U.S. GOVERNMENT PUBLISHING OFFICE

29–962 PDF WASHINGTON : 2018

S. HRG. 115–216 

NOMINATIONS OF THELMA DRAKE, JEFFREY 

NADANER, AND SETH APPLETON 

HEARING 

BEFORE THE

COMMITTEE ON 

BANKING, HOUSING, AND URBAN AFFAIRS 

UNITED STATES SENATE 

ONE HUNDRED FIFTEENTH CONGRESS 

SECOND SESSION 

ON 

NOMINATIONS OF: 

THELMA DRAKE, OF VIRGINIA, TO BE ADMINISTRATOR OF THE FEDERAL

TRANSIT ADMINISTRATION

JEFFREY NADANER, OF MARYLAND, TO BE ASSISTANT SECRETARY OF

COMMERCE FOR EXPORT ENFORCEMENT

SETH APPLETON, OF MISSOURI, TO BE ASSISTANT SECRETARY OF HOUSING

AND URBAN DEVELOPMENT FOR POLICY DEVELOPMENT AND RESEARCH

APRIL 17, 2018 

Printed for the use of the Committee on Banking, Housing, and Urban Affairs 

( 

Available at: http://www.govinfo.gov/ 

COMMITTEE ON BANKING, HOUSING, AND URBAN AFFAIRS 

MIKE CRAPO, Idaho, Chairman 

RICHARD C. SHELBY, Alabama 

BOB CORKER, Tennessee 

PATRICK J. TOOMEY, Pennsylvania 

DEAN HELLER, Nevada 

TIM SCOTT, South Carolina 

BEN SASSE, Nebraska 

TOM COTTON, Arkansas 

MIKE ROUNDS, South Dakota 

DAVID PERDUE, Georgia 

THOM TILLIS, North Carolina 

JOHN KENNEDY, Louisiana 

JERRY MORAN, Kansas 

SHERROD BROWN, Ohio 

JACK REED, Rhode Island 

ROBERT MENENDEZ, New Jersey 

JON TESTER, Montana 

MARK R. WARNER, Virginia 

ELIZABETH WARREN, Massachusetts 

HEIDI HEITKAMP, North Dakota 

JOE DONNELLY, Indiana 

BRIAN SCHATZ, Hawaii 

CHRIS VAN HOLLEN, Maryland 

CATHERINE CORTEZ MASTO, Nevada 

DOUG JONES, Alabama 

GREGG RICHARD, Staff Director 

MARK POWDEN, Democratic Staff Director 

ELAD ROISMAN, Chief Counsel 

MATT JONES, Counsel 

ELISHA TUKU, Democratic Chief Counsel 

LAURA SWANSON, Democratic Deputy Staff Director 

BETH COOPER, Democratic Professional Staff Member 

COLIN MCGINNIS, Democratic Policy Director 

HOMER CARLISLE, Democratic Professional Staff Member 

DAWN RATLIFF, Chief Clerk 

CAMERON RICKER, Deputy Clerk 

JAMES GUILIANO, Hearing Clerk 

SHELVIN SIMMONS, IT Director 

JIM CROWELL, Editor 

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C O N T E N T S 

TUESDAY, APRIL 17, 2018 

Page 

Opening statement of Chairman Crapo ................................................................. 1 

Opening statements, comments, or prepared statements of: 

Senator Brown .................................................................................................. 2 

NOMINEES 

Thelma Drake, of Virginia, to be Administrator of the Federal Transit 

Administration ..................................................................................................... 4 

Prepared statement .......................................................................................... 23 

Biographical sketch of nominee ....................................................................... 24 

Responses to written questions of: 

Chairman Crapo ........................................................................................ 56 

Senator Brown ........................................................................................... 57 

Senator Heller ........................................................................................... 61 

Senator Menendez ..................................................................................... 61 

Senator Cortez Masto ................................................................................ 63 

Senator Jones ............................................................................................ 65 

Jeffrey Nadaner, of Maryland, to be Assistant Secretary of Commerce for 

Export Enforcement ............................................................................................. 4 

Prepared statement .......................................................................................... 36 

Biographical sketch of nominee ....................................................................... 37 

Responses to written questions of: 

Senator Brown ........................................................................................... 66 

Senator Toomey ......................................................................................... 68 

Senator Sasse ............................................................................................ 68 

Senator Menendez ..................................................................................... 70 

Senator Cortez Masto ................................................................................ 71 

Seth Appleton, of Missouri, to be Assistant Secretary of Housing and Urban 

Development for Policy Development and Research ......................................... 6 

Prepared statement .......................................................................................... 47 

Biographical sketch of nominee ....................................................................... 49 

Responses to written questions of: 

Senator Brown ........................................................................................... 72 

Senator Menendez ..................................................................................... 74 

Senator Cortez Masto ................................................................................ 76 

Senator Jones ............................................................................................ 81 

ADDITIONAL MATERIAL SUPPLIED FOR THE RECORD

Documents submitted in support of the nomination of Seth Appleton ............... 82 

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NOMINATIONS OF THELMA DRAKE, JEFFREY 

NADANER, AND SETH APPLETON 

TUESDAY, APRIL 17, 2018 

U.S. SENATE, 

COMMITTEE ON BANKING, HOUSING, AND URBAN AFFAIRS, 

Washington, DC. 

The Committee met at 10 a.m., in room SD–538, Dirksen Senate 

Office Building, Hon. Mike Crapo, Chairman of the Committee, 

presiding. 

OPENING STATEMENT OF CHAIRMAN MIKE CRAPO 

Chairman CRAPO. Good morning. This hearing will come to 

order. 

This morning, we will consider the nominations of three more individuals to serve in key leadership posts in the Administration. 

Welcome to all of you, and congratulations on your nominations 

to these very important offices. 

I see friends and family behind you today, and I welcome them 

here as well. 

The nominees before us are Thelma Drake, to be Administrator 

of the Federal Transit Administration; Jeffrey or ‘‘Jeb’’ Nadaner to 

be Assistant Secretary of Commerce for Export Enforcement; and 

Seth Appleton to be Assistant Secretary of Housing and Urban Development for Policy Development and Research. 

Each of these nominees will play an important role in shaping 

national policy and advancing economic opportunity for millions of 

Americans, and each nominee brings unique experience and expertise to the table. 

Ms. Drake has dedicated a significant amount of her career to infrastructure, including public transportation. In addition to her role 

at the city of Norfolk’s Public Works Department, she previously 

served as the Director of the Virginia Department of Rail and Public Transportation, overseeing public transportation priorities. 

During her time in the U.S. House of Representatives, Ms. Drake 

served on the Transportation and Infrastructure Committee. Her 

previous infrastructure experience provides her with an understanding of the role that transit plays in comprehensive transportation networks. 

Mr. Nadaner has spent more than two decades focused on U.S. 

national security, industrial technology, and Federal legal compliance. 

In the private sector, Mr. Nadaner held multiple leadership positions at Lockheed Martin and several small businesses, including 

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Lockheed’s Vice President of Engineering and Technology and Director of Business Development and Strategy. 

Mr. Nadaner also served in numerous positions at executive 

agencies, including Deputy Assistant Secretary of Defense for Stability and Operations Partnership Strategy, multiple senior positions at the State Department, and as an attorney at the Department of Justice. He is well equipped to lead Export Enforcement 

for the Bureau of Industry and Security. 

Mr. Appleton has spent most of his career on Capitol Hill, where 

he has developed expertise in housing policy and financial services 

issues. As a chief of staff to Representative Blaine Luetkemeyer for 

nearly a decade, Mr. Appleton played a key role in the bipartisan 

housing reform called the Housing Opportunity Through Modernization Act, or ‘‘HOTMA’’, which passed in 2016. 

Mr. Appleton’s nomination has been met with bipartisan support 

from Senators McCaskill and Blunt and the entire Missouri congressional delegation, which speaks to his strong track record of 

working across the aisle to get things done. 

Once again, congratulations to all of you on your nominations to 

these very important offices, and thank you for your willingness to 

serve. 

Senator Brown. 

OPENING STATEMENT OF SENATOR SHERROD BROWN 

Senator BROWN. Thank you, Mr. Chairman, for holding today’s 

hearing on the nominations of Thelma Drake and Jeffrey Nadaner 

and Seth Appleton. Welcome to all three of you. I look forward to 

hearing your views. I want to welcome your family and guests to 

the Committee. So thank you for your willingness to serve. 

Ms. Drake comes to us with a very important qualification. She 

was born and raised in Elyria, Ohio, only about 5 miles from where 

I lived for a decade, before moving to Virginia, raising a family, entering public service. I am pleased she wants to bring her experience and her Ohio upbringing—her experience in Congress and her 

Ohio upbringing and her Virginia’s Department of Rail and Public 

Transportation service to the Federal Transit Administration. 

Ohioans take more than 325,000 trips on public transportation 

every weekday. We need a strong Federal partner to help transit 

riders enjoy a faster and safer ride to work and school. 

I am hopeful we can move faster in your appointment than this 

Senate, this Committee, and the U.S. Senate moved on your predecessor’s 2014 appointment, Therese McMillan. I think she was 

qualified. I think you are qualified. I am hopeful we can actually 

put partisanship aside, unlike what happened a few years ago. I 

am also hopeful we can do what we should, as Mr. Nadaner’s appointment reminds me on the Export-Import Bank. 

The Administration’s record on transit is disappointing. Ms. 

Drake and I had a discussion about that. I think she wants to do 

the right thing. I am hopeful the Administration allows her to. 

Its past two budgets have proposed eliminating FTA’s Capital Investment Grants programs and the multimodal TIGER program. In 

the latest round of TIGER awards, DOT nearly eliminated transit 

projects from the program. 

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The President’s infrastructure proposal was also a disappointment. It contains no stable funding for the Mass Transit Account. 

We cannot rebuild our transportation infrastructure by passing the 

costs onto cities and counties through Trump tolls and through 

local tax hikes. 

Despite these disappointments, I want to work with the Administration and Republicans in the Senate to advance a real infrastructure program and an infrastructure package with real dollars. I 

look forward to hearing Ms. Drake’s priorities, including with respect to safety oversight. 

I want to welcome Mr. Nadaner, the nominee for Commerce Assistant Secretary for Export Control Enforcement. Given increasing 

efforts by Russia, China, and others to steal sensitive technologies 

from U.S. companies, enforcement of our export control regime, as 

you know, is critical. 

That is especially true as the Committee moves forward to reform CFIUS, which must be integrated with our export control system. 

I would like to welcome Mr. Appleton to the Committee. If confirmed, he will help guide HUD’s research efforts, which provide 

data and evaluations to policymakers and researchers and practitioners and housing market participants and the public. 

We face many housing challenges as a Nation, from our deep 

shortage of affordable housing to our ongoing work to realize the 

promise of the Fair Housing Act after 50 years. I hope you are committed to the Fair Housing Act. I am not sure that your bosses 

working up the chain are. 

Unbiased research can help us overcome these challenges and inform HUD’s daily operations, best practices in the field, and evidence-based policy. 

I look forward to hearing from Mr. Appleton about his approach 

to this critical function at Housing and Urban Development. 

Thank you. 

Chairman CRAPO. Thank you, Senator Brown. 

Will the nominees please rise and raise your right hands. Do you 

swear or affirm that the testimony you are about to give is the 

truth, the whole truth, and nothing but the truth, so help you God? 

Ms. DRAKE. I do. 

Mr. NADANER. I do. 

Mr. APPLETON. I do. 

Chairman CRAPO. And do you agree to appear and testify before 

any duly constituted committee of the Senate? 

Ms. DRAKE. I do. 

Mr. NADANER. I do. 

Mr. APPLETON. I do. 

Chairman CRAPO. Thank you. You may be seated. 

Each of your written statements will be made a part of the 

record in their entirety, and as I am sure you have been advised, 

we ask you to keep your oral comments or verbal comments to 5 

minutes, so we have time for questions from the Committee. Before 

you begin, I invite you, if you choose to, to introduce your family 

that is in attendance, and, Ms. Drake, we will start with you. You 

may proceed. 

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STATEMENT OF THELMA DRAKE, OF VIRGINIA, TO BE ADMINISTRATOR OF THE FEDERAL TRANSIT ADMINISTRATION 

Ms. DRAKE. Thank you, Mr. Chairman. 

I would like to introduce my husband to you, Ted Drake from 

Norfolk, Virginia. Thank you. 

Chairman CRAPO. You may proceed with your statement. 

Ms. DRAKE. Thank you, Mr. Chairman. 

Chairman Crapo, Ranking Member Brown, and distinguished 

Members of the Committee, thank you for the opportunity to address you today and to answer your questions. 

I am honored to be nominated to the position of Administrator 

of the Federal Transit Administration. I would like to thank President Trump and Secretary Chao for their support and their belief 

in me. 

I view transit as a key component of a successful transportation 

network. I realize that needs vary across the country, and I look 

forward to engaging in the various discussions with stakeholders as 

to how construct, maintain, and operate successful systems. 

In Congress, I served on the House Transportation and Infrastructure Committee, and while serving in the Virginia General Assembly, I was a member of the House Transportation Committee. 

I have also served as a member of the Virginia Commonwealth 

Transportation Board. 

After leaving Congress, I served as Director of the Virginia Department of Rail and Public Transportation. While Director, I 

helped implement new processes and performance metrics that enhanced accountability and incentivized performance and efficiency 

for State transit systems. 

We also created a new model for funding capital investments 

that placed an emphasis on rolling stock. My work included involvement with Virginia’s transit systems; the Washington Metropolitan Area Transit Authority; and Virginia’s commuter rail system, the Virginia Railway Express. 

Secretary Chao and I share the same priorities for transportation. If confirmed, my top priorities will be the safety of our transit systems and the traveling public, infrastructure support and investment, and preparing for the future through innovation. 

Again, thank you for your time and consideration of my nomination. I would be honored to work with each of you on your priorities 

and to be an advocate for transit nationwide. 

Thank you, Mr. Chairman. 

Chairman CRAPO. Thank you. 

Mr. Nadaner. 

STATEMENT OF JEFFREY NADANER, OF MARYLAND, TO BE ASSISTANT SECRETARY OF COMMERCE FOR EXPORT ENFORCEMENT 

Mr. NADANER. I would like to introduce my dad, who is in his 

85th, came from New York, and my wife and my three kids. 

Chairman CRAPO. Welcome to all of you. 

Mr. NADANER. Thank you, sir. 

Mr. Chairman, Ranking Member Senator Brown, Senators of this 

Committee, with reverence for our Constitution, I come before this 

Committee to be considered for Assistant Secretary of Commerce 

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for Export Enforcement. I express my appreciation to Secretary 

Ross and President Trump. 

I am the child of World War II refugees. My parents brought me 

up with a gratitude for our Nation’s incomparable freedoms and exceptional opportunities for economic dignity. They also raised me 

with an appreciation for the ordinary women and men who day in 

and day out, with little note but much sacrifice, ensure our safety 

and uphold our laws. 

The Assistant Secretary of Commerce for Export Enforcement 

and the Bureau of Industry and Security work to ensure that our 

adversaries do not get sensitive technologies. Effective harnessing 

of the Department’s capabilities is indispensable to preventing the 

diversion of dual-purpose technologies to our enemies who may 

threaten our military, our homeland, and our citizens. 

Enforcement of the law is a sine-qua-non for protecting our Nation’s security and the U.S. industrial defense base and its intricate 

supply chains. Robust enforcement is central to ensuring that congressionally mandated sanctions and anti-boycott laws have effect. 

If confirmed, I will bring to bear more than two decades of experience in national security, industry, and Federal law from the vantage points of both the public and private sectors. 

My current duties with the U.S. Marine Corps center on U.S.-foreign technology competitions, cyber and informational threats, and 

military and security operations. 

Earlier at Lockheed Martin and in small businesses, I concentrated on aerospace and defense technology; mergers, acquisitions, and joint ventures; and U.S. procurements and exports. I 

have managed hardware and software R&D portfolios and worked 

on improving supply chains. 

Integral to my undertakings, I was operating under the 

Commerce- and State Department-led export control systems and 

anti-boycott and anti-corruption laws. 

Before that, while Deputy Assistant Secretary of Defense, I 

oversaw exports of U.S. military equipment and services across the 

globe. These transfer too involved compliance with the U.S. export 

control systems. In that role, I had the honor of working with both 

sides of the aisle in the Senate and the House to produce bipartisan legislation. 

Teaming with the civil service, I developed policies, advanced 

interagency decisions, and joined efforts with the intelligence community. I developed rich experience negotiating with foreign countries on technology uses. 

Among my highest privileges has been to serve as the U.S. Department of Justice trial attorney. I represented an array of Federal agencies in litigation arising out of their law enforcement, administrative, and regulatory activities. I understand the frameworks under which our officers and agents act. I have seen crimes’ 

effects. I have conducted investigations and enforced subpoenas, 

and I have filed suits, negotiated settlements, and brought cases to 

judgment. 

If confirmed, I will enforce U.S. export controls, sanctions, 

embargos, and anti-boycott laws. I will advance policies that safeguard American jobs, technologies, and industries that form our industrial base. 

6 

Mr. Chairman, Senator Brown, Senators of this Committee, I will 

be honored to answer any questions you may have. Please accept 

my appreciation for your consideration. 

Chairman CRAPO. Thank you. 

Mr. Appleton. 

STATEMENT OF SETH APPLETON, OF MISSOURI, TO BE ASSISTANT SECRETARY OF HOUSING AND URBAN DEVELOPMENT FOR POLICY DEVELOPMENT AND RESEARCH 

Mr. APPLETON. Thank you. 

Chairman Crapo, Ranking Member Brown, and distinguished 

Members of this Committee, thank you for convening this hearing. 

It is an honor to appear before you as the nominee to be Assistant 

Secretary of Housing and Urban Development for Policy Development and Research. 

As a former staffer in the House of Representatives, I have sat 

along the wall behind the dais but never at the witness table, and 

to be sure, it is a humbling experience, as I have a great deal of 

respect for this institution and its important role in confirming 

nominees for service in the executive branch. 

Before I begin, I would like to recognize my family. My wife, 

Brooke, is here today. In typical Capitol Hill fashion, we actually 

met working as colleagues in the House before we got married. 

My mother, Susan, and my father, Bob, are here today from St. 

Louis. My mom has been a law professor for the last 43 years and 

from a very young age taught me the value of research. 

My brother, Jesse, is here from St. Louis also, and on Brooke’s 

side of the family are my in-laws, Barb and Tim Shupe from 

Stanberry, Missouri. 

Watching the broadcast at home in St. Louis are my sister-inlaw, Ali, my nephew, Bennett, who was supposed to be here for his 

first congressional hearing but got sick, and my grandmother, 

Winifred Frelich, who just celebrated her 93rd birthday on Friday 

and reminded me that she brought me to the Senate for the very 

first time during a spring break nearly 30 years ago. 

In addition to my family, I would like to thank Senators Blunt 

and McCaskill as well as the entire Missouri congressional delegation for supporting my nomination, Republicans and Democrats 

alike. 

Chairman CRAPO. It looks like you got a lot of folks here or 

watching, and the pressure is on. 

Mr. APPLETON. It is, indeed, sir. 

[Laughter.] 

Mr. APPLETON. HUD’s Office of Policy Development and Research 

plays a critical role for the entire Department, coordinating recommendations on policy matters, overseeing research projects and 

demonstrations, disseminating economic information, and managing international programs and philanthropic initiatives. It is on 

the cutting edge of identifying new trends and finding innovative 

solutions to the housing and community development challenges of 

our day. 

As such, the Assistant Secretary must be familiar with the public 

policy development process, understand the importance of sound research in formulating evidence-based policy solutions, and provide 

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effective leadership, management, and budget oversight to the 

PD&R team. 

If confirmed, I am committed to serving as a partner to this 

Committee and the Congress, which has long been involved in 

shaping PD&R’s research and policy work. 

I believe I am well suited to serve in this position based on my 

public policy and management experience. Following my graduation from Stanford, I worked in the U.S. House for 13 years, first 

as a legislative staffer, then as a chief of staff. As a legislative 

staffer, my portfolio included housing policy, and I later had the opportunity to really focus in on this as chief of staff to Congressman 

Luetkemeyer in his role as Chairman of the Subcommittee on 

Housing and Insurance. 

An example of the policies we worked on is H.R. 3700, the Housing Opportunity Through Modernization Act, or HOTMA, which 

passed both the House and Senate unanimously and was signed 

into law by President Obama in 2016. 

In addition to focusing on policy matters, I gained valuable management experience in the course of building, organizing, and leading a team of staffers in Missouri and Washington. I worked to ensure our entire team was involved in a collaborative process to 

craft sound initiatives, which included everything from generating 

ideas to reviewing research to developing partnerships and building coalitions. All of this was done with one underlying objective 

in mind: to improve the lives of the people we served. 

In July 2017, I left my position in the House to join HUD as General Deputy Assistant Secretary and Acting Assistant Secretary in 

the Office of Congressional and Intergovernmental Relations. Besides affording me the opportunity to work with many Senators 

and staff in this room, this role also allowed me to interact with 

all of the Department’s program and support offices, across silos, 

including PD&R. 

Prior to being nominated, I worked with PD&R’s staff on a variety of issues, including grants, university partnerships, technical 

assistance, and disaster response. 

PD&R has an outstanding team of dedicated civil servants. If 

confirmed, I very much look forward to working with that team, 

advocating for its work, and ensuring that its products meet Congress’ intent and are utilized for the betterment of those served by 

HUD. 

Our policy solutions should be evidenced-based, backed by sound 

data, and tested by well-designed demonstrations and thorough research. 

In closing, I believe my housing policy and management experience in the legislative and executive branches has prepared me 

well to serve as Assistant Secretary. If confirmed, I look forward 

to working with this Committee to advance policies that address 

the priorities and needs of the American people. 

I would be pleased to answer your questions and honored to earn 

your support. Thank you. 

Chairman CRAPO. Thank you, Mr. Appleton. 

Let me start out with questions with you, Ms. Drake. A key priority of this Administration is to reduce regulatory burdens, and in 

the area of transit, often what we see is the smallest and most 

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rural transit agencies are burdened the most by regulations that 

are meant for the larger urban systems. 

Can you assure the Committee that you will provide careful consideration for the effects of regulations on small and rural transit 

agencies? 

Ms. DRAKE. Thank you, Mr. Chairman. 

Mr. Chairman and Members of the Committee, as Director of the 

Department of Rail and Public Transportation, I worked with Virginia’s 44 transit systems, 20 of which were rural and 6 were small 

urban. I have visited them. I have toured their operation. I have 

seen how hard they work. I have been at their ribbon-cuttings. I 

have talked to their riders, and I share your concern about our 

rurals. They cover very large areas, often are very economically 

challenged, smaller populations, and I can certainly confirm to you 

that if—if confirmed, I can commit to you that I will treat all 

projects fairly and in compliance with the law. And I appreciate 

your concern for the rurals as well as I saw in Virginia. 

Chairman CRAPO. Well, thank you for that assurance. 

Mr. Nadaner, as you know, we are intensely working right now 

on the CFIUS legislation, and as I have learned more and more as 

we get into this process, export control is one of the key aspects of 

assuring the security of the United States and sensitive products. 

As you look to your new role, what do you see as the main challenges to export control enforcement? 

Mr. NADANER. Mr. Chairman, I believe it is important that the 

Committee is considering CFIUS. It has been a while, and the 

world has changed a bit since the last time it did. 

But I would say one of the strengths for the American system 

has been a very strong CFIUS process for inbound investment and 

strong export controls for export technology, which can occur without the technology leaving the United States if it touches foreign 

hands. 

I believe Secretary Ross has made it a goal to say that as much 

as we have done on export enforcement, we need to do more. We 

need to make violations of these laws which can harm Americans 

and cause loss of American jobs mean something. 

Yesterday, we saw with ZTE, there is more that can be done. 

So, if confirmed, my goal will be to look at resources, authorities, 

and responsibilities and try and make the right priorities so that 

we have meaningful enforcement. 

Chairman CRAPO. Well, thank you. This is obviously a matter of 

making sure we draw the lines in the right ways and in the right 

places, to assure that the robust development of emerging technologies takes place in the United States and to assure that we do 

not allow our technologies that are sensitive to be either exported 

or developed and taken over in the United States through incoming 

investments. 

I appreciate your attention to that. 

Mr. Appleton, as you know, HUD’s Office of Policy Development 

and Research plays a key role in disaster relief efforts, including 

collecting information about affected areas, assessing the damage, 

and making disaster recovery tools available to the general public. 

