WASHINGTON – Today, U.S. Sen. Mark R. Warner joined Sens. Tammy Baldwin (D-WI), Chris Murphy (D-CT) and a group of 31 colleagues in a letter urging the Department of Health and Human Services (HHS) to take immediate action and address short-term limited duration insurance (STLDI) plans, or junk plans, which fail to provide adequate, comprehensive health insurance coverage.

In 2018, in an effort to sabotage the Affordable Care Act (ACA), the Trump Administration made junk plans more widely available to consumers. Since then, these plans have continued to expand, however, they are not required to adhere to important standards, including prohibitions on discrimination against people with pre-existing conditions, coverage for the 10 essential health benefit (EHB) categories, and annual out-of-pocket maximums.

“Now, more than ever, the Department of Health and Human Services must act. Beginning in April, millions of Americans will likely lose the Medicaid coverage that they have relied upon during the COVID-19 pandemic. We must protect those who will be looking for coverage in the near future, and take steps to ensure that these plans are not allowed to further proliferate,” wrote the Senators. “It is past time for your Department to step up and address the expansion and proliferation of junk plans.”

In addition to Sens. Warner, Baldwin, and Murphy, the letter was signed by Richard Blumenthal (D-CT), Cory Booker (D-NJ), Sherrod Brown (D-OH), Ben Cardin (D-MD), Bob Casey (D-PA), Christopher Coons (D-DE), Catherine Cortez Masto (D-NV), Tammy Duckworth (D-IL), Richard Durbin (D-IL), Dianne Feinstein (D-CA), Maggie Hassan (D-NH), Martin Heinrich (D-NM), John Hickenlooper (D-CO), Timothy Kaine (D-VA), Angus King (I-ME), Amy Klobuchar (D-MN), Ben Ray Luján (D-NM), Edward Markey (D-MA), Robert Menendez (D-NJ), Jeff Merkley (D-OR), Patty Murray (D-WA), Alex Padilla (D-CA), Gary Peters (D-MI), Jack Reed (D-RI), Jeanne Shaheen (D-NH), Tina Smith (D-MN), Debbie Stabenow (D-MI), Chris Van Hollen (D-MD), Raphael Warnock (D-GA), Elizabeth Warren (D-MA), and Peter Welch (D-VT).

Full text of the letter can be found here and below.

Dear Secretary Becerra,

As we celebrate the State of the Union and the important gains that we have made when it comes to expanding the availability of comprehensive, affordable health care coverage, we write once again to urge you to take immediate action and address short-term limited duration insurance plans, or, junk plans. Now, more than ever, the Department of Health and Human Services must act. Beginning in April, millions of Americans will likely lose the Medicaid coverage that they have relied upon during the COVID-19 pandemic. We must protect those who will be looking for coverage in the near future, and take steps to ensure that these plans are not allowed to further proliferate.

The Families First Coronavirus Response Act (Families First) (P.L. 116-127) provided additional federal Medicaid funding to states during the COVID-19 public health emergency in exchange for maintaining coverage, specifically by meeting certain maintenance-of-effort requirements. These requirements barred states from lowering income eligibility levels, imposing new premiums or other barriers to enrollment, and involuntarily disenrolling individuals from their programs. According to federal data, Medicaid enrollment has increased by over 30 percent since February of 2020, an additional 19.5 million people. Congress has also worked to provide additional financial support for those who purchase ACA marketplace plans, and in August, passed the Inflation Reduction Act, which extended the additional financial support first enacted as part of the American Rescue Plan. As a result of this additional support, consumers saved an average of $800 on their premiums in 2021, and will continue to see savings through 2025.

As part of the Fiscal Year 2023 (FY23) omnibus, Congress took steps to uncouple the maintenance-of-effort requirements included in Families First from the public health emergency in order to avert both a Medicaid coverage and funding cliff. Starting on April 1, 2023, states will be able to begin conducting Medicaid eligibility redeterminations and enhanced federal funding will gradually phase out from April through December 2023. In order to receive enhanced funding during this period, states must follow all federal requirements related to redeterminations, update beneficiaries’ contact information, and use multiple methods to contact individuals when they have moved and have an out-of-date mailing address. States will also be required to submit monthly reports on unwinding, including information indicating where beneficiaries are experiencing challenges.

Congress worked to make sure that the FY23 omnibus gave state Medicaid programs a roadmap for the months ahead and enacted the Inflation Reduction Act to provide additional financial support for those enrolling in health coverage through the marketplace. It is now time for the Administration to do its job and act to protect those who will be seeking to enroll in coverage in the coming months.

According to estimates from your Department, approximately 15 million individuals will lose Medicaid or CHIP coverage in the coming year and will therefore require affordable health care coverage. Millions will be eligible for significant financial assistance to purchase comprehensive coverage on the marketplace. But without additional protections, many Americans could find themselves enrolled in junk plans that do not provide comprehensive coverage or protection for individuals with pre-existing conditions. These plans, which were actively promoted by the previous Administration and remain unchecked, are not required to comply with consumer protections that limit out-of-pocket costs or coverage of essential health benefits, including mental health services, treatment for substance-use disorder, prescription drug benefits, and maternity care. Furthermore, these plans engage in the type of discriminatory practices, such as retroactive coverage rescissions, medical underwriting, and lifetime and annual caps, which were commonplace before the Affordable Care Act.

Since President Biden took office, he has prioritized expanding access to comprehensive, affordable health coverage. Congress has supported these efforts. It is past time for your Department to step up and address the expansion and proliferation of junk plans.

Sincerely,

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WASHINGTON – Senate Select Committee on Intelligence Chairman Mark R. Warner (D-VA) and Vice Chairman Marco Rubio (R-FL) wrote to the Biden administration to request that it expand the use of existing tools and authorities at the Departments of Treasury and Commerce to prevent China’s military industrial complex from benefiting from U.S. technology, talent and investments.

In a pair of letters, the Senators expressed concern with the flow of U.S. innovation, talent, and capital into the People’s Republic of China (PRC), which seeks to exert control over global supply chains, achieve technological superiority, and rise as the dominant economic and military power in the world. They also stress the need to utilize the authorities at the government’s disposal to protect U.S. interests and ensure that American businesses, investors, and consumers are not inadvertently advancing China’s authoritarian interests or supporting its ongoing genocide in Xinjiang and human rights abuses in Tibet and Hong Kong.

In their letter to Treasury Secretary Janet Yellen, the Senators wrote, “It is widely known that the PRC’s Military-Civil Fusion (MCF) program targets technological advancements in the U.S., as well as university and research partnerships with the U.S., for the PRC’s military development.  U.S. technology, talent, and capital continue to contribute—through both lawful and unlawful means, including theft—to the PRC’s development of critical military-use industries, technologies, and related supply chains. The breadth of the MCF program’s ambitions and reach creates dangerous vulnerabilities for U.S. national and economic security as well as undermines respect for democratic values globally.”

The Senators also posed a number of questions for Sec. Yellen regarding Treasury’s internal Specially Designated Nationals and Blocked Persons (SDN) lists, which do not include a number of entities and individuals who have been identified by the U.S. Government as posing national security risks or human rights concerns.  

In their letter to Commerce Secretary Gina Raimondo, the Senators wrote, “Despite recent restrictions on the export of sensitive technologies critical to U.S. national security, we remain deeply concerned that American technology, investment, and talent continue to support the People’s Republic of China’s (PRC’s) military industrial complex, intelligence and security apparatus, its ongoing genocide, and other PRC efforts to displace United States economic leadership. As such, we urge the Department of Commerce to immediately use its authorities to more broadly restrict these activities.”

The Senators also requested answers from Sec. Raimondo regarding America’s most critical high-technology sectors, the Department’s ability and authority to evaluate companies’ reliance on China and assess the flow of U.S. innovation to PRC entities.  

A copy of the letter to the Department of Treasury is available here. A copy of the letter to the Department of Commerce is available here.  

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WASHINGTON – As the General Services Administration (GSA) and Federal Bureau of Investigation (FBI) work to finalize a location for the new FBI headquarters, Virginia’s leaders are joining together to make the case that Springfield is the superior site.  

In a letter, the Commonwealth’s bipartisan congressional delegation and Gov. Glenn Youngkin detailed the ways in which Springfield best meets the five selection criteria set forth by the GSA and FBI, which are: support for the FBI mission requirement; transportation access; site development flexibility; promoting sustainable siting and advancing equity; and cost.

“The Springfield site presents the government with a comprehensive and holistic candidate location to house the FBI, as it performs strongly across all criteria. Springfield would provide the men and women of the FBI with a location that best enables them to meet their critical law enforcement and national security missions, allow GSA to execute that according to best practices in public real estate acquisitions, and provide the government with a strong and exciting opportunity to meet its community investment goals,” they wrote.

The letter was signed by U.S. Sens. Mark R. Warner and Tim Kaine, Gov. Glenn Youngkin, and U.S. Reps. Bobby Scott, Rob Wittman, Gerry Connolly, Don Beyer, Abigail Spanberger, Jennifer Wexton, and Jen Kiggans. A full copy of the letter is available here.  

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WASHINGTON – Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) along with Rep.  Morgan Griffith (R-VA-09) urged the Army Corps of Engineers to act quickly to finalize the Buchanan County Consolidated School Relocation Project, a project that would relocate and consolidate the existing Hurley High School and Buchanan County Career, Technology & Higher Learning Center from their existing locations in a floodplain onto one campus in Grundy, Virginia.

“The relocation of Hurley High School and the Buchanan County Career Center will provide a safe and reliable facility for the communities of Grundy and Hurley, Virginia,” the lawmakers wrote in a letter. “Recent significant rainfall events in Buchanan County have showed that time is of the essence to complete this critical consolidation and relocation project. We urge USACE to prioritize finalizing the Buchanan County School Relocation Contract as quickly as possible so this critical project can get underway.”

Due to consistent, severe flooding in Buchanan County – including two recent flooding events in 2021 and 2022 – USACE has implemented flood risk management measures in the county since the early 2000s. In August 2003, USACE approved a conceptual level Detailed Project Report package for the Buchanan County Nonstructural Project that identified Hurley High School and Buchanan County Career Center as “feasible for floodproofing by means of a ‘ringwall.’”

