Press Releases

WASHINGTON - Today, U.S. Sen. Mark R. Warner (D-VA) joined Sens. Cory Booker (D-NJ) and Tim Scott (R-SC) and U.S. Representatives Ron Kind (D-WI) and Mike Kelly (R-PA) introduced a bipartisan, bicameral bill reforming Opportunity Zones, the tax incentive for individuals who reinvest unrealized capital gains into high-impact projects in underserved communities. Additionally, U.S. Chris Van Hollen (D-MD), and Todd Young (R-IN) and Representatives Terri Sewell (D-AL-07), Dan Kildee (D-MI-05), and Jackie Walorski (R-IN-02) co-sponsored the legislation, called the Opportunity Zones Transparency, Extension, and Improvement Act.

Booker and Scott originally introduced the Investing in Opportunity Act in April 2016. A provision based on the bill was included in the 2017 tax bill. As communities across the country have begun to see investments take hold, the lawmakers are proposing a series of improvements to the tax incentive.

“I am proud to co-sponsor this Opportunity Zone reform bill that will provide more transparency and reporting for these zones,” said Senator Warner. “I was an original leader on the bipartisan Investing in Opportunity Act, which led to the creation of Opportunity Zones, and I know this bill will make meaningful progress and substantially improve the policy.” 

“The Opportunity Zone incentive has the potential to unleash much-needed economic growth in high poverty communities across the country – communities that investors too often overlook. But without robust guardrails in place, the incentive could be undermined or abused by those who aren’t committed to uplifting rural and urban communities across the country,” said Senator Booker. “I am proud to introduce this legislation with Senator Scott to help restore the original promise of opportunity zones by steering private capital to reinvest in underserved communities that have been historically left behind and working to level the economic playing field.”

“The Opportunity Zone program represents the good that leaders can do for communities across the country when we work together toward common sense solutions,” said Senator Scott. “Independent reporting shows that investments in Opportunity Zones are making a huge impact across the country, with billions of dollars flowing into impoverished neighborhoods. I am glad to build on that success with this legislation to make the program stronger, so that we can ensure this incentive is benefitting the Americans who need it most.”

"Opportunity Zones are bringing capital to communities in rural and underserved areas and investing in our local economies," said Representative Kind. "In order to ensure this program is used as it was intended, we need strong transparency and accountability measures in place. I'm proud to help introduce this bipartisan, bicameral legislation to maximize the potential of Opportunity Zones, improve safeguards, and drive economic growth across the country."

“Opportunity Zones have brought new life to America’s Main Streets and communities that have not seen this type of investment in decades,” Representative Kelly said. “Nationally, one of the best-known Opportunity Zones is in my congressional district in Erie, Pennsylvania.  Due to great community partners and private investment, local leaders have been able to leverage the revitalization of downtown Erie.  Our new legislation will help ensure that Opportunity Zones can continue to revitalize communities like Erie for years and decades to come along with giving taxpayer’s the peace of mind that the government is working for them locally.”

“Gaps in Opportunity Zone programs have barred economically distressed areas from accessing the critical resources they need to create new local opportunities. This legislation will help close those gaps and ensure that Opportunity Zone investments lift up low-income communities – spurring further investments and ultimately benefiting Marylanders,” said Senator Van Hollen. “Maryland’s own Sparrows Point and Turner Station, alongside hundreds of recovering regions across the country, stand to see renewed economic vitality and more good-paying jobs as a result of this solution.” 

“The creation of the Opportunity Zones initiative in the 2017 tax reform law has succeeded in attracting capital and investments to historically distressed communities. They serve as a critical tool to create jobs, revitalize neighborhoods, and lift Hoosiers out of poverty, which is why I am proud to help introduce the Opportunity Zones Transparency, Extension, and Improvement Act. This bipartisan legislation will better optimize Opportunity Zone investment in neighborhoods and communities across Indiana while strengthening transparency and reporting metrics to improve on the initiative’s success,” said Senator Young.

This bipartisan legislation would improve Opportunity Zones by:

  • Reinstating and expanding the reporting requirements that were present in the Investing in Opportunity Act (IIOA), the original stand-alone legislation that created Opportunity Zones, but were stripped out in the 2017 Tax Cuts and Jobs Act due to procedural rules.
  • Ending Opportunity Zones that are not impoverished. While the vast majority of Opportunity Zones are truly impoverished areas, the legislation would sunset a small percentage of Opportunity Zone designations for tracts with a median family income at or above 130 percent of the national median family income. States would be able to designate a new tract in high-need communities for every tract sunsetted under this provision.
  • Creating pathways for smaller-dollar impact investments by allowing Qualified Opportunity Funds (QOFs) to be organized as a "fund of funds" that may invest in other QOFs, providing smaller communities and projects with the financing they need.
  • Providing operating support and technical assistance to high-poverty and underserved communities through a State and Community Dynamism Fund. Flexible grants will help states drive private and public capital to underserved businesses and communities.
  • Extending the tax incentive for two years in order to facilitate continued investment. It took the Treasury Department nearly two years to issue final regulations governing Opportunity Zones, during which time many investors and stakeholders stayed on the sidelines awaiting clear rules for the policy. Extending the policy by an equal amount of time will help investors and communities fully use the tool as Congress intended -- which is especially important now with the economy in recovery from the impacts of the COVID-19 pandemic.

The full text of the legislation can be viewed here

The one-pager of the legislation can be viewed here.

The section by section of the legislation can be viewed here.  

Quotes in support of the legislation can be viewed below:

John Lettieri, President and CEO, Economic Innovation Group:

“Supporting economic growth in low-income communities remains an urgent challenge as the country recovers from the severe disruption of the pandemic. One powerful way to do that is to strengthen the Opportunity Zones incentive, which has proven to be an effective tool for encouraging investment in struggling areas throughout the country,” said John Lettieri, President and CEO of the Economic Innovation Group. “The Opportunity Zones Transparency, Extension, and Improvement Act would enhance the policy on multiple fronts, including by enacting careful reporting and measurement standards, strengthening the incentive to draw in greater investment, creating new ways to attract funding for high-impact activities, and refining the map of designated communities to better align with the intent of the law. EIG applauds the bill’s sponsors for their thoughtful, bipartisan leadership in bringing this important legislation to fruition.” 

 

Jonathan Tower, Managing Partner, Arctaris Impact Investors:

“Arctaris Impact Investors has invested in the revitalization of under-invested communities for 13 years over 7 funds and, in our experience, the Opportunity Zone incentive is more efficient for delivering capital and social impact to low income census tracts than all the other federal and local economic development programs combined.  The proposed amendments will help attract more institutional-grade capital to OZ funds, and Arctaris looks forward to expanding its platform to support the growth of diverse businesses, community infrastructure, and real estate.  Further, Arctaris has long advocated for and adhered to higher standards for impact reporting than contained in the original legislation, and we welcome the greater transparency requirements in the proposed amendments.”

 

Martin Muoto, CEO, SoLa Impact:

“This bipartisan legislation to improve the Opportunity Zones policy will drive investors to focus more on social impact in communities like South Los Angeles,” said Martin Muoto, CEO of SoLa Impact. “The OZ legislation has enabled SoLa to leverage private capital to build over 1,500 affordable and workforce housing units and house hundreds of formerly homeless residents.”

 

Alex Flachsbart, Founder and CEO, Opportunity Alabama:

“As presented, The Opportunity Zones Transparency, Extension, and Improvement Act will be the biggest step forward for Opportunity Zones in the program’s history. Providing a longer deferral window and allowing the feeder fund concept will substantially improve the flow of capital into the program - and, thanks to inclusion of additional reporting requirements, we can finally get real data on where those funds will flow. Most important, though, is the inclusion of the State and Community Dynamism Fund, a tool that - if properly implemented - could make Opportunity Zones the most effective incentive in the tax code at driving impactful, ground-up community development work."  

 

John Persinger, CEO, Erie Downtown Development Corporation:

“Opportunity Zones are helping to fuel a $100 million revitalization of downtown Erie, Pennsylvania, which is home to one of the poorest zip codes in America,” said John Persinger, CEO of the Erie Downtown Development Corporation. “Strengthening the oversight provisions and generally improving the legislation will ensure that Opportunity Zones continue to help those communities with the greatest economic and social needs, communities like Erie.”

 

Rick Wade, Senior Vice President, U.S. Chamber of Commerce:

“The Opportunity Zone program is a positive, compelling example of government and the private sector working together to solve our nation's challenges. Investments made possible through the Opportunity Zone program will help underserved communities struggling to bounce back from pandemic-induced economic hardships. The U.S. Chamber of Commerce is proud to support this bipartisan legislation that ensures Opportunity Zone financing reaches the areas of our country that need it the most and expands the reach of a public-private partnership on track to decrease the poverty rate by 11 percent,” said Rick Wade, Senior Vice President at the U.S. Chamber of Commerce

 

Stephanie Copeland, Partner, Four Points Funding:

"The changes addressed in this bill not only practically strengthens the Opportunity Zone program, but also continues to align investors to the intent of the incentive. We are thrilled to see the thoughtful progress."

 

Katie Kramer, Vice President, Council of Development Finance Agencies:

“The Council of Development Finance Agencies is grateful to Congress for their efforts to introduce important reforms to Opportunity Zones. The State and Community Dynamism Fund is critically needed at the local levels to fully deploy comprehensive OZ strategies in disinvested communities. We stand ready to support the implementation of the Opportunity Zones Transparency, Extension, and Improvement Act.”

 

Ross Baird, CEO and Founder, Blueprint Local:

“As active Opportunity Zone investors, we are excited to see this legislation that can ultimately drive much more impact in distressed communities. It is very positive to see the reporting requirements, which will bring transparency to this catalytic program and drive more impact in communities, as well as the fund of funds provision, which will help many more investors participate in the program and help the country’s most impactful projects find the capital they need.”

 

Ben Seigel, Opportunity Zones & Impact Investment Coordinator, Baltimore Development Corporation:

"From Day 1, the Baltimore Development Corporation embraced Opportunity Zones as a tool for attracting impact capital to underserved neighborhoods and projects in our city. We were one of the first cities in the country to hire an Opportunity Zones Coordinator to match investors with projects, as well as track and monitor investments and their impact. While we have been pleased with the results to date, we know that Opportunity Zones can do a lot more to drive inclusive economic growth in our city. This new legislation would significantly increase the promise and potential of Opportunity Zones in a place like Baltimore City by extending the incentive period, requiring impact reporting, and investing additional resources into OZ projects and local capacity building in underserved communities."

 

Jeremy Keele, Managing Partner, Catalyst Opportunity Funds:

"We're really supportive of this new legislation to improve key elements of the Opportunity Zone policy. As impact-focused investors active in the OZ strategy, we believe the proposed changes are likely to improve transparency and accountability program-wide, and more directly target capital and other resources into the low-income communities around this country that stand to benefit most from OZ investment."  

 

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WASHINGTON – Today it was announced that U.S. Sen. Mark R. Warner (D-VA), Chairman of the Senate Select Committee on Intelligence, will serve on the conference committee of Senators and House members working to reconcile differences between the House and Senate version of the jobs and competitiveness bill, which has been known variously as the Bipartisan Innovation Act, America COMPETES Act, the United States Innovation and Competition Act, or the Endless Frontier Act, in order to send a final bill to President Biden’s desk for signature.