In light of the research natural disasters in 2017, can you speak 

to any opportunities for PD&R to become more efficient or to coVerDate Nov 24 2008 10:12 Jun 04, 2018 Jkt 046629 PO 00000 Frm 00012 Fmt 6633 Sfmt 6633 L:\HEARINGS 2018\04-17 NOMINATIONS\HEARING\41718.TXT JASON
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ordinate better with sister agencies to ensure that the Government 

is able to rapidly respond to that type of crisis? 

Mr. APPLETON. Thank you for that question, Senator. This is a 

very important topic. 

In the aftermath of a disaster, PD&R relies upon data from 

FEMA and the Small Business Administration to determine the extent of unmet housing, business, and infrastructure needs in the 

most impacted areas. 

This partnership is strong and runs well, but it could always be 

improved, and one thing that I would like to get over the finish line 

is the completion of a data transfer tool that would allow this information to come over seamlessly, expeditiously, and accurately in 

order to deploy assistance in a more rapid manner. 

Chairman CRAPO. Thank you very much. 

I thank each of you for those answers. 

Senator Brown. 

Senator BROWN. Thank you, Mr. Chairman. 

Ms. Drake, since 1982, when President Reagan signed the law 

that created the mass transit account, Congress has allocated a 

minimum of 20 percent of new revenue deposited in the Highway 

Trust Fund for public transportation. I fought to maintain that 

principle in the FAST Act. We talked about that privately. 

I would like you to answer the question: Can we count on you 

as FTA Administrator to fight for at least that 20 percent of fair 

share of funding for transit in reauthorization or in any infrastructure project? 

Ms. DRAKE. Senator, thank you. 

As you know, I was not at FTA, not part of the discussions as 

to the funding that you are referencing. 

I can commit to you that I will be very engaged in the discussions, will be in communication with you, and look forward to implementing the funding according to the law. 

Senator BROWN. Can you not commit to the 20 percent that has 

been in bipartisan since the Reagan years? 

Ms. DRAKE. Senator, I cannot do that at this time. I would need 

more information, more review, more discussion about it, and of 

course, discussions with you. 

Senator BROWN. Well, I appreciate that and your straightforwardness, but the information is we have done it for 30 years, 

and it has worked. And only recently have there been some efforts 

by some, including on this Committee, to drop that number below 

20, but I am hopeful that you will, through this process—I mean, 

I want to vote for you, but I very much want that 20 percent. I 

want to hear the FTA Administrator say, ‘‘Yes, we will follow the 

tradition of 20 percent.’’ 

Ms. DRAKE. Well, Senator, at the risk of sounding redundant, I 

really need to have more information, more review, and more discussions with you. 

Senator BROWN. OK, OK. 

Ms. DRAKE. And thank you. And I do hope that you realize that 

I truly am a transit advocate. 

Senator BROWN. OK, OK. I believe you are. 

10 

DOT gave out just two transit awards in the last round of TIGER 

funding, shutting out nearly every transit application. Should transit projects have a fair chance at TIGER funding? 

Ms. DRAKE. Senator, again, not having been at FTA, I am not 

part of those discussions and certainly cannot explain any of those 

do you, but I can tell you, again, I intend to be an advocate for 

transit. And I will be part of those discussions in the future. 

Senator BROWN. OK. 

Mr. Appleton, for several years, HUD’s discretionary research 

priorities have been driven by the Research Roundup. HUD developed this plan in consultation with stakeholders to identify research questions that are most important to housing and community development in the future. Do you intend to use the Research 

Roundup as a guide for research projects? 

Mr. APPLETON. Absolutely. Right now, we are in the middle of 

the 2014 to 2018 research roadmap. This covers a 5-year period, 

and it covers—the priorities outlined are housing affordability, 

health, disaster resiliency, a number of really important things 

that I want to continue. 

As we build the next one, once the 2018 roadmap ends, I will absolutely be consulting with Congress and stakeholders, academics, 

practitioners, to build that roadmap going forward. 

Senator BROWN. OK. Thank you for that. 

And you, I assume, will be getting the input from stakeholders 

as we do this? 

Mr. APPLETON. Absolutely. 

Senator BROWN. Thank you. 

For years—I am back to Ms. Drake. For years, this Committee 

has had a strong bipartisan commitment to safety oversight, maybe 

less today with the rhetoric that surrounds our Government the 

last few years, especially the Chairman’s question to you about regulatory burden. 

Regulatory burden to some are safety rules to others and consumer protections and food safety, and some will call that regulatory burden. Others will call it public safety. 

I have two questions for you on safety. Will you be proactive in 

using your authority to improve safety standards in the transit industry and to ensure that states are providing robust oversight of 

real transit systems? 

Ms. DRAKE. Senator, safety is my top priority, as is Secretary 

Chao’s. 

When I first began as Director of Department of Rail and Public 

Transportation, it was only a few months after the very tragic Fort 

Totten accident. I worked very closely with Maryland with D.C. 

and, of course, with the Governor of Virginia as well as the Governor of Maryland and the Mayor of D.C. So I can commit that 

safety is a very top priority, and I will do all in my power to make 

sure that the traveling public and our transit systems are safe and 

well maintained. 

Senator BROWN. And that means proactive? 

Ms. DRAKE. I will do all in my power that I can do. 

Senator BROWN. I am concerned that the States’ oversight agencies may not be planning to conduct regular unannounced inspections as they ramp up oversight. 

11 

GAO recently noted the need for inspections too. Are inspections 

a core element of an oversight program? 

Ms. DRAKE. Senator, I do believe inspections are a core oversight. 

Not being at FTA, I cannot describe to you how things are being 

done, but I can commit to you that once confirmed or if confirmed 

that I will do everything in my power to make sure that the public 

is safe. 

Senator BROWN. Does that mean that—do you from your transit 

history in Virginia is—do you believe that regular unannounced inspections are a key part of this? 

Ms. DRAKE. Senator, we worked very diligently on how to set up 

an oversight committee that later morphed into going to FTA. So 

I look forward to hearing what is taking place and how we move 

forward to guarantee the safety of our systems. 

Senator BROWN. But you are not committing to this Committee 

that part of oversight is to make unannounced inspections, to make 

sure that rail cars and other public transit vehicles and facilities 

are safe? 

Ms. DRAKE. I do believe, Senator, that there should be inspections of our system and not just waiting until there is a tragedy 

to come in. 

Senator BROWN. The inspections you have—you are conflating 

with—you are slicing pretty thin that inspections does not in your 

mind mean unannounced inspections, regular unannounced inspections? 

Ms. DRAKE. Senator, I look forward to hearing more. I do know 

there is a distinction between an inspection and an investigation, 

and I do hope that there are investigations that take place so that 

we prevent any accidents from happening. 

Senator BROWN. Well, I think inspections sound pretty preventative. Investigations sound like something to happen at Fort Totten. 

What did we do about it? It just seems to me I hope you will carry 

out of here the interest of this Committee that unannounced inspections are much more likely to result in improvements to public 

safety than inspections that the transit system is expecting you 

to—is scheduling and preparing for. 

Ms. DRAKE. Thank you, Senator. 

Chairman CRAPO. Senator Menendez. 

Senator MENENDEZ. Thank you, Mr. Chairman. 

Congresswoman, congratulations on your nomination. 

I just want to ask you. You and I had a conversation in my office. 

I appreciate you coming to visit. With reference to Gateway—— 

Ms. DRAKE. Yes. 

Senator MENENDEZ. ——do you consider Gateway a project that 

is nationally important? 

Ms. DRAKE. Senator, this is a very important project. I know it 

is very important to you, and I look forward to working with you 

on the project. 

Senator MENENDEZ. OK. I appreciate that, but that is not the 

question I asked you. 

The question I asked you, do you consider Gateway a project of 

national significance? 

Ms. DRAKE. I think it is a very significant project, Senator, and 

what I can commit to you is I would want to review the project. 

12 

I am hopeful at some point to see some of the components of the 

project, schedule a briefing on the project, so that I am much more 

engaged and involved with it. I—— 

Senator MENENDEZ. This is a different answer that you gave me 

in my office. In my office, you told me that, yes, this was a nationally important—so something has happened between—— 

Ms. DRAKE. Yep. 

Senator MENENDEZ. ——your honest—I assume your honest answer to me in my office and the answer I am getting here now. 

Ms. DRAKE. Senator, I consider this a very significant project. 

Senator MENENDEZ. OK. That is not the same as saying that it 

is a nationally important project, which is what you said in my office. 

Let me ask you something—so evidently, you have been instructed to say something different—for a new starts or core capacity project, what is the minimum percentage of the total project 

cost that a local sponsor must commit of their own funding to earn 

a medium rating? 

Ms. DRAKE. Senator, not being at FTA, I do not have access to 

that information to answer in that detail that you are asking. 

I can say to you that I do think there should be a balance between the Federal and the local commitments to a project. 

Senator MENENDEZ. Well, what do you think that should be? 

Ms. DRAKE. Senator, I am happy to get back to you, if confirmed 

to the position. 

Senator MENENDEZ. No, no, no, no, no, no, no. You came to my 

office. Now you have changed your testimony here from what you 

told me in my office about Gateway being a project of national significance, and then we discussed about what should be the percentage for a local share of any project. 

The only way for anybody to understand whether their project is 

being legitimately scored is understanding what the ground rules 

are. So you do not have to be at the agency to give me a sense of 

what your belief is, that a percentage amount of—is it 10 percent? 

Is it 20 percent? Is it 50 percent? What is it? 

Ms. DRAKE. Senator, my understanding is this project is currently working through the process at FTA. I do not know the details of it. I look forward to more. 

Senator MENENDEZ. I am not—Congresswoman, I am not talking 

about this specific project. 

My question in general was for a new starts or core capacity 

project, whatever that project might be, what is the minimum percentage of a total project cost that the local sponsor must commit 

of their own funding to earn a decent rating, a medium rating? I 

think that is a pretty straightforward question in terms of what is 

your views. 

If you are going to be the Administrator, what is your views 

about what that should be? 

Ms. DRAKE. Senator, I do not know the numbers for a low or a 

moderate or a medium or a highly rated project, but I can commit 

to you that I will get that information. I will be briefed on it, and 

I am happy to get back with you, if I am confirmed and able to 

have all that information to discuss it. 

13 

Senator MENENDEZ. Well, I think the confirmation is going to be 

in trouble, to be honest here, unless I can get better answers. 

If you do not have clear parameters, how can a local project sponsor have faith that their projects are being judged fairly? How can 

they have faith that their projects are judged by objective standards and not by political whims? 

And so I personally cannot vote for you if this is going to be your 

set of answers, nor will I allow on the floor for you to proceed without some clarity. And if we have to have a debate as to why I hold 

that view, I am happy to do that. 

Let me ask you this: How would you handle a situation in which 

you or the staff at the FTA were instructed by anyone in the Department of Transportation or the White House to reject a downgrade on—to reject or downgrade a new starts application for political reasons? 

Ms. DRAKE. Senator, I am not at FTA, but what I can commit 

to you is that I will treat all projects fairly and in compliance with 

the law. I will have a review and happy to get back with any of 

the Members—— 

Senator MENENDEZ. That is not my question. 

Ms. DRAKE. ——as to their projects. 

Senator MENENDEZ. That is not my question, Congresswoman. 

So you are now at FTA, if confirmed, and you are instructed by 

someone, the higher up at the Department of Transportation or for 

that fact the White House, to reject or to downgrade new starts applications for political reasons. What is your answer to that request? 

Ms. DRAKE. Senator, my answer is all projects will be treated 

fairly and in compliance with law. 

Senator MENENDEZ. The answer should be ‘‘No, I will not reject 

or downgrade a project because you politically want it so,’’ and the 

fact that you cannot make that simple statement is alarming to 

me. 

Thank you, Mr. Chairman. 

Chairman CRAPO. Senator Warren. 

Senator WARREN. Thank you, Mr. Chairman. 

We face many serious housing problems in this country. Fifty 

years after the Fair Housing Act passed, housing discrimination is 

rampant. Finding affordable housing is hard, particularly for the 

poorest families. Victims of natural disasters are struggling to rebuild their communities. HUD has a very long to-do list. 

Now, Mr. Appleton, you have been nominated to lead HUD’s Office of Policy Development and Research. That office collects data 

about the housing problems American families face and tries to test 

out possible solutions. This is one of the most important jobs at 

HUD because the only way to fix hard problems is to follow the evidence. So I want to explore how you will approach your job. 

Mr. Appleton, I understand that one of the areas your office will 

look into is housing affordability; is that right? 

Mr. APPLETON. Yes, ma’am. 

Senator WARREN. Thank you. 

As you know, HUD provides support to low-income families in a 

couple of ways, including the Housing Choice Voucher Program. 

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14 

son’s income are now sometimes years long before families can get 

these. 

In fact, the Office of Policy Development and Research, the office 

that you would head up, has already found that fewer than one in 

four people who qualify for HUD housing assistance get it; is that 

right? 

Mr. APPLETON. Yes, ma’am. 

Senator WARREN. Yeah. Well, what that means is that three in 

four who qualify do not get it, and many pay more than 50 percent 

of their incomes on housing. That leaves almost nothing for food or 

shelter or child care or medical emergencies, and families just cannot make the math work. 

According to a new study, 2.3 million people were evicted from 

their housing in 2016, but HUD is not even trying to meet this 

need. HUD’s 2019 budget requests cuts in funding for its rental assistance program by 11 percent. Draft legislation revealed that the 

White House was planning to raise rents and impose work requirements on families who already receiving housing support. 

These changes are driven by politics, not by policy and not by 

evidence. Experts say that the vast majority of residents who receive housing assistance already work, if they can, and that they 

still need help. 

So if you are confirmed, you will be Ben Carson’s principal advisor on policy, on program evaluations, and on basic research. Do 

you promise that you will accurately convey what the data show 

and push for a proven evidence-based solution in every conversation you have with him? 

Mr. APPLETON. Without question, yes. 

Senator WARREN. Good. I want you to hear me. I said every conversation. 

Mr. APPLETON. Yes. 

Senator WARREN. All right. And does that include situations 

where your answer is ‘‘We need more money’’? 

Mr. APPLETON. Yes. 

Senator WARREN. Good. 

A home is more than a shelter. It is the foundation for a family 

to build a life, to build a little economic security. A child with a 

stable home can stay in the same school all year, focus on learning 

instead of worrying about when they are going to have to pack up 

their toys and move. Young parents buy a home in order to try to 

build some wealth and ultimately be able to use it to send their 

kids to college or as collateral to start a business. 

Since Secretary Carson took over, HUD has taken one action 

after another that has cut the legs out from underneath American 

families. He has dismissed the challenges poor families have in 

finding housing and ignored information about how HUD can help 

them, and that policy is bad. It is also cruel. 

So I hope you will work to reverse that trend. 

Mr. APPLETON. Absolutely. I am committed to working with you 

and this Committee and following the evidence and the research 

where it leads us. I think it is really important. 

Senator WARREN. Thank you, Mr. Appleton. I appreciate it. 

Thank you, Mr. Chairman. Thirty-eight seconds under. 

Chairman CRAPO. Duly noted. 

15 

Senator Rounds. 

Senator ROUNDS. Thank you, Mr. Chairman. 

Good morning. Mr. Nadaner, you touched on this briefly when 

you responded to the Chairman, but let me ask you to elaborate 

a little bit. Do you have any thoughts on this particular CFIUS legislation? Are there any closer areas that you think the Committee 

should be taking a closer look at with regards to the CFIUS reform? Can you flesh it out a little bit in terms of your thought process? 

Mr. NADANER. Yes, Senator Rounds. 

I participated in the CFIUS process when I was a Defense Department official, and that was following a congressional effort to 

strengthen the process following Dubai Ports, and that was a good 

thing. 

I think the threat has grown only since then. So I think it is 

wise, and I think it is salutary that the legislation is being revisited. 

However, I would note that—it is a great strength of the American system that we have monitored in-bound investment into the 

United States in one process and that export controls in another 

process, and the export control system is very advanced. It is the 

most advanced system in the world. 

In fact, one of the missions of export enforcement at Commerce 

is to help other countries develop their capacity for such a system. 

So I would say that I have not been privy to the latest Administration positions on CFIUS reform or negotiations with this Committee. However, I would say it is good to update the legislation, 

but at the same time, it is also good to preserve the export control 

system that has been developed very carefully over several Administrations now, going back several decades. 

Senator ROUNDS. OK. Let me move on a little bit to another area 

with regard to dual use technologies. As you know, if you are confirmed, your position will be responsible for dual use export policy. 

With advancements being made in technology of all kinds, it appears to me that the line between what is and what is not considered to be dual use can become a gray area. 

If you are confirmed, how do you plan to make sure that we are 

protecting technologies that have a dual use? 

Mr. NADANER. The law is far-reaching. It had a certain amount 

of genius that was in the original Act several decades ago. It saw 

where things were going that a lot of the research and development 

dynamism was moving toward the commercial sector and, hence, 

sensitive and dual use technologies being of a special concern, not 

just purely military technologies. 

From what I have seen as a nominee, the Department is fairly 

up to date, and Export Administration, if confirmed, my colleague, 

Rich Ashooh, the Assistant Secretary for Export Administration 

and Licensing, it seems to me that this is a matter that they have 

all 10 fingers around. 

If confirmed, from an enforcement perspective, I will certainly 

bring my views to bear, and I have a couple decades involved in 

the technology, particularly the newer realms of technology. 

Senator ROUNDS. Mr. Appleton, as you note in your testimony, 

one of the roles that HUD’s Office of Policy Development and ReVerDate Nov 24 2008 10:12 Jun 04, 2018 Jkt 046629 PO 00000 Frm 00019 Fmt 6633 Sfmt 6633 L:\HEARINGS 2018\04-17 NOMINATIONS\HEARING\41718.TXT JASON
16 

search plays is disseminating economic information of our Nation’s 

housing market. HUD conducts studies, including the American 

Housing Survey, as well as other analysis to determine the health 

and needs of the housing market. 

Overall, what is your current opinion of the housing market, and 

what are your top priorities for HUD’s Office of Policy Development 

and Research if you are confirmed? 

Mr. APPLETON. Thank you for that question, Senator. 

As far as the overall housing market, I think that we are in a 

little bit of a static period. We have seen a recovery since the financial crisis, and we have seen an increase in demand, particularly 

for affordable housing, but we are not able to keep up with that 

demand. 

As far as my priorities for HUD’s Office of Policy Development 

and Research, I am very interested in doing more research on longterm disaster recovery as well as housing affordability and also 

tracking what happens to families who leave HUD assistance. 

We do not have very good metrics in place on if our programs are 

leading to successful exits and outcomes, and I think that that is 

a very important conversation that we need to have. 

Senator ROUNDS. Thank you. 

Mr. Chairman, I am getting close to the end, but may I ask one 

more question of Congresswoman Drake, please? 

Chairman CRAPO. Briefly. 

Senator ROUNDS. Thank you. 

Congresswoman Drake, in addition to serving here on the Banking Committee, I am also a member of the Environment and Public 

Works Committee, where we have had the opportunity to discuss 

in more depth an infrastructure package that the President and 

the Committee have been advocating for. Could you comment on 

the state of our Nation’s transit, briefly, and the infrastructure and 

the role that you believe transit should play in an infrastructure 

package? 

Ms. DRAKE. Mr. Rounds—Senator, I would just comment to you 

that transit plays a very key role, both in the environment in reducing emissions and the use of single-occupant vehicles and is a 

very key component of a successful transportation network to reduce congestion as well. 

So I am very hopeful, if confirmed, that I will be working with 

you in the future on those issues and that we will have further discussions about it. 

Senator ROUNDS. And besides that, there may be a revenue 

source involved there as well. 

Ms. DRAKE. That would be very helpful. Thank you. 

Senator ROUNDS. Thank you. 

Thank you, Mr. Chairman. 

Chairman CRAPO. Thank you, Senator. 

Senator Donnelly. 

Senator DONNELLY. Thank you, Mr. Chairman. 

I want to thank the witnesses and your families, and it is great 

to have your families here as well. Thank you very much. 

Ms. Drake, as we discussed when we met last week, I am fortunate to come from a State that understands the importance of public transit. 

17 

We have a number of communities that are investing in transit 

systems in order to ease congestion and grow local and regional 

economies. 

The support for these projects is bipartisan. It spans the gamut 

of Federal, State, and local governments. From myself to the Governor to the local county and city councils, we have expressed support for smart and sensible investments in effective transit. 

I also hope to work with President Trump on infrastructure investments as our country desperately needs to commit to improving 

our infrastructure on numerous fronts. 

Unfortunately, when it comes to transit projects, particularly 

those in the Capital Investment Grant Program, projects in Indiana have experienced a number of challenges from this Administration. Indiana has a number of projects in the Capital Investment 

Grant Program. As the projects have slowly progressed, we have 

been dealing with frustrating delays. We have been dealing with 

delayed funding for already approved projects, which creates a 

domino effect, that then delays construction and puts contractors in 

difficult situations with no work for employees and a lack of funds 

for small businesses. 

We have had difficulty getting FTA to communicate with project 

sponsors on concerns FTA has raised to us, and then FTA has 

withheld other concerns until the last minute. 

Ms. Drake, you have worked on these types of projects throughout your career. You know they can take years to develop. You 

know how much up-front hard work it takes for communities before 

they even apply for the funding. When FTA does not uphold its end 

of the bargain, everyone gets frustrated. 

I am not alone with my frustration, as Congress just felt the 

need to use the recent Government funding bill to explicitly direct 

the Department to administer the Capital Investment Grand Program in accordance with the law. 

Should you be confirmed to head FTA, can you commit to me 

that FTA will work in good faith with project sponsors, providing 

prompt answers and reviews, informing project sponsors about concerns, and helping them problem-solve throughout the project? 

Ms. DRAKE. Senator, if confirmed to FTA—and certainly, not 

having been there, I cannot address the concerns that you have 

raised—I do know it takes a very long time. Norfolk has a light rail 

system that took a number of years to be able to bring up, but I 

can commit to you that all projects will be treated fairly, that FTA 

will act in accordance with the law, and that there will be communication between you and the stakeholders involved. 

Senator DONNELLY. In addition, the recent omnibus funding bill 

also included a requirement that FTA provide updated project ratings at the request of the project sponsor. Should you be confirmed, 

can you describe to me what steps you will take to provide these 

updated ratings in a timely basis? 

Ms. DRAKE. Senator, if confirmed, I can commit to you that FTA 

will comply with all aspects of the law, and so although I do not 

know the exact details of how that will happen or what you will 

be provided with, but FTA will comply with the law. And this information will be made available. 

18 

Senator DONNELLY. And last but certainly not least, a lot of Hoosiers rely on transit to get to work each day, and a significant number of my fellow friends and neighbors get up each morning and 

go to work building the buses and the trains that get Americans 

across the country to where they want to go. 

I firmly believe that the Federal Government should be doing everything it can to give preference to American goods and services 

in order to ensure taxpayer dollars are used to support investments 

in American companies and workers. 

Can you commit to me that to the fullest extent possible, FTA 

will buy American? 

Ms. DRAKE. Senator, I can assure you that the Department of 

Transportation and Secretary Chao are working diligently to implement the aspects of Buy America. I join them and am very happy 

to commit to you that I will work with them in implementing Buy 

America. 

Senator DONNELLY. Thank you. 

Thank you, Mr. Chairman. 

Chairman CRAPO. Thank you. 

Senator Van Hollen. 

Senator VAN HOLLEN. Thank you, Mr. Chairman, and welcome 

to all of you, and congratulations on your nominations. 

I am going to start with Ms. Drake. Good to see you. We served 

together in the House, and when you and I met, I asked you about 

a number of transit issues. Among them was the Washington 

Metro System. 

Ms. DRAKE. Of course. 

Senator VAN HOLLEN. And as a Virginian, I think you understand the importance of our Washington Metro System to the economic health of the region. It is also called the Nation’s Metro System because it transports a large share of the Federal workforce to 

work every day. Is not that right? 

Ms. DRAKE. That is absolutely correct, Senator. 

Senator VAN HOLLEN. And I appreciate your comments regarding 

the imperative for safety, especially following the Fort Totten tragedy. 

The Washington Metro System now is a compact between the 

Federal Government and the District of Columbia, the State of Virginia, and Maryland; is that right? 

Ms. DRAKE. Yes, Senator, it is a compact with the three entities, 

but in Virginia, it is the local governments. 

Senator VAN HOLLEN. Yeah. 

Ms. DRAKE. But the State has stepped into that funding role. 

Senator VAN HOLLEN. Right. 

Mr. Chairman and the Ranking Member just recently—and this 

has been a big issue in our region. The District of Columbia, the 

State of Virginia, and the State of Maryland have now all pledged 

dedicated funding to the Washington Metro System as part of this 

partnership—— 

Ms. DRAKE. Right. 