In 2019, the Buchanan County Nonstructural Project received significant supplemental appropriations to complete flood risk management activities pursuant to the Disaster Relief Act of 2019. Given the lapse in time, a USACE review determined that a ringwall for the high school was no longer feasible and relocation was the most viable solution. The Buchanan County Board of Education then submitted plans to relocate the career center to the same location as the high school, which was supported by a 2021 Supplemental Environmental Assessment produced by USACE.

In their letter, the lawmakers highlighted the elongated approval process, and requested quick action finalizing a project that is vital for Southwest Virginia. 

Full text of the letter is available here and below.

 Dear Assistant Secretary Connor:

We write today concerning the Army Corps of Engineers (USACE) Consolidated School Relocation Project, which is part of the Buchanan County Section 202 Nonstructural Flood Damage Reduction Project. The purpose of this project is to relocate and consolidate the existing Hurley High School and Buchanan County Career, Technology & Higher Learning Center from their existing locations in a floodplain onto one campus in Grundy, Virginia. We respectfully request that USACE act swiftly to finalize the Buchanan County Consolidated School Relocation Project, which is essential for our constituents in Southwest Virginia.

Over the decades, the community of Buchanan County has faced a number of severe flooding events – including two recent significant rainfall events in 2021 and 2022 that resulted in Major Disaster Declarations. As a result of these recurring flooding events, USACE has implemented flood risk management measures in Buchanan County since the early 2000s. In August 2003, USACE approved a conceptual/feasibility level Detailed Project Report package for the Buchanan County Nonstructural Project that identified Hurley High School and Buchanan County Career Center as “feasible for floodproofing by means of a ‘ringwall.’”

In 2019, the Buchanan County Nonstructural Project received significant supplemental appropriations to complete flood risk management activities pursuant to the Disaster Relief Act of 2019. Given the lapse of time, USACE was able to examine the feasibility of onsite nonstructural flood protection for Hurley High School and the Buchanan County Career Center. Following this review, USACE determined that the nonstructural floodproofing options for the high school were not feasible and converting to the nonstructural measure of acquisition by relocation was the most viable solution for providing flood protection. Although the ringwall was confirmed feasible for the career center, the Buchanan County Board of Education submitted alternative plans to relocate the career center to the same location as the high school, which was supported by a 2021 Supplemental Environmental Assessment produced by USACE.

It is our understanding that the Great Lakes & Ohio River Division transmitted the Draft Consolidated School Relocation Agreement Contract to USACE headquarters on October 26, 2022 for review and comment. At the request of USACE headquarters, we understand the Huntington District Office drafted a Letter Report and detailed responses to comments and questions posed by USACE headquarters intended to supplement the 2003 Detailed Project Report and document the considerations leading to the updated decision to achieve the most cost effective and implementable plan. We understand the Letter Report and additional materials were transmitted to the Great Lakes & Ohio River Division for review on January 13, 2023, approved, and then transmitted to USACE headquarters on January 23, 2023 for final review. It is now our understanding that USACE headquarters is in the final stages of reviewing the Buchanan County Consolidated School Relocation Contract.

The relocation of Hurley High School and the Buchanan County Career Center will provide a safe and reliable facility for the communities of Grundy and Hurley, Virginia. Recent significant rainfall events in Buchanan County have showed that time is of the essence to complete this critical consolidation and relocation project. We urge USACE to prioritize finalizing the Buchanan County School Relocation Contract as quickly as possible so this critical project can get underway.

Thank you for your attention to this matter. We look forward to working with USACE to advance this important project for Buchanan County, Virginia.

Sincerely,

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WASHINGTON – U.S. Sen. Mark R. Warner joined Sen. Tammy Baldwin (D-WI) and a bipartisan group of colleagues in sending a letter to U.S. Department of Agriculture (USDA) Secretary Tom Vilsack, urging the USDA Animal and Plant Health Inspection Service (APHIS) to take swift action to address the ongoing outbreak of avian influenza by quickly disseminating funds provided by Congress in the Fiscal Year 2023 Agriculture Appropriations bill, which was signed into law by President Biden in December.

“This unprecedented outbreak, which has been on-going since February 2022, is devastating poultry flocks across the country and contributing to an increase in poultry and egg prices for consumers,” the Senators wrote. “We acknowledge APHIS’s current efforts to address the spread of the disease. However, it is imperative the agency quickly deploy additional resources and work with the states in improving biosecurity measures within the avian supply chain, including the disinfection of sites and the testing and quarantining of affected flocks.”

As of January 31, 2023, APHIS confirmed avian flu had been found in 745 flocks in 47 states including Virginia, and affected over 58 million birds, directly contributing to rising egg prices. In the Fiscal Year 2023 Omnibus Appropriations Act signed into law late last year, Congress provided an increase in annual funding to address the avian influenza outbreak, including over $64 million for improving avian health, and updated guidance on proactively mitigating the spread of disease. Additionally, Congress directed APHIS to increase outreach and engagement with poultry producers to educate them on how to proactively halt further spread.

“We request the agency expeditiously utilize the increase in annual funding provided by Congress for activities to prevent further spread of the avian influenza and to mitigate the impact this historic wave of disease has had on our states’ farmers and consumers,” the Senators continued.

In addition to Sens. Warner and Baldwin, the letter was signed by Sens. John Boozman (R-AR), Tom Carper (D-DE), Bob Casey (D-PA), Chris Coons (D-DE), Tom Cotton (R-AR), and Roger Wicker (R-MS).

Full text of the letter is available here and below.

Dear Secretary Vilsack,

We are writing to request the United States Department of Agriculture’s (USDA) Animal and Plant Health Inspection Service (APHIS) swiftly take further action to address the ongoing outbreak of highly pathogenic avian influenza (HPAI). This unprecedented outbreak, which has been on-going since February 2022, is devastating poultry flocks across the country and contributing to an increase in poultry and egg prices for consumers.

As of January 31, 2023, APHIS has confirmed HPAI in 745 flocks in 47 states that is affecting over 58 million birds. As a direct result, retail egg prices have more than doubled and contributed to the highest grocery price inflation in nearly 5 decades. We acknowledge APHIS’s current efforts to address the spread of the disease. However, it is imperative the agency quickly deploy additional resources and work with the states in improving biosecurity measures within the avian supply chain, including the disinfection of sites and the testing and quarantining of affected flocks.

In the Fiscal Year 2023 Omnibus Appropriations Act, Congress provided over $64 million for improving avian health and included guidance directing APHIS to coordinate proactively with state animal health officials to mitigate the spread of HPAI. In addition, Congress directed APHIS to increase outreach and engagement with poultry producers to educate on proactive measures they can take to mitigate the spread of the virus.

We request the agency expeditiously utilize the increase in annual funding provided by Congress for activities to prevent further spread of the avian influenza and to mitigate the impact this historic wave of disease has had on our states’ farmers and consumers. In addition, we request an update on recent HPAI detections, geographic regions where HPAI is most highly concentrated, and an update on depopulation efforts and indemnity payments. Thank you for your attention to this matter.

Sincerely,

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WASHINGTON — Today, U.S. Sens. Mark R. Warner and Tim Kaine urged the Virginia General Assembly to protect marriage equality by repealing the ban on same-sex marriage that remains in Virginia’s constitution. In 2006, over then-Governor Kaine’s strong objection, Virginia passed a state constitutional amendment banning same-sex marriage, but the Supreme Court’s decision in Obergefell v. Hodges overrides Virginia’s ban by requiring all states to issue marriage licenses to same-sex couples. While Sens. Warner and Kaine helped pass legislation last year to ensure same-sex marriages are recognized by every state, the right of same-sex couples to marry in Virginia would be jeopardized by the state ban if Obergefell is overturned.

“We write today to urge you to take action to protect marriage equality. The General Assembly should act now to repeal the shameful ban on same-sex marriage that remains in the state constitution,” the senators wrote in a letter to General Assembly leadership.

The senators continued, “It is long past time that Virginia’s governing document conveys to same-sex marriages the same freedoms, rights, and responsibilities that are afforded to all other constitutional marriages. We urge you to work with your colleagues to advance legislation for a referendum that would fully protect Virginia’s LGBTQ couples.”

Amendments to Virginia’s constitution must pass both chambers of the General Assembly in two consecutive sessions and then be passed on the ballot by voters. Constitutional amendments cannot be vetoed by a Governor. The Virginia Senate passed a bill to repeal the state constitutional ban in the 2022 session, but that bill failed in the Virginia House of Delegates, restarting the amendment process. On January 31, 2023, the Virginia Senate Privileges and Elections Committee favorably reported a similar bill to repeal the ban.

In the U.S. Senate, Warner and Kaine were among the 212 members of Congress who signed an amicus brief arguing before the U.S. Supreme Court that same-sex married couples should have the same legal security, rights, and responsibilities that federal law provides all other married couples. Warner and Kaine have also cosponsored the Equality Act, which would amend federal civil rights laws to prohibit discrimination on the basis of sexual orientation and gender identity in education, employment, housing, credit, and federal jury service.

Full text of the letter is available here and below.

Dear Leaders Saslaw, Norment, Kilgore, and Scott:

We write today to urge you to take action to protect marriage equality. The General Assembly should act now to repeal the shameful ban on same-sex marriage that remains in the state constitution.

Marriage is a sacred and fundamental right in our society. In a long-overdue victory for the LGBTQ community, the Supreme Court concluded in Obergefell v. Hodges that the 14th Amendment requires states to issue marriage licenses to same-sex couples, bringing the country one step closer to the fundamental ideal of equality for all.  We were proud to cosponsor and support the passage of the Respect for Marriage Act in the Senate. On December 13, 2022, President Biden signed the Respect for Marriage Act into law, ensuring that same-sex and interracial couples lawfully married in any state will have their marriages recognized across the country even if Obergefell is overturned.  Although the Respect for Marriage Act provides full faith and credit for state-issued marriage licenses, the legislation does not require a state to issue a marriage licenses to same-sex couples.

While the Obergefell decision supersedes Virginia’s constitutional ban, the Supreme Court’s decision in Dobbs v. Jackson Women’s Health makes same-sex couples feel that their marriages are in jeopardy. In fact, Justice Clarence Thomas stated in his concurring opinion that “in future cases, we should reconsider all of this Court’s substantive due process precedents, including Griswold, Lawrence, and Obergefell.”  If Obergefell is overturned, then LGBTQ Virginians will likely lose the right to marry the person they love unless the General Assembly repeals the ban in Virginia’s constitution. Virginia’s circuit courts would be prohibited from issuing marriage licenses to same-sex couples due to the prohibition in the Commonwealth’s constitution.

