Public Policy Update_4!19!13

7/28/2019 Public Policy Update_4!19!13

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This week, the House and Senarequest. We have provided heariForeign Affairs Committee, SenAppropriations Subcommitteessummaries of Administrator Sha

On Tuesday, April 16, the Houspresidents agriculture budget, dMember Sam Farr (D-CA) questi

aid reform proposal. Rep. Farr pauthorities from the agriculture bU.S. food aid since, unlike the fabudget; and whether there mayaffairs budget as a result. Secretoversight, management and accsure that we reach more people,

Hearing: International DevelopCommittee: Senate Committee

Witnesses: Raj Shah, Administrator,

When: Wednesday, April 24, 2Where: 419 DirksenContact: http://www.foreign.sen

Hearing: Budget Hearing UnitCommittee: House CommitteeWitnesses:

Raj Shah, Administrator,When: Wednesday, April 24, 20Where: 2359 Rayburn

Contact: http://appropriations.h

Hearing: The FY2014 Budget RCommittee: House CommitteeWitnesses:

Raj Shah, Administrator, Daniel Yohannes, Chief

When: Thursday, April 25, 2013

1

PUBLIC POLICY UPDATEApril 19, 2013

WASHINGTON UPDATE

e began holding hearings about the presidenting summaries for Secretary Kerrys hearingste Foreign Relations Committee, and both Houn State and Foreign Operations. Next week, w

hs hearings.

Agriculture Appropriations Subcommittee helduring which Chairman Robert Aderholt (R-AL)ioned Secretary of Agriculture Vilsack about th

robed Secretary Vilsack about the difficulties ofudget to the international affairs budget; the unrm bill, Congress does not regularly adopt the ie future disproportionate cuts to other areas of

ary Vilsack emphasized that he believes thereountability of the reform efforts and food aid prsave time, and save money.

UPCOMING HEARINGS

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Where: 2172 RayburnContact: http://foreignaffairs.house.gov/

HEARING SUMMARIES

1. House Appropriations Subcommittee on State, Foreign Operations, and Related

Programs: Budget Hearing Department of State (April 17, 2013)2. House Committee on Foreign Affairs: Securing U.S. Interests Abroad: The FY2014

Foreign Affairs Budget (April 17, 2013)

3. Senate Appropriations Subcommittee on State, Foreign Operations, and Related

Programs: FY2014 Budget Request for the Department of State and Foreign Operations

(April 18, 2013)

4. Senate Foreign Relations Committee: National Security and Foreign Policy Priorities in the

FY 2014 International Affairs Budget (April 18, 2013)

Budget Hearing Department of State

House Appropriations Committee State, Foreign Operations, and Related ProgramsSubcommitteeApril 17, 2013

Witness: John Kerry, secretary, Department of State

Opening Statements:

Chairwoman Kay Granger (R-TX)

U.S. has been closely watching Syria and focused on the humanitarian issues at hand. U.S. has been watching Iran experiment with the creation of nuclear weapons. What happens in the Middle East and North African can and does affect the U.S. Support democracy in the region. It is critical to support allies like Jordan and Israel. Want partners to work with U.S. and the international community. Embassy security needs to be addressed. The U.S. would like to know what is going on in North Korea and what will happen with

allies in that region. It is important to move Palestinians to peace; must keep a close watch on that region. Outreach to European allies is essential to U.S. national security. Raised a concern to stop poaching crisis in Africa, specifically with elephants.

Ranking Member Nita Lowey (D-NY) Diplomacy and development is a huge part of national security. Appreciates the increase in maternal health.

o Budget request for 2014 is realistic; appreciates the budget increase going tomaternal health.

o Basic education doesnt receive enough money and is essential to internationalgrowth.

o Asks for continued support for women and girls, ending gender-based violence incombat, enhancing the role of women in government.
http://foreignaffairs.house.gov/http://foreignaffairs.house.gov/


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o Asks for continual support for international family planning. Sequestration cannot hollow out State Department and USAID staff like it did in the 1990s.

o Reducing programs will be devastating for foreign aid. Syria bloodshed continues are we doing enough? Can we work with the rebel groups in

Syria? Committed to making sure Iran never obtains nuclear capability.

o In support of our sanctions in Iran.

Rep. Hal Rogers (R-KY) (Chairman of full House Appropriations Committee) Stressed the importance on hearings on the committees spending. The American way of life is constantly under threat, as shown in Boston bombings; major

steps should be taken to protect American ideals. Request for FY2014 is $54 billion; this is going to be difficult given budget restraints this

committee is under. Prioritizing most important needs is essential. For the past 30 years has stressed the importance of embassy security.

Secretary John Kerry

The choices made by the committee are critical because they influence all Americans.o Investing in foreign policy protects national security.o The right small investments can avoid costly conflicts like the $1 trillion spent in

Iraq and Afghanistan. Advances in American diplomacy are essential.

o The U.S. has contributed $385 million to humanitarian relief in Syria. The FY2014 budget represents peace, security and stability; all three can be scarce

commodities. $580 million for the Middle East and North Africa Incentive Fund will help us invest in

deep-rooted challenges like establishing democracy. $8.6 billion of this budget goes to security abroad, compared to $1 trillion fighting in Iraq.

We cannot be strong at home if we are not strong abroad, and vice versa.o Almost all diplomacy today is economic.o China is investing more than the U.S. in Africa.o Development is not charity it is an investment in a strong America and a free

world.o Eleven of the top 15 investors in America were once beneficiaries of U.S foreign

aid. Food aid reform can reach 2-4 million more people every year with the exact same

discretionary funding. The president requested $4.5 billion to fortify programs to help security worldwide and

improve overseas infrastructure, which includes embassies. Cannot have 100% security, but we do the best we can.

Antiterrorist funding has saved lives by training local law enforcement to find explosives. Retreating from the world will be damaging to the U.S.

Questioning:

Chairwoman Kay Granger (R-TX)1. What are the commitments you have received with your talks in Egypt?