Senator VAN HOLLEN. ——along with the Federal Government. 

The authorization for that partnership expires at the end of this 

fiscal year. It was a 10-year authorization. The State of Virginia, 

the other parties have now pledged their continued support. In 

19 

fact, they have upped their support in the sense that it is dedicated, right? 

Ms. DRAKE. Yes, Senator. Virginia has stepped up to the $50 million a year. 

Senator VAN HOLLEN. Yeah. And Maryland has recently taken 

those actions too, as has the District of Columbia. 

So when we met, you said you would be committed to working 

with me to ensure the continued Federal commitment to the Washington Metro System, and I just ask you today if you are willing 

to work with us to make sure the Federal Government remains a 

partner going forward. 

Ms. DRAKE. Senator, in the FY19 budget, there is funding for extending PRIIA. 

Senator VAN HOLLEN. Yeah. 

Ms. DRAKE. For fiscal ’19, I can—certainly worked very closely 

with the WMATA system, with Senator Warner, when I was at Department of Rail and Public Transportation, and yes, I can commit 

to you there is significant needs at WMATA. And I intend to work 

very closely with all of you to meet those needs. 

Senator VAN HOLLEN. No, I appreciate that. There was a big 

backup on the Red Line today, apparently at Union Station, so we 

know that we need—— 

Ms. DRAKE. We need—— 

Senator VAN HOLLEN. ——significant effort. 

And I do appreciate, as I told you when we met, that the Administration requested funds—— 

Ms. DRAKE. Yes. 

Senator VAN HOLLEN. ——for fiscal year 2019. We need to up it a little bit. I think the number was $120 million. The annual allotment from the Federal Government has been $150 million, but we 

can work on that. 

But my question is, as you just recognized and as I said in my 

question, that the 10-year authorization does expire at the end of 

this fiscal year. 

Ms. DRAKE. Yes. 

Senator VAN HOLLEN. And what I am asking for is your commitment to maintain the Federal Government’s commitment to the 

Washington Metro. 

Ms. DRAKE. Senator, I can commit to you that, if confirmed, I 

will be very involved in those discussions at FTA and work as diligently as I can to meet the needs of the Metro System. 

Senator VAN HOLLEN. But do you agree that the Federal Government is an essential partner in the Washington Metro System? 

Ms. DRAKE. The Federal Government is an essential partner. I 

can—— 

Senator VAN HOLLEN. OK. 

Ms. DRAKE. I can agree with you on that statement. 

Senator VAN HOLLEN. Thank you. 

So to Mr. Nadaner, congratulations again on your appointment. 

Good to have a Marylander appointed to this position, and some of 

my questions were already covered by the Chairman with respect 

to CFIUS. I really want to make sure that we—you are an important—have important oversight over especially dual use technologies, especially to countries like China, where I think you play 

20 

an essential role to make sure that none of those exports are able 

to be diverted to military purposes. 

And, Mr. Appleton, I see that my time is going to expire shortly, 

but you have been nominated to lead the Policy Development and 

Research operation, which was very involved in the study of HUD’s 

Small Area Fair Market Rents. Are you familiar with that program? 

Mr. APPLETON. I am. 

Senator VAN HOLLEN. And I look forward to the continuing research on that. 

As you probably know, back in August of last year, the current 

Secretary of HUD essentially put that on hold. A court later ordered him to proceed. What is your assessment of that program? 

Because it was designed specifically to make sure that the rents 

provided under the Housing Choice Voucher Program are better 

tailored to allow people to live in a number of different areas and 

move to more higher opportunity areas; is that right? 

Mr. APPLETON. Yeah. I mean, I think I have committed to making sure it is successful. 

My understanding is the reason the mandatory implementation 

was paused over the summer was because of a third-party contractor report that raised concerns about availability of units, 

voucher success rates, and utilization as well as increased rent burdens on voucher households. 

But as you noted, the District Court has directed HUD to implement that, and it is—guidance has been issued. There have been 

live in-person trainings, Web trainings, and also technical assistance deployed by PD&R to ensure that the PHAs in 24 metropolitan areas across the country can implement this successfully. 

Senator VAN HOLLEN. Good. Look forward to working with you 

on that. 

Mr. APPLETON. Me too. 

Senator VAN HOLLEN. Thank you, Mr. Chairman. 

Chairman CRAPO. Thank you. 

Senator CORTEZ MASTO. Thank you. 

Welcome to all of your families, and congratulations to all three 

of you on your nominations. 

Ms. Drake, thank you for taking the time to meet with me. I 

would like to start with you. As we discussed in our meeting, a 

transit is an incredibly important resource in my State, in both 

urban and our rural areas. I cannot tell you how often I hear about 

the challenges and opportunities presented by transit from everyday movement of my constituents to their jobs, education, and to 

providing transportation to the over 40 million visitors every year 

that we have to the State of Nevada. 

It is important in my State, and we talked a little bit about this, 

the projects that are going on from Northern Nevada where the 

Washoe Regional Transportation Commission has a specific Bus 

RAPID Transit Project in the works. It is the Virginia Street Bus 

RAPID Transit project in the works. That will seek FTA support 

to Southern Nevada Regional Transportation Commission, where 

SIG funding is critical for several projects in the Las Vegas area. 

And I have heard directly from our rural Nevada communities 

that they need more options to move the residents in and out of 

21 

town. NDOT reports that over 2.5 million are aided by FTA funds 

to our Nevada Department of Transportation. 

So can I get your commitment that you will be the voice and 

champion that we need in the Department of Transportation to 

make sure that transit is on equal footing with other modes of 

transportation, that you will work with Congress to implement the 

letter and intent of what we pass here through authorization and 

appropriations? 

Ms. DRAKE. Senator, if confirmed to FTA, I can make the commitment to you that I will be the transit advocate, and we talked 

about that in your office. And thank you for taking the time to 

meet with me as well. 

I can also commit to you that all projects will be looked at and 

treated fairly and dealt with in compliance with the law, so I can 

make that commitment to you. 

Senator CORTEZ MASTO. Thank you. 

And then we also talked about how innovation plays a valuable 

role in our—— 

Ms. DRAKE. Yes. 

Senator CORTEZ MASTO. ——transit services, correct? 

And I believe we even talked about the fact that Senator Burr 

and I have introduced a bipartisan bill, the Moving FIRST Act, to 

reestablish a competitive grant program for supporting SMART 

communities throughout the country, both in urban and rural 

areas. 

Can I get your commitment to continue to consider support and 

fund innovation through your various FTA programs, where appropriate? 

Ms. DRAKE. Senator, if confirmed to FTA, I can make the commitment to you that it is absolutely one of my priorities for innovation and for technology to make sure that our transit systems run 

more efficiently, more effectively, provide better service, and it is 

very exciting. I am very excited about some of the things that are 

taking place. 

Senator CORTEZ MASTO. And for that reason, can you just give 

me your thoughts on where you see technology playing a greater 

role in transportation, transportation mode? 

Ms. DRAKE. Well, I think technology in terms of autonomous vehicles, in terms of smart apps that could be used, the research division that is at FTA, just a lot of interesting possibilities there—and 

the goal to make it an easier transit ride where more people will 

choose to use transit rather than driving their vehicles. 

Senator CORTEZ MASTO. Thank you. Thank you very much. 

Mr. Appleton, great to see you again as well. 

Mr. APPLETON. Good to see you, ma’am. 

Senator CORTEZ MASTO. And so we similarly had a conversation, 

and I believe the number one thing we talked about was that nearly every community in this Nation has an affordable housing crisis, 

rental housing crisis. In Nevada, it is rental, high rents. It is lack 

of inventory. It is a number of things. 

So can I ask you, what are the three things you will do to address the affordable rental—let us talk about rental housing crisis. 

Mr. APPLETON. Sure. I think that the first thing I will do is talk 

to my colleagues at Treasury and USDA as part of what is called 

22 

the Rental Policy Working Group. We need to get that elevated, I 

think, to a leadership level. That there is an MOU, I understand, 

that already exists to do that, because in addition to HUD, Treasury runs the Low-Income Housing Tax Credit Program, and 

USDA’s Rural Housing Service is also integrally involved. So that 

is one thing. 

Second, I think HUD and PD&R specifically can serve as a clearinghouse of best practices for communities that want to make 

progress on this, on things such as restrictive growth management 

controls, excessive affordable housing development fees, things of 

that nature, where we can really inform communities on how to do 

things better on the score. 

And last, I think we need to look at the Moving to Work expansion that has been authorized by Congress for 100 additional 

PHAs. One of the things we are going to be testing as part of that 

expansion demonstration is PHA flexibility, and I think that one of 

the things we want to see is if that additional flexibility actually 

leads to being able to serve more households that are currently not 

served. 

Senator CORTEZ MASTO. Thank you. 

And I know my time is running out. Just recently, I convened a 

stakeholders group in Southern Nevada to address affordable housing needs. HUD was there along with USDA. Can I get your commitment that you will continue to be a part of our working group 

to figure out how we address the needs of affordable housing in the 

State of Nevada? 

Mr. APPLETON. Absolutely, Senator. I am fully committed to 

working with you and your constituents on this very important 

issue. 

Senator CORTEZ MASTO. Thank you very much. 

My time has run out. 

Congratulations to all three of you. 

Mr. APPLETON. Thank you. 

Chairman CRAPO. Thank you, Senator. 

And that concludes the questioning for today’s hearing. I again 

thank all of the witnesses for being with us today and for your willingness to serve our country. 

For Senators who wish to submit questions for the record, those 

questions are due next Tuesday, April 24th, and we then ask that 

our nominees please responsd to those questions by the following 

Tuesday, May 1st. 

With that, this hearing is adjourned. 

[Whereupon, at 11:04 a.m., the hearing was adjourned.] 

[Prepared statements, responses to written questions, and additional material supplied for the record follow:] 

23 

PREPARED STATEMENT OF THELMA DRAKE 

TO BE ADMINISTRATOR OF THE FEDERAL TRANSIT ADMINISTRATION

APRIL 17, 2018 

Chairman Crapo, Ranking Member Brown, and distinguished Members of the 

Committee, thank you for the opportunity to address you today and to answer your 

questions. 

I am honored to be nominated to the position of Administrator of the Federal 

Transit Administration. I would like to thank President Trump and Secretary Chao 

for their support and belief in me. 

I view transit as a key component of a transportation network. I realize that 

needs vary across our country and I look forward to engaging in the various discussions with stakeholders as to how construct, maintain, and operate successful systems. 

In Congress, I served on the House Transportation and Infrastructure Committee 

and while serving in the Virginia General Assembly, I was a member of the House 

Transportation Committee. I have also served as a member of the Virginia Commonwealth Transportation Board. 

After leaving Congress, I served as Director of the Virginia Department of Rail 

and Public Transportation (DRPT). While the Director of DRPT, I helped implement 

new processes and performance metrics that enhanced accountability and 

incentivized performance and efficiency for State transit systems. We also created 

a new model for funding capital investments that placed an emphasis on investment 

in rolling stock. My work included involvement with Virginia’s transit systems; the 

Washington Metropolitan Area Transit Authority and Virginia’s commuter rail system, the Virginia Railway Express. 

Secretary Chao and I share the same priorities for transportation. If confirmed, 

my top priorities will be: 

1. The safety of our transit systems and the traveling public 

2. Infrastructure support and investment 

3. Preparing for the future through innovation 

Again, thank you for your time and consideration of my nomination. I would be 

honored to work with each of you on your priorities and to be an advocate for transit 

nationwide. 

24 


41718001.eps

STATEMENT FOR COMPLETION BY PRESIDENTIAL NOMINEES 

N.-: Drake, Thelma Day 

Position to w•ich nomillated: Adminlsttator, Federal Transit Administration 

Date ofnoaiutioa: 

Dateofbi.rth: 20 November, 1949 Plaee of birth: Elyria, o•1o 

Marilll Slltas: Married hl1111111etfspoue: Thomas E. (red) Drake 

Nt~~t aod •&a of dlilclrea: 

Lynn M. So.rey SO 

Jonathan M. (Milk) SaW)aS 41 

Edueatlou: 

Inslitution 

Dates 

attended 

Elyria Catholic Higb Scbool 1963·1967 

Degrees 

received 

Elyria Higb School 1967 High Scbool 

Old Dominion University 1971 

Prefealoaal Tnillill&: 

Dates of 

degiees 

U.S. Department of Homeland Seeurity "Security Clearance Program" 

Virginia Exeeutive Institute (Senior Mauagement Course) 

Hoaon 

udawanb: 

Graduate of the Real Esta1e lmtitutc (GRI) 

Certified~ Specialists (CRS) 

List below Ill sdlolriips. fellowships, boocnry degTees, military medals, booorary 

society membasbips and IllY other special rceognitioos for outslaDding serviec or 

achievement. 

Lead Hampton Roeds Rcgjoual Statesman A ward 2012 

VUgmia Retail Federation 2009 

Soos of the American Rewlutioll Good Citizenship Medal 2008 

U.S. Chamber of Cotnmeroe Spirit of Enterprise A ward 2007 

Small Business and Entrepreneurship Council Small Business Champion 2006 

Natiooal Federation ofbxlepeodent Businesses 2006 

Vugjnia Propeny Rights Coalition John Marsball Award 2000 

Business Community of Hampton Roads OulstandiDg Professional Womm 1997 
25 


41718002.eps

Hamptoa RoW Realto!s Associalion Million Dollar Sales Club 

City of Norfolk Police Department Neigbbodlood WalCh A11'81d 

1985-2004 

1984 

Melllbenllips: List below Ill membcnhips and offices held in professiooal, fraternal, bllsiness, 

scholarly, civic, eharitsble and olher organizations. 

Orpnization Office held (if any) 

V'uginia ColllJilOII\Yellth TIIDSp(lrlalioD ao.d 

Norlhem Virginia TllllSp(ll1ation Commission 

Norlhem Virginia Tnnspor1atioo Auihority 

Hampton Roads Transit 

PotoJMC RappahaMock T1111Sit AUihority 

Virginia Railway Express 

Judeo Christian Outreach Center 

The Helling Place 

Residenlial Optioos ~ 

VFW Ladies Auxililry 

Americal1 Leaioo Ladies AUICiliary 

Lees Frieods 

Granby High Scbool PTA President 

Ocean View Kiwanis 

Associatloo for Research and Enlightenment 

NASLittle~ 

Women's Council of Realtors 

Northside Ci~ League Secretary 

Northside Neighborhood Watch Jmident 

201G-2013 

201G-2013 

201G-2013 

201G-2013 

201G-2013 

201G-2013 

2009-2012 

2015-2017 

2001-2005 

2006-present 

2005-pR!all 

1990-1996 

1991-1994 

1992-1996 

199().p!esent 

1983-1984 

1985-1990 

1981-1981 

1981-1986 

Ellpleymtat menl: List below Ill positions hdd since oollqje, iDcluding the title or descriplioo of job, Olllle 

of employment, loeation of work, aod iDclusive dates of employment 

I. 

2. 

3. 

City ofNorfolk -Assistant D~ctor of Public Works 09-2016 to present 

810UniooSIIeetNorfolk, VA23510 

I oversee the T ran.sportation division 

CityofNorfolk -Stnteg;c TIIIISjQIItioo Planner 05-2015 to 09-2016 

8IO Union Slleet Norfolk, VA 23510 

I was responsible for Ill major tnmportalion projects aod briefing the Mayor IIOd the 

City Manager. This was a part time position. 

Virginia Hospital and Helltbcare Association 09-2014 to 09-20 I 6 

Regional Director for Community and Member Outreach 

4200 lnnslake Dr. Olen Allen, VA 23060 

I was respoosible for outreach to the hospital members, the community and the 

Legislalon in the Hamptcn Roads regioo. This was a part time positioo. 

2 
26 


41718003.eps

4. 

s. 

6. 

1. 

8. 

9. 

10. 

11. 

12. 

13. 

14. 

McGuire Woods Conmting • Community Outrelch 02·2014 to 06-2014 

800 E. Canal Sl Riclmlood, VA 23219 

I worked with the community to explain the Medicaid Expansion issue 

Virginia Department of Rail and Public Transportation 01·2010 to 01-2014 

Director- Served under Virginia Governor Robert F. McDonnell 

600 E. Main St. Richmond, VA 23219 

Responsible for transit and passenger and freight rail programs including 

fu00iug/gi1Dt propms. 

William 1!. Wood and Associates Real &tate 

12081!.UttlcC!mRd.Norfolk, VA23S18 

Real estate sales lgelll 

OS-2009 to 12·2009 

Future Law- consultant 05-2009 to 12·2009 

823 B. Main St. Richmond, VA 23219 

I~ generated eny business nor was I ever rqistered to lobby for anyone. 

U.S. House ofRepresentllives -~VA 2 01·2005 to 01·2009 

Washington. DC 

ReMax Allegiance Realty 06-2000 to ()9..2004 

7423 Granby St. Norfolk, VA 23SOS 

Real estate sales agent 

Virginia House of Del~-Delegate &7111 district 01-1996 to 11·2004 

Capitol Square Richmond, VA 23219 

Gifford Realty 06-19&4 to ()6.2000 

15471!. UttlcC!mRd. NO!folk, VA23S18 

Real estate sales .gent 

Sawyers Auction and Realty 06-1976 to 05-1984 

7461 Tidewater Or. Norfolk, VA 23505 

This was a family owned business that did auctions, pawn sbop and real es1ate 

Exterior Decorators 01-1973 to06-1976 

3642 B. Ocean V'JCW Ave. Norfolk, VA 23518 

This was a &mily owned business tbat did vinyl sidin&/bOme improvemeats 

MetropolitaD Enterprises- home sales 

Lafayette Blvd. Norfolk, VA 23509 

Sales position and accounting work 

06-1968 to 10.1972 
27 


41718004.eps

Genr-t 

apcrialet! List lilY~ in or diJec;t asocialion with Fedenl, State, or local gowmmenrs 

including lilY edvisoly, coosultllliw, booorl!y or other part lime stn'ice or positioos 

FEDERAL: 

CoogmswollWI VA 2"' District US House of Rqnsentative 2005-2009. I served on Transportation, Armed 

Services, Natural ResourteS and Education and WO!kforce. 

Represemed the dislrict with the lqest nllll!u of actM duty stn'ice men and 'MlmeD and their flmilies 

and Ill brmcbesofthe U.S military bed atleatooe facility in thel"'c!isu:ic:t. 

Worked elosely with the V'uginia Deleption to ddlect multiple efforts in the 2005 Base Realignment 

and Closure process as well as the Fiscal Year 2008 Nationl! Defense Authorization Act to elose Oceana 

Navl! Air Station. 

Worked with the U.S. Army and DOD to secure funding of the seawl!l at Ft Monroe to protect this 

historic base from po&1ible 110nn surge and dlmlging flooding. The efforts of my c:oogressiooal office 

revened a pier decision and RAiled in the historic si1e being preseMd for future developmeol for 

alternlle JUPOSICS. 

Actively worked with tht.o.SecrecaryofHomdaod Security, Michael Cbertoff, to educate him about the 

Virginia Port Authority (VPA) and to enable the VPA to apply for USA! grants. 

Was the leading member of Congress that worked to ensure language in the 2007 Water Resourtes and 

Development Act (WRDA) that autborized the eastward expension of Craney Island. The expansion, 

once completed, will generD over 54,000 jobs at the Port of Virginia. 

In my role for the City ofNod'olt I meet regularly with the U.S. Navy representatives n:prding 

IIIDSpOrlllion issues and other issues in the Norfolk area. 

As the Director of the~ ofRailllldPublic Transportation(DRPl) I negotiated the relll1l of 

Amtrak Passenger Rail service to Norfolk, VA. This is Nod'olk's tint rail service since 197711ld 

provided passengers with the ability to !Tavel from Norfolk, by rail, to popular northem routes and 

destinatioos. When I left DRPT Virginia passenger rail service was reeogniud as one of the best state 

sponsored services in the nation. 

During my temue at DRPT Virpia was the 1

11 stale to c:ontract with Amtnlc to continue JliSSCil&U rail 

service under the new fedenl reguillions-PRIIA. 

Closely collaborated with Maryland, DC and Fedecal entities to solve and improve safety oversight of 

fixed tTansportation systtms with full positive support from the executive leadership in the 3 sep1111te 

jurisdictions. 

As Director ofORPT I was cowed after the WMATA I Fl Totten aa:idellt ckJring the National 

Transportation Safety BoW iDvestigallon. 
28 


41718005.eps

Commonwealth of Virginia: 

Director DepartmentofRail and PubUc Transportation (DRPT)-2010-2014. 

I served under Virginia Governor Robert F. McDonnell. Vilginia separates the Transportation Department into 

Virginia Oepertmeot of Transportation (V001') for roads, bridges and DRYI' is responsible for all tnmsit, rail, 

telewcn and tnmportation demand ~l 

iDieracled between the Virginia Deputment of Transportation (VOOl), the Melropolilln WasllingtoD Ailpon 

A!Cority (MWW A) and the WISbiDgloo MetropolitiD Transit Au!hority (WMA TA) to I'CSOM opmlioaal 

issues. 

Saved durin& the oooslruction of phase I of the Dulles Metro rail extension and participated in finalizing the 

funding arrangements for phase 2 into Loudoun County as Sec!etary Sean Collll8ughton's rqmentative. 

Wu successful in lobbying for the Virginia Governor's appoinlment to the WMA TA board and the creation of a 

code of ethics/ standards for the Virginia board membm and MD and DC joiDed in that effort. 

As the Director,! served oolbe Commoawealth lilnsportllion Boad, Northern Virginia Tl1llSpOrtalion 

Commission, Northern Vnginia TIIIISpOII&Iioo Auibority, Polomac and Rappablnooc:t TIWpOIIalioo 

Canmissioo, ll1d the Hllllploo Roads Trwit board. 

Delegate- Virginia House of Delegates 1996-2004 

I setved on Transportation, GenenU Laws, Finance and Labor and Indusby. I chai~ the Virginia Housing 

Study Commission and served on the Cbeslpcake Bay Commission. 

During my 9 years in the Virginia House of Deleptea I Wlllked closely with all depc1meols of state 

go\UiliJielll Those relalionsbips COIIIinue today. 

LOCAL: 

Assistant Director of Public Works- Transportation for the City of Norfolk, VA., 

City trwpOrtalioo issues m Wlder me. I am the city's liaison with Olhe: cities in our region, the rqmeolalive 

to our!C8ionalll1mpOrtJ!ioo plaanina ocpniDii<lll and with the Vqinia Depertmelll ofTramportatioo and the 

SeadMy ofTI'IDSpOitalioo's office. My duties ioclude in'VO!mnem with lfamp(oo Roads Transit llld Jam 

fW!y enpaed in a~ of service policy llld rqjonal fillding. I have represented the City ofNorfolk It 

the Genertl Assembly as a registen:d, Vuginia lobbyist 

While serving on the board of the DOn· profit 1udeo Christian OutreaCh Center I facilitated the long-stalled 

constroolion of a velelan's transitional housing project with the City ofVil:g!nia &ach. 

5 
29 


41718006.eps

As a member of the U.S. Congress I represented local governments from the Viiginia/Maryland border on 

Virginia's Easter Shore, the city of Virginia Beach, part of Norfolk and part of the City of Hampton. I have a 

long history of working with our Vizginia localities. 

Pub!Dhed 

Writingt: 

Political 

A1111iatioDS 

List the titles, publishers and dates of books, articles, reports or other published materials 

you have written. 

None 

aod activities: List memberships and offices held in and services reodered to aU politieal parties or 

Political 

election committees during the last I 0 years. 

Member US House of Representatives 2"' District VA 

Member Virginia House of Delegates 811' District 

Republican Party of Virginia-member 

Republican Party ofNorfolk, VA -member 

2005-2009 

1996-2004 

Tusk and Trunk (2"' District VA Republican organization) vice chairman 2009-2010 

Contributions: Itemize aU politieal contributions of$500 or more to any iodividual, campaign 

organization, politieal party, politieal action committee or similar entity during the last 

eight years aod identify specific amounts, dates, and names of recipients. 

SEE A1TACHED SHEETS 

Qualifications: 

Future employmeut 

State fuJJy your qualifications to serve in the position to wbicb you have been named. 

(attach sheet) 

relationships: !.Indicate whether you wiU sever all connections with your present employer, business 

fum, association or organization if you are confinned by the Senate. 

Y es-1 will sever relationships with my current employer- the City of Norfolk, VA 

2. As far as can be foreseen, state whether you have any plans after completing 

govenunent service to resume employment, affiliation or practice with your previous 

employer, business fum, association or organization. 

It is my current intention to seek employment after I ccmplete all duties at FT A. 

