of scientific and technical information in a
much broader way, to basically include all information. As an
example, Secretary Mallett cited the IRS publications. The IRS
publications is a business of ongoing publications in the
Federal Government. They are not particularly scientific or
technical in the ordinary sense. And they are publications that
are distributed on an annual basis, changed periodically.
We have always done that work. However, in recent times,
NTIS and IRS have entered into agreements so that, especially
in CD-ROM products, that they would be the producers of the
product. And this ended up in a competition between the two
agencies that is not beneficial to either agency. And I think
we need to look at that structure in the sense of whether that
kind of activity should continue.
That is a direct result of this mandate to be self-
sustaining. And that is true in both agencies.
Senator Frist. Mr. Clark.
Mr. Clark. Senator, I come from the private sector. Two-
thirds of my career has been in the private sector. And it is
only coming into government that I hear competition is a bad
thing. Actually, I think it is a little bit different argument.
I think redundancy is a bad thing.
Now, in terms of if the IRS comes to NTIS because we
provide better capabilities--such as improved customer
service--I would think that is in the public good to have that
capability. That is why I do not quite understand--in terms of
the IRS coming to NTIS because we provide a better service--how
that is a bad thing.
Mr. DiMario. I would argue that that is not the case and
that in fact we provide the same product cheaper to the public
as a result. The IRS gets the product at a lower rate as a
result of their arrangement with NTIS, but the public pays more
for the product. We offer the same product for sale to the
public at a cheaper rate.
I do not think this is an appropriate forum to debate
specific publications or anything of this sort. Your question
to me was whether or not I would take over the function
directly as it is. And with respect to the core functions that
are in terms of the technical services that are provided, the
answer is yes, that I would do that. But I think as an
appropriate statement as a public servant, that I could not sit
here and say that we would not eliminate some of the functions
that are duplicative. And that is all that I was saying to you.
I would like to also add, with respect to your previous
question, that the estimate that was handed to me was between
$2 million and $5 million as the potential increased cost to
put the documents that are now fugitive into the depository
program. That is based essentially on an estimate of 50
employees times an annual salary and expense of around $45,000,
and an estimate that that would be around $2.25 million. So we
are saying somewhere between $2 million and $5 million in total
to take over that one function.
Senator Frist. If there are other incremental costs, you
can submit that to the record.
Mr. DiMario. Yes, sir.
Senator Frist. Dr. Challinor.
Dr. Challinor. Yes, I would like to say that the study that
we suggested, we think NCLIS could do in between 3 and 6 months
if we were given the proper funding. We think it would take
between 3 and 6 months to do to make a further study than the
one I just handed in.
Senator Frist. Thank you very much.
Mr. Clark.
Mr. Clark. Senator, I was wondering if I can just have a
letter that was sent by the IRS to NTIS in terms of the
reasoning for its choice in having NTIS produce the IRS CD-ROM,
and it was based on NTIS's advantage in terms of customer
service, I think that needs to be part of the public record in
terms of addressing this question as far as redundancy or
competition.
Senator Frist. We will insert that into the record once you
provide that for us.
[The information referred to follows:]
August 26, 1999
Mr. John DiDiduro
Acting FedWorld Manager
National Technical Information Service
FedWorld Business Office
5285 Port Royal Road
Springfield, VA 22161
Dear Mr. DiDiduro:
I want to thank you for submitting your proposal for the 1999 IRS
Federal Tax Products CD-ROM. As mentioned in the requirements, the
proposals were evaluated against technical and pricing criteria. Below
you will find the scores for the technical portion of the requirements.
------------------------------------------------------------------------
Technical GPO NTIS
------------------------------------------------------------------------
General..................................... 30 30
Production Capabilities..................... 33 34
Customer Support............................ 19 25
Marketing................................... 10 10
------------------------------------------------------------------------
Total Score................................. 92 99
------------------------------------------------------------------------
Pricing between GPO and NTIS are about equal with the exception of the
cost to IRS. NTIS charges will yield IRS a saving of $47,742 over GPO.
Therefore, IRS will select the National Technical Information Service
(NTIS) as the winning offeror.
If you have any further questions or concerns, please feel free to
contact me.
Thank you for your time and effort in this matter.
Sincerely,
Romona L. Stickell
National Director
Multimedia Production Division
Mr. Clark. Could I add one more thing?
Senator Frist. Yes, sir.
Mr. Clark. The Under Secretary (earlier) had commented
about having in his legislation requiring (that) chief
information officers to ensure that agencies' content is
submitted to, I guess, the Library of Congress. If you look at
the American Technology Preeminence Act now, there is a
provision for that agencies are currently required to submit
their scientific technical and engineering information to NTIS
under the ATPA. The problem is many agencies choose to ignore
it.
And what NTIS does is proactively (Web harvest)--and I know
there has been talk about the high cost of Web harvesting--NTIS
(Web harvesting) actually provides a technological solution to
bring that information into its collection so that it is
available through many more channels.
I know, in terms of last year, there was a reference made
about the Department of Energy and how it was no longer going
to send its images to NTIS. Well, what happened was the
Department of Energy, through a fiscal environment that was
being cut, did not have the resources to pay to do that (cover
the cost of sending its images to NTIS). So we worked very
closely with them, because they understand that NTIS
distributes content through a number of different channels, and
(NTIS) was able to find a technological solution so that we
could harvest their images and still be able to provide that
expanded distribution and serve the public good.
Senator Frist. Any final comments? Let me just say right up
front, it has been very helpful to hear this discussion, the
various vantage points. It has given the Subcommittee an
opportunity to hear a number of sides of the debate as we
continue to decide where is the most appropriate home for the
clearinghouse. It is unlikely that we will settle this over the
next 2 weeks while we are in session, but I think it is clear
from the three elected representatives, as well as each of our
witnesses, that there is no agreement at this juncture.
I would like to urge the Department of Commerce to continue
the dialog with this Committee to ensure that we are absolutely
reaching the right solution to the challenge before us. Before
finishing, I would be happy for any of you to make any final
brief closing statement.
Mr. DiMario. My comment is only germane as to Mr. Mallett's
statement. One of the things that he indicated was that their
reasoning in not selecting GPO and selecting the Library of
Congress had to do with having adequate facilities for the NTIS
collection. And I would submit to you that we have over 40
acres of space, and the amount of space that they are talking
about is probably less than 1 acre of space. We have more than
adequate space to house the collection, house the staff that
exists and to carry on the function. I think Mr. Mallett was
misinformed on that issue.
Senator Frist. Thank you.
Dr. Challinor.
Dr. Challinor. And I would like to say that if we do not
know where we are, I do not think we know where we want to go.
Senator Frist. You sound like a historian.
[Laughter.]
Dr. Challinor. I am a historian. And I would just like to
make that point strongly. We feel that we have turned out a
really good report on government information, how it is
disseminated. The fact that it has some problems should not
deter us from going forward and learning where we are before we
go anywhere. How is the car working before we drive the car?
Senator Frist. Boy, you are asking a lot.
[Laughter.]
Senator Frist. Mr. Clark.
Mr. Clark. I just want to again reaffirm the fact that,
from the Union's position, there is no valid reason to close
NTIS. Its mission is important. The employees continue to work
hard in terms of completing that mission.
I would also like to add that my mother is a special
librarian of 16 years that purchased NTIS products in the past.
And in terms of looking at the situation, I have a very close
ear in terms of with the library community and many of the
issues that they face in terms of information dissemination and
problems in terms of accessing government Web sites.
Senator Frist. Good. I thank all three of you. And I
personally, as well as the subcommittee, will remain very
actively engaged as we go forward and continue to address this
very, very important issue. I thank all of our witnesses.
[Whereupon, at 4 p.m., the hearing was adjourned.]
A P P E N D I X
Statement on behalf of the American Association of Law Libraries,
American Library Association, Association of Research Libraries,
Medical Library Association, Special Libraries Association
On behalf of the American Association of Law Libraries, the
American Library Association, the Association of Research Libraries,
the Medical Library Association and the Special Libraries Association
we appreciate the opportunity to submit this statement on the October
21, 1999 Subcommittee hearing on Secretary of Commerce William M.
Daley's proposal to close the National Technical Information Service
(NTIS).
There are many critically important issues involved raised by the
proposal to close NTIS, not just those limited to scientific and
technical information (STI). Indeed, the Commerce Department proposal
touches upon all aspects of federal information policy. Consequently,
these issues must be carefully reviewed before the Commerce proposal
goes any further. We believe that it is essential to continue the basic
functions and services that NTIS provides to identify, collect,
disseminate, and archive scientific and business information, whether
at NTIS or at other federal agencies. These core functions are
inherently governmental and should be continued in some capacity.
Information is a key byproduct of our country's $80 billion federal
research and development investment--an investment that has kept the
United States as a world leader in the information age and the global
economy. In light of this enormous investment of resources, this
proposal by Commerce can be an opportunity to analyze how these
functions can be carried out in the most effective way to maximize the
public's bility to access our government's scientific and technical
information and other related business information. This can be an
opportunity to improve the government distribution of federally-funded
information products. We believe that any legislation enacted to
relocate or reinvent NTIS should result in the improved ability of
businesses, researchers, and the American public to have ready,
ongoing, and permanent access to government information previously made
available through NTIS for a fee.
The library community suggests that there are three key areas of
concern regarding the possible closing of NTIS:
First, there should be a thorough assessment of the full range of
NTIS services, of alternatives of providing each service, and of the
current requirement that the NTIS program be self-supporting--and that
NTIS should not be closed nor its services transferred until such an
assessment is conducted.