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Kerry:o No assurances about what the current administration will do because they

are still figuring it out.o U.S. promised Egypt $1 billion, but it has taken a long time for them to

receive it.o Vital for the U.S. economy to have a relationship with other countries

because we have vital interests.o Egypt is important to the U.S. because Egypt represents one-quarter of the

Arab world.2. There are ways to enhance our efforts in Latin America; the new Mexican President says

we can enhance what we are doing for Mexico. Can we successfully engage with theMexican government? What can you do to strengthen our relationship with the Mexicaneconomy? Kerry:

o The Mexican president recognizes that the relationship between the U.S. andMexico has changed.

o The amount that is in the budget is not a reduction of commitment.3. The wildlife trade with elephants, lions and tigers is at a crisis level. We have put funding

toward that primarily for education, but would ask for more funding for law enforcement onthese issues.

Kerry:o Extremely supportive of helping eradicate poaching.o There are species that are on the brink of being wiped out.

It is a conservation issue and a security issue.o It is vital not just to the long-term preservation of the species, but also

ultimately to fighting criminal activity.o Adequate law enforcement is essential.

Ranking Member Nita Lowey (D-NY)1. What are the Arab nations doing to normalize?

Kerry:o We can make peace in the Middle East, but it is a very complicated puzzle.o Instability of the region does not help anyone.o Huge mistrust on both sides, and it is understandable.o There will be no peace agreement unless both sides agree.

2. Expand upon Palestinian Prime Minister Salam Fayyads resignation and how it affects thepeace process. Kerry:

o It is going to be part of his discussion when they come here.o Wishes Salam Fayyad wasnt retiring.

He has been really important in terms of transparency and scrutiny ofthe Palestinian government.

Peace process has to be bigger than one person, and it is. This will be a test of who will take his place.

Rep. Hal Rogers (R-KY) (Chairman of full House Appropriations Committee)1. There is a need for a deputy secretary for resources to relieve you of some

responsibilities, but you have not filled that position. Do you want to? Kerry:

o Yes, wants to fill it immediately.


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o Wants to find the right person to recommend to the president.2. Is there an assistant secretary for legislative yet?

Kerry:o There are several positions unfilled where they have to pick people. The

department is going through the process to fill these positions.

Rep. Adam Schiff (D-CA)1. What would you and the administration like Bashar al-Assad to know would happen if he

used chemical weapons? What is the international community prepared to do? Kerry:

o The president has made it clear that that is a game-changer for the world.o The Russians and others have communicated a similar message.o The president has directed all contingencies to be planned for and that work

has been ongoing.2. Can you share with us how you think this cycle between North Korea could be conveyed?

How do we break this cycle? Are we getting help from China? Kerry:

o The only way to break the cycle is to partner with China in a completely

different approach that has taken place thus far. The U.S. has gone through this process of periodic negotiations and

commitments that are relentlessly broken.o Kim Jong-un believes he can do whatever he wants without consequence with

China thats what his father did. Inviting more American presence in the region is not appreciated in the

region and creates more instability.o China has to make it clear that this is important to them.

Rep. Frank Wolf (R-VA)1. Would you consider having a special envoy in the Middle East to protect minority religious

groups? Kerry:

o Yes, will absolutely consider it. Religious tolerance is a major challenge In theMiddle East.

o Dont know if a special envoy is the way to maximize it.o This is central to what the U.S. will be talking about in Syria this weekend.

Rep. Barbara Lee (D-CA)1. PEPFAR has been one of the most revolutionary foreign aid efforts. Concerned about

presidents bilateral aid for HIV funding through PEPFAR. How can these proposed cutsnot affect programs like PEPFAR? What are the goals of the Global Health Office? Manyof us are concerned about the pledges that were made for Haiti after 2010 earthquake. Isthere any way to let us know how the funds for Haiti are being spent?

Kerry:o In Haiti, the administration has put in a lot of effort over the years.o A complication is the lack of capacity to absorb combined with a lack of

coordinated approach.o Excited about the money the president got for PEPFAR through Global Fund.o The money will be there for the delivery for patients.o We are looking at the possibility of an AIDS-free generation as a result of what

America has done.


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Rep. Ander Crenshaw (R-FL)1. Can you comment on the impact that Palestinian Prime Minister Fayyads resignation will

have internally in relation to governance? Who will take his place? He was vital for U.S.success there. Will his successor be someone the U.S. can have confidence in?

Kerry:o It needs to be someone the U.S. has confidence in and we trust.o There are a lot of very smart people in Palestine who are capable.o It is a question of the choices that get made, not whether or not it can happen.

2. Due to the conflict in Syria, many refugees have fled to Jordan. The King of Jordan iscoming next week. Can you talk about the situation in Jordan and what are we doing tohelp them care for refugees?

Kerry:o President Obama was just in Jordan, and he pledged more money for assistance.o One of the camps is the fourth largest city in Jordan today.o It is having a major impact on Jordanian society.o We have provided $385 million in support of the humanitarian crisis in Syria.

What is guiding the U.S. is the fact that this is endless. There are a lot of

people who are displaced in Syria and a huge population in Lebanon andJordan.

o If Assad continues to bomb Syria there will be more refugees and the crisis willgrow.

Debbie Wasserman Shultz (D-FL)1. Could you explain your vision for the Middle East and North African (MENA) Incentive

Fund programs and what we should expect? Kerry:

o We need to be engaged because the message of extremism is movingfaster in some places than the message of democracy, rule of law,opportunity and freedom.

o U.S needs to find an alternative to SEAL teams, drones and militaryexpeditions.

o MENA should have more funding.o When the U.S. first entered Afghanistan there were a million children in

school and they were all boys.o Now there are 7 million kids in school almost half are girls.o There are parts of the world where women and children are enslaved.o U.S. foreign policy is instrumental in creating gender equality.

2. What is the administrations view on the outcome of the election in Venezuela? Kerry:

o Venezuela is very troubling. We suggested a recount.

Rep. Charles Dent (R-PA)1. Since Israel has apologized, where do the Turks and Israelis move to next? Kerry:

o A team will be there next week to negotiate compensation for the victims.2. Does the statement you made in your opening remarks about being present globally apply

to Syria? Kerry:


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o Thus far, we have not been present in supporting rebels to the extent of being theirearly enough.

The U.S. has been engaged. Rebel groups want more. Most rebel groups have been grateful.

Rep. Kevin Yoder (R-KS)1. North Korea has been making threats to the U.S. and allies. You have made recent

comments about removing missile defense. Is missile defense an important strategicinitiative for national security for the U.S. and allies?