3. Has anybody made you a commitment to a job after you leave government? 

No 

6 
30 


41718007.eps

Poteatlal eoafllc:ls 

ofiatemt: 

4. Do you expect to serve the full tenn for which you have been appointed? 

Yes. 

I. Desaibe aey financial arrangements or deferred oompwation agreemeus or other 

continuiDg dealings with busiDess woclata, clients or c:us1omm who will be 

affected by policies which you will iDllueoct in the positioo to wbich you have hem 

nominated. 

No direct benefits will be expected or provided and I will fully comply witb all rules 

and Rglllatiom requiml of 111 adminbtr1lor of the IT A. Of coane, a!ltrmspodltion 

decisions pottntia1ly affect a wide range of stakdloldm. Yet, ibm are no cumot 

and known dealings with business associates, clients or customers who will be 

affected by policies which will be influenced by the IT A. 

2. List any investmem, obligations, liabilities, or other relalionsbips which migbl involve 

potential collflicts of interest with the position to which you have been oominated. 

I do DOt bave lc:tllallmowledge of any Cll1elll investmeols, obligatioos, liabilities, or 

othc:r relalioiiShips wbich might involve potential conllicts of interest with 1he 

position of Administrator of the IT A ... 

3. Desaibe any busiDess relationship, deaJlna or flllaDCial IIaDSaction (other than tax 

pll)'ina) wblcb you have bad cbing the Last I 0 )UIS with the Fedcnl Go\'a'lllllel!t, 

whether for younel~ 011 behalf of a clieot, or acting as an a&eat,lhat might in any 

way constitute or result in a possible conflict of interest with the position to which 

you have been nominated. 

I have no lc:tllal knowledge of any business relatioosbip, dealing or 6naocial 

lransaetion (other than tax paying) which I have had during the Last 10 yeam with the 

Federal Government, whether for myself, or for another person that I have legal 

lllltbority to Jqll'eSCill in a business relationship that would result in a conftict of 

iDierest UDder the Clmlll COIISW:IioD of the reJevmt rules tNI govem conllicts of 

inleresl. 

4. List any lobbying activity during the past ten years in which you have engaged in for the 

pwpose of directly or indirectly iDllucncing the ~ defeat or modilicatioo of 

any lqislltioo al the lllliooalleve! of govanment or affecting the adminisa1tion and 

execution of Dlliooallaw or public policy. 

I was a registered Federal Lobbyist for the Virginia Hospital and Healthcare Association 

(VHHA) io2014, 2015 and 2016. 

In 2014 I was a comuhanl to McGuire Woods to work with the lWnpton Rlleds 

community regarding the Medicaid expansioo issue. 
31 


41718008.eps

In 2015 I was ecuployed dinctly by VHHA and llt1llged meetings and lltalded 

~with VHHA and the V"uginia deleptioa. 

In 2016 I was ~ to rqreseot VHHA did DOt perbm my services at the 

federal Je\oel. 

I was a registered Virginia lobbyist for VHHA in 2015 and 2016. My role was to 

intmct with hospital membm, the community in Hampton Roads and the Hampton 

Roads delegation regvding all hospilal related issues. 

I am a regislend V"Jtginia lobbyist for the City of Norfolk for the 2018 session and 

was ~ for the 2016 1111112017 Genenl Assembly sessioll. My role was all 

bmsportalioo related itans and all ci1y related isMs. 

5. Explain bow )'OU wiU rt!Oive any contlict of interest tliat may be disclosed by your 

ltSJlOII!e3 to the items above. 

The responses do not identify any known coollict of interests of which I am awue of 

at the time of respondiDg. 

I. Give the full ddails of ttrf civil or aiminal proceedina in which )'OU wae a defaldant 

or any inquiry or investigation by a Federal, State, or IOC81 agency in wbicll )'OU were 

the subject of the inquiry or investigation. 

None 

2. Give the full ddails of any prooeedillg. inqciry or investigalico by my JIOfessionll 

assocUtioa includi~ any bar associalioo in wiUc:h )'OU wae the suiject of the 

llocudio& inquiry or investigation. 

None 

8 
32 


41718009.eps

l='G"c. ebt~+r'. b~e.+: • .~s 

commltteejcoml)littee_r report_ year report_ type contributor _1 contribution. contribution. cycle 

C00365692 FORBES FOR 2016 Q2 DAAKE,lliEllftftflmll $US.OO 2016 

COOS54261 COMSTOQ( f 2016 30G DRAKE, lliEUH/111#1111###1 $500.00 2016 

COOS54261 COMSTOCK f 2014 Q3 DRAKE, lliEL 9(7/14 0:00 $500.00 2014 

Cll0370783 GtNGREY FOf 2013 Q2 DRAKE, .lliEliM#fllll#ttl $400.00 2014 

CXl0370783 GINGREY FOI 2013 Q2 DRAKE, THEUII#IIIIIItiii#Mtl $200.00 2014 

CXl04m40 MORGAN GR 2012 121' ' DRAKE, lliEl 5/1/12 0:00 $250.00 2012 

C00355461 CANTOR FOR 2011 Q1 DRAKE, lliELII#.II####rtl $250.00 2012 

C00492462 GEORGE A1.U 2012 Q1 DRAKE, lliMHII#III#Ul $2.5<?.00 2012 

C00075820 NATlONAI. Rl 2012 M4 OAAKE, lliE.t.I#II#HIIIIH $250.00 2012 

C00477240 MORGAN GR 2010 12C ORAKE, THEU#II#II#M#Htl $500.00 2010 

CXl047n40 MORGAN GR 2010 12G OAAKE, lliEUDmlmtl $500.00 2010 

~ 
33 


41718010.eps

CONTRIBUTION REPoRT 2010-2017 

Frank Wagner for Senate 

• $250-3/31f201 s • S2SO-SI26120IS 

• $200- 100712014 

David Yar«y for Delegate 

• $500-91612014 

Joha Cosgrove for Senate 

• S2SO- 512912014 

OleM Davis for Delegate 

• $250-611612014 

Ric:k Morris for Delegate 

• S2SO- 8151l014 

am Stolle for Delegate 

• S2SO-&9/2014 

Tusk&Trunk 

• $250-7/1012016 

Keooeth Alexandtr for Senate 

• $200-Sl25/l016 

Barry Knigbt for Delegale 

• $200-10/612014 

1\elma D. Drake 

iust&Tnmt 

• $1,000- Ul2120l3 

• $500-31512012 

• S2SO- 115/2011 

• $250 - 411412011 

• $2S0-711212011 

• S2S0-7/19f2012 

• $250-10/3112012 

• S2SO-312312010 

• S2SO- Sl21/2017 

• S2SO-Yi0f2010 

Opportunity Virginia PAC 

• $1,000-6/1712010 

Restoration Fund 

• $500-912012016 

• $200-512912014 

VA Hospital& HeaJtbcare A.tsociation 

• S2SO-6130120 IS 

• $250-6/1012016 

Ron Villanueva for Delegate 

• $200-81301201 s • SIOO-IM2/2011 

Kathy Byron for Deleple 

• $250-812M013 

Ricbanl Ottinger for Senate 

• $250-1212/2013 

David Y ar«y for Delegate 

• S2SO-81121201S 

Rob Bloxom for Delepte 

• $200-10117/2014 

Bill DeSteph for Senate 

• S200-101261201S 

Jason Miyate$ for Delegate 

• $200- 919120 IS 

Vih1tldt for Arlington Coooty Boerd 

• $200-3/14114 

Republican Party ofNorfolk 

• $100-1012912010 

Frank Wag~~er for Senate 

• $100-10/1612015 
34 


41718011.eps

Thelma Drake- Qualifications to Serve as FTA Administrator 

Virginia Department of Rail and Public Transportation (DRPD 

1. lied a team at DRPT that Implemented performance metrics in Virginia. The implemented metrlcs 

represented a significant departure from prior methodologies used in Vi!Binia. The performance 

metrits addressed concerns raised by the Vwglnia legislative bodies and provided a level of 

oonfidence that helped IJIUIT secure additional transit funding In the 20131egisiative session. The 

methodology rewarded transit companies that performed more efficiently and with more 

~tabilty.lt eliminated •one silt fits all' fundlnl fomdas in Vwgilla. 

2. I reorpnlzed IJIUIT. The reorpizatlon created a cliief operatinl officer position that was 

responsible for both ral and pubic transit lsslleS in Vtrginia. The prior stn1<111re created 

duplication, adminlstradYe burdens and a failure of the RaH and Transit staff to work together. 

The restructured DRPT allowed DRPT plannefS to work on both ran and transit projects and more 

effectively use the available DRPT enlineen to ovenee capital projects. The limited DRPT 

resources were used In a broader range of transportation projects. 

3. I was actively involved in Virginia's collaboration with Maryland, DC and federal agencies to 

Improve safety oversight for the Metro Rail system. The collaboration had the full support from 

the executive leadership In the relevant jurisdictions. The Ft Totten accident was the triBSer 

event for this effort. 

4. I was the G<r;emor's appointed representadYe on the Northern VIrginia Transportation 

Commission (NVTq and the Potomac Rappahannodc Transportatlon Commission (PRTC), the 

ownets of Virginia Railway Express. The vqtnla Ralw3y Express Is an FTA and VlrJinla funded 

commuter rail operation. 

5. I was engaged In the O'lefSlcht of safety Issues lnYoMng the WMATA Metro Rail and the HRT 

Norfolk lght rail system, known as the Tlde, to Insure compliance with federal law, 49 CfR Part 

659. 

6. I was heavily engaged with the VDOT, WMATA and W/AA to resolve funding, oonstructlon, and 

operational issues related to the expansion of the Metro Rail system Silver Une to Dulles 

7. I worked on the funding mechanism for the Metro Rail system Silver Une phase 2 construction to 

Loudon County and was the VIrginia Transportation secretary's representative to the various 

agencies to create solutions to any obstacles that hindered the construction. 

8. I wor1ced to obtain the leaislatlve approval for the Virginia Governor's appointment to the 

WMATA board and the establishment of new governing policies and an ethics oode for WMATA 

board members. 

9. Led efforts to acquire fund~ and establish the poll<:ies necessary for intercity passqtf ran 

operation$, ~ In the first - ever VWJinia dedicated funcf~ng for passenger rail In Vlrlfnla. 

Additionaly, I worked with AMTRAK to oontlnue passenger rail selVice under the new federal 

~tlons (PRIIA Section 209~ vqJnia was the first state to negotiate a successful oontrac:t 

under the new regulations. 

10.1 worked with Norfolk Southern, CSX and other stakeholders to return passenger raU seMc:e to 

Norfolk after a 35- year gap In sefvlce. The effort required the creation of a oonnectlon from 

Norfolk to Petersburg on Norfolk Southern asseu and on CSX rails from Petersbura through 
35 


41718012.eps

Richmond, Washington DC, New Yorlc Clty and with a potential termination In Boston. The se!Vice 

was operating profltablywithln the first year. 

U.S. Congress and Virginia House of Delegates 

I served on the Transportation Committees In both the Virginia House of Delegates and the U.S. 

Congress. I have a working knowledge of the relevant rules, regulations and funding Issues at both the 

state and federal levels.! have developed relationships with Individuals that are critical links to successful 

transportation policies and ope.ratlons. 

In both legislative bodies, I developed a reputation for studying Issues carefully, for building a consensus 

around difficult issues and exercising sound judgment. I worlced very hard to develop relationships with 

the professionals In the transportation space. These relationships will be an Important ally at the FTA.I 

pursued policies that held transit authorities to standards of accountability and aeated greater 

efficiencies. I am not afraid of change and have proven to be thoughtful about the process. The structure 

that I helped Implement In Virginia is more or less still in place. To the extent an agency can achieve Its 

goals while becoming more efficient and better utilizing its staff, then I will pursue the necessary 

changes. I believe in a strong and vigorous transportation network. Yet, the staff and funding must reflect 

accountability to the legislative bodies and the electorate. 

I have worked as a real estate professional for many years. My real estate experience has sharpened my 

negotiation skills, helped me develop goal focused project management, forced me to address 

unexpected circumstances and worlc with a wide range of state and federal laws. 

I have years of public speaking experience. I have learned to address matters rationally and not 

emotionally. 

I have experience and success In administering complex projects and negotiating agreements with a wide 

range of stakeholders. I have experience In Interacting with the military, private sector leaders, the 

media, policy makers and others that are altlcal to a cohesive transportation policy. 

I am a trusted partne.r.l am adept at developing communication strategies. I have planned and executed 

events of all sizes. I can meet aggressive business goals and objectives. I can motivate and lead teams. I 

can recognize and fully deploy the talent In a team. I understand the balance of being discrete and the 

public's right to know.l am conversant with the freedom of Information rules and requirements. 

In summary, I am an Individual that has successfully worlced in a variety of circumstances to achieve 

meaningful goals and achieve reasonable change. I can worlc with a variety of stakeholders to forge 

consensus. I understand the complex rules and relationships that are part of the FTA.I am a leader.! am 

experienced. I will be a champion of policy and goals that will strengthen the US transportation policy 

and objectives. 
36 

PREPARED STATEMENT OF JEFFREY NADANER 

TO BE ASSISTANT SECRETARY OF COMMERCE FOR EXPORT ENFORCEMENT

APRIL 17, 2018 

Mr. Chairman, Ranking Member Senator Brown, Senators of the Committee, 

With reverence for our Nation’s Constitution, I come before the Members of this 

Senate Committee to be considered for Assistant Secretary of Commerce for Export 

Enforcement. I express my appreciation for the confidence shown by the Secretary 

of Commerce, Wilbur L. Ross, Jr., and the nomination by the President of the 

United States, Donald J. Trump. 

As a child of World War II refugees, I was brought up with a profound gratitude 

for our Nation’s incomparable freedoms, exceptional opportunities for economic betterment and dignity, and the women and men who—day-in and day-out, with little 

note but much dedication and sacrifice—ensure our safety and uphold our laws. 

The Assistant Secretary of Commerce for Export Enforcement and Bureau of Industry and Security as a whole work to ensure that our adversaries do not have 

access to sensitive technologies and weapons of mass destruction. Effective harnessing of the Commerce Department’s capabilities is indispensable to preventing 

the diversion of dual-purpose U.S. technologies to enemies who may threaten our 

military, our homeland, and our citizenry. Enforcement of the law is a sine-qua-non 

for protecting our Nation’s security, and the U.S. defense industrial base and its intricate supply chains, which are its foundation. Robust enforcement is central to ensuring Congressionally mandated sanctions and anti-boycott laws have effect. 

If confirmed, I will bring to bear more than two decades of experience in national 

security, industry, and Federal law—from the vantage points of both the public and 

private sectors. My current duties with the Marine Corps center on U.S.-foreign 

technology competitions, cyber and informational threats, and military and security 

operations. 

Earlier at the Lockheed Martin Co. and several small businesses, I concentrated 

on aerospace and defense technology; mergers, acquisitions, and joint ventures; and 

U.S. procurements and foreign exports. I have managed hardware and software research and development (R&D) portfolios. I have partnered with scientists and engineers in a range of advanced technical domains. I have worked on protecting and 

improving crucial supply chains, global and domestic. Integral to all of my undertakings involving foreign sales and entities was operating under Commerce and 

State Department led export control systems, and anti-boycott and anti-corruption 

laws. 

Before that, while Deputy Assistant Secretary of Defense for Stability Operations 

and Partnership Strategy, I oversaw exports of U.S. military equipment and services 

to countries across the globe. These transfers involved extensive compliance with 

the U.S. export control systems to safeguard sensitive technologies, and protect U.S. 

national interests and values. In this regard, I had the honor of working with both 

sides of the aisle in the Senate and House of Representatives to produce bipartisan 

national security legislation. 

Teaming with the members of the career civil service, I developed short- and longterm national security policies, joined efforts with the intelligence community and 

a range of Federal departments and agencies, and advanced interagency decision 

making. I developed rich experience negotiating with foreign countries on behalf of 

the United States with respect to technology uses, transfers, and partnerships. 

Among my highest privileges has been to serve as a U.S. Department of Justice 

trial attorney. I have represented an array of Federal departments and agencies in 

litigation arising out of their law enforcement, regulatory, and administrative activities. I understand the conditions and frameworks under which our officers and 

agents act. I have seen crimes’ effects. I have conducted investigations and enforced 

subpoenas. I have worked with U.S. Attorney offices. I have filed suits, negotiated 

advantageous settlements, and brought cases to favorable judgment for the United 

States. 

If confirmed by the Senate, I will steadfastly enforce U.S. export controls, sanctions, embargos, and anti-boycott laws, while strenuously advancing policies that 

safeguard American jobs, technologies, and industries that form our indispensable 

national industrial base. Mr. Chairman, Senator Brown, and Senators of the Committee, I will be honored to answer any questions you may have and please accept 

my appreciation for your consideration of this nomination. 

37 


41718013.eps

STATEMENT FOR COMPLETION BY PRESIDENTIAL NOMINEES 

Name: Nadaner 

(Usl) 

Jeffrey 

{Fi!$1) 

(Jeb) 

(Ocher) 

Position to which nomillated: Assistant Sec:retary of Commerce (Export Enforcement) 

Date of nomillation: 

Date of birth: 4April1964 Placeorbirth: NewYork,NY 

(Day) (Moolll) (Yw) 

Marital Status: Married Full name of spouse: Debonh Berkow Nadaner 

Name and ages or children: 

Education: 

Yale University 

Abigail Nadaner 18 

Isaac Nadaner 16 

Lena Nadaner 12 

Institution 

Dates 

attended 

1995-2002 

University or Pennsylvania School or Law 1986·1989 

Duke University 1982-1986 

Degrees Dates of 

received degrees 

Ph.D. May2002 

J.D. May1989 

B.A. May 1986 

Honon 

and awards: 

List below all scholmhips, fellowships, honorary degrees, military medals, honorary 

society memberships aad any other special recognitions for outstanding service or 

achievement. 

• United States Department of Defense Distinguished Public Service Meda~ 2008 

• 352" Civil Affain Ouutandillg Contribution Award, 2004 

• United States Department of State Meritorious Honor Award, 2M2 

• Coca Cola Corporation World Fund Fellow, 1997 

• H. Smith Richardson Foundation Fellowship, 1996 

• Andrew W. Mellon Foundation Fellow·ship, 1996 

• John M. Olin Foundation Fellowship, 1995 
38 


41718014.eps

Memberships: List below all rnembe~ips and offices held in professional, fraternal, business, scholarly, 

civic, charitable and other organizations. 

0rgllllizatioo Office held (if any) 

• District of Columbia Bar Association 

• Pennsylvania Bar Association 

• Jewish Institute for National Security of America Senior Fellow 

• Bipartisan Policy Center Study Leader 

• Institute of Electrical & Electronics Engineers 

• American Institute of Aeronautics & Astronautics 

• Institute of Navigation 

• Turnaround Management Association 

• Armed Forces Communications & Electronics Association 

• Association of Old Crows 

• Association of the US Army 

• Air Force Association 

• Navy League 

• Marine Corps Association 

Dates 

1989-present 

1989-preseot 

2016-present 

2013 

2013-2017 (appros) 

2009·2017 (appros) 

2016-2017 (appros) 

2000-present 

2017-present 

Employment record: List below all positions held since college, including the title or description of job, name 

of employment, location of work, and inclusive dates of employment 

• Director, Brute Krolak Center for Innovation & Creativity, Marine Corps University, 

USMC: Quantico VA, 2016-present 

• Donald Bren Chair in Creative Problem-Solving, US Marine Corps Foundation: Quantico, 

VA, 2016-present 

• Senior Fellow, Jewish Institute for National Security of America (JINSA): Washington, DC 

2015-present 

• Consultant, Genon Lehrman Group, Inc: New York, NY 2014-present 

• Member, BlueQuartz Technologies LLC: Potomac, MD, 2015-2017 

• Member, Whiteoak Global Capital LLC: Potomac, MD, 2014-2017 

• Member, COO, Insignia Consulting Group LLC: Alexandria, VA, 2016-2017 

• COO, Burdeshaw Associates LLC: Alexandria, VA, 2016-2017 

• COO, ErgonometriX LLC (1099 basis): Rockvffie, MD, 2016 
39 


41718015.eps

• Vice President, Engineering & Technology, and Director of Business Development & 

Strategy, Lockheed Martin Co.: Bethesda, MD, 2008-2014 (last year consulting) 

• Deputy Assistant Secretary of Defense (Partnership Strategy and Stability Operations): 

The Pentagon, 2004-2008 

• Member, Uolted States Department of State Poticy Planoing Staff, Seoior Speechwriter to 

Secretary of State Cotin Powell, and Senior Advisor on International Organizations: 

Washington, DC, 2002-2004 

• Partner, Straight Trading Company: New York, NY 1995-2002 

• Attorney, United States Department of Justice: Washington, DC, 1991-1995 

• Associate, Ginsburg, Feldman, and Bress: Washington, DC 1989-1991 

Government 

experience: List any experience in or direct association with Federal, State, or local governments, 

Including any advisory, consultative, honorary or other part time service or positions. 

• Director, Brute Krulak Ceoter for Ia novation & Creativity, Muine Corps University, USMC: 

Quantico VA, 2016-present 

• Deputy Assistant Secretary of Defeose (Partnership Strategy and Stability Operatiou): The 

Pentagon, 2004-2008 

• Member, United States Department of State Poticy Planoiog Staff, Senior Speecbwriter to 

Secretary of State Cotin Powell, and Senior Advisor on International Organizatioos: 

Washington, DC, 2002-2004 

• Attorney, United States Department of Justice: Washington, DC, 1991-1995 

Pubtisbed 

Writings: List the titles, publishers and dates of books, articles, reports or other published materials 

you bave written. 

• "Embracing the Breckinridge Call," Breckinridge Papers, Marine Corps University Press, 

2018 forthcomiog 

• "'Difficult' Is Too Mild a Word for Middle East Negotiations," The Hartford Couraut, Nov. 7, 

1999 
40 


41718016.eps

Political 

Affiliations 

and activities: List memberships and offtces beld in and services rendered to all political parties or 

election committees during the last I 0 years. 

• Romney Readiness Projeet, Volunteer, 21112 

• George W. Busb Presidential Campaign, Volunteer, 1999-2~00 

Political 

Contributions: Itemize all political contributions ofSSOO or more to any individual, campaign 

organization, political party, political action committee or similar entity during the last 

eight years and identify specific amounts, dates, and names of recipients. 

• Tim Scott for Senate, $500.00, Marcb 31, 2014 

Qualifications: State fully your qualifications to serve in the position to which you have been named. 

(attach sheet) 

• Please see Attachment #I -Statement of Qualifications Jeffrey (Jeb) Nadaner 

Future employment 

relationships: !.Indicate whether you will sever all connections with your present employer, business 

firm, association or organization if you are confirmed by the Senate. 

• Yes. 

2. As far as can be foreseen, state whether you have any plans after completing 

government service to resume employment, affiliation or practice with your previous 

employer, business fmn, association or organization. 

• No. 

3. Has anybody made you a commitment to a job after you leave government? 

• No. 

4. Do you expect to serve the full term for which you bave been appointed? 

• Yes. 

4 
41 


41718017.eps

Potential conflicts 

of interest: I. Describe any financial arrangements or deferred compensation agreements or other 

continuing dealings with business associates, clients or customers who will be 

affected by policies which you will influence in the position to which you have been 

nominated. 

• As set forth in my ethics agreement, a copy of which has been provided to 

the Committee, I sold my interest in the Insignia Cnsulting Group LLC to 

that company in ucbange for a promissory note to be paid through April 

2025. To my knowledge, ln.sigoia has not in the past been Involved in or 

affected by policies oftbe Bureau of Industry and Security, but I am 

reporting Ibis agreement in an ncess of caution. 

2. List any investments, obligations, liabilities, or other relationships which might involve 

potential conflicts of interest with the position to which you have been nominated. 

• In connection with the nomination process, I consulted with ethics officials at 

the Department of Commerce and the Office of Government Ethics to 

identify any potential conflict of interest. Any potential conflict of interest 

bas been Identified in my ethics agreement, a copy of which hu been 

provided to the Committee. lam not aware of any potential conflict of 

interest other than those described in my etbles agreement. 

3. Describe any business relationship, dealing or fmancial transaction (other than laX 

paying) which you hm had during the last 10 yem with the Federu Governnten~ 

whether for younelf, on behalf of a client, or acting as an agent, that might in any 

way constitute or result in a possible conflict of interest with the position to which 

you have been nominated. 

• While working for the Lockheed Martin Co, 2008-2014,1 worked with 

Federal employees, officials, and officers with respect to the sale or use of 

Lockheed Martin products and services. In connection with tbe nomination 

process, I have consulted with ethics officials at the Department of 

Commerce and tbe Office of Government Ethics to identify any potential 

conflict of interest Any potential conRict of interest has been identified in 

my ethics agreement, a copy of which has been provided to the Committee. I 

am not aware of any potential conRict of interest other than those described 

in my ethics agreement. 

