<DOC> [109 Senate Hearings] [From the U.S. Government Printing Office via GPO Access] [DOCID: f:24237.wais] S. Hrg. 109-327 NOMINATIONS OF STEWART A. BAKER AND JULIE L. MYERS ======================================================================= HEARING before the COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS UNITED STATES SENATE ONE HUNDRED NINTH CONGRESS FIRST SESSION ON THE NOMINATIONS OF STEWART A. BAKER TO BE ASSISTANT SECRETARY FOR POLICY, DEPARTMENT OF HOMELAND SECURITY, AND JULIE L. MYERS TO BE ASSISTANT SECRETARY FOR U.S. IMMIGRATION AND CUSTOMS ENFORCEMENT, DEPARTMENT OF HOMELAND SECURITY __________ SEPTEMBER 15, 2005 __________ Printed for the use of the Committee on Homeland Security and Governmental Affairs U.S. GOVERNMENT PRINTING OFFICE 24-237 PDF WASHINGTON : 2006 ________________________________________________________________________________ For Sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512-1800; (202) 512-1800 Fax: (202) 512-2250 Mail: Stop SSOP, Washington, DC 20402-0001 COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS SUSAN M. COLLINS, Maine, Chairman TED STEVENS, Alaska JOSEPH I. LIEBERMAN, Connecticut GEORGE V. VOINOVICH, Ohio CARL LEVIN, Michigan NORM COLEMAN, Minnesota DANIEL K. AKAKA, Hawaii TOM COBURN, Oklahoma THOMAS R. CARPER, Delaware LINCOLN D. CHAFEE, Rhode Island MARK DAYTON, Minnesota ROBERT F. BENNETT, Utah FRANK LAUTENBERG, New Jersey PETE V. DOMENICI, New Mexico MARK PRYOR, Arkansas JOHN W. WARNER, Virginia Michael D. Bopp, Staff Director and Chief Counsel Jennifer A. Hemingway, Professional Staff Member Joyce A. Rechtschaffen, Minority Staff Director and Counsel Adam R. Sedgewick, Minority Professional Staff Member Trina D. Tyrer, Chief Clerk C O N T E N T S ------ Opening statements: Page Senator Collins.............................................. 1 Senator Lieberman............................................ 7 Senator Warner............................................... 9 Senator Lautenberg........................................... 10 Senator Voinovich............................................ 11 Senator Levin................................................ 22 Prepared statement: Senator Akaka................................................ 29 WITNESSES Thursday, September 15, 2005 Hon. John McCain, a U.S. Senator from the State of Arizona....... 1 Hon. Charles Robb, former U.S. Senator from the State of Virginia 2 Hon. Pat Roberts, a U.S. Senator from the State of Kansas........ 4 Stewart A. Baker to be Assistant Secretary for Policy, U.S. Department of Homeland Security................................ 12 Julie L. Myers, of Kansas to be Assistant Secretary for Immigration and Customs Enforcement, U.S. Department of Homeland Security.............................................. 14 Alphabetical List of Witnesses Baker, Stewart A.: Testimony.................................................... 12 Prepared statement........................................... 31 Biographical and professional information.................... 33 Pre-hearing questions and responses.......................... 39 Post-hearing questions and responses......................... 123 McCain, Hon. John: Testimony.................................................... 1 Myers, Julie L.: Testimony.................................................... 14 Prepared statement........................................... 84 Biographical and professional information.................... 86 Pre-hearing questions and responses.......................... 92 Post-hearing questions and responses......................... 149 Robb, Hon. Charles: Testimony.................................................... 2 Roberts, Hon. Pat: Testimony.................................................... 4 NOMINATIONS OF STEWART A. BAKER AND JULIE L. MYERS ---------- THURSDAY, SEPTEMBER 15, 2005 U.S. Senate, Committee on Homeland Security and Governmental Affairs, Washington, DC. The Committee met, pursuant to notice, at 10:36 a.m., in room SD-342, Dirksen Senate Office Building, Hon. Susan M. Collins, Chairman of the Committee, presiding. Present: Senators Collins, Voinovich, Warner, Lieberman, Levin, and Lautenberg. OPENING STATEMENT OF CHAIRMAN COLLINS Chairman Collins. The Committee will come to order. Good morning. Today the Committee will consider the nominations of two individuals to fill key positions at the Department of Homeland Security: Stewart Baker to be Assistant Secretary for Policy; and Julie Myers to be Assistant Secretary for Immigration and Customs Enforcement. I know that both nominees are very honored to have with them today two of our current colleagues and one of our former colleagues to introduce them. I also know that those who are undertaking that duty are on very tight schedules. So what I am going to do is call on our colleagues for their introductions so that they can go on with their day, and then we will resume our opening statements and proceed with the hearing. We very much appreciate that the distinguished Senator from Arizona, Senator John McCain, is here, and I will call on him first to introduce Mr. Baker. STATEMENT OF HON. JOHN McCAIN, A U.S. SENATOR FROM THE STATE OF ARIZONA Senator McCain. Thank you very much, Your Majesty--I mean Madam Chairman. I am glad to be here, given the bitter partisanship that exists on this Committee between you and Senator Lieberman, I am pleased to act as mediator here today at this hearing. Chairman Collins. I think I will resume my opening statement after all. Senator Lieberman. I do want to say for the record that I did say to Mr. Baker a moment or two ago that until I learned that you were introducing him, Senator McCain, his nomination looked like it was going to sail through. Senator McCain. I thank you both, and I am very pleased and proud to be here with our colleague, Senator Chuck Robb, who served in the most distinguished fashion, along with Judge Silberman, on the Commission on Weapons of Mass Destruction. I believe that Commission did an admirable job and provided this Nation with much needed information and recommendations as to how we can improve our intelligence capabilities to a point where Americans can regain confidence in it. I was very pleased to serve under the chairmanship of Senator Robb. I am really here today not only because I have known Stewart Baker for a long time, but because of the outstanding job that he did on the Weapons of Mass Destruction Commission. He staffed it with ability, making use of his extensive background on national security issues. Before that he served as the General Counsel for the National Security Agency. As my colleagues all know, who have served on commissions, the most important aspect of it is valuable use of the commission's time. I believe that Stewart provided us with both the kind of witnesses, information, and background that was necessary for us to be able to make informed conclusions. I believe he will do a superb job in the Department of Homeland Security. Obviously, there is going to be some significant review and scrutiny of the Department of Homeland Security. I think he will serve with distinction. I am very proud to join my friend, Chuck Robb, here today in strongly recommending him. I thank the Committee for their courtesy in allowing me to be here to introduce him. Chairman Collins. Thank you, Senator. Senator Robb, welcome back to the Senate. We are very pleased to have you here today. Please proceed with your remarks. STATEMENT OF HON. CHARLES S. ROBB, FORMER U.S. SENATOR FROM THE STATE OF VIRGINIA Senator Robb. Thank you, Madam Chairman and Senator Lieberman, and my friend and colleague and the Chairman of the Armed Services Committee, Senator Warner, and other Committee Members as they arrive or will read in detail every word that is uttered in this particular hearing to ensure that none but the finest serve our government in these critical capacities. I am delighted to be able to join my longtime friend and former colleague, John McCain. I must thank him. Normally when we are together, there is something that is derogatory about the Navy/Marine Corps team in which I end up being less flattering than I was just a minute ago by the distinguished Senator from Arizona. I must say that Senator Warner, as you know, does not ever have that problem. He is, I think, the only Member of this body that served in both of those branches of the service. So I am delighted to be here before you. I am particularly pleased to join you in formally introducing and wholeheartedly recommending Stewart Baker for this position with the Department of Homeland Security. As Senator McCain just mentioned, we had the opportunity to work with Stewart for the better part of a year-and-a-half in putting together the report that was the result of a very serious effort by some very talented people. And we needed a quarterback for the wordsmithing. In particular, we needed somebody that could bring together a group of extraordinarily talented young lawyers and others who were going to help us pull this document together. Senator Voinovich, good to see you, sir. We sought a number of recommendations for who we might ask to serve as general counsel. Everyone that we talked to had a number of recommendations, but if you could get Stewart Baker, it is really going to be a real plus. And until that time, I had only known Stewart Baker by reputation. But what a reputation. He proved that time and again during his service with us. He was able to reconcile disparate views that came up from time to time as to either whatever findings we might make or particularly whatever recommendations in terms of going forward. And his leadership of the drafting team to put together the report that was delivered to the President and to Members of Congress was superb. I would just simply say that I have known many of the people in this town, which has an overabundance of over achievers. And even in that distinguished group, Stewart Baker has always stood out. And he continued to excel in the work that he did for us. Senator McCain alluded to just a few of the roles that Stewart Baker has played over the years in providing leadership for a whole variety of national security interests. I do not think anyone would take issue with the need at this time for really first-rate individuals in providing leadership for the Department of Homeland Security. The President has nominated someone that I believe, and I think all of those, and there are several people who worked with and for Stewart Baker, who are sitting behind us today, would all agree provided the kind of leadership, the kind of direction, and is so articulate, so eloquent that I am absolutely certain that he will serve yet again his country with distinction in a very challenging time, in a very challenging role. I will simply conclude by saying thank you for allowing me to come back for this privilege. And I hope it will be the privilege of the entire Committee to recommend Stewart Baker to the full Senate for confirmation so he can get on the job. It is clear we have work to do in that area. Thank you, Madam Chairman and Members of the Committee. Chairman Collins. Thank you very much. Senator