[Senate Hearing 117-]
[From the U.S. Government Publishing Office]
COMMERCE, JUSTICE, SCIENCE, AND RELATED AGENCIES APPROPRIATIONS FOR
FISCAL YEAR 2023
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WEDNESDAY, MAY 11, 2022
U.S. Senate,
Subcommittee of the Committee on Appropriations,
Washington, DC.
The subcommittee met at 2:00 p.m., in room SD-192, Dirksen
Senate Office Building, Hon. Jeanne Shaheen (Chair), presiding.
Present: Senators Shaheen, Feinstein, Reed, Schatz, Van
Hollen, Moran, Murkowski, Collins, Capito, Hagerty, and Braun.
DEPARTMENT OF COMMERCE
opening statement of senator jeanne shaheen
Senator Shaheen. Good afternoon. The Subcommittee on
Commerce, Justice, Science, and Related Agencies will come to
order.
We are delighted to have the Secretary of Commerce, Gina
Raimondo here, to speak to the President's fiscal year 2023
funding request for the Department. It is great to have you
back before the subcommittee.
We have three votes that are supposed to be starting at
2:30, and in the interest of time I am going to submit my
opening statement for the record.
[The statement follows:]
Prepared Statement of Hon. Jeanne Shaheen
Good afternoon, everyone, and welcome to today's hearing to review
the President's fiscal year 2023 funding request for the Department of
Commerce. Our witness today is Secretary Gina Raimondo.
Secretary Raimondo, it's great to see you again.
At its core, the Department of Commerce's mission is to help
American workers and businesses thrive.
To achieve this goal, the Department relies on a talented workforce
spread across all 50 States, every U.S. Territory, and dozens of
countries around the world. I want to thank the more than 40,000
Department employees for their work.
With its unique tools, the Department is often called upon to meet
our country's most complex challenges.
The Department's trade experts enforce sanctions that are the
lynchpin of our county's response to Russia's invasion of Ukraine. Its
world-class scientists are on the front lines of responding to the
climate crisis.
And the Department's economic development staff are helping
communities bounce back from the recession caused by the COVID-19
pandemic. The Department really is America's Swiss Army knife.
To maintain the Department's diverse capabilities, this
Subcommittee must ensure that the Department has the resources it needs
to succeed.
To that end, the fiscal year 2022 omnibus spending bill included
$9.9 billion for the Department of Commerce.
This year, the President's fiscal year 2023 budget request for the
Department of Commerce is $11.7 billion--an 18 percent increase
compared to the fiscal year 2022 enacted level for the Department.
This proposal builds off of the Department's ongoing work to help
American workers and businesses compete.
To do so, this budget proposes increasing funding for NIST by
nearly $240 million.
This investment would boost advanced manufacturing research and
strengthen manufacturers around the country--all to support good-paying
American jobs and improve U.S. competitiveness.
The budget also proposes a nearly billion dollar increase for the
National Oceanic and Atmospheric Administration (NOAA).
With this investment, NOAA will expand climate and weather research
and operations, upon which New Hampshire's Seacoast communities and
fisheries rely.
Turning to international trade, I was especially pleased to see the
budget propose a $26 million increase to support small- and medium-
sized American businesses through Global Markets at the International
Trade Administration.
This is a big deal for small states like New Hampshire, which were
adversely impacted by the trade policies of the previous
administration, and are trying to recover as we fight to put COVID-19
in the rearview mirror.
Every effort should be made to assist our local businesses.
When I was Governor of New Hampshire, I led the first trade mission
outside of North America, so never count the little guy out--we're
always looking for ways to increase the size of our footprint in the
global market, and international trade programs allow us to do that.
And on that note, this office helps American businesses tap into
new markets abroad. The potential return on investment for this funding
is enormous.
In 2020, New Hampshire exported $5.5 billion in goods to the world.
Increasing that amount by even a fraction would benefit my entire
State.
The budget proposal also would strengthen the Bureau of Industry
and Security's efforts to stop illegal exports to Russia and to enhance
trade export control partnerships with allies.
As you know, we included $22 million for these efforts in the first
Ukraine supplemental appropriations bill, which passed as part of the
omnibus earlier this year.
Because the situation with Russia continues to evolve, I would be
interested in knowing whether the resources requested fully capture the
Department's needs to administer and enforce the export sanctions.
Finally, turning to the National Telecommunications and Information
Administration, I know that many members of this Subcommittee would
like an update from our hearing earlier this year regarding the
Department's progress in administering the broadband programs from the
Infrastructure Investment and Jobs Act.
On Monday the White House announced that 20 Internet providers
committed to reducing prices and increasing speeds for households
enrolled in the FCC's Affordable Connectivity Program.
This was welcome news for millions of Americans.
And while the FCC is not under this subcommittee's jurisdiction, as
an author of the broadband provisions in the bipartisan infrastructure
law, I was glad to see this progress.
However, more must be done if we are to truly address longstanding
issues to close the digital divide and ensure broadband access for
unserved and underserved regions of the country.
Secretary Raimondo, as you can see, there is plenty to discuss
today, and we very much look forward to your testimony.
With that, I now would like to recognize the CJS Subcommittee Vice
Chair, Senator Moran, for his opening remarks.
Senator Shaheen. And Senator Moran is on his way, so we
will give him the option when he gets here, of either
submitting for the record, or speaking. But that will allow us
to move to questions, hopefully, before we get to the votes
that are being called.
So with that, Secretary Raimondo, I will turn the
microphone over to you.
STATEMENT OF HONORABLE GINA RAIMONDO, SECRETARY,
DEPARTMENT OF COMMERCE
Secretary Raimondo. Okay. Thank you. Good afternoon, and
thank you, Chair Shaheen, for this opportunity, and to the
Members of the Committee.
The priorities funded in this budget build upon the
investments that you--
Senator Shaheen. Excuse me, Madam Secretary; maybe you
could pull the microphone a little closer, so that everyone can
hear better?
Secretary Raimondo. Yes. Sorry. Is this better?
Senator Shaheen. Yes.
Secretary Raimondo. Much better. Sorry. I apologize.
Okay. So, as I was saying, the priorities funded in the
budget build upon the investments that you all enacted in
fiscal year 2022. And I will say, I am so very grateful for
your support, as we look forward to accomplishing even more in
2023.
COMMERCE FUNDING PRIORITIES
The budget request includes $11.7 billion for the
Department, which is an 18 percent increase above fiscal year
2022 enacted. And I would just like to go through the six key
priorities in areas of investment that comprise the $11.7
billion.
First, the President's budget strengthens the Nation's
supply chains by investing in domestic manufacturing.
Specifically it calls for $1.46 billion to support the work of
NIST, including $275 million for NIST Manufacturing Extension
Program (MEP), and $97 million to expand NIST's role in
Manufacturing USA. This, as you all know, will help small and
medium-sized manufacturers improve their competitiveness.
The budget also proposes $16 million to augment the
Commerce Department's data tools and expertise to support more
secure and diversified supply chains.
Second, the budget positions us to compete globally,
protect our national security, and continue to lead a global
coalition, united in condemnation of Russia's aggression
against Ukraine. Specifically, it calls for $630 million for
ITA to enhance commercial diplomacy, it provides BIS $200
million to apply and enforce export controls, and strengthen
efforts to counter new threats from Russia and China.
Third, the budget invests in equitable and inclusive
economic growth for all Americans. I believe that America's
greatest strength and core to our competitive advantage, is our
diversity. Accordingly, the budget proposes $500 million for
the EDA to help communities experiencing economic distress take
control of their future and position themselves for future
prosperity.
It also proposes $110 million for the Minority Business
Development Agency, which will meet the full authorization that
was included in the Bipartisan Infrastructure Law. And very
importantly, for those of you representing rural States, part
of this funding will be used to open new regional offices, and
establish rural business centers.
Fourth, the budget takes historic action to combat the
climate crisis. It includes $7 billion for NOAA to continue
providing data, strategies, and expertise necessary to address
the climate crisis. The request also supports programs to
catalyze wind energy, restore habitats, protect oceans and
coasts, and improve NOAA's ability to predict extreme weather
associated with climate change.
An area that I know is of interest to this committee, the
budget also proposes $87 million for the Office of Space
Commerce. This is a significant increase, and this increase in
funding will be dedicated to standing up civil operational,
space situational capability at NOAA.
Fifth, the budget expands opportunity and discovery through
data. Timely data is crucial to supporting American
competitiveness, innovation, and growth. The budget provides
the Census Bureau with $1.5 billion to continue its
transformation to a 21st century data-centric model. It also
calls for $141 million for the Bureau of Economic Analysis to
support new data on the supply chain, income distribution
statistics, and the growth in Space Commerce.
Sixth, and finally, the budget ensures that the Department
can provide 21st century service to the American people. It
proposes new funds to enhance our own cybersecurity, and
increase the diversity and equity of our own workforce.
Before concluding on this budget, I would be remiss if I
didn't take just a second to thank you for the $22 million that
you provided to the BIS in the Ukrainian supplemental to
implement and enforce the increased export controls on Russia.
And I would be happy to talk about that today.
And I would also be remiss if I didn't thank you for your
work to advance the United States Innovation and Competition
Act (USICA). I cannot emphasize enough the urgency with which
we must move to pass USICA. And I will tell you that I and my
team are fully and totally committed to do anything that we can
to assist you as you get that critical piece of legislation to
the President's desk.
The Commerce Department has key priorities in the bill,
including the tech hubs, supply chain authorities, and the
CHIPS funding. And I will say chip manufacturers have made
clear that they are going to build new chip facilities, the
question is: Will they be built in the United States of
America? And the answer will depend on how quickly we can move
forward with the USICA bill.
So, I am delighted to be here, and of course happy to take
all of your questions.
[The statement follows:]
Prepared Statement of Secretary Gina Raimondo
Chair Shaheen, Ranking Member Moran, and members of the Committee,
thank you for this opportunity to discuss President Biden's fiscal year
2023 Budget Request for the U.S. Department of Commerce. The priorities
reflected in this Budget build upon the important investments you
enacted in fiscal year 2022 through annual appropriations, the
Bipartisan Infrastructure Law, and the Ukraine Supplemental
Appropriations Act. I am grateful for your support of the Department as
we look forward to accomplishing even more in fiscal year 2023.
The President's Budget Request includes $11.7 billion for the
Department of Commerce, an 18 percent increase above the fiscal year
2022 enacted level. The investments proposed in this budget will
position us to continue fulfilling the Department's mission to create
the conditions for economic growth and opportunity for all communities,
implement the recently published 2022-26 Departmental Strategic Plan
(Innovation, Equity, and Resilience: Strengthening American
Competitiveness in the 21st Century), and support the President's
economic vision for America--to build our economy from the bottom up
and the middle out.
Today, I will focus on six key areas of investment within the
President's Budget for the Department of Commerce.
First, the Budget strengthens the Nation's supply chains by investing
in domestic manufacturing.
Rising costs for working families and ongoing supply shocks
underscore the urgency of building long-term resilience across critical
supply chains, strengthening domestic manufacturing, and beginning to
institutionalize supply chain resilience within the Department of
Commerce.
The Budget calls for $1.46 billion to support the work of the
National Institute of Standards and Technology, or NIST, including $275
million Manufacturing Extension Program, or MEP, which is an increase
of $117 million over fiscal year 2022. Today, there are 51 MEP centers
that work with manufacturers to help them develop new products and
customers, expand and diversify markets, adopt new technology, and
enhance value within supply chains. The additional investment in MEP
will enable the centers and their clients to respond quickly to new
market opportunities by working at all levels of the supply chain, from
original equipment manufacturers to suppliers, and with state and
Federal governments. It will also facilitate initiatives to expand the
pool and diversity of workers in the manufacturing sector, by
partnering with workforce organizations to coordinate and tailor
services to meet the needs of local manufacturers.
The Budget also includes $97 million to expand NIST's role in
Manufacturing USA. The U.S. government currently funds 16 Manufacturing
USA Institutes, one of which is sponsored by the Department of
Commerce. Each Manufacturing USA Institute is a public-private
partnership with a distinct technology focus, such as advanced
composites, additive manufacturing, biofabrication, smart
manufacturing, and sustainable manufacturing. Each institute works to
secure the future of U.S. manufacturing through innovation, education,
and collaboration. With this request, the Department of Commerce will
maintain funding for our current institute, which focuses on
biopharmaceutical manufacturing, and sponsor four new Manufacturing USA
Institutes that will promote collaboration on industry-relevant
research and development to spur manufacturing innovation in the U.S.
The Budget also proposes $16.1 million to augment the Commerce
Department's data tools and expertise to support more secure and
diversified supply chains. This investment will provide Bureau of
Economic Analysis (BEA) $5.2 million and 15 positions to better collect
data on U.S. participation in global supply and distribution chains and
will provide the International Trade Administration (ITA) $10.9 million
for 38 positions for additional capacity needed to strengthen supply
chain resilience by allowing us to track the supply of goods and
services and respond to acute disruptions.
Second, the Budget positions us to compete globally, protect our
national security, and continue to lead a global coalition
united in condemnation of Russian aggression against Ukraine.
The Budget calls for $630.8 million for the International Trade
Administration (ITA), $72 million above the fiscal year 2022 enacted
level. Within this, the Budget calls for investments to strengthen
commercial diplomacy in targeted areas of high economic and
geostrategic value, including the Indo-Pacific region, which will
assist U.S. companies competing in these important markets.
The Budget provides the Bureau of Industry and Security (BIS)
$199.5 million, representing an increase of $58.5 million, or 41
percent more than the fiscal year 2022 enacted level, to apply and
enforce export controls to advance our national security objectives.
Within this, the Budget includes $36 million to secure the information
and communications technology and services (ICTS) supply chain and $10
million in new funding to strengthen national security efforts to
counter current and emerging threats from Russia and China.
Third, the Budget continues a focus on equitable and inclusive economic
growth for all Americans.
We fail to meet our full potential as a nation if we are not
investing in all underserved communities, workers, inventors, and
entrepreneurs.
The Budget provides $502.5 million for the Economic Development
Administration (EDA) to help communities experiencing economic distress
take control of their future and position themselves for economic
prosperity and resiliency. Within this, the Budget includes $50 million
for the new Recompete Pilot Program, which will provide grants to
communities experiencing high prime-age employment gaps. It also
increases funding for the Assistance to Coal Communities program, to
continue to assist communities economically impacted by changes in the
coal industry. The most directly comparable portion of EDA's American
Rescue Plan Act Coal Communities Commitment was the Economic Adjustment
Assistance portion, and this was significantly oversubscribed with
applications totaling more than twice the $200 million in funding
available. With additional funding, we would be able to better support
these and so many other communities.
The Budget proposes $110 million for the Minority Business
Development Agency (MBDA), double the fiscal year 2022 enacted level,
necessary to meet the full authorization this Committee put forth in
the Minority Business Development Act included in the Bipartisan
Infrastructure Law. This funding will build MBDA's capacity and expand
existing grant programs, including the flagship business and specialty
center programs, opening regional offices, and establishing a Rural
Business Center program.
Fourth, the Budget takes historic action to combat the climate crisis.
The coast-to-coast devastation caused by extreme weather events has
been heartbreaking to watch. Extreme winds, tornadoes, hurricanes,
wildfires, heat, and floods threaten lives, families, homes, and
businesses. Addressing the climate crisis is an essential component of
the Department's mission to create the conditions for economic growth
and opportunity.
The Budget includes $6.9 billion for the National Oceanic and
Atmospheric Administration (NOAA), an increase of $986 million from the
2022 enacted level to ensure the Department is providing decision-
makers across the public and private sectors with critical, actionable
data, strategies, and expertise to address the climate crisis. The
Department will bolster equity in its service delivery to ensure that
our most vulnerable communities, including tribal, rural, and other
underserved populations, have access to the information and tools they
need to make climate- smart decisions. The Budget includes additional
funding for the Climate Competitive Research Program to provide
decision-makers with the information and tools they need to respond to
climate change, and to provide climate change projections out to 2050.
Our budget request for NOAA also supports programs to catalyze wind
energy, restore habitats, protect the oceans and coasts, continue
education and outreach efforts in local communities, and improve NOAA's
ability to predict extreme weather, including events associated with
climate change. It also includes $2.3 billion to support the nation's
weather and space weather satellite enterprise, which is a $667 million
increase above the fiscal year 2022 enacted level, to ensure the
continuity of our world-class weather observation capability. The next
decade is a critical time to address the climate crisis, and with this
Budget, NOAA has a once in a generation opportunity to advance climate
resilience and promote economic growth.
Additionally, the Budget proposes $87.7 million for the Office of
Space Commerce, a $71.7 million increase above the fiscal year 2022
enacted level. The U.S. commercial space industry pioneers innovative
technologies that transform our daily lives, gather critical data,
enable communications, and help secure the Nation. This significant
increase in funding for the Office of Space Commerce will be dedicated
to standing up a civil, operational Space Situational Awareness (SSA)
capability at NOAA that meets the industry's needs.
Fifth, the Budget expands opportunity and discovery through data.
The Nation's economy, technology, and demographics are changing
rapidly and profoundly, making timely data crucial for developing the
insights needed to support American competitiveness, innovation, and
growth of quality jobs. The Budget provides the Census Bureau with $1.5
billion to enable it to continue its transformation from a 20th century
survey-centric model to a 21st century data-centric model that provides
more timely and relevant data products to our stakeholders. The Budget
also calls for $141 million for BEA, $25 million more than the fiscal
year 2022 enacted level, to support new data on the supply chain,
income distribution statistics, healthcare spending, and growth of the
space economy to better inform decision-makers.
Sixth, and finally, the Budget ensures the Department can provide 21st
century service to the American public.
The Budget proposes new funds to enhance cybersecurity and increase
the diversity and equity of our workforce. It also proposes investments
to improve technology and customer experience. These investments will
ensure that the Department can provide best in government services to
the American public. The mission of the Department could not be carried
out without our dedicated employees. They have persevered through new
challenges and emerged more resolute to help the Department achieve new
heights.
Together, in the face of extraordinary challenges, we are building
a 21st century economy that is keeping America competitive globally and
positioning America's workers and businesses for success. We are
already witnessing historic levels of job creation and economic growth.
But there is more work to do. I look forward to working with you to
enact the President's fiscal year 2023 Budget for the Department of
Commerce to do that work. I am happy to take your questions.
Senator Shaheen. Well, thank you very much. Again, when
Senator Moran arrives we will go to him. But in the meantime we
will open for questions based on order of arrival; 5 minute
question rounds. And I want to begin where you concluded, which
is talking about the action to impose export controls on Russia
and Belarus in response to their invasion in Ukraine.
And I know that we provided funding earlier this year in
the supplemental to help do that, but can you speak to the
scope of these efforts? How they are progressing? If you see
any signs that it is having an impact? And then also, what are
the needs of the Department as we go forward, recognizing that
the situation is going to be changing? And we need to make sure
you have the resources you need.
EXPORT CONTROLS
Secretary Raimondo. Yes. Thank you. So as it relates to the
scope, the scope is unprecedented, it is broader than anything
the United States has ever done with respect to export controls
insofar as the United States, the Department of Commerce led a
coalition of 37 other countries to join us in aligning our
export controls.
And our approach was to deny Russia technology which would
cripple their ability to continue a military operation and that
is exactly what we are doing. U.S. exports of technology to
Russia have fallen by nearly 70 percent since we imposed these
export controls. And you are starting to see it.
You see two tank manufacturing facilities have shut--Lada,
the auto manufacturer, has furloughed workers and closed down.
I met a few weeks ago with the Prime Minister, and we have
reports from Ukrainians that when they find Russian equipment,
military equipment, on the ground, it is filled with
semiconductors that they took out of dishwashers and
refrigerators.
And so, the point is, we are having a very serious effect.
What we need to do in order to continue this is enforcement,
enforcement, enforcement.
As I said, thank you for the resources. We will come back
to you if we think we need more. I would just say, I am
extremely proud of the team. And I am deadly serious about
enforcing, and have been crystal clear, particularly with
China, that we won't tolerate any circumvention of these export
controls.
Senator Shaheen. I am delighted to hear that. And so
pleased to hear also that you are seeing the impact of what we
are doing.
Senator Moran, just so you are up to date on where we are.
Because of the votes, I submitted my statement for the record.
Senator Moran. No peer pressure. But I will do the same.
Senator Shaheen. So I was going to go ahead and finish my
questions, and then turn it over to you, for either your
statement, or to start your questioning, whichever you prefer.
Senator Moran. Thank you.
Senator Shaheen. I want to go to another issue that I
recognize you don't have control over, but I do think you have
an important voice in this discussion. And that is the
increasing challenges that we are having in New Hampshire, in
particular industries around workforce.
It is a general challenge throughout the State, but when it
comes to our seasonal businesses, the tourism industry, they
are facing severe workforce challenges, and a key reason for
that is because of the lack of sufficient H-2B visas being
available to them.