4. List any lobbying activity during the past ten years in which you have engaged in for 

the purpose of directly or indirectly influencing the passage, defeat or modification 

of any legislation at the national level of government or affecting the administration 

and execution of national law or public policy. 

• None. 
42 


41718018.eps

Civil, criminal and 

investigatory 

actions: 

5. Explain how you will resolve any conflict of interest that may be disclosed by your 

responses to the items above. 

• Any pott~~tlal conflict of interest will be resolved in accordance witb tbe 

terms of my ethics agreement, a copy of which hi.! been provided to the 

Committee. 

I. Give the full details of any civil or criminal proceeding in which you were a defendant 

or any inquiry or investigation by a Federal, State, or local agency in which you were 

the subject of the inquiry or investigation. 

• None. 

2. Give the full details of any proceeding, inquiry or investigation by any professional 

association including any bar association in which you were the subject of the 

proceeding, inquiry or investigation. 

• None. 
43 


41718019.eps

Statement of Qualifications: Jeffrey (Jeb) Naduer 

Attachment#l 

February 20, 2018 

(240) 426-4143 

jeb.nadaner@gmail.com 

For more than two dtcades,l have focused on US natiooal security, industrial technology, and 

ftderal legal compliance. CUrrently,l direct the USMC Brute Krulak Center of innovation & Creativity 

and bold the Marine Corps University Foundation's Donald Brtn Olair of Creative Problem-Solving. My 

work for the Marine Corps centers oo US-fo~gn technology competitions, future military operations, 

and cyber and infoonational security threats. 

Earlier at the Lockheed Martin Co. and sevenl smalllillsinesses, my primary concentration was 

oo high technology aerospace and defense research and developm<:nt; mergers, acquisitions, and joint 

ventures; and US procurements and fo~gn exports. As Vice President of Engineering & Technology at 

Lockheed Martin, I worked on R&D investments in a range of technical domains, hardware and software 

improvements, and proteering and improving domestic and global supply cbains. As Director of Business 

Development and Strategy, I advanced foreign and domestic sales of sophisticated American products and 

servioes. In these private sector roles, I worked with scientists and enginem oo an array of complex 

technologies critical to US security. lntegJal to projects involving foreign sales or foreign entities was 

operating under the Department of Commerce, Defense, and State export control systems, and the anti· 

boycott, and anti-<Orruption laws. 

While Depuy Assistant SecreWy of Defense for Stability Operations and Partnership Strategy, I 

o,·ersaw the export of ntilitary equipment and security services to US partner nations and allies across the 

globe for counter-Jl!olifention,law enforcement, and counter-temrism. Each I!Wfer involved 

compliance with the US export control system to protect sensitive US technologies and interests. I 

developed national security policies tllld legislative proposals, adminiSiered security progJ11DS, worked 

with the intelligence community, and contribtlled to interagency decision-making. I negotiated on behalf 

of the United States with foreiin countries with respect to technology system uses, transfers, and 

partnerships. I efficiendy managed appropriated resouroes and effectively led members of the career 

service. SecreWy of Defense Robert GateS awarded me the Medal for Distinguished Public Service. 

At the US Department of State, I served as a l!ltiOOer of the Policy Planning Staff, senior 

speechwriter to Secretary of State Colin PoweU, and senior advisor oo intenwional organizatioos. I 

received the State Department Meritorious Honor Award. 

As a US Department of Justice attorney, I represented a series of federal departments and 

agencies in litigation arising out of their regulatory, administrative, and enforoement actions and 

activities. My experience included conducling investigations, enforcing subpoenas, filing sui~ partnering 

with law enforcemen~ negotiating favorable settlements, and bringing cases to judgment for the United 

States. 

I earned my J.D. at !he University of Pennsylvania Sdlool of Law, Ph.D. at Yale University, and 

B.A. at Duke University. 
44 


41718020.eps

Mr.David~i 

Designated Agency Ethics OtrJCial 

U.S. Depanment ofConunerce 

140 I Constitution A venue, NW 

Washington. DC 20230 

Ow Mr. Maggi: 

The purpose of this letter is to describe the steps that I will take to avoid any actual or 

apparent conflict ofintmst io the eveot that I am confirmed for the position of Assistant 

Secretary for Export Enforctme~~t for Industry and Security. 

As rtquired by 18 U.S.C. § 208(a), I will not participate penooally aod substantially in 

any particular matter io which I know that I have a flll8DCial intmst directly aod predictably 

affected by the matter, or in which I know that a person whose interests are imputed to me has a 

financial iotmst directly and predictably affected by the matter, unless I first obtain a written 

waiver, pursuant to 18 U.S. C.§ 208(bXI), or qualify for a regulatoly exemption, p11SU81lt to 18 

U.S.C. § 208(b)(2). I understand that the interests of the following penons are imputed to me: 

any spouse or minor child of mine; any general p11111er of a parmersbip io ld!ich I am a limited 

or general partner; any organization in which I serve as officer, direclor, trustee, general pertDer 

or employee; and any person or organization with which I am negotiating or have an 

anangement c:oncerni.ng prospective employment. 

Upon conf1J1Dalion,J will resign from my positions with the following entities: The 

Marine Corps University, The Manne Corps University FOWidation aod The Jewish Institu~eNational Security (JINSA). I also will resign my position from Gerson Lehrman Group Inc., an 

entity through which I provided~ seMces. Fot a period of one ytsr after my 

resignation from each of th~ entities, I will not participalt personally aod substantially io my 

particular matter involving specific parties in which I know that entity is a party or represents a 

party, unless I am first authorized to participate, )liiSUIIlt to S c.F .R. § 2635.502(d).l also will 

not participate personally and substantially in any particular matter involving specific parties in 

which I know a former ctient of mine is a party or represents a party for a period of ooe year 

after !last provided se:vice to that client, unless I am first authorized to perticipace, punlliDl to 5 

C.F.R. § 263S.S02(d). . 

I resigned from my position with Btldeshaw Asmales LLC io March 2017. For a 

period of one year after my resignation from Burdesbaw Associates, I will not participate 

pmooa1ly and subslaDtially io my particular ma1ter involving specific parties io ld!ich I mow 

that entity is a party or represents a party, unless I am first authorized to perticipate, pursuant to S 

C.F.R. § 2635.502(d). 

I resigned from my position with Insignia Consulting Group LLC (Insignia) io March 

2017. On November 3, 2017, I entered into an egreement with Insignia pursuant to which 

Insignia ape! to purchase my iotaesl io the COI!Ipllly (which iocluded my equity in the 

company and a Ioao to the company) in Cltchange for a promissory note that will be paid through 

Aprii202S. If there is a default Wider the promis!ory note, I will not accept or receive f1!.Y 
45 


41718021.eps

2 

equity in Insignia in lieu ofrepaymem of amounts owed 10 me by the complliY. Until! have 

rtceived all amounlS owed 10 me by lnsignil, I will 1101 pertieipllc penoGI!Iy end substaotially in 

any perticuJar maaer tba110 my knowledge bas a dim:t end pRdictable effect on the ability or 

willingness of Insignia to make full peyment to me. unless I lint obcain a wriuen waiver, 

pursuant to 18 U.S. C.§ 208(bXI~ Moreover. until I have received full payment from Insignia, I 

will not participate personally and substantially in any particular matter Involving specific parties 

in which 1 know Insignia is a party or represents a party, unless I am first authorized to 

participate. pursuant to 5 C.F.R. § 263S.502(d). 

In .lune 2017. I filed certificates of cancellation for BlueQuartz Tcclmologies LLC, 

BlueQuartz Technologies NA LLC, BlueQuartzAerospace ILC, BlueQuartzAerospace & 

Defense LlC and Whiteoak Global Capital, which~ accepiCd. Prior to the caocellatioo of 

BlueQuartt Technologies LLC, I provided consulting services through tbal entity. l will DOl 

participate personally and substantially in any particular maner involving specific parties in 

which I know a former client of mine is a party or represeots a party for a period of one year 

after I last provided service to tba1 client. unless I am first authorized to participate, pursuant to 5 

C.F.R. § 2635.502(d). 

I have an ownmhip iniCieSt in Rudolf Friedmann loc., Akxaodc:r Nadaner Imports 

Corporation and Straight Trading Co .• small family-owned blmnesses. I do 1101 bold a position 

with any of tbese entities. I will continue to have a fioaocial inlatst in each of these eotities, but 

I will DOt provide services material to the production of income. Instead, I will receiVe only 

passive investment income from each of these. I will not participate personally and substantially 

in any particular matter that to my knowledge bas a direct and predictable effect on the finaneial 

interests of any of these e~~tities, unless I fust obtain a 'Mitten waiver, pUI'SU81\t to 18 U.S.C. 

§ 208(bXJ). 

I have a receivable payment owed to me by Fon:epoiDI. a subsidiary of Ray1heoo. I will 

1101 participalC personally and substaotial.ly in any particular mauer that to my knowledge bas a 

direct and predietable effect oo the ability or willingDess of Raytheon or any of its subsidiaries to 

pay amounts owed to me, unless I first oblain a 'M'itten waiver, pursuant to 18 U.S.C. 

§ 208(bXI). 

My spouse is employed as a Project Finance Controller for ICF International, Inc., a 

position for which sbe receives a fixed annual salary. For as loog as my spouse is employed by 

ICF lnteroatiollll, Inc. I will not participale personally and substaotially in any particular llll1ter 

involving specifte parties in which I !mow ICF Inmatiollll, Inc. is a party or represents a party, 

unless I am lint authorized to participate, pursuant to S C.F.R. § 263S.S02(d). 

If I have a managed account or otherwise use the services of an invesnnent professional 

during my appointment, I will ensure that the account manager or investtnent professional 

oblains my prior approval on a ease-by-we basis for the purehase of any wets other 1han casb, 

cash equivalents, investment funds that qualify for the exemption ItS C.F.R. § 2640.20l(a), 

obligations of the United States, or municipal bonds. 
46 


41718022.eps

3 

lfl rely on a dt minimis exempcioo under S C.F.R. § 2640.201(b) with regard to IllY of 

my financial inttresiS in sedor mutual funds. I will monitor the value of those intereStS. If the 

aggregate value of my intel'eSIS in sector mutual fiiiCis that ooncenttate in arri one sector exoeeds 

SSO.OOO,I will not participate personally and $Ubslantially in any particular matter that to my 

knowledge has a direct and predictable effect on the financial interests of any holdings of the 

funds that are in the specific sector in which the funds concentrate, unless I first obtain a written 

waiver pursuant to 18 U.S.C. § 208(b)(l). or qualify for a regulatory exemption, pursuant to 

18 u.s.c. § 208(b)(2). 

I will meet in person with you during the first week of my service in the position of 

Assistant Secretary for Export Enforcement for Industry and Security in order to complete the 

initial e1hics briefing required under S C.F.R. § 2638.305. Within 90 days of my confumation, I 

will document my oompliance with this e1hies apment by DOtifying you in writing when I 

have completed the steps described in this e1hies agreemenl 

I Wldetstand thai as an appointee I will be required to sign the Ethics Pledge (Exec. Order 

No. 13770) and that I will be bound by the requirements and restrictions therein in addition to the 

commitments I have made in this ethics agrcemenl 

I have been advised that this ethics agrcement will be posted publicly, consistent with 5 

U.S.C. § 552, on the website of the U.S. Office of Government Ethics with ethics agreements of 

other Presidential nominees who file public financial disclosure reports. 

Sincerely, 

Jeffrey Q.:adaner. Date: li, 'I.OCI 
47 

PREPARED STATEMENT OF SETH APPLETON 

TO BE ASSISTANT SECRETARY OF HOUSING AND URBAN DEVELOPMENT FOR POLICY

DEVELOPMENT AND RESEARCH

APRIL 17, 2018 

Chairman Crapo, Ranking Member Brown, distinguished Members of this Committee, thank you for convening this hearing. It is an honor to appear before you 

as the nominee to be Assistant Secretary of Housing and Urban Development for 

Policy Development and Research. As a former staffer in the House of Representatives, I have sat along the wall behind the dais, but never at the witness table. To 

be sure, it is a humbling experience, as I have a great deal of respect for this institution and the important role it plays in confirming nominees for service in the executive branch. 

Before I begin my testimony, I would like to recognize my family. My wife, 

Brooke, is here today. In typical Capitol Hill fashion, we met first as colleagues in 

the House. My mother, Susan, and my father, Bob, are both here today from St. 

Louis. My mom has been a law professor for the last 43 years and taught me the 

value of research from a very young age. My brother, Jesse, and his wife, Ali, are 

here from St. Louis, too. Along with them is my nephew Bennett, who will soon be 

celebrating his first birthday. Hopefully, he will enjoy his first congressional hearing. On Brooke’s side of the family are my in-laws, Barb and Tim Shupe from 

Stanberry, Missouri. Last, but certainly not least, is my grandmother Winifred 

Frelich, who, hopefully, is watching the broadcast at home in St. Louis. She just 

celebrated her 93rd birthday on Friday and reminded me that she was the one who 

brought me to Washington, and indeed the Senate, for the very first time during 

a spring break nearly 30 years ago. In addition to my family, I would also like to 

thank Senators Blunt and McCaskill, as well as the entire Missouri congressional 

delegation, Republicans and Democrats alike, for supporting my nomination. 

HUD’s Office of Policy Development and Research (PD&R) plays a critical role for 

the entire Department, coordinating recommendations on policy matters, overseeing 

research projects and demonstrations, disseminating economic information, and 

managing international programs and philanthropic initiatives. It is on the cutting 

edge of identifying new trends and finding innovative solutions to the housing and 

community development challenges of the day. As such, the Assistant Secretary 

must be familiar with the public policy development process, understand the importance of sound research in formulating evidence-based solutions, and provide effective leadership, management, and budget oversight to the PD&R team. If confirmed, 

I am committed to serving as a partner to this Committee and the Congress, which 

has long been involved in shaping PD&R’s research and policy work. 

I believe I am well-suited to serve in this position based on my public policy and 

management experience. Following my graduation from Stanford, I worked in the 

U.S. House for 13 years, first as a legislative staffer, then as a Chief of Staff. As 

a legislative staffer, my portfolio included housing policy, and I later had the opportunity to really focus on this topic, as it was a priority for Congressman Luetkemeyer in his role as Chairman of the Subcommittee on Housing and Insurance. An 

example of the policies we worked on is H.R. 3700, the Housing Opportunity 

Through Modernization Act (HOTMA), which passed both the House and Senate 

unanimously and was signed into law by President Obama in 2016. 

In addition to focusing on policy matters, I gained valuable management experience in the course of building, organizing, and leading a team of staffers in Missouri 

and Washington. I worked to ensure our entire team was involved in a collaborative 

process to craft sound initiatives. This included everything from generating ideas, 

to reviewing research, to developing partnerships and building coalitions. All of this 

was done with one underlying objective in mind: to improve the lives of the people 

we served. 

In July 2017, I left my position in the House to join HUD as General Deputy Assistant Secretary and Acting Assistant Secretary in the Office of Congressional and 

Intergovernmental Relations. Besides affording me the opportunity to work with 

many of the Senators and staff in this room, this role has also allowed me to interact with all of the Department’s program and support offices, across silos, including 

PD&R. Prior to being nominated, I worked with PD&R’s staff on a variety of issues 

including grants, university partnerships, technical assistance, and disaster response. 

PD&R has an outstanding team of dedicated civil servants. If confirmed, I very 

much look forward to leading that team, advocating for its work, and ensuring that 

its products meet Congress’ intent and are utilized for the betterment of those 

48 

served by HUD. Our policy solutions should be evidenced-based, backed by sound 

data, and tested by well-designed demonstrations and thorough research. 

In closing, I believe my housing policy and management experience in the legislative and executive branches has prepared me well to serve as Assistant Secretary. 

If confirmed, I look forward to working with this Committee to advance policies that 

address the priorities and needs of the American people. I would be pleased to answer your questions and honored to earn your support. 

49 


41718023.eps

STATEMENT FOR COMPLETION BY PRESIDENTIAL NOMINEES 

Name: Appleton 

(Last) 

Selh 

(First) 

Daniel 

(Diller) 

Position to which nominated: Assislallt Secretary of IIDD for Policy Developmeot and Research 

Date of nomination: February 5, 2018 

Date of birth: 28 January 1982 Place or birth: St. Louis, Missouri 

(!Ry) (MOillb) (Year) 

Marital Status: Married Full name or spouse: Brooke Shupe Appleton 

Name and ages of children: N/A 

Education: 

Honors 

and awards: 

Memberships: 

Institution 

Dates 

attended 

Degrees 

received 

Dates of 

degrees 

Stanford University 09100.-06104 B.A.,HiSIOI)' June2004 

List below all scholarships, fellowships, honorary degrees, military medals, honorary 

society memberships and any olher special recognitions for outstanding service or 

achievement. 

Patrick Henry A ward, National Guard Association of the United States (NGAUS) 

Sandra Day O'Connor Public ·Scrvkt Award, StanfO!d University 

List below all memberships and offices held in professional, fraternal, business, scholarly, 

civic, charitable and olher organizations. 

Organization 

SWlfonl Alumni Association 

CapilOII!iUCiub 

Hoose Clliefs of S11ff Association 

Jesse D. Appleton Charitable Tru~ 

ll60ub 

Office hela (if any) 

NIA 

NIA 

NIA 

Co-T~ 

NIA 

Dates 

2004 - Present 

2004 - Present 

2009 - 2017 

2013 - Present 

2016-Prestnl 

Employment record: List below all positions held since college, including lhe title or description of job, name 

of employment, location of work, and inclusive dates of employment. 

U.S. DepaiUnelll of Housing and Urban Developnxnl (July 2017 -Present) WasllinglDil. DC 

Acciog Assistant Secrewy and Genenl Deputy Assisllnl Seaol2J)' for Congrossional and Intergovemmenlll 

Rel!tioos. 

I ser\~ as a principal advisor 10 tbe Secrmry, Deputy Seattaly, and Department leadership on 

legisllli ve matters, Coogrusiooal relations. and interactions wilh Slatt, county, and municipal governments. 

This includes providing analysis and advice on legislative matters, St~Ving as lhe Semury's fiaison to lhe 

Congress and sl>te and local government offidtls. advancing lhe Depanmenl's legislative agenda. coonlinating 

Congressional lestimony, assisling HUD's oominees wilh Secate coofirmatioo, ~t.~ponding 10 legislative, 

policy, and oversight inquiries, and coordinating with llle While House and OCher exewtive 

llepartmen~ on intmgency legislaJive mailerS. Unti Idle Stna!e confirmation and swearing·in of lhe AssisUnl 
50 


41718024.eps

Government 

experience: 

Published 

Writings: 

Political 

Affiliations 

SemWy fiw Coogtessioaal and Intergov.mmet\lal Relaaoos in January 2018,1 seMd as Acting A»istanl 

SemWy. 

U.S. Congrt$$11W! Blaine Luelkemeyer (Ianuary2009 -July 2017) Wasbing100. DC 

R-om January 200910 December 2010, 1101\'ed as dle Congressman's upsl>liv.!Mclor. Beginning in June 

2009 and unlilluly 2017,1 seMd as alief of Slaff. I seMd as lhe Coogessman's 10p po6cy and 

adminislnav. aide and supporled him in his c.tpacity as Cbaitman of !he HOCISing and Insurance 

SUbcommittee, Cbainnaa of !he Fmancial Inl1irutions and Coosumet Credil Subcommittee, Vice Cbairman 

of !he Small Business Committee, and previous mignmttllS 10 !he House Agricultwt Commilltt and House 

Ovemzjll and Govemmtol Reform Comrnilltt. 

U.S. Coagressman Sam Gttves (July 2004- December 2008} · Washingloo, DC 

Over lht course of my Iemire, I seMd as Slaff Assistant, Legislati\'0 Contspoodtat, aod upslative A»i!Wll. 

successively. My policy portfouo included !he Coogressmao's assigomeol on lhe House Agric:ultwt 

Committee, ~loosing. financial seMCO$, defense, and fa<tign affairs, among olher issues. 

Altiom Slntegies (Feb 2008; ·A¢12008- November 2008) IWsas City, MO 

For pan of 2008, I was oolea\'0 wilboul pay (!.WOP) staiUS wilh lhe House of Representatives, serving 

as Pouey Oitecl« on a oomber of Missoori poutical campaigns. including lllose of Sam Gra•oes and Blaine 

Luellcemeyer. 

List any experience in or direct association with Federal, State, or local governments, 

including any advisory, consultative, honorary or other part time service or positions. 

U.S. Departmenl of Housing and Udlan De•'elopmeol Quly 2017- Present) Washiog10n, DC 

Genel1l Deputy Assi~anl Secretary CO( Coogressiooal and ln!erJOvemrnental Relations from July 2017-

Pltseat and Acting A»istant Secrmzy from July 2017 -January 20 18. 

U.S. Coogrt!!mtil Blilne I.Jlelktlll!)'tr (JIIIUIJ)I 2009-July :.!017) Wllbiog!M. DC 

From January 200910 December 2010,1served as !he Congressman's upsl>liv. DireciOr. Beginnins in June 

2009 and untilluly 2017,1 seMd as alief or Slaff. 

U.S. Coagressmao Sam Gttves (July 2004- December 2008) Wasbiog10n, DC 

Ovet !he course of my tenure. I seMd as Slaff Assistant, Legislative Correspocldtot, and Legillative Assistant, 

successively. 

U.S. SeollOr lim Talent (Sununer 2003) Washing!On,DC 

1101\'ed as an intern in !he WashingiOO, DC Off"" or Seo110r Talent 

u.s. Department or Swe (Fall2002) WasbioglOn, DC 

I seMd as an intern in !he Office of Nonlic and Baltic Affaira. 

List the titles, publishers and dates of books, articles, reports or other published materials 

you have written. 

N/A 

and activities: List mem~hips and offices held in and services rendered to all political parties or 

election committees during the last I 0 years. 

2 
51 


41718025.eps

Political 

Advisor(~ Blaioe ror Coapess. 2009 -1017 

Priocipll......,.;pCOIIlll:illleroru.s.eoa,_slaioe~ 

Ad'ri:s«(voilmlea). 8llild!QI Leadenllipllld lalpiriq New &Iaprise (BLAINE) PAC, 1010-1017 

Wde!ship politlal or::tioo coauniaee ol wlllcb u.s.~ Blaine t.ommeyer lOMd as l>oaorlt)' 

Qainmo. 

Contributions: Itemize all political contributions of $500 or more to any individual, campaign 

organization, political party, political action committee or similar entity during the last 

eigbt years and identify specific amounts, dates, and names of recipients. 

Qualiflcatloo.s: 

Future employment 

$500.00 Graves for Congress 9f25f'J.fm 

Principal campaign committee of U.S. Coo~ Sam Graves 

Stare fully your qualifications 10 sem in lbe position 10 whicb you have been named. 

(attach sbeet) Attached 

relationships: !.Indicate whether you will sever all connections with your present employer, business 

firm, association or organization if you are conf~ by the Senate. 

N/A. I am curreotly an employee of lbe federal government 

2. As far as can be foreseen, swe wbelber you ha\'C any plaos after completing 

government service 10 resume employmen~ afli.liation or practioe with your previous 

employer, business fum, association or organiz.alion. 

Nl A. I am currently an employee of the federal government and have been for the vast 

majority of my career. 

3. Has anybody made you a commiunent to a job after you leave government? 

No. 

4. Do you expect to serve the fuU tenn for whicb you have been appointed? 

Yes. 
52 


41718026.eps

Potential confljcfs 

of interest: I. Describe any financial anangements or deferred compensation agreements or other 

continuing dealings with business associates, clients or customers who will be 

affected by policies which you will influence in the position to which you have been 

nominated. 

I do not have any such arrangements or agreements. 

2. Ust any investments, obligations, liabilities, or other relationships which might involve 

potential conflicts of interest with the position to which you have been nominated. 

I do not have any such investments, obligations, liabilities, or relationships. 

3. Describe any business relationship, dealing or financial transaction (other than tax 

paying) which you have had during the last I 0 years with the Federal Government, 

whether for yourself, on behalf of a client, or acting as an agen~ that might in any 

way constitute or result in a possible conflict of interest with the position to which 

you have been nominated. 

I have not had any such relationship, dealing, or transaction. 

4. Ust any lobbying activity during the past ten years in which you have engaged in for the 

purpose ~f directly or indirectly influencing the passage, defeat or modification of 

any legislation at the national level of government or affecting the administration and 

execution of national Jaw or public policy. 