Robb. Senator Levin and Senator Lautenberg, you just arrived. I am delighted to see all of you as former colleagues and remaining friends. Chairman Collins. Thank you, Senator Robb. Your endorsement and that of Senator McCain means a lot to this Committee. We would be happy to excuse you both now if you would like and thank you for taking the time to be here today. Senator Warner. Madam Chairman, before they depart, may I associate myself with the remarks by Senator McCain about Senator Robb's work on this Commission. We were strong partners on a team in the years that he served here in the Senate. That will always be the case. Thank you for coming up on behalf of such a distinguished, well-accomplished nominee. Chairman Collins. Thank you, Senator. Senator Robb. Madam Chairman, I thank the distinguished Senator from Virginia. And with that I will depart and leave you to his tender mercies. Senator Roberts. Do you mean before I make my statement? Is my fellow Marine going to leave me? Senator Robb. Madam Chairman, I am not going to depart until my former Marine over here makes his statement. Chairman Collins. Senator Roberts, we are very pleased to have you with us today, the distinguished Chairman of the Senate Intelligence Committee. STATEMENT OF HON. PAT ROBERTS, A U.S. SENATOR FROM THE STATE OF KANSAS Senator Roberts. Actually, that is classified, Madam Chairman. I do not know how to top John McCain in addressing you. I do not know how to top John McCain period. I thought maybe exalted leader and protector of western civilization. Chairman Collins. That would be adequate. Senator Roberts. I appreciate that. Senator Lieberman and my distinguished Chairman of the Armed Services Committee, Senator Levin, the Inspector General of the entire government, and Senator Lautenberg, I am honored to be here today to introduce a fellow Kansan whom the President has nominated to be the Assistant Secretary of Homeland Security for the Bureau of Immigration and Customs Enforcement. That used to be INS, it is now called ICE. We do a lot in changing the acronyms around here, but we do not want to break the ICE but we sure want to fix it. Julie Myers is a native of Shawnee, Kansas. She received her Bachelor of Arts degree from Baylor University in Texas and her law degree from the law school at Cornell. Ms. Myers served as the Assistant Secretary for Export Enforcement at the Department of Commerce. As Assistant Secretary she did develop and coordinate the Department's efforts to prevent sanctions violations of U.S. dual-use export control laws and the anti-boycott provision of the Export Administration Act. No easy task. She managed special agents throughout the country and she oversaw the Export Enforcement's International Attache Program. Ms. Myers served as the Chief of Staff of the Criminal Division for Assistant Attorney General Michael Chertoff at the Department of Justice, and as the Deputy Assistant Secretary for Money Laundering and Financial Crimes at the Department of Treasury. There she fought against the financiers of terrorism and implemented a national strategy to combat money laundering. She also served as an Assistant U.S. Attorney in the Eastern District of New York, where she prosecuted financial criminals, and as a deputy to Independent Counsel Kenneth Starr. Madam Chairman, my observation is that Kansas has been the home of a great many public servants, especially in law enforcement. Who can forget the legends of Wyatt Earp and Bat Masterson in my hometown of Dodge City. Their efforts really helped clean up my hometown and the rest of Kansas. I knew Wyatt Earp and Bat Masterson, and Julie could ride shotgun with these guys anytime. I am sure that she, armed with her knowledge and passion for our judicial system, will enforce immigration and customs laws and policies with a firm and fair hand. I think it is a privilege for me to sit by this young lady. She is getting married the day after tomorrow, so I am very hopeful we can expedite her confirmation and get her and John to the church on time. Thank you, ma'am. Chairman Collins. Thank you, Senator. Your endorsement means a great deal to this committee. I know that you have an extremely busy schedule, so if you need to leave right now, and take Senator Robb with you, that would be acceptable to this Committee. Senator Roberts. Thank you very much. Chairman Collins. We are now going to resume opening statements. Secretary Chertoff has said that the Department of Homeland Security was not created merely to be a big tent under which a lot of different organizations would be collected. It was created to put together a dynamic organization that would pursue missions in furtherance of homeland security and that would bring together all levels of government in order to execute those missions in an integrated and comprehensive manner. This Committee envisioned precisely that type of multi- jurisdictional integration when it created the Department of Homeland Security. We have just observed the fourth anniversary of the event that led us to undertake such a profound reorganization of government. Yet over the last two weeks we have seen a significant failure in the emergency preparedness and response system that the Department was supposed to strengthen. Hurricane Katrina was a natural disaster, but the devastation, suffering, and deprivation this powerful storm left in its wake was compounded by the failure of all levels of government--local, State, and Federal--to prepare and respond in a unified, integrated way. Two months ago, Secretary Chertoff released the Department's Second Stage Review, a document that seeks to refine and reconfigure the Department in light of what has been learned during its first 2 years of operations. Among the changes proposed by the Secretary is the creation of a Directorate of Planning and Policy. The intent of this new directorate would be to develop a more comprehensive approach to policy and planning, and to bring the various components of DHS, as well as its local and state partners, together under a unified vision. I support the establishment of this office as the focal point of policy planning within the Department. I think the Department's recent handling of Hurricane Katrina indicates that need for more coordination, both within the Department and also with its State and local partners. As Assistant Secretary for Policy, Mr. Baker would be directly responsible for establishing priorities and for seeing that they are implemented on a wide range of homeland security issues. This is obviously a considerable challenge for a department as large and wide-ranging as the Department of Homeland Security, and Mr. Baker brings strong credentials to the task. As has been indicated, he recently served as the General Counsel of the Commission on Intelligence Capabilities of the United States Regarding Weapons of Mass Destruction, where he headed the drafting team for the Commission's report. He served formerly as the General Counsel of the National Security Agency and as the Deputy General Counsel of the Department of Education. Earlier in his career, Mr. Baker served as a law clerk to Justice John Paul Stevens. I am pleased to note that Mr. Baker lived in Portland, Maine, while clerking for the esteemed Maine jurist, Judge Frank Coffin. Nothing is more crucial to the safety of the American people, our economy, and the principles upon which our Nation stands than the borders that are closed to our enemies yet open to our friends. The United States has some 6,000 miles of international border, some 600 of which are in my home state of Maine. I know full well both the vulnerability that these vast borders present and their importance to commerce and to our society. Effective immigration and customs enforcement is essential if this balance among protection, commerce and values is to be struck. The State, local and Federal partnership we envision also is essential. When we speak of DHS components that have new and challenging homeland security missions to carry out in addition to vital traditional missions, and that we must forge a real partnership with State and local authorities, ICE comes immediately to mind. From fraudulent identification to illegal immigration, from cargo container security to trade in counterfeit consumer goods to finance terrorism, this Committee has investigated and examined many of these new challenges. In addition to ICE's responsibility for enforcement of Federal immigration and customs laws, its expanded mission includes the prevention of acts of terrorism by targeting the people, money, and materials that support terrorist activities. ICE actively seeks to combat drug trafficking, human smuggling, and international trade in child pornography, as well as terrorism. That ICE is the largest investigative arm of the Department is evidence of the scope and importance of its broad mission. Julie Myers would bring experience and the confidence of Secretary Chertoff to this mission. She has served as an Assistant Secretary of Commerce for Export Enforcement, as the Deputy Assistant Secretary for Money Laundering and Financial Crimes at the Department of Treasury, and also worked as an Assistant U.S. Attorney in the Eastern District of New York. Like Mr. Baker, Ms. Myers comes before this Committee at a time when the position she seeks may be on the brink of a substantial change. As part of the Second Stage Review, Secretary Chertoff has also proposed breaking up the Border and Transportation Security Directorate and splitting ICE and Customs and Border Protection into two independent units that will report directly to the Secretary. I would be interested in hearing Ms. Myers' thoughts on this proposed reorganization. I want to thank both of the nominees for their past service to their country and for their willingness to continue to serve in very challenging capacities. I look forward to questioning them today. Senator Lieberman. OPENING STATEMENT OF SENATOR LIEBERMAN Senator Lieberman. Thanks very much very, Madam Chairman. I join you in welcoming Stewart Baker and Julie Myers to the hearing today. This Committee authored the original legislation to create the Department of Homeland Security, so we have a real and personal interest in seeing the Department realize its full potential. Both of the positions for which you have both been nominated present great opportunities and great challenges. I would like to briefly touch on a few of the concerns that I have about issues facing both of these offices. First to Mr. Baker. When we created DHS, one of the guiding principles was to bring greater cohesion to Federal homeland security missions that were then splintered among many different agencies. I have been thinking in the days since the unsatisfactory performance post-Hurricane Katrina, as people are beginning to pick the Department apart, that we ought to remind people why we created the Department. It is because there was disorganization before. And the reaction to what seems to have been an inadequate performance is not to go back to disorganization. It is to fix the organization, I think, to make it work better. In the early years of the Department