“For too long, the United States has allowed our global competitors to out-invest and out-hustle us in regard to our innovation economy. This competitiveness bill will make major investments in domestic semiconductor manufacturing, create good-paying jobs, and provide the tools our country needs to continue competing in the global economy while addressing some of the major causes of economic inflation,” said Sen. Warner. “I am honored to be a member of the conference committee that will work to get a strong bill to the president’s desk ASAP.”

“The Senate is moving an important step closer to delivering a robust jobs and competitiveness bill that will help fix our supply chains and boost American innovation and technological dominance for generations. Our Democratic conferees will ensure that the Senate-passed bill stays on track to create more good-paying jobs, boost domestic manufacturing, and spark American ingenuity that will be the engine that drives our economy forward for years to come,” said Senate Majority Leader Chuck Schumer (D-NY).

In June, the Senate voted 68-28 to pass the United States Innovation and Competition Act, bipartisan legislation that includes Warner-led provisions to foster U.S. innovation in the race for 5G and shore up American leadership in the semiconductors industry. In February, the House finally acted to pass its own version of the bill, the America COMPETES Act. Now, a small group of House members and Senators will form a conference committee to negotiate differences between the two bills and assemble a final product to send to President Biden.

Earlier today, Sen. Warner joined Rep. Abigail Spanberger (D-VA) in leading the Virginia congressional delegation in calling on the U.S. Department of Commerce to consider Virginia for future locations of major semiconductor production and research facilities.

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WASHINGTON – Today, U.S. Sens. Mark R. Warner (D-VA) and Chris Coons (D-DE) reintroduced legislation to give low- and moderate-income workers more access to lifelong learning opportunities. The Lifelong Learning and Training Account Act would establish a tax-preferred savings account with a generous government match to support workers looking to retrain or develop new skills throughout their careers.

In the coming years, more workers will be required to learn new skills throughout their careers. A National Academies of Sciences report focused on information technology and the U.S. workforce recently stressed the need to prepare individuals for the changing labor market. Due to automation, the McKinsey Global Institute estimates that up to a third of the U.S. workforce will need to learn new skills or find new work in new occupations by 2030. According to a Pew Research Center survey, 87 percent of workers believe training and developing new job skills throughout their work life is essential to succeed in the workplace. The Lifelong Learning and Training Account Act would give workers a tool to access that training by providing them with a portable, government-matched savings vehicle for lifelong learning.

“Access to lifelong learning and education is a critical tool that workers need to succeed in today’s economy. Therefore, it is essential for the federal government to support Americans’ ability to retrain and upskill throughout their career,” said Sen. Warner. “This is a no-brainer investment that would help workers continue to expand their skillsets and grow their earning potential. It would also help employers who need skilled workers to fill those jobs, particularly in a competitive labor market.”

“By strengthening access to skills training and fostering a culture of lifelong learning, we can support American workers while ensuring we have a workforce ready to fill the jobs of tomorrow,” said Sen. Coons. “That’s why I’m proud to partner with my colleague Senator Warner to invest in our future with this needed investment, and make available the growth and retraining we know will be vital in a competitive, global economy.”

“Small business owners often struggle to find skilled workers, which has become even more challenging during this competitive labor market,” said John Arensmeyer, Founder & CEO of Small Business Majority. “In fact, Small Business Majority's scientific opinion polling found more than one-third of small employers said it is difficult to find candidates with the right education, skills or training. Since small firms rarely have enough time to dedicate to extensive staff training or sufficient funds to pay for employee education, the Lifelong Learning and Training Account Act would be a huge boost to small businesses by offering them another way to invest in the development of their staff. This legislation would also help solo entrepreneurs invest in their own development and acquire skills without the aid of an employer.”

The Lifelong Learning and Training Account Act creates employee-owned Lifelong Learning and Training Account (LLTA) savings plans. Contributions to an LLTA by low- and moderate-income workers or their employers would be eligible for a dollar-for-dollar federal match of up to $1,000. Under this legislation, the federal matching funds would be directly deposited into the LLTA immediately after a contribution by the worker or employer. The worker would then get to choose how to use the LLTA funds, which could be applied towards any training that leads to a recognized post-secondary credential.

For workers that need to contribute to the cost of updating their job skills, this significant federal investment can make a huge difference in whether or not these workers seek additional training. If employers are willing to match employees’ savings, the returns can be even greater—a $500 contribution by a worker would create $2,000 in training opportunities (a $500 match by the employer, and then a $1,000 match from the federal government.) The accounts are portable from job to job, and always under workers’ control.

Contributions by workers and employers are after-tax dollars, but face no additional taxes on earnings if the LLTA funds are used for qualified training expenses. Eligibility is for workers age 25 to 60, with incomes of up to $82,000 per worker. States will manage the accounts. Accounts are designed to encourage the worker to use the funds to regularly update their skills, rather than build up large balances over many years. Restrictions are put in place to ensure that the government’s matching dollars go only to qualified training expenses.

The full text of the bill can be found here.

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BROADCAST-QUALITY VIDEOS AND PHOTOS AVAILABLE HERE 

WASHINGTON – U.S. Sen. Mark R. Warner (D-VA) released the following statement on his intent to support Judge Ketanji Brown Jackson’s nomination to the Supreme Court:

“Judge Jackson is a trailblazer and a highly-qualified jurist. Her wide-ranging endorsements – from conservative jurists, civil rights organizations, law enforcement groups, and through her previous bipartisan Senate confirmations – speak to her sterling credentials.

“During her hearing and our meeting, Judge Jackson demonstrated a strong command of constitutional law, a patient and reasoned temperament, and a warm devotion to her family and to the United States. Her confirmation would also take a long overdue step toward making the composition of the Supreme Court better reflect the people it represents by finally including a Black woman.

“After careful consideration, I believe Judge Jackson embodies the highest intellect, impartiality, and honesty, and I look forward to casting my vote in support of her nomination."

 

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WASHINGTON — Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) joined Senate Agriculture, Nutrition, and Forestry Chairwoman Debbie Stabenow (D-MI) and a bipartisan group of their colleagues in introducing the Support Kids Not Red Tape Act, which would grant the U.S. Department of Agriculture (USDA) additional flexibility so that schools and summer meal sites can stay open and improve access to free, healthy meals for children. The additional flexibility would mean less red tape and more options for families, including by allowing families to pick up a week’s worth of meals or having meals delivered to their home on the school bus. These flexibilities have been crucial to feeding students throughout the COVID-19 pandemic. With 90% of schools still facing many challenges as they return to normal operations, these flexibilities would give schools much-needed support to keep kids fed.

“Every child, regardless of where they live, deserves nutritious meals,” said Sens. Warner and Kaine. “Ensuring that school districts have the flexibility and federal resources they need to keep feeding their students is essential to our fight to end childhood hunger in America. This legislation will help us do that.”

“We should make it easier for kids to get the meals they need – not harder. Our bill cuts red tape and keeps the priority on giving children the healthy meals they need and deserve,” said Senator Stabenow. “As we come out of this pandemic, schools are doing their best - but it takes time for them to transition back to their operations before COVID. We can’t let hungry kids get caught in the middle. Without this support, up to 30 million kids who get food at school will see their essential breakfast and lunch meals disrupted. And millions of hungry kids who rely on summer meals may have nowhere to go to get food.”

More specifically, the bipartisan Support Kids Not Red Tape Act would:

  • Extend USDA’s authority to issue waivers from June 30, 2022 to September 30, 2023, which would extend USDA school meal flexibilities. This is simply a continuation of the authority USDA has had and exercised throughout the pandemic. This would cover this summer, as well as the full 2022-2023 school year, and summer of 2023, and create a transition plan to help schools adjust back to normal school meal operations starting October 1, 2023.
  • Direct states to submit a transition plan to USDA so that schools will be prepared and supported when transitioning back to normal National School Lunch Program operations after the increased flexibilities end.
  • Direct the Secretary to provide technical assistance to states on drafting transition plans and to School Food Authorities on meeting meal standards during the waiver period.

Since the pandemic began, Warner and Kaine have secured federal funding to expand access to food assistance for students, including successfully pushing USDA to make food distribution policies more flexible for Virginia’s families. They also helped secure Virginia’s request to operate a Pandemic Electronic Benefit Transfer (P-EBT) program to ensure children have access to healthy food while at home. In March 2022, Warner and Kaine sent a letter urging USDA to issue guidance to better address the growing food insecurity crisis among college students. 

In addition to Warner, Kaine, and Stabenow, this legislation was also cosponsored by 49 members of the Senate, including: Lisa Murkowski (R-AK), Martin Heinrich (D-NM), Susan Collins (R-ME), Joe Manchin (D-WV), Kirsten Gillibrand (D-NY), Bob Casey (D-PA), Chris Van Hollen (D-MD), Tina Smith (D-MN), Sherrod Brown (D-OH), Tammy Baldwin (D-WI), Cory Booker (D-NJ), Ben Ray Lujan (D-NM), Amy Klobuchar (D-MN), Richard J. Durbin (D-IL), Reverend Raphael Warnock (D-GA), Ed Markey (D-MA), Mazie Hirono (D-HI), Tammy Duckworth (D-IL), Bernie Sanders (I-VT), Jack Reed (D-RI), Patrick Leahy (D-VT), Ron Wyden (D-OR), Jeanne Shaheen (D-NH), Maggie Hassan (D-NH), Michael Bennet (D-CO), Jeff Merkley (D-OR), Elizabeth Warren (D-MA), Alex Padilla (D-CA), Patty Murray (D-WA), Benjamin Cardin (D-MD), Christopher Coons (D-DE), Catherine Cortez Masto (D-NV), Tom Carper (D-DE), Brian Schatz (D-HI), Gary Peters (D-MI), Angus King (I-ME), Dianne Feinstein (D-CA), Jacky Rosen (D-NV), Bob Menendez (D-NJ), Richard Blumenthal (D-CT), Chris Murphy (D-CT), John Hickenlooper (D-CO), Sheldon Whitehouse (D-RI), Mark Kelly (D-AZ), Kyrsten Sinema (D-AZ), Jon Ossoff (D-GA), Jon Tester (D-MT), Charles E. Schumer (D-NY), and Maria Cantwell (D-WA).

Full text of the legislation is available here. A summary of the legislation is available here.

 

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WASHINGTON – U.S. Sen. Mark R. Warner (D-VA) issued the following statement in response to the Department of Homeland Security (DHS) and the Department of Labor (DOL) announcement making available an additional 35,000 H-2B temporary nonagricultural worker visas for fiscal year (FY) 2022. These visas will be set aside for U.S. employers seeking to employ additional workers between April 1, 2022 and September 30, 2022:

“Last week I met with Secretary of Homeland Security Mayorkas and emphasized the need for the Biden administration to make additional H-2B visas available so that Virginia’s seafood businesses can meet their labor needs. Every year, my office hears from seafood businesses about how difficult it is to find and hire workers in an industry with incredibly demanding but temporary jobs like processing crabs and shucking oysters. These businesses – often small and family-owned – live in a constant state of worry, unsure whether they’ll have to cancel contracts because they can’t get the workers that they need. I thank the Biden administration for making these additional visas available, and I look forward to working with my colleagues to reform the H-2B visa program to ensure our processors have the labor certainty they need for their businesses to grow and thrive.”