And I had the opportunity to ask Secretary Mayorkas about
this issue last week, and he said that they are moving in the
Department of Homeland Security with--he used the term
``lightning speed''--now, I have to say that is a disturbing
characterization of what has been an alarmingly slow process.
Tell me what we can do to speed this along? How can your
agency help us as we try and support those businesses that are
really desperate for workers? And, you know, we have lost two
seasons because of the pandemic, our season starts on Memorial
Day. I know you know this because you were governor of Rhode
Island, so you were dealing with these same issues. What can we
do to move this debate?
WORKFORCE FOR THE TOURISM INDUSTRY
Secretary Raimondo. Yes. So first of all, I appreciate you
bringing it up. As you said, Rhode Island is heavily, heavily
dependent on tourism, particularly in the summer. These
businesses make all of their living between Memorial Day and
Labor Day, and they are utterly reliant on visas--short-term
visas, work visas, student visas.
So, I sympathize with where you are coming from. As you
mentioned Secretary Mayorkas, he and Secretary Walsh
temporarily increased the visas, 35,000 additional. I will tell
you, I convened the TTAB, the Travel and Tourism Advisory
Board, and I heard an earful from industry that we need to do
more, we need to go faster, and we should consider a statutory
increase on the cap.
What I am doing, and what I will continue to do even more
so at your urging, is make sure the voices of industry are
heard in the administration that we do go faster, but also we
ought to think about longer term solutions.
Senator Shaheen. Well, thank you very much. I appreciate
that and look forward to working on those longer term
solutions.
Senator Moran?
OPENING STATEMENT OF SENATOR JERRY MORAN
Senator Moran. Chair, I would ask unanimous consent that my
opening statement be made a part of the record.
Senator Shaheen. Without objection.
[The statement follows:]
INSERT SENATOR MORAN'S STATEMENT
Senator Moran. And Madam Chair, I would yield to the
Senator from Alaska so that you and I can spend time and figure
out who is going to be chairing when the votes actually occur.
Senator Shaheen. Very good point. Senator Murkowski.
Senator Murkowski. Thank you, Madam Chair. And thank you
Senator Moran, appreciate that.
Madam Secretary, welcome. Good to see you. I want to start
my questions with fisheries surveys. You know I always want to
talk about fish first.
As you are well aware, we are still trying to address this
mismatch between survey coverage and the stocks that NOAA is
trying to quantify. Going forward more funding is going to be
needed to maintain both the historic survey coverage in Alaska,
and support new survey missions within the North Bering Sea,
and even the Arctic.
But I want to thank you and NOAA for the work that you have
done to prioritize fisheries surveys in the Bering Sea, and in
the Gulf. And I would ask that you keep us updated on any
challenges that you may be encountering with regards to this
year's survey plan.
We had one vessel, the Oscar Dyson, that was held back a
little bit, but you know full well we have had the opportunity
to discuss what happens when we have those gaps in data. Lost
surveys are more harmful than ever as we are seeing these
changes in our marine environment. We missed a year of crab
data in 2020, and then next year the Bristol Bay Red King Crab
Fishery was closed for the first time in decades. And believe
me, I am hearing from fishermen and managers on this issue.
Can you share with me what resources NOAA needs in either
manned or unmanned technology, to really help us gather this
data in a more reliable way so that we can work to address
these challenges that we are seeing with the resources in our
oceans due to the impact from climate change?
FISHERIES SURVEYS
Secretary Raimondo. Yes, thank you. We have talked about
this. And I have to say, even listening to you, it is tough to
hear, because slow data, lack of data I know affects people's
livelihoods. The budget calls for $3.3 million for additional
resources into the surveys, and we believe that this will help
us, significantly with our data collection, with the speed with
which we do it, with the continued modernization with which we
do the work.
We are, as you mentioned, un-crewed. We are very definitely
looking at that, and I think that the team thinks that that has
great potential in the future. Another thing that we are doing,
as you know, we have had issues with--mechanical issues with
vessels, and while it is tough to predict these things, what we
have instituted now is a kind of a proactive maintenance review
of the vessels, in an effort to prevent maintenance failures of
the vessels which was what happening in the past.
So, I guess what I can tell you is, the investment of the
millions should help, we are committed to it. And I would just
ask that we stay in close contact so that I can continue do
what I can to manage the team.
Senator Murkowski. Well, we will certainly let you know
where those issues are arising. I want to shift now to
broadband. We had the opportunity in the Senate Committee on
Indian Affairs last week to be able to inquire a little bit
more from some of your team on the Tribal Broadband
Connectivity Program.
We were looking for a little more granularity on the
program funding levels, and so today I would ask for your input
here, when you combine the previous appropriations, as well as
the Bipartisan Infrastructure Law, we have got available
funding for the TBCP at about $3 billion. We also understand
that the subscription rate is well above $5 billion.
So what I was hoping to get last week, and what I would ask
for your help today is, is more details on this difference
here, between what we have made available, and then really what
that need is, what that subscription rate is. And when you look
at redundant applications that have come in, and then the non-
qualifying applications, how does this all factor out?
So in this year's budget you have asked for about another
billion, but what I am hoping to understand is how you came to
this one billion dollar figure. Is it really going to cover the
difference that we see after you take into account the non-
qualifying applications, the redundant applications, is this a
space where we think we are actually going to be addressing the
need?
BROADBAND
Secretary Raimondo. Okay. I tried to capture all that. I
will follow up with your team to get into the details. I think
the answer is yes, but I do want to clarify something which is
very important. The final allocation for Alaska, for all of
your States, cannot be made until we have the Federal
Communications Commission, FCC maps.
Senator Murkowski. And we have talked about those, yes.
Secretary Raimondo. And the FCC is starting to collect data
to go into the maps June 30. And they are forecasting possibly
November for the maps. So, I guess what I am trying to say is,
our intention is to make sure that every State gets enough
money so that everyone is covered. And if you have a large,
unserved population, as you currently do, you will receive,
more money through the formula, and the intention would be that
you would, receive enough.
Also, the program includes a 10 percent set aside for high-
cost locations, and I have to believe, that given your
geography, it would be a high-cost location. So, in any event,
I will follow up specifically, but we are very committed to
making sure whoever is not now served, will get served.
Senator Murkowski. Thank you for your responsiveness. Thank
you.
Senator Shaheen. Thank you Senator Murkowski. Senator
Feinstein.
Senator Feinstein. Thanks very much, Madam Chairman. And
welcome.
As you are aware, job growth has been excellent, however
the public, I think, is more focused on inflation which has
been at the highest level since the 1980s. And much of this has
been brought on by dynamics the administration can't solve in
the short run, such as the Russian invasion of Ukraine, the
global supply chain crisis, et cetera.
There has been some debate about whether reducing the
substantial tariffs the Trump administration put into place,
would reduce inflation. But whether or not tariffs cause
inflation, they significantly raise prices on U.S. families and
businesses, so even if tariffs are not inflation, per se, they
similarly impact on people's finances.
I think there may be cases where tariffs can make sense.
However, the costs we impose are mostly borne by U.S.
businesses and families, reducing them would leave people more
resources to deal with rising prices. If so, what is the
administration's plan to reduce the burden of tariffs?
TARIFFS
Secretary Raimondo. Thank you for the question. Let me say
since I have been Commerce Secretary, we have been able to
eliminate the Trump 232 tariffs on steel and aluminum from the
EU, Japan, and the U.K. And I have heard from industries that
consume steel and aluminum that this has been a benefit.
What the President has said with respect to the 301
tariffs, the China tariffs, is that we don't believe Trump's
process was strategic. And so, as the President said yesterday,
we right now, as a team, are in the middle of an evaluation of
those 301 tariffs to see, you know, whether any changes might
be warranted.
Obviously, it is the USTR that leads in that effort but,
the President has been clear, we need to look at every single
tool in our toolbox to fight inflation. It is the number one
priority, and so we are looking at it holistically.
Senator Feinstein. So it is not inconceivable that you
could reduce tariffs; is that right?
Secretary Raimondo. It is not inconceivable, right.
Senator Feinstein. How positive might the thought be?
Secretary Raimondo. I can't say. I can't say, and I would
defer to the White House and USTR, but the President has been
clear that the Trump tariffs imposed on China were not done in
a thoughtful way, and so we are, as a team, taking a look at it
and considering a more strategic approach.
Senator Feinstein. Thank you very much. And I might follow
up in writing, and perhaps you can inform us with what you do.
I would appreciate that very much.
Secretary Raimondo. Thank you.
Senator Feinstein. Thank you. Thank you Madam Chairman.
Senator Shaheen. Thank you Senator Feinstein.
Senator Moran.
Senator Moran. Thank you, Madam Chairman.
And Secretary, welcome. Thank you for the conversation we
had when you were working, and I was working on Saturday
morning last.
I want to talk about a pilot program, not a pilot program,
but a program for pilots. Congress provided appropriations in
the fiscal year 2022 Omnibus Bill to sustain an Aviation
Ascension Training Program, as authorized in the NOAA
Commissioner Officer Corps Amendment Act.
PILOT TRAINING PROGRAM FOR NOAA
Secretary Raimondo. Okay.
Senator Moran. So Congress authorized that pilot training
program for NOAA, what we are really talking about is,
hurricane hunters; that type of pilot. Last fall I had the
opportunity to have Rear Admiral Hahn, and the K-State Salina,
Dean, Dean Starkey, they signed a memorandum of understanding
to create a unique program involving those two entities to
train pilots.
This partnership leverages some existing experience while
ensuring a pipeline for NOAA to have pilots. NOAA has relayed
that they are currently working on establishing guidelines and
regulations to move this program forward. I am not certain that
you would know about this program, but I am asking you, would
you share with me when these will be established allowing this
memorandum of understanding between NOAA and K-State Salina to
move forward. And if you don't know about it--
Secretary Raimondo. Yes.
Senator Moran [continuing]. Then the purpose of my question
is to give you the chance to get acquainted with this topic.
Secretary Raimondo. Exactly, I will get you an answer, by
the end of the day. I don't have an answer. I am familiar--I
have been in a hurricane hunter, and I can tell you we do need
help upgrading, and getting new ones. But with respect to this
training program, I have to get you a proper answer.
Senator Moran. The Senate Commerce Committee worked with me
to get legislation to increase the pipeline of pilots.
Secretary Raimondo. Yes, yes.
Senator Moran. Which, there is a tremendous shortage
everywhere, but evident that NOAA, and hugely important. Let me
ask an anti-circumvention inquiry. I think we have had a
conversation, and several of us have introduced legislation,
and written you about what is going on in the solar panel
industry.
Secretary Raimondo. Yes.
Senator Moran. I won't go into the description of the
problem. But why is there no industry-supported threshold to
initiate this anti-circumvention inquiry? Would legislation be
helpful? When I have asked you this question I think the answer
has been: Our hands are tied.
Secretary Raimondo. Mm-hmm.
Senator Moran. And I am trying to figure out how to untie
your hands, because there is a process, at least on solar
panels, that is being utilized to keep tariffs in place to the
detriment of the industry, by one small company who made the
claim. And you know, should a small, single company, without
access to confidential information, actually provided necessary
data to meet the statutory requirements to initiate the
inquiry?
So I am suggesting to you that the Department may have an
opportunity to deny this kind of inquiry, specifically: Did the
Department of Commerce staff make a finding, also required by
the statute, that the investigation itself met the
appropriateness criteria? So there is criterion in statute, did
the make the finding that the company met that criteria? And I
guess if the answer is yes, then what more can we do to keep
this kind of thing from occurring, which I think is pretty darn
damaging to businesses in the United States?
SOLAR SUPPLY CHAIN
Secretary Raimondo. Yes. Okay. There was a lot in that, and
I will do my best in a minute. First of all, I have heard from
many of you, and many in the industry, and I share the sense of
urgency. I understand how fragile the solar supply chain is,
and how we need to move forward quickly.
Having said that, as you well know, Senator, this
particular statute, which we are obligated to implement, is
very circumscribed; there are five criteria, and five criteria
only, that ITA can look at in deciding whether to initiate. And
if they find that the case meets the threshold of the five
criteria, we are obliged to initiate, which is what we are
doing, and we are going to move as fast as we can.
Having said that, you know, I have been asked: Why don't
you consider climate as a factor? Why don't you consider policy
as a factor? Why don't you consider the disruption to the
supply chain as a factor? The answer is, statutorily, there is
no discretion.
So the answer to your question, could you help? That is of
course your decision, but were you to institute some
discretion, then we could implement it according to those
changes.
Senator Moran. I would ask you, if the Department would
like to work with us to provide some legislative suggestions
that might address the discretion, or at least create greater
list of criteria, for the decision to be made on. And then I
would ask you to make certain that the findings that are
required by the statute have actually been met--
Secretary Raimondo. Yes.
Senator Moran [continuing]. In this solar panel
circumstance. Thank you.
Senator Shaheen. Thank you. Senator Reed.
Senator Reed. Thank you very much, Madam Chair.
Let me just follow up briefly on Senator Moran's question,
which is important now, because there has been a lot of
rhetoric suggesting that this is an indication of the
administration's lack of support for green economy, for
alternate energy.
As I understand it, and you can confirm it, Madam
Secretary, that the President is proposing the most ambitious
climate package in the history of the United States, with $555
billion in tax cut spending, and other incentives, to promote
wind, solar, power, and other renewables. And I believe that is
accurate. Can you confirm that?
CLIMATE
Secretary Raimondo. Absolutely, yes.
Senator Reed. Yes. And you are a strong supporter of this
effort?
Secretary Raimondo. Yes.
Senator Reed. And I am also, not only from the perspective
of the economy, but also national security, as we are
witnessing now, if we weren't as reliant on hydrocarbons we
would have much more leverage in many places than we need it.
So thank you.
You have answered, I think in detail, the particular
important question Senator Moran asked, and I think that answer
stands.
Secretary Raimondo. Yes. Thank you.
Senator Reed. One other area that we are concerned about,
again it comes from a national security perspective; the
President was down in Alabama at the factory manufacturing
Javelin Missile systems, and one of the issues that came up is
the lack of semiconductors.
But again, from my chairmanship on the Armed Services
Committee, practically every system we have in the military
today has a microchip somewhere in it. And I presume, and you
can confirm that, the lack of domestic supply, or a reliable
supply from an ally, is a great concern to the administration,
as it is to the contractors.
CHIPS AND SEMI-CONDUCTORS
Secretary Raimondo. Absolutely. I hear regularly from
contractors that chips are a rate-limiting factor, for their
ability, over time, to continue to replenish. There are just
over 200 chips in every Javelin launching system. There are
hundreds of chips in every satellite, and on, and on.
And even more worrisome, the most sophisticated chips, of
which we make none in the United States, and are totally
dependent on Taiwan for, are exactly the kind of chips that are
needed in sophisticated military equipment, which is why, in my
opening statement, I am saying to the Committee, I really
believe it is time to take action on this. I have also heard,
Senator, from semiconductor companies, who tell me they are
going to expand their facilities, and they have to make those
decisions this year in order to meet the demand.
Germany, Singapore, Taiwan, Japan, Spain, France are all
putting huge subsidies in front of these companies, and if we
don't pass this USICA bill this year they will have no other
choice but to build overseas, which does us no good.
Senator Reed. Well, thank you. I have the same observations
from the perspective, to not only the economy, but I suggest to
national security.
One issue that is a little close to home is that we have
been working closely with NOAA about infrastructure at Newport,
which would support their operations in a much more efficient
way than currently they conduct them, were 100 percent
designed, but we have to get into the next phase. And I would
ask if you could look at that, and any support would be deeply
appreciated.
Secretary Raimondo. Yes; absolutely. I have talked to you
about it. I, of all people, know how important it is to the
state, and we are going to work with you.
Senator Reed. We talked about semiconductors, and we also
talked about, you know, alternate energy, and one of the areas
where you have very personal experience is offshore wind. And
do you think that NOAA and BOEM have the tools they need to
maintain, and indeed accelerate the pace of offshore wind being
deployed?
OFFSHORE WIND DEPLOYMENT
Secretary Raimondo. It is an excellent question. I think,
yes, yes I think is the answer, although I will go back and ask
if we need more tools. But we need to do a better job of
accelerating the permitting process, I think we have the tools,
I think we need to continue to increase our sense of urgency,
and frankly, kind of just break down the bureaucracy between
BOEM at the Department of Interior, and NOAA, and that is what
we are doing.
In fact, Janet Coit, who ran the Department of
Environmental Management for me in Rhode Island, has come here.
She is Head of Fisheries, and that is what we are doing. We
have executed an MOU, between Interior and Commerce, and it is
just a constant push to make sure we move more quickly.
Senator Reed. Thank you very much.
Thank you, Madam Chair.
Senator Shaheen. Thank you, Senator Reed.
Senator Hagerty, I am told that you were here at the gavel
before you left. So you are next.
Senator Hagerty. Thank you, Madam Chair.
And Secretary, it is good to have you here.
Secretary Raimondo. Thank you.
Senator Hagerty. I would like to just follow up on the
discussion you have the Senator Reed for a brief moment. You
and I have talked about this before, but every Member in this
Committee, and every Senator here, has actually supported a
piece of legislation that is essentially a fast-track
permitting process for chip fabrication facilities here in
America. It takes roughly a 5 year program--
CHIP FABRICATION FACILITIES PROCESS
Secretary Raimondo. Mm-hmm.
Senator Hagerty [continuing]. A 5 year permitting process
down to about 18 months. So I would encourage and appreciate
any help from the Department as well getting support in the
House to move this through. I think it fits right in line with
what you are talking about from a strategic standpoint.
Secretary Raimondo. Yes. I would be happy to work with you
on that. It is an issue. For these facilities, permitting often
holds them up.
Senator Hagerty. Yes, and I think we are--
Secretary Raimondo. For 1, 2 years at a time.
Senator Hagerty. I think we are very aligned on that. I
would like to turn just a minute to talk about the census,
excuse me. It is a function that is required, you know, by the
Constitution. In looking at the 2020 Census, there are a lot of
questions about the statistical methods and the assumptions
that are used to supplement the actual data that is collected.
There are methods like group quarters imputation, or
differential privacy that are employed. I am not sure if you
are familiar with these methodologies.
STATISTICAL METHODS AND ASSUMPTIONS USED BY CENSUS
Secretary Raimondo. Somewhat, I mean, obviously I am not a
statistician, but somewhat.
Senator Hagerty. Yes. I am, like you, somewhat familiar
with, I understand the principles of them, but it seems to me
that the employees at the Department of the Census, are really
the only ones that fully understand and appreciate the
assumptions, the models, what goes into them; and you know,
they are the ones that are actually charged with looking at the
actual numbers, making adjustments, changing the numbers, and
coming up with the final report.
I just feel the American public, certainly the Congress,
would be well served to have a little more oversight and more
visibility into what those methods are, and how they are being
deployed.
And I wanted to bring this up to you, if you could be
supportive of perhaps putting in place a bipartisan panel that
would overlook the way the census is conducted, the
methodologies. Again, this should be a nonpartisan issue I
think for us, and a bipartisan panel has been done before, it
strikes me this may be a way to get some more transparency and
oversight in place.
Secretary Raimondo. You know, this is the first I am
hearing of it, but I am open to following up with you. What I
can tell you, is I have set the tone at the top of the Commerce
Department, that the Census Bureau should be fact-based, data-
based, science-based, statistical-based. And Rob Santos, who is
the new Census Head, has a strong statistical background.
And I feel confident that is the way he is running the
Bureau. Having said that, more transparency is always better.
Senator Hagerty. I will provide a few more questions for
the record on that, but I look forward to working with you in
that regard. And I appreciate the Chair, perhaps, having an
oversight meeting soon about what the Census is doing, and it
would be great to get that on our agenda.
The next place I would like to turn has to do with our
competitiveness in the Indo-Pacific. And I know you have spent
a good deal of time on that. Our economic leadership in that
region I think is terribly important for a national security
interest, it is important for good jobs here in America. As a
former governor you appreciate that, I am certain, very much.
I just led a bipartisan delegation to Japan a couple of
weeks ago, worked very closely with my successor, Ambassador
Rahm Emanuel, we visited with the Prime Minister, with his
cabinet, with a number of business leaders, and in all of those
meetings it was clear to me that it is as important as ever
that we continue to find ways to deepen our economic ties in
the region, particularly given what is happening with the
Chinese Communist Party, their aggressive posture, whether it
be from a diplomatic standpoint, a military standpoint, and
certainly from an economic standpoint, we see the Chinese
Communist Party moving in every direction in that region.
Also, when I served as Ambassador, prior to Ambassador
Emanuel, I worked very hard to put in place a trade agreement
between the United States and Japan. That helped deepen our
agricultural ties, help deepen our industrial ties. And
importantly, it had an element in it of digital trade, a high-
standard digital trade component to it, that I think could
serve as a model for the broader region. And I would look
forward to working with you on that to get your thoughts on how
that might be rolled out. I have discussed this with Ambassador
Emanuel, and I think it holds, it holds some real promise.