clearly, and in some ways understandably, the initial goal of bringing all of those disparate missions together has not been fully realized, not realized as we had hoped. The Secretary has lacked the central staff and structure to chart Department-wide strategy and policy, which could then be carried out in a coordinated way by the many components of the Department. This shortcoming has come to the forefront in a number of recent examinations of the Department, including an oversight hearing that we, in this Committee, held in January of this year. Now Secretary Chertoff, in conducting his own internal review of the Department, has concluded that the Department needs a central policy shop. Mr. Baker, of course, has been nominated to lead that office for the entire Department. Ultimately we know Secretary Chertoff seeks legislation to elevate the office to become an under secretary for policy, overseeing not only the immediate office but also offices for international affairs, strategic planning, private sector, immigration statistics, as well as a new coordinator for asylum and refugee issues. I believe the creation of a central policy office is a real step forward, and certainly a step toward setting clear priorities for the Department and realizing some of the potential we envisioned when we created the Department. The Department again, perhaps understandably, in its early months has often been driven by the crisis of the day. It is essential therefore for this Department particularly to build a long-term strategic planning capability and to develop policies that will set clear enforceable priorities for many of the components of our homeland security effort. That effort will transcend any one purpose or office at the Department of Homeland Security. But the new policy office will, I think, be an essential core element to our building those capacities. I have some questions about some of the details of the proposed new policy, and I am concerned that the Administration has not proposed adequate staffing for the new office that Mr. Baker would hold, given the breadth of issues that it must address. I am thinking particularly in the area of immigration policy. I will take the liberty to ask some questions of Mr. Baker on that. For Ms. Myers, the Bureau of Immigrations and Customs Enforcement, ICE, is a vitally important agency with a daunting combination of missions. The defense of this Nation from terrorist attacks should be the highest priority and the Agency's Immigrations and Customs investigators have an important role to play in cracking down on human smuggling and money laundering activities that benefit the terrorists. ICE was created again through an internal reorganization after the new Department itself was established. The new Agency required integrating the missions and cultures of what were once core customs programs at Treasury and core immigration programs at INS. The Agency, I think by most accounts, has gotten off to a rough start, in part because planning errors led to big budget shortfalls for its operations. While we have been given assurances that these management issues are being resolved, I do want to note that the concerns still abound, including I must say, among some employees of ICE who believe that the current structure is hampering their ability to do their work. Indeed, as you probably know, Ms. Myers, there is an active debate as to whether the decision to split ICE from Customs and Border Patrol is fundamentally flawed and ICE should now be recombined with Border Protection. Although Secretary Chertoff did not recommend that as part of the Second Stage Review, I understand this is not necessarily a closed issue within the Department, and I want to say to you that it is not a closed issue either with Members of the Committee or Congress, including myself. The Homeland Security Act requires that the Assistant Secretary for this post have a minimum of 5 years of professional experience in law enforcement and 5 years of management experience, both being important, as you can tell from what you know and what I have said. You bring to this nomination a very impressive record. You are a very accomplished individual. I do want to say to you that I am going to ask you about your management experience and ask you to make the case for why you believe you satisfy the requirement of the 5 years of management experience that is uniquely required by statute for this position. I want to say just a final brief word, and I am not going to go until the length that I have in my statement because I have gone on long enough. ICE is responsible for, as you know, apprehending undocumented immigrants, detaining and deporting them. This is a very critical and difficult mission, also requiring priority setting. ICE has tried to focus its enforcement resources on detaining high priority aliens such as criminal offenders and those who work at sensitive facilities like airports or nuclear power plants. There are approximately 10 million undocumented immigrants in the country and 18,000 detention beds. Clearly, we have got to utilize those beds for those who pose the greatest risk to the community and the highest probability of flight. For many of the other individuals who are apprehended and who must await a hearing before an immigration judge, I believe we should utilize supervised release programs as alternatives to detention. The final point I made in the meeting I had with you, the Commission on International Religious Freedom, on which I was pleased to play a part along with our former colleague Don Nickles in creating, put out a report earlier this year that was very critical of our handling, the government's handling, this section's handling, of those who seek asylum in this country based on religious bigotry, or worse torture, in the countries from which they come. And I hope that if you are confirmed for this position that you will take a close look at that and see if you cannot do what we promise, including on the base of the Statue of Liberty, to welcome those who seek asylum for exactly those reasons in this country of liberty. Thank you very much. I look forward to the questioning. Chairman Collins. Thank you. Do any of my colleagues have comments they would like to make? We were not clear about that in informing your staffs, so if someone does have some opening remarks, I would call on them to make their remarks at this time. Senator Warner. Madam Chairman, if I could just exercise a few minutes? Chairman Collins. Senator Warner. OPENING STATEMENT OF SENATOR WARNER Senator Warner. First, I want to say that these two individuals come before this Committee and the Senate as a whole with extraordinary credentials of achievement. It is a great credit to the Administration to continue to attract people of this standing to continue public service and participate in it. Also Judge Chertoff, I call him judge because I was a law clerk to a circuit judge like you were, Mr. Baker, in my lifetime, both of you. And I have high regard for him. And I would hope that as we look at this new Agency, largely created here in this Committee by these two distinguished leaders that preside over the Committee today, we may do the fine-tuning here and there. But I would be hesitant to try and do a major dismantling of it at this time, is my thought on it. But Mr. Baker, looking back over your credentials, I would urge that one of your first priorities be to look at the control of the expenditures and the accountability of the expenditures. We are really without precedent, the amount of money that has been appropriated. It is going, I guess, primarily to FEMA, but other institutions in there. Do watch that because that will undermine the credibility of the future of the Agency faster than anything else with regard to Congress. To you, Ms. Myers, what a marvelous career. I had a burst of exceptional service at a young age, but you do not worry about it a bit. As a former U.S. Assistant Attorney, I would like to take your case if there is any question about the manager in which you have achieved. I bet we can meet that 5- year statute. Good luck to both of you. I thank the Chairman and the Ranking Member. Chairman Collins. Thank you, Senator. Are there any additional statements? Senator Lautenberg. Just a quick comment. Chairman Collins. Senator Lautenberg. OPENING STATEMENT OF SENATOR LAUTENBERG Senator Lautenberg. Madam Chairman, with all of the laudatory comments made about these two individuals, my presumption is that you will be confirmed and that we will have a chance to ask a few questions that will challenge--sorry, it is not pointing the right way. And I come out of the technology business. But I do want to say that I am pleased that we are taking a look toward the inside of the Department in each of your respective or prospective assignments. And I think that it is fair to say that while marvelous work was done to get this Department established, and I commend Chairman Collins and Senator Lieberman for the pressure they put on all of us and Members of the Committee to get the job done. It was done hurriedly, not wastefully, I believe. However, I think it is fair to say that a transaction as complicated as the creation of this Department will still have--I will call it a gestation period--for some time. Part of what creates legislation and change here is reaction to things in the past and what happened and where did something go awry. To see a resignation by the head of a major agency in the midst of crisis has us kind of--has me anyway, sitting back and taking a look and say hey, why did this happen? Though the individual, Mr. Brown, was vetted by this Committee and I think took a pretty good look at his career and his qualifications, nevertheless it seems that he was over his head. And I am not sure that keeping the head above water in this case is actually an attainable condition. Because when you--and I will use the term loosely--crash together so many departments, so many people, so many assignments, so many variables in the world in which we are living--we are beginning to discover that more and more--that I think that we will be taking and continue to take long looks at what the Department is going to finally look like. I commend the decision to create a policy position and to get the ICE position squared away. In my mind, it raises kind of a generic question. At what point does DHS have law enforcement, the enforcement arm of the Department, in the appropriate house to get that done? Because these assignments can often be given out to other departments that have a little narrower but more manageable--I found in my business experience that smaller units were always more efficient and more effective. So we will watch with interest. And I think that in your case, each of you will be part of not only better management but also create policy, opportunities to engage in policy decision and make recommendations from your respective perches, if I can use the term, to make recommendations as to what you think might help us run this giant department more efficiently. I thank you, Madam Chairman. Chairman Collins. Thank you, Senator. Senator