[House Hearing, 115 Congress] [From the U.S. Government Publishing Office] BUILD ACT OF 2018; UNITED STATES-ISRAEL SECURITY ASSISTANCE AUTHORIZATION ACT OF 2018; HACK YOUR STATE DEPARTMENT ACT; ENERGY DIPLOMACY ACT OF 2018; INTERNATIONAL SECURITY ASSISTANCE ACT OF 2018; AND GLOBAL ENGAGEMENT CENTER AUTHORITIES ACT OF 2018 ======================================================================= MARKUP BEFORE THE COMMITTEE ON FOREIGN AFFAIRS HOUSE OF REPRESENTATIVES ONE HUNDRED FIFTEENTH CONGRESS SECOND SESSION ON H.R. 5105, H.R. 5141, H.R. 5433, H.R. 5535, H.R. 5677, and H.R. 5681 __________ MAY 9, 2018 __________ Serial No. 115-127 __________ Printed for the use of the Committee on Foreign Affairs [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] Available: http://www.foreignaffairs.house.gov/, http://docs.house.gov, or http://www.gpo.gov/fdsys/ ______ U.S. GOVERNMENT PUBLISHING OFFICE 30-017 PDF WASHINGTON : 2018 COMMITTEE ON FOREIGN AFFAIRS EDWARD R. ROYCE, California, Chairman CHRISTOPHER H. SMITH, New Jersey ELIOT L. ENGEL, New York ILEANA ROS-LEHTINEN, Florida BRAD SHERMAN, California DANA ROHRABACHER, California GREGORY W. MEEKS, New York STEVE CHABOT, Ohio ALBIO SIRES, New Jersey JOE WILSON, South Carolina GERALD E. CONNOLLY, Virginia MICHAEL T. McCAUL, Texas THEODORE E. DEUTCH, Florida TED POE, Texas KAREN BASS, California DARRELL E. ISSA, California WILLIAM R. KEATING, Massachusetts TOM MARINO, Pennsylvania DAVID N. CICILLINE, Rhode Island MO BROOKS, Alabama AMI BERA, California PAUL COOK, California LOIS FRANKEL, Florida SCOTT PERRY, Pennsylvania TULSI GABBARD, Hawaii RON DeSANTIS, Florida JOAQUIN CASTRO, Texas MARK MEADOWS, North Carolina ROBIN L. KELLY, Illinois TED S. YOHO, Florida BRENDAN F. BOYLE, Pennsylvania ADAM KINZINGER, Illinois DINA TITUS, Nevada LEE M. ZELDIN, New York NORMA J. TORRES, California DANIEL M. DONOVAN, Jr., New York BRADLEY SCOTT SCHNEIDER, Illinois F. JAMES SENSENBRENNER, Jr., THOMAS R. SUOZZI, New York Wisconsin ADRIANO ESPAILLAT, New York ANN WAGNER, Missouri TED LIEU, California BRIAN J. MAST, Florida FRANCIS ROONEY, Florida BRIAN K. FITZPATRICK, Pennsylvania THOMAS A. GARRETT, Jr., Virginia JOHN R. CURTIS, Utah Amy Porter, Chief of Staff Thomas Sheehy, Staff Director Jason Steinbaum, Democratic Staff Director C O N T E N T S ---------- Page MARKUP ON H.R. 5105, To establish the United States International Development Finance Corporation, and for other purposes........ 2 Amendment in the nature of a substitute to H.R. 5105 offered by the Honorable Edward R. Royce, a Representative in Congress from the State of California, and chairman, Committee on Foreign Affairs.............................................. 80 Amendments to the amendment in the nature of a substitute to H.R. 5105 offered by: The Honorable Gerald E. Connolly, a Representative in Congress from the Commonwealth of Virginia (#1)...... 160 The Honorable Gerald E. Connolly (#67)................. 161 The Honorable Eliot L. Engel, a Representative in Congress from the State of New York (#3)............. 163 The Honorable Eliot L. Engel (#4)...................... 165 The Honorable Lois Frankel, a Representative in Congress from the State of Florida................... 167 The Honorable William Keating, a Representative in Congress from the Commonwealth of Massachusetts (#64) 169 The Honorable William Keating (#65).................... 170 The Honorable William Keating (#66).................... 171 The Honorable Edward R. Royce.......................... 172 The Honorable Brad Sherman, a Representative in Congress from the State of California (#54).......... 175 The Honorable Brad Sherman (#58)....................... 176 The Honorable Brad Sherman (#60)....................... 177 The Honorable Brad Sherman (#62)....................... 178 The Honorable Norma J. Torres, a Representative in Congress from the State of California................ 179 H.R. 5141, To make improvements to certain defense and security assistance provisions and to authorize assistance for Israel, and for other purposes......................................... 181 Amendment in the nature of a substitute to H.R. 5141 offered by the Honorable Edward R. Royce................................ 210 Amendments to the amendment in the nature of a substitute to H.R. 5141 offered by: The Honorable David Cicilline, a Representative in Congress from the State of Rhode Island.............. 234 The Honorable Mark Meadows, a Representative in Congress from the State of North Carolina............ 236 The Honorable Joe Wilson, a Representative in Congress from the State of South Carolina..................... 237 H.R. 5433, To require the Secretary of State to design and establish a Vulnerability Disclosure Program (VDP) to improve Department of State cybersecurity and a bug bounty program to identify and report vulnerabilities of internet-facing information technology of the Department of State, and for other purposes................................................. 