Second, NTIS provides unique centralized services that are
critically important to the ability of the public to locate and have
access to the government's STI resources, including the tangible
collection and current agency web-based publications.
And third, technology has not yet solved two key challenges in
moving towards greater dissemination of STI reports through the
Internet: those challenges are centralized bibliographic access and
permanent public access.
a thorough assessment is needed
The United States is a world leader in scientific and technical
research. Effective access to that research is fundamental to
maintaining that leadership. NTIS plays a vital role in the collection
and dissemination of the governments scientific, technical and business
information, making that information available to a wide range of
students, faculty and researchers. Thus, the Department of Commerce
proposal to close NTIS raises a perennial question: How can the federal
government best make these information resources more readily available
to researchers, businesses, and the general public? In order to answer
this question, particularly because to date there have been few details
provided as to the transfer of NTIS important services, we need a
comprehensive assessment of the full range of NTIS services to
determine how these important services are to be provided. NTIS should
not be closed nor its services transferred until there is a thorough
study of the full range of NTIS services, of alternatives for providing
each service, and, of the requirement that the program be self-
supporting.
Until this assessment is completed, it is premature to talk about
what entity or entities should take over the NTIS functions, Those that
have been mentioned as possible successors include the Library of
Congress, the Government Printing Office, the National Archives and
Records Administration, and the General Services Administration.
Finding another way to provide those services, however, must involve
much more than simply shifting the costs from one agency to another or
from one branch to another.
Indeed, it would be ideal if the proposed Department of Commerce
plan could be the jumping-off point for a broader discussion of how the
federal government can best make information resources of all kinds
readily available to the general public, to researchers and to
businesses. To that end, we must first understand how NTIS and its
services fit into the broader federalinformation framework.
This should be an opportunity to consider the many issues involved
in:
identifying what agency or agencies can most
effectively collect, maintain, disseminate and preserve the
information;
cataloging and indexing information products for
future retrieval;
providing ready access to information resources,
regardless of format;
evaluating the costs of these and other services and
determining how they should be borne; and
ensuring permanent public access to information
resources.
In undertaking this assessment, there are a number of key questions
that should be considered:
1. What is the role of NTIS and its services in the federal
information framework?
2. Some of NTIS's services, such as the acquisition, indexing,
maintenance, and preservation of the STI collection, are inherently
governmental or ``public good'' functions. We need to ask: What are the
core, valuable services that NTIS performs for different
constituencies, e.g. federal agencies, libraries, private sector
entities, that support the research and development enterprise?
3. What are the financial ramifications for agencies which utilize
NTIS services if the agency is no longer in operation? For example, who
will serve as the dissemination and indexing service for agencies? What
policies are in place or will need to be developed to assist agencies
in providing access to their resources?
the unique value of ntis's centralized services
A centrally coordinated clearinghouse for the collection,
dissemination, bibliographic control, retrieval, and archiving of
federal technical reports is necessary to ensure access by businesses,
researchers, and the public. Government information can be difficult to
identify and locate. If a user cannot locate the information, its
inherent value is lost. Users often do not know which agency or
subagency produced a given publication, and even with this knowledge,
finding copies of a publication on an agency's Internet site can be a
difficult and frustrating experience as users encounter a multitude of
databases, software, and search engines that offer access to government
information. NTIS collects and makes available much of the scientific
and technical research from hundreds of separate federal departments,
agencies and offices. Without this service, which allows researchers to
be aware of and have access to previous research efforts, our country
would waste millions of dollars on repetitive research and development.
As a clearinghouse for a large variety of publications and reports,
NTIS also has provided the bibliographic control of this material that
helps the public find what they need, whether those reports are in
electronic or paper format. A clearinghouse can provide links to
individual agency web sites, can identify and locate reports that are
not on the Internet, and can guarantee long-term public access and
permanent preservation. Businesses, researchers, and the American
public must continue to have access to the NTIS database of indexing
and cataloging services for the government's scientific and technical
reports.
Under the current NTIS model, libraries--particularly large
academic, research and special libraries--purchase NTIS bibliographic
database and segments of its vast collection. Libraries constitute 80%
of the subscription base to the NTIS database. For example, at the
Georgia Institute of Technology, access to the NTIS Index is essential
for research and teaching--and is one of the most heavily used
databases--because it consolidates indexing to reports of government
sponsored research from a variety of agencies. Students seeking
information about these reports would almost certainly be unable to
locate needed information if it became necessary to search many
different agency web sites.
In addition to the database, Georgia Tech has maintained a
repository of reports for its faculty and students that dates back to
the 1960s. Its current technical reports collection is 2.6 million
items -- a valuable resource for research and study. It must be
emphasized, however, that although a number of research libraries have
acquired major segments of NTIS collections at considerable cost, no
library has all of the reports nor is any library obligated to keep the
material. It is the federal government that has the obligation to
preserve these materials and to ensure that the public has permanent
access to them. The issue of long-term and permanent access to valuable
scientific and technical information must be carefully considered.
For meaningful continuation of NTIS services, we suggest that the
following questions are addressed:
1. There is a federal research and development investment of well
over $80 billion with information being a key byproduct of that
investment. NTIS plays a primary role in ensuring that some of the
products of that investment are publicly available. How will this be
continued if NTIS is no longer mandated to provide this service?
2. NTIS plays a key role in imposing uniformity via common
standards in indexing scientific and technical information (STI)
products from myriad federal agencies. Most of these agencies utilize
different indexing schemes. How will this important role be continued
in the future?
3. Although the American Technology Preeminence Act mandates
agencies to submit STI products to NTIS, there has not been full
compliance with the Act. It is important to try and achieve as
comprehensive a collection as possible to support needed R&D
activities, both in the public and private sectors. As discussions
evolve concerning the roles and responsibilities of NTIS and related
information dissemination agencies, are there other mechanisms that
should be considered to make the clearinghouse as robust and complete
as possible, regardless of which agency is tasked with acquisition,
maintenance, and preservation of the collection?
4. NTIS maintains a core collection of paper products for which
there continues to be a demand-two-thirds of the titles NTIS sells in
any year are more than 3 years old and over half are over 10 years old.
This is, in part, because research projects build on prior knowledge
thus a researcher needs access to all prior research, some of which is
federally-funded and accessible via NTIS. As more information becomes
available electronically, these resources in conjunction with the paper
products, should be included in the collection, ensuring the building
of a robust and expanding collection over time. How will efficient,
meaningful and cost-effective access to these resources he continued?
5. Addressing long-term preservation and access issues are central
to the success of any collection, including both print and electronic
resources. How will this crucial function be continued in an
increasingly decentralized networked-based environment? NTIS has
undertaken the role of archival repository for many agencies. How will
these archival concerns be addressed?
the challenges of technology and internet access
The rapid pace of technological change is truly daunting. The
Internet and other advances in electronic technology have made amazing
and positive changes in the way information can be gathered and shared.
By 2007, it is estimated that there will be more than a billion
computers and Internet-enabled appliances. But as significant as the
advancement has been, many of us still rely upon printed products; some
agencies do not make all of their information resources available via
the network; and search engines and related technologies are not
sophisticated nor sufficiently robust to permit effective cross
database searching and retrieval. Moreover, many users continue to
require hard copy, microfiche, and disc products to meet. their needs.
Certain types of publications still are most easily used in print, and
CD-ROM is often a more useful format for disseminating large data sets
than is the Internet. Last year alone, the Government Printing Office
sold 19 million of these tangible government publications.
It is estimated that achieving the vision of effective and easy
access to information resources across agency databases--access to the
content of the resource, not mere linking--will not be possible for at
least five years. And achieving this vision is not only technology
dependent. Policies will need to be enforced to ensure that agencies
are in fact making their resources publicly available. We need to
ensure an efficient means of supplying similar NTIS products to
citizens and businesses. Simply replacing NTIS dissemination of
technical and business information with decentralized Internet access--
posting individual technical and business reports on individual agency
Internet sites--will not ensure continuing and permanent access to
scientific and technical reports.
The following questions should be asked:
1. How has the federal information framework evolved and changed
most recently due to the introduction of information technology and the
increasing reliance upon the networked environment to make information
resource publicly available?
2. Looking to the future, what technological changes are
anticipated and are required to implement a comprehensive approach to
meeting the Nation's needs in access to federal information resources,
of which STI is only one part?
conclusion: ntis and the public good
The NTIS plays a key role in a complex, interwoven information
system encompassing many agencies, users, and technologies. Thus, we
strongly support this Subcommittee's undertaking of a thoughtful,
thorough analysis and a systematic approach to the Department of
Commerce proposal, taking into account the broader federal information
framework. We need to have all the right stakeholders at the discussion
table. We need to allow enough time to do it right, because continued
public access to and preservation of this collection--and future
scientific and technical information that the federal government
produces--is of critical importance to our R&D enterprise and to the
economic well-being of the nation.
ORGANIZATIONAL BIOGRAPHIES
THE AMERICAN ASSOCIATION OF LAW LIBRARIES (AALL)
The American Association of Law Libraries is a nonprofit
educational organization with over 5,000 members nationwide. Our
members respond to the legal and governmental information needs of
legislators, judges, and other public officials at all levels of
government, corporations and small businesses, law professors and
students, attorneys, and members of the general public.