Voinovich. OPENING STATEMENT OF SENATOR VOINOVICH Senator Voinovich. Thank you, Madam Chairman, for holding this hearing today and considering these two nominees for positions in the Department of Homeland Security. Ms. Myers and Mr. Baker, I would like to thank you both for your service and your willingness to continue serving in appointed positions. I recognize the sacrifice that you and your families have made. If there are family members present, I want to thank them for their sacrifice so that you can serve. Madam Chairman, the events of the last several weeks dramatically highlight the need to have highly competent men and women in the senior positions of our government. They must be leaders with top-notch experience, managers with good interpersonal skills including having keen judgment, and individuals with policy expertise in the areas in which they will be working. These two nominees also have an additional challenge. The Department of Homeland Security is still trying to come together as a cohesive entity 2 years after its establishment. The new Secretary recognizes that and has established his recommendations for the Second Stage Review. He has recommended a policy office. Mr. Baker, you have been nominated to lead this office. I was encouraged by your resume and pleased to hear all of the wonderful comments about your experience. But you have some very serious challenges in this Department. Yesterday, I said that it is time for us to get into the bowels of the Department of Homeland Security. One method of doing that is making sure that you have the tools you need to get the job done. Part of that is people. Do you have a sufficient number of people to get the job done? The other part of that is the competency of the individuals in the respective departments. I have learned from my past experience as a mayor and governor that you are only as good as the team that you have. Far too often I have noticed in the Federal Government, we ask people to do the job and then do not give them the people the training they need to do the job. We must have good and competent individuals for positions of such importance. This is a very serious matter that we are undertaking; one that directly affects national security. I am concerned about where we are today. I am hopeful that under the direction of Secretary Chertoff, the Department will move forward and get the job done for the American people. Thank you. Chairman Collins. Thank you. Senator Levin. Senator Levin. Thank you, Madam Chairman. Chairman Collins. Thank you. Both of our nominees have filed responses to biographical and financial questionnaires, answered pre-hearing questions submitted by the Committee, and had their financial statements reviewed by the Office of Government Ethics. Without objection, this information will be made part of the hearing record with the exception of the financial data which are on file and available for public inspection in the Committee offices. Our Committee rules require that all witnesses at nominations hearings give their testimony under oath. I would ask the nominees to please stand and raise your right hand. Do you swear that the testimony you are about to give to the Committee will be the truth, the whole truth, and nothing but the truth, so help you, God? Mr. Baker. I do. Ms. Myers. I do. Chairman Collins. You may be seated. Mr. Baker, I understand that you have family members present, and I would invite you to introduce them to the Committee. Mr. Baker. I would be delighted to. My daughters Katie and Meg are here, both from other cities. And I am delighted to have them here. Chairman Collins. We welcome you. We are delighted to have you here, as well. I understand, Ms. Myers, that you also have some family members present? Ms. Myers. That is correct, Chairman. I am pleased to introduce my parents, David and Kathy Sinzheimer, who are in from Kansas City; my fiance, John Wood; and my future in-laws, Bob and Elizabeth Wood. Chairman Collins. Are they all here for the wedding preparations, as well? Ms. Myers. They are. This coincided very nicely for that. Chairman Collins. We welcome them, also. Mr. Baker, I would ask that you proceed with your statement. TESTIMONY OF STEWART A. BAKER,\1\ TO BE ASSISTANT SECRETARY FOR POLICY, U.S. DEPARTMENT OF HOMELAND SECURITY Mr. Baker. Thank you, Madam Chairman and Members of the Committee. --------------------------------------------------------------------------- \1\ The prepared statement of Mr. Baker appears in the Appendix on page 31. The biographical and professional information appear in the Appendix on page 33. The pre-hearing questions and responses appear in the Appendix on page 39. The post-hearing questions and responses appear in the Appendix on page 123. --------------------------------------------------------------------------- It is really an honor to have been nominated for this position. But I have to say that it is a daunting prospect. I think Senator Voinovich accurately stated how high the stakes are. The Department is still inventing itself. We will have to invent the Policy Office, as well. And we are doing that against a backdrop of terrorists who are determined to kill as many Americans as they can, and a natural disaster that compares to the Chicago fire and the San Francisco earthquake, the kind of thing you hope only happens once in a 100 years. It shows what the stakes are for this job and suggests that any mistake is going to be costly. The job description ought to require perfection, and I am quite keenly aware that I am not perfect. And even if I were not aware of that, both of my daughters, as daughters will, are glad to remind me. So the real question, I think, is why you would want to take a job where you are guaranteed to make mistakes that will have that kind of cost? I think the best answer to that is something that happened to me after I agreed to do this. When he heard it, the guy who has the office just two doors down from me gave me an E-mail from his best friend. It was an ordinary E-mail about his best friend's wedding, saying ``Tuxedos for my groomsmen will be supplied by Zeller Tuxedo, which has locations all over the Tri-state area. See the website. Just go to one of the locations and get fitted. Do this please by September 20.'' About 5 or 6 minutes after he got that E-mail, my friend sent back a note teasing Peter Frank, who sent it to him, over having lost his wallet at the bachelor party. The return E-mail never arrived. Because in that 5 or 6 minutes, American Airlines Flight 11 hit just one flight above Peter Frank's office. Instead of a wedding, of course, there was only a memorial service. We have all been touched by this event, and we face a long struggle with an enemy that wants to have Peter Franks every day die in this country. If you want to be part of that struggle, it seems to me, the Department of Homeland Security is the place to be. I do want to be part of that struggle. And that is why I am so thrilled to have the opportunity to join this Department. I will not dwell on my professional background. It is in my prepared statement. I would be glad to talk about some of the ideas that I have for ways in which the Policy Office could, as Senator Lieberman suggested, help to unify the different components of the Agency. I think that is a vital task for this office. Instead of dwelling on either of those things, I would just like to say two things about the people I will be working for. When I talk to young associates who are thinking about going into the government, I tell them it really does not matter what the position description is. It does not matter what your title is going to be. You really only have to ask, ``Do you respect and like the people that you are going to work for? '' If you do, you are going to have a great time and you are going to accomplish a lot. If you do not, it will be a miserable experience. I applied that test when I took this job, as well. I have known Michael Chertoff for a decade. I like him. I respect him. He is a fine leader, a terrific intellect. I have seen Michael Jackson tested in the last few weeks, and I have great respect for him, as well. So I am delighted to be joining their team. And I guess last, I would say I am delighted to be working with this Committee, which has a great tradition of respect for each other, and an assumption that everyone is working for the same goal, the safety of the American people. And I can assure you, I will treat all of you with precisely that attitude. If you have any questions about any policy that we may adopt or may be thinking about or that you think we should adopt, just call me. I am glad to talk to any of you in the same spirit in which this Committee operates. Thank you. Chairman Collins. Thank you. Ms. Myers. TESTIMONY OF JULIE L. MYERS,\1\ TO BE ASSISTANT SECRETARY FOR IMMIGRATION AND CUSTOMS ENFORCEMENT, U.S. DEPARTMENT OF HOMELAND SECURITY Ms. Myers. Thank you, Chairman Collins, Senator Lieberman, distinguished Members of the Committee. --------------------------------------------------------------------------- \1\ The prepared statement of Ms. Myers appears in the Appendix on page 84. The biographical and professional information appear in the Appendix on page 86. The pre-hearing questions and responses appear in the Appendix on page 92. The post-hearing questions and responses appear in the Appendix on page 149. --------------------------------------------------------------------------- I am honored and humbled to be before you today, to see the confidence that Secretary Chertoff and the President have shown in me by recommending me for the position of Assistant Secretary for Immigration and Customs Enforcement. ICE is very fortunate to be staffed with tremendous law enforcement agents, lawyers, analysts and support staff. I have had the privilege of working with them as an Assistant U.S. Attorney in Brooklyn, as a Deputy Assistant Secretary for Money Laundering at the Treasury Department, as Chief of Staff for Michael Chertoff, and as Assistant Secretary for Export Enforcement at the Commerce Department. If confirmed, it would be my privilege to work with them again on our most important objective. That objective could not be more important. ICE plays a vital role in ensuring that the American people are kept safe by ensuring that our facilities, our Federal facilities, are secure, and that our customs and immigration laws are effectively enforced. Collaborating with other agencies, ICE plays an essential role in preventing terrorist attacks by preventing exploitation of our customs and immigration systems, but by doing so in a way that ensures confidence in our immigration system and our rule of law. With respect to ICE's immigration enforcement mission, the Agency operates amidst immense challenges. According to some estimates, there are approximately 11 million illegal aliens in the United States and approximately 500,000 more coming every year. The vast majority of these aliens come, understandably, because the promise of America is so great. And there can be no question that the process of entering and gaining citizenship is long and frustrating for many