We are encouraged by proposals in both the Virginia House of Delegates and Senate to repeal the constitutional provision. It is long past time that Virginia’s governing document conveys to same-sex marriages the same freedoms, rights, and responsibilities that are afforded to all other constitutional marriages. We urge you to work with your colleagues to advance legislation for a referendum that would fully protect Virginia’s LGBTQ couples.

Thank you for your continued leadership and service to the Commonwealth of Virginia.

Sincerely,

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WASHINGTON – Ahead of a key deadline today, U.S. Sen. Mark R. Warner (D-VA) is calling attention to a challenge submitted by the Virginia Office of Broadband to the Federal Communications Commission (FCC), pointing to a significant number of locations in Virginia that are currently incorrectly reported on the most recent FCC broadband coverage map.

In November, after a sustained push from Sen. Warner, the FCC released a new map with their best estimates of broadband coverage across the country. Once finalized, the FCC map will help determine how broadband funding from the Infrastructure Investment and Jobs Act (IIJA), the bipartisan infrastructure law negotiated and written by Sen. Warner, will be allocated to states. Sen. Warner asked Virginians to review the released draft map to ensure it accurately reflected current broadband conditions at their address, and encouraged residents submit a challenge to the FCC if the information was incorrect. Virginians must submit their challenges by today, January 13, 2023 to ensure that they are adjudicated prior to the allocation of IIJA funding.

In addition to individual challenges submitted, the Virginia Office of Broadband has submitted a bulk challenge of locations currently reported as served but found to be unserved, based on the office’s analysis. In a letter to FCC Chairwoman Jessica Rosenworcel, Sen. Warner highlighted the need for the map to accurately reflect the current state of broadband coverage in Virginia and asked the FCC to carefully consider Virginia’s submitted challenges.

“In partnership with Virginia Tech, the Virginia Office of Broadband found that there are approximately 358,000 locations in Virginia that are reported on the new map as being served when, in fact, they currently lack access to broadband. Given that the funding provided to states by the Infrastructure Investment and Jobs Act’s Broadband Equity, Access, and Deployment (BEAD) Program is calculated based on the number of unserved locations in each state, it’s important that the number of unserved locations is accurately calculated,” Sen. Warner wrote in the letter. “I hope that you will carefully review the challenges submitted by individual Virginians as well as the bulk challenge submitted by the Virginia Office of Broadband. I appreciate your attention to this important issue and thank you for your efforts to close the digital divide.”   

Regarding Virginia’s submitted challenges, Dr. Tamarah Holmes, Director of the Office of Broadband at the Virginia Department of Housing and Community Development, said today, “The number of locations in Virginia the FCC thinks are unserved directly affects the amount of money Virginia will receive under BEAD. We plan to challenge hundreds of thousands of locations we believe are incorrectly reported as served in the FCC's map, potentially securing additional funding for Virginia and allowing the Commonwealth to achieve universal access in Virginia.”

Sen. Warner has long fought to expand access to broadband in Virginia. During negotiations for the bipartisan infrastructure law, Sen. Warner secured $65 billion in funding to help deploy broadband, increase access, and decrease costs associated with connecting to the internet. The Broadband Equity, Access, and Deployment (BEAD) Program, created and funded through this landmark legislation, provides $42.45 billion to expand high-speed internet access by funding planning, infrastructure deployment and adoption programs in all states and territories. An accurate map will play a critical role in ensuring that this funding is used efficiently.

A copy of the letter is available here and below.

Dear Chairwoman Rosenworcel,

I write today to urge the Federal Communications Commission to give all due consideration to the challenges to the FCC’s new national broadband map submitted by the Virginia Office of Broadband. Ensuring that the new map is as accurate as possible is critically important to closing the digital divide and providing access to affordable, reliable broadband to every single American.

In 2021, I was proud to help negotiate the bipartisan Infrastructure Investment and Jobs Act, which provides $65 billion to increase broadband availability and affordability across the United States. In order to ensure that funding is spent effectively, Congress determined that the allocation of broadband funding should be based on the new FCC map created as a result of the Broadband DATA Act. That legislation required the FCC to change how it maps broadband access, providing more granular, location-specific information instead of the previous map’s census-block level data. This endeavor is incredibly complex, and I appreciate the efforts of you, your colleagues, and the FCC staff to develop this new map.

As you have said, the success of this effort depends on stakeholder engagement. To that end, I have encouraged Virginians to review the new map and submit location and availability challenges if they believe information is incorrect. Furthermore, the Virginia Office of Broadband has been conducting their own analysis of the new map. In partnership with Virginia Tech, the Virginia Office of Broadband found that there are approximately 358,000 locations in Virginia that are reported on the new map as being served when, in fact, they currently lack access to broadband.

Given that the funding provided to states by the Infrastructure Investment and Jobs Act’s Broadband Equity, Access, and Deployment (BEAD) Program is calculated based on the number of unserved locations in each state, it’s important that the number of unserved locations is accurately calculated. I hope that you will carefully review the challenges submitted by individual Virginians as well as the bulk challenge submitted by the Virginia Office of Broadband. I appreciate your attention to this important issue and thank you for your efforts to close the digital divide.

            Sincerely,

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WASHINGTON – Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) joined Sen. Dick Durbin (D-IL) and 21 Democratic colleagues in sending a letter to U.S. Secretary of Agriculture Thomas Vilsack urging him to update standards for commercial breeding facilities regulated under the Animal Welfare Act (AWA). In the letter, the Senators call on Secretary Vilsack to implement the strong standards for veterinary care, housing, and breeding of dogs suggested in the Puppy Protection Act, legislation that Sens. Warner and Kaine have consistently cosponsored.

“We write to request that the United States Department of Agriculture (USDA) consider updating its standards of care for dogs living in commercial breeding facilities regulated under the Animal Welfare Act (AWA),” wrote the Senators. “This Congress, we introduced the Puppy Protection Act (S. 1385), which would amend the AWA and provide several critical updates for the humane treatment of dogs by licensed breeders operating in the United States.  The legislation would ensure dogs receive adequate housing, caging, feeding and watering, human and other animal socialization, and veterinary care.”

They continued, “American consumers assume that ‘USDA-licensed’ dog dealers meet high standards for raising dogs.  However, too many American consumers have been disappointed to find out their dog lived in substandard conditions before purchase, and often deal with the repercussions of a sick puppy once they’ve purchased the dog.  We are hopeful that USDA will take the long-overdue step of ensuring its regulatory standards of care for dogs meet the expectations and demands of the American public.”

Sen. Warner, a dog owner, has been an advocate for dogs in Virginia and throughout the country, earning a 100% on the Humane Society of the United States’ Humane Scorecard for 2021. In March, Sen. Warner secured the passage of new language requiring the Department of State to report on the status of dogs in the Explosive Detection Canine Program (EDCP). This program came under scrutiny in 2019 after an Inspector General (IG) report found that the Department failed to conduct proper follow-up after sending highly-trained dogs to foreign partner nations, resulting in the death of at least ten dogs from largely preventable illnesses. As Governor of Virginia, Kaine signed a law that imposed stricter legal penalties for dogfighting offenses.

A copy of the letter is available here and full text is below:

Dear Secretary Vilsack,

We write to request that the United States Department of Agriculture (USDA) consider updating its standards of care for dogs living in commercial breeding facilities regulated under the Animal Welfare Act (AWA).   These updates are necessary to ensure breeding facilities provide dogs with proper care.  

This Congress, we introduced the Puppy Protection Act (S. 1385), which would amend the AWA and provide several critical updates for the humane treatment of dogs by licensed breeders operating in the United States.  The legislation would ensure dogs receive adequate housing, caging, feeding and watering, human and other animal socialization, and veterinary care.

USDA has the authority to update these standards, and most responsible breeders are already meeting them.  More than half of the dog breeders regulated by USDA already reside in states with laws that prescribe higher standards of care, including Ohio, Missouri, and Pennsylvania.

American consumers assume that “USDA-licensed” dog dealers meet high standards for raising dogs.  However, too many American consumers have been disappointed to find out their dog lived in substandard conditions before purchase, and often deal with the repercussions of a sick puppy once they’ve purchased the dog.  We are hopeful that USDA will take the long-overdue step of ensuring its regulatory standards of care for dogs meet the expectations and demands of the American public. 

The need for increased standards of care for dogs in USDA-licensed facilities is evident through strong congressional support for the Puppy Protection Act.  We encourage USDA to update its regulatory standards of care to embrace the requirements embedded within this bill.  

While we commend USDA for its efforts to ensure that dogs and puppies are better protected under the AWA, we urge the agency to ensure the way dogs are cared for in USDA regulated facilities meets the expectations of the American public.  Thank you again for your consideration of this important issue.

Sincerely,

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WASHINGTON – Today, U.S. Sen. Mark R. Warner (D-VA) wrote to Meta CEO Mark Zuckerberg expressing concern and requesting more information regarding Meta’s practice of collecting user’s health information through tracking applications.

In the letter, Sen. Warner highlighted the need for user privacy and increased transparency around how user data is collected online, which has become increasingly important as the use of telehealth appointments, online appointment booking, and electronic record keeping have risen exponentially over the course of the pandemic.

“As we increasingly move health care online, we must ensure there are strong safeguards in place surrounding the use of these technologies to protect sensitive health information,” wrote Sen. Warner.

Specifically, Sen. Warner called attention to Meta Pixel, a tracking tool that sends Meta a packet of data whenever a user clicks a button to schedule a doctor’s appointment – without the knowledge of the individual making the appointment.

He continued, “I am troubled by the recent revelation that the Meta Pixel was installed on a number of hospital websites – including password-protected patient portals – and sending sensitive health information to Meta when a patient scheduled an appointment online.  This data included highly personal health data, including patients’ medical conditions, appointment topics, physician names, email addresses, phone numbers, IP addresses, and other details about patients’ medical appointments.”