THE AMERICAN LIBRARY ASSOCIATION (ALA)
The American Library Association is a nonprofit educational
organization of 58,000 librarians, library educators, information
specialists, library trustees, and friends of libraries representing
public, school, academic, state, and specialized libraries. ALA is
dedicated to the improvement of library and information services, to
the public's right to a free and open information society--intellectual
participation--and to the idea of intellectual freedom.
THE ASSOCIATION OF RESEARCH LIBRARIES (ARL)
The Association of Research Libraries is a not-for-profit
organization representing 122 research libraries in the United States
and Canada. Its mission is to identify and influence forces affecting
the future of research libraries in the process of scholarly
communication. ARL programs and services promote equitable access to,
and effective use of, recorded knowledge in support of teaching,
research, scholarship, and community service.
THE MEDICAL LIBRARY ASSOCIATION (MLA)
The Medical Library Association is an organization of over 3,800
individuals and 1,200 institutions in the health sciences information
field. MLA members serve society by developing new information delivery
systems, fostering educational and research programs for health
sciences information professionals. and encouraging an enhanced public
awareness of health care issues.
THE SPECIAL LIBRARIES ASSOCIATION (SLA)
The Special Libraries Association is an international professional
association representing the interests of information professionals in
60 countries. Special librarians are information resource experts
dedicated to putting knowledge to work to attain the goals of their
organizations.
______
On the other hand, NTIS operates under a different model mandated
by Congress where the agency maintains its specialized collection of
the U.S. government's scientific and technical information and
disseminates its findings at no cost to the U.S. taxpayer. Instead,
both domestic and international consumers of this information pay the
nominal costs associated with supporting ongoing access to this
collection. NTIS places an important emphasis on partnerships with the
private sector to expand dissemination of its content and provide for
ongoing technological innovation, again at no taxpayer expense.
The final result is another win-win situation for U.S. citizens.
They have the benefit of the ongoing availability of the items within
the NTIS Clearinghouse and improved access to the NTIS Collection
through technological innovation spurred by private-sector investment
as opposed to taxpayer dollars. This is accomplished without the need
for an appropriation from Congress. If NTIS were eliminated and all
agencies were required to cover the additional burden of disseminating
their government research information, additional taxpayer resources
would be required.
where do we go from here?
NTIS' successful Union/Management partnership has helped NTIS to
significantly reduce costs. However, now that NTIS' financial crisis
has subsided, the outplacement program and other staff reductions from
faster-than-expected attrition have left NTIS with 10-15 fewer
employees than planned. This has resulted in NTIS having a shortage
regarding the skill mix required to provide its full range of services
to the public and other agencies, and to generate the necessary
revenue. The Union recommends that NTIS have the opportunity to move
forward with its restructuring plan. This would include the lifting of
a hiring freeze now imposed upon the agency by the Department. These
actions would support NTIS' ongoing use of technology to complete its
public good mission, while further reducing costs. In addition, the
Union urges Congress and the Executive Branch to complete a review of
current government information resources (i.e., NTIS, the Government
Printing Office, the Library of Congress, etc.) to develop an overall
``information policy'' which can best utilize these invaluable
government assets.
______
Prepared Statement of James H. Billington, The Librarian of Congress
Thank you for the opportunity to provide the Library of Congress
perspective as the Subcommittee reviews the proposal by the Department
of Commerce to terminate the National Technical Information Service
(NTIS). In its initial August press release and subsequent bill drafts
concerning the closing of NTIS, the Department of Commerce proposes
transferring NTIS paper, microfiche and digital archives and
bibliographic databases to the Library of Congress, to be maintained
and made accessible to the public. The Subcommittee has provided to the
Library draft legislation intended to accomplish the termination of
NTIS and the transfer of various collections and functions out of the
Department of Commerce, which the Library is in the process of
evaluating to determine the legislation's impact on the Library's
mission and existing programs.
While discussions of this matter have been necessitated by the
actions of the Department of Commerce, now is perhaps an opportune time
also to address pressing and important new challenges in information
collection, dissemination, and archiving that face the federal
government as a whole. The Library of Congress is eager to participate
in an examination of federal information policy and to assist in
determining the ultimate disposition of the collections and functions
of NTIS.
Department of Commerce statements correctly point out that the
Library has sizeable holdings in the area of science and technology.
Our collections in this area date back to the Congress' purchase of
Thomas Jefferson's personal library in 1815, after the original Library
of Congress was burned by the British army. The library that Jefferson
sold to the Congress not only included over twice the number of volumes
in the Congress' earlier library; it expanded the scope of the Library
far beyond the bounds of the destroyed books that had been devoted
primarily to legal, economic, and historical works. Jefferson's books
were in French, Spanish, German, Latin, Greek and Russian and the new
Library of Congress covered such subjects as architecture, agriculture,
chemistry, zoology, technical arts, and geography. This was the basis
for the Library's universal collection of today--along with the
transfer of the Smithsonian Institution library in 1866 to the Library
of Congress of about 40,000 volumes of publications of learned
scientific societies, museums, exploring expeditions, and observatories
throughout the world. This transfer, known as the Smithsonian Deposit,
considerably broadened the range of the Library's science collections
and permanently influenced their further development.
Over the next century, the Library greatly expanded its scientific
collections, both domestic and foreign. This expansion was primarily
attributable to intelligence gathering in wartime, copyright deposit
and a vast increase in foreign exchanges and overseas acquisitions
offices (which today provide acquisitions for the nation's premier
research libraries as well for the Library's own collections). In 1963,
the Library, at the urging of, and with funding from, the National
Science Foundation, began to operate a National Referral Center for
Science and Technology. Over time, referral services for scientific
information were integrated into the Science, Technology and Business
Division.
The Science, Technology and Business Division provides reference
and bibliographic services and develops the collections in all areas of
science and technology (with the exception of clinical medicine and
technical agriculture, which are subject specialties of the National
Library of Medicine and the National Agricultural Library respectively)
and in business, management and economics. The scientific, business and
technical materials in the Library's book and journal collection for
which the Division has collection development responsibility comprise
about eight million items--roughly 40 percent of the Library's total
book and journal collection. In addition, the Division maintains,
services, and develops its own specialized collections of technical
reports, standards and international ``gray literature'' (i.e., non-
classified, unpublished material often available only through
specialized channels), amounting to 3.7 million items.
On several occasions--particularly during the early 1990's, with
the advent of mass public use of the Internet--the Library has explored
enhancing general access to scientific and technical information
through development of specialized reference databases, making ``gray
literature'' available electronically, and taking on a leading role in
the national discussions of this topic. These exploratory activities
have involved assessment of other federal agencies' collections and
services, as well as collaboration with academic and commercial
interests in assessing the respective roles of government and the
private sector. During the Reagan Administration's discussions relating
to privatization of NTIS, then-Secretary of Commerce Mosbacher and I
conducted preliminary but inconclusive discussions about having the
Library of Congress become the archival center for NTIS documents. The
idea seems to have been revived to some degree in the Commerce
Department's stated proposal for transferring NTIS' collections to the
Library.
Editorials and commentaries on NTIS's imminent demise seem to
accept the conclusion that electronic access to, and agency-based
rather than centralized dissemination of, scientific and technical
information have rendered an NTIS-type operation obsolete. Librarians
and business and academic researchers are not so likely to concur with
this conclusion. In many ways, the growth of electronic access and
automated databases have greatly expanded the demand for reference
services that are integrated with document delivery, such as the
services provided by NTIS, as well as those provided by the private
sector information industry. The question of how optimally to meet
those demands in a rapidly changing information environment is now
squarely before this subcommittee.
As the Subcommittee explores the best way to proceed, I hope you
will consider, by their component parts, the full spectrum of
operations involved in collecting, organizing and supplying scientific
and technical information. NTIS provides or acquires a wide array of
services, including publication, acquisition, indexing, abstracting,
translation, digitization, distribution, and archiving of information
from many sources and in several formats. NTIS not only provides
centralized access to scientific and technical U.S. government
information, but it also acquires these types of materials from non-
government and foreign sources and provides reference and distribution
services for these as well. These functions dovetail with activities
carried out by the Commerce Department, the Library of Congress, and
many other federal agencies in assisting the nation's academic and
commercial entities to capitalize on research and development of the
United States and the world, and to push innovation to the next level.
The assertion that some of NTIS' functions cannot be sustained on a
cost-recovery basis does not necessarily mean that all or even most of
its functions should be discontinued. If NTIS cannot continue in its
present form, the federal government must examine which of its
functions are sufficiently desirable and effective to merit continued
federal support, and how and where such functions can best be sustained
to ensure the uninterrupted acquisition, accessibility and preservation
of scientific and technical information. Each function now carried out
by NTIS should be assessed as to whether the function is needed,
whether it should be centralized (or centrally coordinated); whether
multiple access points, public and private, should be encouraged; and
whether the function should be self-sustaining or publicly supported in
order to serve a larger public good. Only then can a responsible
conclusion be reached as to which agency or agencies are best
positioned to ensure future access to information in all formats, even
to some low-demand but potentially important products.
The Library of Congress can lend substantial expertise to this
assessment, and may, given adequate resources, be a logical successor
to NTIS for those functions that complement the Library's mission--
particularly collecting, cataloging, and providing congressional,
research and public access to scientific and technical material that is
of policy-making or historical value or may not be easily found
anywhere else. However, these functions, as the Department of Commerce
has pointed out, are costly and, in large part, cannot realistically be
recouped through a fee-based sales program. Moreover, the Library lacks
the authority (and a proper business mechanism such as a revolving
fund) to retain fees from such a sales program.