of these individuals. But inevitably, a few illegal aliens come for far worse reasons. They break one law by entering this country in order to break more laws once they are here: To exploit children, to smuggle more people into the country, sometimes in the most inhumane circumstances possible, to deal in narcotics, and yes to commit acts of terrorism. First and foremost, ICE is committed to finding, prosecuting, and removing these aliens. If confirmed, this will be my top priority. But ICE also has a more general responsibility to ensure that those who do seek to play by the rules are afforded and ensured that they get a fair and respectful treatment. I am talking about newly naturalized citizens who apply for applications to sponsor their relatives for admission, those persecuted in their home countries who apply for asylum and work their way through the review process, and employers that refuse to hire an individual without proper documentation. We must find a way to honor our American tradition of welcoming newcomers from other lands while at the same time addressing the weaknesses in our immigration system. And strong and effective enforcement of our immigration laws is the way to do just that. As the senators noted, ICE's immigration mission is only one part of its overall role. ICE has many other critical enforcement missions. If confirmed, I will work to ensure that these missions also receive priority. I am particularly interested in ICE's significant role in money laundering, building upon the work that they have done to ensure that criminals and terrorists do not execute schemes through the financial systems to cause us harm. And also to focus on sensitive technologies. With respect to my background and experience, I have always been interested in law enforcement and was privileged to serve as an Assistant U.S. Attorney in Brooklyn. Since that time, I have worked continuously in the field of law enforcement, in many of the areas that relate to ICE's core mission. I have tried criminal cases, and worked on everything from simple smuggling cases to complex money-laundering investigations to complex security fraud cases. I have worked with the former INS system, trying to get criminal witnesses paroled into this country, worked with them on setting detainers, and worked with them in many other matters. Since I have joined the Administration, I have had the privilege to work on issues that intersect with ICE's law enforcement mission at the Treasury, Commerce, and Justice Department. With respect to my management experience, my key management experience lies in my experience as Assistant Secretary at the Commerce Department, the Chief of Staff for Michael Chertoff, and as a Deputy Assistant Secretary at the Treasury Department. At the Commerce Department, I am pleased to say that my management style produced results. I was able to focus and target the agents on working on the most strategic violations, those that involved violations of our export laws that concern national security. Under my leadership, the Agency more than doubled its civil enforcement cases, as well as brought some of its most significant criminal cases, such as the Asher Karni smuggling investigation. I would be pleased to answer any questions you have and I welcome, as Stewart Baker said, this immense challenge. Thank you. Chairman Collins. Thank you, Ms. Myers. I am going to start my questioning with the three standard questions that we ask of all nominees. First, is there anything that you are aware of in your background which might present a conflict of interest with the duties of the office to which you have been nominated? Mr. Baker. Mr. Baker. No, I am not. I have gone through a recusal process with respect to past representations that is satisfactory to the Office of Government Ethics, and I will adhere to those rules. But there is no barrier to carrying out my duties. Chairman Collins. Ms. Myers. Ms. Myers. No, I am not aware of any problems there. Chairman Collins. Second, do you know of anything personal or otherwise that would in any way prevent you from fully and honorably discharging the responsibilities of the office to which you have been nominated? Mr. Baker. Mr. Baker. No. Chairman Collins. Ms. Myers. Ms. Myers. No. Chairman Collins. Third, do you agree without reservation to respond to any reasonable summons to appear and testify before any duly constituted committee of Congress, especially this one, if you are confirmed? Mr. Baker. Mr. Baker. Yes, I will. Chairman Collins. Ms. Myers. Ms. Myers. Yes, Chairman Collins. Chairman Collins. We will now begin a round of questions limited to 6 minutes each. Ms. Myers, you talked about your management experience but, like Senator Lieberman, this is an issue that I want to pursue further with you. If confirmed, you will head the second largest investigative agency in the entire Federal Government. The Agency that you have been nominated to lead has more than 20,000 employees and a budget of approximately $4 billion. The Homeland Security Act specifically requires that the head of ICE have a minimum of 5 years management experience. In writing this law, this Committee did not put in similar requirements for many of the other positions but recognized that this agency is a huge management challenge. It is evident from looking at your resume and hearing your testimony that you have considerable legal experience. You have terrific experience in trying cases, and in investigations. But I still have not heard very much about direct management experience. Could you expand on the management role that you played, specifically the number of employees you supervised, the management challenges that you have taken on including oversight of budgets? I am particularly interested in your response given ICE's financial and management challenges. Ms. Myers. Absolutely, Chairman Collins. With respect to my work as Assistant Secretary at the Commerce Department over export enforcement, I supervised a nationwide law enforcement agency that had field offices in nine cities, as well as an international presence, with five attaches overseas. In that capacity, I had direct responsibility for a budget of approximately $25 million and approximately 200 full-time employees. My experience at the Commerce Department helped me develop a style for managing a regional law enforcement program. In other words, how do you effectively manage folks who are in San Francisco if you are here in Washington, DC? We were able to do this by ensuring that all of the employees throughout the Agency knew what the mission was, what the most important things to accomplish would be, and how they would be rewarded. I would seek to take this same management style and apply it at ICE. With respect to my work at the Department of Justice, I served as Chief of Staff for Michael Chertoff. The Criminal Division has approximately 500 lawyers and a budget of over $120 million. In my capacity as Chief of Staff for Michael Chertoff, I directly supervised the Office of Administration, which oversaw the budgets. I had a lot of experience at that time working with a tight budget, looking at where there are difficulties and problems and making sure we squeezed the most out of our very limited Federal resources. In addition, as Chief of Staff I had a bird's eye view not only into the Secretary's management style but also into how different deputy assistant attorney generals supervise cases and run things in a way that is most effective. I believe it is fair to say that it was based on my performance at the Justice Department that Secretary Chertoff recommended me for this job and believe that I have sufficient qualifications for this job. At the Treasury Department, I was Deputy Assistant Secretary for Financial Crimes. In that capacity, I directly supervised two sections of the Treasury's Office of Enforcement at that time, the Counter Narcotics Section and the International Money-laundering Section. There were approximately 14 permanent FTEs in those sections. We also had broader oversight for many of the programs that were in legacy of Customs, FinCen, and other parts of the Treasury Department. So I directed broad and large programs in those other sections, although I did not do the day-to-day or case review on all of them. Prior to that I was an Assistant U.S. Attorney in the Eastern District of New York. In that capacity I had the ability to manage cases and supervise agents and junior Assistant U.S. Attorneys on occasion. I believe together all of this gives me the minimum management experience that is required under the statute. But let me just add, I believe that my management style has worked at the Commerce, Justice, and Treasury Departments, and I will do all that I can to ensure that the ICE employees, if confirmed, have a clear sense of mission and exceed in their very daunting goals. Chairman Collins. Thank you. Mr. Baker, there are obviously a number of questions that have arisen in the wake of Katrina about the Department's emergency preparedness and response. If you are confirmed, what role would you envision for the policy office in improving emergency preparedness and response, whether it is to a natural disaster or a terrorist attack? Mr. Baker. Thank you, Madam Chairman. I think that is clearly one of the top issues that the Policy Office is going to have to face. I have already begun talking to people in the office about beginning a policy review of what can be done, what lessons have been learned from the events surrounding Katrina. We obviously cannot be satisfied with what happened. There are any number of lessons to be learned. And they are lessons that we are going to have to apply, as you say, in the event of an attack on one of our cities with a nuclear weapon or a biological weapon that raises many of the same evacuation and other issues. So I expect to play a central role in reviewing department- wide policies for preparedness. Chairman Collins. Senator Lieberman. Senator Lieberman. Thanks very much, Madam Chairman. Mr. Baker, as I indicated in my opening statement, I am concerned about the Administration's intentions with regard to staffing the Policy Office you are nominated to head, and the new directorate. The intention seems to be largely to transfer employees from existing positions rather than creating new ones. I think the Department is pressed and the Department's limited policy planning thus far will put a lot of pressure on your office. And I am concerned that whether, in giving you this big new job, we will not be giving you the staff to carry out all that has to be done effectively. Do you share my worries? Mr. Baker. I do not think there is anyone who has taken a job in government who has not thought they could do a better job with more people. Senator Lieberman. This is true. Mr. Baker. In fact, I have put off until about now the planning for exactly how we might staff this office. I do not think any final decisions are made on staffing. I intend to sit down with the Secretary and the Deputy Secretary and go through the list of functions. We certainly will have authority to hire more people. The question is how many more