The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1996, Landmark Communications, Inc.

DATE: Sunday, July 14, 1996                 TAG: 9607130287
SECTION: BUSINESS                PAGE: D1   EDITION: FINAL 
SOURCE: By JAMES SCHULTZ, STAFF WRITER 
                                            LENGTH:   82 lines

Q & A: PAUL F. HOLLOWAY RETIRING DIRECTOR, NASA LANGLEY RESEARCH CENTER

With a 1996 fiscal year budget of $634 million and a complement of 4,450 contractors and government workers, NASA Langley Research Center is one of Hampton Roads' largest employers.

On July 2, Langley director Paul F. Holloway surprised Langley employees with the announcement of his retirement this coming October. Holloway, 58, was appointed to his post in October 1991, becoming just the sixth director of the Hampton aerospace complex since its founding in 1917.

During Holloway's tenure, NASA has endured some of the deepest budget cuts in space agency history. While Langley has been spared severe financial pain, the center has nonetheless closed some wind tunnels and canceled several research programs.

Within the past year, roughly 300 civil servants have either retired or left to work in the private sector. The independent contractor work force is also being reduced. Morale at the center is low because of uncertainly over NASA's future and direction.

On Friday, Holloway discussed the long-term prospects for the federal laboratory at which he has worked since his career began in 1960, shortly after the dawn of the Space Age. Holloway's remarks have been edited for clarity.

Q: Are you leaving Langley because of any policy disagreements with your bosses in Washington?

A: Not at all. I've been here 36 years; you have to take that into account. I always swore I would retire the day I turned 55. But there are things I wanted to do. And they've been done.

This is the calm before the storm. Between now and the election, there won't be any major announcements about government downsizing. But as soon as the election is over, as soon as the new Congress sits, there will be a renewed push to continue the contraction of government.

It won't make any difference who wins. We know the president's proposal will cut NASA down below $12 billion in the year 2000, which is almost $2 billion less than where we're expected to be this year. We know the proposed Republican budget cuts it more. It's going to be a really tough fight for all of government for the rest of this century.

A time of quiet is a good time to leave. You can get someone new in place who will stay with the fight through the next four or five years.

Q: Is NASA in trouble?

A: All of government is in trouble. Republicans and Democrats alike agree that government has got to shrink. The fear - and I think this is a real fear - is that decisions will be made before they're thought through and appreciated.

NASA should not be in trouble, because the investment of taxpayer dollars gives major return back to the country in a relatively short period of time. We're an investment in the future, not a hole we're throwing money down.

Q: How's employee morale at Langley?

A: In terms of projecting to the future, morale is very poor. There's so much uncertainly. And you cannot get a viable answer to any of the questions about NASA's future.

There was a time when the federal government was considered the most secure employer in the country. It's no longer true. When you get into furloughs, and pushes to close agencies and entire (Cabinet) departments, no one looks at the future in federal service as something that can be counted on.

Q: What's Langley's future?

A: Langley's future is bright. What this center does is something that no one - even the most vocal people pushing the biggest cuts - challenges: that is, fundamental research in aerospace technology, which is the basis for a future economy.

There is the risk that decisions will be made by people who don't know what Langley does. Absolute worst-case scenario: if NASA were abolished, you'd have the recreation of a civilian aeronautical research laboratory as a partner to industry. I don't think you will ever get away from that.

Q: Will NASA be around in 10 years?

A: I'm not sure. The future of NASA is going to be dependent on a lot of things you can't predict. I don't think NASA as an agency can survive another shuttle disaster.

What is currently NASA Langley Research Center will be here in 10 years. What Langley does will continue to be critical to the country 10 years from now. I'm confident the center will be intact and doing well. ILLUSTRATION: [Color Photo]

BETH BERGMAN

The Virginian-Pilot

Paul F. Holloway by CNB