I have never participated in any lobbying activity. 

5. Explain how you will resolve any conflict of interest that may be disclosed by your 

responses to the items above. 

I do not believe I have any conflicts of interest based on my responses to the items above. 
53 


41718027.eps

Civil, crlmlnalaod 

investigatory 

adioos: I. Give the full deni.ls of lilY civil or aimiDal proceeding in which you were a defendant 

or any inquiry or investigation by a Fedenl, State, or lwl agency in which you were 

the subject of the inquiry or investigation. 

I have not been the subject of any such proceeding, inquiry, or investigation. 

2. Give the full details of any proceeding, inquiry or investigation by any professional 

association including any bar association in which you were the subject of the 

proceeding. inquiry or investigation. 

I have not beel! the subject of any such proceeding. inquiry, or investigation. 

5 
54 


41718028.eps

State fully your qualifications to serve in the position w which you have been named. 

The Assistant Secretary for Policy Development and Research (PD&R) is the 

Department's principal advisor on policy matters, research and demonstrations, economic 

information, international programs, and philanthropic initiatives. As such, the Assistant 

Secretary must understand the public policy development process; coordinate across the 

Department's offices and with ootside experts, advocates, and partners; understand the 

importance of sound research in formulating effective policies and programs; and provide 

effective leadership, managemen~ and budget oversight io the PD&R team. 

I believe I am well-suited to serve in this position based on my public policy experience 

and management experience. Firs~ I am passionate about the work and am excited for the 

opportunity, if confurned, to help craft effective policy solutions based on sound data and 

research. 

Following my graduation from Stanford University, I worked as a staffer in the U.S. 

House of Representatives for 13 years. In the House, my policy ponfolio included housing, 

financial services, defense, foreign affairs, and I also staffed two House Members in their 

assignments on the House Agriculture Committee, a committee in which issues surrounding rural 

development, food security, infrastructure, financial markets, and housing were debated and 

legislated. It was in this role that I first learned about the federal government's important role in 

research partnerships to not only help better inform public policies, but to help people on the 

ground do things in smaner, safer, and more efficient ways. 

The majority of my career in the House was spent on the staff of Congressman Blaine 

Luetkemeyer, a member of the House Financial Services Committee, fust as his Legislative 

Director, then as his Chief of Staff. In both of these positions, I ~as very involved in the policy 

development process, including on housing policy, which was a priority for Congressman 

Luetkemeyer in his roles as Vice Chairman, then Chairman of the Fmancial Services 

Committee's Subcommittee on Housing and Insurance. $ example of the policies we worked 

on in the Luetkemeyer office is H.R. 3700, the Housing Opportunity Through Modernization Act 

{HOTMA), which received critical support from members of the House Financial Services and 

Senate Banking Committees, passed both the House and Senate unanimously, and was signed 

into law by Presi.dent Obama. 

As Chief of Staff, I served as the Congressman's top policy and adminisuative aide. In 

addition to focusing on policy maners, I built, organized, and led a team of staffers in four 

offices in Missouri and WashingtOn and managed the office budget. I worked to ensure our 

entire team in Washington and Missouri was involved in crafting sound initiatives, from 

generating ideas, to reviewing research, to developing partnerships, to building coalitions, and, 

ultimately, to advancing legislation to improve the lives of the people we served. 
55 


41718029.eps

I served as Congressman Luetkemeyer's Chief of Staff for a total of eight years, leaving 

in 2017 to join the Department of Housing and Urban Development (HUD) as General Deputy 

Assistant Secretary and Acting Assistant Secretary in the Office of Congressionai and 

Intergovernmental Relations (CIR). In this role, I ser\oe as a principal advisor to Secretarj 

Carson on legislative affairs and interactions with state, county, and municipal governments. My 

current position has allowed me to continue to play a role in coordinating and developing 

legislation and policy with both sides of the aisle in both houses of Congress. 

This role has also allowed me to work with all of the Department's program and support 

offices, across silos, including PD&R, and bas also allowed me the opportunity to interact with 

outside groups and advocates. I have also continued to use my management skills to lead an 

outstanding team of staffers at HUD. 

Prior to being nominated, in my role in CIR, I worked with PD&R' s team on grants, 

reports, university partnerships, and, particularly, disaster funding issues, as PD&R uses data to 

determine the unmet housing, business, and infrastructure needs of areas impacted by 

Presidentially-declared niajor disasters. Once these unmet needs are determined, PD&R 

determines bow to allocate Congressional disaster appropriations to address them. 

In closing, I believe my housing policy and management experience in the legislative and 

executive branches bas prepared me well to serve as Assistant Secretary for Policy Development 

and Research. At the end of the day, our policy solutions should be driven by well-designed 

aemoostrations, thorough research, and sound data. If confmned, I look forward to worlcing with 

this Committee to advance evidence-based policies that addiess the priorities and needs of the 

American people. · 
56 

RESPONSES TO WRITTEN QUESTIONS OF CHAIRMAN CRAPO 

FROM THELMA DRAKE 

Q.1. Congress made a determination in MAP–21 that safety of rail 

transit agencies should be overseen by a right-sized State Safety 

Oversight (SSO) Agency, rather than a one-size-fits-all Federal approach. In order to prevent FTA from assuming provision of direct 

safety oversight, Congress wrote into statute a deadline for compliance which is April 15, 2019, with only 8 of 30 States currently certified to be in compliance. 

If you are confirmed as Administrator, how do you plan to work 

with the remaining States to achieve compliance with this requirement and ensure that our Nation’s rail transit systems are efficiently and effectively overseen? 

A.1. Safety is my highest priority, and if confirmed as Administrator I will work closely with the remaining States to help stand 

up their Safety Oversight Programs and fulfill their safety responsibilities. It is my understanding that 11 States have now achieved 

SSO certification. 

Q.2. In 2016, the FTA established the Mobility on Demand (MOD) 

grant program to help spur innovation and infuse technology into 

our Nation’s public transit systems. The program revealed that 

FTA may need new regulatory guidelines or policy changes to allow 

transit agencies to fully realize the promise of innovations in 

shared mobility and mobility on demand. Of the 11 grant winners, 

Transportation Network Companies (TNCs), such as Uber and 

Lyft, were involved in nine of the projects, which indicates that 

there is tremendous interest from both the private sector and public transportation authorities for this new service. 

If you are confirmed as Administrator, what steps will you take 

to utilize the findings of the MOD grants to reduce antiquated regulations and set in place a modern regulatory regime at FTA that 

enables innovative new technologies to partner with transit agencies in the long term? 

A.2. If confirmed, I will utilize the information and findings 

gleaned from the Mobility on Demand grants and work with the 

FTA research team to help pioneer innovative and streamlined approaches to mobility. From on-demand services, to smartphone applications, to partnerships with the private sector, I feel strongly 

that innovation is key to public transportation thriving in an ever 

more-competitive marketplace. 

Q.3. FTA is divided into 10 regions. Project sponsors have found 

that different regions tend to provide different answers and oftentimes headquarters finds out about the discrepancies when Congressional staff brings it to their attention. 

If you are confirmed at Administrator, can you commit to reviewing the decisions made in regional offices to ensure consistency? 

Will you seriously consider how the regional decisions are communicated with headquarters and how headquarters commutes decisions to the regions, in order to ensure that Federal transit statutory, regulatory, and administrative interpretations are being equitably applied across all regions? 

57 

A.3. If confirmed, I will make ensuring consistency throughout FTA 

a priority. I will take a very close look at how FTA headquarters 

communicates decisions to the 10 regional offices and vice versa. I 

will also commit to reviewing decisions made in regional offices to 

ensure consistency. 

Q.4. The provisions regarding the Core Capacity evaluation and 

rating process, the establishment of a program of interrelated 

projects and the program for expedited project delivery are yet to 

be implemented by this Administration. An upcoming Government 

Accountability Office report states that FTA officials told GAO they 

‘‘do not have plans to address’’ three statutory provisions intended 

to deliver transit projects more efficiently citing the President’s 

budget proposal to eliminate the program, despite the recent 

FY2018 Appropriations bill providing additional resources to the 

program and directing the Administration to continue to administer the program. 

If you are confirmed as Administrator, do you plan to implement 

the statutory provisions to streamline processes and leverage Federal resources? 

A.4. If confirmed as Administrator, I plan to implement programs 

and processes consistent with the law and leverage Federal resources wherever possible and streamline programs wherever possible to efficiently serve the American people. 

RESPONSES TO WRITTEN QUESTIONS OF SENATOR BROWN 

FROM THELMA DRAKE 

Q.1. Since 1983, when President Reagan signed the law that created the Mass Transit Account, Congress has allocated at least 20 

percent of new revenue deposited in the Highway Trust Fund to 

public transportation. For example, in 1983 the Federal motor fuels 

tax was increased by 5 cents from 4 cents per gallon to 9 cents per 

gallon. From the 5 cents per gallon of new revenue from that increase, 1 cent was deposited in the Mass Transit Account. 

Do you support the principle that public transportation should 

continue to receive not less than 20 percent of new revenues deposited into the Highway Trust Fund? 

A.1. I support public transportation, and if confirmed, I plan to be 

an advocate for public transportation within DOT and the Administration. As Congress and the Administration begin negotiations on 

an infrastructure bill as well as the next surface transportation reauthorization, I will commit to being an advocate for transit during 

those discussions. 

Q.2. Without commenting on any recent or future proposals, would 

you use the position of Administrator to urge support for the principle of allocating not less than 20 percent of any new revenue 

added to the Highway Trust Fund to public transportation? 

A.2. I support public transportation, and if confirmed, I plan to be 

an advocate for public transportation within DOT and the Administration. If legislation is considered regarding the Highway Trust 

Fund, I will commit to advocating for transit in any negotiation. 

58 

Q.3. In the FY17 TIGER awards announced last month USDOT 

funded only two public transportation projects. Those public transportation projects received just 3.6 percent of the available FY17 

funding, which nearly eliminated public transportation funding 

under the program despite the large number of transit applications 

that were rated highly. 

Do you believe the FY17 TIGER awards funded an appropriate 

number of public transportation projects? 

A.3. Since I was not at the Department of Transportation during 

the most recent round of TIGER awards, I cannot speak to the 

merits of the projects that applied and those that were awarded. 

If confirmed, I will be an advocate for transit projects applying for 

funding through any eligible discretionary grant program. 

Q.4. Do you believe FY17 TIGER awards allocated an appropriate 

share of funding to public transportation projects? 

A.4. Since I was not at the Department of Transportation during 

the most recent round of TIGER awards, I cannot speak to the 

merits of the projects that applied and those that were awarded. 

If confirmed, I will be an advocate for transit projects applying for 

funding through any eligible discretionary grant program. 

Q.5. Would you use the position of Administrator to urge USDOT 

to support a greater number of public transportation projects and 

a higher share of funding for transit in the recently announced 

FY18 ‘‘BUILD’’ competition? 

A.5. If confirmed, I will be an advocate for transit projects applying 

for funding through any eligible discretionary grant program, including the BUILD program. 

Q.6. The FY18 omnibus provided $2.6 billion for the Capital Investment Grant program and provided direction to FTA on the continued Administration of the program. 

Do you agree that the FY18 omnibus directs FTA and the Department to continue to move projects through the Capital Investment Grant program’s process and sign new grant agreements? 

A.6. If confirmed, I will carefully review the FY18 Omnibus and 

will commit to implementing the CIG program consistent with the 

law. 

Q.7. Can you commit that you will sign full funding grant agreements as soon as New Starts and Core Capacity projects meet the 

statutory requirements for such projects. 

A.7. If confirmed, I can commit to implementing the CIG program 

in accordance with the law. As proposed projects become ready for 

a funding agreement commitment, FTA will consider each project 

on its own merits and will advance them through the process as 

appropriate and consistent with legal requirements. 

Q.8. Do you agree that full funding grant agreements, as established in 49 U.S.C. §5309, are designed to be executed before all 

appropriations for a project have been made available by Congress? 

A.8. The President’s FY19 Budget requested funding for existing 

full funding grant agreements (FFGAs) requiring additional appropriations. Under the law, FTA is authorized to execute an FFGA 

prior to all appropriations being made available by Congress. 

59 

Q.9. Do you agree that delays in signing grant agreements for all 

types of projects (New Starts, Core Capacity, Small Starts) often 

result in cost escalation for project sponsors? 

A.9. I support the President’s goal of expediting delivery for all 

transportation projects. That being said, I believe it is the responsibility of the FTA Administrator to make certain that CIG projects 

are thoroughly reviewed before Federal dollars are committed. 

Q.10. Do you believe that project budgets under the CIG program 

are sensitive to delays that occur when project is ready for a grant 

agreement, i.e., the project has met all statutory requirements, 

which occurs late in the project development process? 

A.10. Having worked on transit projects at the State and local levels, I do believe that project budgets are sensitive to delays, but I 

also believe that it is the responsibility of the FTA Administrator 

to make certain that CIG projects are thoroughly reviewed before 

taxpayer dollars are committed. 

Q.11. The FAST Act established the ‘‘Expedited project delivery for 

capital investment grants pilot program’’ (Section 3005(b)) to test 

new means of projects delivery, but FTA has not solicited projects 

under the pilot, issued guidance or provided other means for interested applicants to develop applications under the pilot. 

If confirmed, will you work to implement the pilot program as 

authorized, including the requirement concerning the operation of 

the project by an existing provider of fixed guideway or bus rapid 

transit public transportation in the service area of the project? 

A.11. If confirmed, I will implement all programs consistent with 

the law, and innovative project delivery is a priority across DOT. 

Q.12. Would you take measures to ensure that potential applicants 

are aware of the program and can apply under the pilot? 

A.12. If confirmed, I will take measures to ensure that potential 

applicants are aware of the program and can apply under the pilot. 

Q.13. If responding in the affirmative, what measures would you 

take? 

A.13. If confirmed, I will review what steps have already been 

taken by FTA to make applicants aware of the program and determine if there are any interested project sponsors. I will make sure 

that FTA continues to work with these project sponsors as well as 

any others to administer the pilot program. In addition, I would explore options for informing the industry of their option to apply 

through the pilot program. 

Q.14. What are your priorities for safety oversight? 

A.14. Safety is my top priority, and my first safety priority, should 

I be confirmed, will be the certification of the State Safety Oversight (SSO) Programs for the States that still must receive certification by April 15, 2019. If a State does not meet that deadline, 

FTA must withhold all transit funding until certification is 

achieved. 

Q.15. If confirmed, would you manage FTA’s safety oversight activities without regard to political considerations? 

60 

A.15. Yes, if confirmed I would absolutely manage FTA’s safety 

oversight activities without regard to political considerations. 

Q.16. The FAST Act added ‘‘minimum safety standards to ensure 

the operation of public transportation systems’’ as an explicit element of the National Public Transportation Safety Plan. The law 

also directed FTA to complete a review of existing safety standards, 

which has been completed, but FTA’s subsequent efforts to improve 

or issue new safety standards have been very limited. 

If confirmed, will you be proactive in using your authority to improve safety standards in the public transportation industry? 

A.16. I believe safety standards can be a helpful tool for public 

transportation agencies and their State safety oversight bodies as 

they work to improve their safety practices. However, having personal experience overseeing many transit operators throughout Virginia—large and small, urban and rural—I know that local variation among transit systems means that a ‘‘one size fits all’’ would 

not be suitable. Therefore, I would seek to strike the appropriate 

balance between national safety standards and local flexibility. 

Q.17. As State Safety Oversight Agencies (SSOAs) seek certification, they are not being required to conduct regular, unannounced inspections as they ramp up their oversight. GAO recently 

noted the need for inspections and guidance from FTA on inspection practices. 

After further review of safety oversight practices, do you believe 

that inspections, particularly unannounced inspections, are a core 

element of an oversight program? 

A.17. I believe that inspections play an important role for rail transit safety. If confirmed, I will work with the transit industry and 

the FTA Office of Transit Safety and Oversight to determine the 

proper requirements for SSOAs with regard to regular and unannounced inspections. 

Q.18. The FAST Act created the Pilot Program for Innovative Coordinated Access and Mobility (ICAM, Sec. 3006(b)) to fund projects 

that improve the coordination of transportation services and nonemergency medical transportation services. The law also directed 

the Coordinating Council on Access and Mobility (CCAM) to pursue 

specific activities that foster coordination. 

Will you commit to work expeditiously to advance further rounds 

of funding under the ICAM pilot program? 

A.18. If confirmed, I will work to implement all requirements of the 

law as expeditiously as possible. 

Q.19. Will you support the work of the Coordinating Council on Access and Mobility (CCAM) and utilize findings from the pilot program (ICAM) to implement strategies that promote coordination 

between Federal agencies that support transportation services? 

A.19. If confirmed, I will support the work of the CCAM and utilize 

findings from the pilot program to implement strategies that promote coordination between Federal agencies that support transportation services. I know from my work in Norfolk, VA, the importance of coordination among a multitude of transportation providers. 

61 

Q.20. In your testimony, you stated that ‘‘preparing for the future 

through innovation’’ was one of your top priorities. 

If confirmed as Administrator, how would you take action on that 

priority? 

A.20. It is an exciting time in public transportation, with many 

new technologies and service delivery models available. If confirmed as Administrator, I would build on efforts underway at FTA 

and throughout the industry to ensure technologies are utilized to 

improve safety, reliability, and efficiency for transit riders and employees. Specifically, I would work with the Department to continue 

to explore Automated Vehicle technology in transit, which has the 

potential to significantly improve safety. 

RESPONSES TO WRITTEN QUESTIONS OF SENATOR HELLER 

FROM THELMA DRAKE 

Q.1. I would like to extend a formal invitation to you to visit Nevada this year if you have the opportunity. Our Regional Transportation Commissions in both the north and the south would be 

happy to showcase their amazing work. Washoe RTC is working 

through some innovative options for connecting Reno with our new 

industrial complex that hosts Tesla, Switch, and other tech companies. They also have a great project to connect our growing downtown with the University of Nevada, Reno. 

Our Southern Nevada RTC Director Tina Quigley has coined the 

phrase: technology is the new asphalt, and Las Vegas is a great example of that. They are using innovative technologies to transform 

transit in the region and increase safety and convenience. 

A lot of their successes are due to the Capital Investment Grant 

Program. It has been critical to our Regional Transportation Commissions and their efforts to expand transportation options that 

will create job growth, competitiveness, and new opportunities for 

residents. 

Are you supportive of continuing this transit program? 

A.1. If confirmed, I will always support the law and will implement 

the CIG program consistent with the law. 

Q.2. As Congress considers an infrastructure package, what role 

should transit play in that proposal? 

A.2. Transit is a key component of the Nation’s transportation network, and if confirmed, I look forward to working with Congress, 

the Administration and stakeholders on furthering the Administration’s Infrastructure Proposal. Transit projects would certainly be 

eligible to compete for funding through the Administration’s proposed infrastructure grant programs. 

ADDITIONAL NOTE: I will commit to coming to Nevada this 

year if I am confirmed. 

RESPONSES TO WRITTEN QUESTIONS OF 

SENATOR MENENDEZ FROM THELMA DRAKE 

Q.1. Yes or no, is the Gateway Project nationally important? 

A.1. The projects making up the Gateway program are important 

to the region and have impacts across multiple States. 

62 

Q.2. For a New Starts or Core Capacity project, what is the minimum percentage of the total project cost that the local sponsor 

needs to commit of their own funding to earn a Medium rating? 

Please provide a percentage. 

A.2. Each project in the CIG program is unique and must be considered on its own merits. As I have not been involved in FTA’s 

evaluation and rating process for CIG projects, I cannot provide an 

answer in such detail. However, I would note that the overall rating is contingent on many factors, not solely the local financial 

share. 

Q.3. Yes or no, if confirmed, would you comply with a request made 

by anyone in the Department of Transportation, the White House, 

or anywhere in the Executive Branch that you or the staff at FTA 

reject, downgrade, delay, or provide a low rating to a Capital Investment Grants application for political reasons? 

A.3. No, I would not comply with such a request. I would administer the CIG program and all FTA programs in accordance with 

the law. 

Q.4. Amtrak has stated that they likely will be required to shut 

down the Hudson River Tunnels sometime in the next 15 or 20 

years, because at some point they’ll become unsafe for passenger 

travel. 

If DOT continues to block our efforts to replace those tunnels, 

will you develop an emergency plan for dealing with the 200,000 

daily Hudson River Tunnel riders that would need to find another 

way to get to their destination? 

A.4. If confirmed, I will always prioritize the safety of passengers 

utilizing transit as their mode of travel. If any transit system 

throughout the Nation becomes unsafe for travel, I will work with 

State and local governments as well as the transit agency to address the situation in a safe and effective way. 

Q.5. The Department of Transportation’s 2015 ‘‘Status of the Nation’s Highways, Bridges, and Transit: Conditions and Performance’’ report found an $89.9 billion transit state of good repair 

backlog. 

What do you believe is the primary driver of that backlog? 

A.5. The maintenance backlog in transit has been a problem that 

has developed over many decades. The primary driver, in my view, 

is a lack of appreciation for the need to plan for the maintenance 

and replacement costs of transit assets well in advance. 

Q.6. Do you believe this backlog can be addressed without additional Federal funding? 

A.6. FTA’s authorized programs include billions of dollars in formula funding for transit agencies to address their capital and state 

of good repair needs. Tackling the maintenance backlog will require 

sustained effort at the Federal, State, and local government levels. 

Q.7. Fully half of the funding in the President’s infrastructure proposal goes to an ‘‘infrastructure incentives’’ program that has a 20 

percent Federal share, compared with the 80 percent Federal share 

common in transit programs. 

63 

Do you believe a 20 percent Federal share is appropriate for 

transit projects? 

A.7. To my understanding the President’s incentive program is new 

and additional funding, not intended to replace or establish a new 

Federal–local cost sharing arrangement. While I was not at the Department during the drafting of the Administration’s Infrastructure 

Proposal, it’s my understanding that the proposal aims to address 

significant infrastructure needs across the Nation, including by 

partnering with State and local governments. Many State and local 

projects sponsors have already shown the ability to generate resources through innovative financing, public–private partnerships, 

and/or securing additional local revenue streams. 

Q.8. Do you agree with the President’s budget proposal to phase 

out the Capital Investment Grants program? 

A.8. I believe the Administration’s Infrastructure Proposal, which 

seeks to leverage Federal investments so that more projects can be 

developed at the State and local level in a more streamlined timeframe, is the appropriate avenue to consider funding for many 

projects currently under consideration in the CIG program. That 

said, I recognize that the CIG program is authorized and appropriated in law and I will always follow the law if I am confirmed 

as Administrator. 

Q.9. In the most recent round of TIGER grants, less than 4 percent 

of the overall funds were allocated to projects in which transit was 

the sole or central component. 

Is this a sufficient amount? 

A.9. Since I was not at the Department of Transportation during 

the most recent round of TIGER awards, I cannot speak to the 

merits of the projects that applied and those that were awarded. 

If confirmed, I will be an advocate for transit projects applying for 

funding through any eligible discretionary grant program. 

Q.10. Will you advocate with Secretary Chao to increase that 

amount in the future, including under the recently rebranded 

BUILD grants program? 

A.10. If confirmed, I will be an advocate for transit projects applying for funding through any eligible discretionary grant program, 

including the BUILD program. 

RESPONSES TO WRITTEN QUESTIONS OF 

SENATOR CORTEZ MASTO FROM THELMA DRAKE 

Q.1. Ms. Drake—should you be confirmed, I personally invite you 

to come see what we have going on in Nevada. As we’ve discussed, 

technology and innovation present a real opportunity for increased 

safety, efficiency, and overall quality of life for many American. I 

really think it would be helpful for you to see our challenges and 

opportunities first hand. 

Can you commit to coming to Nevada within the first year following your confirmation? 

A.1. Yes, I would be happy to come to Nevada within the first year 

following confirmation. 

64 

Q.2. I’m deeply concerned about the haphazard way the Administration’s infrastructure proposal was put together, and that—if you 

were truly interested in putting forth a serious, bipartisan infrastructure proposal—there wouldn’t be such obvious concerns. My 

appreciation is that the Administration didn’t work in concert with 

any congressional Democrats on our ideas or perspectives. For instance, in my outreach with local transportation stakeholders, they 

noted ‘‘Many of the requirements and changes [in the proposal] 

would probably require extensive and difficult revisions to State 

laws for the RTC to fully utilize them. Examples: tolling and use 

of toll revenues, transit-related value capture, etc.’’ 

Are you concerned that I’m hearing from Nevadans that the Administration’s proposal conflicts with local laws? 