238 Amendment in the nature of a substitute to H.R. 5433 offered by the Honorable Ted Lieu, a Representative in Congress from the State of California.......................................... 246 H.R. 5535, To amend the State Department Basic Authorities Act of 1956 regarding energy diplomacy and security within the Department of State, and for other purposes.................... 255 Amendment to H.R. 5535 offered by the Honorable Adam Kinzinger, a Representative in Congress from the State of Illinois...... 260 H.R. 5677, To revise and improve authorities relating to international security assistance, and for other purposes...... 261 Amendments to H.R. 5677 offered by: The Honorable Eliot L. Engel............................... 288 The Honorable Ted Lieu..................................... 290 The Honorable Edward R. Royce.............................. 292 The Honorable Ted S. Yoho, a Representative in Congress from the State of Florida................................ 294 H.R. 5681, To amend the National Defense Authorization Act for Fiscal Year 2017 to clarify certain responsibilities of the Global Engagement Center of the Department of State, and for other purposes................................................. 295 Amendment to H.R. 5681 offered by the Honorable Brad Sherman... 303 APPENDIX Markup notice.................................................... 332 Markup minutes................................................... 333 Markup summary................................................... 335 BUILD ACT OF 2018; UNITED STATES-ISRAEL SECURITY ASSISTANCE AUTHORIZATION ACT OF 2018; HACK YOUR STATE DEPARTMENT ACT; ENERGY DIPLOMACY ACT OF 2018; INTERNATIONAL SECURITY ASSISTANCE ACT OF 2018; AND GLOBAL ENGAGEMENT CENTER AUTHORITIES ACT OF 2018 ---------- WEDNESDAY, MAY 9, 2018 House of Representatives, Committee on Foreign Affairs, Washington, DC. The committee met, pursuant to notice, at 10:07 a.m., in room 2172, Rayburn House Office Building, Hon. Ed Royce (chairman of the committee) presiding. Chairman Royce. The committee will come to order. Pursuant to notice, we meet today to mark up six bipartisan measures. Without objection, all members may have 5 days to submit statements or extraneous material on today's business. As members were notified yesterday, we intend to consider today's measures en bloc. And so, without objection, the following items previously provided to members--by the way, these are also in your packets. These will all be considered en bloc and are considered as read. We start with 5105. This is the BUILD Act, Mr. Yoho's the BUILD Act. The Royce amendment in the nature of a substitute and the following amendments: Connolly amendment 1 and 67; Engel amendments 3 and 4; Frankel amendment No. 34; Keating amendments 64, 65, and 66; Royce amendment 112; Sherman amendments 54, 58, 60 and 62; and Torres amendment 90. Now we have H.R. 5141, the U.S.-Israel Security Assistance Authorization Act. The Royce amendment in the nature of a substitute and the following amendments: Cicilline amendment 139; Meadows amendment 128; Wilson amendment 54. Then we have the Hack Your State Department Act, H.R. 5433. We have the Lieu amendment 115 in the nature of a substitute to the bill. We have H.R. 5535, the Energy Diplomacy Act, with the Kinzinger amendment 27. H.R. 5677, this is the International Security Assistance Act, with the Engel amendment 1, the Lieu amendment 111, the Royce amendment 111, and Yoho amendment 116. And lastly, we have H.R. 5681, the Global Engagement Center Authorities Act and the Sherman amendment 56. [The information referred to follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] Chairman Royce. And I will now recognize myself to speak on today's business. So first, we have H.R. 5677. This is the International Security Assistance Act. And the rise of terrorist groups like ISIS and al-Qaeda and Boko Haram, Al Shabaab, this has required a substantial expansion of the programs that help our partners defend themselves. So the State Department is charged with overseeing these important efforts. This bill, this bipartisan measure, improves the Department's management of U.S. security assistance, including military assistance and military education and training. And the bill also strengthens congressional oversight over proposed designations of state sponsors of terrorism. I will explain to you why this was necessary. Under current law, to delist a state sponsor of terrorism the administration only needs to certify that the country has refrained from supporting terrorist activity for a mere 6 months. The administrations from both parties have abused this process, most notably in 2008 when North Korea was prematurely delisted following commitments it made to dismantle its nuclear weapons program. Now, what this bill does is to make sure that that does not happen again. And next, we consider Chairman Yoho's H.R. 5105. This is the BUILD Act. After months of bipartisan work with the administration, I am very pleased that we can advance this bill, which will help the United States take a more strategic approach