Kerry:o Didnt offer any deal or concession. Publically stated that if North Korea

denuclearized, the emergency deployment to Guam and Japan is pointless.o Supports rational missile defense and has always supported development where

there is a threat.o If you do not have a threat you do not have any reason to deploy.o U.S. policy to North Korea is denuclearization; many of our allies have the same

policy. The most ability to make something happen lies in the hands of China.o If China will address U.S. as a partner, could have a better handle on the situation.

China acts on it is own interests. It is also in it is own interest to help U.S.not go to war with North Korea.

Securing U.S. Interests Abroad: The FY2014 Foreign Affairs BudgetHouse Committee on Foreign Affairs

April 17, 2013

Witness: John Kerry, secretary, Department of State

Opening Statements:

Chairman Ed Royce (R-CA)

U.S. must prioritize programs cant do everything. U.S. needs to focus on the threats facing our nation, including terrorism. U.S. should increase economic pressure on Iran to stop the development of nuclear

weapons. Likewise in North Korea. U.S. wants to see a successful transition in Afghanistan.

Ranking Member Eliot Engel (D-NY)

U.S. needs to focus on Syria, Iran, and North Korea. U.S. spends just over 1% on diplomacy and development. More funding for diplomacy

would have been great, but the foreign affairs budget should be supported. Global health should be a focus. U.S. should do more to provide humanitarian assistance to Syria. Nuclear weapons in Iran are the foremost threat facing U.S. and world today.


Sen. Lindsey Graham said Americas investment in foreign policy is national securityinsurance.


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If U.S. can make the small, smart investments up front, then can avoid more costlyconflicts and greater burdens down the road.

American engagement in the world is essential. Two examples are Israel and Turkey. U.S. has contributed almost $385 million in humanitarian relief to Syria. America is the guardian of global security. The budget is an illustration of U.S. values and priorities. The budget reflects investment in

areas that attract economic growth, create jobs for Americans, and secure nationalinterests.

The 2014 foreign affairs budget request represents a 6% reduction from 2012 fundinglevels.

New reforms provide the most bang for the least expenditure. Examples:o The State Departments Bureau of Conflict and Stabilization Operations utilized

$3.5 million for investments leading up to Kenyas elections.o Antiterrorism assistance in Pakistan, India, and Lebanon.o Want to advance peace, security and stability. The budget requests $580 million

for the Middle East and North Africa Incentive Fund. U.S. cannot be strong at home if it is not strong in the world.

Commitment to trade:o The president is committed to successfully completing the Transatlantic Trade andInvestment Partnership and the Trans-Pacific Partnership.

o Tap the growing markets of the Asia Pacific. Development is not charity. Its an investment. Eleven of top 15 U.S. trading partners were once beneficiaries of U.S. foreign assistance. Food aid reforms:

o Food aid can reach an estimated 2-4 million more people every year with the samediscretionary funding. It will save approximately $500 million in mandatory fundingover the next decade.

o Over half of the funding requested must be used for the purchase and shipping ofU.S. commodities overseas. There is flexibility to procure food aid in developing

countries closer to the crisis areas.o This change allows U.S. to do more, to help more people lift themselves out of

hunger at a rapid pace without spending more money. Personnel:

o $4.4 billion is requested to fortify worldwide security protection and improve ouroverseas infrastructure.

o $2.2 billion of this is for building secure diplomatic facilities.

Questioning:

Chairman Ed Royce (R-CA)1. The Inspector Generals Office is the key office looking at fraud and waste. The position

has been unfilled for five years. Why has no one been appointed? Kerry:

o The administration is trying to fill the position now.2. It seems that the State Department is trying to slow the process of the committees review

of how the Benghazi incident was handled? Kerry:

o State is not attempting to delay anything.


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Ranking Member Eliot Engel (D-NY)1. Israel is willing to negotiate with Palestine face to face, but Palestine has refused. The

Prime Minister resigned. What is the U.S. doing to back Israel on this? Kerry:

o The administration needs time, but guarantees a commitment to thisbecause the window of time to find a solution is shutting (have one to two

years).2. As far as Iran, talks are delayed. When is enough going to be enough? What are the plans

moving forward? Kerry:

o The administration is discussing the time frame. The president has madehis policy clear.

3. Do you think the U.S. will have influence in the post-Assad Syria if we dont give theweapons necessary?

Kerry:o U.S. is working with the Syrian opposition. Some countries are providing

weapons and others arent. The opposition is making headway on theground.

Rep. Ileana Ros-Lehtinen (R-FL)1. Will you pledge that the U.S. will refuse to recognize results without a transparent and

open recount of Venezuelas election results? Will a lack of coherent response by theState Department legitimize the regime?

Kerry:o Cant say right now, but there ought to be a recount.

2. If the Palestinian Authority (PA) is committed to the peace process, why use U.S. taxpayerdollars to entice the PA back to the table? There is a request for $580 million for theMiddle East and North Africa Incentive Fund. What benchmarks will ensure greateraccountability of these funds and who will oversee this?

Kerry:o There is no way that the money is going to Hamas. There is no relationship

between Hamas and PA. Need to strengthen the PA.

Rep. Brad Sherman (D-CA)1. Do you see parallels between what happened in Boston and incidents in the past?

Kerry:o No evidence. Terror is terror.

Rep. Chris Smith (R-NJ)1. In Egypt, 500 Christian girls were abducted. We need to raise this human trafficking issue.

Kerry:o This is a tragedy.

2. There have been 300 cases of child abduction to Japan and no one has returned. Kerry:

o This issue was raised and will find new cooperation with this administration.

Rep. Gregory Meeks (D-NY)1. Europe is critical for trade. Applaud President Obama for successfully completing the

Transatlantic Trade and Investment Partnership (TTIP) and the Trans-Pacific Partnership(TPP). U.S. should deepen economic ties with the EU and Asia but cant lose sight of


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trade opportunities with Turkey and Russia. How would you collaborate with Turkey andRussia?

Kerry:o On the big issues, Russia has cooperated with U.S. (example: UN

Resolution for Iran sanctions). Turkey has cooperated as well.o Japan is anxious to be in TPP and Europe is excited about the TTIP.