However, many of NTIS' functions (including proactive information
retrieval activities, high volume document distribution, translation of
foreign materials, abstracting scientific and technical reports,
declassifying government information, brokering agency databases to the
information industry, and print and electronic publication of
information products of executive agencies) are beyond both the
Library's current mandate and available resources. Several functions
alluded to in the most recent available draft of the Department of
Commerce's legislative proposal, such as being involved in determining
a ``compatible electronic format'' for future supplies of executive
branch STE information, raise separation of powers issues, as well as
practical issues that Congress has struggled to address in the larger
context of public access to federal information.
The Library has submitted written questions to the Department of
Commerce to elicit information regarding the resources necessary to
fulfill the functions that Commerce proposes to transfer legislatively
to the Library. This information will be necessary for the Library--and
the Congress--to assess the Library's ability to carry out new
functions that fall within our mission without impairing our current
programs and services. I have attached for the Subcommittee's
information the specific questions posed to the Department of Commerce
[Attachment A]. We understand that responses to the questions will be
provided shortly before the hearing; as soon as the Library receives
them, we will share them with the Subcommittee.
Mr. Chairman, I commend you and the members of this Subcommittee
for convening this hearing. The matter immediately before this
Subcommittee, NTIS, is one part of a larger government wide concern.
The resolution of this matter will have a bearing on federal
information policy generally. The Library continues discussions with
National Archives, the Government Printing Office, the library
community and other stakeholders about this proposal as it relates to
the collection, dissemination and archiving of government information
generally. These functions, whether carried out by NTIS or elsewhere,
arguably should be considered to be component parts of a cost-effective
federal investment in research and development--a goal this
Subcommittee has worked toward during this session.
In his sixth annual message as president, Thomas Jefferson stated
that ``a public institution alone can supply those sciences which,
though rarely called for, are yet necessary to complete the circle, all
the parts of which contribute to the improvement of the country.'' The
Library of Congress is one public institution that looks forward to
continuing to work with the Congress to ensure the circle is complete.
Attachment A
Questions Raised by September 30, 1999 Draft Legislation by the Library
of Congress to the U.S. Department of Commerce, October 7, 1999
1. Transfer of Collections to Library
Does the term ``scientific, technical, or engineering
information'' as defined in section 3(e), fully encompass the
3-plus million item collection to be transferred to the Library
of Congress, including foreign materials and gray literature?
The draft appears to place the burden on the Library,
once it receives the collection, to comply with the Federal
Records Act of 1950 [section 102 (b)]. The National Archives
and Records Administration has examined the collection since
the Department of Commerce's announcement of the closing of
NTIS. What is the assessment of the quantity and nature of the
records that are required by law to be transferred to NARA?
What are the current space requirements for the
collection (sq. ft.)?
What is the current level of bibliographic control of
the collection, particularly of the older items (over 5 years
old)? Is the current cataloging information compatible with LC
cataloging?
Please provide a breakdown of the formats of items in
the collection (paper, fiche, digital other) and the size of
the bibliographic and other databases.
2. Resources Needed to maintain the collection
Please provide a breakdown of NTIS personnel (or other
Department of Commerce or contract personnel), by GS-level,
responsible for the following NTIS activities:
--acquisition (including collections policy
development)
--cataloging
--abstracting and indexing
--translating
--storage, archiving and preservation (including re-
formatting)
--database and IT management
What is the volume of new items coming into the
collection per year, in what formats? What is the annual volume
of cataloging, abstracting, and indexing performed? What
proportion of new acquisitions have not been digitized?
3. Other Functions and Responsibilities
What is ``full availability and continued improvement''
intended to mean, precisely [sec. 201(a)]?
Title 3 is silent with respect to agencies'
obligations under Title 44. How is this intended to affect
those obligations?
What recourse would the Library have if an agency did
not comply with sec. 201(b)? How would the Library know whether
an agency had failed to provide the information? Does NTIS
provide staff resources for the purpose of tracking down
``fugitive'' documents?
Describe the number and types of inter-agency
agreements NTIS has currently to ensure receipt of new
government and unpublished information and contract research
reports.
4. General issue:
The draft legislation includes the finding that ``The
Library of Congress is uniquely suited to serve as a central
point of access'' to government information. What factors have
gone into the implied conclusion that the Government Printing
Office is not so suited?
______
Response to Questions Submitted by Hon. Bill Frist to Michael F.
DiMario
Question 1. Can you describe why you are able to include the same
documents in both your sales program and the Federal Depository Library
Program (FDLP)?
Answer. When publications are printed or procured through GPO,
they are reviewed for selection by the FDLP and our sales program. By
law, all publications having public interest or educational value,
except those produced for purely internal administrative purposes or
classified for national security reasons, are selected for the FDLP.
Agencies which print or procure publications other than through GPO are
required by law to provide copies of those publications for inclusion
in the FDLP. For the sales program, only those publications with sales
potential, based on analysis by GPO and the publishing agency, are
selected. Publications distributed to depository libraries are funded
by an annual appropriation. The sales program is supported only by
revenues from sales.
Question 2. Can you elaborate on the competition between the GPO
and NTIS sales programs in recent years?
Answer. NTIS provides a highly valuable public service through the
performance of its core function: the collection and dissemination of
Federal scientific, technical, and engineering information (STEI). For
most of the past 50 years, when NTIS's activities were directed toward
the performance of this core mission, there was little if any
competition with GPO's sales program, which is established by law as a
general sales outlet for Government publications of all kinds. However,
following the establishment of NTIS as a total cost recovery
enterprise, NTIS has become involved in the dissemination of a variety
of non-STEI in an effort to generate revenues because of the limited
sales potential of STEI titles. This has led it into direct competition
with GPO's sales program. Competition is not the legislative purpose of
either GPO's or NTIS's programs. The question, therefore, is what
public purpose is being served by this competition, in view of limited
public resources.
In recent years, NTIS has actively sought out GPO's best-selling
non-STEI titles (for example, Big Emerging Markets and the Statistical
Abstract), and it today carries an extremely wide range of subjects,
including Civil War histories. NTIS's effort to generate revenues
recently resulted in recommendations to go even farther afield from its
core mission. A market study issued last year by Andersen Consulting,
Inc., ``Developing a Market-Growth Strategy'' (November 25, 1998),
called on NTIS to ``develop and execute a rigorous, market-driven
operational strategy'' by ``identifying and acquiring more best-
sellers'' (p. ES-3), including publications on Medicare, school safety,
agriculture, and so on (p. ES-5). These are clearly non-STEI products.
The report also states, ``[a]lthough NTIS' primary market is
professional publishing, product opportunity should be considered for
cross-over publications into the consumer/trade segment,'' including
such ``consumer-trade segment titles'' as cookbooks, mystery, religion,
romance, sports, travel, and gardening (p. 74). GPO is not the only
Government entity to register concern with these developments. In his
March 1999 Semiannual Report to Congress, the Inspector General for the
Commerce Department stated ``[w]e are...concerned that in order to
replace lost sales, NTIS is seeking business opportunities at the
perimeter of its statutory mission...'' (U.S. Department of Commerce,
Office of Inspector General, Semiannual Report to Congress, March 31,
1999, p. 14).
The question of what public purpose is being served by the
competition between NTIS and GPO can be illustrated by our experience
with sales of the Internal Revenue Services tax forms CD-ROM product,
an issue that was raised during the hearing. Until 1998, GPO was the
producer and distributor of the IRS tax forms CD-ROM. The product
consists of two CD-ROM's, distributed about one month apart. In 1997,
GPO sold 56,830 copies of this product via phone and mail orders. In
1998, IRS provided the tax forms data to NTIS instead of GPO. In order
to obtain a product for sale to GPO's longstanding customers, we had to
purchase CD-ROM's from NTIS. In 1998, GPO sold 35,000 copies of this
product via mail, phone, and e-mail order, and NTIS reportedly sold
about 30,000 copies. GPO priced the CD-ROM at $20 while NTIS sold it at
$20 plus $5 shipping and handling (a total of $25) if ordered by phone
or mail, or $13 plus $5 shipping and handling (a total of $18) if
ordered electronically. In spite of NTIS's lower price for electronic
ordering, GPO still captured half the market.
This year, IRS again provided the tax forms data to NTIS. The IRS
selection of NTIS was held after a competition between NTIS and GPO.
GPO has not been permitted to see the NTIS submission to IRS and so we
have no basis on which to judge its merits or to counter with a better
offer. The NTIS price is currently being advertised as $23 plus $5
shipping and handling (a total of $28) for mail, fax and telephone
orders, or $16 plus $5 shipping and handling (a total of $21) for
electronic orders. GPO is preparing a comparable product based on IRS
data that is available online, and will offer customer support
services. The GPO price will be $20 for mail, phone, fax, and
electronic orders.
Since the Printing Act of 1895, GPO has a strong record of
providing responsive, cost-effective information products and services
for Congress, Federal agencies, and the public. We will willingly
compete with other Federal agencies to provide public access to public
domain information products in CD-ROM format, provided the competition
is conducted openly with full and fair access to all information and,
of course, accords with all statutory and regulatory requirements
regarding the reproduction and dissemination of Government
publications. However, in this case the competition was conducted
without full and fair access to all information. Moreover, it has
resulted in a situation in which purchasers of the CD-ROM from NTIS
will pay $8 more for this product than they need to if they are unable
or unwilling to order electronically. Based on last year's purchasing
patterns, over 40,000 people did not purchase electronically. If that
pattern is repeated, these customers will pay up to $320,000 more for
the NTIS product than GPO would have charged. Finally, it placed the
Government's distributor of STEI in the place of being a distributor of
IRS tax forms to the public, which is clearly outside of its statutory
mission.