The H-2B Temporary Non-Agricultural Visa Program allows U.S. employers to hire seasonal, non-immigrant workers during peak seasons to supplement the existing American workforce. In order to be eligible for the program, employers are required to declare that there are not enough U.S. workers available to do the temporary work, as is the case with the seafood industry, which relies on H-2B workers for tough jobs such as shucking oysters and processing crabs.

Sen. Warner has long advocated for the expansion of H-2B visas in order to ensure that seafood processors in Virginia have the seasonal workforce they need. Last year, Sen. Warner, joined by Sens. Tim Kaine (D-VA), Ben Cardin, and Chris Van Hollen (both D-MD), urged the Biden administration to make available the maximum number of congressionally-authorized H-2B visas to support local seafood businesses.

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WASHINGTON – Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) expressed horror and demanded immediate and aggressive action by the Animal and Plant Health Inspection Service (APHIS) following more than 70 animal welfare violations at an Envigo breeding and research facility based in Cumberland, Virginia. In a letter to APHIS Administrator Kevin Shea, the Senators urged APHIS to immediately suspend Envigo’s Cumberland facility license, condemning “persistent and egregious” abuses that led to distress, injury, and death in dogs and puppies.

Today’s letter comes just days after the release of two new inspections from November 2021 and March 2022 that detailed how the facility performed unnecessarily painful medical procedures on dogs and puppies – including euthanasia without a sedative – in direct contradiction to the recommendation of the American Veterinary Medical Association. Medical records indicate that 196 dogs were euthanized and many were not provided any anesthetic.

“It is clear to us that Envigo has been derelict in its duty to provide for the humane care of its dogs, and is unable to abide by the basic standards set forth by the Animal Welfare Act,” wrote Sens. Warner and Kaine. “The role of the U.S. Department of Agriculture (USDA) in ensuring humane treatment of animals extends beyond routine and focused inspections. Congress has provided USDA with broad authority to apply penalties to violators of the Animal Welfare Act. To our knowledge, APHIS has not yet exercised such authority despite Envigo’s repeated failures in providing adequate care to the 5,000 dogs entrusted to its care.”

They continued, “APHIS could suspend Envigo’s license for 21 days, and upon notice and opportunity for hearing, move to revoke the facility’s license outright. Additionally, APHIS could initiate formal administrative action by the USDA Office of General Counsel to seek civil penalties. APHIS is authorized in statute to seek civil penalties of up to $10,000 per violation of the AWA, meaning that it could seek up to $730,000 in penalties from Envigo for its repeated noncompliance.  In the face of repeated, serious violations by the facility, it is our strongly-held belief that USDA must pursue aggressive enforcement actions.”

Over the course of nine months, four inspections – including a July inspection, and subsequent October, November, and March inspections – revealed 73 violations of the Animal Welfare Act at the Envigo Cumberland facilities. Specifically, these inspections found that puppies and dogs were held in shelters with temperatures exceeding 85 degrees Fahrenheit for more than five hours, and that research conducted at the facility caused distress to nursing mothers and their puppies after food was intentionally withheld for 48 hours. The inspections also found that housing violations led to the injury of dozens of dogs, including 71 who were injured when a body part was pulled through the wall of the kennel by a dog in an adjacent kennel, and 50 who were injured or killed due to incompatible groupings.

In their letter, the Senators also raised concern with USDA delays in publishing the horrific findings of these inspections.

They wrote, “While APHIS inspection reports have proven an invaluable resource in uncovering the breadth and depth of mistreatment occurring at the Envigo facilities, we are concerned with delays in publishing such reports. Advocates, legislators, and the public have waited months after inspections to review inspection report findings. The July report was not publicly released until 118 days after the inspection, while the October and November inspection reports took 94 and 128 days, respectively, to be published. We appreciate the complexity of these reports and the immense care that animal care specialists take in preparing them. We also understand that Envigo made it consistent practice to appeal each report in its 21-day window from initial receipt. Even still, it strikes us as unacceptable that the public and elected officials were not privy to the horrific violations of the AWA until months after the inspections while animals suffered in the interim.”

Additionally, the Senators posed a series of questions for APHIS, requesting an answer by April 20. Among other questions, they inquired whether APHIS plans to take any enforcement actions against Envigo, and whether inspectors will return to the facility for a fifth time to monitor progress on corrective actions.  

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. Most recently, 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.

Sens. Warner and Kaine have been  consistent cosponsors of the Puppy Protection Act, which would amend the Animal Welfare Act to include additional care and safety standards for dog breeders like Envigo. Under the bill, breeders would be required to house dogs in appropriately sized enclosures with solid ground and keep them on a regular diet and exercise routine. 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 below.

Dear Administrator Shea:

We write to urge the Animal and Plant Health Inspection Service (APHIS) to pursue aggressive enforcement actions against Envigo RMS LLC and Envigo Global Services Inc.’s (hereafter, Envigo) operations in Cumberland, Virginia. Over the course of the last nine months, APHIS inspectors visited Envigo’s Cumberland facilities four times and cited the company’s licensed breeding and research facilities for 73 violations of the Animal Welfare Act (AWA), 35 of which were classified as ‘Direct’ or ‘Critical.’ APHIS has an obligation under the AWA to ensure the “humane handling, care, treatment, and transportation of animals” within its purview.  In light of persistent and egregious violations of the AWA, we believe that APHIS should immediately suspend the license of the Envigo breeding facility in Cumberland and initiate formal administrative proceedings through the USDA Office of General Counsel.

In recent months, we have been horrified to learn of the abuses at Envigo’s facilities in Virginia. Namely, the abuses have occurred at the dog breeding facility in Cumberland, though APHIS also documented violations of the AWA at the adjacent research facility operated by Envigo. Research conducted at the facility caused distress to nursing mothers and their puppies after food was intentionally withheld for 48 hours within the course of a study, which itself was the subject of several AWA violations. AWA violations at the breeding facility have been even worse. Perhaps most galling is the fact that from January – July 2021, over 300 puppy deaths were attributed to unknown causes, and the facility was found to have “not taken additional steps to determine the causes of death in order to prevent similar deaths” in the future. The July 2021 inspection report also detailed widespread issues with the maintenance of Envigo’s housing facilities that recurred in each of the subsequent three inspections. Housing violations included enclosures lacking solid walls which led to at least 71 dogs being injured when a body part was pulled through the wall of the kennel by a dog in an adjacent kennel, incompatible groupings that led to the death of at least two dogs and injured 48 others, holding puppies and adult dogs in shelters with temperatures exceeding 85 degrees Fahrenheit for more than five hours, and insufficient cleaning and sanitation procedures which led to “a large accumulation of feces, urine, standing water, insects (both dead and alive) and uneaten food” under kennel floors. The July 2021 inspection report also highlighted that current staffing levels were insufficient to provide appropriate care, a violation that recurred in subsequent inspections.

The October 25, 2021 inspection report of Envigo’s Cumberland breeding facility found 13 more violations, seven of which were categorized as ‘Direct’ or ‘Critical,’ and eleven of which were repeat violations. It was clear then that the facility was not making progress in caring for the puppies and dogs. Violations cited in this October report included failure to identify medical conditions requiring treatment and failure to handle animals carefully which led to the death of a newborn puppy in a drain after he fell through a gap in the flooring.

APHIS’ inspection reports from its November 16, 2021 inspections led to 29 more violations of the AWA, 14 of which were classified as ‘Direct’ and 17 were repeat violations. Despite the facility being more than four months past its initial inspection which documented vast noncompliance, inspectors found continued, horrific mistreatment of animals. For example, the facility was found to have ignored the appropriate authority of the attending veterinarian and performed unnecessarily painful medical procedures, including euthanasia without a sedative, in direct contradiction to the recommendation of the American Veterinary Medical Association. Inspectors reviewed medical records that showed 196 dogs were euthanized and many were not provided any anesthetic. And just three days ago, APHIS released a fourth inspection report detailing five more repeat AWA violations of the Envigo breeding facility found on March 8, 2022. It is clear to us that Envigo has been derelict in its duty to provide for the humane care of its dogs, and is unable to abide by the basic standards set forth by the Animal Welfare Act.

While APHIS inspection reports have proven an invaluable resource in uncovering the breadth and depth of mistreatment occurring at the Envigo facilities, we are concerned with delays in publishing such reports. Advocates, legislators, and the public have waited months after inspections to review inspection report findings. The July report was not publicly released until 118 days after the inspection, while the October and November inspection reports took 94 and 128 days, respectively, to be published. We appreciate the complexity of these reports and the immense care that animal care specialists take in preparing them. We also understand that Envigo made it consistent practice to appeal each report in its 21-day window from initial receipt. Even still, it strikes us as unacceptable that the public and elected officials were not privy to the horrific violations of the AWA until months after the inspections while animals suffered in the interim. In particular, it is unclear to us why APHIS’ undertakes a second 21-day hold period after a licensee’s appeal is reviewed and the report is duly modified. In an ‘Explanatory Statement’ of the recently-passed Consolidated Appropriations Act of 2022, Congress instructed APHIS to address “long and inexplicable delays in acting against blatant violations of the Animal Welfare Act.”  We share this concern and hope you will take all prudent steps to expedite the public release of AWA inspection reports moving forward.

The role of the U.S. Department of Agriculture (USDA) in ensuring humane treatment of animals extends beyond routine and focused inspections. Congress has provided USDA with broad authority to apply penalties to violators of the Animal Welfare Act. To our knowledge, APHIS has not yet exercised such authority despite Envigo’s repeated failures in providing adequate care to the 5,000 dogs entrusted to its care. APHIS could suspend Envigo’s license for 21 days, and upon notice and opportunity for hearing, move to revoke the facility’s license outright. Additionally, APHIS could initiate formal administrative action by the USDA Office of General Counsel to seek civil penalties. APHIS is authorized in statute to seek civil penalties of up to $10,000 per violation of the AWA, meaning that it could seek up to $730,000 in penalties from Envigo for its repeated noncompliance.  In the face of repeated, serious violations by the facility, it is our strongly-held belief that USDA must pursue aggressive enforcement actions.

In light of ongoing violations of the AWA at Envigo facilities in Virginia, we respectfully request that by April 20, 2022, you provide detailed responses to the following questions:

 

1.                  Has APHIS taken any enforcement actions against the Cumberland, Virginia Envigo facilities (breeding facility: Certificate 32-A-0774, site 005 and research facility: Certificate 23-R-0187, site 002), or does it plan to do so?
2.                  What number and type of AWA violations would typically be sufficient to warrant various types of enforcement actions, including regulatory correspondence, stipulated penalties, license suspension or revocation, confiscation of animals, and formal administrative proceedings?
3.                  Over the last three years, has APHIS cited any single facility for more than violations of the AWA in a nine-month span than Envigo has received (73 violations)?
4.                  APHIS outlines in its Animal Care Inspection Guide that “inspection reports are to be finalized… within 5 business days of the date of the inspection.” Was that the case in the inspections at Envigo’s Cumberland facilities in July, October, and November 2021? 
a.                  If so, did the appeals process account for the remainder of the delay before reports were posted or were there other causes for delay?
5.                  What is the median time between the date of an APHIS inspection and the publication of the inspection report in instances where licensed facilities appeal the inspection report?
6.                  Given that APHIS’ most recent inspection of the Envigo facility on March 8, 2022 uncovered five repeat AWA violations, will APHIS inspectors return to the facility for a fifth time to monitor progress on corrective actions?