2. How would the budget be prioritized regionally? Kerry:

o U.S. needs to reach out more to countries in the Western Hemisphere,where there hasnt been as much of a focus.

Rep. Dana Rohrabacher (R-CA)1. There was a Camp Liberty (Iraq) attack in February where eight people were killed. Is the

U.S. going to request aid for this regime? Is the U.S. going to pressure the regime? Kerry:

o There is concern about another attack.2. There is a request for aid to Pakistan, where the government is holding a doctor who

helped find Osama Bin Laden. How much longer is U.S. going to rely on quiet diplomacy

rather than cutting off their aid? Kerry:

o Cutting off aid to Pakistan is not a good move. Its not that simple.3. Some people think there was a cover up involving Clinton and Benghazi. These questions

need to be answered. Kerry:

o The administration will appoint someone to work with the committee onthat.

Rep. Albio Sires (D-NJ)1. When will Allen Gross be released from Cuba?

Kerry:o Cubans were attempting to trade five spies for him, but U.S. wont do this.

Rep. Steve Chabot (R-OH)1. It seems that a Strategic Patience Policy is being pursed in North Korea. This has been a

failure. Kerry:

o Would describe the strategy as impatience. U.S. is not going to rewardthem. The president took necessary steps. U.S. has made it clear that it willdefend its allies.

o Without China, North Korea would collapse. So it is important for U.S. towork with China.

o Hopefully diplomacy will work.

2. Applaud the reforms so far in Burma, but there has been an escalation of ethnic violence,which the military may be behind. What steps is the administration taking to stop this?

Kerry:o There is concern about the minority in the northwest corner of Burma. The

administration pushing them toward a greater democracy.


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Rep. Gerry Connolly (D-VA)1. USAID has been hollowed out. It has become a contracting management agency.

Shouldnt U.S. be rebuilding it to be the leading and premier development agency? Kerry:

o USAID is the leading and premier development agency. There will beproblems. USAID has to go places where no one else will go, even in

countries whose economies may not help the U.S. so much. It has adoptedreforms in the past few years.

2. What is your view on Israel? Kerry:

o Next week there will be a meeting on Israel that will hopefully resolvecompensation for victims.

Rep. Joe Wilson (R-SC)1. Under Clinton, a nonproliferation agreement was created with Russia. The administration

is reducing funding for a facility that is already 60% complete. Kerry:

o I support the nonproliferation initiative.

2. Secretary Clinton promoted trade. South Carolina is the leading exporter in tires andBMWs. Will you continue to push for trade?

Kerry:o Hugely. Foreign policy is largely economic policy.

Rep. Ted Deutch (D-FL)1. Robert Levinson, the retired FBI agent who was taken hostage, is still missing.

Kerry:o The administration has not forgotten this issue.

2. Has the EU labeled Hezbollah as a terrorist organization? Kerry:

o In talks with Europeans, we urged for Hezbollah to be labeled as a terroristorganization.

3. Why isnt there a greater focus on Israel-Palestine negotiations if there is only a shortwindow for negotiations to happen?

Kerry:o It is a two-state solution. One of the hurdles is that the level of mistrust on

both sides is high.

Rep. Michael McCaul (R-TX)1. Clinton testified about a classified cable around Benghazi. Which individual saw this cable

and what action was taken? Kerry:

o Unknown.2. The global entry program was offered to Saudi Arabia. This could be a threat to air[plane]

security. Why were they given preferential treatment over our NATO allies? Kerry:

o It is unknown who makes that final decision. Saudi Arabia has cooperatedwith the U.S. in several instances.

Rep. Karen Bass (D-CA)1. What are your thoughts about the U.S. appointing a Special Envoy to the DRC?


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Kerry:o The administration will appoint a Great Lakes Special Envoy. This is caught

up in the vetting process.2. Does the request for peacekeeping operations accurately reflect the growing needs on the

African continent? Kerry:

o Its what the U.S. can ask for under the budget constraints. There are anumber of UN efforts there now and they just arent sufficient. A lot of thisviolence is by criminals. If we could provide some order, we could do a lotmore for economic development and peace.

3. Can you comment on the significance of the 6% cut to USAID HIV/AIDS funding? Kerry:

o Pleased that PEPFAR funding was able to be held whole. We have thepotential to have an AIDS-free generation as a result of what weve done.

4. What are priorities in respect to Africa? Kerry:

o Six of the 10 or 12 fastest-growing countries in the world are in Africa China is investing more in Africa than U.S. is. It doesnt have to be a zero-

sum game. U.S. needs to recognize the economic benefits there. U.S.needs to be deeply engaged in Africa.

Rep. Ted Poe (R-TX)1. You suggested the U.S. would reduce its missile defense system in Asia in exchange for

Chinese help with North Korea. Seems that the U.S. is being threatened by a nuclearattack. Is that an accurate statement? If so, explain that.

Kerry:o No, not an accurate statement. There was no offer, no deal. The president

took specific steps in direct response to North Korea. If the threatdisappears, there would be a question of whether that same level ofdeployment is necessary.

2. Should the U.S. give aid to North Korea to temper their saber-rattling? Kerry:

o No.

Rep. Bill Keating (D-MA)1. What is your ability to deal with gender equality issues? Could you comment on the first

ever strategy to combat gender-based violence (GBV)? Kerry:

o At the London G8 ministers meeting, Hague made sexual violence a centerissue. GBV will be held accountable as a war crime.

2. Could the accountability include conditions tied to aid? Kerry:

o Some places lend themselves well to conditionality and some do not.

Rep. Matt Salmon (R-AZ)1. Could you comment on the XL pipeline and liquid gas as it relates to Venezuela?

Kerry:o On liquid gas, would love to see the Western Hemisphere become self-

sufficient in terms of energy.


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Rep. David Cicilline (D-RI)1. What efforts are underway to ensure that Kuwait and Saudi Arabia honor their

commitments for aid to Syria? Are you considering closing the Syrian embassy in theU.S.? What efforts have there been to protect women and girls in refugee camps?

Kerry:o There are refugees in Jordan, Lebanon and Turkey, and displaced persons

in Syria. It is reaching a major humanitarian crisis level. We need to getthem to the negotiating table and get the Geneva Communiqueimplemented. Time is our enemy.

