Federal Wood Utilization Research and Product Development Activities Fall into Five Categories and Are Coordinated Both Informally and Formally

Wood utilization research and product development conducted by 12  federal agencies span a broad spectrum of activities, and coordination of  these activities is both formal and informal. These activities fall into five  broad categories: (1) harvesting, (2) wood properties, (3) manufacturing  and processing, (4) products and testing, and (5) economics and  marketing. All 12 agencies had activities in  the manufacturing and processing category. The Forest Service and CSREES were the only two agencies that had  wood utilization research and product development activities in all five  categories. Scientists share information at scientific and industry  conferences and professional meetings and through publications, and in  some cases work informally to share staff and equipment. Federal Agencies Made Available at Least $54 Million Annually for Wood Utilization Research and Product Development in Fiscal Years 2004 and 2005; Forest Service Support Fluctuated Moderately, and CSREES Support Increased Over 10 Years

The 12 federal agencies we reviewed made available at least $54 million  annually in financial support for wood utilization research and product  development activities in fiscal years 2004 and 2005, measured either in  budget authority or expenditures. Furthermore, the Forest Service  employed almost 175 scientists and support staff in each of these two  fiscal years. Over the same period, overall, CSREES’ budget  authority for the wood utilization research centers increased (in 2004  inflation-adjusted dollars), in part because four new wood utilization  research centers were added during fiscal years 1999, 2000, and 2004. Of the 12 agencies, only the Forest Service directly employs full-time  scientists and support staff to conduct wood utilization research and  product development. Federal Agencies Rely on Scientists and Specialists to Transfer Technology Through a Variety of Methods

The 12 federal agencies generally rely on scientists and technology  transfer specialists to transfer technologies to industry through a variety of  methods, such as information dissemination, technical assistance,  demonstration projects, and patents and licensing. Applying Forest  Products Laboratory research, TMU specialists helped the company  specialize in producing flooring from small-diameter trees by, among other  things, providing solutions to product imperfections like warping and  discoloration. The Forest Service, DOT, Energy, and Interior provided  technical comments, which we incorporated as appropriate. GAO staff who made major contributors to this report are listed in  appendix V.

Appendix I: Objectives, Scope, and Methodology

This report describes (1) the types of wood utilization research and  product development activities supported by federal agencies and how  these efforts are coordinated; (2) the level of support federal agencies  made available for these activities in fiscal years 2004 and 2005, and  changes in the level of support at the U.S. Department of Agriculture’s  Forest Service and at the Cooperative State Research, Education, and  Extension Service (CSREES)-funded wood utilization research centers  from fiscal years 1995 through 2005; and (3) how the federal government  transfers technologies and products from its wood utilization research and  product development activities to industry. To address the second objective—describe the level of support federal  agencies made available for wood utilization research and product  development activities in fiscal years 2004 and 2005, and changes in the  level of support at the Forest Service and CSREES wood utilization  research centers from fiscal years 1995 through 2005—we collected  budget authority or expenditure information from the 12 agencies for  fiscal years 2004 and 2005, and from the Forest Service and CSREES’  wood utilization centers for fiscal years 1995 through 2005. We reported  dollars in either budget authority or expenditure data, depending on the  availability of agency data.
Why GAO Did This Study

More wood is consumed every year in the United States than all metals, plastics, and masonry cement combined. To maximize their use of wood, forest product companies rely on research into new methods for using wood. At least 12 federal agencies have provided support to wood utilization research and product development activities, including the U.S. Department of Agriculture's Forest Service and Cooperative State Research, Education, and Extension Service (CSREES)-funded wood utilization research centers, which historically have specifically targeted support to these activities. GAO was asked to identify (1) the types of wood utilization research and product development activities federal agencies support and how these activities are coordinated; (2) the level of support federal agencies made available for these activities in fiscal years 2004 and 2005, and changes in the level of support at the Forest Service and at the CSREES-funded wood utilization research centers for fiscal years 1995 through 2005; and (3) how the federal government transfers the technologies and products from its wood utilization research and product development activities to industry. GAO provided a draft of this report to the 12 federal agencies for review and comment. Some of the agencies provided technical comments, which were incorporated as appropriate.

What GAO Found

Federal wood utilization research and product development span a broad spectrum of activities. These activities fall into five categories: harvesting, wood properties, manufacturing and processing, products and testing, and economics and marketing. Of the 12 federal agencies that provided support to wood utilization research and product development, only the Forest Service and the CSREES-funded wood utilization centers had activities in all five categories; although all the agencies had activities in manufacturing and processing. Coordination of these activities is both informal and formal. Scientists informally coordinate their activities by conferring with each other and sharing information at conferences and professional meetings and through publications. In some cases, coordination occurs through more formal mechanisms, such as cooperative arrangements and other joint ventures. During fiscal years 2004 and 2005, the 12 federal agencies made available at least $54 million annually for wood utilization research and product development activities, measured either in budget authority or expenditures. (Dollars are reported in either budget authority or expenditure data, depending on the availability of agency data.) The Forest Service made available about half of these funds. In addition, the Forest Service--the only agency that directly employs scientists and support staff to conduct wood utilization research and product development--reported having almost 175 full-time equivalent scientists and support staff in each of these years. For fiscal years 1995 through 2005, the Forest Service's budget authority for wood utilization research and product development activities fluctuated moderately from year-to-year (in inflationadjusted dollars). In contrast, overall, CSREES' budget authority for the wood utilization research centers increased over the period (in inflation-adjusted dollars), in part because of the addition of four new wood utilization research centers between fiscal years 1999 and 2004. To transfer technologies and products to industry, federal agencies generally rely on scientists and technology transfer specialists, who use methods such as information sharing, technical assistance, and demonstration projects. For example, applying research from the Forest Products Laboratory, Forest Service technology transfer specialists assisted a small forest products company in producing flooring from small trees by, among other things, providing solutions to product imperfections like warping and discoloration.