My first question for you specifically is, under the aegis
of the Indo-Pacific Economic Framework, that has been discussed
heavily, and I think it will be discussed much more as
President Biden visit the region; what are your plans to
advance our economic leadership in the region?
COMPETITIVES IN THE INDO-PACIFIC
Secretary Raimondo. Yes. So, a few things: One, I agree
with everything you have said, and will be happy to follow up.
I have already been to Tokyo once. The President will be there
next week. We can't do enough to shore up our economic presence
in the region.
The good news is--by the way, Emanuel Rahm has me on speed
dial, we talk several times a week. We are a digital supply
chain, aligning on export controls, investments.
Senator Hagerty. Okay.
Secretary Raimondo. There's a lot there. If you think about
semiconductor export controls, there are only three countries
that have toolmakers, the U.S., Japan, and the Netherlands. So
if we could align on that it could be incredible.
I am one of the co-leads, along with Ambassador Tai, on the
Indo-Pacific Economic Framework. In fact, I met this morning
with the Prime Minister of Vietnam to get them on board. I
hosted Minister Hagiuda last week, because he is my
counterpart, and we are kicking off an economic dialogue, as
between our Commerce Department and Ministry Economy Trade and
Industry.
So you know, time doesn't permit here, but suffice it to
say, this is a top priority of mine. I share your
prioritization, and frankly your concern. We need an economic
strategy there, but frankly, we also need to be a counterweight
to China.
Senator Hagerty. Indeed. And I think there is great
potential. I have watched with great interest what you are
doing with the U.S.-EU Technology Council. I would encourage
you to look at Japan, perhaps, as a way to continue to find
means of agreement and cooperation there. And if there are any
things that you need from this Committee to support that;
please let us know.
Secretary Raimondo. Great; thank you.
Senator Hagerty. Thank you, Secretary.
Thank you, Madam Chair.
Senator Shaheen. Thank you. Senator Schatz.
Senator Schatz. Thank you, Chair. First of all, I want to
just make sure we have a meeting of the minds on this solar
hold up. I want to know that you are alarmed, and I want to
know that you are going to update the Members of the Senate who
have expressed their concerns on a bipartisan basis, with some
pace. Maybe weekly that either you or an assignee can
communicate with us about where we are in the process.
So first, are you alarmed? And second, will you communicate
with us regularly on where we are?
SOLAR STATUTE
Secretary Raimondo. So I would say yes, and yes.
Senator Schatz. Okay.
Secretary Raimondo. You know, as I said to one of your
other colleagues we have to move forward quickly to meet our
climate goals, but as I also said to Senator Moran, there is a
process, there is a law, I have to implement the law.
Senator Schatz. Yes. I got it. I don't want to get into an
argument with you about the law. I will say that this five-part
test in the statute has to meet all five parts, and I would
argue that the allegation that what is happening in terms of
the manufacturing process in Southeast Asia is minor or
insignificant, is just facially not true.
And if you can't go through a fact-finding process on the
frontend, then you are stuck, essentially, having to open up an
investigation, and grind an entire industry to a halt while you
do your fact-finding. So that is one point I would like to
make.
But the crux of this is, Commerce has already asked and
answered the critical question here, which is that what is
happening in Southeast Asia is not minor or insignificant. It
has affirmed this in multiple scope rulings, March 2012,
October 2020, June 2021 that adding a positive-negative
junction is a highly technical production process. And I and I
know you are not looking at revisiting the question of whether
turning a wafer into a cell is minor or insignificant. So first
of all, are we in agreement about that?
Secretary Raimondo. So let me say this. I am not involved.
We are sitting, as essentially, a judge, in a quasi-judicial
capacity. And it is the professionals at ITA who are going
through this analysis.
So, as I said earlier I don't have discretion, or ability
to weigh in on their fact-finding process. And, you know, we
are not permitted even to talk about this extensively. But I
would be happy, I suppose, to let you speak to them with
counsel on the phone, if that would be useful.
Senator Schatz. Yes, a couple of things. First, the
administrative authority in the statute is the Secretary,
right. So it is not, like, assigned to some independent panel
of civil service professionals, that authority is vested in
you, and there is nothing inappropriate about you being more
engaged in the process.
They may not like that but I get that you don't get to
weigh climate goals, or public policy, or anything else. But
what I am saying is the thing that was alleged is just facially
not true, and the manufacturing process that is occurring in
Southeast Asia is not minor or insignificant, because the
Commerce Department has already decided that.
So now the only thing that the Commerce Department is in a
position to make a determination on is, is the thing that is
happening in Southeast Asia actually what is happening in
Southeast Asia. Like, can you just confirm that turning wafers
into cells is what is happening?
And my worry is that although the statute reads you have
150 days to come to a preliminary determination, and then
another--and I think either another 300 days, or a total of 300
days, those are not statutory minimum numbers of days, that is
a maximum.
Secretary Raimondo. Mm-hmm.
Senator Schatz. And so what I want for you to contemplate
is that you do have the discretion to get a little more
personally engaged, it doesn't jeopardize the independence of
the investigation. Informing Congress as to the status of it,
also is not, I think, in any way improper; and finally, that we
are in a major, major hurry because the solar industry in the
United States is at a halt.
I know the pushback you are getting from within the
Department, and I respect the independence of these civil
servants, but the authority is vested in the Secretary.
Secretary Raimondo. Mm-hmm. All right, let me respond to
this. I hear you. You know, I think it is August 29 or mid-
August is the outside limit. There is nothing that prevents us
from going faster, and I assure you we are going to go as fast
as possible, making sure we tick and tie the process and don't
cut corners. But yes, if we can do better than August, we
certainly will.
Secondly, you know, respectfully, having been a governor
and run organizations I know that this is an urgent matter. I
also know how to respect regulators, and make sure that they
have the freedom to do their job. This is complex, and there
are two sides to the story, which is not to say I don't share
the urgency, and I am engaged in an appropriate way.
But there is a point I do want to make. A lot of the--I
think Senator Reed said, rhetoric, or rumor, et cetera, is very
focused on, you hear it, you know, a 200 percent tariff. And I
really want to address that for a second, if I might.
While it is true Commerce would be permitted to impose a
tariff at that excessive level, that is exceedingly unlikely.
That level of a tariff is only reserved in outside cases, where
you can tell the difference between the company and, say, the
Communist Party of China.
The last 150 times we have done this since 2012, we have
come out in the 10, 11, 12 percent range, under 20 percent.
Now, I am in no way, like, predetermining what this will be, if
it will be anything. I do think it is important, though, to say
the 200 percent is an extreme case, and not fitting with the
precedent that we have had.
But, listen, I share your urgency, and I am happy to update
you as regularly as you would like.
Senator Schatz. Thank you very much.
Senator Shaheen. Thank you, Senator Schatz. Senator
Collins.
Senator Collins. Thank you, Madam Chair.
Secretary Raimondo, it is good to see you. I am going to
start by asking you a very quick question on the implementation
of the Infrastructure Broadband Development Grants that you,
Chair Shaheen, and I worked so hard on, and that are targeted
first for unserved areas and then underserved areas.
My question is this: the NTIA has until May 16 to publish
the Notice of Funding Opportunity for this program, and many
States are eagerly awaiting that notice. In my State, the Maine
Connectivity Authority stands ready to pursue this
transformational assistance. My question is this: will NTIA
meet that deadline?
BROADBAND DEVELOPMENT GRANTS
Secretary Raimondo. Yes, we will. And there is even a
chance we will beat that deadline.
Senator Collins. I am very glad to hear that. Now, I am
going to switch to our usual contentious issue which we
discuss, and that is the onerous new regulations on Maine's
lobster men and women. May 1 marked the first day of these--
implementation of these regulations. It was a dark day for the
industry.
NOAA denied an entirely reasonable request from the
governor, the entire Maine delegation, to delay implementation
of the rules, which we do not think are valid in the first
place, until July 1. What is interesting is NOAA's denial of
this modest extension, was opposed by another Federal agency,
the Small Business Administration's Office of the Advocacy.
And here what the office said: it asserted that NOAA was
putting lobster men and women in quote, ``An impossible
scenario'', and if they are quote, ``Not granted a short delay
of the compliance deadline, they may stand to lose significant
amounts of revenue, or in some instances, their entire
business.''
And this is because of supply problems where the gear being
mandated by NOAA is simply not available. Now, I know that NOAA
has announced a graduated enforcement approach, but that is a
very small comfort. The industry estimates it will lose $7
million in lost fishing time that would have been saved by just
granting that 2 month extension.
Each of Maine's more than 4,500 commercial lobster men and
women, are small, self-employed business owners. That is why
the SBA advocated for them, but NOAA totally ignored what the
SBA asked for, in reinforcing what the industry, the entire
delegation, and the governor also requested.
So now, we are also hearing that NOAA may impose further
regulations on the industry. So how can the industry trust that
NOAA is not going to regulate them out of existence, given that
the agency has rejected recommendations from the SBA's Office
of Advocacy? Not just those of us who represent the State, but
an independent office within the SBA, another Federal agency.
FISHERIES ENFORCEMENTS ON LOBSTER INDUSTRY
Secretary Raimondo. Yes. So, I appreciate you bringing it
up. And as I said last time, I will say again, I really, truly
admire your advocacy on behalf of the lobstermen. I do.
I have a bit of good news in this regard which is that our
Head of Fisheries, Janet Coit, is in weekly, if not daily,
contact with the Maine Commissioner, Pat Keliher, and they have
worked hard to find local suppliers of the new kind of gear,
including Maine Mold, it is a small company you may know, that
they are providing the new gear at an affordable price for the
lobster fishers.
You say that the graduated enforcement isn't much, but I
will assure you that along with our goal of enforcement, we are
trying to assist with compliance, and we will be as lenient as
we can to assist with compliance, instead of a ``gotcha'' sort
of approach.
The final thing I will say is we are on path to have the
$14 million out by the end of June which should help with the
cost for the lobstermen to comply.
Senator Collins. Thank you.
Senator Shaheen. Thank you, Senator Collins.
Senator Van Hollen, I am going to turn the questioning over
to you, and ask you to take the gavel so I can go vote, and I
will be right back.
Senator Van Hollen. Will do. Thank you Madam Chair.
Madam Secretary, it is great to see you. I just want to run
through a couple of shared priorities, to underscore my support
for items in the budget to begin with. EDA we look forward to
working with you to make good use of those funds. I can tell
you in the State of Maryland, especially cities like Baltimore,
they have been very important for economic development
purposes.
NOAA, lots of important tools, like the Digital Coast and
Coastal County Snapshot being used by coastal communities in
Maryland, to identify risks from climate change, and prepare
for necessary mitigation. And look forward to working with you
on the NIST budget--excuse me--the NOAA budget.
NIST, I was pleased to see a large request for the
construction research facilities. I know that you and the
President are big supporters of what we are working on here, in
terms of the USICA Bill, the America COMPETES Bill, this is a
critical part of that investment, so I am glad to see it
included here. And the budget requests for Scientific Technical
and Research Services, with respect to NIST, and America's role
in standard setting.
And I am going to get back to that in one second. I do want
to say amen, and I will not go over the comments made by my
colleagues, Senator Schatz and Senator Moran, with respect to
the solar panel issue, this uncertainty is creating havoc. I
heard your testimony but I will leave it at just seconding
their comments.
I know you are not responsible for overseeing our travel
rules, and our visa processing system, but I know that you
recognize the great benefit to our economy and commerce of
international travel here to the United States.
We have huge backlogs in our visa processing offices. I
have raised this issue with the State Department and DHS, but
since can look at it from the hat of, you know, the benefit to
our economy, and not just sort of international relations, and
only security, I am going to ask you to go back on that. We can
clearly meet our security concerns and our health care concerns
and still do a lot better, in my view.
So on the issue of our representation on very important but
little known, at least to the American public, international
standard setting organizations. One of them as you know is the
ITU. The ITU helped set rules governing--international rules
governing control of the Internet, and right now there is a
Russian candidate seeking to be the chair of this, at a time
when we are witnessing, the world is witnessing Putin,
essentially put Russia on lockdown, when it comes to any
freedom of the Internet.
So let me just ask you, Madam Secretary, what is your
assessment of where we are in that international, that vote
that will be taking place with respect to that very important
position?
INTERNATIONAL STANDARD SETTING ORGANIZATIONS
Secretary Raimondo. Yes. I appreciate you bringing this up.
It is something not a lot of people talk about, but it is
incredibly important. China is showing up, more and more
aggressively in technical standard setting bodies
internationally, and NIST is planning to really reassert
ourselves.
We are backing a candidate, Doreen Bogdan-Martin, for the
ITU. We are putting our all into helping her, and supporting
her. In fact, I was in Estonia just trying to shore up support
for Doreen. It is a campaign, it is an election. You cannot
predict the outcome, but I assure you this, it is a priority of
ours, the stakes are high, and I really hope we win.
Senator Van Hollen. Well, I appreciate that. And I think
what we have been, you know, witnessing with Putin's War in
Ukraine, and his shutdown of all, sort of, freedom of the press
and the Internet in Russia, should be a reminder to most in the
world, that we need an open Internet. But obviously there are
countries that have an interest in the authoritarian model as
well.
Secretary Raimondo. No doubt about that.
Senator Van Hollen. So I appreciate your focus on this. My
last questions relate to the export control restrictions and
sanctions, to go after Russia's military and key industries. I
have heard Senator Shaheen ask about that, and I have been
following the progress we are making with respect to some of
Russia's tank manufacturing, and the aircraft industry.
I know you announced some additional restrictions. My
concern here, on the financial side, has been the need to plug
more holes with secondary sanctions, which I don't think we are
doing enough of. On this side I know you are vigilant about it,
but I worry about, you know, Russia's efforts to use shell
companies, especially when they are looking for highly
important military technology.
Can you talk about what we are doing to make sure that they
don't open that back door while we close the front door?
EXPORT CONTROL RESTRICTIONS AND SANCTIONS
Secretary Raimondo. Yes. It is an awesome question, and
something we spend a lot of time on, and it is why we are
requesting more money for enforcement and agents. Look, what we
know now; first of all, Russia has an extensive network. They
have been doing this for decades, trying to get around export
controls. As far as we can see, there is no, like, systemic
backfilling by China, by any particular countries, but we will
monitor it.
Here is one thing that I take comfort in, because we have
done this, multilaterally, with 36 other countries that means
we have 37 countries on enforcement which is unprecedented. And
that, from what we can tell, is like vastly enhancing our
ability to enforce. So, it is a vigilance, it is a constant
vigilance, but at this point in time I feel quite confident
that we are on top of it; and again, because we are not doing
it alone.
Senator Van Hollen. Yes. Thank you. Thank you for your
efforts on that.
Senator Capito.
Senator Moore Capito. Thank you. And welcome, Madam
Secretary. Thanks for being here.
There have been reports in Reuters, and elsewhere, that
China has been pressuring our U.S. executives, companies, and
business groups against the USICA Bill. To your knowledge, is
there any truth to these reports, and the threats that our U.S.
companies are receiving from our Chinese emissaries--from the
Chinese emissaries?
CHINA OPPOSITION TO THE USICA BILL
Secretary Raimondo. Yes. Thank you. So, like you, I have
seen the reports. There have been more than one report, and it
doesn't surprise me at all. China doesn't want us to pass this
bill. They know that this bill will enable us to out-compete
them. And in the past handful of years, China has invested $160
billion in increasing their own domestic semiconductor
production, so the last thing they want is for us to invest $52
billion, which will make us stronger.
So, yes, I have heard the report. They are deeply
concerning to me, and it just means we have to act, we have to
act now. As I said to Senator Reed, it is an issue of national
security. And I think the reason China is so against it, is
because they know how important it is for us.
Senator Moore Capito. Right. Thank you. Would you say the
crux of their objections would be that semiconductor portion of
it, because that is going to have the most economic benefits--
it does have the most economic benefit?
Secretary Raimondo. You know, it is a good question. I
don't know. I would say certainly that is what they have
explicitly been against, but the rest of it, increases in
research and development, the tech hubs, all of it goes to
enhancing America's competitiveness.
Senator Moore Capito. Right.
Secretary Raimondo. And so I think they would probably
oppose the whole thing.
Senator Moore Capito. Well, as a supporter of that bill.
Secretary Raimondo. Thank you.
Senator Moore Capito. And I am on that very small
conference committee that is meeting tomorrow. So I appreciate
that.
Today, NOAA has 40 petaflops of supercomputing capability
for weather predicting and research. So I looked up
``petaflop'', because I have no idea what that is. And for our
viewing public, a ``petaflop'' is one thousand million-million
flashing--let us see--floating point operations per second. Or
another way to say it, a quadrillion, which is a thousand
trillion, that is how fast it is.
So I am sure we will all remember that, but I didn't want
to say ``petaflops'' without knowing what it was. As you know,
NOAA's facility in Fairmont, West Virginia, is one of NOAA's
five research and development supercomputers. We are very proud
of that.
In addition, the IIJA provided NOAA with another $80
million for research, supercomputing. We have placed a big
emphasis on the supercomputing capabilities, for a lot of
reasons, for NOAA. So I am proud of the work that we do in
Fairmont. And I guess, could you speak to the vision that you
have for supercomputing, and how West Virginia may play a role
there?
SUPER COMPUTING IN WEST VIRGINIA
Secretary Raimondo. I think West Virginia will play a very
important role. For fiscal year 2023 we are requesting $20
million in the President's budget to recapitalize and maintain
the high-performance computing capacity. And that will enable
consistent capacity increases in R&D through computing sites,
specifically like the one in West Virginia.
Senator Moore Capito. In Fairmont, yes.
Secretary Raimondo. In Fairmont. So, I think artificial
intelligence, high performance computing, these areas are areas
of increasing economics, national security, and climate change.
You know, we need this, we are depending on it, we are
investing in it, and I can firmly say that Fairmont will stand
to benefit from these investments.
Senator Moore Capito. Great. Well, we are very pleased to
have NOAA there and look forward to further investment. Let me
ask you, go back to a quick clarification on a question that
Senator Collins asked about the deadline, you know how
interested I am in--
Secretary Raimondo. I know.
Senator Moore Capito [continuing]. In the digital divide,
you are probably surprised I didn't start with that. But you
mentioned a May 17 deadline. Just so I can clarify for my
Broadband Council at home. That is the deadline that you are
going to then come forward with a request for proposals, or
does the proposal have to be in--
BROADBAND--NOTICE OF FUNDING OPPORTUNITY
Secretary Raimondo. Yes. Exactly, so it is May 16.
Senator Moore Capito. Mm-hmm.
Secretary Raimondo. Monday. It is what the NOFO, so it is a
Notice of Funding Opportunity.
Senator Moore Capito. Okay.
Secretary Raimondo. And it will go out the 16TH. The way it
is going to work, you can tell us to your folks, we will ask
every State to then apply for the money, all they have to do is
submit to us an intention to apply.
Senator Moore Capito. Okay.
Secretary Raimondo. Which they should do quickly. Then we
will be sending them a $5 million dollar planning grant, and
then we will get to work right away on the back and forth of
putting together the proposal.
Senator Moore Capito. Okay. So the planning grant, okay
great; great news. I did have a question on the supply chain
that is needed to deploy all this broadband.
Secretary Raimondo. Yes.
Senator Moore Capito. But I will save that for question for
the record. And thank you.
Secretary Raimondo. Yes. May I say something?
Senator Moore Capito. Yes.
Secretary Raimondo. You asked me last time I saw you, a
week or two ago, what happens if RDOF says someone is covered,
but if they are not covered for 5 years?
Senator Moore Capito. Right, running with this all over the
place, yes.
Secretary Raimondo. The answer is, you are counted as
unserved until you are actually served.
Senator Moore Capito. Really?
Secretary Raimondo. Yes. So I wanted to make sure to get
back to you.
Senator Moore Capito. Okay. That is a great clarification.
Thank you.
Secretary Raimondo. Yes.
Senator Moore Capito. And Senator Braun, I am turning it
over to you. And I am going to go vote. Thank you.
Senator Braun. I guess, I will recognize myself here, so.
[Laughter.]
Senator Moore Capito. It is a little strange.
Senator Braun. The first time that has occurred in a little
over 3 years, but it is the nature of how this place works.
Secretary Raimondo. Here we go. Here we are.
Senator Braun. So back on March 15, I introduced a letter
about the labor negotiations with the West Coast folks, in
terms of having those done by July 1. I understand they may
have started yesterday. So last time there has been a dispute
there, it ended up lasting 10 months, and it probably had more
latitude in terms of how long you could go.
I think that would be devastating for supply chain,
everything else we have come through. I was hoping to get your
opinion as to whether you think we will get these negotiations
done, so that we don't, you know, pass that July 1 deadline.