2. Could you discuss your recent trip to North Korea? Kerry:

o Hope that the Chinese will work with us to get stability in the peninsula,moving north.

Rep. Adam Kinzinger (R-IL)1. There is an idea of America leading from behind. When the U.S. retreats from the world,

chaos ensues. Please address the leading from behind concept. Kerry:

o Dont understand this concept. If you are leading, you are leading.2. Are we in a position without strong military presence for the Afghan military to be strong

enough on its own? Kerry:

o The purpose of U.S. policy is to transform the Afghan army so it can standby itself. U.S. has two fighting seasons to see how the army develops.

Rep. Alan Grayson (D-FL)1. Would you like the administration to have the authority to add countries to its visa waiver

program? Kerry:

o Sure.

2. Would you like to see Israel, Brazil and Poland be rewarded by visa waivers? Kerry:

o Yes, but people have to meet standards.3. Would you like to see diplomacy, security and economics considered when these

decisions are made? Kerry:

o The current standards can be changed, but he is not in favor of changingthem.

Rep. Mo Brooks (R-AL)1. Ambassador Rice previously made false comments on Benghazi. Can you assure

Americans that you will investigate why Ambassador Rice made so many false

statements? Kerry:

o No, because its not necessary. Rice has apologized.

Rep. Brad Schneider (D-IL)1. How do we, in light of Salam Fayyad resigning, get Palestine to the table to negotiate

before the window closes?


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Kerry:o Salam Fayyad is not going away completely. He will remain involved in

Palestinian affairs not saying a peace process wont happen.

Rep. Tom Cotton (R-AK)1. On Syria: What is the U.S. policy on providing weapons as aid?

Kerry:o The U.S. policy right now is to not provide lethal aid but U.S. is coordinating

closely with those who are.

Rep. Ami Bera (D-CA)1. How are negotiations on bilateral agreements (Afghanistan, India, U.S.) going?

Kerry:o The administration to finalize the agreement. The army is performing well

right now.2. What is Indias role in helping to develop Afghanistan?

Kerry:o Because of their democracy and tradition, U.S. has great reasons to work

together. It is a complicated circle though, because of the relationshipbetween India and Pakistan.

Rep. Randy Weber (R-TX)1. Do you have a policy to define a fireable offense going forward [at the State Department]?

Kerry:o There are standards in the government.

2. Can you move forward on getting the people out of Camp Liberty? Kerry:

o Camp Ashraf has been judged to be unsafe, and Camp Liberty has also.U.S. has conducted an interview process to find the best fit, but they didntwant to take part. Were trapped in different perceptions of peoplesinterests.

Rep. Lois Frankel (D-FL)1. Do you work with the U.S. Institute of Peace?

Kerry:o Yes.

2. We allow the State Department to use a best-value contract for security contracts. Do yousupport that?

Kerry:o Yes.

Rep. Mark Meadows (R-NC)

1. In terms of food aid reform, we are shifting resources away from U.S.-grown food. Do yousee negative implications on American farmers?

Kerry:o No. U.S. farmers are exporting at a greater level than recent years. This

doesnt make much of a difference to farmers.2. Is it necessary to ship F16s to Egypt?

Kerry:


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o The best investment U.S. made was Egypts army. They held to what theysaid they would do. They held elections and had democracy. Unless theycreate stability and a sense of security, right now giving more money wouldbe not to good avail.

Rep. Tulsi Gabbard (D-HI)

1. We have heard that the 2005 sanctions on hard currency worked while in place but maybeprematurely stopped.

Kerry:o North Korea sees the nuclear program as the center of the regime. U.S.

cant do much until they shift from military-centered regime. U.S. wontprovide aid to them until they do this. North Korea believes that U.S. isprepared to go to war with them.

Rep. Doug Collins (R-GA)1. The House passed an authorization last Congress. Do you agree with Secretary Clinton

on the importance of having these appropriations bills passed and is that a priority for you? Kerry:

o Its not that it wasnt a priority; we just couldnt get it done. You need to getyour budget together.

Rep. Brian Higgins (D-NY)1. Should the Vienna Convention be changed so that there is a greater emphasis on a

particular embassys country being held responsible for security rather than the hostcountry being held responsible?

Kerry:o We should tweak it, not change it completely.

FY2014 Budget Request for the Department of State and Foreign OperationsSenate Committee on Appropriations State and Foreign Operations Subcommittee

April 18, 2013

Witness:

John Kerry, secretary, Department of State

Opening Statements:

Chairman Patrick Leahy (D-VT)

This committee strives to work in a bipartisan fashion. Currently focusing on North Korea, Middle East: Syrian humanitarian catastrophe, Egypt,

wars in Afghanistan and Iraq.

John Kerry, Secretary of State

U.S. is the indispensible nation. There is nothing foreign about foreign policy. So much of foreign policy is economic policy. American engagement is essential:

o Syria U.S. has contributed $385 million to growing humanitarian crisis.o North Korea U.S. is the guardian of global security.


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The budget is not a collection of numbers but a representation of U.S. values. Believes this budget helps reduce the deficit responsibly while funding important

programs. Administration has implemented reforms to reduce costs without decreasing program

effectiveness. The administration is asking for $580 million for Middle East and North Africa Incentive

Fund. U.S. cant be strong at home if it is not strong in the world particularly economically.

Questioning:

Chairman Patrick Leahy (D-VT)1. How does the U.S. balance Chinas increasing influence in terms of foreign assistance

while also seeking to cut foreign assistance funding? What is your sense of President Xi?Is he going to be helpful with North Korea?

Kerry:o China is very concerned about North Korea.o Had a good meeting with President Xi.o China has made it clear that they are committed to denuclearization.o China is the essential country in terms of changing North Korean behavior.

2. Some people in the Pentagon are trying to overturn the Leahy Law (which prohibits U.S.military assistance to foreign militaries that violate human rights with impunity). What is theState Departments position?

Kerry:o The State Department has had no discussion about moving away from

Leahy Law.o The State Department is committed to following it.

Sen. Barbara Mikulski (D-MD)1. The Senate will mark up FY2014 appropriations at the $1.05 trillion level and intends to

work according to regular order.2. The president requested $2.4 billion for embassy security construction and maintenance.

Congress wants to do everything it can to protect the safety of U.S. officials. There is anissue of compensation for State Department officials who die during service. Will you workon this with Congress?