to international development and economic empowerment in emerging markets. By harnessing the power of finance and the expertise of our Nation's development professionals under one modern institution, we can advance America's interests and offer countries a robust alternative to investments by authoritarian governments, such as what is happening with respect to Beijing. And I really want to thank Congressman Yoho, but also all the members of this committee who have been engaged in supporting him in this effort with the amendments and the focus on this issue. Next, we have Representative Schneider's H.R. 5681. This is the Global Engagement Center Authorities Act. And under this bill, and with some help from Adam Kinzinger, the GEC at the State Department, of course, has this important mission of countering propaganda and disinformation from foreign states, as well as terrorist groups like ISIS. This bill strengthens the Center's leadership role and directs it to coordinate related activities across the administration. And, again, I appreciate the strong bipartisan interest that members have shown on this issue. And in particular, I want to note the work that goes on, not only on this committee, but also in the NDAA, where Representative Kinzinger, who was an early advocate of the GEC and has continued here to help drive, along with Brad, the oversight efforts, he has made an effort there to address it in the National Defense Authorization Act. Next, I want to thank Representatives Ros-Lehtinen and Deutch for their leadership on H.R. 5141. This is the United States-Israel Security Assistance Authorization Act. Our partner Israel continues to face threats in every direction, from state and from nonstate actors bent on destroying the Jewish state. Iran, in particular, has taken its aggression to Israel to new heights, if you are looking at the missiles that have been placed in Syria there on the border. This bipartisan bill deepens and updates our security partnership with Israel to ensure that Israel can defend itself, by itself, in the face of these evolving threats. And next, we have H.R. 5535. This is the Energy Diplomacy Act. As America's energy production has increased and our technologies have improved, our Nation's influence in global energy policy has grown. So I applaud Chairman McCaul and Ranking Member Engel for crafting bipartisan legislation to ensure that the State Department has the leadership and direction to support America's energy diplomacy. Finally, we have H.R. 5433. This is the unusually named Hack Your State Department Act. The 2014 breach of the Department's unclassified computer network exposed grave weaknesses in its public-facing information technology systems. This bill, sponsored by Representative Lieu and Chairman Yoho, will help address cybersecurity gaps at the Department by establishing a bug bounty pilot program. This is based on the Department of Defense's successful Hack the Pentagon Program. And what this does is it encourages white hats, white hats security researchers, to discover and report vulnerabilities, hence the name of this. And I now recognize the ranking member, Mr. Engel of New York, for his remarks. Mr. Engel. Thank you very much, Mr. Chairman. Thank you for calling this markup. We have six good measures before us today. I am happy to support them all. And as always, I want to thank all members on both sides of the aisle for their hard work. The first measure on our agenda today is the BUILD Act, a proposal from Representatives Yoho and Adam Smith to transform the Overseas Private Investment Corporation, or OPIC, into a development finance institution. It has been more than a decade since our committee made revisions to the OPIC charter and now we need new approaches to the way our Government uses credit programs to spur economic development and tackle poverty around the world. Promoting global prosperity is a major goal for our foreign policy, and economic assistance and development credit is an essential tool for achieving that. I want to highlight for my colleagues that this legislation carries forward existing law and policies regarding the protections of workers' right and the environment, and I support moving the bill forward. Next, I would like to thank Chairman Royce for bringing forward his bill, the International Security Assistance Act. This measure strengthens the State Department's role in coordinating American security assistance to other countries. This is a job for our diplomats. In recent years, we have seen more and more of the State Department's responsibilities trickle to other agencies. And this is a trend we need to stop. So I strongly support this bill. It is important that we strengthen our international security partnerships with our allies. So I would like to thank Representatives Ros-Lehtinen and Deutch, the chairman and ranking member on the Middle East and North Africa Subcommittee, for their leadership on the U.S.