Sen. Warner also noted allegations that this practice of data harvesting and collection has been used by Meta to target advertisements across their platforms. In August of this year, two lawsuits were filed against the company over the alleged unlawful collection and sharing of health data without consent.

To address these concerns, Sen. Warner requested Meta respond to the following questions:

1. What information does Meta have access to or receive directly from the Meta Pixel, either currently or previously?
2. How does Meta store information received through the Meta Pixel?
3. Has information Meta received from the Meta Pixel ever been used to inform targeted advertisements on Meta’s platforms?
4. How does Meta handle sensitive information that it receives from third parties that violate its business guidelines?
5. What steps is Meta taking to safeguard sensitive health information, particularly with third-party vendors? Since the release of The Markup’s report in June, what additional steps have been taken?
6. According to the report released by the New York State Department of Financial Services last year, Meta stated that the filtering system was “not yet operating with complete accuracy.” What improvements have been made to make the filtering system more effective? How is Meta testing and evaluating the filtering system’s ability to identify sensitive health information?
7. Where required by law, does Meta always comply with any and all notification requirements when the Meta Pixel handles or transmits protected information, in the manner and time required by such laws?

Sen. Warner has been a leader in Congress pushing for increased transparency and protections surrounding user data and privacy. He introduced the DASHBOARD Act, which works to increase transparency around data collection; the DETOUR Act, which would prohibit companies like Meta from using deceptive dark patterns to manipulate users into handing over their data; and the Public Health Emergency Privacy Act, which would set strong and enforceable privacy and data security rights for health information.

A copy of the letter can be found here and below.

October 20, 2022

Dear Mr. Zuckerberg:

I write to you today to express my concern regarding Meta’s collection of sensitive health information through the Meta Pixel tracking tool without user consent.

As you know, I have long worked to protect user privacy and increase transparency around how user data is collected and shared. This mission is more urgent than ever as the last two years have shown us the importance of health care technology, with many relying on electronic health records, online appointment booking, and virtual patient portals to receive care during the pandemic. As we increasingly move health care online, we must ensure there are strong safeguards in place surrounding the use of these technologies to protect sensitive health information.

I am troubled by the recent revelation that the Meta Pixel was installed on a number of hospital websites – including password-protected patient portals – and sending sensitive health information to Meta when a patient scheduled an appointment online.  This data included highly personal health data, including patients’ medical conditions, appointment topics, physician names, email addresses, phone numbers, IP addresses, and other details about patients’ medical appointments. Additionally, of particular concern are the recent allegations that Meta has used Meta Pixel data to inform targeted advertisements on Meta’s platforms.  The use of the Meta Pixel is widespread, as the tool was installed in the systems of 33 of the top 100 hospitals in the country and inside the patient portals of seven health systems at the time of the investigation.

Unfortunately, privacy issues involving the Meta Pixel are not new, as there has been previous scrutiny of the Meta Pixel outside of the health care context. Reports published earlier this year found that the Pixel sent personal information to Meta that was collected from the Free Application for Federal Student Aid (FAFSA) on the website of the Federal Student Aid (FSA) office within the U.S. Department of Education.  Data sent to Meta includes applicant first and last name, email addresses, and zip codes. Additionally, this is not the first time that your company has been involved in the wrongful collection of sensitive health information. In 2021, an investigation by the New York State Department of Financial Services found that Meta (then Facebook) collected user data from several health and wellness apps, including results from blood pressure and heart rate readings, menstruation and fertility tracking, pregnancy status, and other deeply personal information. 

Meta’s own business guidelines state that the company “[doesn’t] want websites or apps sending [Meta] sensitive information about people,”  including sensitive health information, which Meta identifies as medical conditions, sexual and reproductive health, mental health, details regarding medical devices and trackers, treatments, test results, body specifications or cycles, locations of treatment, and other health-related data.  Yet, in this most recent case and as we have seen previously, Meta is continuing to access this highly sensitive information.

It is critical that technology companies like Meta take seriously their role in protecting user health data. Without meaningful action, I fear that these continuing privacy violations and harmful uses of health data could become the new status quo in health care and public health.

To address the concerns raised in this letter, I request that you provide responses to the following questions by November 3, 2022:

1. What information does Meta have access to or receive directly from the Meta Pixel, either currently or previously?
2. How does Meta store information received through the Meta Pixel?
3. Has information Meta received from the Meta Pixel ever been used to inform targeted advertisements on Meta’s platforms?
4. How does Meta handle sensitive information that it receives from third parties that violate its business guidelines?
5. What steps is Meta taking to safeguard sensitive health information, particularly with third-party vendors? Since the release of The Markup’s report in June, what additional steps have been taken?
6. According to the report released by the New York State Department of Financial Services last year, Meta stated that the filtering system was “not yet operating with complete accuracy.” What improvements have been made to make the filtering system more effective? How is Meta testing and evaluating the filtering system’s ability to identify sensitive health information?
7. Where required by law, does Meta always comply with any and all notification requirements when the Meta Pixel handles or transmits protected information, in the manner and time required by such laws?

I look forward to your prompt responses.

Sincerely,

###

WASHINGTON – Today, U.S. Sens. Mark R. Warner (D-VA) and Tina Smith (D-MN), joined by Sens. Amy Klobuchar (D-MN), Tammy Baldwin (D-WI), Michael Bennet (D-CO), Chris Murphy (D-CT), Bernie Sanders (I-VT), and Cory Booker (D-NJ), sent a letter to Department of Health and Human Services and Centers for Medicare & Medicaid Services (HHS/CMS) leadership urging them to review and formally report on the adequacy of the Affordable Care Act’s Essential Health Benefits (EHBs). The letter expressed the need for a review of telehealth flexibilities and the impact that scaling back these service options will have on those who rely on telehealth capabilities for treatment.

“As we begin to envision health care policies post-pandemic, we remain concerned telehealth services will be significantly pared back, hindering access to care for millions of Americans—especially those with complicated health conditions,” the Senators wrote.

When the Affordable Care Act was enacted, it required the Secretary of HHS to review EHBs and provide a report to Congress, and the public, that contains:

• An assessment of whether enrollees are facing any difficulty accessing needed services for reasons of coverage or cost;
• An assessment of whether the EHBs list needs to be modified or updated to account for changes in medical evidence or scientific advancement;
• Information on how EHBs will be modified to address any such gaps in access or changes in the evidence base;
• An assessment of the potential of additional or expanded benefits to increase costs and the interactions between the addition or expansion of benefits and reductions in existing benefits to meet actuarial limitations;

Despite this requirement, this formal review and report have never been undertaken or completed. The Senators stressed the need for this process in light of changes being made to care as the health care system shifts to a post-pandemic structure.

“We have heard from constituents who have concerns that coverage will start to vary based upon visit modality. For some specialized, complicated care—eating disorders, for example—it has always been challenging getting the most appropriate treatment covered, whether that’s because of parity or network issues,” the Senators continued. “We are concerned that modality will become one additional way barriers to treatment will be enacted, if arbitrary in-person requirements become one more way care is denied or delayed.”

The full text of the letter is available here and below:

Dear Secretary Becerra, Administrator Brooks-LaSure and Deputy Administrator Montz:

We thank you for your continued partnership in establishing and extending telehealth flexibilities to ensure Americans have access to vital health care services and supports over the course of the COVID-19 pandemic. As we begin to envision health care policies post-pandemic, we remain concerned telehealth services will be significantly pared back, hindering access to care for millions of Americans—especially those with complicated health conditions.

According to federal statute, it is incumbent upon the Secretary to periodically review insurance plan Essential Health Benefits (EHBs) and provide a public report to Congress that contains 1) an assessment of whether enrollees are facing difficulty accessing needed services for reasons of coverage or costs; 2) an assessment of whether plan benefits need to be modified or updated to account for changes in medical evidence or scientific advancement; 3) information on how plan benefits will be modified to address any such gaps or changes in the evidence base; and 4) an assessment of potential of additional or expanded benefits to increase costs and the interactions between the addition of benefits and reductions in existing benefits.

We believe after 12 years of the ACA it is important that EHBs be formally reviewed and the mandated report be issued to the public and Congress, especially as your Administration is committed to maintaining and further strengthening the law’s protections. We urge you to undertake such a review and report, and in addition we urge you to ensure that visit modality is not one of the “reasons of coverage” for which “enrollees are facing difficulty accessing needed services.”

We have heard from constituents who have concerns that coverage will start to vary based upon visit modality. For some specialized, complicated care—eating disorders, for example—it has always been challenging getting the most appropriate treatment covered, whether that’s because of parity or network issues. We are concerned that modality will become one additional way barriers to treatment will be enacted, if arbitrary in-person requirements become one more way care is denied or delayed.

The Department addressed a delay in completing such a report to Congress in its 2019 Notice of Benefit and Payment Parameter Final Rule, citing the need for further insurance market stabilization that the final rule would provide. Although we understand the difficulty of reviewing the markets as they continue to evolve, it is for that reason critical that the Administration review and report on EHBs so that we have an understanding of whether they continue to be adequate in an ever-evolving health care ecosystem. The health care system will not be the same after the COVID-19 pandemic, and this is an opportunity to renew our commitment to comprehensive, affordable and accessible health care coverage. We respectfully request this report be conducted and issued to Congress to inform future health policy to better serve Americans.

Thank you for your consideration, and we look forward to continuing to work with you on this very important issue.

###

Earlier this month, Apple publicly acknowledged that it is considering procuring NAND memory chips for future iPhones from Yangtze Memory Technologies Co. (YMTC), a state-owned company with extensive links to the Chinese Communist Party (CCP) and its armed wing, the People’s Liberation Army (PLA). 

U.S. Sens. Mark R. Warner (D-VA) and Marco Rubio (R-FL), Chairman and Vice Chairman of the U.S. Senate Select Committee on Intelligence, sent a letter to U.S. Director of National Intelligence Avril Haines calling for a public analysis and review of YMTC and the risks it presents to U.S. national security. 

• “[W]e write to convey that any decision to partner with YMTC, no matter the intended market of the product offerings developed by such a partnership, would affirm and reward the PRC’s distortive and unfair trade practices, which undermine U.S. companies globally by creating significant advantages to Chinese firms at the expense of foreign competitors. Last year, the Biden Administration described YMTC as China’s ‘national champion memory chip producer,’ which supports the CCP’s efforts to counter U.S. innovation and leadership in this space.” 