We appreciate APHIS’ continued attention to this important issue, and look forward to a prompt response. Should you have any questions, please do not hesitate to contact our staff.

 

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WASHINGTON — Today, U.S. Sens. Mark R. Warner and Tim Kaine announced $65,591,635 in federal funding for Virginia to make homes more energy efficient and help lower utility costs. The funding will be awarded through the Department of Energy’s Weatherization Assistance Program (WAP), which was expanded under the bipartisan infrastructure law‘s historic federal investments in upgrading our power infrastructure and reducing carbon emissions.

Eligible organizations will be able to apply for funding from the bipartisan infrastructure law in the coming weeks. This federal funding will allow the Virginia Department of Housing and Community Development (DHCD) to partner with organizations across the Commonwealth who provide weatherization services to make homes more energy efficient. The program will save an average of $372 in annual energy savings for American families. It will also help low-income families—who spend an average of 13.9% of their income on energy costs—save money.

“Virginia continues to benefit from the bipartisan infrastructure law,” said the Senators. “We’re glad this funding will be used to make homes more energy efficient, help Virginia families save money by lowering their utility costs, and improve the health and safety of communities.”

This funding can be used for a variety of mechanical, building, electric and water, health and safety, and education measures, such as upgrading heating or cooling systems, installing energy efficient light sources, and installing insulation. 8,487 Virginia homes have been weatherized since 2010.

In addition to the $3.5 billion in funding for states across the country from the infrastructure law, the FY 2022 government funding bill included $313 million across the country for WAP. 

For information on how to apply, click here. For local providers in Virginia, click here.

  

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U.S. Sen. Mark Warner (D-VA) joined Sen. Chris Murphy (D-CT) in sending a letter urging Secretary of State Antony Blinken and U.S. Agency for International Development (USAID) Administrator Samantha Power to press international donors at the United Nations pledging conference to fulfill the current $3.8 billion funding gap for humanitarian aid for Afghanistan and to ensure that aid can reach the Afghan people in need.

“The humanitarian crisis in Afghanistan is deepening, with more than half the population - 23 million people - in need of assistance. In response, the UN has released an appeal to international donors for $4.4 billion to meet the humanitarian needs in Afghanistan - the largest single country appeal in history. In advance of the high-level pledging event for the country scheduled for March 31, we urge the administration to work closely with our international partners to generously commit and rapidly deliver funds that will help save lives in Afghanistan,” the senators wrote.

The senators continued: “As the economy craters, the suffering of the Afghan people deepens. Today, 95% of households in Afghanistan don’t have enough food to eat. By this summer, 97% of Afghans will be living below the poverty line—trying to survive on less than two dollars a day. With nine million people just one step away from famine, this humanitarian crisis could kill more Afghans than the past 20 years of war.”

“We understand that the Taliban takeover of Afghanistan is driving unprecedented levels of suffering of the Afghan people, and urge robust oversight to ensure that all assistance gets to the people of Afghanistan. Without the full participation of female humanitarian staff in the design, implementation, monitoring and evaluation of all humanitarian services, aid will not be delivered in a manner that upholds humanitarian principles, and will be unable to reach the most vulnerable Afghan women and girls in the hardest to reach areas. The Taliban must allow unhindered humanitarian access, safe conditions for humanitarians, independent provision of assistance to all vulnerable people, and freedom of movement for aid workers of all genders,” the senators wrote.

The senators concluded: “Amid crises in Yemen, Ukraine, Ethiopia, Syria, and elsewhere, the international community must not lose focus on Afghanistan. We encourage you to press key international donors to make up the current $3.8 billion funding deficit for humanitarian programs and to expediently deliver such funds. These include countries in the region and members of the Organisation of Islamic Cooperation, as well as likeminded partners who have generously supported Afghanistan in years past. Finally, we encourage you to work closely with our allies in the region to ease any restrictions on humanitarian access in Afghanistan to enable humanitarian partners to reach people in need.”

The letter led by Senator Murphy was signed in addition to Senator Warner by Senators Dick Durbin (D-IL), Alex Padilla (D-CA), Tim Kaine (D-VA), Richard Blumenthal (D-CT), Brian Schatz (D-HI), Chris Van Hollen (D-VA) Bernie Sanders (I-VT), Edward Markey (D-MA), Jeff Merkley (D-OR.), and Sherrod Brown (D-OH).

Full text of the letter is available below.

Dear Secretary Blinken and Administrator Power,

The humanitarian crisis in Afghanistan is deepening, with more than half the population - 23 million people - in need of assistance. In response, the UN has released an appeal to international donors for $4.4 billion to meet the humanitarian needs in Afghanistan - the largest single country appeal in history. In advance of the high-level pledging event for the country scheduled for March 31, we urge the administration to work closely with our international partners to generously commit and rapidly deliver funds that will help save lives in Afghanistan. 

Even prior to the Taliban’s takeover, Afghanistan’s economy suffered from longstanding structural problems. The country was highly dependent on external aid, which financed 75% of public expenditures and were equal to about 40% of the country’s GDP. The Taliban’s takeover caused a pullback in foreign aid and strained the liquidity and solvency of Afghanistan’s financial sector. The IMF estimates that the country’s economy will contract up to 30% this year, and many of the senior officials and technical experts needed to provide sound economic management have fled the country. While humanitarian aid is critical to saving lives in the short-term, it cannot replace a functioning economy in Afghanistan. These underlying structural economic problems will take years to solve. 

As the economy craters, the suffering of the Afghan people deepens. Today, 95% of households in Afghanistan don’t have enough food to eat. By this summer, 97% of Afghans will be living below the poverty line—trying to survive on less than two dollars a day. With nine million people just one step away from famine, this humanitarian crisis could kill more Afghans than the past 20 years of war.

Robust international commitments to support humanitarian assistance in Afghanistan are more critical now than ever. Last year, Afghanistan faced a 40% loss of wheat production due to drought and economic deterioration related to the COVID-19 pandemic. Over the past month, Russia’s invasion of Ukraine has further raised the price of wheat in the global food market. The World Food Programme had previously depended on Russia and Ukraine for more than half of the wheat it provides to countries such as Afghanistan.  

We understand that the Taliban takeover of Afghanistan is driving unprecedented levels of suffering of the Afghan people, and urge robust oversight to ensure that all assistance gets to the people of Afghanistan. Without the full participation of female humanitarian staff in the design, implementation, monitoring and evaluation of all humanitarian services, aid will not be delivered in a manner that upholds humanitarian principles, and will be unable to reach the most vulnerable Afghan women and girls in the hardest to reach areas. The Taliban must allow unhindered humanitarian access, safe conditions for humanitarians, independent provision of assistance to all vulnerable people, and freedom of movement for aid workers of all genders.

In the immediate aftermath of the Taliban’s takeover of Afghanistan, Congress passed a supplemental appropriations bill that included $915 million in humanitarian assistance for Afghanistan. With that funding, Congress sent a strong signal that the United States must lead a robust response by the international community to the ongoing humanitarian crisis. We support the administration’s initial 2022 contribution of more than $308 million in humanitarian aid to Afghanistan on January 11th. At the upcoming pledging event on March 31st, we urge the administration to commit additional, substantial funding to the Afghanistan response as soon as possible to ensure vital assistance programs are not reduced or cancelled. A significant U.S. pledge is vital to encourage other countries to follow suit. Generous and timely investments, delivered to the right agencies on the front lines, are instrumental to saving lives and staving off famine in Afghanistan.

Amid crises in Yemen, Ukraine, Ethiopia, Syria, and elsewhere, the international community must not lose focus on Afghanistan. We encourage you to press key international donors to make up the current $3.8 billion funding deficit for humanitarian programs and to expediently deliver such funds. These include countries in the region and members of the Organisation of Islamic Cooperation, as well as likeminded partners who have generously supported Afghanistan in years past. Finally, we encourage you to work closely with our allies in the region to ease any restrictions on humanitarian access in Afghanistan to enable humanitarian partners to reach people in need.

Thank you for your urgent attention to this crisis, as the people of Afghanistan deserve our unwavering support.

Sincerely,

 

WASHINGTON – U.S. Sen. Mark Warner (D-VA) joined Sen. Sherrod Brown (D-OH), Chairman of the U.S. Senate Committee on Banking, Housing, and Urban Affairs in a letter to the Federal Reserve Board, Federal Deposit Insurance Corporation, National Credit Union Administration, and Office of the Comptroller of the Currency, urging them to work with banks and credit unions to ensure small businesses have access to safe and sound credit as Main Street recovers from COVID-19.

“Recent research by the Federal Reserve System found that less than one-third of small businesses that applied for traditional financing in 2021 received all the funding they sought compared to recent years,” the lawmakers wrote. “…Banks are choosing to lend to bigger firms, and smaller businesses are suffering the consequences in an already restrictive environment.”

The lawmakers also highlighted racial and gender disparities in small business lending. “About 14% of Black and Asian business owners, and 19% of Hispanic business owners, received all the financing they sought in 2021, compared to 34% of white small business owners. The COVID-19 pandemic has only worsened pre-existing inequalities in our economy for businesses owned by entrepreneurs from historically underserved communities,” they wrote. “A driving force behind the nation’s economy, businesses owned by people of color, women, and veterans need access to financing opportunities by banks and credit unions.”

U.S. Sens. Dick Durbin (D-IL), Richard Blumenthal (D-CT), Tina Smith (D-MN), Catherine Cortez Masto (D-NV), Kirsten Gillibrand (D-NY), Reverend Raphael Warnock (D-GA), Chuck Schumer (D-NY), and Brian Schatz (D-HI) also signed the letter.

A copy of the letter is available here and below.

Dear Chair Pro Tempore Powell, Acting Chair Gruenberg, Chair Harper, and Acting Comptroller Hsu:

As small businesses across the U.S. work toward economic recovery from the COVID-19 pandemic, access to financing is vital to continuing the current rate of small business growth. As new business formation continues, we must ensure small businesses are receiving the credit they need.  As such, we write to encourage your agencies to work with banks and credit unions in their communities to offer safe and sound financing access to small businesses.

Recent research by the Federal Reserve System found that less than one-third of small businesses that applied for traditional financing in 2021 received all the funding they sought compared to recent years. Additionally, the research also found that more than half of firms were in fair or poor financial condition at the time of the survey, and nearly all firms faced at least one operational or financial challenge in the prior 12 months. The difficulty small businesses are experiencing in getting access to financing is a significant concern for the economy as small businesses comprise 99.9% of U.S. businesses and employ 46.8% of U.S. employees.

