The Chief Operating Officer is appointed by the Secretary of Education to a minimum 3-year and a maximum 5-year term, and may receive a bonus for meeting the performance goals or be removed for failing to meet them.
The Secretary of Education decided to appoint someone they had worked with many years ago. 
mnli hypothesis: The Secretary of Education decided to appoint someone they had worked with many years ago.  premise: The Chief Operating Officer is appointed by the Secretary of Education to a minimum 3-year and a maximum 5-year term, and may receive a bonus for meeting the performance goals or be removed for failing to meet them.