Kerry:o Yes.

Sen. Mike Johanns (R-NE)1. Success of many programs (PEPFAR, Global Fund to Fight AIDS, Tuberculosis, and

Malaria) depends on nutrition. This subcommittee should adopt a bipartisan position thatprotects food aid in the budget because it doesnt cost much and can build bipartisansupport for it.

2. This budgets food aid proposal is very controversial dont think that the proposedchanges will actually happen because of this controversy. What is the administration tryingto achieve with this reform? Is there a better way to go about this?

Kerry:o Completely understands the resistance.


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o The proposed changes allow the U.S. to provide assistance 11-15 weekssooner with the flexibility to purchase food locally (especially duringemergencies).

o The reform will provide 2-4 million more people with aid while savingmoney.

oAmerican farmers by and large are doing well now and shouldnt be

threatened by the changes.3. Requested to work with someone from State to figure out how to make this reform work.

Sen. Mary Landrieu (D-LA)1. What can the State Department do to turn around the decrease in international adoptions?

Kerry:o The State Department will work closely with Landrieu on this issue.o Has already raised this issue internally, particularly to break impasse with

Russia.o Will work with Landrieu to conduct an analysis on this issue.o U.S. should work proactively to increase adoption opportunities.

3. The National Action Plan for Children in Adversity is the first effort to coordinate fundingfrom multiple agencies. Are you familiar with this plan and will you use this as a basis of

reform to try to keep children in families? Kerry:

o Thinks that it is a good template. Would like to arrange a meeting to talkabout how to address this.

Sen. Daniel Coats (R-IN)1. The president has requested $580 million for the Middle East and North Africa Incentive

Fund. How is the State Department ensuring that these funds get into the right hands? Kerry:

o This fund is trying to change the way this assistance is provided, ensuringthat the U.S. knows where the money is going.

o Different countries in the region have different needs.o This fund would work in conjunction with the U.S. private sector to leverage

funding.o The State Department is trying to apply Millennium Challenge Corporation

metrics to these programs.

Sen. Tom Harkin (D-IA)1. It is critical that the U.S. becomes a part of the Convention on the Rights of People with

Disabilities so that we have a seat at the table. Someone in the State Department shouldbe tasked with how the U.S. can take lessons learned from here to teach other countries.How will the State Department play a role?

Kerry:o There are already people in the State Department who are ready to go and

willing to help.o This treaty is one of the rarest treaties because it requires almost nothing

from the U.S. It requires other countries to meet our standards and toprotect U.S. citizens abroad.

2. The administration is right on target with the proposed food aid reform.3. In 2015, the U.S. will take chairmanship of the Arctic Council for the first time. China,

Russia, and others are interested in the Arctic area. The U.S. should be more active in thisarea.


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Kerry:o Is going to the Arctic Council meeting in May.o This engagement is beyond critical to the U.S.

Sen. Mary Landrieu (D-LA)1. What is the State Department doing to provide education to girls worldwide?

Kerry:o There is a national policy pertaining to women and girls.o The State Department continues to work on women and girls

empowerment and education and will stay dedicated to these programs.

Ranking Member Lindsey Graham (R-SC)1. There is a constant effort in Congress to cut aid to Egypt. Can you describe why it is

important to stay in the game with Egypt? Kerry:

o If the U.S. severed ties, Israel would be at risk because Egypt is providingcooperation and security in the Middle East.

o A quarter of the Arab world is in Egypt. There is a strong civil society there

and a capacity for a vibrant political debate moving forward.2. 480,000 Syrian refugees have fled to Jordan. How is the refugee account fairing?

Kerry:o The U.S. is the largest financial supporter of Syrian refugees. The U.S.

refugee account will be tested given the increasing demands on it.3. Can you give an update on Camp Liberty (Iraq)?

Kerry:o Very concerned about the people in Camp Liberty.o There is a very complicated deal here.o The bottom line is that the U.S. is trying to relocate them.

4. Why should the U.S. continue to invest in Africa? Kerry:

o The U.S. isnt investing enough to get the proper return.o He will recommend envoys for the Sudan, Democratic Republic of Congo

and Great Lakes area.oAfrica is a vital continent particularly in terms of economic partners for the

U.S.

Sen. Mark Begich (D-AK)1. The FY2014 budget proposes a new consulate in northern Iraq. What is the cost of that

project and how does that fit into the smaller footprint strategy? Kerry:

o Construction costs are $250 million.2. He discussed the importance of U.S. engagement pertaining to the Arctic.

Sen. Tom Harkin (D-IA)1. How can the U.S. get Japan to ratify the Hate Convention?

Kerry:o Raised the issue directly with the Prime Minister who has submitted it to the

diet.


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National Security and Foreign Policy Priorities in the FY 2014 International Affairs BudgetSenate Committee on Foreign Relations

April 18, 2013

Witnesses:

John Kerry, secretary, Department of State

Opening Statements:

Chairman Robert Menendez (D-NJ)

Looking forward to hearing the priorities in the State Department, especially concerningthe budget, to improve lives and show U.S. leadership.

Issues and situations demand our attention worldwide:o Ongoing conflict in Syria;o Nuclear proliferation (Iran and North Korea);o Climate change;o Drought in the Sahel, displacing 300,000 and affecting 9 million more;o Drought in the Horn of African affecting 13 million people;

These issues depend on a robust international affairs account. The U.S. may live in a constrained budget environment, but the world goes on. Concerned with cuts to the Western Hemisphere.

Ranking Member Bob Corker (R-TN)

Welcomes food assistance reform proposal. Looks forward to discussing details with Administrator Shah in next weeks hearing. There is a lack of a coherent strategy and structured funding for Syria, whether this means

preparing the Syrian opposition or preparing neighboring states. Concerned with the clarity of the contingency fund set up for North Africa and the Middle

East. There are failures of process and leadership in Libya regarding the Benghazi attacks. Monitoring and evaluation of development programs in Afghanistan and Iraq is also

inadequate and needs to be looked at. The budget requests $52 billion in international affairs funding. Owe it to the American

taxpayer to ensure this provides value and quality. Urge the appointment of a permanent and qualified inspector general for the Department

of State and USAID.