-Israel Security Assistance Authorization Act. This legislation codifies the 2016 Memorandum of Understanding on assistance signed by the United States and Israel and shepherded by the Obama administration. This MOU and the assistance that comes from it represent the unbreakable bond between the United States and Israel and the shared interests and values that have been the hallmark of our relationship. We cannot put a dollar amount on this relationship, but what President Obama accomplished in this MOU showed the strength of these ties. The legislation also includes provisions authored by Representatives Boyle, Schneider, Kilmer, Crist, and Langevin to enhance all the dimensions of the U.S.-Israel relationship, from cybersecurity to drone detection to space exploration. Cybersecurity must also be a top priority when it comes to our own Government. And that is why I am proud to support the Hack Your State Department Act offered by Representatives Yoho and Lieu. This bill will strengthen the State Department's cybersecurity in two ways. Firstly, it will require the Secretary to take a hard look at the Department's cyber vulnerabilities. Secondly, it will establish a pilot program in which the State Department will reward people who identify unknown security risks in the Department's computer systems. These ideas are modeled on programs being used successfully in the Department of Defense, and the private sector as well. This bill will help strengthen our cyber defenses, and I urge all of our members to support it. Advancing America's energy security is also a vital aspect of U.S. foreign policy. Congressman McCaul's Energy Diplomacy Act of 2018 addresses this critical issue. Congress must ensure that the State Department is able to protect and promote our energy policies abroad. This bill helps in that effort by creating an Assistant Secretary of State for Energy Resources and requiring the Secretary of State to make sure that the State Department has personnel dedicated to energy diplomacy and security. I support this measure and I hope all members will do the same. Another important measure for our security is the Global Engagement Center Authorities Act offered by Congressmen Schneider and Lieu. The Global Engagement Center is charged with leading the interagency effort to counter Russia and other states that use information warfare to undermine democracies. Representatives Kinzinger and Lieu played an important role in establishing this mission, and the Center's work is more important now than ever. Congress made $120 million over the past 2 years available to the GEC, specifically to counter foreign propaganda and disinformation. Despite that urgent need, the administration has not used any of this funding. I don't know why. And their self-imposed hiring freezes have prevented them from doing this critical job effectively. This legislation will update the Center's authorities and enhance this committee's ability to conduct oversight so that we can put the Center in a better position to succeed. I support this bill along with the other measures we are considering today. I again thank all our members on both sides of the aisle. And I yield back. Thank you, Mr. Chairman. Chair Royce. Thank you, Mr. Engel. You know, the ONE Campaign, representatives of the ONE Campaign that have provided a lot of technical policy feedback to us and also a lot of advocacy, we want to thank them and other advocacy groups that are supporting the BUILD Act. And I will just ask those advocacy groups, the ONE Campaign, if they could stand to be acknowledged for a minute. We appreciate your engagement and involvement here today. [Applause.] Chairman Royce. Thank you. We go now to Ileana Ros-Lehtinen of Florida. Ms. Ros-Lehtinen. Thank you so much, Chairman Royce and Ranking Member Engel, for bringing forth these bipartisan measures before us this morning. I would like to speak in support of H.R. 5141, the United States-Israel Security Assistance Authorization Act of 2018, a bill I authored alongside my dear friend and fellow south Florida colleague, Ted Deutch. We all know the threats that the democratic Jewish State of Israel faces, and we all know how valued our friendship is with our partners in Jerusalem. A strong and secure Israel is in the best interest of the United States, and a strong and secure America is in the best interest of Israel. This is precisely why Ted and I authored this bill, first and foremost, to ensure that Israel has what it needs in order to defend herself and her citizens from the myriad of threats that she faces. We will authorize security assistance for Israel at levels at no less than $3.3 billion a year, in accordance with the Memorandum of Understanding of 2016, for the next 5 years. We will also ensure that the War Reserves Stockpile authority for Israel, which may now include precision-guided munitions, will also be authorized for the next 5 years. We also make sure that loan guarantees for Israel are extended for the next 5 years. What we are doing is guaranteeing Israel peace of mind for the next 5 years and signaling that the bipartisan support for Israel in the United States Congress is strong and getting stronger. With Iran creeping ever closer to Israel's borders and threatening to attack Israel from the north, our friends need the support now more than ever. We also authored this bill to ensure that we take our level of bilateral cooperation to even greater heights. I want to commend and thank Congressmen Langevin, Kilmer, Boyle, and Schneider for the work that they have previously done that helped to contribute to the bill before us today. There is so much that we can do to strengthen the U.S.