people, how many people we can hope to get as detailees. But I will certainly make the case aggressively for a staff that allows us to do this effectively. Senator Lieberman. Good, and please remember, if you are confirmed for this position, that you have a Committee here that wants this Department to work and is prepared to be, so far as you make a good argument, your advocate for the adequate support that you need. Ms. Myers, I appreciate that Senator Collins asked you the same question that I raised in my opening statement about the 5-year requirement. It is unusual for there to be that kind of explicit requirement, and it was put in presumably, I am sure, because of the concern about the management challenges there. So I think we do have a responsibility to ask you about it. I appreciate your answer. You have mentioned, I believe, four positions that you previously held that you believe satisfy the 5-year management requirement. For the record, now or later, can you tell me how long you were in each? Do you remember it now? Ms. Myers. Senator, I believe I could come fairly close right now. Senator Lieberman. I will not hold you to the detail if you want to correct it afterward. So give it a try now. Ms. Myers. In my current position, which I did not mention in my response to the Chairman's question, as Special Assistant to the President for Personnel, I do manage a small staff which has varied up to three deputies as well as support staff and interns. I have held this position since mid-November 2004 when I was asked to come over to the White House and serve in that position. Senator Lieberman. So that is about 10 months? Ms. Myers. That is correct, Senator. With respect to my position as Assistant Secretary for Export Enforcement, I was confirmed I believe in October 2003, and I held that until I moved on to the White House. I served in a senior adviser capacity from September to October 2003. With respect to my position as chief of staff in the Criminal Division I went over, I believe, in November 2002. At the time, my job at the Treasury Department looked like it was going to be eliminated based on the new Department of Homeland Security. So I went over to work for Michael Chertoff. I left there to go to the Commerce Department in September 2003, and that was because Secretary Chertoff was nominated and confirmed as a Third Circuit Judge. With respect to my position as Deputy Assistant Secretary, I held that position from November 2001 until I left to go to the Justice Department the following year. With respect my position as an Assistant U.S. Attorney in the Eastern District, I held that position from I believe October 1999 until I left in 2001. Prior to that, I was an Associate Independent Counsel for Ken Starr, and I held that position for approximately 16 months. Senator Lieberman. Do you claim management experience from that work with the Independent Counsel's office? Ms. Myers. No, I do not. Senator Lieberman. But you do from the time as an Assistant U.S. attorney? Ms. Myers. That is correct, because there I was directly responsible and in charge of investigations and cases of different sizes, and I also was directly in charge, in certain instances, of more junior AUSAs as well as criminal investigators. Senator Lieberman. Thanks. We will go over that. I have only got about a minute more. I want to ask you each if you could give me a quick reaction to the special concern that I have within the area of immigration policy about the treatment of asylum seekers that the Commission on International Religious Freedom found that a majority of DHS facilities treated asylum seekers like criminals. That was pretty much the description of the nonpartisan commission. And that DHS did not have a consistent policy on treatment release and return of these asylum seekers to the countries that they were fleeing. I want to ask you if you are familiar with the Commission's finding and recommendations? Would you see formulation of a consistent policy on asylum seekers, and hopefully a better one, as a policy priority for your office? And a comparable question for you, Ms. Myers. Mr. Baker. Thank you, Senator. I am familiar with the Commission. In fact, two of my friends have been chairs of the Commission at various times. I have a lot of respect for both of them. You mentioned this report when we met. I have been able to at least get the executive summary off the website. It is very thoughtful. There are a lot of recommendations there. I will certainly look at them closely. I think that we ought to be able to have a constructive response to those suggestions. Senator Lieberman. Good. Ms. Myers, are you familiar with that? Ms. Myers. Yes, Senator, you also raised it in a meeting. Senator Lieberman. That is true, I made you familiar with it. Ms. Myers. I had the ability to look at the report and saw that there was a lot to be said about increasing transparency in our process and improving, in particular, ICE's role there. If confirmed, I would certainly look very hard at the recommendations made by the Commission with respect to ICE's role, not only with the treatment of asylum seekers but also to ensure that asylum seekers have the same parole criteria applied nationwide, which was something that was troubling to me that I was not aware of previously. Senator Lieberman. I appreciate that. The bottom line obviously is we should be treating like criminals people who probably are, or at least there is reasonable cause to believe are, and treating asylum seekers as people who probably have a sincere motivation to get into the country. Obviously, not all of them pass the test. But I think it is fundamental to our national principles, and I appreciate that both of you went back and looked at that. I look forward to continuing to work with you on it. Thank you. Chairman Collins. Thank you. Senator Voinovich. Senator Voinovich. Thank you, Madam Chairman. Ms. Myers, I have the same problem that Senator Collins and Senator Lieberman elluted to. I was a mayor for 10 years and a governor for 8 years, and I know management. I am really concerned about your management experience. ICE is a very large organization, with over 20,000 employees and a $4 billion budget. Senator Lieberman began to review your experience, but I have the list right here. You spent 2 years as Assistant District Attorney, then you spent about a year working with money laundering, 10 months as Chief of Staff for Mike Chertoff who then went onto the bench. Then you worked for a year and 3 months with the Commerce Department. Can you tell me why you left the Commerce Department to go to the White House? Ms. Myers. I was asked to come serve the President in this capacity. It was explained to me that the White House thought it would be useful to have someone who had some additional subject matter expertise in particular areas that I am knowledgeable about, particularly law enforcement. So I was asked to help with the transition in Presidential personnel. Senator Voinovich. The problem I have is the longevity of your experiences. When you begin working at any job, it takes a couple of months to find out just what is going on. I have concerns about the short duration of your service in each of these positions. I would really like to sit down and talk with you. Madam Chairman, I think that we ought to have a meeting with Mike Chertoff, either privately or publicly, to ask him why he wants Ms. Myers for this position. She will be working for him, and obviously, he would not sign off on her unless he really thinks she can get the job done. But I would like to have him spend some time with us, telling us personally why he thinks you are qualified for the job. Because based on the resume, I do not think you are. Ms. Myers. Senator, I appreciate your concerns. There is no question that ICE is a large agency with significant challenges. One thing that I would point out is that during my time in Washington I have had the ability throughout this entire period to work with legacy Customs and legacy INS agents in different capacities, at the Justice Department, at the Commerce Department, at the Treasury Department. I will bring to this position a knowledge of those other departments and those other needs. I know what it is like to work side-by-side with a Customs agent trying a case. I also know what it is like to be supervising a Customs agent working on the national money- laundering strategy. I also know what it is like to be at the Justice Department looking at how can we get more cooperation from INS and Customs, the legacy agencies, in human smuggling cases. I also know what it is like to be at the Commerce Department, doing dual use export controls and trying to partner effectively with Immigration and Customs Enforcement on their common mission to prevent export violations. And those things will serve me well, Senator, and ensure that we can bring ICE and make it more successful as we move along. Senator Voinovich. What is your management style? Ms. Myers. My management style is to ensure that employees know what the mission is of the Agency, know what is expected of them, and that they are required to live up to that. I will seek--I realize that I am not 80 years old. I have a few gray hairs, more coming. But I will seek to work with those who are knowledgeable in this area, who know more than I do. I will seek the knowledge of the experienced agents out in the field, that have worked cases in different ways and in different methods. I will partner closely with the other Federal law enforcement officials throughout the government. Based on my work in Washington, DC, and my work in New York, I am pleased to say that I have a close working relationship with most of the leading law enforcement officials in this town. And so I can call up the head of DEA and say how can we solve this problem? How can we get this done? I can call the head of the Criminal Division and say how can we partner more effectively with the Justice Department? And that is based on my work at the other agencies and the relationships and trust that I have built over time. I am confident that Secretary Chertoff recommended me based on my work at the Department. And if the Senate confirms me, I will not let you down. Senator Voinovich. Thank you. Mr. Baker, have you had a chance to look at the Second Stage Review? Mr. Baker. Yes I have, Senator, Senator Voinovich. What do you think of it? Mr. Baker. I think it is a very helpful step forward in integrating the Department. Senator Voinovich. As the nominee for Assistant Secretary of Policy of DHS, do you feel comfortable that you will have the organization to facilitate your ability to get the job done? Mr. Baker. The Secretary and the Deputy Secretary both are committed to having a successful Policy Office. They have the same vision that I do of its role in integrating the Department's policies and communicating those policies effectively to the components so that they can align their policies early on with departmental priorities. So I actually believe that their vision and mine are exactly the same. Senator Voinovich. Thank you. Chairman Collins. Senator Levin. OPENING STATEMENT