A.2. I am concerned with any obstacles to implementing the Administration’s Infrastructure Proposal. If confirmed, I look forward 

to working with Congress on issues of critical importance to our infrastructure. I would note that many transit agencies already undertake activities that could be considered ‘‘value capture.’’ If confirmed as Administrator, I would work to help inform the industry 

as to how they can productively leverage both new and existing assets and services. 

Q.3. Are you aware if Sec. Chao has broad infrastructure stakeholder support, like that of labor unions, State DOTs, or transit 

agencies for the Administration’s proposal? 

A.3. Since I am not at the Department of Transportation, I cannot 

speak to current status of stakeholder support for the Administration Infrastructure Proposal. 

Q.4. What was your reaction from the perspective of your current 

job with the city of Norfolk, and what was the Mayor and the communities perspective on the proposal? 

A.4. Norfolk, like many other cities around the Nation, has many 

infrastructure needs and my city appreciates the Administration’s 

focus on infrastructure. Specifically, I believe that the increased 

flexibility offered through the infrastructure proposal will empower 

States and localities to use the knowledge of their own communities to best further critical infrastructure projects. 

Q.5. As we discussed, one of my priorities is getting funding for the 

Virginia Street RAPID Extension in Reno. This project has a 50 

percent local match and is rated ‘‘medium high’’. It is my understanding that normally, a project with this type of match and rating would be a certainty for funding and a full funding grant agreement. 

Regardless of what you do or don’t know of the FTA’s review of 

this project, can you agree that a 50 percent match from a locality 

is significant ‘‘skin in the game’’ as Secretary Chao often states? 

A.5. Projects sponsors should be aware that the CIG program has 

never offered a guarantee of Federal funding to applicants. Projects 

must meet the applicable statutory and readiness requirements to 

be considered for a construction grant agreement. I do believe that 

the cost to build CIG projects such as the Virginia Street RAPID 

in Reno should be appropriately shared among the Federal Government and the local communities that they serve. While I cannot 

65 

comment further on this project specifically, I can commit to giving 

each and every project fair consideration in accordance with the 

law. 

Q.6. On the transportation innovation topic we’ve discussed, one 

area I think Federal funding should be considered is for ‘‘transformative’’ projects in the areas of electric bus propulsion and autonomous vehicles, including funding research to address the deployment issues for these types of projects. One potential concept 

is adding ‘‘bonus’’ points to bus rapid transit Capital Investment 

Grant (CIG) projects that use autonomous technologies. 

Given these opportunities, can I again confirm your support of 

the development of autonomous transit technologies? 

A.6. Yes, I believe automated transit vehicle technology has the potential to generate significant improvements to safety and service. 

Q.7. And can you provide me your thoughts on whether you would 

support this concept of rewarding projects in the CIG program who 

utilized innovative technologies? 

A.7. The CIG program has many specific evaluation criteria that 

are established in statute. I would have to further study the details 

of the program’s administration to better answer your question. I 

can commit that, if confirmed as Administrator, I would certainly 

explore the different avenues available to encourage responsible innovation in transit projects. 

Q.8. Along those same lines, I would also be interested in you looking at innovative partnerships and ‘‘alliances’’ between the private 

sector, public sector, universities, and even international interests 

in advancing design, deployment and operation of autonomous vehicles and coordination for smart communities. The University of 

Nevada at Reno’s efforts to conduct research are becoming global 

in reach and are helping us have a deeper understanding of the engineering issues but also the business, finance, and deployment 

issues. 

Do you believe and intend to advocate for these kinds of partnerships during your potential service at USDOT, and do you think 

that this is a concept that could be considered within the University Transportation Center (UTC) function at USDOT, or some 

other outlet directly within the FTA? 

A.8. I believe that public–private partnerships hold much promise 

for researching and deployment innovative technologies in public 

transportation. It is my understanding that FTA’s research programs do currently involve partnerships with universities and research consortia. If confirmed, I would be happy to work with your 

office on how best to incorporate new developments from throughout the industry. 

RESPONSES TO WRITTEN QUESTIONS OF SENATOR JONES 

FROM THELMA DRAKE 

Q.1. An issue that is important to workers in Alabama are Buy 

America requirements, and I know the President has made this a 

priority of his as well. Current law goes into great detail about Buy 

America requirements for traditional diesel busses, but for newer 

66 

technology like the electric busses they make in Northern Alabama, 

there is less detail. 

If you are confirmed, will FTA work to implement strong Buy 

America standards for these new technologies? 

A.1. Yes, if confirmed I will work to implement Buy America standards required by law and any Executive Orders broadly. 

Q.2. Birmingham–Jefferson County Transit Authority recently received $3.6 million to help improve their bus systems. For a city 

like Birmingham, a modern bus system is critical to both residents 

and to visitors—especially as the city prepares to host the ‘‘World 

Games’’ in 2021. This funding was through the FTA’s Bus & Bus 

Facilities Infrastructure Investment Program. And while Birmingham got dollars this time around, the program has 10 times 

as many requests than it can fund. 

If confirmed, will you commit to maintaining funding for bus and 

bus facilities improvements? 

A.2. If confirmed, I commit to carrying out FTA’s programs in accordance with the law and the appropriations provided by Congress. 

RESPONSES TO WRITTEN QUESTIONS OF SENATOR BROWN 

FROM JEFFREY NADANER 

Q.1. As Assistant Secretary for enforcement, you would be charged 

with protecting U.S. national security, foreign policy, and economic 

interests by enforcing laws on sensitive exports to hostile actors or 

those that engage in onward proliferation; prohibited foreign boycotts; and related laws. 

What would be your major priorities in this role for the next several years? 

A.1. If confirmed, my major priority will be the aggressive enforcement of the Export Administration Regulations: that is, to halt illegal transfers of dual-use U.S.-origin technologies—including to U.S. 

adversaries and to countries in contravention of U.S. sanctions and 

embargos; interrupt exports that contribute to weapons of mass destruction proliferation or destabilizing military modernization activities; prevent illicit procurements by terrorists and terrorist-supporting countries; and stop unlawful compliance with foreign country imposed or fostered restrictive trade practices against any country friendly to the United States. Key to achieving these goals will 

be expanding our partnerships with U.S. industry and universities, 

other Government agencies, and our international allies and partners. 

Mr. Nadaner, last month the New York Times ran an article 

(‘‘Smuggling of U.S. Technology Is Outpacing Cold War Levels, Experts Say’’, by Ron Nixon, New York Times, March 17, 2018) on an 

increase in smuggling of sensitive military technologies to adversaries like China, Russia, North Korea, and Iran. The article noted 

that such smuggling had outpaced even Cold War levels, and said 

U.S. military contractors and tech companies had observed a tenfold increase in suspicious inquiries related to weapons and technology purchases from overseas. It also quoted one expert as noting 

67 

that despite the take-down of some technology smuggling networks, 

U.S. authorities remain ‘‘outgunned’’ on this front. 

Q.2. How would you crack down on these smuggling networks, and 

do you believe you will have sufficient legal authorities and resources to do it? 

A.2. One of my earliest tasks, if confirmed, will be ensuring that 

current Export Enforcement authorities and resources are most effectively focused on the pressing threats to U.S. national security. 

Central to intensifying enforcement against smuggling networks 

will be making certain that information flows with other departments and agencies, the intelligence community, foreign allies and 

partners, and U.S. industry and that end-use checks and investigations are occurring to the maximum extent feasible. I will aim for 

highly efficient (a) harnessing of such information, (b) combining of 

interagency and international efforts, and (c) using of BIS unique 

tools—such as the Entity List, end-use checks, temporary denial orders, and administrative and criminal penalties—to identify and 

dismantle illicit networks. Among my other first tasks, if confirmed, will be to assess the match among legal responsibilities, authorities, and resources. I will then work with the Secretary of 

Commerce, the Office of Management and Budget, and the Congress on future resource priorities and requirements with the goal 

of ensuring that Export Enforcement operations keep pace with the 

changing tactics of our adversaries. 

Q.3. I am also concerned about the transfer of critical technologies 

like artificial intelligence, nanotechnology, cyber, electronic warfare 

technologies and others to our adversaries through commercial 

transactions. 

In your experience, should we be concerned that the transfer of 

critical technologies to our adversaries through business transactions like joint ventures is a national security threat? 

If confirmed, what would you do to address these concerns, and 

do you believe you will have sufficient legal authorities and resources to do so? 

A.3. If confirmed, I will ensure that Export Enforcement efforts are 

focused on all facets of illicit technology transfer: not solely exports 

of proscribed technology from the United States and deemed exports to foreign nationals in the United States, but also exports of 

sensitive technology as a result of a foreign person’s investment in, 

acquisition of, joint venture in, or partnership with a U.S. company. Protecting the knowledge of how to build an item can be as 

important to U.S. national security as the transfer of the item 

itself. I will (a) use all BIS authorities, tools, and resources to prevent, stop and deter illicit transfer, regardless of conduit, of technology subject to the Export Administration Regulations, and (b) 

work closely with the Secretary of Commerce, the Office of Management and Budget, and the Congress to assess future authority and 

resource requirements to ensure Export Enforcement operations 

protect U.S. technology from unlawful export. 

68 

RESPONSES TO WRITTEN QUESTIONS OF SENATOR TOOMEY 

FROM JEFFREY NADANER 

Q.1. In light of strong U.S. economic growth and record unemployment, I have concerns that the recently imposed Section 232 tariffs 

on imported steel and aluminum products will have a detrimental 

impact to businesses, manufacturers, and most importantly, consumers. These taxes will likely increase production costs, jeopardize job creation, and reduce the purchasing power of American 

consumers. With that said, I am encouraged that the Department 

of Commerce has established a product-specific exclusion process 

whereby the Department can provide tariff relief for U.S. businesses using steel or aluminum products that are not adequately 

sourced in the United States. However, the Department has reviewed and posted only a fraction of received exclusion petitions, 

and the petition process, as proposed, requires businesses to commit a significant amount of staff time and resources to complete 

each individual petition, in many instances at a minute level of detail. Reforms to both the exclusion petition and the review process 

are clearly needed. 

I understand that the Office of Export Enforcement does not 

have direct oversight over the product-specific exclusion process; 

however, the office will play a supporting role in this process as a 

subdivision of the Bureau of Industry and Security (BIS). 

If confirmed, how will you work with other offices at BIS to 

prioritize the review and approval of the Section 232 exclusion petitions for steel and aluminum products? How do you intend to devote the necessary staff and resources to complete this process in 

an expedited manner? 

A.1. The President acted under Section 232 to adjust imports of 

aluminum and steel after concurring with the Secretary of Commerce’s findings that aluminum and steel articles were being imported into the United States in such quantities and circumstances 

as to threaten to U.S. national security. The President has also directed the Secretary of Commerce, in consultation with other Administration officials, to evaluate exclusion requests for products, 

taking into account national security considerations. Section 232 

authority is administered by the Commerce Department’s BIS Office of Export Administration, which is led by the Senate-confirmed 

Assistant Secretary of Commerce for Export Administration and 

which is separate and distinct from the BIS Office of Export Enforcement. It is my understanding that the Assistant Secretary of 

Commerce for Export Enforcement and related Office of Export Enforcement neither administer Section 232 authority, nor the process involving Section 232 exclusion petitions. 

RESPONSES TO WRITTEN QUESTIONS OF SENATOR SASSE 

FROM JEFFREY NADANER 

Q.1. How will you approach cybersecurity issues during your tenure? 

A.1. If confirmed, I will aggressively enforce violations of the Export Administration Regulations, including illicit technology transfer as a result of cybersecurity breaches and exfiltrations. A key enabler for U.S. success will be expanding partnerships with U.S. inVerDate Nov 24 2008 10:12 Jun 04, 2018 Jkt 046629 PO 00000 Frm 00072 Fmt 6602 Sfmt 6602 L:\HEARINGS 2018\04-17 NOMINATIONS\HEARING\41718.TXT JASON
69 

dustry, academia, the intelligence community, law enforcement 

partners, other departments and agencies, and our international allies to identify, disrupt, and penalize perpetrators, while expanding 

action to mitigate the effects of cyber-enabled crime. 

Q.2. How will you ensure that the United States fairly enforces our 

trade laws, without transforming enforcement actions into a vehicle 

for advancing protectionism? 

A.2. The purpose of the Export Administration Regulations is to 

stop the illegal export of sensitive dual-use American technologies, 

not to engage in protectionism. If confirmed, I will not use enforcement for protectionist purposes. 

Q.3. In my questions for the record for now-Federal Reserve Chairman Jerome Powell’s November 28th, 2017, confirmation hearing, 

I asked now-Chairman Powell if the measure of the U.S.’s trade 

deficit with another country (the bilateral trade deficit) was ‘‘a useful metric to consult to evaluate whether trade with that country 

hurts or helps our economy.’’ In response, now-Chairman Powell 

said: 

The overall U.S. trade balance is the most useful measure 

for evaluating the impact of trade on the U.S. economy. 

That balance is affected by many factors, including savings 

and investment in the United States, economic conditions 

abroad, and movements in exchange rates. Bilateral trade 

deficits are less informative. For example, U.S. workers 

and businesses could benefit when the United States runs 

a deficit with one country by importing goods that we use 

as inputs to produce goods to sell to another country. In 

this example, a focus on the bilateral deficit would obscure 

the net effect on the U.S. trade balance and the overall 

benefit to the economy. 

Do you agree with Chairman Powell that ‘‘[b]ilateral trade deficits are less informative?’’ 

Is free trade always a net-gain for the U.S. economy? If not, 

under what circumstances is it a net-loss? 

A.3. President Trump and Secretary Ross have made it a priority 

to pursue trade policies and agreements that are fair for all Americans. As a nominee, I am not privy to Administration negotiations 

or deliberations on the overall trade balance or bilateral trade deficits. Nor, if confirmed in the role of Assistant Secretary for Export 

Enforcement, would I have a role in those deliberations. I am committed, if confirmed, to enforce the Export Administration Regulations, which are vital to stopping illegal transfers of sensitive dualuse technologies, and conveyance to countries and parties under 

U.S. sanctions. 

Q.4. Is there any instance where the U.S. would benefit from a 

trade war with a large country like China? 

A.4. The enforcement of export control rules is strictly focused on 

(a) stopping the illicit transfer of U.S. sensitive dual-use technologies, (b) the breach of legal U.S. sanctions on sanctioned countries and parties, and (c) halting unlawful cooperation of illegal 

boycotts against countries friendly to the United States. If conVerDate Nov 24 2008 10:12 Jun 04, 2018 Jkt 046629 PO 00000 Frm 00073 Fmt 6602 Sfmt 6602 L:\HEARINGS 2018\04-17 NOMINATIONS\HEARING\41718.TXT JASON
70 

firmed, I will ensure that the activities of Export Enforcement are 

singularly dedicated toward those duties in rigorous compliance 

with the Export Administration Regulations. 

RESPONSES TO WRITTEN QUESTIONS OF 

SENATOR MENENDEZ FROM JEFFREY NADANER 

Q.1. I understand that the Administration wants to transfer control of the export licensing of lethal semiautomatic weapons and 

sniper rifles from the jurisdiction of the Department of State to the 

Commerce Department, apparently in the belief that these dangerous weapons have somehow become less harmful. This move 

would not only subject these lethal weapons to less-stringent Commerce controls, but also conveniently remove them from being subject to Congressional review and disapproval—despite Congress’s 

action in 2002 to subject them to greater oversight than tanks and 

aircraft. You may argue that State will still be able to intervene 

in proposed exports through an interagency review process; to that 

I point out that State also proposed the sale of 27,000 assault 

weapons to the Philippine national police—who are conducting 

summary executions in the streets—and semiautomatic pistols to 

the same Turkish thugs who beat peaceful protestors in Washington last year—both of which were stopped only by the action of 

the Ranking Member of the Senate Foreign Relations Committee, 

so I’m not reassured that State will intervene, or that Commerce 

will more plainly see the foreign policy problems in such sales. 

Do you believe that these weapons, which are much more likely 

to be misused—including being susceptible for transfer to terrorist 

and criminal networks—need to be subject to less-stringent export 

requirements, in law and in regulation, than other lethal arms on 

the U.S. Munitions List? 

A.1. It is my understanding that export licensing reform involving 

transfers of some technology controls between the State and Commerce Departments is the result of deliberations made by this Administration and the previous one. As a nominee, I have not been 

made privy to decisions, deliberations, or control plans for such 

items if transferred to the Commerce Control List. If such a transfer were to occur, licensing for any exports would, under the law, 

be under the jurisdiction of the Assistant Secretary of Commerce 

for Export Administration, rather than the Assistant Secretary for 

Export Enforcement. If confirmed, should any of the subject items 

be transferred to the Commerce Control List, I promise to enforce 

the law aggressively and firmly against illegal exports. I will bring 

the unique Commerce resources of export enforcement, including 

the Entity List, Temporary Denial Orders, expert Special Agents 

and enforcement analysts, and criminal and administrative penalties, to bear in full force. In addition, I will continue to work with 

the Federal Bureau of Investigation and Department of Homeland 

Security, which will continue to have authority to investigate illegal activities involving Category I–III items. 

Q.2. Since this transfer will remove these items from the AECA 

statutory Congressional review process, including the informal review processes, do you also believe that less Congressional oversight over the export of these weapons is justified? If confirmed, 

71 

will you inform this Committee whenever a license for the export 

of these arms transferred from State, at the $1 million statutory 

threshold, is being considered? 

A.2. I am aware of the Congressional notification threshold under 

the International Traffic in Arms Regulations. I understand that 

any potential transfer of Categories I–III from the USML to the 

CCL has been undergoing interagency review. As a nominee, I have 

not been privy to those internal deliberations regarding any proposed rule or the status of any Congressional notification. However, 

if confirmed, I am committed to working with the Congress on 

these important issues. 

RESPONSES TO WRITTEN QUESTIONS OF 

SENATOR CORTEZ MASTO FROM JEFFREY NADANER 

Q.1. If confirmed as Assistant Secretary, you will be responsible to 

uphold the mission of the Department of Commerce—‘‘to foster, 

promote, and develop the foreign and domestic commerce’’ and furthermore to foster, serve, and promote the Nation’s economic development and technological advancement of the United States. Of my 

State’s $9.7 million in exports, nearly one-fifth of that is to Canada 

and Mexico—our partners in NAFTA. 

If confirmed to Secretary of Commerce for Export Enforcement, 

how do you anticipate the Administration’s efforts to renegotiate 

NAFTA impacting your role and responsibilities? Does the President’s rhetoric on trade concern you? Please discuss your position 

on this Administration’s renegotiation of NAFTA. 

A.1. I understand that, under the Secretary of Commerce and by 

law, the International Trade Administration (ITA), with its separately authorized and confirmed Under Secretary of International 

Trade, holds the legal responsibility within the Department for 

trade agreements and negotiations such as NAFTA. The Bureau of 

Industry and Security Export Enforcement headed by the Assistant 

Secretary of Commerce for Export Enforcement, in contrast, is a 

distinct law enforcement agency exclusively dedicated to preventing 

and stopping the illegal export of controlled, sensitive items. If confirmed and a matter involves the U.S. Export Administrative Regulations designed to stop such dangerous transfers, I am committed 

to working with any pertinent departments or agencies, including 

ITA and the United States Trade Representative (USTR), to enforce the law against violators. 

Q.2. Your role as Assistant Secretary focuses on the export and reexport of commercial commodities and technology—one of my 

State’s top exports to NAFTA participants are semiconductors, electrical equipment, and communications equipment. 

How do you anticipate NAFTA’s renegotiation affecting States 

like mine that export primarily commercial commodities and technology? 

A.2. As a nominee, I am not privy to the internal deliberations or 

specifics of the NAFTA negotiations. If confirmed in the nominated 

role of Assistant Secretary of Commerce for Export Enforcement responsible for Bureau of Industry and Security Export Enforcement, 

I will not possess authority with respect to those negotiations or 

72 

deliberations. If confirmed, I will work closely with the ITA, USTR, 

and Congress to enforce U.S. laws against illegal export of controlled sensitive technologies. 

Q.3. In Nevada, 22,472 workers are employed in industries that 

use steel and aluminum. 

How do you anticipate the implementation of steel tariffs affecting our national security, foreign policy, and economic objectives? 

A.3. The President acted under Section 232 to adjust imports of 

aluminum and steel after concurring with the Secretary of Commerce’s findings that aluminum and steel articles were being imported into the United States in such quantities and circumstances 

as to threaten to U.S. national security. Section 232 authority is 

administered by the Commerce Department’s BIS Office of Export 

Administration, which is led by the Senate-confirmed Assistant 

Secretary of Commerce for Export Administration, and which is 

separate and distinct from the BIS Office of Export Enforcement. 

It is my understanding that the Assistant Secretary of Commerce 

for Export Enforcement and related Office of Export Enforcement 

does not administer Section 232 authority. 

RESPONSES TO WRITTEN QUESTIONS OF SENATOR BROWN 

FROM SETH APPLETON 

Q.1. You mentioned that you would be interested in doing more research on tracking what happens to families who leave HUD assistance. 

Do HUD’s tenant characteristics reporting systems currently contain data fields to capture the reasons why assisted families leave 

HUD assistance? 

A.1. HUD’s Multifamily programs (PBRA, 202, 811) collect a limited set of information on why households leave a unit but the systems for the PHA operated programs (Public Housing, Housing 

Choice Vouchers) do not. 

Q.2. If not, how do you propose to build this tracking capability? 

A.2. I think there are three paths that we can pursue simultaneously. In the shortest run, we can use tenant income trajectory 

(data from recertifications prior to exit) as a means to estimate 

likelihood that exits were positive. A middle path will be to build 

off the data matching agreements HUD’s Office of Policy Development and Research (PDR) has already established with the Census 

Bureau and other agencies to see the characteristics of recent leavers; for example, employment data that the Census Bureau collects 

from State agencies. The third is to investigate the feasibility of updating HUD’s forms to better capture reasons for exit. However, 

there could be significant reporting burdens for housing providers 

associated with richer varieties of exit data. Another option may be 

to conduct an evaluation that includes a one-time leaver survey; 

that could tell us a lot about what we don’t know at present and 

how best to update systems. 

Q.3. How do you propose to track and measure self-sufficiency outcomes among families who leave HUD-assisted housing? 

73 

A.3. PDR has already developed a data sharing agreement with the 

Department of Health and Human Services’ National Directory of 

New Hires to assess income change for tenants participating in the 

Family Self-Sufficiency program. I hope to expand and improve on 

these important data matching partnerships. 

Q.4. The FY2016 Consolidated Appropriations Act authorized the 

expansion of the MTW Demonstration to an additional 100 agencies and required the rigorous evaluation of demonstration outcomes. 

With regard to HUD’s evaluation of the expanded demonstration, 

please provide an overview of HUD’s evaluation plan and expected 

timeline for initiation and conduct of the evaluation. 

A.4. In addition to authorizing expansion, Congress has provided 

PDR $10 million in research funding to support the rigorous evaluation. The Appropriations Act of 2016 required HUD to create a 

research advisory committee that has provided extremely valuable 

advice on what should be studied and how. My understanding is 

that the research PDR has scoped out and will be procuring shortly 

would initially establish rigorous random assignment protocols to 

two cohorts, the first a study of the impacts of providing MTW 

flexibility to small PHAs, the second a study of alternative rent 

structures, likely tiered rents and stepped rents. 

Q.5. If confirmed, will you commit to conducting rigorous research 

of the MTW demonstration? 

A.5. Yes. 

Q.6. HUD’s 2017 update to the Research Roadmap discusses new 

research that can be conducted through the matching of administrative data between HUD and other Federal agencies. While this 

research can provide valuable insights into the uses of HUD programs and assistance, it also opens up the potential for HUD-assisted families’ private data to be accidentally or intentionally released. 

If confirmed, will you work to protect the privacy of HUD-assisted families’ personal information? 

A.6. Yes, this is very important. Any data matching will be done 

to carefully protect the privacy of HUD-assisted families. The 

matching is for research only and will be aggregated so that no individual household or person would be identified or impacted by 

the match. HUD’s formal data matching agreements with Federal 

statistical agencies ensure that their rigorous privacy protection 

systems apply to the linked data being used by researchers. 

Q.7. HUD has proposed to conduct an evaluation of EnVision Centers. As I understand it, EnVision Centers will build off of existing 

HUD place-based investments. The Advanced Notice of EnVision 

Center Demonstration states that ‘‘communities should be currently participating in one or more Federal place-based initiatives’’, 

such as Promise Zones. The Choice Neighborhoods Initiative also 

offers comprehensive neighborhood revitalization strategies that involve public and private partners across many sectors, such as education and health. In addition, many housing authorities have operated or facilitated community centers and social service hubs, alVerDate Nov 24 2008 10:12 Jun 04, 2018 Jkt 046629 PO 00000 Frm 00077 Fmt 6602 Sfmt 6602 L:\HEARINGS 2018\04-17 NOMINATIONS\HEARING\41718.TXT JASON
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though funding for such services have been limited by underfunding of the Operating Fund and Section 8 Administrative Fees. 

