by Christopher Pece[1]

State government agency expenditures for research and development totaled $2.3 billion in FY 2016, an increase of 3.1% from FY 2015 (table 1). Five state governments (California, New York, Texas, Florida, and Ohio) accounted for 64% of all state government R&D in FY 2016 (table 2). This InfoBrief presents summary statistics from the FY 2016 Survey of State Government Research and Development, sponsored by the National Science Foundation, National Center for Science and Engineering Statistics (NCSES).

TABLE 1. State agency R&D and R&D plant expenditures: FYs 2015–16
(Thousands of current dollars)

a Intramural performers include employees within the same state department or agency and services performed by others in support of internal R&D projects.

b Includes government functions for corrections, criminal justice, education, forensic sciences, labor, public safety, and social services.

NOTE: R&D plant includes acquisition of land, facilities, major equipment, and major building renovations intended primarily for R&D use.

SOURCE: National Science Foundation, National Center for Science and Engineering Statistics, Survey of State Government Research and Development.

Table 1 Source Data: Excel file

Characteristic FY 2015 FY 2016 % change
All R&D and R&D plant expenditures 2,282,136 2,342,383 2.6
All R&D plant expenditures 34,896 25,257 -27.6
All R&D expenditures 2,247,240 2,317,126 3.1
Source of funds
Federal government 482,540 509,519 5.6
State government and other nonfederal sources 1,764,700 1,807,607 2.4
Performer
Intramurala 585,026 635,546 8.6
Extramural 1,662,214 1,681,580 1.2
Academic institutions 915,042 868,260 -5.1
Companies and individuals 448,394 481,871 7.5
Other 298,778 331,449 10.9
Intramural by type of R&D
Basic research 110,327 89,951 -18.5
Applied research 461,695 531,509 15.1
Experimental development 13,003 14,087 8.3
R&D project by government function
Agriculture 102,116 109,191 6.9
Energy 383,146 368,028 -3.9
Environment and natural resources 416,121 437,315 5.1
Health 936,278 964,865 3.1
Transportation 246,570 264,596 7.3
Otherb 163,009 173,130 6.2
TABLE 2. State agency expenditures for R&D, by state and performer: FY 2016
(Thousands of current dollars)

a Intramural performers include employees within the same state department or agency and services performed by others in support of internal R&D projects.

b Extramural performers include academic institutions, companies and individuals, and other non-internal performers.

c U.S. total reflects all 50 states and the District of Columbia.

NOTE: Detail may not add to total because of rounding.

SOURCE: National Science Foundation, National Center for Science and Engineering Statistics, Survey of State Government Research and Development, FY 2016.