OF SENATOR LEVIN Senator Levin. Thank you, Madam Chairman. First for Mr. Baker, relative to your qualifications, you have testified that you expect to play a central role in reviewing the Department's emergency planning and response and identifying lessons learned from Katrina. You are going to have to be looking at such matters as evacuation and plan development and execution, coordination between Federal, State and local government personnel, deployment of and coordination with National Guard and DOD personnel, development, use and purchase of interoperable communications equipment. You do not have any experience in those areas, do you? Mr. Baker. No, my experience is principally in national security. And I will say in the area of interoperability, most of my last 10 years of my private practice revolved around technology and the uses of technology, and many of the interoperability questions that we will struggle with are technical in nature. Senator Levin. In terms of the failure of the various units of government to have interoperability--interoperable equipment, those challenges specifically in those areas that they have not met, you do not have experience in that particular area? Mr. Baker. I have worked in--large parts of my practice concerned how to make cell phones and new telephone technology subject to wiretap laws, to accommodate the structure and protocols that are used in new forms of technology to operate in a way that works for law enforcement. So while it is not directly relevant, it is pretty close. Senator Levin. Any other areas of emergency response, do you have any experience in those areas? Mr. Baker. No. Senator Levin. In terms of whether or not grants should be risk-based or not, we have had a great dispute about that. This Committee has done some work relative to those formulas as to how those grants should be allocated, whether they ought to be risk-based, whether they ought to be apportioned in some other way. Do you have any views on that? Mr. Baker. I think they should be risk-based as much as they can be. It is difficult to entirely predict where the risks are. And if those predictions are made public, the risk can shift. So it is important to take risk into account in making those decisions. Senator Levin. Would you agree that there are smaller places that have great risks? Places that maybe you or the public have never heard of that might have high risks? Would you agree with that? Mr. Baker. I certainly could not rule that out. If we ruled something out, there is always the possibility that Al Qeada would say well, they have ruled that out, let us try that. Senator Levin. We have a small town in Michigan that is probably one of the largest entry points for commerce in the country, one of the top five. It has a bridge, it has a tunnel. It has a major chemical facility that is on the border with Canada with a very narrow river. It is called Port Huron. Have you ever heard of it? Mr. Baker. I have. I went to Edsel Ford High School, Senator. Senator Levin. Places like that around the country, that people have never heard of perhaps in the Agency, even though they are small and their names are not known--I am glad you do know that--but nonetheless have to be taken into account. Would you agree? Mr. Baker. I agree. Senator Levin. Ms. Myers, I, too, have questions in terms of your experience and qualifications, as to whether you meet the statutory test. I want to ask you about something that you, I believe, either knew about or should have known about however when you were the Chief of Staff for Michael Chertoff at the Criminal Division. There have been publicly released E-mails now of FBI agents expressing deep concerns at Guantanamo because of the behavior of certain Department of Defense personnel toward detainees. It was such a hotly debated issue between those personnel who were in the Department of Justice Criminal Division, that the FBI personnel said that they could not even stay there, could not participate. They used the word torture in one of those E- mails. They used the word, in one of the E-mails that went back to the Department of Justice, they said that their concerns were so deep that they had to be raised, they had to be discussed, and that the FBI, they thought could not participate in any of the interrogations, of any of the dealings with the detainees. The discussions were so heated that sometimes phones were slammed down. Did you know anything about those disputes when you were there? Ms. Myers. No, I did not, Senator. Senator Levin. Who did? Chertoff did not know, you did not know, Fisher did not know. Who did? When we talk about management, this is not a common kind of event where there is some dispute over who is going to win a World Series game. This is where you have weekly meetings that are referred to in these E-mails, weekly meetings where these disputes were aired down at Guantanamo between Department of Justice personnel and the DOD. You have got four named people, Bruce Schwartz, Dave Namius, Laura Parsky, and Alice Fisher. Do you know those folks? Ms. Myers. I do, Senator. Senator Levin. They were involved. And they were horrified by what they saw. Who would have known inside the Department of Justice, if your boss did not know, Ms. Fisher did not know, and you did not know? We are talking about management. Who should have known? Who should have gotten those E-mails? Ms. Myers. Senator, I believe the E-mails you are referring to were produced later after the time---- Senator Levin. But they were about events at the time you were there. They describe events at the time. Ms. Myers. That is correct, Senator. Senator Levin. Have you ever talked to either Fisher, Schwartz, Namius, or Parsky about these events? Or Chertoff? Ms. Myers. Senator, I was present during the preparation, some of the preparation of Secretary Chertoff and Ms. Fisher for their hearings. Other than that, I have not heard any discussions with respect to these matters. Senator Levin. And so those matters were discussed during preparations for those hearings? Ms. Myers. Senator, at the time of preparation for Ms. Fisher's hearings, I understand that the E-mails were available. And so at that time, the E-mail was discussed, it is my understanding. Senator Levin. What was the nature of the discussion? Ms. Myers. Senator, I do not recall what the nature the discussion was. I believe that it focused on what, if any, involvement any of these individuals had in this matter. Senator Levin. And what was the involvement? Ms. Myers. I believe Secretary Chertoff and Ms. Fisher could speak best for themselves about their involvement. I would tell you that I had no involvement, sir. Senator Levin. The first you ever heard about this is when you read it in the paper? Or what was the first time you ever heard about these disputes? Ms. Myers. Senator, I do not recall when I first learned about the existence of these E-mails. Senator Levin. I am talking about the disputes between Department of Justice personnel and the Department of Defense personnel whose tactics the Department of Justice personnel who are on Chertoff's staff were objecting to? Ms. Myers. Senator, I was not---- Senator Levin. When did you first hear about those disputes? That is my question. Ms. Myers. Senator, I believe it was either in the paper or in preparation for Secretary Chertoff's hearings. When I was at the Department, my focus was on the Office of Administration, as well as some of the other more sensitive sections. Senator Levin. My time is up for this round. Thank you. Chairman Collins. The Senate has begun two roll call votes. I would suggest that we each ask one question and then will submit to the witnesses considerable additional questions for the record. The hearing record will remain open until 5 o'clock tomorrow for the submission of additional questions and other materials. Ms. Myers, a lot of individuals and organizations that have taken a look at the Department of Homeland Security have proposed the merger of ICE and the Customs and Border Protection. I understand that Secretary Chertoff has decided, at least for the time being, not to pursue a merger of ICE and CBP. The Inspector General has done a report that should be released shortly, which I understand will recommend the merger of ICE and CBP. What I have found and what I understand that the IG report has confirmed is that many field employees of the two agencies are very frustrated with what they view as the unnatural separation between the two organizations. In addition, there have been turf battles, budget fights, and a feeling among outside law enforcement that the current organization has not worked well. What is your view on combining the two agencies? Ms. Myers. Chairman Collins, I appreciate that question and the concerns regarding coordination that feed into that question. It is my belief that both agencies are under the same roof, under the same leadership, under Secretary Chertoff and that they should be coordinating well and properly on all of their day-to-day functions, as I should with CIS and other law enforcement parts of the Department. With respect to whether or not the two agencies should be merged, it is my understanding, as you noted, that the Secretary and the Department undertook a very thorough review of whether or not that made sense, and that they determined that it was in the best and most strategic interest of the Department for the two agencies to remain separate. But that there should be some additional steps taken to improve coordination. And the steps taken to improve coordination that the Department is suggesting, include an Office of Operation Coordinations which would coordinate a relationship not only between ICE and CBP but also between the CBP and Coast Guard or the CBP and the Secret Service, as well as the Policy Office that is hopefully going to be headed by Stewart Baker. That is a central policy making force that would unify relationships. I will tell you that I am very concerned about the reports I hear about the failure to have proper coordination. If confirmed, it is one of my top priorities to ensure that these agencies work well together and work side-by-side. I know Commissioner Bonner from our time at Treasury together, and I have already met with him twice to talk about ways that the agencies can improve intelligence sharing, can improve joint initiatives, and can work more effectively together. I will send that message to the field, as well. Chairman Collins. Thank you. Senator Lieberman. Senator Lieberman. Thanks, Madam Chairman. Ms. Myers, as you well know, ICE has a C as well as an I in it. There are some observers who think that thus far the Department has not given enough priority to the customs enforcement parts of it. I wondered what your feelings are about that and what priorities you would have if you take this position for customs enforcement? Ms. Myers. Well, certainly the C part of the mission, the customs part, is the part that I was most familiar with from my previous experience. One of my highest priorities will be to ensure that ICE's important customs missions are not diminished or neglected in any way. In particular, I