This report discusses two Clean Air Act provisions that can result in denial of federal highway funding to local areas: sanctions and the lapse of what is called "conformity." Under the Clean Air Act, the Administrator of the Environmental Protection Agency is required to impose highway fund or other sanctions on areas that have not submitted or not implemented adequate plans to attain air quality standards. In addition, federal agencies may not provide financial support to transportation improvements in areas that have not attained air quality standards, unless the improvements conform with the State Implementation Plan for achieving air quality. This report provides information concerning the authority to impose sanctions and to make conformity determinations, lists the areas that have been subject to sanctions determinations since 1990, describes their current status, and discusses the role of sanctions and alternatives under the Act. This report will be updated as developments warrant.

The Administration requested $78.242 billion for research and development (R&D) in FY2000, 1.3% below the FY1999 estimated level of $79.267 billion. As with past proposals, the Administration requested an increase for civilian R&D, 3% to $39.761 billion, while overall defense R&D would decline 5.3% to $38.481 billion.

ave Japan's trade concessions resulted in more U.S. exports? One premise of the more results-oriented trade policy toward Japan now being pursued is that past concessions have not caused U.S. exports to Japan to rise. The only success story seems to be that of semiconductors in which a specific goal of 20 percent of the Japanese market was set and attained.