U.S. investment in foreign policy is insurance for national security. By making small but smart investments up front, the U.S. can avoid further burdens down

the road. The U.S. is the guardian of global security and will not turn away from the process of

peace nor hesitate to defend allies. The budget is not just a collection of numbers but an illustration of U.S. values. The presidents budget is responsive to, and reflective of, the national economic reality. It is perhaps more restrictive than Kerry would like, but still represents responsible

investment in good growth.


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Foreign policy should be economic policy, which is why the government has implementedreform to reduce cost and maximize effectiveness; but more can be done.

For just over $3.5 million, State Departments Bureau of Conflict and Stabilization hasmade key investments in the recent Kenyan elections, helping to prevent violence.

2014 budget maintains commitment to advancing peace and security.o Giving reformers in the Middle East the tools to avoid becoming a failed state;o Preventing extremists in Mali and the Sahel from finding a foothold in the region;o Enthusiasm for the Trans-Pacific Partnership (TPP), especially from Japan and

Turkey. Development is not charity. Its an investment. Eleven of our top 15 trading partners today were beneficiaries of U.S. foreign assistance

15-20 years ago. South Korea is a prime example, now partnering with the U.S. in development. Food aid reform gives flexibility to choose the most efficient type of food assistance:

o Help reach 2-4 million more people;o Save $500 million in costs;o American producers and growers still to play a major role;o Procuring food closer to the crisis means getting food faster to malnourished

people and saving lives;o Does more to help people lift themselves out of poverty without spending more

taxpayers money. On the frontlines of diplomacy, the U.S. cannot, and will not, retreat. State Department and USAID is committed to values of equality, dignity, freedom and

democracy, and against those who want to replace hope with hate.

Questioning:

Chairman Robert Menendez (D-NJ)1. Regarding Irans continuing nuclear ambitions, where does the U.S. go from here? Is it

possible to get additional support from the UN Security Council to take more action? Kerry:

o Iran is two months away from an election, so this is a moment for patience.o But the U.S. can track any steps Iran takes to install more centrifuges.o Window of diplomacy is still open. Iran will not get a nuclear weapon.

2. Can you offer a better roadmap for Syria than this committee received at last weeks hearing? Kerry:

o Need to change Assads calculation.o Syrian opposition is making progress, but the international community needs to do

more to support a coherent strategy.o Russia signed onto the Geneva principles, although with the caveat that Assad

does not have to leave immediately.o

Saturdays meeting in Istanbul will explore options post-Assad and agree oninclusive, democratic and open transition.o This will prevent extremism and provide clarity on the current aid effort.

Sen. Ron Johnson (R-WI)1. What is your assessment of the Syrian peoples view on U.S. involvement?

Kerry:o A mix of anger and gratitude.o Majority want the U.S. to do more.


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2. Foreign aid must be spent well, but the U.S. has unreliable allies. What is the best way to holdthese allies accountable, particularly Pakistan and Egypt? Kerry:

o All governments and locations require a different response.o Unwise to destroy an entire relationship with a country based on some elements or

concerns.o Egyptian army has shown responsible action, keeping the peace and carrying out

their commitments to democratic elections.3. Administration should work closely with Congress to let the public know about the rationale

behind foreign aid. Can you address the concern that China will soon replace the U.S. as thereserve currency? Kerry:

o U.S. economy is still the worlds strongest and will get stronger if the right choicesare made.

o Foreign aid amounts to spending only one penny in every dollar.o The results speak for themselves, saving millions of lives and promoting

entrepreneurship in women.o Elected officials need to stop building prejudice against foreign aid among the

American public. It might be a guaranteed applause line, but its wrong.o The Marshall plan was hugely unpopular after WWII, but it has resulted in a strong

partnership with allies in Japan and across Europe.

Sen. Barbara Boxer (D-CA)1. Meeting with the Russian ambassador last year on the Syria crisis was very depressing.

According to the UN, the number of refugees has more than doubled since the start of theyear, with women and children particularly vulnerable. What is the prospect for the Gulf Statesfollowing through on humanitarian pledges? Kerry:

o Syria is a growing catastrophe, especially for the region.o In Lebanon, there are no camps yet people are pouring in.o The U.S. is meeting with each of the Gulf States to discuss the pledge.o Need to provide a solid foundation for political transition.

2. What kind of positive engagement with North Korea can the U.S. leverage in the currentcrisis? Kerry:

o Best approach is to engage China because they have most leverage with NorthKorea, providing food aid, trade links and banking.

o North Korea thinks it can continue down nuclear road if China is on side.o Need to make some fundamental determinations to avoid a repeat of past cycles of

threats and countermeasures, which achieve no long-term peace.

Ranking Member Bob Corker (R-TN)

1. The administration does not have a coordinated strategy on Syria because it did not recognizeU.S. interests at the beginning. Al-Qaeda must not be allowed to control the country in theaftermath of war. Do you agree with this assessment? Kerry:

o Agree that extremists should not be allowed to control the country.o Do not agree that the administration did not see U.S. interests at the start.o Meeting in Turkey will look to broaden out the Syrian oppositions base.


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2. How will the administration deal with the fact that our allies in the moderate opposition groupsare preparing for a conflict with extremist elements post-Assad? Kerry:

o Extremism is a concern among the moderate groups the U.S. is supporting.3. Is there a realistic way for the secular groups to reach out to accommodate the Alawite

population? Kerry:

o They will sign on to a document offering protective language and inclusivity toAlawites, Jews, Christians and all minority groups.

o Need to reach out to the Alawites.4. There is lack of a coordinated strategy in the Sahel and North Africa. Hope there will be focus

on this issue. Kerry:

o Need to work with this committee regarding the Sahel and the Magreb.o President wants analysis of options on the table, with input from this committee.

Sen. Ben Cardin (D-MD)1. The budget allocated some additional funds for the Asia-Pacific rebalance. But this was

smaller than Africa and the Near East. The Association of Southeast Asian Nations (ASEAN)represents an opportunity to look at human rights. What are the priorities to advance thesecauses? Kerry:

o There is a Pacific Dream, including strong security, smart growth, green growthand just growth.

o Rule of law and human rights are critical to justice.o ASEAN will continue to be part of U.S. foreign policy.