• “Policymakers have for several years now conveyed to the American public the importance of a competitive semiconductor industry to U.S. national and economic security. A partnership between Apple and YMTC would endanger this critical sector and risk nullifying efforts to support it, jeopardizing the health of chipmakers in the U.S. and allied countries and advancing Beijing’s goal of controlling the global semiconductor market. Buoyed by a major contract with a leading global equipment vendor such as Apple, YMTC’s success would threaten the 24,000 American jobs that support memory chip production. More broadly, such a partnership would also threaten the opportunities this market provides for research at U.S. universities and further development of memory chips for civilian and military uses.”

Majority Leader Chuck Schumer (D-NY) and Senator John Cornyn (R-TX) also signed the letter.

Full text of the letter is available here and below. 

Dear Director Haines:

We write to convey our extreme concern about the possibility that Apple Inc. will soon procure 3D NAND memory chips from the People’s Republic of China (PRC) state-owned manufacturer Yangtze Memory Technologies Co. (YMTC). Such a decision would introduce significant privacy and security vulnerabilities to the global digital supply chain that Apple helps shape given YMTC’s extensive, but often opaque, ties to the Chinese Communist Party (CCP) and concerning PRC-backed entities. In addition, we write to convey that any decision to partner with YMTC, no matter the intended market of the product offerings developed by such a partnership, would affirm and reward the PRC’s distortive and unfair trade practices, which undermine U.S. companies globally by creating significant advantages to Chinese firms at the expense of foreign competitors. Last year, the Biden Administration described YMTC as China’s “national champion memory chip producer,” which supports the CCP’s efforts to counter U.S. innovation and leadership in this space. 

In July 2022, we wrote to Commerce Secretary Gina Raimondo to warn of the threat YMTC poses to U.S. national security and to request that it be added to the Bureau of Industry and Security’s Entity List. We made these arguments based on the company’s central role in CCP efforts to supplant U.S. technological leadership, including through unfair trade practices. YMTC also appears to have strong ties to the PRC’s military-civil fusion program, as shown through its investors and partnerships; its parent company, Tsinghua Unigroup, allegedly supplies the PRC military.

The PRC has heavily subsidized YMTC for several years, enabling the company to rapidly expand production and sales in China and internationally. Since its formation in 2016, YMTC’s nearly $24 billion in PRC subsidies triggered explosive growth, helping to prepare the company’s plan to launch a second plant in Wuhan as early as the end of this year. At a time when overcapacity is potentially disrupting the market for chipmakers, these subsidies could enable YMTC to distort this often highly cyclical market, selling memory chips below cost in an effort to push out competitors. In addition, in April, reports alleged that YMTC may have breached the U.S.’s foreign direct product rule for supplying smartphone and electronics components to Huawei.

For these reasons, we request that you coordinate among the relevant intelligence community (IC) components a comprehensive review and analysis of YMTC and the threat that a suppler partnership arrangement between it and Apple would pose to U.S. national and economic security. The review should consider, among other issues:

• How the CCP supports the YMTC as part of its plan to bolster and indigenize China’s semiconductor industry and to displace chipmakers from the United States and allied and partnered nations;
• YMTC’s role in assisting other Chinese firms, including Huawei, to evade U.S. sanctions;
• YMTC’s role in the PRC’s military-civil fusion program and its linkages to the People’s Liberation Army; and
• The risks to U.S. national and economic security of this potential procurement.

Policymakers have for several years now conveyed to the American public the importance of a competitive semiconductor industry to U.S. national and economic security. A partnership between Apple and YMTC would endanger this critical sector and risk nullifying efforts to support it, jeopardizing the health of chipmakers in the U.S. and allied countries and advancing Beijing’s goal of controlling the global semiconductor market. Buoyed by a major contract with a leading global equipment vendor such as Apple, YMTC’s success would threaten the 24,000 American jobs that support memory chip production. More broadly, such a partnership would also threaten the opportunities this market provides for research at U.S. universities and further development of memory chips for civilian and military uses.

We once again request that you convene the relevant IC components to review and assess YMTC’s ties to the CCP and produce a comprehensive public report on YMTC, which can be used to inform federal agencies and the public as to the nature and risks associated with YMTC and similar companies.  

We look forward to your attention to this critical matter and request a response by October 1, 2022.

Sincerely,

###

WASHINGTON - Following unprecedented flooding that has left one-third of Pakistan underwater and affected approximately 33 million people, today, U.S. Sen. Mark R. Warner joined Sen. Kirsten Gillibrand and 10 Senate colleagues in writing a letter calling on President Biden to grant Temporary Protected Status (TPS) to Pakistani nationals currently residing in the United States. Implementing TPS would allow Pakistani nationals to remain in the U.S. until Pakistan recovers from this environmental disaster. The ongoing crisis has left many regions of the country uninhabitable and unsafe, caused at least an estimated $10 billion in damage, and contaminated the water supply, spreading an array of waterborne illnesses, including diarrhea, malaria, acute respiratory infections, skin and eye infections, and typhoid.

In addition to Sens. Warner and Gillibrand, the letter to President Biden was also signed by Sens. Patty Murray (D-WA), Dick Durbin (D-IL), Dianne Feinstein (D-CA), Amy Klobuchar (D-MN), Cory Booker (D-NJ), Elizabeth Warren (D-MA), Bernie Sanders (I-VT), Chris Van Hollen (D-MD), Bob Casey (D-PA), and Tina Smith (D-MN).

“Granting TPS to Pakistani nationals in need is a small but consequential step that the United States can take to immediately reduce the human suffering caused by this natural disaster and would reaffirm our stance as a global leader committed to humanitarian relief efforts and protections,” wrote the senators. “Should Pakistan officially request TPS designation given the current conditions the country is facing, we urge the Biden administration to prioritize such a request while continuing to monitor ongoing developments and deliberate on the best way to aid the Pakistani community.”

This action is supported by the National Immigration Forum, Asian American Federation (AAF), the Climate Justice Collaborative at the National Partnership for New Americans, Communities United for Status and Protection (CUSP), and South Asian Americans Leading Together (SAALT).

The full text of the letter is available below:

Dear President Biden:

We write to respectfully urge your Administration to consider designating the Islamic Republic of Pakistan for Temporary Protected Status (TPS). Unprecedented flooding in Pakistan is currently impacting approximately 33 million people and has killed more than 1,500 people, including 536 children. Given the severity of this crisis, the United States must ensure that Pakistani nationals present in the United States are not forced to return to conditions that could imperil their lives.

Current conditions in Pakistan represent an ongoing environmental disaster – one of the statutory bases for TPS designation. Extreme flooding has left most regions of the country uninhabitable and unsafe. According to data from the European Space Agency, approximately one-third of Pakistan is underwater. The Indus River is exceeding its capacity, which has led officials to evacuate entire villages in hopes of mitigating further disaster. Half of Pakistan’s municipal districts have declared a “state of calamity” and the country’s National Disaster Management Authority estimates that one in seven Pakistanis has been affected. According to Pakistan’s finance minister, the damage is likely to exceed $10 billion, which is equivalent to 4 percent of the country’s annual gross domestic product.

Even as Pakistanis are reeling from the physical destruction caused by the flooding, they are also facing the spread of waterborne illness that this environmental crisis has exacerbated. Tens of thousands have been stricken by diarrhea, malaria, acute respiratory infections (ARI), skin and eye infections, typhoid, and other health issues resulting from contamination of the water supply. While we applaud your Administration’s decision to provide a much needed $30 million in humanitarian assistance and dispatch a USAID Disaster Assistance Response Team, further action is needed to mitigate the harmful effects of this crisis.

Forcing Pakistanis to return to a country that is experiencing what U.N. Secretary-General António Guterres has called a relentless impact of “epochal” levels of rain and flooding would be a grievous obstruction to relief efforts. It would also risk fueling further displacement, destabilizing the region, and undermining key U.S. national security interests.8 The use and implementation of TPS as a humanitarian tool would provide necessary relief to individuals that are unable to return to their country due to the extraordinary environmental and public health conditions. 

Additionally, designating Pakistan for TPS would also contribute to your Administration’s multi-pronged disaster response. It would decrease the strain on Pakistani infrastructure and provide a safe haven for those who cannot return to their homes or whose homes have been destroyed. Should Pakistan officially request TPS designation given the current conditions that the country is facing, we urge you to prioritize such a request and take it into serious consideration while you continue to monitor ongoing developments and deliberate on the best way to aid the Pakistani community. TPS is a small but consequential step that the United States can take to immediately reduce the human suffering caused by this natural disaster and would reaffirm our stance as a global leader committed to humanitarian relief efforts and protections.

Thank you for your consideration. We look forward to your timely reply.

###

WASHINGTON – U.S. Sen. Mark R. Warner (D-VA) joined Sens. John Hickenlooper (D-CO), Deb Fischer (R-NE), Gary Peters (D-MI), and Cynthia Lummis (R-WY)  and more than 30 of their colleagues in a bipartisan letter to Senate leadership in support of closing the $3 billion funding shortfall impacting the Secure & Trusted Communications Networks Act’s Reimbursement Program. The shortfall leaves wireless networks—often in rural areas—vulnerable to espionage or disruption.

Due to security concerns, in 2020 the FCC prohibited the purchase of equipment manufactured by Chinese telecom companies Huawei and ZTE and also prohibited the use of FCC-administered funds to expand or maintain networks with Huawei or ZTE equipment already present.

The reimbursement program helps small telecommunications providers remove and replace suspect Chinese network equipment manufactured by Huawei and ZTE. If the funding shortfall for the program is not closed, the FCC will not be able to fully cover the costs of removing, disposing, and replacing suspect network equipment which will leave U.S. wireless networks vulnerable to espionage and disruption.

“The highest priority class of telecommunications providers in the Reimbursement Program serve the most rural areas of the United States where wireless connectivity is a vital lifeline to accessing telehealth services, receiving emergency notifications, and participating in the 21st century economy,” wrote the Senators.

The Secure and Trusted Communications Networks Act was enacted in 2020 and given a $1.9 billion appropriation for the Federal Communications Commission (FCC) to help small network providers remove and replace high-risk network equipment. While the initial $1.9 billion was based on a voluntary survey of possible costs small network providers would incur, supply chain disruptions and additional program requirements (such as proper disposal of suspect equipment) added to the overall costs within the Reimbursement Program.