NTIS's mission as a collector and disseminator of STEI is a
valuable function, but its competition with GPO's general sales program
does not appear to be generating any marked improvement in public
access to Government information products.
Question 3. You mentioned that the GPO sales program is operating
at a loss. NTIS has testified about how it has reduced costs. What has
GPO done to reduce its operations costs?
Answer. As we testified, our sales program is facing a loss
situation today. One reason for this is the increased availability of
some of the same data on the Internet. However, the decline in sales of
Government publications cannot be attributed solely to the free
availability of information on the Internet. Reductions in the number
of Federal publications due to cutbacks in agency publishing budgets,
in addition to competition from private sector reprinters and other
Government sales programs (such as NTIS), are contributory factors to
the decline of sales revenue.
Unlike NTIS, GPO has a financial structure that provides retained
earnings that can be used to temporarily absorb losses, thus avoiding
an anti-deficiency situation. To address the loss, we are reducing
staffing (through attrition) and reducing product order volume to
minimize the potential for unsalable publications. We have improved
public order options by making secure online ordering available. We are
increasing promotion of sales products. We have received authorization
from the Joint Committee on Printing to include popular agency
publications printed or procured other than through GPO in the sales
program. We have implemented a general price adjustment. We have
reduced warehouse space for publications and are planning for further
reductions by releasing some of it for consolidation with paper
warehouse storage space. We are implementing an Integrated Processing
System to automate all program functions. Beyond these steps, we will
undertake a review of the overall program structure to determine how
best we can continue meeting the public's need for access to Government
information products through reasonably priced sales.
Question 4. Would you also transfer NTIS' current consulting
services to other Federal agencies?
Answer. We do not have adequate information available on NTIS's
programs and services at this time to make a determination on the
appropriate disposition of NTIS's functions, should Congress transfer
them to GPO. Our primary interest, as we stated in our testimony, is in
the future of NTIS's core STEI dissemination function, including the
provision of free FDLP access to ``fugitive'' Government publications
and the electronic data and web sites hosted on Fed World.
Question 5. Does GPO's current mandate allow it to take over all of
NTIS without further legislative change?
Answer. We believe our legislative mandates to catalog, index, and
make available to depository libraries all Federal information that has
public interest or educational value, except those produced for purely
internal administrative purposes or classified for national security
reasons, are sufficient authorization for taking on the collection and
dissemination of STEI, if Congress makes that determination. Our sales
program and revolving fund authorizations are broad enough to take on
the sale of STEI, although certain legislative adjustments to that
authority may be desirable with respect to pricing and discounts.
However, to continue the NTIS practice of collecting and distributing
non-Federal Government STEI, a specific statutory authorization may be
necessary. In addition, we currently operate under a statutory ceiling
on staffing in the Legislative Branch Appropriations Act that might be
affected by a transfer of functions, depending on how many staff are
included in the transfer.
Question 6. If GPO was granted the NTIS functions, how many of the
NTIS staff would you expect to add to the GPO staff?
Answer. We would regard the NTIS staff associated with the
transferred NTIS functions as absolutely essential to the successful
continuation of those functions. The number of transferred staff would
depend on which functions Congress determines to transfer.
Question 7. Can you comment on NTIS's ``cooperative publications''
and how GPO will address this designation if NTIS is transferred to the
agency?
Answer. NTIS has long claimed its publications are ``so-called
cooperative publications which must necessarily be sold in order to be
self-sustaining,'' as defined in section 1903 of Title 44, U.S.C. Such
publications are statutorily exempted from distribution through the
FDLP. Notwithstanding a General Accounting Office decision supporting
NTIS, however, we do not believe that this exemption was intended for
publications created wholly at Government expense, as are most STEI
publications handled by NTIS. Accordingly, we would make them available
for distribution to depository libraries. Every title that is in our
sales program is also in our depository library program.
Question 8. Do you agree that the resolution to NTIS should be part
of a larger initiative to address an overall policy on the electronic
publication and dissemination of government information? Do you have
any suggestions or recommendations for such a policy?
Answer. We would not object to addressing overall information
policy in this fashion. However, the continued bifurcation of
Government information collection and dissemination functions, as well
as the lack of FDLP access to the NTIS collection and databases, are
impediments to comprehensive and equitable public access that should
not continue for a prolonged study period. These impediments, if
allowed to continue, would not be good building blocks for an overall
policy on the publication and dissemination of Government information.
If a larger initiative to address an overall policy is undertaken,
we recommend that simplifying public access through the development of
a centralized locator system for Government information, ensuring
permanent public access to all Government information products, and
consolidating the Government's information dissemination mechanisms to
reduce duplication and take advantage of economies of scale should be
carefully considered.
Question 9. Regardless of the resolution for which agency has the
mandate to publish government scientific literatures, do any of you
have recommendations for dealing with the issue that agencies are not
submitting documents as required by law?
Answer. We have long believed that the enforcement of this
requirement should be addressed through the Office of Management and
Budget's Office of Information and Regulatory Affairs. This Office
issues information policy circulars which are binding on Federal agency
performance of information management functions.
______
Response to Questions Submitted by Hon. Bill Frist
to Dr. Joan R. Challinor
Question 1. In working to produce the report on ``Assessment of
Electronic Government Information Products,'' did your participants
include both librarians and technologists at the different federal
entities?
Answer. Yes, survey respondents, other survey interviewees, and the
special advisory group established by the Commission to help plan the
study included a wide variety of different federal agency personnel and
offices, including: librarians; records and archival officers;
information system and technology staffs; public affairs officials; web
and media specialists; management analysts; technical information
personnel; chief information officers; publishing and printing
officials; program managers; and others. Several library and
information science professors and former high-level government
information policy experts served on the study's advisory group and
were also interviewed in-depth. All three branches of Government were
involved, and representatives of the Federal Depository Library
Program, a key constituency group of the study, participated in the
study's design and periodically reviewed progress and offered advice,
as did various federal interagency and public interest groups. In
short, the survey consciously solicited a wide variety of viewpoints
and perspectives, and therefore its conclusions and findings, to the
best of our knowledge, are not unduly biased or weighted in favor of
any particular ``vested interests.'' Indeed, sometimes a difference of
opinion was expressed in response to the same interview question
depending on the respondent's particular perspective of the issues and
problems.
Question 2. Do you agree that the resolution to NTIS should be a
part of a larger initiative to address overall policy on the electronic
publication and dissemination of government information? Do you have
any suggestions or recommendations for such a policy?
Answer. Yes, NCLIS strongly believes that the ``resolution of
NTIS'' challenge should not be dealt with in a disconnected, piecemeal
fashion. Rather, the matter should be part of a broader investigation
that ``lays out the record'' in a public manner after carefully
considering:
1. the viewpoints and stakes of the many players involved--the
Congress, the President and OMB, agency chief information
officers, major federal information dissemination agencies such
as the Government Printing Office and the Library of Congress,
agency program divisions, agency functional offices such as
publishing and webmaster offices, citizens, businesses, state
and local levels of government, interagency committees, public
information users groups, consumer interest groups, the media,
historians, scientists and scientific and technical information
officials, federal depository librarians, and others;
2. federal public information dissemination and electronic
publishing laws, rules, regulations, policies, programs, and
practices;
3. a selected sample of interagency and agency level
implementing procedures (e.g. agency web guidelines and
traditional as well as electronic publishing procedures);
4. existing organizational missions and authorities of the
various federal entities with public information dissemination
and electronic publishing responsibilities;
5. changing citizen needs for, and ways of identifying,
obtaining, and using government information in the Information
Age (both traditional ink-on-paper and electronic); and
6. other factors.
In its above-mentioned study report, NCLIS documented at the top,
middle and lower agency levels both (1) a lack of awareness and
understanding of many of the current laws that touch on public
information dissemination and electronic publishing, as well as (2)
considerable confusion, overlap, duplication, inconsistencies and gaps
among and between the applicable federal laws, authorities, policies,
programs and so on. For example, surprisingly, there is no statutory
provision that defines permanent public access, and yet that
information management concept is crucial to the orderly migration of
traditional (pre-electronic) information products to the web,
minimizing federal information losses due to fugitive materials, and
guaranteeing the preservation of the federal record for historical,
archival, socio-cultural and other reasons.
NCLIS does have some preliminary ideas as to how this fragmentation
of guidance and responsibility at the government-wide, branch and
agency levels can be significantly reduced. The Commission also has
some views as to how the many dispersed and compartmentalized
dissemination and publishing authorities could be consolidated,
simplified and streamlined. However, the Commission believes the
appropriate course of action is to undertake a 3-6 month investigation
as recommended in our prepared testimony to the Committee. Only after
that investigation considers the viewpoints of the many players
involved would the pros and cons of alternative scenarios and
strategies be formulated for the Congress to consider.
The Commission also believes that while it has the statutory
authority to initiate such an investigation, it would be very helpful
if a mandate were given to us by Congress (just as it was by the Joint
Committee on Printing in the case of the just-completed study) in order
to maximize the prospects for soliciting greater agency cooperation,
attracting keener public interest and support, and securing more
focused media and public interest group attention.