Many small businesses have not recovered to pre-pandemic levels in terms of revenue and employment, and this is especially true for small businesses owned by people of color. Research by the Federal Reserve Bank found racial differences in financing sought among small business owners. About 14% of Black and Asian business owners, and 19% of Hispanic business owners, received all the financing they sought in 2021, compared to 34% of white small business owners. The COVID-19 pandemic has only worsened pre-existing inequalities in our economy for businesses owned by entrepreneurs from historically underserved communities. A driving force behind the nation’s economy, businesses owned by people of color, women, and veterans need access to financing opportunities by banks and credit unions.

Banks are choosing to lend to bigger firms, and smaller businesses are suffering the consequences in an already restrictive environment. The data reported by the Federal Reserve Banks show that underwriting standards for commercial clients are diverging primarily based on business size. In a separate survey conducted by the Fed earlier this year, senior loan officers reported easing standards for large and medium-sized businesses than for smaller ones.

The strong deposit growth at banks and credit unions should be used to support increased lending opportunities to small businesses by banks and credit unions in their communities. The latest financial performance data released by the National Credit Union Administration (NCUA) shows total assets in federally insured credit unions rose by $215.8 billion, or 11.7 percent, to $2.06 trillion over the year ending in the fourth quarter of 2021, and insured shares and deposits grew $166.8 billion, or 11.4 percent, to $1.63 trillion. Likewise, the Federal Deposit Insurance Corporation’s (FDIC) total assets on insured commercial banks and savings institutions rose by $1.9 trillion, or 8.5 percent, to $23.7 trillion over the year ending in the fourth quarter of 2021, and insured deposits grew $1.9 trillion, or 10.5 percent, to 19.7 trillion.

As new business formation rose to record highs in 2021, there is a clear and important economic need for small business to have access to financing. Numbers released by the U.S. Census Bureau found that 5.4 million new business applications were filed in 2021, exceeding the record set in 2020 of 4.4 million.

We urge the banking agencies to work with banks and credit unions to encourage more lending to small businesses in a safe and sound way. We look forward to continuing to work with you to ensure small businesses across the U.S. are receiving access to financing to continue to rebuild their Main Street communities.

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WASHINGTON —Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA), and U.S. Reps. Bobby Scott and Elaine Luria (both D-VA), issued the following statement, applauding an additional $223,871,000 in federal funding for key Virginia projects, including the Norfolk Harbor Widening and Deepening Project, the City of Norfolk Coastal Storm Risk Management Project, and the Virginia Beach Coastal Storm Risk Management Study:

“We’re elated to see the bipartisan infrastructure law continue to deliver wins for Hampton Roads. This funding will advance key infrastructure projects in the region that will invest in the Port of Virginia, boost the local economy, create good-paying jobs, and preserve Virginia’s status as a leader in maritime trade and defense. We’re particularly excited to see that this funding will allow Virginia Beach to initiate its Coastal Storm Risk Management Study – an important step in protecting the community from the devastating effects of climate change.” 

This funding, awarded through the U.S. Army Corps of Engineers (USACE), was made possible by the bipartisan infrastructure law, which was negotiated by Sen. Warner and supported by Sen. Kaine and Reps. Scott and Luria.

The Norfolk Harbor Deepening and Widening Project will receive an additional $72,371,000 to improve navigation and expand capacity by deepening and widening Norfolk Harbor’s shipping channels. Specifically, $40 million will be used to dredge and widen Thimble Shoal Channel West. $32,371,000 will be used to complete the remaining features of the project, including the Atlantic Ocean Channel and the channel to Newport News. This project received $69,331,000 through the Infrastructure Investment and Jobs Act in January 2022 and an additional $83,700,000 in March 2022 through the Fiscal Year 2022 omnibus. Completion of this project will enable safer access for larger commercial and military vessels and provide significant new economic opportunities for the region.

The City of Norfolk Coastal Storm Risk Management Project will receive an additional $150,000,000, to build the downtown Norfolk to Ghent floodwalls with gates at the Hague. This funding will also go towards continuing designs for phases within other portions of the city, and starting on the non-structural flood neighbor components of the project. This project received $249,331,000 through the Infrastructure Investment and Jobs Act in January 2022 to initiate construction. When completed, this project will help reduce and manage flooding for major portions of the City of Norfolk through a system of surge barriers, tidal gates, floodwalls, levees, pump stations, and non-structural measures.

The Virginia Beach and Vicinity Coastal Storm Risk Management Study will receive $1,500,000 to initiate and complete the project’s feasibility study phase. Sens. Warner and Kaine and Rep. Luria have long advocated for federal funding to support this project, which is crucial to the long-term vitality and resilience of the City of Virginia Beach and the entire Coastal Virginia region.

Sens. Warner and Kaine and Reps. Scott and Luria have long worked to secure funding for these key projects. In January, they applauded $369 million in federal funding for a number of projects awarded through the USACE. The lawmakers have consistently urged the Biden administration and the USACE for funding to start construction on the Norfolk Coastal Storm Risk Management Project, including in 2020 and 2021. They similarly pressed for funding for the Norfolk Harbor Project in 2020 and 2021. In 2018, Sens. Warner and Kaine successfully got Norfolk Harbor and the Virginia Beach and Vicinity Coastal Storm Risk Management Study authorized as part of the Water Resources Development Act. They also successfully pushed for the authorization of construction of the Norfolk Coastal Storm Risk Management Project as part of the 2020 Water Resources Development Act.   

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WASHINGTON – In an effort to combat money laundering and sanctions evasion, a group of six Senate Committee Chairs including Sen. Mark Warner (D-VA), Chair of the Senate Intelligence Committee, sent a letter to the Treasury Department urging the agency to revise and reissue proposed rules from 2015 that would have imposed anti-money laundering (AML) and suspicious activity report filing requirements on investment advisers, including advisers to private equity funds and hedge funds.

Advisers to private funds have enjoyed an exemption from requirements to maintain AML programs, verify the identities of their customers, and report suspicious transactions to the U.S. government.  This exemption has made private funds a potentially attractive avenue for money launderers and sanctioned persons to hide their wealth, and the Senators urge Treasury to move as quickly as practicable to address this weakness in the AML system.

In addition to Sens. Warner and Jack Reed (D-RI), Chair of the Armed Services Committee and a leading Congressional champion for transparency and accountability for financial intuitions, the letter is signed by Sens. Sherrod Brown (D-OH), Chair of the Banking, Housing and Urban Affairs Committee; Ron Wyden (D-OR), Chair of the Finance Committee; Richard Durbin (D?IL), Chair of the Judiciary Committee; Bob Menendez (D-NJ), Chair of the Foreign Relations Committee.

“Requiring advisers to establish AML programs, report suspicious activity, and file currency transaction reports, among other requirements, would go a long way towards deterring [politically exposed Russians]—and other illicit actors—from using private equity funds, hedge funds, venture capital funds, credit funds, real estate funds, and other private pools of capital to enter the U.S. financial system.  Following Russia’s unprovoked invasion of Ukraine, the United States has worked with its allies and partners to find the assets of sanctioned Russian oligarchs. However, loopholes and vulnerabilities in our financial reporting laws have made it increasingly challenging for federal investigators to identify where oligarchs and other criminal actors are placing their assets.  Holding investment advisers to the same AML standards applicable to other financial institutions would help achieve this important national security objective,” the Senators wrote.

Full text of the letter is available here and below.  

We write to urge the Financial Crimes Enforcement Network (FinCEN) to revise and reissue, as necessary, proposed rules from 2015 on anti-money laundering (AML) and suspicious activity report filing requirements for investment advisers. In doing so, we urge FinCEN to use its discretionary authority to include investment advisers in the definition of “financial institution” in the Bank Secrecy Act (BSA), which would require them to file currency transaction reports and keep certain records related to the transmittal of funds. Finally, we urge FinCEN to work with the Securities and Exchange Commission (SEC) to ensure adequate examination of the industry for AML purposes.

Investment advisers are exempt from requirements to maintain AML programs, verify the identities of their customers, and report suspicious transactions to FinCEN. Other financial institutions like banks, broker-dealers, mutual funds, futures commission merchants, introducing brokers in commodities, and insurance companies, among others, have been subject to these requirements for decades. According to the SEC’s Investment Adviser Information Reports, during just the last ten years, assets under management attributed to registered investment advisers has ballooned from approximately $44 trillion to approximately $113 trillion, raising fresh questions of whether FinCEN should eliminate these special exemptions.

The private funds segment of the asset management industry may be particularly attractive for money launderers and sanctioned persons due to existing regulatory gaps. In an Intelligence Bulletin from May 2020, the FBI indicated with high confidence that “threat actors likely use private placement of funds, including investments offered by hedge funds and private equity firms, to launder money, circumventing traditional AML programs.” Press reports have confirmed the FBI’s assessment. According to an article in Buzzfeed, a prominent Russian oligarch has used opaque corporate structures to invest at least $1.3 billion with private funds managed by U.S. investment advisers. And according to the New York Times, this very same oligarch made up to 100 investments in hedge funds and private equity funds managed by the nation’s largest asset managers, which allegedly did not confirm the source of these funds.

While the largest advisers to private funds may voluntarily implement AML programs, those advisers are not subject to regular examinations to test the adequacy of their programs. No government agency currently holds advisers accountable for adhering to their voluntary AML and sanctions compliance commitments. By contrast, banks, broker-dealers, and insurance companies are subject to periodic examinations to spot violations of the BSA and any compliance weaknesses.

Last month, FinCEN issued an alert warning financial institutions to be vigilant against attempts by politically exposed Russians to launder money, evade sanctions, and hide their assets. Requiring advisers to establish AML programs, report suspicious activity, and file currency transaction reports, among other requirements, would go a long way towards deterring these individuals—and other illicit actors—from using private equity funds, hedge funds, venture capital funds, credit funds, real estate funds, and other private pools of capital to enter the U.S. financial system. Following Russia’s unprovoked invasion of Ukraine, the United States has worked with its allies and partners to find the assets of sanctioned Russian oligarchs. However, loopholes and vulnerabilities in our financial reporting laws have made it increasingly challenging for federal investigators to identify where oligarchs and other criminal actors are placing their assets. Holding investment advisers to the same AML standards applicable to other financial institutions would help achieve this important national security objective.

In August 2015, FinCEN proposed rules to do just that. The proposal would have closed existing regulatory gaps by requiring investment advisers to implement and maintain AML programs. In the preamble to the proposal, FinCEN noted that “[a]s long as investment advisers are not subject to AML program and suspicious activity reporting requirements, money launderers may see them as a low-risk way to enter the U.S. financial system.” The recent FBI assessment, press reports of potential sanctions evasion by Russian oligarchs, and FinCEN’s own alerts to financial institutions demonstrate that these concerns may have become more acute in the years since FinCEN proposed these rules. We are pleased that the Administration shares these concerns as described in the United States Strategy on Countering Corruption in December 2021, which commits Treasury to re-examining the proposed rules from 2015. President Biden has rightly proposed additional funding for FinCEN to address the growing regulatory and enforcement demands on the agency, and we look forward to working with our colleagues to provide expanded resources in the fight against financial crime.