LABOR NEGOTIATIONS WITH WEST COAST PORTS
Secretary Raimondo. I am sorry; which negotiation?
Senator Braun. Okay. So it would be the upcoming contract
negotiations for the West Coast ports. So it is a labor
negotiation.
Secretary Raimondo. Okay. Okay, sorry. I am not involved in
that, so--
Senator Braun. No. I think I am raising the point in that,
you know, supply chain is part of what you are concerned with.
Secretary Raimondo. Yes. No, yes.
Senator Braun. That has been a major bottleneck on supply
chain. And I, and about 17, 18 other Senators put it in a
letter to President Biden, and really have not heard back.
Although I am told that they may have started yesterday. So why
don't you find out how they are going.
Secretary Raimondo. Okay. Fair enough. Yes.
Senator Braun. And to make sure that we don't pass the July
1 threshold, because that would add, you know, right when we
are starting to get a little fluidity.
Secretary Raimondo. Yes. Yes.
Senator Braun. You know back, I guess, from the frying pan
into the fire. So I will discuss something--
Secretary Raimondo. Yes.
Senator Braun [continuing]. That we both share a concern
with. My business was logistics, distribution. I know how
supply chains have been really rattled, displaced, main trading
partner for many. The Chinese have now done some things in
their own country that look like they are going to be less
dependable when it comes to how it is going to work on key
things we get from their semiconductors.
We know what that has done to many, many different
industries. Those are issues I am hoping that we are going to
somewhat, reflexively bounce back into something that is going
to be more workable. I know you are working on some of the
particulars. We have talked about it before. So I won belabor
that.
I think what I am concerned about mostly, in our American
economy, no one else seems to be, is the fact that the
President put out a blueprint on a budget 10 years out, that
shows us actually growing our structural deficits, taking our
debt from $30 trillion where it is currently, record high in
our country's existence, to $45 trillion.
Love to know how you view that, in terms of being a viable
blueprint. And when do we have to start addressing the
underlying causes, which are tough issues, Social Security,
Medicare, that drive the structural deficits? Or whether it
makes a difference? Whether we can have a blueprint for our
country out there that says, hey, we are going to be $45
trillion, that is taking us into territory way exceeding where
we were post-World War II?
THE AMERICAN ECONOMY
Secretary Raimondo. So, I can assure you that the President
is concerned about fiscal responsibility. In fact, the deficit
shrunk significantly this past year, under his leadership. And
he will be the first to tell you that he is for responsible,
efficiently run government. But we also think it is important
to make investments.
You know, like the investments that we made in the
Bipartisan Infrastructure Bill, investments in broadband,
investments in clean water, et cetera. So I think that like all
things, it is a balance. But I can tell you the President is
committed to running a responsible government, and fiscal
responsibility.
Senator Braun. Well, I know he said that. To me, the proof
is in the practice and the pudding, so to speak, and pre-COVID
we were borrowing about 23 percent of every dollar we spend
here, marginally. Now, that is up to 30 percent, and we created
the largest deficits in our country's history. Some in a
bipartisan way, in trying to navigate through the pandemic, and
be careful about touting that we are bringing the deficits down
because, still, huge deficits that we created, so the law of
gravity would bring you down.
What I am more concerned about is putting a formal
blueprint out there that averages between now and then, you
know, $1.5 trillion deficits times 10, 15 trillion added to our
debt. I don't think it is a business plan that is sustainable.
I think politicians, including Jay Powell at the Fed,
through whatever this modern monetary theory is supposed to be,
I think it runs us into the ditch in a hard way. And I would
hope that there might be some modification to our country's
business plan that does something other than that; or do you
like, or are you comfortable with a blueprint that shows us
being 45 trillion in debt?
Secretary Raimondo. I am comfortable with the President's
plans but I agree with you that we have to continue to work to
live within our means.
Senator Braun. I guess we will live with that today. Thank
you.
Secretary Raimondo. Thank you.
Senator Shaheen. Thank you, Senator Braun. I think Senator
Moran is still coming back, and I have a few more questions. We
still have two more votes which could take a while. So since
you are here, I get to ask questions.
And I want to go back to NOAA, because, as you know, last
year NOAA required increased observer coverage for the
Northeast Groundfish Fishery, which has been an ongoing
challenge for us in New Hampshire, as for other groundfish
fisheries, and throughout New England.
This year with NOAA increasing the coverage requirement to
100 percent from about 40 percent, every fishing trip is going
to have to have an observer on board, and the program costs are
going to significantly increase.
So I have been pleased, over the last 5 years, when we have
worked to see that we cover the cost of at-sea monitors for our
fishing boats. And I was disappointed this year that the budget
request for NOAA actually proposed to cut the funding for this
program from the enacted level. So can you talk about that
decision? And has NOAA actually estimated the full cost of at-
sea monitoring for the 2022 fishing year?
NOAA FUNDING FOR AT-SEA MONITORING
Secretary Raimondo. Yes. So, first of all, thank you for
your support of the at-sea monitoring. It is important to all
the New England States. And yes, they have. I know there has
been a cut, but we have $11 million left over from prior years.
So it is our estimation that the $7.6 million which we have
requested, plus the 11 which we have, will be adequate.
Senator Shaheen. So will you commit to me that NOAA will
cover the full cost of at-sea monitors this year?
Secretary Raimondo. That is the plan, yes.
Senator Shaheen. Great. Thank you. I appreciate that, and
also look forward to seeing how we can help some vessels move
to electronic monitoring.
Secretary Raimondo. Mm-hmm, yes.
Senator Shaheen. Of which I know there has been some
reluctance to do, but I think the more the fishing industry
sees what is happening in that area, and is able to understand
how that would affect them, the more likely they are to be
willing to switch over. So I think that is also a significant
piece of this.
Secretary Raimondo. Yes. I agree. Senator Murkowski and I
chatted a little bit about the un-crewed. I mean there is all
sorts of technology that we need to adopt to make this easier.
Senator Shaheen. Great. Sticking with NOAA; the
Infrastructure Investment and Jobs Act provides about $3
billion over 5 years for programs for NOAA, and I was very
pleased to work to try and ensure that the majority of this
funding goes to improve coastal resilience, and restoring
habitat, something that is very important to us as, you know,
in coastal States.
And I know that communities are very eager to receive these
funds, but it has been almost 6 months since the passage of the
Bipartisan Infrastructure Act, and yet NOAA has only released
two of at least ten notices of funding opportunities.
So can you talk about what the reasons are for the delay,
and when communities can expect that they may see more of those
funds?
INFRASTRUCTURE INVESTMENT AND JOBS ACT
Secretary Raimondo. Yes. So, as you say, it was nearly $3
billion, $2.96 billion. That is an unprecedented amount of
money for NOAA to have received, which is not an excuse; it is
just a reality that it is more than they have ever done. We
plan and will have all the Notice of Funding Opportunities out
by the end of June. So that is a commitment, end of June.
Senator Shaheen. Great.
Secretary Raimondo. And we are just going to work towards
that.
Senator Shaheen. And there are ways that we can help alert
our communities that these notices are coming, and they should
be watching for them, and encourage them to be paying
attention, and seeing how we can help communities.
Secretary Raimondo. You know, that is a good question. I
will have my staff follow up with you specifically.
Senator Shaheen. That would be great.
Secretary Raimondo. So I can give you a more specific sense
of when New Hampshire, for example, should start looking for
it.
Senator Shaheen. That would be really helpful. As you know,
one of the--one of the things that I have been very impressed
with in the Seacoast of New Hampshire, is the extent to which
communities are looking towards the impacts of climate change,
and getting ready to address that. And so I know these funds
are going to be very important as they think about what is
coming down the pike.
One final question before I turn it over to Senator Moran.
Is through the CARES Act, the American Rescue Plan, and the
Infrastructure Investment and Jobs Act, Congress has made
historic investments in the Commerce Department, as well as
many other areas of government and in States, to help get
through the pandemic. And we may soon pass some form of the
U.S. Innovation and Competition Act, hopefully that will add
more funding at the Department, that you are not expecting. And
just as with NOAA, that that is great news, but it presents
challenges for the Department.
ENSURING SUCCESS OF DEPARTMENT INVESTMENTS
Secretary Raimondo. Yes.
Senator Shaheen. And a lot of us are watching because we
are very anxious to see these programs be successful. So can
you talk about how you are ensuring that the Department is
coordinating those investments, and what we can do to ensure
that you have the support you need to do that?
Secretary Raimondo. Yes. Look, like you, I don't want to
say anxious about it but I have a real sense of focus to make
sure that we implement all this money correctly. It is over a
$100 billion, which is an extraordinary amount. I hope you take
some confidence in the fact that NTIA, which is implementing
almost $50 billion, is going to get that out on time, if not
ahead of time. By the way, by this Friday, every State will
have a State point of contact for broadband.
Senator Shaheen. That is great.
Secretary Raimondo. And I have personally communicated with
all the governors. So what is my point? My point is, we are
gearing up, we are ready, we will implement, we are hiring. I
hope you do pass USICA, and that will send $52 billion for
chips, and we already have done a lot of the work related to
what is the org chart, what kind of talent do we need.
So it will be a partnership between you, and this
Committee, and our team, but I want you to have confidence that
we know it is a heavy lift, and we are prepared.
Senator Shaheen. Great. We look forward to that.
I will turn it over to Senator Moran.
Senator Moran. Thank you. I don't know I was of much help
to you today, but it was unintentional on my part.
Senator Shaheen. Ships through the night.
Senator Moran. Yes. Madam Secretary, Russia's invasion of
Ukraine has created new and complex trade challenges. While the
administration has requested emergency Ukraine-related funding
for the Bureau of Industry and Security, it has not done so for
the International Trade Administration. What is the Department
and ITA doing to promote exports, rural exports in particular,
so U.S. farmers can help meet the emerging global food crisis
that has arisen as a result of the evil Russian invasion?
ITA AND PROMOTING EXPORTS
Secretary Raimondo. Thank you for that question. We are
requesting an increase in the President's budget for ITA, and
that it is specifically for export promotion. And there is a
team within ITA looking at strategies specifically to respond,
as you just said. And with respect to food, there is a great
deal of work going on within the Administration, in the
interagency, around how we can meet the needs that have been
created by the invasion.
Senator Moran. Is there money within the budget to help
U.S. industries address emerging supply chain challenges and
disruptions that have arisen as a result of the war in Ukraine?
FUNDING FOR THE SUPPLY CHAIN CHALLENGES
Secretary Raimondo. Yes. We are requesting $16 million
additional for supply chain work, whether that is specifically
for Ukraine, no, is the answer. But it will be used for that. I
will say this, that $16 million is what we are asking for to
address the existing crisis. The crisis you are referring to
the existing crisis.
What this country really needs is what is in USICA, or
whatever we call it; the Competition Bill, which is a permanent
supply chain management operation within the Department of
Commerce. If we have learned one thing through COVID, we are
woefully under-resourced as it relates to the Federal
government's ability to map, monitor, manage, and support our
supply chain.
We have lost 25 percent of our small manufacturers in the
last 25 years, probably many in your State, many in my State,
but one of the only countries, industrialized countries, that
doesn't have this. And so that is why I have so much passion
for the supply chain portion of the USICA Bill.
We ought to be continuously monitoring, continuously
providing loans, and such, to small manufacturers, so we are
not constantly reacting to these supply chain disasters.
Senator Moran. Does that provision exist in either the
House or Senate version in one or--
Secretary Raimondo. Yes it does, in both.
Senator Moran. In both?
Secretary Raimondo. In both, yes.
Senator Moran. Okay. So your testimony is you support that
provision that is in those bills?
Secretary Raimondo. Strongly.
Senator Moran. Okay. And then the Department of Commerce,
do you have the capability or--and are you doing so, if you do,
to engage with U.S. companies that--to help them find a role to
play in reconstructing Ukraine?
ROLE OF U.S. COMPANIES IN RECONSTRUCTING THE UKRAINE
Secretary Raimondo. Ah. Thank you for that question. So I
had the opportunity, a couple of weeks ago, to meet with the
Prime Minister, he came to visit with me. We talked mostly
about export controls, because I was trying to gather
information about whether we are being effective. But the
conversation quickly turned to the rebuilding of Ukraine.
And so the answer to your question is, yes, we are already
in process, engaging the private sector, looking at our own
tools within ITA, to figure out how we can lean into the
rebuilding effort. I will tell you this, we are very early
stages, the initial outreach to U.S. industry has been
excellent. And I would say more broadly the U.S. private sector
has stepped up in ways that have supported the administration's
work.
Senator Moran. I just, in between voting, and the State and
Foreign Ops Appropriations Subcommittee that is meeting at the
same time today, where the topic is food aid globally.
Secretary Raimondo. Yes.
Senator Moran. But certainly Ukraine is maybe a need, and
is a contributing factor, a significant factor in the hunger
that is occurring, or will occur around the world, one of the
answers that Ambassador Beazley provided was that there is no
way to truck grain out of Ukraine to world markets. Does that
make sense to you?
He was responding to someone else's question, and I didn't
have a chance to follow up. But the goal--I mean most of that
grain is shipped out by ship.
FOOD AID IN THE UKRAINE
Secretary Raimondo. Yes.
Senator Moran. I didn't say that very well as, you know,
realizing that--
Secretary Raimondo. No, no. I know what you mean. It does
make sense to me; having said that, I would have to look into
it further to verify it.
Senator Moran. We ought to be--I mean, transportation in
Ukraine may be--that every industry is important in the
rebuilding, and the restructuring, but to help meet global
hunger, agriculture and transportation seem to me to be of huge
importance, as you, and the private companies that you just
mentioned, discuss what the next steps are, those might be the
places that are so valuable, not only to Ukraine, but also to
the world.
Secretary Raimondo. That is an excellent point.
Senator Moran. When we were on the border of Ukraine, the
Ukrainians were particularly asking for diesel fuel, so that
they could actually produce the crops, which captured my
attention. It would be so sad to have crops in a field, or seed
to plant, or crops to harvest, and the absence of diesel fuel
prevents them from doing so.
Assure me, Madam Secretary. It appears to me that there
is--as I would expect--there is significant emphasis in the
administration's budget, in your Commerce Department budget, on
climate change. Having just been in Kansas a weekend ago, and
saw the results of a tornado in Andover, assure me that the
priorities on climate change do not diminish the necessity, or
the capabilities, of providing the current weather, and the
warnings necessary, and the knowledge necessary for people to
protect themselves, and for farmers to make decisions about
planting, and harvesting? And are we--or we make sure we are
not diminishing what we need to do otherwise?
CLIMATE CHANGE AND CURRENT WEATHER PRIORITIES
Secretary Raimondo. No. In fact, we are expanding what we
need to do. In fact I was just meeting with Dr. Spinrad the
other day, around what more investments we are making to
improve our weather forecasting, improve our wildfire
forecasting. And how we can continue to develop data products
that we can provide to businesses, to States, to cities, to do
an even better job with drought forecasting, which of course
leads to fires, et cetera.
So no, I would say if anything we are doubling down on
this, and some of the investments in satellites, and such, are
exactly for that.
Senator Moran. Thank you for your answers.
Senator Shaheen. Thank you, Senator Moran. I actually only
have one more question. And that has to do with Anomalous
Health Incidents. The Omnibus budget included a provision that
allowed the Department to have up to $5 million to assist
certain employees and family members who may have been affected
by anomalous health incidents. Can you tell us if that funding
has been used? If you have--if you think it is going to be
adequate to address the concerns that you are hearing from
employees, or if you need additional help?
ANOMALOUS HEALTH INCIDENTS
Secretary Raimondo. Yes, I need--permit me to get back to
you on that. I have not heard that it is not enough. And I have
been in close contact on all of these issues, but I will get
back to you, and give you a better answer.
Senator Shaheen. That would be great. Thank you.
Senator Moran, do you have any further questions?
Senator Moran. No. Thank you. I do, but I don't have time
for them.
ADDITIONAL COMMITTEE QUESTIONS
Senator Shaheen. In that case, if there are no further
questions. Senators have until Wednesday, May 18, to submit
additional questions for the official hearing record, and we
would request the Department responses within 30 days of any
questions for the record.
[The following questions were not asked at the hearing, but
were submitted to the Department for response subsequent to the
hearing:]
QUESTIONS SUBMITTED BY CHAIRMAN LEAHY
Questions Submitted to Secretary of Commerce Gina Raimondo, Department
of Commerce
Question 1. Through the enactment of the Infrastructure Investments
and Jobs Act (IIJA) in November 2021, the National Telecommunications
and Information Administration (NTIA) received $48.2 billion in funding
to augment the efforts of its Office of Internet Connectivity and
Growth to provide communities with the resources and tools necessary to
deploy broadband infrastructure. For largely rural states like Vermont,
where tens of thousands of households do not have broadband access,
these funds will make a substantial difference in their work to ensure
that everyone has affordable and dependable Internet service.
Since negotiations of the IIJA began almost a year ago, the cost of
raw materials and labor needed for deploying broadband have increased
considerably. Further, shipping delays for certain materials and
components have the potential to hinder ability of telecommunications
providers to quickly make use of Federal funds and address the most
immediate broadband needs of their communities.
A. What effect does the NTIA expect the compounding
challenges of higher costs and supply chain constraints to have
on the effectiveness of the broadband funding set aside by the
IIJA?
Answer. The DOC has taken a leading role in addressing supply chain
challenges facing our nation. The Department and NTIA are well
positioned to engage with the telecommunications sector and
manufacturers to ensure that there is sufficient supply of fiber,
equipment, and other necessary materials to implement the broadband
programs. We leverage the resources and expertise within the Department
and work closely with industrial stakeholders to address this critical
issue.
For the BEAD program, each Eligible Entity may choose its own means
of competitively selecting subgrantees for last-mile broadband
deployment projects, though that process must incorporate certain
principles to satisfy the Infrastructure Act's mandates and the BEAD
Program's goals.
B. What steps does the NTIA plan to take to address any
negative impacts, and how can Congress assist in these efforts?
Answer. See response above.
Question 2. On March 28, 2022, the Department of Commerce announced
the launch of an investigation into alleged circumvention of duties for
solar panels imported from four Southeast Asian countries. The
investigation is in response to a petition from Auxin Solar, which
alleged that Chinese manufacturers shifted some production to these
countries in an effort to evade 2012 duties. Solar panel imports from
these four countries account for 80 percent of all solar panel imports
to the United States. The Commerce Department is considering up to 250
percent tariffs on these solar panel imports to be applied
retroactively.
The Solar Energy Industries Association (SEIA) is forecasting that
solar installations for 2022 and 2023 will be cut by 46 percent due to
these circumstances, resulting in a drop of 24 gigawatts of planned
solar capacity. If this capacity is replaced by fossil fuels, the
United States will emit an additional 364 million metric tons of carbon
by 2035. The SEIA is also projecting that 100,000 American solar
workers will lose their jobs. The consequences to this investigation
contradict President Biden's efforts to reduce greenhouse gas pollution
and support good-paying American jobs in the renewable energy industry.
In SEIA's Broad Industry Survey, 88 percent of Vermont solar
companies responded that the investigation will have severe or
devastating impacts to solar business, and that $10 million worth of
projects have already been impacted in Vermont alone. I have heard from
a number of Vermont solar companies that this investigation threatens
their long-term viability, which would not only result in a loss of
jobs in Vermont, but would also stymy the state's ability to address
carbon emissions moving forward.
In May 2021, the Department of Energy's Solar Energy Technologies
Office released a Multi- Year Program Plan to accelerate the
advancement and deployment of solar technology. One of the Plan's goals
was to expand the solar workforce to 300,000 employees by 2025.
A. What will the Department of Commerce do to negate the
economic and environmental impacts of the market disruption in
the domestic solar industry caused by this investigation?
Answer. Anti-dumping (AD) and countervailing duty (CVD) proceedings
are a quasi-judicial process, subject to review in U.S. courts. AD and
CVD proceedings are in response to dumping or state-sponsored subsidies
that harm U.S. industry. The Commerce Department bases its findings on
the factual information on the record of its proceedings, following
methodologies provided under the law, regulations, and long-standing
practices.
When dumping and subsidization cause harm or injury to our domestic
industry, AD/CVD duties are imposed on imports to offset those negative
effects and ensure a healthy system of international trade in which
everyone can compete on a level playing field. With respect to the
specific case you referenced, Commerce was originally scheduled to
announce its preliminary and final determinations in these
circumvention inquiries by August 30, 2022, and January 27, 2023,
respectively. Commerce's determinations will be made in accordance with
U.S. law and be based on the facts on the record as well as in
consideration of comments filed by interested parties. Based on the
complexity of this case, we extended the preliminary determination
until November 28, 2022.