am interested in the work on anti-money- laundering as well as strategic arms. I think we should look to see where we can fold in immigration enforcement with those. If we are bringing a money-laundering case, is there an immigration angle? If it is an immigration case, is there a money-laundering angle? We should look at, for example, are there individuals who are in this country illegally who are trying to gain access to our sensitive goods and technologies? That is a way, again, that our immigration mission and our customs mission coincide and intersect. But I am absolutely committed to those missions and have enjoyed working in those for a number of years. Senator Lieberman. Good. Thank you. Chairman Collins. Senator Voinovich. Senator Voinovich. There is a recently released audit noting that the Agency has been plagued with financial management issues and that ICE, which has had a lengthy hiring freeze as a result of financial difficulties, has asked Congress to reprogram several hundred million dollars in the last year alone. Are you familiar with these issues? Ms. Myers. Yes, I am, Senator. Senator Voinovich. Do you understand that will be one of the challenges you will face if you are confirmed? Ms. Myers. No question, Senator. Absolutely. I have already met not only with the CFO for the Department but also ICE's Acting CFO. And financial management would be one of my top priorities to focus on. In trying to figure out what went wrong, how ICE got where they are, it appeared to me that there were really three core reasons that they got in the situation they are. And I think those provide guidance for how we can move forward then more effectively. First, as has been previously noted, the initial allocation of funds within the Department was not necessarily even. And so ICE did not receive the proper allocation of funding in the beginning. That has been corrected, thanks to the help of Congress. I think the second reason is that ICE was still getting up to speed, in terms of having top financial managers in place in the organization. To this day, ICE does not have a permanent chief financial officer. If confirmed, I would make sure to do that immediately and to ensure that proper financial management practices are followed. The third reason is ICE's mission has been stretched beyond belief. Last year there were more removals than ever before. They are continuing to do more and more while working with limited resources. So that has been a challenge that the Agency has had to get its arms around. Senator Voinovich. Thank you. Chairman Collins. Senator Levin. Senator Levin. Thank you. This is a question which follows up on some of Senator Lieberman's concerns relative to asylees. Due to delays in our immigration process, a country's situation can change from the time that an alien flees his home country to the United States and when he finally receives a hearing before a judge. One such case relates to Iraq. We have got about 1,000 Iraqi families in this country who came here legally seeking asylum in the 1990s. They fled Saddam Hussein, and they had good reasons to flee Saddam Hussein. They requested asylum when they got to this country. Then in 2003, with Saddam Hussein gone, the question is are they still going to be treated according to the law which existed and the facts which existed at the time they fled? Or are they now going to be shipped back to Iraq where there are plenty of dangers? That is not the main point. The main point is they came here legally, sought asylum, set down roots, raised families, opened businesses. I am talking about people against whom there is no evidence of improper or illegal conduct. Now what? Are we going to treat them fairly? Or are we going to say that we are going to uproot you because now Saddam is gone, and send you back to a country where again there is plenty of dangers for them. Many of them would have to go back to areas which are dangerous. But beyond that, when they have abided by all of our rules, and when the reasons for their coming would have qualified them for asylum at the time they came. What rules should apply to them? Ms. Myers. Senator, your question points out kind of a fundamental problem of things taking too long once people get here and apply for the proper avenues of relief. It is my understanding that ICE has a policy of evaluating circumstances in cases like this on a case-by-case basis, to make sure we are treating people fairly and not penalizing them for the slowness of our government processes. If confirmed, I would make sure that is the procedure that is followed. Chairman Collins. Senator Levin, the time has expired in the vote. Accordingly, we are going to have to end the hearing, but I would invite you to submit additional questions for the record. I want to thank our witnesses for being here today. This hearing is now adjourned. [Whereupon, at 12:04 p.m., the Committee was adjourned.] A P P E N D I X ---------- PREPARED STATEMENT OF SENATOR AKAKA Thank you Chairman Collins. I wish to add my welcome to Mr. Baker, Ms. Myers, and their families and friends. You are both here because you wish to continue your careers in public service by serving as Assistant Secretaries in the Department of Homeland Security (DHS). These positions demand individuals who have demonstrated extensive executive level leadership and the ability to manage a sizable budget and diverse workforce. Mr. Baker, if confirmed, you will be the first DHS Assistant Secretary for Policy, and you will help define the role of the Office of Policy. Ms. Myers, you have been nominated to lead Immigration and Customs Enforcement, an agency that is currently facing significant financial and human resource management challenges. While every nomination considered by the Senate is important, I believe that today's hearing will be watched carefully by the American people, who are looking to this Committee to make sure we ask the appropriate, and sometimes tough, questions. The people of Hawaii, like all Americans, want to make sure that those leading DHS have the necessary experience and qualifications. The creation of DHS in 2003 was the largest reorganization of the Federal Government since the Department of Defense was established in 1947. The merging of 22 legacy agencies into a single agency has created management challenges that DHS will face for years to come. Because of these significant challenges, DHS needs strong leaders. A qualified candidate must possess extensive experience managing people and budgets in addition to having experience in immigration or law enforcement or intelligence. I am especially concerned about the current state of ICE, which is the second largest Federal law enforcement agency with a $4 billion budget and over 15,000 employees in over 400 offices around the world. ICE has extraordinary reach, extraordinary responsibilities for our national security, and extraordinary problems. Financial difficulties have resulted in hiring freezes and reductions in training, bonuses, and travel. ICE's financial crisis has resulted in DHS reprogramming $500 million in FY 04 and FY 05 funds and requesting an additional $267 million in the April 2005 emergency supplemental. Despite assurances that ICE's financial problems have been resolved, DHS Inspector General Richard Skinner testified in July 2005 that ICE cannot properly account for millions of dollars every month due to its deficient financial management system. This financial crisis has had an adverse impact on the readiness and morale of the ICE workforce. ICE needs strong, experienced leadership to repair these management problems. Mr. Baker, the Administration has submitted legislation to the Congress that this Committee is now considering which would create the position of an Undersecretary for Policy. According to Secretary Chertoff's transmittal letter to the Congress on his proposal, dated July 13, 2005, the new Office of Policy ``will lead a unified, mission- focused policy approach'' and will include a number of existing units, such as the Office of International Affairs, the Special Assistant to the Secretary for Private Sector Coordination, the Border and Transportation Security Policy and Planning Office, elements of the Border and Transportation Security Office of International Enforcement, the Homeland Security Advisory Committee, and the Office of Immigration Statistics. In addition, the Secretary is proposing to add a strategic policy planning office and a refugee policy coordinator. This is an enormous range of new responsibilities and will require someone with extensive management experience and vision. I would argue that the key focus of this office should be on strategic planning. Given the nature of this office should be on strategic planning. Given the nature of the Department's enormous size and breadth of responsibilities, someone is needed who can provide focus and direction to the mission of preventing and responding to terrorist attacks and natural disasters. Mr. Baker, you are being nominated for the position of Assistant Secretary with the expectation of moving into the Undersecretary position should the Congress pass the reform proposal. One of the issues this Committee will have to address is whether you will need to be reconfirmed at a later date for that higher position should you be confirmed for the Assistant Secretary position. One of the lessons learned from the Hurricane Katrina response is that the senior officials of an agency should have demonstrated leadership skills. The positions of Assistant Secretary for ICE and Assistant Secretary for Policy are no exception. I would like to draw the attention of my colleagues to one measure of leadership skills: The standards the Office of Personnel Management has developed for the government's career Senior Executive Service (SES). To qualify for an SES position, a candidate must possess the following five executive qualifications: <bullet> Leading Change; <bullet> Leading People; <bullet> Being Results Driven; <bullet> Having Business Acumen; and <bullet> Building coalitions/Communications. SES candidates demonstrate these qualifications through experience in key executive skills such as leading others to rapidly adjust organizational behavior and work methods; supervising and managing a diverse workforce; developing strategic human capital management plans; establishing performance standards and plans; managing the budgetary process; overseeing the allocation of financial resources; and developing and maintaining positive working relationships with internal groups and external groups such as Congress, the Office of Management and Budget, and the White House. These qualifications and experiences help ensure that the Federal Government's senior executives have the ability to establish a clear vision for the organization and to drive others to succeed. While political appointees are not required to meet these qualifications, I believe it would be difficult for an agency head to be successful without them. I look forward to this opportunity to hear from Mr. Baker and Ms. Myers. Thank you Madam Chairman. 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