- Israel relationship. This bill is an important step in that direction. I urge my colleagues to support this bill, and I hope that we can bring it to the floor in the near future. I would also like to say a few words about enterprise funds, Mr. Chairman. I have worked closely with these funds and have authorized the creation of a Jordan Enterprise Fund of the Jordan defense bill, which I authored alongside Ted Deutch. USAID has had the purview over enterprise funds, and I believe that USAID should remain the lead agency responsible for enterprise funds. We know what we are getting with the current set up. USAID has learned valuable lessons to make these more effective and more valuable U.S. foreign policy tools. We should continue to support the current structure and functionality of the enterprise funds and use our strengths at USAID to grow them. Thank you, Mr. Chairman, for that opportunity. And I yield back. Chairman Royce. Just if I could respond briefly, because existing funds will stay at USAID, just to reassure the gentlelady. And under the BUILD Act, they will, USAID, of course, is still going to have a role, just to assure you of that. And now we go to Mr. Gerry Connolly of Virginia. Mr. Connolly. Thank you, Mr. Chairman. Just briefly, I support all of the six bills in front of us and congratulate our colleagues for their hard work. I would like to highlight two amendments, and I thank the chair and the ranking member for including them in the en bloc acceptance package. The first amendment codifies the USAID Administrator's involvement in the selection of the Chief Development Officer for the U.S. International Development Finance Corporation. The Chief Development Officer will coordinate the Corporation's development of policies and implementation efforts with other development agencies, and as such, it is a critical leader of America's premier development agency, so that person has a say in that selection process. This amendment is consistent with the goal of the Global Partnerships Act, a comprehensive reorganization of the Foreign Assistance Act, to strengthen the role of the USAID Administrator and to empower USAID as the lead development agency of the United States Government. We had a hearing on this, and this amendment kind of grew out of that conversation. So, again, I thank the chair. And finally, the second amendment clarifies that the BUILD Act is covered foreign assistance pursuant to the Foreign Aid Transparency and Accountability Act, FATAA, which I introduced with my friend Ted Poe. This committee requires the President to establish guidelines on measurable goals, performance metrics, and monitoring and evaluation plans for foreign aid programs. That act is bringing needed transparency to an often misunderstood part of the Federal budget. Its implementation should be part and parcel of any discussion on reforming U.S. foreign assistance. This amendment ensures that the new U.S. development finance institution will be subject to the same rigorous transparency and accountability standards as any other foreign assistance program. With that, Mr. Chairman, I yield back. Chairman Royce. Thank you, Mr. Connolly. We go now to Mr. Chris Smith of New Jersey. Mr. Smith. Thank you very much, Mr. Chairman. Like my other colleagues, I am very glad to be supporting all six bills. But I want to focus especially on H.R. 5141. I thank Chairwoman Emeritus Ros-Lehtinen for her extraordinary leadership in introducing this bipartisan bill along with Mr. Deutch. It is a very, very good bill and, hopefully, it becomes law sooner rather than later. The bill responds to a crisis of converging threats that imperil the security of our closest ally, Israel. Iranian forces and their terrorist proxies now surround Israel from nearly every direction. With Iranian support, Hezbollah continues to amass a dangerous arsenal of thousands of advanced rockets--some put it at 150,000--that threaten main population centers in Israel. Hamas, along with Iranian backing, threatens Israel from the south and west with terror tunnels, rocket barrages, and now with a cynical campaign that manipulates civilian protests and uses so-called human shields to threaten Israel's sovereign border. To the east in Syria, Iran continues to carve out strategic outposts where it can station advanced weapon systems and fighters to challenge Israel's defenses. Faced with this constellation of fanatical enemies, Israel cannot spare a moment's vigilance, and neither