On Monday, June 6, the White House announced that it was invoking
the Defense Production Act to accelerate domestic production of clean
energy technologies, including solar panel parts, grid components,
building insulation, heat pumps and more. The proclamation also calls
for up to a 24-month hold on potential duties on solar cells from
Cambodia, Thailand, Malaysia, and Vietnam which may come as a result of
the ongoing circumvention inquiries. On July 1, Commerce published a
notice in the Federal Register with a proposed rule to implement
certain aspects of the Proclamation. In the meantime, Commerce's
ongoing circumvention inquiry will continue. To the extent
circumvention is found to be occurring, the White House proclamation
authorizes a temporary exception to the requirements to collect certain
estimated duties and duties on imports of certain solar cells and
modules from Cambodia, Thailand, Malaysia, and Vietnam.
B. Does the Department of Commerce support the Department of
Energy's plan to expand the solar workforce and open new solar
markets?
Answer. Commerce is supportive of DOE's efforts to expand the solar
workforce and open new solar markets. Growing a strong domestic
workforce throughout all facets of the solar value chain will be key to
delivering economic prosperity to American families while combatting
climate change and creating the conditions for the U.S. solar industry
to thrive in a competitive global market.
Question 3. Congress is working toward a final agreement to make
substantial investments in microelectronics, which the Department of
Commerce will use for long-needed investments in the United States'
ability to domestically produce critical semiconductors. The United
States has need for both for more advanced chips for processing at
smaller nodes, as well as more capable chips to manage the tremendous
power requirements that 5G wireless connectivity and beyond requires.
In fact, the importance in networking systems has become as significant
a requirement for future technology as the processing capability.
A. How does the Department of Commerce assess the need for
what used to be considered ``legacy'' node chips in light of
the increased demand for connectivity?
Answer. I applaud the members of Congress who worked hard to get
the CHIPS and Science Act to President Biden's desk. My staff have hit
the ground running to operationalize this historic investment in
America's global economic leadership. To assess industry's needs from
legacy to leading-edge node chips, the Department issued RFI on the
chips shortage. Respondents from all organization types noted that if
investments in manufacturing leading-edge nodes and legacy nodes were
equivalent, the return on investment for legacy nodes would be higher
due to the current growing demand and broader capacity in certain
applications. Accordingly, we recognize that investments are needed
across the industry.
B. How in demand are trusted supply chains for chips that
enable 5G wireless networking?
Answer. Building out trustworthy supply chains for chips that
enable cutting-edge applications, including 5G, artificial intelligence
and machine learning, and autonomous vehicles, is critical to the
success of the CHIPS program. This is why it's crucial that we bring
chip production home and construct a semiconductor ecosystem here in
the U.S. My hope is to help bolster our chips supply chains for 5G
networking through the CHIPS program.
C. What value do advanced techniques and materials such as
Gallium Nitride and epitaxial growth provide?
Answer. New materials and processes enable dramatic new properties
and performance of integrated circuits, which are especially important
in areas such as extending battery performance in mobile devices and
electric vehicles, greater reliability in the electric grid, or harsh
environment performance in aerospace.
Leading-edge nodes and compound semiconductor nodes (such as
silicon carbide and gallium nitride) are key areas of focus needed to
maintain future competitiveness, and where aligning facilities,
equipment, and other capacity are critical. In response to the
Department's RFI on the chips shortage, large businesses highlighted
the need for wide bandgap semiconductors, including silicon carbide and
gallium nitride. Scalable end-to- end compound semiconductor
manufacturing facilities with advanced, flexible tooling were thought
to enable the broadest array of semiconductors for applications in 5G/
6G wireless, broadband rural/urban access, data centers, and emerging
augmented reality and virtual reality (AR/VR) products.
Epitaxy, a method of depositing or growing a monocrystalline film,
enables a high-purity starting point for building a semiconductor
device. Epitaxy facilities generally specialize on a limited family of
compound semiconductors. Thus, several facilities are needed to provide
the range of materials and structures needed for a diversity of
essential high performance devices and related technologies.
D. What domestically-available advanced techniques and
materials for chips that 5G wireless networking exist?
Answer. As discussed above, building out trustworthy supply chains
for chips that enable cutting- edge applications, including 5G, is
critical to the success of the CHIPS program. The CHIPS program will
enable more domestic production of these critical chips and restore
U.S. leadership in semiconductor production and innovation.
______
Questions Submitted by Senator Dianne Feinstein
Question 1. As you know, the Commerce Department's inquiry
regarding the import of solar cells and modules is causing uncertainty
in the market. A California company is alleging market practices by
some companies that would result in tariffs up to a 250 percent
increase.
While I understand your department's process calls for an
investigation, California is anticipating delays of over 400 megawatts
of hybrid solar plus storage projects that were to come online this
year. This includes 163 megawatts of storage in September, which falls
amid peak wildfire season when the need for renewable energy is even
more important.
A. Secretary Raimondo, how is the Commerce Department going
to provide certainty about the cost of solar panels while the
investigation is ongoing so California can meet its clean
energy goals? And, what is being done to ensure an expeditious
investigation?
Answer. Anti-dumping (AD) and countervailing duty (CVD) proceedings
are a quasi-judicial process, subject to review in U.S. courts. AD and
CVD proceedings are in response to dumping or state-sponsored subsidies
that harm U.S. industry. The Commerce Department bases its findings on
the factual information on the record of its proceedings, following
methodologies provided under the law, regulations, and long-standing
practices.
When dumping and illegal subsidization cause harm or injury to our
domestic industry, AD/CVD duties are imposed on imports to offset those
negative effects and ensure a healthy system of international trade in
which everyone can compete on a level playing field. With respect to
the specific case you referenced, Commerce was originally scheduled to
announce its preliminary and final determinations in these
circumvention inquiries by August 30, 2022, and January 27, 2023,
respectively. Commerce's determinations will be made in accordance with
U.S. law and be based on the facts on the record as well as in
consideration of comments filed by interested parties. Based on the
complexity of this case, we extended the preliminary determination
until November 28, 2022.
On Monday, June 6, the White House announced that it was invoking
the Defense Production Act to accelerate domestic production of clean
energy technologies, including solar panel parts, grid components,
building insulation, heat pumps and more. The proclamation also calls
for up to a 24-month hold on potential duties on solar cells from
Cambodia, Thailand, Malaysia, and Vietnam which may come as a result of
the ongoing circumvention inquiries. On July 1, Commerce published a
notice in the Federal Register with a proposed rule to implement
certain aspects of the Proclamation. In the meantime, Commerce's
ongoing circumvention inquiry will continue. To the extent
circumvention is found to be occurring, the White House proclamation
authorizes a temporary exception to the requirements to collect certain
estimated duties and duties on imports of certain solar cells and
modules from Cambodia, Thailand, Malaysia, and Vietnam.
Question 2. Since President Biden took office, the U.S. economy has
created 8.3 million jobs, which is a record pace. At 3.6 percent, the
unemployment rate is near historical lows. However, the economy is
still several million jobs short of pre-pandemic levels in large part
because nearly 1.5 percent of the labor force that existed in early
2020 still has not returned to the job market since the pandemic began.
A. Secretary Raimondo, what are the main reasons that this
substantial number of individuals has not returned to the
workforce and should we be concerned about it? What is the
Administration doing, and what should Congress consider doing,
to make it easier for people to return to the workforce?
Answer. There are about 600,000 fewer workers in the labor force
before the pandemic, and nearly the entire gap is from women. This
frustrates me but does not surprise me at all because accessible
childcare, elder care and family leave policies are essential for
supporting labor force participation, particularly among women. And the
United States falls short on all three.
Women shoulder the burden of caregiving in the United States, and
many had to leave the workforce to take care of their children and
elderly family members full time. Unavailable and unaffordable care is
an economic crisis driving current workforce and economic challenges
across the country. Across the world, affordable childcare is generally
connected to higher maternal rates of employment.
We see the impacts of paid family leave in states that have passed
more robust leave laws. For mothers taking leave to care for children,
paid leave nearly closing the workforce participation gap between women
with young children and other women. For caregivers accessing leave to
care for other family members, paid leave increases workforce
participation.
Caregivers often sacrifice their careers and financial futures by
reducing work hours, taking on debt and tapping into their own
savings--ultimately jeopardizing their own financial security.
Question 3. In recent years, there has been a significant increase
in the amount of space debris orbiting Earth due to collisions and
anti-satellite tests, now totaling more than 30,000 individual objects.
With tens of thousands more satellites proposed to be launched soon,
mitigating the impacts of this debris is increasingly important.
Multiple Federal agencies currently track space debris, including the
Defense Department, NASA, and Commerce. The Commerce Department has
requested a significant increase in its budget for the Office of Space
Commerce this year, from $16 million to $87.7 million.
A. Secretary Raimondo, can you explain how the Office of
Space Commerce plans to spend this funding increase? How does
the Department of Commerce plan to collaborate with other
agencies to set regulations for debris, satellite construction,
and orbital paths?
Answer. The fiscal year 2023 Budget request is based on a thorough
review of the National Academy of Public Administration study and what
it would cost to develop a sound and robust Open Architecture Data
Repository (OADR) and fully staff the Office of Space Commerce (OSC).
The increase is going towards achieving Initial Operating Capability
(IOC) no later than fiscal year 2024, and Full Operational Capability
(FOC) expected by 2025. Without this funding, NOAA cannot meet these
critical milestones.
Receipt of the full request of $87.7 million will allow OSC to
maintain the OADR development schedule, including:
--Continue to hire key staff.
--Support partnerships among OSC and DoD and other Federal agencies,
academia, and commercial industry to share space situational
awareness (SSA) information through the OADR. The additional
funding reflects the importance the Administration places on
the SSA mission and will support NOAA's efforts to accelerate
the development of the OADR from a pilot demonstration to FOC
in 2025.
--Award a contract to a cloud infrastructure and data integration
service provider which would provide cloud services to host the
OADR and deliver SSA products and services, procure commercial
data, services, and infrastructure to populate the OADR; and to
build out the proving ground (or test area) for use by
government, industry, and academia for innovation activities.
--Acquire a variety of commercial capabilities (products, services,
and technologies) that will make key contributions to the OADR,
consistent with the guidance of Space Policy Directive-3.
In addition to the implementation of the OADR, the funding will
allow OSC to maintain its prior commitment to domestic and
international advocacy of the U.S. commercial industry, and to continue
licensing of the operations of private space-based remote sensing
systems commercial licensees.
With respect to our plans to collaborate with other agencies, OSC
is collaborating with DoD, NASA, and other bureaus within the
Department of Commerce as it develops the OADR to provide SSA
information and basic spaceflight safety services to civil and private
spacecraft operators. As the current provider of this information and
services, the DoD is the most critical partner, and OSC is working to
conclude an agreement with the U.S. Space Command and the US Space
Force to govern our collaboration. OSC is currently working with the
White House Space Council and other interested agencies to investigate
what steps might be necessary to reduce orbital debris, and ensure the
future safety of spaceflight operations, pursuant to Space Policy
Directive 3.
Question 4. I continue to be deeply concerned about industrial
waste dumped off the California coast between the 1930s and 1960s that
still remains in our ocean. This toxic waste includes DDT--a chemical
so harmful it was banned in 1972.
We now know that oil and gas-related chemicals are also likely to
have been dumped there as well. Scientific studies point to decades of
detrimental impacts to the marine life, including cancer in dolphins
and sea lions.
The survey conducted by NOAA and partners in March 2021 mapped
approximately 36,000 acres at 3000 feet depth of the sea floor. This
area, known as dumpsite #2, revealed around 26,000 dumped barrels of
industrial waste, and over 100,000 other debris objects. We also know
based on historical record, there are a total of 14 known offshore
dumpsites off the California coast. This is alarming.
Both EPA and NOAA have informed my office a number of times that
they have more questions than answers on this problem and a follow-up
survey mission is the best next step to understand the state of the
barrels, as well as the chemicals in them and around them in the water
and on the sea floor. Yet, more than a year later, neither agency has
provided a funding estimate despite repeated requests by my staff, nor
a plan of action for next steps.
A. Secretary Raimondo, I ask that NOAA and its partners act
with urgency and prioritize this issue. NOAA's expertise is
critical to address this major problem. Can you describe the
next steps NOAA will take to help us better understand the
impacts of this historic ocean dumping?
Answer. NOAA is part of a State/Federal interagency group, led by
EPA, further assessing dumpsite #2. NOAA's technical representatives
have supported two products to better delineate dumpsite #2 and its
potential risks. First, the interagency technical team developed a side
scan sonar survey plan to supplement the March 2021 survey areas.
Additionally, the technical team developed a sediment sampling plan
based on a conceptual model of exposure and risk at the site. The next
steps are to budget the two plans and proceed with implementation. EPA
is the lead for budgeting and implementation with support from NOAA. At
the same time, NOAA is administering fiscal year 2022 Congressionally
Directed Spending for Scripps. NOAA provided timely technical review of
the Scripps proposal and award is expected in the fourth quarter of
fiscal year 2022. The information and data generated by the Scripps
work will further inform and potentially address some of the
interagency needs.
B. This historic toxic dumping is a major problem off the
California coast, but it is coming to light that California's
coastline is not the only place where historic ocean dumping
took place. Although the United States outlawed this practice
decades ago, major problems and risks from these lingering
chemicals still exist.
C. Does NOAA have the statutory authority it needs to
monitor or conduct testing on the impacts of the DDT and other
toxic waste that was dumped decades ago but remains active in
our environment?
Answer. NOAA has sufficient statutory authority to provide support
to lead agencies, primarily under the National Oil and Hazardous
Substance Pollution Contingency Plan and environmental response
statutes, such as Oil Pollution Act (OPA) and Comprehensive
Environmental Response, Compensation, and Liability Act (CERCLA). This
authority is the principal mechanism for NOAA's current engagement in
the Southern California site supporting EPA and collaborating agencies
in the development of the plan that allows for improved understanding
of potential risk to human health and the environment posed by Dump
Site #2. Also, as a Trustee under CERCLA, OPA, and National Marine
Sanctuaries Act (NMSA), NOAA has the authority in appropriate
circumstances to conduct natural resource damage assessment and seek
damages for restoration.
Question 5. The National Oceanic and Atmospheric Administration
(NOAA) released two studies highlighting the detrimental impacts of
ocean acidification on the West Coast. NOAA scientists confirmed in a
December 2019 study on acidification variability in the California
ecosystem that California's waters are rising in acidity at twice the
global average, threatening marine life and adding to a growing number
of costly fishery disasters.
A second NOAA study, published in January 2020 on Dungeness crab
larvae in the Pacific Northwest, documented for the first time (outside
of lab conditions) that ocean acidification can damage the shells and
sensory organ of Dungeness crab, threatening the long term growth of
the one of the most valuable fisheries in U.S. coastal waters.
A. What efforts is the Department taking to combat ocean
acidification? What programs and plans does the Department have
in place as our oceans continue to acidify?
Answer. NOAA is funding and conducting research and monitoring to
understand how ocean chemistry is changing in U.S. waters and how
organisms, like Dungeness crabs, are affected by those changes. This
funding and research are primarily led by NOAA's Ocean Acidification
Program and Pacific Marine Environmental Laboratory, and coordinated
across NOAA and other Federal agencies.
NOAA is planning research to better understand the role the ocean
might play in carbon sequestration (also known as marine carbon dioxide
removal or mCDR). In fiscal year 2022, NOAA funded (with the Department
of Energy and ClimateWorks) an mCDR research project. The project
focused on ocean alkalinization as a method of ocean acidification
mitigation and long-term carbon sequestration. Additionally, the NOAA
Carbon Dioxide Removal Task Force is finalizing a strategic plan which
will include an evaluation of mCDR approaches and subsequent impacts.
Subject to the availability of funds, NOAA is pursuing an expanded
Federal funding opportunity on mCDR in fiscal year 23 through the
National Oceanographic Partnership Program which would consist of
funding from NOAA and other Federal agencies.
While NOAA's efforts can help communities mitigate and adapt to
ocean acidification, ultimately, ocean acidification is caused by
rising carbon dioxide levels in the atmosphere being absorbed by the
ocean. The most direct solution to ocean acidification is for the U.S.
and the world to reduce carbon dioxide emissions.
Question 6. Due to heightened impacts of climate change, extreme
weather events and pollution, marine environments--as well as inland
waterways and reservoirs--are experiencing prolonged and very harmful
algal blooms. These blooms lead to human and animal illness and
jeopardize commercial fisheries as well as drinking water resources.
A. How is the Department spending congressionally-
appropriated funding related to mitigating impacts or
preventing harmful algal blooms?
Answer. In fiscal year 2021, NOAA spent almost $28 million to
understand, detect, monitor, and forecast HABs, helping communities
with decisionmaking related to their prevention, control, and
mitigation (PCM).
1. About $20 million of fiscal year 2021 spending was on HAB
mitigation--specifically detection, monitoring, and forecasting
to help coastal resource managers, public health officials,
drinking water managers, fishers, recreational users, the
tourism industry, and research scientists plan for and around
HABs. NOAA is developing a National HAB Observation System
(NHABON) and provides operational HAB forecasts for Lake Erie,
Texas, and Florida. Short-term (twice weekly) forecasts
identify which blooms are potentially harmful, where they are,
how big they are, and where they are likely headed.
2. $3.6 million supported the Prevention, Control, and
Mitigation Program (PCMHAB) within NOAA's National Centers for
Coastal Ocean Science's research funding to move promising PCM
technologies through development, to demonstration and
application. NOAA also funds socioeconomic research to assess
impacts of HAB events on coastal economies and societies, and
the costs and benefits of mitigation strategies to aid managers
in devising cost-effective management strategies.
3. $4.4 million was spent across NOAA on early-stage
research to understand the causes and impacts of HABs and their
toxins, which is fundamental to successful management and
mitigation.
With these funds, NOAA actively works to identify cost-effective
adaptive and mitigation strategies for communities to increase their
resilience to future HAB events, identifying the environmental drivers
of HAB events to inform responses to future climate change, including
changes in HAB geographic range, seasonality, and toxicity. NOAA
utilizes advanced technology for remote and autonomous monitoring of
HABs in near real-time and develops forecasts to provide early warning
of HABs for state, Federal, and tribal partners.
In fiscal year 2022, NOAA solicited proposals to establish a HAB
Control Technology Incubator to speed up the development of control
methodologies. By supporting small proposals, the incubator will
quickly and economically test the potential of new approaches. The most
successful proposals could then be submitted to PCMHAB competitions for
a more thorough evaluation. The incubator will also develop a
clearinghouse of regulations and permitting requirements related to the
testing and ultimately application of control technologies. NOAA
anticipates announcing the awardee in late fiscal year 2022.
Question 7. It is crucial we prioritize and accelerate sustainable
fishing gear testing and authorization to protect our marine
environments. Deep-Set Buoy Gear was approved by the Pacific Fishery
Managements Council in September 2019, and provides a sustainable
alternative to Drift Gillnets. I understand that the National Marine
Fisheries Service is now going through the authorization process for
Deep-Set Buoy Gear.
A. What is the current timeline for the authorization of
Deep-Set Buoy Gear and what are the steps that need to be taken
to authorize new gear?
Answer. NOAA Fisheries is currently preparing a proposed rule to
implement the Pacific Fishery Management Council's (Council's) proposed
amendment to the Fishery Management Plan for U.S. West Coast Fisheries
for Highly Migratory Species, which NMFS anticipates publishing soon.
We have been coordinating with the Council on regulations to accompany
their transmittal of the amendment, which led to the Council revising
its final preferred alternative for a proposed amendment in March 2021.
In developing the proposed rule, NMFS must establish the
infrastructure to permit, manage, and monitor the fishery. NMFS is
currently working with agency partners to formalize these procedures
and business rules to support the record of decisionmaking. Part of the
effort has included developing and testing a system by which NOAA
Fisheries can qualify individuals for limited entry permits according
to the tiered criteria recommended by the Council, which incorporates a
reliance on data prepared by the California Department of Fish and
Wildlife (CDFW). Additionally, NMFS needs to complete a Section 7
consultation under the Endangered Species Act (ESA).. Revisions to data
collection and permitting procedures under the fishery management plan
that are necessary to implement the proposed action are also subject to
the Paperwork Reduction Act.
Upon publication of the proposed rule, there will be a public
comment period. During that time and subject to completion of the
Section 7 ESA consultation, NOAA Fisheries can respond to comments on
its draft environmental impact statement (EIS), pursuant to the
National Environmental Policy Act (NEPA) and prepare a final EIS for
publication. Following a cooling off period on the final EIS, and
consideration of public comments collected on the proposed rule and
fishery management plan amendment, NOAA Fisheries will prepare a record
of decision under NEPA and a final rule for publication.
Upon publication of the final rule, and before limited entry
permits can be issued, NMFS will take several steps to ensure a fair
ranking of applications according to the Council's qualifying criteria
and adherence to Council-recommended limitations on permit ownership
and transfers.