“The bipartisan Senate support – thirty-four Senators! – in favor of a well-resourced Reimbursement Program sends a clear message, and I applaud the letter signatories, especially Senators Hickenlooper, Fischer, Peters, and Lummis, for their leadership on this critical national security issue. The funding shortfall must be addressed as soon as possible to ensure eligible small and rural carriers are adequately reimbursed for costs associated with removing, destroying, and replacing affected equipment. These carriers serve some of the most rural and hard-to-reach places across the country and, without adequate reimbursements, their ability to provide ongoing service to customers is seriously jeopardized,” said Steven K. Berry, president and CEO, Competitive Carriers Association (CCA).

Text of the letter is available here and below.

Dear Leader Schumer and Leader McConnell,

We write to express our support for the Federal Communication Commission’s (FCC) Reimbursement Program under the Secure and Trusted Communications Networks Act (Secure Networks Act). The program’s success is critical to maintaining network resiliency in Rural America and our national security. Since the Secure Networks Act was signed into law in 2020, Congress has appropriated $1.9 billion to support the FCC’s ongoing implementation of the Secure Networks Act and the establishment of the Reimbursement Program to reimburse eligible small and rural telecommunications providers for costs associated with removing, destroying, and replacing “threats to the security of our nation’s communications networks posed by certain communications equipment providers.”

On February 4, 2022, the FCC announced providers, using guidance provided by the FCC, had requested close to $5.6 billion to remove and replace equipment in their networks—nearly three times more than a previous projection for the Reimbursement Program and creating a significant financial shortfall of $3.7 billion. On July 15, 2022, the FCC informed Congress that following an extensive review of applications submitted under the Reimbursement Program, the amount of supplemental funding needed to fully fund approved cost estimates is $3.08 billion. Pursuant to the Secure Networks Act, a funding shortfall requires the FCC issue a pro-rated reimbursement to eligible telecommunications providers—resulting in only 39.5% of funding for approved costs allocated for reimbursement.

The highest priority class of telecommunications providers in the Reimbursement Program serve the most rural areas of the United States where wireless connectivity is a vital lifeline to accessing telehealth services, receiving emergency notifications, and participating in the 21st century economy. Due to significant national security risks to U.S. communications infrastructure, the FCC has already prohibited monies from the Universal Service Fund (USF) from supporting the maintenance or expansion of any wireless network that has covered equipment from Huawei and ZTE present. While these actions are necessary, small rural wireless telecommunications providers rely upon USF funds, and rural America faces a perilous situation. Currently, rural wireless carriers may not maintain, service, or upgrade networks with USF with Huawei and ZTE equipment still present. We are jeopardizing vital communications networks nationwide and our national security.

Recognizing the importance of a well-resourced Reimbursement Program to maintaining critical telecommunications service in rural communities, we are committed to working with you on legislative solutions to promptly provide the financial resources necessary to mitigate national security vulnerabilities emanating from network equipment manufactured by untrusted companies such as Huawei Technologies and ZTE Corporation.

Thank you for your attention to this urgent matter. We look forward to working with you to find a swift solution.

Sincerely,

 ###

WASHINGTON – Today, the bipartisan senators from Virginia, West Virginia and Tennessee sent a letter to Dr. Rahul Gupta, Director of the Office of National Drug Control Policy (ONDCP), pressing for additional assistance to combat drug-trafficking in the Appalachian region.

“In Appalachia, law enforcement struggles to stem the tide of substance abuse,” wrote U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA), Sens. Joe Manchin (D-WV) and Shelley Moore Capito (R-WV), and Sens. Marsha Blackburn and Bill Hagerty (both R-TN). “In the words of then-Attorney General, William Barr, Appalachia has suffered the consequences of the opioid epidemic ‘more, perhaps, than any other region.’ In 2018, the overdose mortality rate for individuals ages 25-43 was 43 percent higher in Appalachia than the rest of the country. It is a region that needs the assistance that the HIDTA program was designed to provide.”

Since its creation in 1988, the High Intensity Drug Trafficking Areas (HIDTA) grant assistance program has provided for greater coordination and information sharing among federal, state, tribal, and local law enforcement agencies. These additional federal resources, allocated to areas deemed as critical drug trafficking regions, are essential in eliminating drug trafficking and its harmful consequences. ONDCP has the statutory authority to create new HIDTAs and add new counties to existing HIDTAs once it has received a formal petition from a coalition of law enforcement agencies.

Despite the enormous need, historically the Appalachian HIDTA has only gained approval for approximately 30 percent of petitions submitted. In the most recent round of designations, no counties within the Appalachian HIDTA – which encompasses Tennessee, Kentucky, West Virginia and Southwest Virginia – received the sought-after designation.

“This fact, juxtaposed with the region’s manifest need, suggests strongly that the process of awarding needs to be revisited,” the senators wrote in their letter to ONDCP. “Counties in the Appalachian HIDTA would benefit from the expansion of this program into their communities and it would be of immense help to the law enforcement agencies serving them and surrounding areas. As ONDCP reviews HIDTA designation petitions from Appalachia, we ask that you consider the devastating impacts of illegal drugs in the region in order to effectively disrupt and dismantle trafficking organizations and reduce drug-related crime.”

Concluded the senators, “We urge ONDCP to review its criteria to ensure that hard-hit regions like Appalachia remain competitive for HIDTA designations. We further request a written response describing the results of this review be provided in a timely manner.”

A copy of the letter is available here and below.

Dear Dr. Gupta:

We write today regarding the Office of National Drug Control Policy’s (ONDCP) High Intensity Drug Trafficking Areas (HIDTA) program and certain deficiencies in the designation process for counties in the Appalachian region.

Since its creation in 1988, the HIDTA grant assistance program has provided for greater coordination and information sharing among federal, state, tribal, and local law enforcement agencies. These additional federal resources, allocated to areas deemed as critical drug trafficking regions, are essential in eliminating drug trafficking and its harmful consequences.

As you know, the Substance Use-Disorder Prevention that Promotes Opioid Recovery and Treatment for Patients and Communities Act (SUPPORT Act) provides ONDCP the statutory authority to create new HIDTAs and add new counties to existing HIDTAs once it has received a formal petition from a coalition of law enforcement agencies. HIDTA designation is determined by four criteria, which include an evidence based description detailing the extent of illegal drug activity, the impact on the area and the United States, existing efforts to curtail it, and the increased need for federal resources to respond adequately to the area’s drug-related activities.

In Appalachia, law enforcement struggles to stem the tide of substance abuse. In the words of then-Attorney General William Barr, Appalachia has suffered the consequences of the opioid epidemic “more, perhaps, than any other region.” In 2018, the overdose mortality rate for individuals ages 25-43 was 43% higher in Appalachia than the rest of the country.  It is a region that needs the assistance that the HIDTA program was designed to provide.

Yet, historically, the Appalachian HIDTA has only gained approval for approximately 30% of petitions submitted. And in this most recent round of designations, no counties within the Appalachian HIDTA received the sought after designation. This fact, juxtaposed with the region’s manifest need, suggests strongly that the process of awarding the designation needs to be revisited.

Counties in the Appalachian HIDTA would benefit from the expansion of this program into their communities and it would be of immense help to the law enforcement agencies serving them and surrounding areas. As ONDCP reviews HIDTA designation petitions from Appalachia, we ask that you consider the devastating impacts of illegal drugs in the region in order to effectively disrupt and dismantle trafficking organizations and reduce drug-related crime.

We urge ONDCP to review its criteria to ensure that hard hit regions like Appalachia remain competitive for HIDTA designations. We further request that a written response describing the results of this review be provided in a timely manner.

### 

WASHINGTON—Today, U.S. Sens. Mark R. Warner and Tim Kaine, alongside Reps. Jennifer Wexton (VA-10), Don Beyer (VA-08), and Gerry Connolly (VA-11), pressed President Biden to raise Asim Ghafoor’s detention with the highest levels of the Emirati government and advocate for his fair and humane treatment. Asim Ghafoor—a U.S. citizen and Virginia resident—was reportedly tried in absentia, detained without notice of his conviction, and sentenced to prison on to-date unsubstantiated charges by United Arab Emirates (UAE) authorities.

Ghafoor was a close personal friend of and reportedly served as legal counsel to Virginia resident Jamal Khashoggi, who was brutally murdered by Saudi officials in 2018, in an operation that the Office of the Director of National Intelligence (ODNI) assessed was approved by Saudi Arabia’s Crown Prince Muhammad bin Salman.

“…[W]e strongly urge you and your Administration to raise Mr. Ghafoor’s case immediately at the highest levels of the Emirati government and advocate for his fair treatment, including assurances regarding his health and safety while in Emirati custody. It is critical the Administration makes clear that the hasty detention of U.S. citizens like Mr. Ghafoor cannot become normalized as an appropriate tactic of U.S. partners,” the lawmakers wrote.

“We welcomed the Department of State’s July 18, 2022, statement that the United States had ‘not sought’ Ghafoor’s arrest. However, absent concrete evidence of Ghafoor’s alleged criminal behavior, the UAE’s repeated claim that this arrest was conducted in coordination with the United States government in order to ‘combat transnational crimes’ raises concerns about oversight of U.S. involvement in that partnership,” they continued.

Additionally, the lawmakers requested that the Biden Administration:

1. Call on Emirati authorities to allow Mr. Ghafoor regular access to his family and to his attorneys;
2. Ensure that the U.S. embassy continues to receive consular visits with Mr. Ghafoor and that U.S. embassy staff are permitted to attend all trial proceedings;
3. Confirm with UAE officials that Mr. Ghafoor will receive humane and fair treatment while in Emirati custody, including immediate access to required medical care; and
4. Solicit additional information from the Emirati government regarding the legal proceedings against Mr. Ghafoor, in order to determine if his arrest should be considered a wrongful detention or act of transnational repression.

Full text of the letter is available here and below.