Table 2 Source Data: Excel file

Intramural performersa Extramural performersb
State All R&D
expenditures
Amount Percent   Amount Percent
United Statesc 2,317,126 635,546 27.4   1,681,580 72.6
Alabama 24,799 11,439 46.1   13,360 53.9
Alaska 10,073 7,792 77.4   2,281 22.6
Arizona 15,680 5,939 37.9   9,741 62.1
Arkansas 17,243 577 3.3   16,666 96.7
California 573,989 94,756 16.5   479,233 83.5
Colorado 16,648 7,733 46.5   8,914 53.5
Connecticut 49,460 20,919 42.3   28,541 57.7
Delaware 2,695 1,672 62.0   1,023 38.0
District of Columbia 4,060 1,380 34.0   2,680 66.0
Florida 156,058 44,255 28.4   111,803 71.6
Georgia 13,093 2,304 17.6   10,790 82.4
Hawaii 18,032 8,896 49.3   9,137 50.7
Idaho 14,501 6,576 45.3   7,925 54.7
Illinois 16,935 1,251 7.4   15,684 92.6
Indiana 13,029 620 4.8   12,409 95.2
Iowa 12,297 3,797 30.9   8,500 69.1
Kansas 6,392 2,818 44.1   3,574 55.9
Kentucky 29,411 697 2.4   28,714 97.6
Louisiana 27,268 12,536 46.0   14,732 54.0
Maine 11,430 2,970 26.0   8,459 74.0
Maryland 26,448 328 1.2   26,120 98.8
Massachusetts 23,433 12,614 53.8   10,819 46.2
Michigan 17,121 1,250 7.3   15,871 92.7
Minnesota 22,861 2,195 9.6   20,666 90.4
Mississippi 2,339 191 8.2   2,149 91.9
Missouri 14,724 7,873 53.5   6,850 46.5
Montana 17,990 2,676 14.9   15,315 85.1
Nebraska 7,644 466 6.1   7,178 93.9
Nevada 5,716 5 0.1   5,711 99.9
New Hampshire 1,521 368 24.2   1,153 75.8
New Jersey 30,483 1,704 5.6   28,780 94.4
New Mexico 4,773 1,391 29.1   3,382 70.9
New York 404,833 237,318 58.6   167,515 41.4
North Carolina 37,142 17,853 48.1   19,289 51.9
North Dakota 8,470 588 6.9   7,882 93.1
Ohio 99,329 2,096 2.1   97,233 97.9
Oklahoma 33,461 2,394 7.2   31,067 92.8
Oregon 24,831 10,188 41.0   14,643 59.0
Pennsylvania 73,189 6,452 8.8   66,737 91.2
Rhode Island 3,372 175 5.2   3,197 94.8
South Carolina 30,512 24,854 81.5   5,658 18.5
South Dakota 4,512 433 9.6   4,079 90.4
Tennessee 7,040 2,732 38.8   4,309 61.2
Texas 255,133 4,290 1.7   250,843 98.3
Utah 31,466 18,168 57.7   13,298 42.3
Vermont 1,041 369 35.4   673 64.6
Virginia 33,556 13,596 40.5   19,960 59.5
Washington 35,183 14,446 41.1   20,737 58.9
West Virginia 8,233 2,456 29.8   5,778 70.2
Wisconsin 13,442 5,783 43.0   7,659 57.0
Wyoming 4,234 1,369 32.3   2,865 67.7

The FY 2016 survey presents the most recent NCSES statistics of R&D activities performed and funded by state government agencies in each of the 50 states, as well as the municipal government of the District of Columbia. Survey data are available by state and by individual state agency. Further details are also available on R&D performer (intramural and extramural), source of funding, type of R&D (basic research, applied research, and experimental development), and R&D by government function (agriculture, energy, environment and natural resources, health, transportation, and other).

National Totals

State government agency R&D expenditures in FY 2016 totaled $2.3 billion, of which 78% came from state and other nonfederal sources (table 1). Seventy-three percent of the states' R&D expenditures went to extramural R&D performers (i.e., performers other than state agencies) in FY 2016. Academic institutions were the primary recipients of these expenditures (52% of all extramural funding in FY 2016, excluding direct state appropriations to colleges and universities), followed by companies and individuals (29% in FY 2016). Intramural performers, the state agencies themselves, performed $636 million of R&D in FY 2016, a 9% increase from FY 2015.

Health-related R&D projects made up the largest share of state agencies' R&D expenditures (42% in FY 2016). R&D projects related to the environment and natural resources accounted for 19% of total state government R&D expenditures in FY 2016. Energy, transportation, agriculture, and all other projects' shares of total R&D expenditures in FY 2016 were 16%, 11%, 5%, and 7%, respectively. Energy-related R&D decreased 4% from FY 2015. R&D projects related to environment and natural resources and to health increased by 5% and 3%, respectively, from FY 2015. Agriculture- and transportation- related R&D increased by 7% each.

Expenditures for R&D plant (construction projects, major building renovations, major equipment purchases, and land and building acquisitions intended primarily for R&D use) totaled $25.3 million in FY 2016, a 28% decrease from the $34.9 million reported in FY 2015.

State Governments' Shares of R&D

Individual state government expenditures on R&D (including funds from federal, state, and other sources) in FY 2016 varied widely, ranging from $1 million in Vermont to nearly $575 million in California (table 2). Similarly, the range of state governments receiving federal funds for R&D projects ranged from under $1 million in the District of Columbia, Maryland, New Hampshire, Utah, and Vermont to more than $143 million in New York. Combined, the five largest state governments to receive federal funds for R&D (New York, Texas, California, Florida, and South Carolina) accounted for 46% of the total $510 million in federal funds provided to all state governments for R&D activities.