B. How can this process be streamlined and/or accelerated?
Answer. NOAA has been working to streamline implementation of deep-
set buoy gear authorization wherever possible. As discussed above, NOAA
has been coordinating with the Council, as well as the California
Department of Fish and Wildlife, to assess ranking procedures for
qualification for limited entry permits, and to document such
considerations for compliance with the Magnuson-Stevens Fishery
Conservation and Management Act. Continuing these effective
partnerships is paramount to completing the remaining clearance and
rulemaking processes to implement authorization of deep-set buoy gear.
______
Questions Submitted by Senator Brian Schatz
Question 1. Less than 10 percent of the initial appropriation has
been handed out of a program that was authorized in December 2020. What
are you doing to ensure that broadband funding provided through the
Infrastructure Investment and Jobs Act (Public Law 117-58) is
distributed in a timely manner? Are you concerned about the pace at
which NTIA has processed awards for the Tribal Broadband Connectivity
Fund?
Answer. NTIA has met or exceeded every deadline established for it
by Congress, under the Infrastructure Investment and Jobs Act (IIJA).
Congress entrusted NTIA with a great responsibility in IIJA: to help
ensure all Americans have access to high-speed Internet and the modern,
digital society. We are working expeditiously to make sure the funds
get to the places in need quickly and without delay.
NTIA must also be good stewards of taxpayer funds and do everything
in our power to ensure that grant recipients have strong plans in place
that reach people in need and are equipped to follow through on their
plans. We must also make sure that, before obligating any funds, robust
oversight measures are in place to prevent any waste, fraud, or abuse.
As we have been working tirelessly to expand our staffing and
technical capacity in response to the new authority and trust granted
to us by Congress, we will move as quickly as possible to obligate
funds.
Question 2. I appreciate NIST's efforts on mitigating AI bias and
the development of the Risk Management Framework. What activities has
NIST planned to provide actionable guidance to reduce the risks from AI
bias? Will you ensure that NIST consults not only with developers and
deployers of AI systems when creating this guidance but also with
communities that are impacted by biased AI systems? What level of
funding and staff is being provided to NIST for these activities?
Answer. NIST contributes to the research, standards, and data
necessary to advance characteristics of trustworthy artificial
intelligence, including mitigation of harmful bias, in order to realize
the full promise of this technology. NIST has significantly expanded
its efforts to identify, understand, measure, and mitigate harmful
bias, with a focus on a socio-technical approach. This reflects a
recognition and increased awareness that AI operates in a larger social
context, in addition to traditional efforts focused on computational
elements. Working very closely with a diverse set of stakeholders, NIST
is building guidance that is flexible and can be applied across AI use
contexts and sectors. Specifically, NIST recently published ``Toward a
Standard for Identifying and Managing Bias in Artificial Intelligence''
(NIST SP 1270), which identifies the concepts and challenges associated
with bias in AI and provides preliminary guidance for addressing them.
Managing bias is also included as one of the key trustworthiness
characteristics outlined in the NIST AI Risk Management Framework which
NIST is developing hand-in-hand with the larger community. This
Framework will provide guidance to organizations on how to manage risks
of AI systems. As a companion to the AI Risk Management Framework (AI
RMF), NIST is developing a Playbook to assist the broad set of
interested stakeholders with actions they can take to implement the
framework, including concrete steps to mitigate the risks from harmful
bias.
Will you ensure that NIST consults not only with developers and
deployers of AI systems when creating this guidance but also
with communities that are impacted by biased AI systems?
Answer. Yes. NIST takes a transparent and stakeholder driven
approach in its development of priorities, research, and guidance to
advance AI trustworthiness. This includes engaging with a diverse range
of stakeholders through multiple public workshops, opportunities for
public comment and feedback on publications, and numerous meetings,
listening sessions, and roundtables with stakeholders from as many
sectors as possible. NIST continues to reach out beyond the U.S. to
international and multinational organizations. Because of the impact AI
can have on individuals, communities, and society, NIST has increased
its outreach to and engagements with civil society organizations and
other advocacy groups--including those focused on fairness, civil
liberties, and the rights of individuals--to provide the perspective of
those who may be impacted by AI bias. NIST seeks to identify new
stakeholders, including those who are directly impacted, to help better
understand this challenging area.
NIST believes it is important for AI developers and deployers to
understand the broader impact AI can have on individuals and society,
in addition to the direct risks to the organization. This perspective
is woven prominently into the guidance included in the draft NIST AI
RMF.
Moreover, NIST is managing the National Artificial Intelligence
Advisory Committee, which reports to the President and the National AI
Initiative Office. That committee's scope includes addressing issues of
bias, and its membership include some of the nation's top experts
concerned about issues of bias.
What level of funding and staff is being provided to NIST for these
activities?
Answer. NIST is investing an estimated $30 million in fiscal year
2022 on artificial intelligence activities across the agency, including
$11 million dedicated to advancing trustworthy and responsible AI. The
fiscal year 2023 President's budget includes an additional $15 million
requested for AI activities to develop a new NIST AI Collaborative
Institute and increase technical expertise in its laboratory research
efforts. Trustworthiness and the issue of harmful bias and its
potential impact on individuals and society are a key component of that
research and are part of multiple programs and projects.
Question 3. Stakeholders, especially those from minority
communities, have raised a number of concerns on the use of facial
recognition technology. The Facial Recognition Vendor Test is an
important program to provide reliable and accurate information on the
performance of commercial facial recognition products. What funding is
being designated to ensure that the Vendor Test continues to expand its
offerings and incorporate more real world scenarios in its testing?
Answer. The NIST Face Recognition Vendor Test (FRVT) program is
funded at approximately $2.5 million in fiscal year 2022 through a
combination funds from NIST and other Federal agencies. Since its
initial development in 2000, the FRVT program has driven research
priorities and standards for the face recognition community. The
program also provides information to organizations so they can
determine whether and how face recognition technology can be deployed.
NIST tests face recognition algorithms for real world relevant use
cases related to 1-1 and 1-N, image quality, morph detection, and
demographic variations defined by sex, age, and race. The tests include
real world data relevant to face recognition. NIST also conducts
relevant research as part of its privacy engineering and artificial
intelligence trustworthy efforts to provide direction on mitigation of
harmful bias and enhancing privacy, which could also apply to the
deployment of face recognition technologies in real world scenarios.
More funding would allow for expanded focus that included needs of
the broader facial recognition community such as additional real world
data sources and relevant use cases.
Question 4. The Commerce Department's Office of Native American
Business Development has been authorized since 2000, but the office is
not yet fully functional and it lacks leadership. What is the status of
the office, including the appointment of a Director? What is the
current funding for the office and what are the plans for the fiscal
year 2023 funding?
Answer. A search for a Director (GS-15) of the Office of Native
American Business Development is in the final stages, and the
Department hopes to be able to announce the director soon. The Office
of the Secretary is preparing for the arrival of the director, and the
important work of the Office of Native American Business Development
continues in the meantime.
The Office was formally transferred from the Minority Business
Development Agency (MBDA) to Departmental Management (DM) in fiscal
year 2022. Funding of $200,000 is requested in the fiscal year 2023
Departmental Management (DM) Congressional Submission.
Question 5. Despite the many challenges of the 2020 census, the
population counts were sound for use in apportionment, and the
Redistricting Data File also passed the Census Bureau's quality
standards. However, that file is filled with impossible and improbable
results due to underlying data quality issues or the new disclosure
avoidance system applied to the 2020 Census. Demographers, budget
officials, urban planners, public health officials, and program
administrators rely on timely, reliable population tract-level data.
Will the Census Bureau flag statistics with questionable reliability?
And if so, how and for whom?
Answer. The Census Bureau releases information about 2020 Census
data quality (https://www.census.gov/programs-surveys/decennial-census/
decade/2020/planning-management/process/data-quality.html#metrics) in a
number of ways, including comparing the results to population estimates
, (https://www.census.gov/programs-surveys/popest.html) the Post-
Enumeration Survey , (https://www.census.gov/programs-surveys/
decennial-census/about/coverage-measurement/pes.html) and Demographic
Analysis . (https://www.census.gov/programs-surveys/decennial-census/
about/coverage-measurement/da.html).
As for the quality associated with the Census Bureau's use of
differential privacy for the 2020 Census, the disclosure-avoidance
error introduced is minimal compared to other known sources of error
(https://www.census.gov/library/fact-sheets/2022/variability.html) in
census counts because of operational and coverage issues. This means
the local population counts and demographic information--often used to
draw congressional districts and for other purposes-- are better
protected, as well as fit for their intended use. The method used for
protecting data in the 2020 Census is a more sophisticated and precise
mechanism for injecting noise into published statistics than the
swapping mechanism used in prior censuses.
Question 6. Stakeholders, and in particular data users, have
consistently raised concerns about the need to improve the American
Community Survey (ACS). For example, the Census Project, an independent
organization, published a report in March 2022, on the ACS. The report
not only reinforces the ACS as the primary source of information
regarding our nation's changing demographic and socio-economic
characteristics for data users in the public, private, and non- profit
sectors, but also raises awareness about the survey's challenges. Among
other things, the report asks Congress and the administration to
provide additional resources that could be used to enhance the survey's
sample size (which has not occurred since 2011), strengthen its content
by revising and adding questions, and improve the survey's response
rate, which has fallen over 20 percent since 2017. What actions is the
Department taking to support the Census Bureau so it can address
challenges facing the ACS.
Answer. The Department of Commerce supports the Census Bureau in
its efforts to continue to modernize and improve the ACS data
collection operations. The Census Bureau met with The Census Project
staff to understand the suggestions in the report. The Census Bureau is
evaluating the suggestions and formulating priorities for future
research and implementation. The Census Bureau continually evolves its
survey operations to balance the needs of individual respondents with
the need for impactful data in our communities. The Census Bureau will
keep improving by using a multipronged approach, focusing on:
--Enhancing respondent mail materials.
--Employing alternative data sources, such as administrative records.
--Modifying the modes and design of the ACS.
--Understanding the survey experience from the perspective of our
respondents.
--Improving group quarters data collection and products.
The Census Bureau explores new research and experimentation with
ACS protocols while still meeting the multi-tiered demands of survey
operations. The Census Bureau is continually building on exhaustive
research to improve the ACS. The Census Bureau's Agility in Action
series (https://www.census.gov/programs-surveys/acs/operations-and-
administration/agility-in-action.html) provides more information on the
research agenda.
Question 7. Nearly 700 billion dollars are distributed annually in
states based on population estimates. Over the next 5 years, what
changes to the population estimates program and American Community
Survey are being planned, researched, tested, or implemented? How are
these changes or potential changes being evaluated by data users? How
will outside stakeholders and researchers be included in these
improvement plans or changes? What funding is designated to ensure that
the Census Bureau has the staffing needed to undertake these plans and
conduct meaningful engagement with outside parties?
Answer. The Population Estimates Program (PEP) regularly engages in
research designed to improve the annual estimates. Research tasks are
determined each year based on priorities identified during the previous
vintage of estimates and available resources. Over the next 5 years,
research on potential improvements to the estimates base will be
prioritized. To assist with this work, the Census Bureau has formed the
Base Evaluation and Research Team (BERT), internal experts researching
the feasibility of taking coverage measures from the Demographic
Analysis and Post-Enumeration Survey into account in the development of
the official population estimates. BERT consists of subject-matter
experts in the areas of population estimates, age and sex statistics,
coverage measurement, race and ethnicity, demography, and disclosure
avoidance. The team is taking a phased approach to the research,
beginning with an analysis of 2020 Census data and coverage measures.
Ultimately, the team will make recommendations to the PEP regarding the
incorporation of additional 2020 Census data or coverage adjustments
into the population estimates base. Any proposed changes will be
thoroughly tested and subject to rigorous review to determine whether
the change produces plausible estimates across all demographic
subgroups and geographies. Proposed changes will also be vetted with
advisory groups and other stakeholders. Should changes be successfully
incorporated into the estimates base, the population estimates
developed from that base will also be used by the American Community
Survey (ACS) and the Puerto Rico Community Survey as survey controls so
that the population totals from the survey conform to the updated
population estimates.
The ACS program is actively investigating and enacting options for
survey enhancements, as well as making research-based changes to how
the program operates and engages with respondents. To ensure better
data, the Census Bureau tests new and modified questions for the ACS
approximately every 5 years to ensure the survey stays relevant as
society changes and Federal agency data needs evolve. Starting in
September 2022, the Census Bureau will begin the field test to gauge
how new and modified questions perform. A variety of quality metrics
will be used to determine which wording is best understood and produces
the most accurate data. Ultimately, the results of the 2022 Content
Test will determine the recommended revisions to questions and new
questions to be included. Recommended changes will be submitted to OMB
for approval and inclusion in the ACS in 2025. These results allow the
survey to remain dynamic and responsive, capture our nation's trends,
and meet Federal data needs. Additional future research includes plans
to improve messaging, expand monitoring of near real-time operational
and survey data, improve statistical methodology, and adjust the in-
person contact strategy. The Census Bureau publishes research plans for
the ACS on a regular basis in our Agility in Action report series:
https://www.census.gov/programs-surveys/acs/operations-and-
administration/agility-in-action.html.
How are these changes or potential changes being evaluated by data
users?
Answer. At this time, research conducted by the Base Evaluation and
Research Team (BERT) is in a preliminary phase. Therefore, no specific
changes have been proposed. BERT will prioritize transparency and
stakeholder engagement throughout the research process and plans to
offer webinars to data users regarding proposed changes.
Proposed changes to ACS content follow an established process that
includes scientific review and consultation with the Office of
Management and Budget (OMB) and the Interagency Council for Statistical
Policy (ICSP) Subcommittee for the ACS. Final question wording must be
vetted by the ICSP Subcommittee and OMB before field testing as well as
prior to implementing in the survey. Through Federal Register Notices
the public (including data users) are given an opportunity to provide
feedback on proposed changes. The ACS program also periodically
conducts data user surveys in order to collect feedback on ACS data
products and services.
How will outside stakeholders and researchers be included in these
improvement plans or changes?
Answer. The Base Evaluation and Research Team will prioritize
stakeholder engagement via briefings and webinars to a variety of
groups including the Federal-State Cooperative for Population
Estimates, Census Bureau advisory committees, and others. These
presentations will include the status of the research and any proposed
changes to the development of the estimates base.
For the ACS Content Test, the Census Bureau, in coordination with
the Office of Management and Budget Interagency Committee for the ACS,
solicited proposals for question changes or additions from over twenty
Federal agencies. The ACS program communicates continuously with
stakeholders through Federal Register Notices, presentations, webinars,
e-mail communications, and the online ACS data user community (https://
acsdatacommunity.prb.org). The Census Bureau has also worked closely
with the National Academy of Sciences and other external experts to
inform ACS research.
What funding is designated to ensure that the Census Bureau has the
staffing needed to undertake these plans and conduct meaningful
engagement with outside parties?
Answer. The ACS program dedicates funds within its annual
allocation to support ACS research and communications. The ACS
program's engagement with stakeholders and external experts is
supported with the current funding levels for the program.
Question 8. The Census Bureau does not produce estimates of
accuracy--i.e., undercounts and overcounts--for areas below the state
level. Nevertheless, we know from independent analyses, as well as the
national estimates of accuracy, that any number of cities, counties,
towns, and Tribal areas were undercounted in the 2020 Census. If the
census numbers are wrong, then annual population estimates--which are
used to allocate Federal assistance to states, localities, individuals,
and families--can be skewed for the next 10 years.
Unfortunately, in the last decade, the opportunity for local and
Tribal governments to challenge their annual numbers was very limited.
Congress is considering support for additional funding for the Census
Bureau's Population Estimates Program, to expand the role of state and
local governments in improving the accuracy of their annual population
estimates through an expanded Population Estimates Challenge Program--
which allows local and tribal governments to challenge their annual
population estimates within 90 days of release of the estimates each
spring. What steps will you take to help strengthen the critical
population estimates program?
Answer. The Census Bureau has formed the Base Evaluation and
Research Team (BERT), a group of internal experts tasked with
researching the feasibility of taking coverage measures from the
Demographic Analysis and Post-Enumeration Survey into account in the
development of the official population estimates. Furthermore, both the
BERT and PEP will create opportunities for stakeholder engagement via
briefings and webinars to a variety of groups including the Federal-
State Cooperative for Population Estimates, Census advisory committees,
and others to ensure external feedback which could potentially
strengthen the program may be received and evaluated.
Question 9. Users of the Survey of Income and Program Participation
(SIPP) have communicated how important the survey has been,
particularly as the economy emerges from the COVID-19 pandemic, for
analyzing the impact of government assistance programs on families and
communities. Despite its value as a unique resource, it has been
largely flat funded by the Census Bureau in recent years, rendering the
agency unable to enhance the survey's sample size, address decreasing
response rates, and improve the survey's content, among other necessary
upgrades. What does the Census Bureau view as the most pressing
challenges facing SIPP? How much does the Department estimate it would
cost for the Bureau to pursue necessary changes to the SIPP?
Answer. The Survey of Income and Program Participation (SIPP) is
the primary source for data that can help policy makers understand the
sub-annual dynamics of program eligibility and receipt in the context
of the family and individual economic and demographic situation, for
example, to measure the needs and change in participation in nutrition
programs, such as the Supplemental Nutrition Assistance Program (SNAP)
and the Special Supplemental Nutrition Program for Women, Infants, and
Children (WIC) and how those needs change for families across time.
SIPP faces many challenges including managing data quality in a
period of increasing nonresponse, hiring and retaining qualified
interviewers, and evolving to meet these challenges and leverage
enterprise technological changes. Developing a multi-mode framework for
SIPP is essential to meet respondents with the collection modes they
are most comfortable with and reserving the most expensive methods for
the hardest to reach cases. While the development of a multi-mode
framework is important, it is only in the discussion phase, and this
framework has not been decided.
The fiscal year 2023 President's Budget proposes $47 million for
SIPP, which would enable the collection and production of SIPP data for
a sample of 35,000 households.
Question 10. What planning and testing is underway to prevent
quality issues in decennial program products (like the 2020 files,
American Community Survey, and population estimates) from reoccurring?
What is the plan for research and testing for the 2030 census?
Answer. Included in our current research agenda for the 2030 Census
are numerous projects to increase quality such as improved
communications, messaging, and advertising, expanded use of
administrative records, further tailoring of contact strategies, and
near real-time analysis of data. Achieving a complete and accurate
census continues to be a primary goal with objectives of ensuring all
living quarters are associated with an address and accurate response
data are obtained for all identified living quarters.
For the American Community Survey (ACS), research is underway to
incorporate the use of administrative records in the ACS. The use of
administrative records can improve quality of the published data. The
Census Bureau is also conducting a content test this fall (2022) to
ensure the questions on the ACS are up --to date and reflect the needs
of the nation. Future research includes plans to improve messaging,
expand monitoring of near real-time operational and survey data,
improve statistical methodology, and adjust the in-person contact
strategy. The Census Bureau publishes research plans for the ACS on a
regular basis in our Agility in Action report series: (https://
www.census.gov/programs-surveys/acs/operations-and-administration/
agility-in-action.html.)
To potentially address quality issues from the 2020 Census that may
be carried forward throughout the decade via the official population
estimates (which build off decennial data in the estimates base), the
Census Bureau has formed the Base Evaluation and Research Team (BERT).
The team is researching the feasibility of taking coverage measures
from the Demographic Analysis and Post-Enumeration Survey into account
in the development of the official population estimates. BERT consists
of subject-matter experts in the areas of population estimates, age and
sex statistics, coverage measurement, race and ethnicity, demography,
and disclosure avoidance. The team is taking a phased approach to the
research, beginning with an analysis of 2020 Census data and coverage
measures. Presently, the Population Estimates Program (PEP) only
includes limited data from the 2020 Census in the estimates base from
which the annual population estimates are developed. Ultimately, the
BERT will make recommendations to the PEP regarding the incorporation
of additional 2020 Census data or coverage adjustments into the
population estimates base. Any proposed changes will be thoroughly
tested and subject to rigorous review to determine whether the change
produces plausible estimates across all demographic subgroups and
geographies.
The 2030 Census is currently in the design selection phase. This
phase includes research, testing, and operational planning and design
work to inform the selection of the initial 2030 Census operational
design, targeted for late 2024. This work will factor in past census
experiences, evolving technology, and stakeholder feedback. The Census
Bureau's research agenda includes numerous projects to explore
enhancements to data collection (including group quarters), data
processing, operational infrastructure, and expanded use of
administrative records.
For the 2030 Census, for the first time, the public can formally
give input on planning and designing the next census. Your comments and
recommendations are key for planning and designing the next census.
As announced in a Federal Register Notice posted August 17, 2022,
everyone is encouraged to provide input now through November 15, 2022.
We will use this input to inform the Census Bureau's decisions on the
2030 Census operational design.
Following the design selection phase, the program will move to the
development and integration phase to conduct rigorous testing and to
prepare for peak production.