Dear Mr. President,

We request your Administration’s urgent attention to the recent detention of U.S. citizen and Virginia resident Mr. Asim Ghafoor by United Arab Emirates (UAE) authorities. Mr. Ghafoor was convicted by the United Arab Emirates (UAE) on currently unsubstantiated charges of money laundering and tax evasion, in absentia and, reportedly, without his knowledge. Mr. Ghafoor was detained by UAE authorities on July 14, 2022, while transiting Dubai International Airport, and was sentenced to three years in prison on July 16, 2022. The UAE’s decision to detain Mr. Ghafoor – without notice or opportunity to seek legal counsel – represents a gross violation of his due process rights.

Mr. Ghafoor is a board member for the nonprofit organization Democracy in the Arab World Now (DAWN), which advocates for democratic reforms in the Middle East and has at times criticized the Emirati government. In his capacity as an attorney, Mr. Ghafoor is reported to have represented his friend Mr. Jamal Khashoggi, who was also a Virginian and who was brutally murdered by Saudi officials in 2018. Noting your July 16, 2022, meeting with UAE President Sheikh Mohamed bin Zayed al Nahyan and your invitation for him to visit the United States by the end of this year, as well as the close relationship between the Saudi and Emirati governments, we strongly urge you and your Administration to raise Mr. Ghafoor’s case immediately at the highest levels of the Emirati government and advocate for his fair treatment, including assurances regarding his health and safety while in Emirati custody. It is critical the Administration makes clear that the hasty detention of U.S. citizens like Mr. Ghafoor cannot become normalized as an appropriate tactic of U.S. partners.

The UAE has claimed the United States played a role in Mr. Ghafoor’s detention, and as such we further urge your Administration to clarify the nature of the United States’ potential involvement. We welcomed the Department of State’s July 18, 2022, statement that the United States had “not sought” Ghafoor’s arrest. However, absent concrete evidence of Ghafoor’s alleged criminal behavior, the UAE’s repeated claim that this arrest was conducted in coordination with the United States government in order to “combat transnational crimes,” raises concerns about oversight of U.S. involvement in that partnership.

As your Administration works to ensure that Mr. Ghafoor is treated humanely and fairly, we respectfully request that you take the following interim measures:

1. Call on Emirati authorities to allow Mr. Ghafoor regular access to his family and to his attorneys.
2. Ensure that the U.S. embassy continues to receive consular visits with Mr. Ghafoor and that U.S. embassy staff are permitted to attend all trial proceedings.
3. Confirm with UAE officials that Mr. Ghafoor will receive humane and fair treatment while in Emirati custody, including immediate access to required medical care.
4. Solicit additional information from the Emirati government regarding the legal proceedings against Mr. Ghafoor, in order to determine if his arrest should be considered a wrongful detention or act of transnational repression.

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WASHINGTON – Today, Senate Select Committee on Intelligence Chairman Mark R. Warner (D-VA) and Vice Chairman Marco Rubio (R-FL) urged the Federal Trade Commission (FTC) to formally investigate TikTok and its parent company, ByteDance. The call comes in response to recent reports that the social media platform has permitted TikTok engineers and executives in the People’s Republic of China (PRC) to repeatedly access private data of US users despite repeated claims to lawmakers and users that this data was protected. This includes instances where staff based in the United States had to consult with their China-based colleagues for information about U.S. user data as they did not have access to the data on their own. These revelations undermine longstanding claims by TikTok’s management that the company’s operations were firewalled from demands of the Chinese Communist Party.

“We write in response to public reports that individuals in the People’s Republic of China (PRC) have been accessing data on U.S. users, in contravention of several public representations, including sworn testimony in October 2021,” the senators wrote in a letter to FTC Chair Lina Khan. “In light of this new report, we ask that your agency immediately initiate a Section 5 investigation on the basis of apparent deception by TikTok, and coordinate this work with any national security or counter-intelligence investigation that may be initiated by the U.S. Department of Justice.”

The report also highlights TikTok’s misrepresentation of the company’s relationship to ByteDance and its subsidiaries, including Beijing-based ByteDance Technology, which is partially owned by the Chinese Communist Party (CCP). 

The senators continued, “TikTok’s Trust and Safety department was aware of these improper access practices and governance irregularities, which – according to internal recordings of TikTok deliberations – offered PRC-based employees unfettered access to user information, including birthdates, phone numbers, and device identification information. Recent updates to TikTok’s privacy policy, which indicate that TikTok may be collecting biometric data such as faceprints and voiceprints (i.e. individually-identifiable image and audio data, respectively), heighten the concern that data of U.S. users may be vulnerable to extrajudicial access by security services controlled by the CCP.”

As Chairman and Vice Chair of the Senate Select Committee on Intelligence, Sens. Warner and Rubio have been vocal about the cyber and national security threats posed by the CCP. In 2019, the senators introduced legislation to combat tech-specific threats to national security posed by foreign actors like China.

A copy of the letter is available here and below. 

Dear Chairwoman Khan:

We write in response to public reports that individuals in the People’s Republic of China (PRC) have been accessing data on U.S. users, in contravention of several public representations, including sworn testimony in October 2021. In an interview with the online publication Cyberscoop, the Global Chief Security Officer for TikTok’s parent company, ByteDance, made a number of public representations on the data security practices of TikTok, including unequivocal claims that the data of American users is not accessible to the Chinese Communist Party (CCP) and the government of the PRC. As you know, TikTok’s privacy practices are already subject to a consent decree with the Federal Trade Commission, based on its improper collection and processing of personal information from children. In light of this new report, we ask that your agency immediately initiate a Section 5 investigation on the basis of apparent deception by TikTok, and coordinate this work with any national security or counter-intelligence investigation that may be initiated by the U.S. Department of Justice.

Additionally, these recent reports suggest that TikTok has also misrepresented its corporate governance practices, including to Congressional committees such as ours. In October 2021, TikTok’s head of public policy, Michael Beckerman, testified that TikTok has “no affiliation” with another ByteDance subsidiary, Beijing-based ByteDance Technology, of which the CCP owns a partial stake. Meanwhile, as recently as March of this year, TikTok officials reiterated to our Committee representations they have previously made that all corporate governance decisions are wholly firewalled from their PRC-based parent, ByteDance. Yet according to a recent report from Buzzfeed News, TikTok’s engineering teams ultimately report to ByteDance leadership in the PRC. 

According to this same report, TikTok’s Trust and Safety department was aware of these improper access practices and governance irregularities, which – according to internal recordings of TikTok deliberations – offered PRC-based employees unfettered access to user information, including birthdates, phone numbers, and device identification information. Recent updates to TikTok’s privacy policy, which indicate that TikTok may be collecting biometric data such as faceprints and voiceprints (i.e. individually-identifiable image and audio data, respectively), heighten the concern that data of U.S. users may be vulnerable to extrajudicial access by security services controlled by the CCP.

A series of national security laws imposed by the CCP, including the 2017 National Intelligence Law and the 2014 Counter-Espionage Law provide extensive and extra-judicial access opportunities for CCP-controlled security services. Under these authorities, the CCP may compel access, regardless of where data is ultimately stored. While TikTok has suggested that migrating to U.S.-based storage from a U.S. cloud service provider alleviates any risk of unauthorized access, these latest revelations raise concerns about the reliability of TikTok representations: since TikTok will ultimately control all access to the cloud-hosted systems, the risk of access to that data by PRC-based engineers (or CCP security services) remains significant in light of the corporate governance irregularities revealed by BuzzFeed News. Moreover, as the recent report makes clear, the majority of TikTok data – including content posted by users as well as their unique IDs– will remain freely accessible to PRC-based ByteDance employees.

In light of repeated misrepresentations by TikTok concerning its data security, data processing, and corporate governance practices, we urge you to act promptly on this matter.

Sincerely, 

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WASHINGTON – With summer break already underway in a number of school districts across Virginia, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) joined Sen. Kirsten Gillibrand (D-NY) and 30 of their Senate colleagues in a push to extend the child nutrition waivers that have kept many children from going hungry throughout the pandemic, both during the school year and in the summer. In the letter, the Senators stress the need for Congress to extend these programs before the waivers expire on June 30, 2022, as well as create a nationwide Summer EBT program and expand community eligibility (CEP) – a flexible meal service option for school districts in low-income areas. 

“The pandemic has highlighted the importance of the child nutrition programs and the role they play in keeping hunger at bay for millions of children across the country. As schools close for summer across the country, families will soon lose access to free school meals and be faced with the prospect of increased food insecurity, weight gain, and learning disruptions,” wrote the Senators. “As Congress develops legislation to support families impacted by high food costs, we must help ease the burden of these challenges and ensure that these child nutrition programs can fully meet children’s nutritional needs while they are at school, afterschool and summer programs, and childcare.”

"More must be done to fuel children's health and learning as millions of families continue to struggle with the fallout of COVID-19. Extending the child nutrition waivers, expanding community eligibility, and creating a nationwide Summer EBT program are surefire ways for our nation's children to have access to the nutrition they need to grow and thrive in the classroom and beyond," said Luis Guardia, president of the Food Research & Action Center (FRAC). “We call on Congress to act quickly and include these provisions in any upcoming legislative vehicle. Hungry children can’t wait.”

“In a typical year, Boys & Girls Clubs across the country serve 95 million meals and snacks to kids at no cost. Clubs also continually adapt to support the needs of communities during times of crisis including during the peak of the pandemic, providing more than 24 million meals to nearly a half million families nationwide," said Jim Clark, president and CEO of Boys & Girls Clubs of America. "Extending the child nutrition waivers is critical to support the essential needs of kids, families, and communities still recovering from the economic and social impacts of the last two years.  We urge Congress to make child nutrition and hunger a priority by extending the waiver authority and investing in programs that keep youth healthy, safe, and learning.”

“Summer is underway and YMCAs across the country are working to get healthy meals to every child in need. This summer, only 1 in 7 eligible children will have access to these meals, and Congress’ unwillingness to extend child nutrition waivers beyond June 30 is hampering our ability to provide meals when kids need them most," said Suzanne McCormick, President and CEO of YMCA of the USA. “We need to be able to use every possible tool to feed kids this summer, so the recommendations outlined by Senator Gillibrand and her colleagues cannot be passed soon enough. We are hopeful Congress works to enact these provisions, which will help ensure that every child has a summer free of hunger.”