Investment advisers have an important role to play in safeguarding the U.S. financial system from crime. They can be valuable partners for FinCEN as it seeks to meet our enormous challenges to combat not only money laundering, but also fraud and other financial crimes. Such a partnership is also important to ensure the effectiveness of U.S. sanctions programs, which have expanded significantly during the pendency of FinCEN’s rulemaking. Accordingly, it is critical that rigorous AML and sanctions compliance standards be extended to investment advisers.

For these reasons, we respectfully request that you move as quickly as practicable to address this weakness in the AML system. We appreciate FinCEN’s efforts this year on a variety of fronts and amid competing priorities, including drafting and publishing several new rules to implement the Anti-Money Laundering Act and Corporate Transparency Act of 2021. Thank you for your attention to this critical matter, and we look forward to your reply.

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WASHINGTON – Sens. Mark Warner (D-VA) and James Lankford (R-OK), member of the Senate Finance and Energy and Natural Resources Committees, along with Sens. Angus King (I-ME) and John Cornyn (R-TX) today introduced legislation to establish a secure supply chain of critical minerals and counter China’s market dominance by leveraging the Quadrilateral Security Dialogue (Quad) partnership, which includes the US, Australia, India, and Japan.

“The ubiquity of critical minerals in our daily lives, and their importance in so many modern and emerging technologies, means that ensuring that our supply chains for these critical minerals are robust and secure is essential. China’s control of much of market for these minerals and other rare earth elements – combined with the exponential growth in demand that is expected in the coming years – is particularly alarming,” said Warner, Chairman of the Senate Select Committee on Intelligence. “I’m glad that the Biden administration recognizes this threat, and the comprehensive strategy and multilateral engagement that this bill calls for—in concert with our close Quad partners, like India—will be an important step in meeting this challenge.”

“Anyone who wants to stand up to China needs to support this bill to diminish our dependence on China’s critical and rare earth minerals by encouraging trade partnerships with our allies,” said Sen. Lankford. “Oklahomans know it’s critically important to solve our dependence on China for minerals because we use these materials every day in everything from cellphones and batteries to military gear and medical devices. I look forward to coming together with our allies, instead of begging for minerals from China.”

“So many of the technologies that will define the future depend on critical minerals that are overwhelmingly controlled by China—which severely threatens America’s economic leadership and national security in the decades ahead,” said Sen. King. “As supply chain snarls continue to prevent Americans from accessing vital goods, it is critical that we work with allies like Australia, India, and Japan to build better systems and increase collaborative efforts to compete on the global market. Investing in rare earth minerals today is a fundamental way we can prepare ourselves for a successful and secure tomorrow—which is why I am proud to cosponsor this bipartisan bill.”

“The United States has spent years cultivating and strengthening our ties with the Quad partnership countries, and working with them is a commonsense step towards eliminating China from our critical mineral supply chain,” said Sen. Cornyn. “This legislation would ensure critical minerals for everything from consumer electronics to military defenses come from our allies instead of an adversary like China.”

In light of the national security threat posed by China’s control of nearly two-thirds of the global supply of rare earth elements and many other critical minerals, This bill would direct the Administration to leverage the Quad partnership to promote shared investment and development of this critical resource. The partnership would utilize the US Development Finance Corporation to support new development projects, production technologies, and refining facilities in coordination with our Quad partners to produce a more reliable and secure supply chain of critical minerals, and direct the United States Trade Representative to reduce trade barriers for critical minerals.

A copy of the legislation is available here.


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 WASHINGTON – U.S. Sen. Mark R. Warner (D-VA), a member of the Senate Budget Committee, issued the following statement on the President’s budget proposal:

“I’m glad to see that President Biden’s proposed budget doubles down on the administration’s efforts to strengthen relationships with our allies and continue to support Ukraine. This budget would also help bolster our economy and ensure that hardworking Americans are able to get ahead through strong investments in education, child care, health care, broadband, and clean energy.

“I’m pleased that the President has continued to prioritize increased funding for community-based lenders who work with underserved communities, including Community Development Financial Institutions. The President’s Budget included $331 million for the CDFI Fund to continue promoting entrepreneurship and economic mobility among our most vulnerable communities. I was also glad to see funding to implement the Ashanti Alert Communications Network, and to help combat hate crimes, as authorized by the Jabara-Heyer NO HATE Act.

“I’m also pleased that this budget builds on gains made through the bipartisan infrastructure law by requesting robust federal dollars for transportation, including $150 million for WMATA. For a stronger military, this budget requests funding for two Virginia-class submarines, five military construction projects in the Commonwealth, and a new VA outpatient clinic in Hampton Roads. It also requests the largest pay raise in 20 years for our servicemembers and civilian personnel. Additionally, I’m thrilled to see that this budget proposal includes key funding to continue tackling the deferred maintenance backlog at our national parks, as required by my Great American Outdoors Act.”

 

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WASHINGTON – U.S. Sen. Mark R. Warner (D-VA) released the following statement applauding the Senate for taking an important procedural step to pass an American competitiveness package known as the United States Innovation and Competition Act or America COMPETES Act:

“For too long, the United States has allowed our global competitors to out invest us in regard to our innovation economy. This competitiveness bill makes major investments in domestic semiconductor manufacturing, creates good-paying jobs, and provides the tools our country needs to continue competing in the global economy. I am glad the Senate has voted to pass the amended version of this legislation, and I am hopeful that the Senate and House will conference quickly so that we can finally send this legislation to the President’s desk.”

 

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WASHINGTON – U.S. Sens. Mark Warner (D-VA), Elizabeth Warren (D-MA), Tammy Baldwin (D-WI), and Thomas Carper (D-DE.), members of the Senate Corporate Governance Working Group, released the following statement to commend President Biden’s budget proposal to restrict stock sales by corporate executives: 

“We are pleased that President Biden’s Budget calls for addressing the misaligned incentives that encourage excessive stock buybacks, often at the expense of investments in workers, innovation, and communities. Congress needs to address this issue, and we’re working on common-sense legislation that will reform executive compensation and incentivize American companies to prioritize long-term economic growth.”

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WASHINGTON – Today, U.S. Sens. Mark R. Warner and Tim Kaine introduced the Shenandoah Mountain Act, legislation to establish a 92,000-acre Shenandoah Mountain National Scenic Area (SMNSA) in Rockingham, Augusta, and Highland counties. National Scenic Areas are established by Congress to protect the scenic, historic, recreational and natural resources in specific areas, while allowing compatible uses such as outdoor recreation activities.

“Virginia’s natural treasures provide free recreation opportunities for folks all around the commonwealth – all while creating jobs and supporting our local economies,” Warner said. “I’m proud to sponsor this legislation, which will help safeguard these treasures and ensure that Virginians can make the most of them for years to come.”  

“These challenging past two years have underscored that getting out into nature is critical to our health and well-being,” Kaine said. “The establishment of this National Scenic Area will help us share the gifts of Shenandoah Mountain and the George Washington National Forest with visitors from near and far, while also boosting our local economies, protecting drinking water sources, and preserving the wildlife that make this area so special.”

The SMNSA encompasses four Wilderness areas: Skidmore Fork, Little River, Ramsey’s Draft, and Lynn Hollow, which in sum include 10 peaks above 4,000 feet and 150 miles of trails to attract campers, hikers, mountain bikers, fishermen, birders, and equestrians. The legislation also establishes a 5,764 wilderness area at Beech Lick Knob, located 10 miles north of the SMNSA.

In addition to providing world class trails, the area includes headwaters for the Potomac and James Rivers and watershed that provide municipal drinking water sources for Harrisonburg, Staunton, and communities farther downstream. Cold mountain streams in the area are also a stronghold for native brook trout. Today’s legislation would permanently protect those rivers and streams from industrial development, and also help safeguard populations of at-risk species, such as the Cow Knob and Shenandoah Mountain Salamander, that are natural to the area.

In 2019, the tourism economy directly employed 5,365 people and generated $601 million in expenditures in Augusta, Rockingham, and Highland Counties, as well as Harrisonburg and Staunton. In addition to the direct benefits to tourism and other businesses, JMU scientists estimate that lands within the SMNSA proposal already generate $13.7 million per year in other local benefits, including the value of the water supply and energy savings. Designation of the SMNSA would further grow this value.

In addition to Staunton, Augusta, Rockingham, and Harrisonburg local governments, over 400 businesses and organizations have endorsed the designation. A full list of supporters is available here.  

Full text of the legislation is available here.

 

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WASHINGTON – U.S. Sens. Mark R. Warner (D-VA) and Ed Markey (D-MA), Co-Chairs of the Congressional Task Force on Alzheimer’s Disease, were joined by Sens. Chris Van Hollen (D-MD) and Debbie Stabenow (D-MI) today in raising concerns with the Centers for Medicare and Medicaid Services (CMS) regarding its draft National Coverage Determination (NCD) decision memo for the drug Aduhelm and other similar Alzheimer’s treatments.

In the January 11, 2022 proposed decision memo, CMS groups together an entire class of Alzheimer’s drugs, despite the fact that many are in different stages of the testing and approval pipeline. It also proposes to cover them only if beneficiaries are enrolled in a randomized control trial conducted in an outpatient hospital setting.

“Monoclonal antibody treatments that target amyloid plaques in the brain are the therapies farthest along in their potential for treating certain individuals with Alzheimer’s disease,” the senators wrote. “We are concerned that by including the entire class of drugs in this coverage decision—before final data on safety and efficacy are even released on other therapies in the pipeline—CMS may limit future access to treatments.”

The senators continued, “Although all in the same class, no two drugs work exactly the same for all individuals. Further, the evidence gathered from Aduhelm’s FDA confirmatory trial as well as additional evidence gathered by CMS may inform coverage decisions of potential future drugs. Each new medicine, in our view, should be reviewed on its own merits and not as a class.”

Noting that Black and Latino populations have higher incidences of Alzheimer’s, the Senators also called on CMS to ensure that any clinical trial requirements do not inadvertently limit access to treatments for people of color.

“On behalf of people living with Alzheimer’s and their caregivers, thank you Senators Warner, Markey and other Senate leaders for sharing your concerns with CMS about the national coverage determination proposed decision and encouraging them to expand coverage of FDA-approved treatments for people living with Alzheimer’s. As it stands, the current draft would sharply limit access to an entire class of drugs. For the individuals living with this fatal disease, delaying and limiting access to treatment could mean further progression of their cognitive decline. We appreciate your continued leadership on issues important to the Alzheimer’s community,” said Robert Egge, Alzheimer’s Association chief public policy officer and Alzheimer’s Impact Movement (AIM) executive director.

“It is critically important to the Alzheimer’s community that CMS understand what many members of Congress already do: it’s wrong for Medicare to deny access to FDA-approved Alzheimer’s treatments. This would not happen with cancer, and it must not happen with Alzheimer’s,” said George Vradenburg, chair and co-founder of UsAgainstAlzheimer’s. “I applaud the senators for working on behalf of patients to increase access to this class of drugs, particularly among people of color. Every day 1,000 Americans slip from mild to moderate Alzheimer’s and out of the disease stage targeted by this class of drugs. We do not have time to wait. And we will not stop our campaign until this injustice is corrected.”