Intramural R&D Performance

Five states accounted for 66% of the $636 million of intramural R&D performed by state agencies in FY 2016 (table 2): New York ($237 million), California ($95 million), Florida ($44 million), South Carolina ($25 million), and Connecticut ($21 million). In FY 2016, 40% ($254 million) of state agency intramural R&D performance was funded by the federal government. The share of federal support for intramural R&D ranged from nearly 100% in Oklahoma, Arkansas, and Illinois to less than 1% in Utah and Nevada.

The majority (84%) of state government intramural R&D performance is directed toward applied research ($532 million), whereas basic research constitutes approximately 14% of intramural R&D and experimental development is 2% (figure 1). All state governments, except for Arkansas, Nebraska, and Nevada, reported a portion of their intramural R&D as applied research; 32 state governments reported some intramural R&D as basic research; and 24 reported some intramural R&D as experimental development. Eleven state governments reported all intramural R&D as applied research. New York's intramural R&D ($237 million) constitutes 37% of all state governments' intramural R&D activities, with $63 million directed toward basic research, $170 million toward applied research, and $4 million toward experimental development (figure 1).

FIGURE 1. State government intramural R&D, by type: FY 2016
FIGURE 1. State government intramural R&D, by type: FY 2016.

NOTE: U.S. total reflects all 50 states and the District of Columbia.

SOURCE: National Science Foundation, National Center for Science and Engineering Statistics, Survey of State Government Research and Development, FY 2016.

Figure 1 Source Data: Excel file

Extramural R&D Performance

Five states accounted for 66% of the $1.7 billion in FY 2016 state government funding for extramural R&D performance (table 2): California ($479 million), Texas ($251 million), New York ($168 million), Florida ($112 million), and Ohio ($97 million). However, states varied in how they funded extramural R&D. For example, Texas state agencies directed the majority of this funding toward academic institutions ($158 million, or 63%), whereas Ohio state agencies directed the bulk of their funding for extramural performance toward companies and individuals ($84 million). In addition to Texas, state agencies in California ($195 million), Florida ($41 million), New York, ($93 million), and Pennsylvania ($40 million) combined accounted for 61% of the total support to academic institutions ($868 million) in FY 2016. Similarly, state agencies in California ($187 million), Ohio ($84 million), Texas ($56 million), New York ($38 million), and Connecticut ($13 million) combined accounted for 78% of the total R&D support from state governments to companies and individuals ($482 million) in FY 2016.

R&D by State Agency Functions

Most states reported a broad mix of R&D projects related to state government functions: agriculture, energy, environment and natural resources, health, transportation, and other (table 3). All states reported R&D expenditures in at least two of these governmental function categories, and 17 states reported R&D expenditures across all functions in FY 2016. Some R&D functions are highly concentrated within a handful of states. For example, in FY 2016, a total of 37 state governments reported some expenditures for energy-related R&D, yet 90% of all state government R&D expenditures for energy-related R&D was concentrated in five states: California ($251 million), New York ($51 million), Ohio ($15 million), Hawaii ($8 million), and Georgia ($6 million). Similarly, 35 states reported expenditures for health-related R&D in FY 2016, yet 83% of all state government agency expenditures on health-related R&D was reported by agencies in five states: New York ($269 million), Texas ($212 million), California ($200 million), Florida ($72 million), and Pennsylvania ($51 million).

TABLE 3. State agency expenditures for R&D, by state and function of R&D, for the 10 states with the highest levels of R&D expenditures: FY 2016
(Thousands of current dollars)

a U.S. total reflects all 50 states and the District of Columbia.

NOTES: Includes state agency funding from all sources for both intramural and extramural performance. Detail may not add to total because of rounding.

SOURCE: National Science Foundation, National Center for Science and Engineering Statistics, Survey of State Government Research and Development, FY 2016.

