§5861 Research and Development Foundation

Summary

The Director of the National Science Foundation may create an endowed, private, nonprofit foundation after talking with the Director of the National Institute of Standards and Technology. The foundation’s job is to fund and support joint research and development projects that keep scientists and engineers working in the independent states of the former Soviet Union. It aims to offer alternatives to emigration, turn defense skills into civilian use, help build market economies by funding joint U.S.–foreign ventures, teach business practices through U.S. links, and give U.S. companies access to new technologies and markets. The foundation will back peaceful U.S.–foreign research and try to set up nondefense industrial projects involving private industry, universities, and some industrial financial contribution. Certain Department of Defense funds authorized under subtitle E of title XIV of the National Defense Authorization Act for Fiscal Year 1993 may be used to help start the endowment. After fiscal year 1993, no more than 50 percent of U.S. government money for the foundation may come from the national defense budget function (050). Each participating independent state must make a minimum endowment contribution set by the Director based on its ability and expected participation. If Congress allows, local currencies or assets from government debt conversions may be given to the foundation; "debt conversion" means swapping external debt for local currency, assets, policy commitments, or equity. Local currencies from U.S. aid programs may also be used with the foreign government’s agreement. The foundation may invest any U.S. assistance it gets, but interest earned must be used only for the original purpose of that assistance, and it may accept other government or private funds.