As Co-Chair of the Congressional Task Force on Alzheimer’s Disease Sen. Warner has been a longstanding advocate in Congress for improving access and quality of medical care for some of our country’s most vulnerable patients. Last week, Sens. Warner and Markey celebrated the addition of $3.5 billion for Alzheimer’s and related dementia research funding at the National Institutes of Health (NIH) in the Fiscal Year 2022 omnibus spending bill. In 2018, Sen. Warner led colleagues in calling on the Trump administration to continue investing in Alzheimer’s research.  Previously, he introduced bipartisan legislation designed to give people with advanced illness, such as Alzheimer’s disease, new tools to plan for their care and empower them to have those choices honored.

A copy of the letter is available here and below. 

Dear Administrator Brooks-LaSure:

We’re writing to share concerns about the recently proposed National Coverage Determination (NCD) decision memo for Aduhelm and similar drugs, released by the Centers for Medicare & Medicaid Services (CMS) on January 11, 2022. Although more data is needed on Aduhelm’s impact on Alzheimer’s disease, we urge you not to include in the NCD the whole class of similar drugs that have not yet been considered by the Food and Drug Administration. Further, we ask that CMS work to ensure that in any studies required by CMS, robust and representative participation by communities of color are prioritized.

As CMS notes in its decision memo, more than 6 million people in America have Alzheimer’s disease and this is expected to rise to 14 million by 2060. Monoclonal antibody treatments that target amyloid plaques in the brain are the therapies farthest along in their potential for treating certain individuals with Alzheimer’s disease. We are concerned that by including the entire class of drugs in this coverage decision—before final data on safety and efficacy are even released on other therapies in the pipeline— CMS may limit future access to treatments.

As you know, there is a large unmet need for treatments for those with Alzheimer’s, a devastating and fatal disease. In Aduhelm’s class of drugs, three drugs are working their way through the FDA approval process. Although all in the same class, no two drugs work exactly the same for all individuals. Further, the evidence gathered from Aduhelm’s FDA confirmatory trial as well as additional evidence gathered by CMS may inform coverage decisions of potential future drugs. Each new medicine, in our view, should be reviewed on its own merits and not as a class.

Additionally, CMS should ensure that its final NCD does not make it more difficult for Medicare beneficiaries of color to both obtain these treatments if trials are required by CMS and also for us to obtain needed data on Alzheimer’s treatments in such trials, as Black and Latino populations have higher incidences of Alzheimer’s than non-Hispanic whites. The draft NCD proposes to limit coverage only to drugs administered in hospital outpatient settings. This will make it significantly more difficult, if trials are required, to enroll beneficiaries of color, as aggressive outreach and the use of disparate sites is often needed to meet diversity targets. The draft NCD’s requirement for randomized controlled trials could also limit inclusion of people of color, as these populations are often underrepresented in such trials.

Alzheimer’s patients and their families have been waiting 20 years since the last therapy was approved, and this class of therapies holds the promise that those living with the disease may soon have multiple disease-modifying therapies from which to choose. Time is not on the side of those with Alzheimer’s, and we urge you to issue a final NCD that puts patients and their loved ones first by examining each potential new treatment on its own.

Thank you for your commitment to ending Alzheimer’s disease, and we look forward to continuing our work with you in this crucial area.

Sincerely,

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WASHINGTON – Today, U.S. Sen. Mark R. Warner (D-VA) pressed Wells Fargo for answers after a Bloomberg News investigation revealed that the financial services company approved only 47 percent of Black homeowners’ refinancing applications in 2020 – an approval rate significantly below other lenders, who approved about 70 percent of Black homeowners’ refinancing applications.

“I am writing regarding a recent Bloomberg News investigation, which reported that Wells Fargo approved only 47 percent of Black homeowners’ refinancing applications in 2020, an approval rate significantly below other lenders, who approved about 70 percent of Black homeowners’ refinancing applications,” wrote Sen. Warner in a letter to Wells Fargo CEO and President, Charles Scharf. “I am concerned with the significant differences between Wells Fargo and other lenders and that Wells Fargo was reportedly the only major lender to approve a smaller share of Black homeowners’ refinance applications in 2020 than it did in 2010.”

He continued, “It is clear that disparities in refinance approvals are system-wide and likely reflect a historic and systematic imbalance that has driven the racial homeownership and wealth gaps, where the average Black and Hispanic or Latino household owns just 15 to 20% as much net wealth as the average white household. Wells Fargo is quoted in the article as saying that its lending decisions were ‘consistent across racial and ethnic groups’ and I understand that the imbalance may in part be an outgrowth of historic and longstanding barriers – including greater shares of applicants with lower credit scores and higher loan-to-value (LTV) ratios, which result from longstanding legal, social, and economic inequalities. However, the key question for Wells Fargo, and other lenders, is how lenders can find ways to support communities that have historically been held back from fully participating in the mainstream economy rather than continuing to perpetuate existing disparities, particularly during times of economic crisis.”

In the letter, Sen. Warner highlighted a Federal Reserve analysis that showed borrowers saved significant amounts of money by refinancing their mortgages during the pandemic by taking advantage of record low interest rates. According to this analysis, the typical refinance reduced a borrower’s monthly payments by over $250. The total amount of borrowers who refinanced are expected to see $5 billion in savings per year. However, less than 4 percent ($198 million) of those savings went to Black households, which make up over 9 percent of all homeowners.

Seeking answers on the reported disparities, Sen. Warner asked Wells Fargo to explain in detail why the racial gaps in its refinance approval rates were significantly larger than other lenders, and why its approval rate for refinances for Black homeowners fell in 2020 compared to 2010. He also pressed for answers as to whether the financial services company is considering changes to its evaluations process to ensure equitable outcomes for all homeowners.

Sen. Warner also joined a number of his colleagues in a separate letter today, urging the Department of Housing & Urban Development (HUD) and the Consumer Financial Protection Bureau (CFPB) to request a review of Wells Fargo’s mortgage loan refinance processes, following the Bloomberg News Investigation.

In Congress, Sen. Warner has been a champion for addressing the racial wealth gap by way of homeownership and entrepreneurship. He is the author of the Low-Income First Time Homebuyers (LIFT) Act – legislation to help first-time, first-generation homebuyers – predominately Americans of color – build wealth much more rapidly. In December of 2020, Sen. Warner successfully negotiated a record $12 billion investment to open the flow of emergency capital to community-based lenders in minority and low- and moderate-income communities.

A copy of Sen. Warner’s letter to Wells Fargo is available here. A copy of the joint letter to HUD and CFPB is available here.

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WASHINGTON — Today, U.S. Sens. Mark R. Warner and Tim Kaine announced $1,000,000 in federal funding for the Appalachian Veterinary Expansion project. The funding will be used to support construction of a new Veterinary Education and Technology (VET) building at Lincoln Memorial University-College of Veterinary Medicine’s (LMU-CVM) DeBusk Veterinary Teaching Center Campus (DVTC) in Ewing. The project will also increase the number of students in the region and attract new sources of investment in the Cumberland Gap region.

“We’re glad this federal funding will be used for the construction of a new building at the DeBusk Veterinary Teaching Center Campus,” said the Senators. “This investment will help train more aspiring veterinarians and spur economic growth in Lee County and the surrounding region.”

LMU-CVM welcomed its inaugural class in 2014 and is the first veterinary school dedicated to serving Appalachia. In August 2014, Kaine visited LMU-CVM's campus to tour the facilities and learn about the school’s programs.

The funding was awarded through the Appalachian Regional Commission’s (ARC) Partnerships for Opportunity and Workforce and Economic Revitalization (POWER) Initiative, which provides federal resources to help create jobs in existing or new industries for communities affected by job losses in the coal industry. The Appalachian Veterinary Expansion project also received a $2 million grant from the Virginia Tobacco Region Revitalization Commission.

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WASHINGTON - Today, Senate Intelligence Committee Chairman Mark Warner (D-VA), Sen. Elizabeth Warren (D-MA), Senate Armed Services Committee Chairman Jack Reed (D-RI), and Senate Defense Appropriations Subcommittee Chair Jon Tester (D-MT) introduced the Digital Asset Sanctions Compliance Enhancement Act to ensure that Vladimir Putin and Russian elites don't use digital assets to undermine the international community’s economic sanctions against Russia following its invasion of Ukraine. The senators’ bill comes amid bipartisan concerns and warnings by federal agencies that Russian actors may try to evade economic sanctions by using digital currencies. Countries hit hard by sanctions, including North Korea and Iran, have been previously found to use cryptocurrency to curb the effects of economic sanctions. This legislation is cosponsored by Sens. Tammy Duckworth (D-IL), Debbie Stabenow (D-MI), Raphael Warnock (D-GA), Chris Van Hollen (D-MD), Tina Smith (D-MN), Catherine Cortez Masto (D-NV), and Bob Menendez (D-NJ).

“In order for the sanctions levied by the United States and our allies to have the maximum impact on Vladimir Putin and his oligarch friends, we must close off avenues they might use to evade those sanctions. This legislation will crack down on foreign actors who help sanctioned Russians use digital assets like cryptocurrencies to circumvent the crippling measures we’ve put in place to punish Russia for its barbaric invasion of Ukraine,” said Sen. Warner.

“Putin and his cronies can move, store, and hide their wealth using cryptocurrencies, potentially allowing them to evade the historic economic sanctions the U.S. and its partners across the world have levied in response to Russia’s war against Ukraine. I'm glad to introduce the Digital Asset Sanctions Compliance Enhancement Act with my colleagues to strengthen our sanctions program and close off any avenues for Russian evasion,” said Sen. Warren. 

“The U.S. and its allies have imposed some of the strongest sanctions in history to try to stop Putin and his cronies from waging war on Ukraine.  A sanctions system without strong authorities to limit evasion using digital assets is like having a security system but leaving the front door open.  This bill would clarify Treasury’s authorities and strengthen our sanctions on Putin and his enablers,” said Sen. Reed.

 “Vladimir Putin’s unprovoked war in Ukraine is a threat to democracies everywhere, and if we are going to hold him and his cronies accountable, we have to be sure they aren’t using digital tools to evade sanctions,” said Sen. Tester. “I’m proud to introduce this legislation that will make sure we isolate Putin and sends a message to America’s adversaries that folks who threaten freedom and democracy around the world cannot hide from the consequences of their actions.”

“We’ve imposed devastating sanctions on Russia, and we must ensure that there aren’t any loopholes that would allow Putin and his oligarchs to evade them,” said Sen. Cortez Masto. “This legislation gives the U.S. the tools it needs to crack down on any entity using cryptocurrency to trade with sanctioned banks or individuals. We must do all we can to completely isolate Putin, and that includes strengthening the enforcement mechanisms in all of our economic measures.” 

“Digital currencies can offer the Russian government and wealthy oligarchs an opportunity to evade the sanctions that President Biden has enacted on Russia as Putin continues to wage his unprovoked and inexcusable war of choice against Ukraine,” said Sen. Duckworth. “The United States can do more to ensure Putin and his cronies feel the full weight of the free world’s sanctions, which is one reason I’m proud to help introduce this legislation with Senator Warren to crack down on cryptocurrency exchanges that engage with Russian entities.”