If confirmed, how would you isolate the effect of EnVision Centers from the effect of the underlying place-based strategy or existing community service hubs in order to measure its effectiveness? 

A.7. If I am confirmed, and Congress provides HUD the authority 

to spend resources on an evaluation, I would ask PDR to evaluate 

EnVision Centers as it has evaluated other programs. The initial 

evaluation would be a process evaluation. This would be followed 

by an outcome evaluation. If feasible we might pursue more rigorous methods. I would look for guidance from the PDR staff and 

other researchers to design the most effective research strategy. 

Q.8. In your written and oral testimony, you have committed to 

pursuing evidence-based policy during your tenure at HUD. 

Given that, how will you approach situations in which the Administration directs HUD to propose or implement certain policies, 

such as the deep budget cuts proposed in HUD’s FY2019 budget or 

the recent Executive Order regarding work requirements in public 

assistance programs? 

A.8. If confirmed, I am committed to using data and research to 

provide the facts to the Secretary and the Administration on the 

impact of any proposed program changes. 

Q.9. You have noted your interest in long-term disaster recovery 

research. I am very concerned that FEMA disaster recovery assistance programs are not meeting the needs of low-income families, 

particularly renters, displaced by the 2017 hurricanes. In Ohio and 

other States to which families fled after the 2017 hurricanes, many 

families displaced by the storms are still struggling to find affordable housing in markets in which such housing is already scarce. 

HUD officials have stated that they are ready to administer Disaster Housing Assistance Program (DHAP) assistance through local 

housing authorities for these families, but FEMA has not yet made 

such assistance available to HUD. 

If confirmed, do you intend to consider the needs of, and barriers 

facing, low-income families, including renters, in your research of 

long-term disaster recovery solutions? 

A.9. Yes. The loss of affordable rental housing is one of the unmet 

needs included in PDR’s analysis for allocating Community Development Block Grant–Disaster Recovery (CDBG–DR) funds after a 

disaster. As we develop research on how we currently pursue disaster recovery and consider improvements, addressing the needs of 

impacted low-income families in need of affordable rental housing 

will be an early priority. 

RESPONSES TO WRITTEN QUESTIONS OF 

SENATOR MENENDEZ FROM SETH APPLETON 

Q.1. President Trump recently issued an executive order requiring 

HUD to identify opportunities to propose new work requirements 

on recipients of Federal housing assistance. 

I’m concerned the very premise of imposing work requirements 

on these low-income families demonstrates a major misunderstanding of who is actually served by these programs. More than 

75 

1https://www.cbpp.org/research/housing/chart-book-employment-and-earnings-for-households-receiving-federal-rental#section1 

half, 57 percent, of the 4.6 million households that receive rental 

assistance are elderly or disabled. Of those that aren’t elderly or 

disabled, more than two-thirds are currently working, but they’re 

barely scraping by. In fact, the typical working family that receives 

rental assistance is headed by a 38-year old mom with two kids— 

making only about $18,000 a year. 1

Many face challenges finding a job that pays enough, or provides 

steady enough hours, to lift their family out of poverty, let alone 

afford housing in today’s market. 

The Executive Order states, ‘‘many of the programs designed to 

help families have instead delayed economic independence, perpetuated poverty, and weakened family bonds.’’ In your view, have any 

of HUD’s rental assistance programs ‘‘weakened family bonds’’? If 

so, how? 

A.1. In my view, the income-based rent calculations of rental assistance programs can create disincentives to family formation because, when an additional person is added to a household, the tenant rent contribution automatically increases by 30 percent of their 

additional income. 

Q.2. I appreciate what you said in your testimony about your fidelity to evidence-based research. Isn’t the very premise of the Executive Order a conclusion in search of evidence? 

A.2. PDR research over the years suggests that rental assistance 

as currently administered is a slight deterrent to increasing earnings or entering the labor force, because of the direct and immediate correlation between increased earnings and increased rent 

payment obligations. 

Q.3. Are you familiar with the Center for Budget and Policy Priorities’ extensive research that work requirements in Federal assistance programs have done little to reduce poverty, and in some 

cases, they’ve pushed families deeper into it? 

A.3. I am familiar with CBPP’s work on a number of topics, but 

your question prompted me to look into this specific research. 

Thank you for making me aware of it. 

Q.4. Will you commit to incorporate this research into any recommendation you make to the Secretary on work requirements for 

households receiving Federal rental assistance? 

A.4. I commit to including all of the known research, including this 

research, into discussions in HUD on work requirements. 

Q.5. It’s been 7 months since Hurricane Maria devastated the island of Puerto Rico. Having visited the island last year after the 

storm, it’s clear to me that we need to expedite longer-term housing 

assistance, particularly for low-income households. We’ve learned 

from the Government’s response to previous disasters that coordination between FEMA and HUD on addressing post-disaster longterm housing needs is critical. I know you have been involved in 

the Department’s response thus far. 

76 

In your view, is HUD equipped and ready to administer a Disaster Housing Assistance Program for Hurricane Maria, should 

FEMA request it? 

A.5. Yes. HUD has the capability to administer a Disaster Housing 

Assistance Program (DHAP) if requested by FEMA. 

Q.6. Has this been communicated to Administrator Long? If so, 

what is causing the delay? 

A.6. Since these devastating hurricanes made landfall, HUD has 

been in close communication with FEMA at the leadership level at 

headquarters as well in the field about all aspects of the housing 

recovery for HUD- and non-HUD-assisted households, including 

HUD’s ability to administer a rental assistance program if established by FEMA. While I cannot speak for FEMA, disaster recovery 

is a top priority of mine. If confirmed, I will be an advocate within 

the Administration for the individuals and families displaced by 

disasters and am committed to using all available tools in PDR as 

well as in the Department to help them rebuild their lives. 

Q.7. Please describe what role, if any, you will have in the Department’s implementation of the Affirmatively Furthering Fair Housing rule. 

A.7. PDR is the home to HUD’s data and geospatial mapping capabilities, which have been and will continue to be available to help 

grantees achieve positive fair housing outcomes. 

RESPONSES TO WRITTEN QUESTIONS OF 

SENATOR CORTEZ MASTO FROM SETH APPLETON 

Q.1. Nearly every community in this Nation has an affordable rental housing crisis. Half of renters pay more than 30 percent of their 

income for rent. It is acute in Nevada. Families earning about 

$30,000 a year are unable to find an affordable home; for every 100 

extremely low-income families, there are only 15 apartments that 

don’t cost more than 1⁄3 of their income. Our waiting lists for public 

housing and Section 8 are in tens of thousands; families wait years 

for help. 

Congress provided $42 billion to HUD for FY2018. 

With that amount of funding are there any families CURRENTLY receiving HUD housing assistance that could lose HUD 

benefits? 

A.1. To the best of my knowledge, the FY2018 funding levels are 

adequate to serve at least as many households as HUD currently 

serves and possibly more. There is turnover every year in the housing assistance programs, but as units turnover the funding appropriated is adequate to make the turnover units and vouchers available to other needy households on at least a one-for-one basis on 

average. 

Q.2. Congress provided $42 billion to HUD for FY2018. With that 

amount of funding how many new individuals or families that are 

not receiving HUD housing assistance now could receive assistance? 

A.2. The recently enacted Appropriations Act for FY18 provides 

funding to continue to expand the number of Veterans Affairs SupVerDate Nov 24 2008 10:12 Jun 04, 2018 Jkt 046629 PO 00000 Frm 00080 Fmt 6602 Sfmt 6602 L:\HEARINGS 2018\04-17 NOMINATIONS\HEARING\41718.TXT JASON
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portive Housing (VASH) vouchers as well as the number of households served by the Section 202 and 811 programs by several thousand units combined. In addition, approximately 10 percent of existing assisted units have normal turnover each year, which means 

more than 460,000 new households are served each year through 

normal turnover. 

Q.3. If some new families or individuals could receive housing assistance, please explain how—and for whom—those funds will be 

made available? For example, for veterans through VASH or for 

people with disabilities through the 811 program. 

A.3. There are many populations that could benefit from housing 

assistance. I would welcome a discussion with Congress and other 

stakeholders to hear views on how HUD could prioritize the turnover units to achieve specific housing goals. PDR did a study a few 

years ago that looked at how PHAs currently prioritize tenants on 

their waiting lists. I would hope to use research like this to help 

inform the discussion. 

Q.4. Is the HUD Administration requesting—or receiving—a 

recission? Will the funds Congress allocated to HUD be cut? 

A.4. I have not been involved in formulating any proposals to rescind funds that have been appropriated to HUD. As a long-time 

former Capitol Hill staffer, I understand and respect that the budget and appropriations process is an iterative one that is, in the end, 

decided by Congress. I commit that, if confirmed, I will always approach the budget process from the perspective of advising the Secretary and HUD leadership of the impacts that budget proposals 

would have on HUD’s programs and the individuals, families, communities, and organizations they serve based on the available data 

and research. 

Q.5. If the budget the Trump administration proposed for 2019 was 

adopted into law, how many of the 5 million families HUD is currently serving would lose housing assistance under the 2019 HUD 

proposed budget? If any, how many of those that would lose assistance would reside in Nevada? 

A.5. The proposed FY19 funding level for HUD’s housing assistance 

programs was designed so that no currently served households, including those in Nevada, would lose their rental assistance and 

would also allow HUD to reuse vouchers upon turnover. However, 

to achieve this would require statutory changes in how rents are 

calculated for non-elderly nondisabled households. 

There is ongoing research being conducted right now by PDR into 

the effects of alternative rent structures as part of HUD’s Rent Reform Demonstration. Further testing on alternative rents will be 

looked at as part of the MTW expansion. This research should yield 

important data and findings on the impacts of the tested changes 

that I am committed to sharing with the Secretary and the Congress when they are available so that they can be used as evidence 

to inform future policy recommendations and decisions. 

Q.6. Under the Trump budget request for 2019, how many additional families would receive housing assistance nationwide? 

A.6. The proposed funding level for HUD’s housing assistance programs would continue to support all currently supported houseVerDate Nov 24 2008 10:12 Jun 04, 2018 Jkt 046629 PO 00000 Frm 00081 Fmt 6602 Sfmt 6602 L:\HEARINGS 2018\04-17 NOMINATIONS\HEARING\41718.TXT JASON
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holds, the reissuance of Housing Choice Vouchers, and the leasing 

of units that become vacant in the Project Based Rental Assistance 

program. The proposal does include substantial cuts to the Public 

Housing program that may result in PHAs choosing to reposition 

their inventory, which might lead to public housing units not being 

reoccupied after tenants leave. For any existing public housing tenants that are required to move because of repositioning of the public housing inventory, they would receive another assisted housing 

unit or a housing voucher. 

Q.7. My State is facing an affordable housing crisis, and with that 

has come a rise in evictions. Princeton just launched a new national website with data on evictions. In 2016, Nevada had 13,478 

evictions. In November 2017, new management evicted 35 families 

from a low-income apartment complex in Reno, Nevada, and those 

families were left on the street with nowhere to go. A constable in 

Laughlin, Nevada reported a rise in ‘‘strong-arm evictions’’—pushing out tenants without using the correct, by-the-book processes designed to protect both the tenant and the landlord. 

If confirmed to this position, do you plan to lead and publish research on eviction and reforms that should be undertaken for eviction practices? 

A.7. Yes. PDR has already been working with the author of Evicted, Professor Matthew Desmond, to improve the data HUD collects 

on evictions through its American Housing Survey and, if confirmed, I am committed to continuing this work and to publishing 

other research on the topic. 

Q.8. What research does HUD have on best practices to help families avoid eviction? 

A.8. Professor Desmond’s work has greatly increased awareness of 

the issues surrounding eviction. PDR has not done a great deal of 

work on the issue to date, but it would be useful for PDR to closely 

examine the potential value of the eviction module in the 2015 

American Housing Survey and the EvictionLab’s national eviction 

database in connection with future research opportunities. PDR’s 

evaluation of the Homelessness Prevention and Rapid Re-Housing 

program should be of value because of that program’s focus on eviction/foreclosure prevention and payment of arrearages. Additionally, HUD’s report to Congress, ‘‘Worst Case Housing Needs 2013’’, 

included a short section on eviction and foreclosure problems. It 

found that, in 2013, eviction and foreclosure together accounted for 

2.7 percent of moves for recent movers with severe problems, compared with 2.0 percent of moves among those without severe problems. Having severe housing problems significantly increases the 

probability of missing rent payments. 

Q.9. What research does HUD have on improving eviction courts 

and protecting tenants rights? 

A.9. Research in this area is challenging given the fact that eviction courts function differently from jurisdiction to jurisdiction. I 

believe HUD can play an important role in identifying best practices and disseminating those to communities across the country. 

In addition, I would like HUD to leverage its research partnerships 

to better explore and understand this critical issue. As PDR conVerDate Nov 24 2008 10:12 Jun 04, 2018 Jkt 046629 PO 00000 Frm 00082 Fmt 6602 Sfmt 6602 L:\HEARINGS 2018\04-17 NOMINATIONS\HEARING\41718.TXT JASON
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siders future research it would be beneficial to review what the 

EvictionLab has learned. 

Q.10. Discrimination in housing is a serious problem. Families 

with children, people with disabilities, ethnic and racial minorities 

can face barriers to renting and buying homes. 

If confirmed, do you plan to conduct research into fair lending 

and redlining practices? 

A.10. For three decades, PDR has launched major studies of discrimination using paired-testing methods, including research on 

discrimination targeting families with children, people with disabilities, and ethnic and racial minorities. If confirmed, I am committed to continuing this important work. 

Q.11. If confirmed, what type of data on mortgage lending do your 

have access to beyond HMDA? 

A.11. In addition to the restricted (agency) HMDA data, HUD has 

access to records on all loans insured through FHA, including 

standard 203B and other programs (e.g., HECM, 203K, etc.). The 

HUD-sponsored Rental Housing Finance Survey (RHFS) collects 

data on the sources of financing for rental properties. The American Housing Survey (AHS), which is sponsored by HUD, contains 

several questions on housing finance. HUD also has interagency 

agreements to access the new National Mortgage Database 

(NMDB), a 5 percent sample of all outstanding mortgage in the 

country. HUD also procures data from private vendors, such as 

mortgage servicing data, housing and delinquency data, and delinquency reports. 

Finally, there are a variety of public data on mortgage lending 

that PDR relies on. For example, FHFA provides several public-use 

databases on house prices and GSE acquisitions. Fannie Mae and 

Freddie Mac themselves provide public loan-level acquisition and 

performance data. 

Q.12. While rapid growth and increases in jobs are good for communities, some get left behind. In my State, rents are rapidly rising, and wages are not rising to match. 

If confirmed, how will you update HUD’s research into preserving affordable housing in hot market cities? 

A.12. If confirmed, I will review the issue of hot markets with 

PDR’s regional economists, as well as stakeholders, practitioners, 

academics, and advocates on the ground, and make effective use of 

the metro data newly available in the national American Housing 

Survey, as reported in ‘‘Worst Case Housing Needs: 2017 Report to 

Congress’’. Such market information can be considered along with 

lessons learned from the Rental Assistance Demonstration to make 

preservation more effective. 

Q.13. What research does HUD have on investor-owned properties 

impact on the local housing market? 

A.13. HUD has not done specific research on investor-owned singlefamily housing, but accounts for increased single-family rental inventory when evaluating housing markets in Comprehensive Housing Market Analysis Reports and market analyses for FHA multifamily insurance applications. One issue that could be studied is 

whether the prevalence of investor-owned single-family housing 

80 

contributes to the low levels of inventory available for resale because continued growth in rents coupled with low-cost financing 

locked in during the crisis makes renting single-family homes a 

profitable proposition. The difficulty of such research is the perennial issue of the owners of rental housing being hard to study. If 

confirmed, I will explore the feasibility of studying this issue with 

the PDR team. 

Q.14. We must prohibit discrimination against Lesbian, Gay, Bisexual, and Transgender people in housing, including at homeless 

shelters. According to the 2015 U.S. Transgender Survey, 30 percent of transgender Americans have experienced homelessness at 

some point in their lives and 12 percent say they experienced 

homelessness in the past year because of being transgender. An estimated 40 percent of homeless youth are LGBTQ. Housing providers need the HUD guidance to ensure they follow the law and 

treat people traumatized by homelessness with compassion and respect. 

Will you urge the Secretary restore the Gender Identity Guidance as originally posted without delay? If not, why not? 

A.14. Nondiscrimination is important to me and I am committed to 

ensuring that every person participating in HUD’s programs can 

access them without being arbitrarily excluded and can feel safe 

during their time in the programs. Report language included as 

part of the recently enacted Appropriations Act directs HUD to expedite its review of these resources and, as appropriate, reissue 

and make publicly available all policies, surveys, and guidance 

within 180 days of enactment of the act. I think it is important for 

the Department to meet this deadline. 

Q.15. What is the status of the rent reporting pilot program that 

aims to help HUD-assisted tenants build credit scores? 

A.15. As part of broader conversation on how rent reporting would 

impact HUD assisted tenants, PDR entered into a research partnership agreement with a private research organization (PERC) to 

conduct research using historical rent payment data of PHAs to ascertain the impact on credit scores, if any, of reporting tenant payment to Credit Reporting Agencies. The study is nearing completion and results are expected soon. If confirmed, I am committed 

to utilizing the results of this study to inform future policy discussions on rent reporting for HUD-assisted tenants. 

Q.16. Are there any changes proposed to the reverse mortgage program? If so, please describe them. 

A.16. I am not aware of any current initiatives to change the 

HECM program. However, there has been considerable volatility in 

the program in the past, which, from my understanding, has 

spurred previous changes to it. If confirmed, I am committed to 

bringing all available data and research to any policy discussions 

involving it. 

81 

RESPONSES TO WRITTEN QUESTIONS OF SENATOR JONES 

FROM SETH APPLETON 

Q.1. An area of concern that I raised with Secretary Carson is the 

issue of having adequate sewage for residents of rural Alabama, especially in the Black Belt. Many of these residents that reside in 

public housing units. In the 21st century, I believe every citizen of 

our Nation should have access to adequate sewage at their homes, 

but unfortunately this is still an issue we are working with in parts 

of my State, and I believe the Federal Government has a role to 

play. 

Can you work with me and my State to potentially get some research into rural sewage issues and its relationship to adequate 

housing? 

A.1. Yes. This is an important issue and, if confirmed, I am committed to working with you and your staff to address it. 

82 

ADDITIONAL MATERIAL SUPPLIED FOR THE RECORD

DOCUMENTS SUBMITTED IN SUPPORT OF THE NOMINATION OF SETH 

APPLETON 


41718030.eps
83 


41718031.eps
84 


41718032.eps

Seth Daniel Appleton 

Nominee to be Assistant Secretary of Housing and Urban Development for 

Policy Development and Research 

United State Senate Committee on Banking, Housing, and Urban Affairs 

Tuesday, April17, 2018 

United States Senator Roy Blunt 

Chairman Crapo, Ranking Member Brown, and distinguished members of the 

committee, I am pleased to submit for the record this statement of support for Seth 

Appleton who has been nominated by the President to serve as the Assistant 

Secretary of Housing and Urban Development for Policy Development and 

Research. 

Seth is a former staff member in the United States House of Representatives. 

Having worked for Congressman Sam Graves and Congressman Blaine 

Luetkemeyer, Seth has a proven track record of service. Throughout his legislative 

career, Seth has worked on issues including housing and banking issues. Due to 

his knowledge of policy issues and his skill in working with others, Congressman 

Luetkemeyer selected him to serve as Legislative Director and subsequently Chief 

of Staff. Congressman Luetkemeyer relied on Seth to provide wise counsel on a 

wide range of staffing, management, and policy issues. 

Throughout the years, Seth established a track record of working with legislators, 

their staffs, stakeholders, and advocates to develop bipartisan policy solutions. In 

the I 14th Congress, Missouri had a unique opportunity to impact the nation's 

housing policies. Congressman Luetkemeyer served as Chairman of the United 

States House Financial Services Subcommittee on Housing and Insurance and 

Congressman Emanuel Cleaver served as Ranking Member. Together, they 

authored the Housing Opportunity Through Modernization Act, which was passed 

in the House and Senate without a dissenting vote and signed into law in 2016 by 

President Obama. As Chief of Staff, Seth provided key advice in the development 

of this legislative package. This bill was one of the largest pieces of housing 

legislation to be signed into law in decades and is just one example of Seth's 

ability to use his skills to advance policies that address the needs of our nation. 

Today, Seth serves as General Deputy Assistant Secretary for Congressional and 

Intergovernmental Relations at the Department of Housing and Urban 

Development. 
85 


41718033.eps

As you can see, Seth has the requisite credentials for this position, but more 

importantly, he has also demonstrated the passion and professionalism that will 

make him an asset to the Department of Housing and Urban Development. 

As Senator Kit Bond related in a letter of support, "Seth's bipartisan approach to 

policymaking and problem solving will make him an effective leader in HUD's 

Office of Public Development and Research and a good partner to Congress in 

your joint efforts to fix the housing system so it serves those most in need." 

I am honored to submit this statement of support for Seth. I sincerely hope this 

committee understands the quality and caliber of individual they are considering 

for policy development and research matters at the Department of Housing and 

Urban Development. I hope you will move his nomination forward. 
86 


41718034.eps

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April17,2018 

The Honorable Michael Crapo 

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Sentte Comminee on Banking, 

Housing & Urban Af&irs 

239 Dirl<scn Sentte Office Building 

Washington, DC 20510 

The Honorable Sherrod Brown 

RanlcingMembtr 

Senate Comminee on lbnking. 

Housing & Urban Af&irs 

713 Hut Senatt Office Building 

Wtsbington, DC 20510 

The IJ million members of die NatiorW Association of REALTORS' 

emhusi2stically support die nomination of Seth Danid Appleton as the Ocputmcnt 

of Hoosing 211d Urban Ocveklpment's (I-IUD) Assis1211t Sea=y for Policy 

Development and Reseatth. NAR worked closely with Mr. Appleron when he 

strred as chief of s~afT for Reprtsentuive Bbine Luetkemeyer, Chainnan of the 

House rmancial Sel\oiees Pinanciallnsriturioos and Consumer Credit 

Subcommittee. Given his extensive experience on the Hill, we fumly believe Mr. 

Appleron v.ill he a strong leader 211d asset ro the HUD OffiCe of Policy 

Ocvclopmem 2l1d Resean:ll. 

NAR suongJy lllflPOit$ die oominttioo of Seth Danid Appleton, 2l1d wge )'OU ro 

pass his l1Xe out of the Commi-,IDCiro the Senate floor ...nh haste. 

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I<IT BOND 

February 20. 20 18 

Dear Chainnan Crapo and Ranking Member Brown: 

Please note my support for the nomination of Seth Appleton. a fellow Missourian 

who has been nominated to be Assistant Secretary for Policy Development and 

Research at the Department of Housing and Urban Development (HUD). 

Since my time as Missouri· s Governor and later as Chairman of the Senate 

Appropriations Subcommittee on Transportation. Housing and Urban Development. 

and Related Agencies and co-Chair of the Bipartisan Policy Center's Housing 

Commission. I have been a proud champion ofretonning our nation's housing 

policies. I am pleased that Seth has been asked to serve in this important position at 

BUD where he too can work to advance policies to improve access to affordable 

housing in conununities across the country. 

Prior to his nomination. Seth served as HUD"s Acting Assistant Secretary for 

Congressional and Intergovernmental Relations. Also. before joining HUD. Seth 

worked in the House of Representatives for 13 years, including eight years as chief of 

statT to Missouri Congressman Blaine Luetkemeyer. a senior member of the House 

Financial Services Committee and fom1er Vice Chairman and Chairman of its 

Subcommittee on Housing and Insurance. 

As a Senator. and also as a former constituent of Congressman Luetkemeyer's, I 

worked with Seth and can attest that he has been an outstanding advocate for 

Missourians. working to advance policies relating to housing. agriculture. and small 

business. Seth's bipartisan approach to policymaking and problem solving will make 

him an effective leader in BUD's Office of Public Development and Research and a 

good partner to Congress in your joint e!Torts to fix the housing system so it serves 

those most in need. 

Seth Appleton will serve both HUD and our country well in this position and I urge 

you to support his nomination and continn him as HUD's Assistant Secretary for 

Policy Development and Research without delay. Also. thank you for your efforts 

Respectfully. 

'#/ 

Christopher S. Kit Bond