Question 3. Regardless of the resolution for which agency has the
mandate to publish government scientific literature, do any of you have
recommendations for dealing with the issue that agencies are not
submitting documents as required by law?
Answer. NCLIS believes that what needs to be done first and
foremost is to educate and train agency officials in order to enlighten
them as to the relevant statutes and regulations--and enforce current
laws. For example, there is a provision in the Paperwork Reduction
Reauthorization Act of 1995, Section 3506(d) that says:
``with respect to information dissemination, each agency shall
provide adequate notice when initiating, substantially modifying, or
terminating significant information dissemination products''
Some agency officials were aware of this provision, but most were
not, or were confused as to how it related to other legislation. Beyond
the Paperwork Reduction Reauthorization Act of 1995, which is a part of
Chapter 35 of Title 44 of the USC, other provisions of Title 44, such
as those that pertain to the authorities and responsibilities of the
Public Printer, the Government Printing Office and the Federal
Depository Library Program (in particular Chapters 2, 5, 17, 19), and
the National Archives and Records Administration and agency records
programs (in particular Chapters 21 and 31), and other legislation such
as the Information Technology Management Reform Act, and the American
Technology Pre-eminence Act all have a bearing on agency requirements
for submitting agency documents and information to NTIS, NARA and the
FDLP.
But NCLIS found that neither federal nor agency level web
guidelines, nor other information dissemination guidance policies and
procedures, adequately implement the provisions of these many laws. As
a consequence, government information products ``appear and disappear''
oftentimes with very little, or even without any warning whatsoever,
whether products are intended for internal agency personnel or for
external public audiences. Nor do federal publishing guidelines and
standards bring together in one place the many considerations relating
to alternative information formats, mediums, standards and
dissemination practices.
In sum, the answer to this question also underscores the need for a
sound, official government definition for the concept of ``permanent
public access.'' That concept is closely related to, but is
distinguishable from a similar information retention requirement--
``permanent records retention,'' which is embodied in Federal records
legislation. Currently, agencies are floundering in the absence of
authoritative guidance and many agencies (if not most) assume that the
two concepts are synonymous. Consequently, agencies are interpreting
information retention requirements in a very confusing, inconsistent,
and inadequate manner.
The investigation we are proposing would squarely address the
critical need for uniform and practical guidance in the area of
information retention, and sorting out closely related concepts
including the two mentioned in the preceding paragraph plus two very
important and closely related additional areas: authentication and
preservation of information materials. There is also a need for a
consistent definition of just what is government information. NCLIS has
already drafted for review several ``white papers'' in these areas.
In the Foreword to the Office of Technology Assessment's report
``Helping America Compete: The Role of Federal Scientific and Technical
Information,'' (July 1990), the statement is made:
``Global change is a fact of contemporary life--whether in the
political, economic, or technological spheres. U.S. leadership in all
of these areas is being challenged. We need to take actions that can
help renew the U.S. competitive edge in the worldwide marketplace of
ideas, products, and services, and to provide leadership on global
issues such as the environment. A key area of U.S. strength could and
should be our scientific and technical information. The U.S. Government
is the largest single source of STI in the world--ranging from
technical reports on aerospace propulsion and solar thermal electronic
systems to satellite data on oceanic and atmospheric trends to
bibliographic indices on medical and agricultural research. Yet the
U.S. is not taking full advantage of opportunities to use Federal STI
as part of a strategy to renew the U.S. competitive edge. STI is very
important to scientists and engineers in a wide range of research,
development, and commercial activities. They spend a lot of time on
STI--time that is valued, conservatively, at several billions of
dollars per year just for federally funded researchers. When used
efficiently, Federal STI pays off handsomely.''
In summary, NCLIS believes the core issue at stake in the NTIS
transfer is not the sorting out of Federal agency organizational boxes
or benefit: cost equations, although they certainly must be addressed,
but, rather, a carefully considered, fresh assessment of how to
strengthen the value of Government information as a strategic national
social and economic resource to America and individual Americans in the
emerging Information Age.
The Commission would welcome an opportunity to meet with Committee
members and/or staff as early as practicable to discuss our proposal
for undertaking a study which explicitly addresses not only the
specific questions raised by the Secretary of Commerce's proposed
transfer of NTIS authorities, functions, and collections, but the
broader questions of how to strengthen government-wide public
information dissemination and electronic publishing policies,
organizational missions and authorities, and related matters as well.
We will be contacting you shortly for that purpose.
______
Response to Questions submitted by Hon. Bill Frist to Bill Clark
Question 1. You have mentioned the cost reduction efforts of NTIS
in your statement. Can you describe some of the specific efforts and
their impacts to the overall financial position of the agency?
Answer. Here are specific cost savings realized during FY99:
Office Space......................................... $40,000
Vehicle Rentals...................................... $5,000
Telecommunications................................... $20,000
Staffing............................................. $1,425,000
Travel............................................... $50,000
Performance Bonuses.................................. $300,000
------------------
Total Cost Savings:.................................. $1,840,000
The above cost savings are the results of the successful efforts
made by NTIS employees, and the Labor/Management partnership to improve
the organization's financial performance. Together, we began the
process of implementing these savings in the Spring of FY99. Over
fiscal year 2000, NTIS should realize annual savings of several million
dollars from these reductions.
The cost savings delineated above were made possible by hard work
and sacrifice. For example, forty-six talented NTIS employees
relinquished their positions to be out-placed within other Commerce
agencies; several NTIS staff members surrendered their offices for
cubicles to reduce rent costs; employee travel was curtailed; official
vehicle usage was reduced; telecommunications costs were lowered; and
employee performance bonuses were cancelled. These employee efforts
made a dramatic contribution to improving NTIS' financial position,
allowing the organization to finish with a $650,000 surplus for fiscal
year 1999. Had the Department of Commerce not made its precipitous
August 12, 1999 closure proposal, NTIS' restructuring efforts could
easily have been held up as a model of a successful Labor/Management
partnership. The organization reduced its annual costs by over 10%,
while both increasing its Clearinghouse revenue, and disseminating more
government information than ever.
Question 2. Mr. DiMario of GPO mentioned duplicative efforts
between GPO and NTIS in the areas of making certain types of technical
information available, as well as printing and reproduction services to
other federal agencies. Can you please comment on this?
Answer. As a fully cost-recovery agency, NTIS must use its
resources efficiently, and therefore avoid wasteful duplicative efforts
with the Government Printing Office--an agency receiving substantial
appropriated funds. NTIS' Collection contains more than 3,000,000
products, and it adds between 40,000 to 100,000 new products annually.
Many of NTIS' products are government technical reports that are
published by government contractors, and not by GPO. New products are
added to the NTIS Collection based upon their future research value, as
opposed to market value, and are available from NTIS in perpetuity.
Meanwhile, it is the bargaining unit's understanding that GPO's sales
program concentrates on about 12,000 government bestseller products
each year that are selected because of their potential sales value, as
opposed to research value, and remain available only as long as
supplies last. When comparing NTIS' 3,000,000 "research valued" product
inventory to GPO's bestseller sales program containing 12,000 products,
overlap is bound to be limited.
Moreover, there have been occasions where agencies have requested
NTIS knowledge and expertise in assisting them with product
dissemination. This was due to either NTIS' superiority in technology
and online systems, customer service, marketing, or NTIS' ability to
partner with the private sector to resurrect products which lost
federal funding (i.e. U.S. Industry & Trade Outlook, the NOAA Dive
Manual, etc.). The IRS CD-ROM cited by Mr. DiMario at the hearing, is
an example of NTIS' definitive customer service advantage over GPO's.
We produced the CD-ROM in conjunction with our close relationship with
the IRS in supporting their Web site. NTIS won the award to produce the
CD-ROM from the IRS because of our superior customer service ability.
GPO had produced the CD-ROM product in the past. Consequently, NTIS
distributed last year's IRS CD-ROM, and the IRS was so impressed with
our capabilities, they again awarded production to NTIS this year. It
should be noted that NTIS' Agreement with the IRS did not prohibit GPO
from producing and marketing the product. In this instance, it would
appear that having more than one outlet for the IRS-CD-ROM product may
have lowered the price paid by consumers, while improving service. This
outcome is better for consumers and the public good.
There are many ways that GPO actually benefits from NTIS' print
capabilities. First, NTIS is mindful of its requirements under Title 44
and utilizes GPO to do its printing. Under current rules, NTIS is
allowed to print outside of GPO under certain circumstances where the
printing costs fall under a certain dollar amount, and no appropriated
funds are involved. As part of this process, NTIS is fully aware of the
need to supply copies of these documents to GPO's depository library
program. NTIS coordinates with GPO on the number of copies required,
and provides timely delivery to the Federal Depository Library Program
(FDLP). The fulfillment of these documents is paid for by NTIS. This is
another NTIS bonus reaped by GPO, depository libraries, the public-at-
large, and taxpayers.
GPO's claim of duplicative efforts is not the reason for failures
within GPO's sales program. Similarly, NTIS' FY98 financial shortfall
was not due to competition from GPO. Comparing the two operations is
like comparing apples and oranges. Moreover, attempting to consolidate
NTIS functions within GPO's sales program causes great concern to the
Union since Mr. DiMario's testimony indicates that GPO's sales program
is currently sustaining operating losses. Meanwhile, NTIS has
successfully reduced its costs, and is in an excellent position to
again post a surplus during FY2000. This will be accomplished without
any appropriation. Therefore, any suggestion of merging NTIS
Clearinghouse resources into GPO's financially troubled sales program
is met with great concern from the Union at NTIS. We want to avoid
jeopardizing the future of NTIS' workforce, and its valuable mission as
the Clearinghouse for scientific and technical information. This is
especially true now that NTIS has right-sized itself, and put its
financial house in order.