“Russia must be held accountable for its cold-blooded, unprovoked attack on Ukraine. We’ve seen how economic sanctions can deliverer a major blow to the Russian economy, but we must do everything in our power to prevent Putin and his corrupt cronies from circumventing these sanctions using cryptocurrencies. This legislation provides the necessary tools to monitor and shut down any such loopholes,” said Sen. Van Hollen.

The Digital Asset Sanctions Compliance Enhancement Act would combat the risk of Russian actors from using digital assets to evade international sanctions by discouraging foreign crypto firms from doing business with sanctioned Russian elites, providing the Administration with authority to suspend transactions with Russia-linked crypto addresses, and increasing transparency around crypto holdings. 

Specifically, the Digital Asset Sanctions Compliance Enhancement Act would close potential avenues for evasion of sanctions against Russia by:

  • Requiring the President to identify foreign digital asset actors that are facilitating evasion of sanctions against Russia, and authorizing the President to sanction such actors, prohibiting their transactions with U.S. persons and blocking their assets. 
  •  Providing the Treasury Secretary clear authority to prohibit digital asset trading platforms and transaction facilitators under U.S. jurisdiction from transacting with cryptocurrency addresses that are known to be, or could reasonably be known to be, in Russia.
  • Directing FinCEN to require U.S. taxpayers engaged in a transaction with a value greater than $10K of cryptocurrency offshore to file FinCEN Form 114 (FBAR).
  • Requiring the Treasury Department to report on its progress in implementing these provisions, including any resources needed by the Department to improve implementation and progress in coordinating with foreign partners.
  • Requiring the Treasury Department to issue a public report identifying foreign digital asset trading platforms that are determined to be high risk for sanctions evasion, money laundering, or other illicit activities.

Earlier this month, Sens. Warren, Senate Intelligence Committee Chairman Mark Warner, Senate Banking, Housing, and Urban Affairs Chairman Sherrod Brown, and Senate Armed Services Committee Chairman Jack Reed led a letter to Treasury Secretary Janet Yellen raising concerns regarding the potential use of cryptocurrency to evade sanctions, which have become even more urgent amid the sanctions imposed on Russia after their invasion of Ukraine. 

 

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WASHINGTON – U.S. Sen. Mark R. Warner (D-VA), Chairman of the Senate Intelligence Committee, is renewing his push to safeguard the health and welfare of American-trained bomb-sniffing dogs tasked with fighting terrorism abroad.

In a letter to Secretary of State Antony J. Blinken, Sen. Warner today highlighted new language that requires the Department of State to report on the status of dogs in the Explosive Detection Canine Program (EDCP), which 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.

“I was glad to see that the recent Consolidated Appropriations Act, which was signed into law on March 15, included language requiring the State Department to report to Congress on the status of dogs currently in, and retired from the program, as well as an update on the policies and procedures that the Department has implemented in response to the Inspector General’s recommendations,” wrote Sen. Warner.

“As you know, the Department spends millions of taxpayer dollars in order to initially train these canines, provide appropriate veterinary care, and embed mentors in partner nations, among other efforts and expenses meant to ensure the success of the program. Once abroad, these loyal canines play an invaluable role, often risking their lives in support of their security mission, working to keep important assets, their teams, and broader populations safe,” he continued. “For these reasons and more, it is morally wrong and unacceptable for any deployed dog to be subjected to mistreatment, malnutrition, improper care, or unsafe shelter. Congress and the American people deserve to know the steps that the Department has taken and is planning, to ensure that taxpayer dollars are not placing dogs in these conditions.”

The Warner-led language – signed into law as part of the government spending bill – requires the State Department to produce a report for Congress that accounts for each of the dogs in the program, including those who are now retired. The report, due to Congress within 90 days, must also provide an update on the policies and procedures that the Department has implemented in response to the Inspector General’s 2019 recommendations.

Sen. Warner, a dog owner, has been an advocate for dogs in Virginia and throughout the country. He previously raised alarm about the 2019 Inspector General (IG) report, which found that the trained dogs who died in the Kingdom of Jordan suffered from various medical problems, including largely preventable illnesses like parvovirus and heat exhaustion. Many of the dogs were trained at a State Department-contracted facility located in Winchester, Va.

The State Department’s antiterrorism assistance program provides Explosive Detection Canines (EDCs) to foreign countries to support local law enforcement in deterring and countering terrorism. The program is primarily implemented by the Bureau of Diplomatic Security’s Office of Antiterrorism Assistance, in partnership with the Bureau of Counterterrorism. Although the State Department previously relied on the Bureau of Alcohol, Tobacco, and Firearms to provide and train the bomb-sniffing dogs, in 2016, the State Department established its own canine training center, the Canine Validation Center (CVC) in Winchester, Va., which is responsible for procuring dogs, training foreign students as handlers, and conducting assessments to determine a country’s ability to care for the dogs and operate a canine program. In addition, the CVC is responsible for conducting health and welfare assessments in foreign countries.

A copy of the letter is available here and below.

Dear Secretary Blinken,

I write today regarding efforts by the Department of State to address serious concerns that Congress and the Department’s Inspector General, among others, have raised about the Explosive Detection Canine Program (EDCP).

In September 2019, the Office of the Inspector General for the U.S. Department of State (OIG) released a report, Evaluation of the Antiterrorism Assistance Explosive Detection Canine Program – Health and Welfare . As you know, the evaluation of this program resulted from allegations that the U.S. was providing insufficient oversight, resulting in the inadequate health care, mistreatment, and premature deaths of a number of dogs. Months later, in December 2019, OIG issued a subsequent report, in response to another complaint alleging that “additional canines beyond those described in the [September] evaluation had died” from preventable causes.

As part of its evaluations, OIG made a series of recommendations to the Department to address the serious concerns over the health and welfare of the dogs trained and deployed as a part of this program.

I was glad to see that the recent Consolidated Appropriations Act, which was signed into law on March 15, included language requiring the State Department to report to Congress on the status of dogs currently in, and retired from the program, as well as an update on the policies and procedures that the Department has implemented in response to the Inspector General’s recommendations.

As you know, the Department spends millions of taxpayer dollars in order to initially train these canines, provide appropriate veterinary care, and embed mentors in partner nations, among other efforts and expenses meant to ensure the success of the program. Once abroad, these loyal canines play an invaluable role, often risking their lives in support of their security mission, working to keep important assets, their teams, and broader populations safe.

For these reasons and more, it is morally wrong and unacceptable for any deployed dog to be subjected to mistreatment, malnutrition, improper care, or unsafe shelter. Congress and the American people deserve to know the steps that the Department has taken and is planning, to ensure that taxpayer dollars are not placing dogs in these conditions.

I’m glad that the Department under your leadership will be examining this issue, and I look forward to seeing the results from the report within the required 90-day period. To coincide with that report, I would ask that the Department also brief my staff on the current status of the program.

This issue remains very important to me, and I look forward to working with you as needed to continue addressing reforms to this program.

Sincerely, 

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WASHINGTON – Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) introduced legislation to formally designate the Blue Ridge Music Center’s outdoor amphitheater the “Rick Boucher Amphitheater” after former Rep. Rick Boucher.

“Congressman Boucher is a pillar of Southwest Virginia,” the Senators said. “We can think of no better way to honor his years of public service than by naming this amphitheater, which celebrates the culture and tradition of Southwest Virginia, after him.”

Former Rep. Boucher, an Abingdon native, represented Southwest Virginia’s ninth congressional district in the House of Representatives from 1983 to 2011. Rep. Boucher was an early supporter of the development of the Blue Ridge Music Center and continued to advocate for the project throughout his tenure. He also served as the Chairman of the U.S. House Energy Subcommittee on Communications, Technology and the Internet as well as Chairman of the Subcommittee on Energy and Air Quality while in Congress.

 Located in Galax, VA, the Blue Ridge Music Center is home to a visitor center, outdoor amphitheater, indoor interpretive center, and museum that highlights the historical significance of the region’s musical culture.

Full text of the legislation is available here.

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WASHINGTON – Co-chairs of Congressional Task Force on Alzheimer's Disease, Sens. Mark Warner (D-VA), Susan Collins (R-Maine), and Edward J. Markey (D-Mass.), commended the inclusion of $3.5 billion for Alzheimer’s and related dementia research funding at the National Institutes of Health (NIH) in the Fiscal Year 2022 omnibus spending bill. This funding is a $289 million increase over the previous year’s appropriations, and above the funding level that the NIH estimates–pursuant to Senator Markey’s Alzheimer’s Accountability Act– it will need to effectively treat or prevent Alzheimer’s by 2025. Currently, more than 6.25 million Americans live with Alzheimer’s disease, and by 2060, that number is expected to double.

  “I am proud to co-chair the Congressional Task Force on Alzheimer’s Disease, which has been instrumental in increasing the awareness of and advancing research in Alzheimer’s,” said Senator Warner. “In 2010 I lost my mother to Alzheimer's after her 10-year battle with the illness. I saw firsthand the challenges of this terrible disease. That is one reason why I am committed to supporting clinical and medical research into Alzheimer’s and dementia-related illnesses. Investments like this $3.5 billion are crucial to better understanding, treating and ultimately curing Alzheimer’s disease.”

“As a founder and co-chair of the Congressional Task Force on Alzheimer's Disease, I have long championed increased investments for Alzheimer’s research, which hold great promise for putting an end to this disease that has a devastating effect on millions of Americans and their families,” said Senator Collins. “We have made tremendous progress in recent years to boost funding for biomedical research, and this legislation builds on that momentum. I am encouraged by the bipartisan commitment to reaching the national goal of preventing and treating Alzheimer’s by the year 2025.”

 “Consistent and robust investment in medical and clinical research for Alzheimer’s disease puts us on the path to defeating this devastating disease,” said Senator Markey. “Since my mother passed from Alzheimer’s in 1998 and I co-founded the Congressional Task Force on Alzheimer’s disease, I have worked on a bipartisan basis alongside Alzheimer’s patients advocates, and caregivers to push for increased funding for Alzheimer’s research.  I am proud these efforts have successfully brought billions of federal research dollars to this disease. This year’s funding increase is another positive example of the work that must continue until we effectively prevent, treat, or cure Alzheimer’s disease.”

A copy of the Senators’ letter requesting the funding can be found here.

In Fiscal Year 2021, the Senators helped to secure $3.2 billion for Alzheimer’s and related dementia research at NIH.

 

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 WASHINGTON – U.S. Sen. Mark R. Warner (D-VA), Chairman of the Senate Intelligence Committee, released the following statement following Ukrainian President Volodymyr Zelenskyy’s address to Congress:

“I was incredibly moved by President Zelenskyy’s words this morning and by the powerful images of the destruction inflicted on the Ukrainian people as a result of Russia’s indiscriminate attacks on civilian targets. As President Zelenskyy noted, the U.S. has already taken unprecedented steps to rally the world to isolate Russia economically and to support Ukraine’s efforts to defend itself. We should heed President Zelenskyy’s call for additional defensive aid including anti-tank weapons and anti-aircraft missiles and for new sanctions on those responsible for supporting the Russian government’s barbaric invasion of a peaceful and sovereign neighbor.”

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