Question 11. The Census Bureau's Ask U.S. Panel project aims to
create a probability-based online research panel using a cooperative
agreement with a private entity. Please explain the relationship
between the Ask U.S. Panel, the High Frequency Data Program, and the
Pulse Surveys. How does the Bureau distinguish between these various
projects? In what ways are they interconnected?
Answer. The Pulse Surveys--the Household Pulse Survey (HPS) and the
Small Business Pulse Survey (SBPS)--were conceived in March 2020, to
produce near real-time data on the ways in which American households
and small businesses were experiencing the social and economic
disruptions brought on by the Covid-19 pandemic.
The High Frequency Data Program evolved out of a recognition that
the Pulse Surveys had value beyond the pandemic. The High Frequency
Data Program was established in fiscal year 2021, and now serves as the
programmatic framework for the Census Bureau to mature the Household
Pulse Survey and the Business Trends and Outlook Survey (formerly, the
Small Business Pulse Survey), and support them as ongoing Census Bureau
data products.
The Ask U.S. Panel was initiated in 2019 as a research project
within the Census Bureau's Research and Methodology Directorate via a
cooperative agreement with RTI, International . The objective of the
project was to identify a better way to recruit study participants for
Census Bureau studies and improve representativeness of research
outcomes.
How does the Bureau distinguish between these various projects? In what
ways are they interconnected?
Answer. Please see Answer 11-A above with respect to the
distinctions among these projects. With regard to their interconnected
nature, data from the Small Business Pulse Survey (SBPS) and the
Household Pulse Survey (HPS) were quickly embraced by a diverse range
of data users, and it became clear that pulse data had value beyond the
pandemic. With support from Congress in fiscal year 2021, the Census
Bureau established a High Frequency Data Program with the goal of
maturing its ability to produce ongoing timely data products. The pulse
surveys are strategically managed at the Census Bureau within this High
Frequency Data Program framework. Over time, the research on the Ask
U.S. Panel suggested that the concept of a panel had potential beyond
the research activities for which Ask U.S. was originally designed, and
a panel developed internally by the Census Bureau--building on
methodologies used on Ask U.S. and expanding to leverage existing
Census Bureau data sources--could serve to improve the current design
of the HPS. Building on the early research associated with the Ask U.S.
Panel, the Census Bureau recognizes the potential for developing a new
panel, rigorously developed and maintained using high- quality Title 13
data resources to ensure representativeness of the U.S. population, may
have value beyond research. As additional program areas and agencies
became interested in the idea of using a panel for rapid measurement,
the Census Bureau recognized that such a panel could provide a
foundation for the production of official statistics.
Question 12. A recent Federal Register notice from the Department
of Commerce indicates the Ask U.S. Panel is an interagency effort with
representatives from Census, the Economic Research Service, the Bureau
of Labor Statistics, the National Center for Health Statistics, the
National Center for Science and Engineering Statistics, the National
Center for Education Statistics, the Department of Defense, Department
of Transportation, Department of Labor, and the Social Security
Administration. Please explain how the interagency effort is
structured. Are the agencies providing financial support for the Ask
U.S. Panel? How much research will each agency receive?
Answer. The Economic Research Service, the Bureau of Labor
Statistics, the National Center for Health Statistics, the National
Center for Science and Engineering Statistics, the National Center for
Education Statistics, the Department of Defense, Department of
Transportation, Department of Labor, the Social Security
Administration, and the Office of Management and Budget have all
contributed to the methodological conversation about the concept and
value of a panel developed and maintained by the Census Bureau.
Further, agencies that contributed financially to the Ask U.S. Panel
Pilot project include the Economic Research Service, the Food and
Nutrition Service, the National Center for Health Statistics, the
National Center for Education Statistics, Department of Transportation,
Department of Labor, and the Social Security Administration.
As set forth in the Interagency Agreements (IAAs) between the
Census Bureau and each of these agencies, each contributing agency
provides input on key sampling domains of interest and topical surveys/
research questions for implementation in the Pilot Study. These
agreements entitle the funding agencies to contribute up to 5 questions
to the baseline survey and the initial topical survey. Lastly, the
Department of Defense has a separate IAA to recruit additional
subsamples of active-duty military and military spouses for a
specialized pilot baseline and topical survey.
______
Questions Submitted by Senator Lisa Murkowski
Question 1. Broadband The Senator greatly appreciates the
Secretary's time and attention to the unique needs of Alaska with
respect to broadband deployment. The NTIA's goal of ``Internet for
all'' is extremely laudable and was a big driver for the Senator to
support of the IIJA. As you can understand, the Senator is extremely
interested in the specifics of the BEAD program roll out. If you could
please review and provide responses to these questions, we would
greatly appreciate it.
The BEAD allocation to states relies on the broadband serviceable
location fabric identifying all structures where a broadband connection
can be installed in each state, and which structures are unserved.
Alaska does not have the same mapping data which the fabric relies on
as the Lower 48 states. Review of the preview version of the fabric has
revealed missing data for significant regions of Alaska.
A. How are NTIA and the FCC ensuring that the fabric will be
accurate for Alaska?
Answer. The IIJA directs the Assistant Secretary, in coordination
with the Commission, to allocate BEAD funds amongst the states once the
broadband DATA maps are made public. I agree that accurate mapping--
including the mapping fabric--is vital, and that the FCC's challenge
processes--both for the fabric and for provider data submitted in
conjunction with the new Broadband Data Collection--are critical to
improving their accuracy. With respect to your specific questions about
the fabric and CostQuest, I must defer to our colleagues at the FCC.
B. What additional data has CostQuest identified to fill in
the missing data for Alaska?
Answer. See response above.
C. If additional data for additional surveying, such as
aerial mapping, is needed to create an accurate fabric for
Alaska, how will NTIA and the FCC ensure the fabric is accurate
before allocations are made?
Answer. See response above.
Question 2. The BEAD program sets aside a significant amount of
funding for ``high cost areas'' to help bridge the digital divide. As
you know, there is no place more ``high cost'' than Alaska. The statute
includes factors to be taken into consideration in determining what
areas qualify, including remoteness, lack of population density, and
unique topography--all of which especially describe Alaska. The statute
also gives the Assistant Secretary discretion to rely on ``any other
factor'' in determining which areas are ``high cost'' in a state and
therefore eligible to receive additional resources. Alaska has
historically come up short exactly because we are so high cost. This
set aside is an opportunity to direct resources to those areas of the
country with the highest costs to build and provide service.
A. How are the Department and NTIA thinking about this high
cost set aside as it relates to Alaska?
Answer. NTIA staff are actively developing the definition of
``high-cost area,'' but I cannot at this time predict when NTIA will
release its guidance on that issue. We are working with each Eligible
Entity, including the State of Alaska, to identify and help to resolve
the unique issues that each Eligible Entity faces, and we maintain a
close working relationship with key stakeholders and experts in Alaska.
The Assistant Secretary will soon be visiting your state to get an on-
the-ground view of the challenges facing bringing high-speed Internet
to all Alaskans.
B. What assurances can you give that the Department and NTIA
are committed to ensuring that Alaska gets the sizable
resources needed to connect every Alaskan with affordable
broadband service?
Answer. See response above.
Question 3. In the BEAD NOFO on Page 15, Section C (Definitions),
Subsection U (Reliable Broadband Service), it states, ``The term
``Reliable Broadband Service'' means broadband service that the
Broadband DATA Maps show is accessible to a location via: (i) fiber-
optic technology; (ii) Cable Modem/Hybrid fiber-coaxial technology;
(iii) digital subscriber line (DSL) technology; or (iv) terrestrial
fixed wireless technology utilizing entirely licensed spectrum or using
a hybrid of licensed and unlicensed spectrum.''
A. Are these the only technologies considered to provide
``reliable broadband service''? For example, is satellite not
considered Reliable Broadband Service? In some instances in
Alaska, it may be the only viable option.
Answer. For the purposes of the BEAD Program, locations served
exclusively by satellite do not meet the criteria for Reliable
Broadband Service and so will be considered ``unserved.'' The
Infrastructure Act defines ``reliable broadband service'' as
``broadband service that meets performance criteria for service
availability, adaptability to changing end-user requirements, length of
serviceable life, or other criteria, other than upload and download
speeds, as determined by the Assistant Secretary in coordination with
the FCC.'' IIJA Sec. 60102(a)(L). For the purposes of this definition,
the Assistant Secretary adopts the criteria that Reliable Broadband
Service must be (1) a fixed broadband service that (2) is available
with a high degree of certainty, (3) both at present and for the
foreseeable future, and finds, after coordination with the FCC, that
the definition of Reliable Broadband Service set forth in the BEAD NOFO
best meets those criteria.
With that said, the BEAD Program is designed to give each state
significant flexibility to develop a fair, open, and competitive
processes for selecting subgrantees. If no Reliable Broadband Service
technology meeting the BEAD Program's technical requirements would be
deployable for a subsidy of less than a state's Extremely High Cost Per
Location Threshold at a given location, the state is authorized to
select a proposal involving a less costly technology for that location,
even if that technology does not meet the definition of Reliable
Broadband Service but otherwise satisfies the Program's technical
requirements. We expect there will be no small number of locations or
sets of locations that exceed the ``Extremely High Cost Per Location
Threshold,'' especially in Alaska.
Question 1. Climate Science and Research/Fisheries Disasters
In Alaska, Secretary Raimondo approved a backlog of 14 fisheries
disasters from 2018 to 2021. Iconic rivers like the Yukon and Kuskokwim
are seeing depleted Chinook and chum runs that freezers and drying
racks empty. Every speaker at the Alaska delegation's salmon roundtable
agreed upon the need for better and more accessible science as we see
impacts to fisheries from the warm water blobs in the Gulf of Alaska,
the shrinking of the Bering Sea cold pool, and stock migrations into
colder waters.
A. The Department of Commerce plays a critical role in
preparing our nation for the impacts of climate change through
NOAA's science and research projects. We cannot adapt and
Congress cannot make informed decisions without reliable
information. How much funding does NOAA plan to allocate to
expand climate observation, forecasting, and research? How
would NOAA utilize those funds to better prepare a state like
Alaska that is ground-zero for climate change in the Arctic?
Answer. NOAA's fiscal year 2023 President's Budget request includes
an increase of $261.5M above fiscal year 2022 Enacted to support an
earth system approach to enhance NOAA's authoritative climate products
and services. NOAA's work directly impacts communities across the
Nation and around the globe, from supporting climate-resilient
communities and climate- ready fisheries to improving forecasts and
response to climate-related natural disasters.
The request includes an additional $23.3M in NMFS and $10.0M in
OAR, above fiscal year 2022 Enacted, to support the NOAA Climate-
Ecosystem-Fisheries Initiative (CEFI). This initiative directly
supports NOAA's goals to achieve a climate ready nation, and NMFS'
efforts to deliver climate products and services to help sustain the
nation's valuable living marine resources, and the many businesses and
communities that depend on them. The CEFI will build a national ocean/
ecosystem prediction and decision support system to support climate-
informed fisheries management, protected species conservation, and
adaptation of resource-dependent sectors and communities.
Through CEFI, NMFS will provide direct support for climate
resilience and adaptation in Alaska, the Arctic and other regions in
three ways--providing climate-informed assessments and management
advice to decision makers ($10.0M), maintaining and enhancing survey
operations that are impacted due to climate change ($3.3M), and
bolstering support to state and tribes for their efforts to improve
climate resilience through the Species Recovery Grants Program
($10.0M). OAR's request would support down-scaling global climate
models to regional scales to project climate impacts on key species and
ecosystems. This is a first step for the CEFI, which, with additional
funding, could provide improved understanding of climate changes in
Alaskan waters. These fiscal year 2023 budget requests are essential to
building the CEFI system needed to support climate-informed decision
making.
The fiscal year 2023 President's Budget also includes several OAR
initiatives to improve climate observations and research that will
benefit Alaska and the Arctic. This includes an additional $16.1M for
Sustained Atmospheric Observations, which would create an independent,
transparent evaluation of greenhouse gas (GHG) emissions and provide a
robust understanding of the allowable cumulative GHG emissions to limit
global warming. Additionally, the $9 million requested for Providing
Climate Projections out to 2050 to inform Risk Management would develop
standardized and accessible climate projections with society-relevant
data delivery services to improve the equity of climate risk
information.
Lastly, the fiscal year 2023 President's Budget request includes $6
million for OAR's Arctic Research activities. Overall, OAR investments
in Alaskan and Arctic sustained observations and monitoring of ocean,
climate, and marine ecosystems will continue to establish baseline
conditions of the region through long-term moorings in the Bering and
Chukchi Sea, the state-wide Climate Reference Network, and Barrow
Atmospheric Baseline Observatory. These observations support improved
modeling and forecasting of ocean, climate, and ecosystems that provide
essential services to communities, partners, and decision-makers.
Continued investments in new observing technologies and capabilities to
overcome the extreme Arctic environment will hone our understanding of
sea-ice, ocean climate, and marine ecosystem changes, and are needed to
realize the full potential of new blue economic opportunities in Alaska
and the Arctic.
Advancing these efforts will directly support production, delivery
and use of the climate related information needed to support resilience
and adaptation to changing climate and marine ecosystems in Alaska.
Specifically, to address climate change in Alaska and the Arctic, NOAA
Fisheries would improve marine ecosystem monitoring (including humans)
and better support predictive capacity to inform management and marine
resource users (commercial and coastal communities). Monitoring would
include consistent support for shipboard oceanographic, fisheries, and
marine mammal observations on the U.S. Arctic shelf in the Bering,
Chukchi, and Beaufort Seas. These observations would support the Alaska
Climate Integrated Modeling project and the Climate Ecosystem Fisheries
Initiative to forecast climate change impacts on fish, shellfish,
marine mammals, fisheries, and fishery dependent communities in the
Bering Sea.
______
Questions Submitted by Senator John Kennedy
Question 1.
Preface:
--In 2014, the National Marine Fisheries Service (NMFS) selected 500
(approx. 1/3 of the fleet) Gulf of Mexico Shrimp Permit owners
using a stratified random sampling method to participate in the
Cellular Electronic Logbook (cELB) Program.
--The fiscal year 22 omnibus appropriation bill directed NMFS, in
consultation with the Gulf of Mexico Fishery Management Council
and shrimp industry stakeholders, to continue the development
and implementation of the cELB.
--The cELB collects spatial patterns of fishing efforts for
scientific research under NMFS, it requires cost sharing
between NMFS and the shrimp fleet.
--In December 2020 the 3G network used for cELBs was phased out. To
supplement the data collection, the shrimping industry provided
funding to develop a pilot program using P-Sea WindPlot, an
alternative technology.
Given that the shrimp industry and the Council have already
invested almost $1 million to develop a new scientific data collection
system, based on the widely-used P-Sea WindPlot navigation system, in
the wake of 3G going off line, can you commit NMFS to using the new
technology rather than more expensive alternatives that many smaller
shrimp boats cannot afford?
Answer. The Gulf of Mexico Fishery Management Council is currently
exploring two options for the new Gulf shrimp data collection system,
and funded a pilot study to test the ability of the P-Sea WindPlot
system to be used in concert with one of those options to meet fishery
science and management objectives. That pilot study, along with another
being conducted by NMFS Southeast Fisheries Science Center, is expected
to be complete in early 2023, after which time the Council will
identify its preferred path forward. Shrimpers in the Gulf of Mexico
may have different needs and expenses that are dependent on other Gulf
permits held by a vessel, and those associated permit reporting
requirements, as well as the electronic equipment currently available
on a vessel. To meet the regulatory requirement to report shrimp
effort, the varied needs of Gulf shrimpers, and allow for flexibility,
NMFS will be approving specifications for the Council's preferred new
Gulf shrimp data collection system, which could then be met by multiple
vendors and products. NMFS will support use of the P-Sea Windplot
navigation system as one of several products available to shrimp
fishermen if it is able to meet those specifications.
Question 2.
Preface:
--On April 13, 2021, disaster struck Gulf Coast families when a 129-
foot commercial lift boat, the SEACOR Power, capsized in the
Gulf of Mexico. Six crewmembers were recovered alive, six were
found dead, and seven remain unaccounted for.
--The capsizing of the SEACOR Power is the worst disaster to strike
the Gulf Coast since the Deepwater Horizon blowout in 2010.
--For days, numerous volunteers, including the Cajun Navy, scoured
the skies and seas in an effort to locate missing crewmembers.
--Volunteers intended to use trawling nets to assist in recovery
searches but encountered strong opposition from NOAA related to
Federal regulations concerning sea turtles. Volunteers using
their own shrimp boats wanted to temporarily tie their Turtle
Excluder Devices (TED) for targeted recovery operations, but
were unable to due to Federal red tape.
--Volunteers were given the costly and time-wasting options of either
removing the TEDs entirely or replacing the nets with expensive
alternatives.
--NOAA claims the National Marine Fisheries Service does not have the
authority to waive TED regulations when lives are at stake. The
NMFS has prosecutorial discretion over charging those that
violate TED regulations, and, the Secretary of Commerce can
override their decision.
I understand this issue predates your time as Secretary, can you
ensure a similar situation will be prevented in the future? If so, why
wasn't this discretion utilized to allow volunteers to search for
bodies in the ocean and give closure to these devastated families?
Answer. Shortly following the Seacor lift boat accident, NOAA
Fisheries reviewed our regulatory authority to issue TED exemptions and
determined our authority is limited to responding to certain
environmental conditions or enabling experimentation to improve TED
efficacy. The regulatory authority to grant these exceptions is at 50
CFR 223.206(d)(3) and 50 CFR 223.207(e)(2). 50 CFR 223.206(d)(3)
authorizes NOAA Fisheries to allow compliance with tow- time
restrictions in lieu of TED requirements if the agency's Assistant
Administrator determines the presence of algae, seaweed, debris, or
other special environmental conditions in a particular area makes
trawling with TED-equipped nets impracticable. 50 CFR 223.207(e)(2)
authorizes NOAA Fisheries to issue permits exempting from TED
requirements public or private experimentation aimed at improving the
shrimp retention efficiency of approved TEDs, developing new TEDs, or
conducting fishery research.
In both of those situations, the exemption process did not apply
and, even if it could be used, would have taken longer (one to several
weeks) than NOAA Fisheries' proposed solution. NOAA Fisheries instead
proposed that the trawls could be modified to no longer be considered
shrimp trawls under the regulatory definitions, by removing the TED and
bag end used for shrimping and replacing it with a bag end constructed
of 4" or greater mesh. The 4" or greater mesh webbing is readily
available at net shops, and in many cases may already be owned by the
trawl fishers. Webbing of that size mesh is used for a variety of
purposes, including chafing gear on TEDs and for bag ends when some
shrimp trawlers seasonally convert their gear for fish trawling.
Removal of the TED and bag end, construction of a simple bag end made
of 4" or greater mesh, and attachment to the trawl can be completed in
1-2 hours or less.
Therefore:
--In the unfortunate event that a similar situation occurs in the
future, the solution proposed by NOAA Fisheries would be the
quickest and most efficient means of allowing the trawl fishers
to tow their trawls as part of recovery operations.
--When investigating allegations of violations, NOAA Fisheries
gathers evidence of mitigating and aggravating factors that
contributed to the violation. While it is correct that NOAA's
Office of General Counsel (OGC) has prosecutorial discretion
over charging those that violate TED regulations, such
discretion typically comes into play after a violation has been
detected and mitigating factors, if any, can be evaluated by
OGC.
Question 4.
Preface:
Secretary Raimondo, NOAA has predicted a higher-than normal
hurricane season with a forecast for 19 named storms, nine reaching
hurricane status and four to become major hurricanes. Many of these
communities are in my state along the coast continue to struggle to
recover from past storms, most of which are economically disadvantaged
and racially diverse.
A. How do you justify a budget that claims to promote
diversity and equity and calls for billions of new dollars in
spending, yet doesn't expand our capacity to better predict
hurricane track and intensity? Several of NOAA's key hurricane
buoys in the Gulf of Mexico are inoperable and after Congress
provided $35 million in supplemental funds for NOAA to improve
in part, hurricane intensity forecasting, including through
deployment of unmanned ocean observing platforms. Why are you
failing to use the supplemental funds Congress provided, with
explicit direction, protect the lives of diverse communities in
Louisiana?
Answer. NOAA appreciates Congress' support from the fiscal year
2022 Disaster Relief Supplemental Act (DRSA) and is eager to realize
improvements to its hurricane track and intensity prediction
capabilities. Funding from DRSA includes $35 million for NOAA to
improve hurricane intensity and track forecasting and precipitation and
flood prediction, forecasting, and mitigation capabilities. Upon
Congressional approval of NOAA's DRSA Spend Plan in February 2022, NOAA
has moved aggressively to execute these funds, which supports our work
to protect lives and property.