Table 3 Source Data: Excel file

State Total Agriculture Energy Environment and
natural resources
Health Transportation Other
United Statesa 2,317,126 109,191 368,028 437,315 964,865 264,596 173,130
California 573,989 7,475 251,116 57,770 199,523 38,341 19,763
New York 404,833 4,885 50,959 21,339 269,493 10,571 47,587
Texas 255,133 1,761 0 13,099 212,223 28,049 0
Florida 156,058 17,066 2,371 51,313 72,374 12,933 0
Ohio 99,329 200 14,931 46,303 7,565 12,713 17,617
Pennsylvania 73,189 1,587 2,604 9,043 51,365 3,889 4,700
Connecticut 49,460 3,943 240 10,527 26,313 2,370 6,068
North Carolina 37,142 12,225 1,970 5,490 6,900 6,865 3,693
Washington 35,183 12,386 1,917 11,992 0 5,607 3,282
Virginia 33,556 3,142 549 7,583 3,724 16,692 1,866
All others 599,254 44,520 41,372 202,855 115,386 126,566 68,555

The five state governments with the most R&D expenditures for agriculture, environmental and natural resources, and transportation were somewhat less concentrated in their shares of the respective national totals than were the states with the largest shares of energy R&D and health R&D. For instance, 37 states reported some R&D expenditures for agriculture, but the five largest states—namely, Florida ($17 million), Washington ($12 million), North Carolina ($12 million), Arkansas ($8 million), and California ($7 million)—make up 52% of all state government spending on agriculture-related R&D. In the case of environment and natural resources, all states except Illinois and South Dakota reported some R&D expenditures. However, five states accounted for 46% of the total in FY 2016: California ($58 million), Florida ($51 million), Ohio ($46 million), South Carolina ($25 million), and New York ($21 million). Transportation-related R&D projects were conducted by all state governments except for Massachusetts, with California ($38 million), Texas ($28 million), Virginia ($17 million), Minnesota ($13 million), and Florida ($13 million) accounting for 41% of total transportation-related R&D expenditures.

Data Sources and Limitations

Data presented in this InfoBrief are in current dollars and have not been adjusted for inflation. All 50 states, and the District of Columbia participated in the FY 2016 survey, and 589 of the 621 selected agencies (95%) responded to the survey. Puerto Rico agencies did not report to the survey for FY 2016. Data for the FY 2016 survey were collected for NCSES by the U.S. Census Bureau under an interagency agreement.

Most states' fiscal year begins on 1 July and ends the following 30 June. For example, FY 2016 begins on 1 July 2015 and ends on 30 June 2016. There are, however, five exceptions to the 30 June fiscal year end: New York (ends 31 March), Texas (ends 31 August), and Alabama, Michigan, and the District of Columbia (ends 30 September). Data presented in this InfoBrief are for each of the respective fiscal year period as defined by each state.

Terms such as state, state government, and state agencies have equivalent meaning and are used interchangeably throughout this InfoBrief. The amounts reported here are for R&D expenditures of state government departments, agencies, public authorities, institutions, and other dependent entities that operate separately or somewhat autonomously from the central state government. State government R&D totals can display considerable volatility between survey years due to several national and state-specific factors. Large changes are not unusual, especially for discretionary spending items such as R&D. Amounts reported do not include direct appropriations from state legislatures to universities, colleges, and private organizations. As a result, the $868 million in FY 2016 expenditures reported by state agencies to support R&D performance by academic institutions differs from the figure reported by universities and colleges in FY 2016 ($4.0 billion) for expenditures on R&D activities that were funded from state and local government sources. (See National Science Foundation, National Center for Science and Engineering Statistics. 2016. Higher Education Research and Development: Fiscal Year 2016. Data Tables. Alexandria, VA. Available at https://www.nsf.gov/statistics/srvyherd/#tabs-2.)

State- and agency-specific data not available in this InfoBrief will be available in the full set of detailed tables from this survey in the report State Government Research and Development: FY 2016, at https://www.nsf.gov/statistics/srvystaterd/#tabs-2. Individual detailed tables from the FY 2016 survey may be available in advance of the full report. For further information, contact the author.

Note

[1] Christopher Pece, Research and Development Statistics Program, National Center for Science and Engineering Statistics, National Science Foundation, 2415 Eisenhower Ave, Suite W14200, Alexandria, VA 22314 (cpece@nsf.gov; 703-292-7788).