If the Department's strategy to merge NTIS functions with another
agency were implemented, it would cause an additional burden on U.S.
taxpayers. Mr. DiMario's Senate testimony stated: " I want to make it
clear, however, that there would be an appropriations impact associated
with making NTIS' collection available to depository libraries." He
went on to state: "The amount of increase in the appropriation would
depend on how the NTIS Collection is made available to the libraries.
Depending on the final plan approved for the disposition of NTIS, there
may also be an impact on our statutory limitation on full-time
equivalent (FTE) employment." Mr. DiMario's oral testimony indicated
that GPO would require between $2 million and $5 million annually just
to distribute NTIS' Collection within its depository library program.
Based upon Mr. DiMario's public statements, the GPO plan would cost
taxpayers more, risk the loss of valuable NTIS products and services,
and jeopardize employment for NTIS workers. The Union considers this is
a lose-lose proposition for all involved.
The Union would like to take a moment to address a major concern
mentioned in the Public Printer's testimony that federal depository
libraries do not have access to NTIS' Collection. It is the Union's
understanding that hundreds of depository libraries currently have
access to the NTIS Database, an electronic catalog of more than
2,000,000 products. These depository libraries access the NTIS Database
via state-of-the-art database products developed in conjunction with
the private-sector. However, the Union is concerned that a digital
divide is being created between the wealthier depository libraries and
those with limited means. A logical solution to this inequity would be
for Congress to make limited appropriated funds available to NTIS to
allow depository libraries with smaller budgets to subscribe directly
to NTIS Database products. These are the same products that are
currently available to depository libraries with greater financial
resources. It is the Union's position that a small depository library
in Tennessee, West Virginia, Louisiana, Montana and other states should
have access to the same high quality NTIS Database search tools as
other depository libraries with large endowments. An appropriation by
Congress in support of this proposal would be in the public good, and
would be more cost-effective to the taxpayer, than GPO's proposal. It
would also place the future NTIS Database product innovation burden
squarely on the private-sector, as opposed to on the government's
shoulders, and take advantage of top quality NTIS Database products
already in existence. This strategy would be a win-win for all parties.
Question 3. You mentioned that conservative projections anticipate
NTIS further improving its financial status in fiscal year 2000. What
are the underlying assumptions for this projection.
Answer. Cost reduction steps (contained in the above answer to
question #1) taken during FY99 will result in FY2000 annual cost
savings of up to several millions of dollars. Meanwhile, NTIS increased
its Clearinghouse revenue by $1.4 million in FY99 from the previous
year. Even if Clearinghouse revenue eroded, NTIS will still be in a
position to generate a substantial surplus. Based upon these
projections, the efforts of the Union, NTIS Management, and the
Department could be held up as a successful partnership in rightsizing
a financially troubled agency.
NTIS continues to expand the dissemination of its products, and it
has successfully moved from a paper to electronic environment. Then,
too, a bound, print report is still preferred by many consumers of
government documents. For example, the printed report sales generated
from the NTIS links to the Department's Emerging Digital Economy
reports endorse the need for this NTIS service. Many consumers of NTIS
reports prefer a bound print copy, as opposed to the hassle of
retrieving this content from the Web. NTIS is eagerly working with
other government agencies to develop similar links to support the needs
of consumers of government documents. NTIS is also bolstering its
acquisitions staff with new technology to harvest Web documents to
increase NTIS' annual input of new documents. All of these efforts will
expand the acquisition, archiving, and dissemination of government
information, while improving NTIS' financial position. In addition,
NTIS' online products have mass appeal. Its database products continue
to expand the distribution of government information to millions of
potential users.
Question 4. You have proposed a fourth option for the future of
NTIS by implementing the restructuring plan. What is the appropriation
level required by the plan for fiscal year 2000. Why should we not
expect to be back at this point a year from now?
Answer. The Union's fourth option proposal does not require an
appropriation for FY2000. In fact, there has never been an
appropriation requirement for NTIS. At one time, NTIS Management had
requested an annual $2,000,000 appropriation to support the mandated
costs of acquiring and indexing products added to the NTIS Collection
in support of the public good. However, this is not a requirement for
NTIS to complete its mandated mission to operate the Clearinghouse for
government scientific and technical information. As you are aware, NTIS
had a surplus during FY99 of $650,000. The earlier appropriation
request reflected the fact that NTIS collects, organizes, and preserves
far more than it can justify solely on the basis of commercial
potential. This would have permitted NTIS to expand the dissemination
of its Database, potentially lower prices for its paper products, and
put NTIS on an even keel with other government agencies that receive
appropriations to support their public good functions. The permanent
preservation of the taxpayers vast expenditure of R&D funds is in the
public interest, and the costs should be shared by NTIS customers and
the taxpayers. The request was never considered to be an operating
subsidy, but it certainly would have facilitated much needed investment
in capital equipment. The agency's financial position continues to
improve.
While the Union cannot control the impact of the negative NTIS
press coverage created by the Department's proposal, NTIS employees and
their professionalism have bolstered the organization's financial
performance during FY99. Although unlikely, any revenue decline during
FY2000 may be attributable to the uncertainty created by the
Department's flawed proposal, and the Department's insistence on
maintaining a hiring freeze that denies NTIS the staff we need to
generate revenue. (We are already 20 FTE below the NTIS-Department of
Commerce target of 260, even though we can fully support the additional
hires). Meanwhile, NTIS employees are working hard to prevent any
revenue decline and lessen customer angst. We continue to work in a
business-as-usual manner giving NTIS customers, as well as other
government agencies the confidence that NTIS products and services will
continue unabated and with the attention to quality that customers
expect from NTIS. The staff's positive efforts during FY99 say much
about our resolve, and our potential for success.
The Department publicly doubted NTIS' financial performance during
FY99, and they were wrong. The Subcommittee should consider the
tenacity of NTIS employees in carrying-out their mission that made the
Department's dire predictions irrelevant. During the past fiscal year
NTIS employees operated successfully under difficult conditions. What
government official would state that NTIS' Clearinghouse revenues would
increase during a time when NTIS staffing would be reduced by 20%, NTIS
employee performance bonuses would be cancelled, and misinformation
would be spread criticizing the organization and the status of its
mission? Despite this environment, NTIS staff continued to persevere
and NTIS revenues increased.
Question 5. What percentage of the NTIS employees do you represent?
Answer. NTIS currently employs approximately 240 federal government
workers. Of these, about 84 percent make up the bargaining unit of rank
and file positions. NTIS management positions make up approximately 16
percent of the overall workforce.
The Union at NTIS represents the interests of all rank and file
employees. Although we do not represent NTIS Management, it should be
added that many managers have privately voiced their support for Union
efforts to educate the public about NTIS' important mission. As an
example of the solidarity within NTIS, I am including a copy of a
letter signed by more than 200 NTIS employees. The letter was presented
to the Honorable Congressman Tom Davis thanking him for his August 17th
visit to NTIS in support of NTIS' mission, its employees, and their
families.
Question 6. The Commerce Department report projects declining
revenues for the clearinghouse, yet your data showed clearinghouse
revenues increased to $20.8 million in fiscal year 1999. If the
increase is due to cost cutting measures, do you think that revenues
will continue to rise or will they remain steady at the $20 million
level?
Answer. The Commerce Department's declining revenue projections
were clearly wrong. Then too, reducing NTIS costs is a separate issue
from increasing revenue. During FY99, NTIS dramatically reduced its
overall costs by more than $1.4 million. Meanwhile, because of the hard
work and dedication of NTIS staff, its Clearinghouse revenue increased
by about $1.4 million during FY99 as compared to FY98 Clearinghouse
revenue. This resulted in FY99 Clearinghouse revenue of $20.8 million.
The Clearinghouse revenue success story occurred despite the fact that
NTIS employees served under three separate Directors within the past
year and a half, survived major cost-reduction efforts including the
outplacement of 46 employees, and we flourished despite the necessary,
albeit disruptive office moves to consolidate space. Instead of
criticizing the performance of NTIS employees and the mission they
perform, the Department should be offering their continued support for
a job well done. It should also be noted that the Commerce Department's
projected Clearinghouse loss of $2.9 million during FY99 was totally
off base. They included this erroneous cost projection in their NTIS
report despite the fact they had actual NTIS Clearinghouse budget
figures as of August 1999 that stated otherwise. The Union anticipates
NTIS using technology to lower its dissemination costs, while
increasing productivity. This technological strategy, combined with the
increasing popularity of NTIS' online products, and effective cost-
reduction efforts should allow NTIS' surplus revenue environment to
continue during FY2000.
Question 7. Regardless of the resolution for which agency has the
mandate to publish government literatures, do you have any
recommendation for dealing with the issue that agencies are not
submitting documents as required by law?
Answer. The federal government cannot legislate itself out of this
problem. The Union supports NTIS' multi-tiered approach to solving the
problem of agencies not submitting documents as required by law. First,
NTIS has a professional acquisitions staff that works closely with
agencies to ensure compliance with the American Technology Preeminence
Act (ATPA). The ATPA states:
``The head of each Federal executive department or agency shall
transfer in a timely manner to the National Technical Information
Service unclassified scientific, technical, and engineering information
which results from federally funded research and development activities
for dissemination to the private sector, academia, State and local
governments, and Federal agencies.''