This funding will benefit diverse coastal communities, including in
Louisiana, by allowing NOAA to accelerate implementation of the
Hurricane Forecast Improvement Project (HFIP), make advancements to the
Hurricane Analysis and Forecasting System (HAFS), improve risk
communications for vulnerable populations, increase ocean observations
including with uncrewed observing platforms, advance ocean/air data
assimilation, develop a new hurricane testbed, and enhance
precipitation prediction and storm surge forecasting. It also includes
funding for the repair and replacement of damaged NOAA and partner
assets in Louisiana and funding for additional response and improvement
efforts that will support the greater Gulf of Mexico region. DRSA did
not cover NOAA hurricane buoy repairs in Louisiana, however, NOAA has
scheduled servicing for the 2 buoy outages in the Gulf of Mexico and is
working with the U.S. Coast Guard to execute repairs on those weather
buoys by the end of August.
NOAA is dedicating approximately $1 million in DSRA funding for the
repair and replacement of damaged NOAA and partner assets in Louisiana.
The DSRA also provides $9 million for additional response and
improvement efforts including mapping, charting and geodesy services
for Louisiana and Texas; ocean observation activities for improving
hurricane intensity forecasts and data assimilation improvements.
NOAA is working with Saildrone to deploy two remotely-controlled
saildrones in the Gulf of Mexico supported by DRSA funds during the
2022 hurricane season. Overall, NOAA will be deploying seven saildrones
for hurricane research in the Atlantic Ocean/Caribbean Ocean/Gulf of
Mexico for the 2022 hurricane season as compared to the five that were
deployed in the Atlantic Ocean/Caribbean Ocean only in 2021. These will
be deployed on a research basis to understand how the collection of
ocean and atmospheric measurements can improve our representation of
air/sea processes in forecast models.
In addition, there are currently four NOAA ocean gliders operating
in the Gulf of Mexico. These gliders collect subsurface ocean
observations to improve hurricane intensity forecasts. Further, NOAA
supports an array of profiling floats and drifting buoys in the Gulf of
Mexico that provide data year-round, including during critical periods
like hurricane seasons. Deployment of additional observing platforms in
the Gulf of Mexico will be greater in 2023 through the integrated field
campaign funded by DRSA.
______
Questions Submitted by Senator Bill Hagerty
Question 1. The Census is one of the most important functions of
your Department and a basic institution of government required by the
Constitution. During your hearing you seemed to agree that Congress and
the American people deserve transparency regarding how the Census is
conducted that allows for meaningful oversight of the methods and
assumptions used, is that correct?
Answer. Yes, I do agree. As I said in the hearing, I set the tone
at the top of the Commerce Department that the Census Bureau should be
fact-based, data-based, science-based, and statistical-based. More
transparency is always better.
Question 2. In finalizing the 2020 Census, the Census Bureau used a
methodology called ``group quarters imputation'' to estimate the number
of people living in certain group housing facilities like prisons,
nursing homes, and college dorms. As such, part of the final Census
count reflects people actually counted in the field, and part reflects
Bureau guesswork about how many people live in certain locations.
Shouldn't the Census Bureau publicly disclose how much of the 2020
Census count resulted from actual evidence-based counting in the field,
and how much of the count resulted from guesswork and assumptions, in
order to provide transparency and allow for oversight?
Answer. Count imputation is a statistically valid method of
population counting that has been employed by the Census for decades
and was upheld by the Supreme Court in Utah v. Evans in 2002. It is
universally accepted in the demographic research community that
imputation improves the accuracy of the population count. At the end of
data collection for group quarters (GQs), the Census Bureau realized
many GQs had not provided the necessary information indicating their
occupancy status or population count. To address this issue, the Census
Bureau assembled the GQ count imputation (GQCI) team to remove
reporting errors from GQs and, when possible, to apply a count
imputation procedure when valid responses from occupied GQs were not
available. Among all GQs in the census, the Census Bureau applied GQCI
to about 2 percent. Similarly, among all people enumerated in the
census at GQs, about 2 percent were derived through GQCI. For those
people, the Census
Bureau imputed all their characteristics in the characteristic
imputation operation as part of the creation of the Census Edited File.
More information on the procedure can be found in a brief summary
memorandum. (https://www2.census.gov/programs-surveys/decennial/2020/
program-management/memo-series/2020-memo-2022_08.
pdf).
The Census Bureau is assessing the GQCI operation and will release
a memorandum this fall providing, among other information, rates of
GQCI by states and separately by major types of GQs. Additionally, on
May 28, 2021, the Census Bureau released additional quality metrics
(https://www.census.gov/newsroom/press-
releases/2021/additional-2020-quality-metrics.html) for housing units
looking at how census operations obtained a response for each address.
The Census Bureau released the percentage of occupied housing units in
each state that were enumerated by self-response, in nonresponse
follow-up with household members and proxies, by using administrative
records, by ``other enumerations,'' and by count imputation. The
results are available in this downloadable table (https://
www2.census.gov/
programs-surveys/decennial/2020/data/operational-quality-metrics/
census-
operational-quality-metrics-release_2.xlsx). In Tennessee, for example,
77 percent of occupied housing units self-responded, and 21 percent
were counted by nonresponse follow-up. Less than 0.5 percent were
enumerated by count imputation.
Question 3. There have been suggestions that releasing information
regarding the evidence- based counting numbers and the imputed numbers
might somehow compromise the personal information provided by Census
respondents. Can you explain how releasing statewide totals of people
actually counted in each state, compared to people guessed or assumed
to live in each state, would compromise privacy?
Answer. The Census Bureau is charged with safeguarding the
confidentiality of census information. Pursuant to that responsibility,
the Census Bureau has, for decades, employed disclosure avoidance
techniques to defend against the release of any ``publication whereby
the data furnished by any particular establishment or individual ...
can be identified.'' 13 U.S.C. Sec. 9(a)(2). And the Census Bureau has
assiduously avoided disclosing information ``reported by, or on behalf
of, any particular respondent.'' Id. Sec. 8(b). But computer technology
and processing power have grown exponentially in recent years,
substantially increasing the risk of reconstruction and
reidentification attacks on census data. The Census Bureau has kept
pace (and tried to stay a step ahead) by developing ever-more
sophisticated disclosure avoidance systems to protect the
confidentiality of census information. Still, as with any information
security system, if the system's foundation is undermined, the
information being secured is rendered vulnerable.
Question 4. Another method the Census Bureau used in finalizing the
2020 Census was what it calls ``differential privacy,'' which
essentially involves the Bureau purposefully injecting erroneous data
into the reported data for the supposed purpose of shielding personal
information. For example, 10 people live in Census Block 1, and 40
people live in Census Block 2, the Bureau may report these numbers as
20 people in Census Block 1 and 30 people in Census Block 2--and change
the demographic data, too--to supposedly make it harder to reverse
engineer any personal information. This means the local population
counts and demographic information--often used to draw congressional
districts and for other purposes--are purposefully inaccurate. In
addition to the other assumptions and adjustments made to the evidence-
based count, this further obscures the real data. In your view, is it
problematic that, because of this ``differential privacy'' method the
Census doesn't provide accurate information regarding local populations
and demographics?
Answer. The Census Bureau has employed many methods to protect
respondent confidentiality over the decades. The 2010 Census was
protected using a method called ``data swapping'', where sensitive
records (e.g., a household with unique characteristics relative to
those around them) in one geography were swapped with records from a
household in a nearby geography. That is, the Census Bureau
``perturbed'' the data in 2010 and previous censuses to protect
respondent confidentiality. In reviewing available methods to protect
the 2020 Census, the Census Bureau concluded that statistical noise
calibrated with differential privacy was the best tool currently
available to ensure adequate privacy protection while maximizing data
quality. Balancing statistical accuracy and the confidentiality of
census data has long been at the core of the Census Bureau's work.
Protecting the confidentiality of respondents' information is both a
legal requirement under 13 U.S. Code Sec. Sec. 8(b) and 9, and an
operational necessity if the agency is to maintain the public's trust
that the Census Bureau will properly safeguard the information it
provides. Consequently, the Census Bureau has long relied on a variety
of statistical techniques to protect confidentiality and reduce
disclosure risk in the data products it releases to the public.
Over the years, as disclosure risks have increased because of
advances in computing power and the growing availability of external
data sources that could be used to reidentify census respondents from
published tabulations (https://www.census.gov/data/academy/webinars/
2021/disclosure-avoidance-series/simulated-reconstruction-abetted-re-
identification-attack-on-the-2010-census.html), the Census Bureau has
adapted and improved its disclosure avoidance methods (https://
www.census.gov/content/dam/Census/library/factsheets/2021/comparing-
differential-privacy-with-older-disclosure-avoidance-methods.pdf) to
keep pace with these growing threats. For the 1970 and 1980 censuses,
the Census Bureau suppressed data for small areas and small
populations. For the 1990 through 2010 censuses, the Census Bureau
injected ``noise'' (statistical error) into published tabulations
through a process called ``swapping.'' The Census Bureau's use of
differential privacy for the 2020 Census is a more sophisticated and
precise mechanism for injecting noise into published statistics than
the swapping mechanism used in prior censuses. The error introduced
into 2020 Census publications by the 2020 Census Disclosure Avoidance
System is necessary to protect against reidentification, and this
disclosure-avoidance error is trivial compared to other known sources
of error (https://www.census.gov/library/fact-sheets/2022/
variability.html) in census counts because of operational and coverage
issues. This means the local population counts and demographic
information--often used to draw congressional districts and for other
purposes--are better protected as well as fit for their intended use.
Question 5. Census Bureau employees are the only people with any
visibility into the real numbers and how they are being changed using
guesswork. And they won't share their methods and assumptions because
they say it will compromise them. So there's no way to oversee these
methods and assumptions. With an important constitutional function like
this, shouldn't the Census Bureau have to disclose its counting
assumptions and modifications to the actual evidence-based count to
allow for meaningful oversight?
Answer. The Census Bureau is always ready to prepare briefings and
informational materials for any Congressional oversight requests. For
the 2020 Census, we spearheaded a 2020 Census Congressional Partnership
Initiative through which Census Bureau staff met with Members of
Congress and their staff from nearly 400 congressional offices in
Washington, DC. Field-based congressional partnership specialists
arranged hundreds of events involving congressional state/district
offices. We also arranged weekly briefings on major 2020 Census
operations for appropriations and oversight staff and periodic
briefings to which all Congressional staff were invited in addition to
the 2020 Census Program Management Reviews.
In addition, before the Census Bureau publishes any statistic, it
applies safeguards that help prevent someone from being able to trace
that statistic back to a specific respondent. The 2020 Census is using
a powerful privacy protection system known in scientific circles as
``differential privacy,'' designed specifically for the digital age.
The Census Bureau is transitioning to this privacy protection system to
keep pace with emerging threats in today's digital world. As part of
this transition, the Census Bureau began releasing demonstration
products in 2019 and requesting public feedback. These demonstration
products allow the public to see the level of ``noise'' that is being
added by the disclosure avoidance methodology through the creation of a
2010 Census data set protected using the new disclosure avoidance
methodology. The public is then able to compare the demonstration data
product to publicly released 2010 Census data to evaluate the
differences. See the Demographic and Housing Characteristics File (DHC)
Development and Production Timeline (https://www2.census.gov/programs-
surveys/decennial/2020/program-management/DHC%20Timeline) for more
information. Additionally, the Census Bureau hosted a second public
workshop with CNSTAT on June 21-22, 2022, to provide opportunities for
data users who rely on more detailed sociodemographic data to assess
and provide feedback on the suitability of the most recent DHC
demonstration data product. (The first public workshop was held in
December 2019.) These data user analyses and feedback will help inform
Disclosure Avoidance System improvements for the next round of
demonstration data, scheduled for release in August 2022, and
ultimately inform final decisions on the 2020 Census DHC production
settings. It is important to note that the Census Bureau's transparency
regarding the implementation of improved data protection methods is
unprecedented. Historically, the impacts of the agency's
confidentiality protections on published data products have largely
been opaque to data users.
In keeping with its commitment to transparency, the Census Bureau
has undertaken a series of unprecedented quality reviews early in the
data release process. This includes enlisting outside experts to
independently evaluate the results, as well as providing frequent
updates through a blog series and through the 2020 Census Data Quality
(https://www.census.gov/programs-surveys/decennial-census/decade/2020/
planning-management/process/data-quality.html) webpage. The Census
Bureau works with multiple oversight entities, such as the Government
Accountability Office and the Department of Commerce's Office of
Inspector General, as well as engages with respected members of the
scientific and statistical community to conduct independent assessments
of the 2020 Census. These entities extensively and carefully review the
methods and processes the Census Bureau uses to produce the counts,
disclosure edits, etc., to ensure the results are meeting goals and
statistical standards. The experts are from three groups--National
Academies of Sciences, Engineering and Medicine (NASEM) Committee on
National Statistics, American Statistical Association Quality
Indicators Task Force, and JASON (an independent scientific advisory
group)--and all three have produced census quality reports. For
example, the NAS Panel to Evaluate the Quality of the 2020 Census
produced, ``Understanding the Quality of the 2020 Census, (https://
nap.nationalacademies.org/read/26529/chapter/1)'' the ASA Task Force
produced, ``2020 Census Quality Indicators, (https://www.amstat.org/
asa/files/pdfs/POL-2020CensusQualityIndicators.pdf)'' and JASON
produced, ``Assessment of 2020 Census Data Quality Processes. (https://
www2.census.gov/programs-surveys/decennial/2020/program-management/
planning-docs/2020-census-data-quality-processes.pdf).''
Question 6. In March, 18 of my Senate colleagues and I sent
President Biden a letter expressing our serious concerns with the
record increases in fertilizer prices that are impacting American
farmers. Since, unfortunately, the situation in Ukraine has only
exacerbated the problem. Since January 2021, according to the most
decent data from USDA' Marketing Services, the prices of key fertilizer
sources have substantially increased. Can you provide me an update as
to what actions your Department has taken to reduce the cost of sky
rocketing prices?
Answer. We at the Commerce Department continue to be very concerned
about the Russian invasion of Ukraine and its many unfortunate
humanitarian, security, and economic consequences. We are maintaining
open communications with the fertilizer industry and sharing their
perspectives with Administration leadership and interagency
counterparts to address this situation.
Question 7. I understand that your Department has a role in the
U.S. Geological Survey's (USGS) designation of critical mineral.
Potash, a key mineral for fertilizer production, has historically been
designated a critical mineral by USGS, but has been removed. Will you
commit to working with the Department of Interior to restore potash as
a critical mineral?
Answer. The Commerce Department, along with other United States
government agencies, is a member of the White House Office of Science
and Technology Policy's National Science and Technology Council
Critical Minerals Subcommittee (CMS). In February 2022, the Department
of the Interior announced the revision of the critical minerals list,
noting that Interior's U.S. Geological Survey (USGS) developed it using
``the most up-to-date scientific methods to evaluate mineral
criticality''. According to USGS, ``[T]he 2022 list of critical
minerals is based on a methodology developed over several years with
leadership by the USGS and interagency input coordinated by the CMS.
The USGS published the new methodology in 2020 and this methodology was
used to create the draft list and update it in 2021-2022.'' Commerce
would refer you to USGS for any further information.
Question 8. Liquefied Natural Gas (LNG) is a major input cost for
fertilizer production. Have you spoken directly with Secretary
Granholm, the White House, or any other Cabinet official about the
impact record LNG prices are having on the cost of fertilizer
production? Are there any plans underway to change regulatory policy
and stymie the Biden Administration in a manner that could be expected
to lower LNG prices?
Answer. The Administration has taken actions to address the
disruptions to the global supply chains for fertilizer due to Putin's
unjustified invasion of the Ukraine, In May, President Biden announced
that USDA was doubling funding for domestic fertilizer production from
an initial $250 million investment to $500 million. This action should
help lower costs and boost availability for farmers, so they can obtain
the inputs they need at prices they can afford to maximize yields.
Question 9. On July 11, 2021, Congressman Michael McCaul and I
wrote to urge you to add Yangtze Memory Technologies Company (YMTC) to
the Entity List. YMTC is China's state- owned national champion for
memory chips, with ties to the CCP military. Unfortunately, since then,
our dependence has continued to grow on Chinese companies like YMTC
with clear ties to the Party-state and military that are threats to our
national security. Witness Apple's recent disturbing decision to
consider relying, in part, on YMTC chips for its phones. My colleagues
and I are now finalizing bipartisan legislation that aims to preserve a
secure chip and memory supply for the United States. Your executive
power could greatly facilitate achieving this goal. Why have you not
yet added YMTC to the Entity List?
Answer. The Bureau of Industry and Security (BIS) shares your
concerns about efforts by the People's Republic of China (PRC)
government and PRC companies to threaten U.S. national security and
foreign policy interests. A core objective of BIS is to impair the
PRC's goal of parity in leading- edge semiconductor technology. BIS
continually assesses available open-source, proprietary, and classified
information, in coordination with our interagency partners, for the
addition of other Chinese parties to the Entity List, all while
ensuring U.S. technological leadership. Since the start of the Biden
Administration, BIS has placed over 100 PRC parties on the Entity List
and maintains nearly 600 PRC parties on the Entity List to date. While
the Entity List is a powerful tool, it is not the only tool BIS
possesses to address activities that threaten our national security and
foreign policy interests. BIS uses ``Is Informed'' letters--letters to
individual companies informing them of additional license requirements
related to specific parties and/or items--and imposes additional
license requirements because of end-use or end-user concerns, such as
unacceptable risk in or diversion to weapons of mass destruction (WMD)
programs in certain countries. BIS also aggressively pursues criminal
and civil penalties related to unauthorized exports to China, and
investigations are carried out by law enforcement officers whose
mission is to investigate such violations and pursue them criminally
and administratively.
Under the Export Administration Regulations (EAR), all additions to
the Entity List are subject to an interagency review process and
require a majority vote of the End-User Review Committee (ERC), which
is chaired by the Department of Commerce, with representation from the
Departments of State, Defense, Energy, and where appropriate, Treasury.
The ERC determines whether the entity has been involved in, is involved
in, or poses a significant risk of being or becoming involved in
activities that are contrary to the national security or foreign policy
interests of the United States.
BIS welcomes the opportunity to provide technical assistance on any
draft legislation upon request.
Question 10. You have been a vocal advocate for increasing U.S.
semiconductor manufacturing. I'm also very supportive of increasing
American chip manufacturing, which will create American jobs and
bolster our national security interests vis-`-vis China. In March, you
noted that twenty years ago we made nearly 40 percent of the world's
chips, and now we make only 12 percent. You noted that we buy 90
percent of our most sophisticated chips from Taiwan--the same Taiwan
that China has its sights set on. Is that kind of dependency a
significant vulnerability for American national and economic security?
Answer. Yes. American dependency on chips manufactured abroad is
absolutely a significant vulnerability for national and economic
security. I applaud the members of Congress who worked hard to get the
CHIPS and Science Act to President Biden's desk. My staff have hit the
ground running to operationalize this historic investment in America's
global economic leadership and to shore up these vulnerabilities.
Question 11. The United States continues to lead the world in chip
design, software, and equipment, so it seems the problem is that it has
become too costly or uncertain for chip manufacturers to locate in the
United States. Chip manufacturers have told me that this problem cannot
be solved with dollars alone--as proposed by the CHIPS Act Congress is
now considering. Even well-funded projects cannot be completed if they
are tied up with multi-year permitting processes. In fact, our
permitting process is one of the reasons manufacturers chose to
relocate in places like Taiwan in the first place. Given the dire need
to encourage chip manufacturing in the U.S., do you agree that,
conceptually, it makes sense to allow chip manufacturers to utilize an
existing Federal program that improves the Federal permitting process
if it helps speed up domestic chip manufacturing projects?
Answer. I was pleased to support your bill (S. 3451) to add
semiconductor facilities to the existing FAST-41 process. Lengthy
permitting processes cannot delay the impact of this historic
investment in American semiconductor manufacturing.
Question 12: Do you support legislation, which has been approved
unanimously by the U.S. Senate (S. 3451), to utilize existing Federal
programs to streamline the Federal permitting process an bring chip
manufacturing back to the U.S.?
Answer. Yes. I supported S. 3451, and I am pleased that the bill
became law.
Question 13. Will you work with my office/staff to convey the
benefits/push for legislation in the House, etc.?
Answer. As per the Energy Act of 2020, at least every 3 years the
Department of the Interior must review and update the list of critical
minerals. We refer you to USGS, which is a part of Interior, for
further information on its plans for the next revision.
SUBCOMMITTEE RECESS
Senator Shaheen. The subcommittee now stands in recess,
subject to the call of the Chair.
Senator Shaheen. Thank you.
Senator Shaheen. Thank you.
[Whereupon, at 3:29 p.m., Wednesday, May 11, the
subcommittee was recessed, to reconvene subject to the call of
the Chair.]