2. Agree strongly with statements on development assistance. And on gender issues, need tocontinue work of Secretary Clinton to ensure gender equity.

Sen. Jeff Flake (R-AZ)

1. The overseas contingency operations (OCO) account in the Department of State is requestingfunding outside the base budget. Talk regarding decreases in the budget does not alwaysreflect the reality because OCO funds are not included. The purpose of OCO is to providecontingency funding for unforeseen situations, but I understand it is being used long-term forSyria and Mali. What is your perspective on this? Kerry:

o This Presidents budget is improving the situation.o Department of States OCO fund is down 65%.o Overall the budget is a 6% decrease compared to FY2012.o The request for 150 account is $52.1 billion, including OCO.o This is $2.4 billion less than 2012 (4%) and $3.2 billion less than the 2013 CR

(6%).o There are trade-offs in some programs to create this, including food aid reform.o Three years ago, Congress responded to a downward trend in the foreign

assistance budget and a shift to Department of Defense by increasing StateDepartments budget by 25%.

o This got up to a 17% total and then stopped. Now it is going down.o Funding levels will never reach the 25% level, which is saddening.o Will come to this committee later, depending on what the president decides, to try

to reverse that.


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2. For funding to Syria and Mali, will that come out of the base budget or OCO? Kerry:

o Yes, if the base budget can handle it.o But given the fluid circumstances, there is uncertainty over the numbers.o The president has not yet implemented a strategy; he wants all options on the

table.

Sen. Tim Kaine (D-VA)1. What is the current outlook for the Middle East peace process?

Kerry:o Time is running out for a two-state solution.o Need for Israel to know the West Bank will not become another Gaza.o Palestinians need to know they can live in a secure state.o Need to get over years of mistrust and proceed with steady, quiet and patient

negotiations.2. The budget proposal reduces U.S. involvement in the Western Hemisphere, can you comment

on this? Kerry:

o There are pluses and minuses.o Resources have been redirected to training law enforcement and judges.o This is not a diminution of effort but a reemphasis.

Sen. Marco Rubio (R-FL)1. People read about Egypt and wonder why the U.S. continues to send aid. What are the

differences between aid to the military and aid to the government? And what is the strategicplan for foreign aid to Egypt? Kerry:

o There is dialogue with President Morsi about inclusivity and protection.o The U.S. has only delivered $190 million of the $1 billion in aid that was set as a

sign of good faith. Further aid is conditioned on progress.o Stability in Egypt also depends on economic reform.o Egyptian military has kept the peace with Israel, enforced security in the Sinai,

brokered the Gaza peace, and partnered with U.S. intelligence on a daily basis.

Sen. Chris Coons (D-DE)1. Generally pleased with the budgets proposals for Africa. Important to secure the promise of

U.S.-Africa trade and an envoy to the Democratic Republic of Congo (DRC). Very pleasedwith proposals to streamline food aid. PEPFAR is a significant component to the U.S. strategytowards Africa. What is your vision for PEPFAR to increase its impact? Kerry:

o PEPFAR is one of the great success stories in U.S. foreign assistance.o Realizing the potential of an AIDS-free generation.o 60% of carriers are women so important to prevent this transmission.o Need to move towards elimination in addition to prevention.o The president recognizes the need for full funding for PEPFAR.

2. Concern with Iran and Chinas charm offensive in Africa. Iran in particular may be seekingnatural resources from the continent. Is this a concern? Kerry:

o It is a concern; China is now investing more than the U.S. in Africa.


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o But they are principally interested in resources, which doesnt compete with U.S.interests.

o There will be a U.S. special envoy to the Sudan and the DRC.o Ten of the 15 fastest growing countries in the world are in Africa, so the U.S. must

do more to engage with the continent.

Sen. Chris Murphy (D-CT)1. Upsetting to see USAID workers leave Russia and other NGO staff moving out. This

corresponds to larger degradation in Russian civil society. What is the role of Congress andthe administration in promoting civil society in Russia? Kerry:

o There is constant effort on part of Congress and the administration to have animpact on civil society worldwide.

o Need to do this in ways that respect national sovereignty.o NGOs are having tough time in Russia with the countrys laws. But they could also

turn around and say the same about U.S. laws.o Russia has also been vital partner on issues like NATO, Afghanistan, Iran and

North Korea. Need this balanced perspective.

Sen. Rand Paul (R-KY)1. Elected officials are not turning people against foreign aid, they are already against it.

Domestic funds are in short supply and many of us find foreign aid offensive. It is stolen bycorrupt leaders like Mubarak and Mobutu. What is your position on this? Kerry:

o Good foreign aid programs dont do this.o Has some money been stolen? Absolutely.o But the biggest measure of aid effectiveness can be seen in reforms and

accountability mechanisms, and things like the Millennium Challenge Corporation(MCC) standards.

o Money hardly goes directly to governments but programs and implementing

partners; the U.S. speaks with countries like Pakistan to enforce this.2. Arming the Syrian opposition may prove costly because of the potential for radical Islam and

jihadists taking over. The U.S. should exercise caution in getting too involved in this war. Kerry:

o The president has not given lethal aid.o Need to be certain before committing resources, but the opposition is the best

representative of the Syrian people.

Chairman Robert Menendez (D-NJ)1. Cuts to funding for the Western Hemisphere are impacting U.S. issues, such as immigration

and narcotics. Concern regarding other actors filling the vacuum like China, Bolivia andVenezuela. What is the pathway for the U.S. to ensure the Venezuelans commit to democracy

and order a full audit of the recent election results? Kerry:

o Support idea of an audit to give the people confidence.o Western Hemisphere should not be regarded as a backyard policy issue.

2. There needs to be cooperation to bring the Disabilities treaty to the floor. Kerry:

o Disabilities treaty is one of the most undemanding commitments for the U.S.o Should address the questions already raised, like sovereignty.


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Ranking Member Bob Corker (R-TN)1. State Department still has four employees on paid leave over the Benghazi attacks. Can you

address this? Kerry:

o A report is forthcoming with recommendations that I will decide upon.

2. What is the current situation in Libya with regards to establishing justice? Kerry:

o Discussions with the FBI director are ongoing.o FBI has a number of suspects and the issue is a high priority.

Note: We did not include any recommended articles this week due to the length of the hearing summaries.

Documents

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