Public Law 102-245, Section 108, American Technology Preeminence
Act of 1991
In addition to the ATPA, NTIS is using technology to harvest Web
documents to proactively bring them into its collection. This effort
ensures that government research documents are archived in a central
source, and that they are available to researchers in perpetuity. A
third option available to NTIS is to use technology to track the
research dollars directly from their source. NTIS is currently
considering the use of its Federal Research in Progress Database
(FEDRIP) as an acquisitions tool to track government research projects
from their source, and ensure compliance with the ATPA of government
research output. The Union supports NTIS' multi-tiered approach to
assist agencies with complying with the ATPA. If these efforts at
cooperation fail, Congress could then consider assisting NTIS in this
effort by providing additional teeth to the existing ATPA legislation.
This could include providing NTIS with the ability to charge agencies
for the cost of acquiring documents not provided to NTIS under the
ATPA. Then, too, Congress could consider delaying future funding
dollars to agencies that openly refuse to comply with the terms of the
ATPA. I am including a brochure entitled ``ATPA in a nutshell'' that
outlines agency requirements under the ATPA. NTIS continues to educate
federal agencies regarding their document submission requirements under
the ATPA.
______
Response to Written Questions Submitted by Hon. Bill Frist
to Hon. Robert Mallett
Question 1. Can you define the problem that the Department of
Commerce is addressing in its proposal to eliminate NTIS?
Answer. The fundamental problem that the Department of Commerce's
proposal addresses is the fatally flawed business model of NTIS. For
years, NTIS and the Department have struggled with how to ensure public
access to government information at a reasonable cost, while keeping
NTIS self-sufficient. The Internet has already adversely impacted NTIS'
ability to remain solvent--and looking to the future the economics of
the Internet will only be more detrimental to the bottom-line of NTIS.
As the Department's Inspector General (IG) noted in March 1999,
``Federal agencies are increasingly bypassing NTIS as a distribution
channel, instead offering their publications directly to the public
over the Internet.'' It is not surprising then that--largely because of
these changes in the marketplace--the number of titles received from
government agencies declined 34% over this period, and more
significantly, sales of publications from the traditional NTIS
Clearinghouse declined from almost 2.3 million units in Fiscal Year
1993 to 1.3 million units in Fiscal Year 1998. As a result over the
past several years, NTIS' Clearinghouse lost millions of dollars.
It is important to note that, to offset losses, NTIS has
significantly changed its business mix. Over half of its revenues are
now derived from services provided to other government agencies, up
from one-third only five years ago. NTIS has also ventured into other
business products one example is producing and selling a CD-ROM of IRS
tax forms. Revenues from NTIS' other business lines in FY 1999 have
offset Clearinghouse losses and has allowed the organization to show a
profit. But, as the Department's IG stated earlier this year, We are
also concerned that in order to replace lost sales, NTIS is seeking
business opportunities on the perimeter of its statutory mission, where
it risks competing against private businesses. Others, including
Members of Congress, have raised similar concerns.
In addition, the Department seeks to address the problem of
agencies not sending documents to central clearinghouse. As noted
above, Federal agencies are bypassing NTIS and providing science and
technical information directly to the public via the Internet. The
Department's draft bill seeks to put in place a policy mechanism to
help ensure that agencies provide new documents to the central
clearinghouse. Specifically, we propose that the Chief Information
Officer (CIO) of each Executive agency that produces scientific,
technical, and engineering information report annually to Congress on
that CIO's respective agency's compliance with the relevant provisions
of the bill.
Question 2. Can you describe any interaction that the Secretary's
office has had with the NTIS management in the process of determining
the closure of the agency?
Answer. As early as 1998, the Deputy Secretary met with NTIS'
senior management to discuss options for the future of NTIS, stating
clearly that all options were on the table, including the possibility
of closure. In the spring of 1999, the Deputy Secretary met with the
NTIS Advisory Board to discuss NTIS' precarious fiscal situation and
the need for the Department to take actions to ensure that NTIS
remained solvent. In addition, the Secretary's office, which includes
the Office of Administration and the Office of Budget, held regular
meetings with NTIS management to review the financial situation
throughout 1999. Finally, before the Secretary announced his decision
to propose closing NTIS and transferring its core function to the
Library of Congress, the Secretary and Deputy Secretary met with the
Director of NTIS, Ron Larson.
Question 3. You stated in your testimony that the Internet has
rendered the NTIS business model outdated. Did you consider
restructuring NTIS' core mission to fit a new business model?
Answer. Yes. The option presented by NTIS' management including
digitizing the most recent ten years of the collection and seeking
appropriations for the core clearinghouse functions. Under this plan,
NTIS would also use the FedWorld name as an information portal, and
contract out for print-on-demand services. Older documents would be
transferred to another location.
We evaluated this option carefully, considering its impact on the
access of information to the public, its impact on the budget, and its
impact on the NTIS employees. We rejected this option for two reasons.
First, we felt that there were other options--like the one we
proposed--that would provide the public better access to the
information than this option. The NTIS Advisory Board informed the
Department that digitizing certain types of documents would adversely
impact the quality of the reproduction. Additionally, for business
purposes, NTIS management proposed that NTIS maintain only 10 years of
documents (on a rolling basis). The older documents would have been
archived at a undetermined, but different, location. Because of the
importance of maintaining this rich collection in one place, the
Department believed that this option was unacceptable.
Second, in order to digitize the most recent ten years of the
collection, which consists the documents with the highest sales
potential, NTIS would require an appropriation of about $7.4 million
over three years. In addition, NTIS believed it would need an annual
appropriation of about $4.9 million to the acquisition, organization
and preservation of information products to he added to its collection.
Therefore, the appropriations requests for FY2000 through FY2004 would
be about $30 million. This is greater than the amount the Department
estimated it would cost the Library to assume the core clearinghouse
function.
Question 4. Does your proposed plan set a precedent that the
Library of Congress should be a depository as well as disseminate all
government documents? If not, why should the NTIS collection and future
technical documents be treated differently than other government
documents?
Answer. We do not believe that our plan sets a precedent that the
Library of Congress should be a depository as well as a disseminator of
all government documents. Currently, science and technical information
is treated differently than all other government documents; NTIS
collects and disseminates this information. Under our plan, science and
technical information would continue to receive the same special
attention that it receives today. We believe that this make sense. The
dissemination of this information helps inform our scientific
community, which helps spur innovation and new advances in the fields
of science.
Question 5. Did the Commerce Department's plan take into
consideration business plans and strategies proposed and being
implemented by NTIS' new management team since January 1999?
Answer. Yes. The first option we considered was NTIS managements
proposed plan. See question #3 for reasons this option was rejected.
Question 6. How does your proposal for closing NTIS address the
larger issue of a unified and consistent government policy for
publishing and disseminating federal publications, both electronically
and otherwise? Do you believe that the proposal would facilitate public
access for government information equally, regardless of means or
media?
Answer. By rationalizing the dissemination of government science
and technical information so that there are not a number of government
agencies selling documents to the American people, the Department
believes that we are helping to produce a more unified and consistent
government policy for publishing and disseminating federal
publications. However, the Department of Commerce is unable to solve
the larger issue here since we are dealing with just the science and
technical documents. We are willing to work with whomever to figure out
how to address the larger issue you raise.
The Department also believes that our proposal would facilitate
public access for government science and technical information,
regardless of means or media. Individuals would be able to access
government information in three separate locations. First, if he/she
has access to the Internet, they would be able to obtain the document
at the producing agencys web site. Second, he/she could get a copy of a
document from a local Federal Depository Library; there are Depository
Libraries located in just about every Congressional district in the
country. And finally, if he/she is unable to get the document via the
Internet or at a Depository Library, the individual could call or visit
the Library of Congress to obtain the document through the central
clearinghouse. We think that this proposal strengthens the ability of
the American public to obtain access to the science and technical
information produced by the government.
Question 7. Why do you believe the Library of Congress is a better
place for NTIS than GPO?
Answer. In our opinion--based on the information we had at the time
we made our decision--we believed that the Library was a more
appropriate place for NTIS than GPO. This is not to say that GPO is an
inappropriate place to house NTIS. On the contrary, we believe the GPO
would do a fine job collecting and disseminating government science and
technical information.
However, you should know that we chose the Library of Congress in
our proposal for three reasons:
First, the Library has a collection of scientific and technical
information consisting of about 4 million titles. The Library is well
known to all Americans, and has a very positive reputation.
Second, the Library deals with dissemination activities, albeit on
a smaller scale than NTIS.
And finally, the Librarian of Congress, James Billington, had
expressed an interest in the NTIS collection in 1989.
We would like to work with Congress and the other stakeholders,
including the Library of Congress and the Government Printing Office,
to find the best place to house the important public-good functions of
NTIS.
Question 8. Who devised the internal working group that developed
the proposal to close NTIS?
Answer. The Deputy Secretary requested two working groups be formed
to focus on NTIS. The first group dealt with the immediate financial
crisis and was led by Linda Bilmes, the Assistant Secretary for
Administration and Chief Financial Officer. The second group looked at
the long-term issues surrounding NTIS and was led by Jon Orszag, the
Director of Policy and Strategic Planning at the Department. These
groups coordinated closely and consisted of a variety of people from
throughout the Department, including a representative from the Office
of General Counsel, Human Resources, Office of Budget, Office of
Administration, Office of Policy, etc.