Peggy Wilhide
Headquarters, Washington, DC                   July 27, 1999
(Phone: 202/358-1898)

RELEASE: 99-86

ADMINISTRATOR CALLS CUTS TO NASA BUDGET 'DEVASTATING'

     "The NASA team just launched Chandra, the world's most 
powerful space telescope," NASA Administrator Dan Goldin said.  
"Today, we will have to turn it back on Washington to see what 
remains of the NASA budget."

     Last night, a U.S. House of Representatives subcommittee 
passed a funding bill that cuts NASA's budget about 11 percent 
below the President's request for Fiscal Year 2000.  

     "Year after year, NASA is touted for doing more and more with 
smaller budgets and held up as a model of good government," said 
Goldin.  "The NASA employees get up every day to achieve what most 
think is impossible.  They have risen to the challenge of smaller 
budgets.  And this is the reward the NASA team gets?  Not only is 
this cut devastating to NASA's programs, it is a knife in the 
heart of employee morale.

     "It is a shame that in the same week that we are celebrating 
the legacy of the space program -- and we are building on it by 
sending the first woman to command the Space Shuttle -- we could 
be effectively smashing one of America's crown jewels," Goldin 
said.  "NASA continues to deliver amazing scientific discoveries 
and reach new heights of exploration.  To many Americans, NASA is 
a cornerstone of our national pride.  But there is nothing to be 
proud of in this budget.  

     "Over the past five years, NASA has restructured the Agency, 
done more with less, reduced government employees by one-third 
without forced layoffs, and still significantly increased 
productivity.  Up until now, NASA has always stepped up to the 
budgetary challenge.  This time the NASA team plans to fight.  
These cuts would gut space exploration.  They may force the 
closure of one to three NASA centers, and significant layoffs 
would most certainly follow," said Goldin.  

     The Administrator noted other implications for the budget as 
well:

*  For the past seven years, the NASA budget has declined and, 
because of inflation, the Agency's buying power is already down by 
one-third.

*  While the subcommittee's cuts total $1.325 billion, if these 
figures are projected out five years, the cuts would total 
approximately $5.3 billion.  

*  Over the past five years, NASA's streamlining efforts have 
saved the taxpayer $35 billion.

     "This cut destroys the technology base built by NASA," Goldin 
said. "Our ability to further reduce costs and increase scientific 
productivity would end.  NASA is one of only a few investments our 
nation makes to ensure a bright future, a strong economy and the 
technology base to achieve it. As a result of the cuts, we would 
be forced to eat our seed corn, and in the long-term it would 
weaken America's technological and defense sectors.  Perhaps most 
sadly, we will lose the opportunity to inspire a future generation 
of children."

     "I won't feel better until every nickel is restored," said 
Goldin.   

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