In addition to Sens. Warner, Kaine, and Gillibrand this letter was signed by Senators Cory Booker (D-NJ), Elizabeth Warren (D-MA), Chris Van Hollen (D-MD), Alex Padilla (D-CA), Kyrsten Sinema (D-AZ), Dianne Feinstein (D-CA), Bob Casey (D-PA), Angus King (I-ME), Tina Smith (D-MN), Raphael Warnock (D-GA), Jack Reed (D-RI), Sherrod Brown (D-OH), Richard Blumenthal (D-CT), Ben Cardin (D-MD), Amy Klobuchar (D-MN), Jacky Rosen (D-NV), Tammy Baldwin (D-WI), Sheldon Whitehouse (D-RI), Martin Heinrich (D-NM), Jeanne Shaheen (D-NH), Bernie Sanders (I-VT), Ed Markey (D-MA), Tammy Duckworth (D-IL), Mark Kelly (D-AZ), Michael Bennet (D-CO), Ben Ray Luján (D-NM), Mazie Hirono (D-HI), Gary Peters (D-MI), Jeffrey Merkley (D-OR), and Chris Murphy (D-CT).

This letter is endorsed by Food Research & Action Center, YMCA of the USA, Afterschool Alliance, Boys & Girls Club of America, Feeding America, School Nutrition Association, American Heart Association, Academy of Nutrition and Dietetics, First Focus Campaign for Children, MomsRising, Center for Science in the Public Interest, National Parent Teacher Association, National Farm to School Network, School Superintendents Association, Save the Children, National Education Association, National Center for Health Research, Healthy Food America, Food Corps, Community Food Advocates, National CACFP Association, Society of Behavioral Medicine, Center for Food Equity & Economic Development, California Association of Food Banks, Healthy Schools Campaign, Voices for Georgia’s Children, and Georgia Statewide Afterschool Network.

Sens. Warner and Kaine have been vocal about the need to ensure that children have continuous access to healthy meals. In April, they introduced the Support Kids Not Red Tape Act – legislation to grant the U.S. Department of Agriculture (USDA) additional flexibility so that schools and summer meal sites can stay open.

Full text of the letter is available here or below. 

Dear Leader Schumer, Speaker Pelosi, Leader McConnell, and Leader McCarthy,

The pandemic has highlighted the importance of the child nutrition programs, and the role they play in keeping hunger at bay for millions of children across the country. As schools closed across the country, families faced the same challenges they face every summer when they lose access to free school meals: increased food insecurity, weight gain, and learning disruptions.

As the Senate develops legislation to support families being impacted by high food costs and provide pandemic relief, we ask that it include the following three things in any upcoming packages to help ensure that the child nutrition programs are able to support recovery from the impact of the pandemic. School children have to have access to the nutrition they need to grow and thrive while they are at school and during the summer. These provisions will also set the stage for a much stronger Child Nutrition Reauthorization that can take additional steps to ensure that the child nutrition programs are able to fully meet children’s nutritional needs while they are at school, afterschool and summer programs, and in childcare. 

• Extend the Child Nutrition Waivers. The waiver authority that we provided the U.S. Department of Agriculture (USDA) through the Families First Coronavirus Response Act of 2020 has allowed school nutrition programs, local government agencies, and nonprofit organizations to keep feeding children in the face of the numerous challenges the pandemic created by providing the necessary program flexibility. In addition, the waivers have been a critical support to school nutrition programs. According to a USDA survey of school nutrition programs during School Year 2021-2022 school year, 90 percent used the Seamless Summer Option, 92 percent reported supply chain challenges, and nearly one in four school nutrition departments reported staffing challenges^[1] ; while 51% of afterschool and summer providers reported staffing challenges.^[2]
• Expand Community Eligibility. Community eligibility offers an important and viable path forward for schools as they transition from pandemic operations. For the schools that adopted it prior to the pandemic, it transformed their school breakfast and lunch programs, allowing schools to offer meals to all students at no charge, which reduces paperwork for schools and families, and eliminates unpaid school meal fees. Most importantly, it ensures that all students have access to the nutritious meals at school that they need to learn and thrive. Under the current rules, too many high need schools are not eligible. For schools that are eligible, the reimbursement structure can keep them from adopting community eligibility. Congress should lower the eligibility threshold to make more schools eligible to implement community eligible and increase the funding (raising the multiplier from 1.6 to 2.5) so that more schools are able to implement community eligibility. And as a growing number of states move to create statewide programs that offer school meals to all students at no charge, offering a statewide community eligibility option can support those efforts.
• Create a Nationwide Summer EBT Program. This approach offers an important way to complement the Summer Nutrition Programs. When schools close, families lose access to healthy free or reduced-price school meals for their children. The result is increased food insecurity among families with children. The existing summer nutrition programs are designed to replace school meals and often support much-needed summer programming, but the reach of these meals is too low. Prior to the pandemic, just one child for every seven who count on free or reduced-price school meals during the school year were served a summer meal. A nationwide Summer EBT program would provide families an EBT card to purchase food when schools are closed. Evaluations of Summer EBT demonstrations have found that they reduce food insecurity and improve nutrition.

We look forward to working with you to include these provisions in the upcoming legislative vehicles being developed by Congress.

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WASHINGTON – Today, U.S. Sens. Mark R. Warner (D-VA) and Chairman of the Senate Banking, Housing, and Urban Affairs Committee Sherrod Brown (D-OH) encouraged the U.S. Securities and Exchange Commission (SEC) to continue focusing on improving human capital disclosures and on reforms that would ensure shareholders can properly evaluate public companies’ human capital practices and investments in their workers. The letter urges the SEC to implement the recommendations included in a petition from the Working Group on Human Capital Accounting Disclosure, which seeks to level the playing field between investments in workers and investments in physical equipment.

“As the Commission considers improvements to Regulation S-K and human capital disclosure, the working group’s recommendations would go a long way in ensuring shareholders can properly evaluate public companies’ human capital practices and investments in their workers. Strengthening human capital disclosure is needed to reflect the modern economy, where public firms are increasingly deriving their value from intangible assets,” the senators wrote. 

They continued, “Human capital does not receive the same treatment as even R&D in this respect, placing spending on workers at a further disadvantage. Unlike R&D, human capital spending is included as part of a company’s administrative expenses and not as a stand-alone item. As a result, investors are not given the information to differentiate between a firm with poor human capital management and one that is making a concerted effort to invest in its workforce to increase worker capability and performance.”

On June 7, 2022 the Working Group on Human Capital Accounting Disclosures petitioned the Commission to improve human capital disclosures including the following recommendations: 

1. Requiring managers to disclose, in the Management’s Discussion & Analysis section of Form 10-K, what portion of investments in workers should be considered as an investment in the firm’s future growth to allow investors to distinguish between labor expenses and value-adding investments, like training or upskilling;
2. Treating workforce costs similar to investments in R&D by ensuring workforce costs are disclosed; and
3. Disaggregating labor costs to allow investors to clearly understand employees’ job function, expected value creation, and contributions to their company.

Since 2018, Sen. Warner has stressed the importance of updating human capital disclosure requirements to reflect the priorities of modern companies. Sen. Warner has long focused on prioritizing better reporting on human capital management and on making sure that companies are not discouraged – based on accounting or reporting rules – from investing in their workers. In a May 2020 letter to the U.S. Securities and Exchange Commission (SEC), Sen. Warner and Rep. Cindy Axne (D-IA) urged the SEC to require that human capital management information be made publicly available in a timely and accurate manner to help determine whether a company will be successfully able to weather risks following the COVID-19 crisis.

In May 2021, Sen. Warner and Rep. Axne reintroduced the Workforce Investment Disclosure Act to require public companies to disclose crucial workforce management metrics, including investments made in skills training, workforce safety, and employee retention. Sen. Warner also leads legislation, the Investing in American Workers Act, modeled on the R&D tax credit to further incentivize investments in companies’ most important asset, their workers.

A copy of the letter is available here and below.

Dear Chairman Gensler,

We are writing to urge the Securities and Exchange Commission (SEC) to adopt the recommendations included in the Working Group on Human Capital Accounting Disclosure’s petition to the Commission on June 7, 2022. As the Commission considers improvements to Regulation S-K and human capital disclosure, the working group’s recommendations would go a long way in ensuring shareholders can properly evaluate public companies’ human capital practices and investments in their workers. Strengthening human capital disclosure is needed to reflect the modern economy, where public firms are increasingly deriving their value from intangible assets.

We applaud the SEC for working on improvements to human capital disclosures as part of its regulatory agenda. In 2018, Senator Warner urged the Commission to focus on the treatment of human capital and noted the significant discrepancy between the treatment of physical investments and spending on human capital and research and development (R&D). A physical investment can be listed on a balance sheet and is often capitalized, whereas human capital and R&D investments are expensed. R&D is disclosed on its own expenditure line – reflective of its importance for firms’ valuation, competitiveness, and long-term performance – so that investors can assess company expenditures on R&D separately from other firm costs.

Human capital does not receive the same treatment as even R&D in this respect, placing spending on workers at a further disadvantage. Unlike R&D, human capital spending is included as part of a company’s administrative expenses and not as a stand-alone item. As a result, investors are not given the information to differentiate between a firm with poor human capital management and one that is making a concerted effort to invest in its workforce to increase worker capability and performance. The strengthened human capital disclosure must be focused on the discrepancy laid out above.

To do so, we respectfully urge the SEC to adopt the Working Group’s recommendations to improve human capital disclosures. Those recommendations include:

1. Requiring managers to disclose, in the Management’s Discussion & Analysis section of Form 10-K, what portion of investments in workers should be considered as an investment in the firm’s future growth to allow investors to distinguish between labor expenses and value-adding investments, like training or upskilling;
2. Treating workforce costs similar to investments in R&D by ensuring workforce costs are disclosed; and
3. Disaggregating labor costs to allow investors to clearly understand employees’ job function, expected value creation, and contributions to their company.

These quantifiable and comparable disclosures would significantly improve investors’ ability to understand firms’ human capital practices. While there are tradeoffs and costs associated with mandating additional disclosures, firms already collect most of this information for tax reporting. In addition, few could argue that these disclosures would be unimportant for investors, particularly at a time when public companies’ value is increasingly determined by intangible assets like its workforce.

We look forward to continued engagement with the SEC on this critical issue, and appreciate your consideration of these recommendations as the Commission moves forward with updating Regulation S-K to strengthen human capital disclosures. Thank you for your attention to this important matter.

Sincerely,

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