can we, for the sake of our close friend and ally. By authorizing enhanced military cooperation between our countries and further enshrining Israel's qualitative military edge, H.R. 5141 guarantees that Israel will remain far and away our most capable ally. The bill authorizes foreign military financing at an annual level of not less than $3.3 billion agreed to in the bilateral MOU negotiated under the Obama administration. But crucially, the bill specifies that the assistance should not be less than $3.3 billion, a clear statement that this MOU constitutes a floor rather than a ceiling. The bill's other provisions facilitate the transfer of advanced precision-guided missiles for Israel's use and lays the groundwork for bilateral cooperation that will assist Israel in confronting an evolving landscape of threats, including from unmanned aerial vehicles, cyber attacks, and nonstate actors. The many facets of cooperation supported by this bill, from international development to space exploration to cybersecurity, make this a very, very important bill, not just for Israel but also for our security as well. I thank the chairlady for her leadership. Chairman Royce. Thank you, Mr. Smith. We go to Ted Deutch of Florida. Mr. Deutch. Thank you, Mr. Chairman. Thanks to you and Mr. Engel for bringing forward a good slate of bills today. And while I support all of the measures before us, I would like to focus my remarks on H.R. 5141, the U.S.-Israel Security Assistance Authorization Act. I am proud to have introduced this legislation with my dear friend and south Florida colleague, Chairman Emeritus Ros- Lehtinen. I also want to thank Mr. Boyle and Mr. Schneider for contributing key portions of this bill. And I would like to take a moment, if I may, to recognize and commend the incredible legislative contributions that Chairman Ros-Lehtinen has made to the U.S.-Israel relationship over her nearly 30 years in Congress. This bill is yet another example of her commitment to Israel's safety and security and to strengthen the U.S.-Israel relationship, and it has been my honor to support her in that effort. The United States and Israel share an unbreakable bond rooted in our mutual security interests and our shared values of democracy and freedom. This is a relationship that has stood strong through both Republican and Democratic Presidencies, through Republican- and Democratic-controlled Congresses, and it has done so because support for Israel has always been, and must always be, bipartisan. Today, it is my hope that Congress will once again reaffirm that bipartisan commitment to Israel's security by sending this good bill to the floor. The U.S.-Israel Security Assistance Authorization Act codifies the 2016 Memorandum of Understanding between our two countries that provides Israel with an unprecedented amount of security assistance, $38 billion over 10 years. These funds ensure that Israel will have the means to procure the capabilities it needs to defend itself. In addition, nearly all of that money comes back to the United States and supports American jobs. This bill also enhances Israel's current capabilities by endorsing the provision of precision-guided weapons to the War Reserves Stockpile, which Israel can draw upon in times of conflicts. It strengthens Israel's qualitative military edge to meet new threats. And it authorizes cooperation between our countries on UAVs. The bill also broadens our relationship outside of the security and defense sectors. It expands cooperation on cyber, space, and includes authorization for a global MOU between Israel and USAID to engage in joint humanitarian assistance projects throughout the world. Just this week, we have seen the terrorist group Hezbollah make gains through Lebanon's parliamentary elections. We have watched as Iran establishes a permanent military presence in Syria and continues its support for terrorists. There were reports just yesterday of impending escalation between Iran and Israel. We have seen weeks of violence at the Gaza border as Hamas attempts to breach the Israeli border, just as they have attempted to do through their terror tunnels. We here in Congress must do everything we can to prevent Iran from acquiring nuclear weapons capability, and we must also ensure Israel's ability to defend itself against all threats. These threats are real. They are not just a threat to Israel, they are ultimately a threat to our own security interests in the region. I remain committed to Israel's long-term security and safety. I remain committed to peace. And I remain committed to a strong and thriving U.S.-Israel relationship. I would like to thank the many members of this committee who are cosponsors of this bill. And, again, I would like to thank Chairman Royce, Ranking Member Engel, and especially Chairman Emeritus Ros-Lehtinen. I urge the passage of this good bill. Thank you, Mr. Chairman. Chairman Royce. We go now to Mr. Steve Chabot of Ohio. Mr. Chabot. Thank you, Mr. Chairman. We have a number of excellent bills before us today, but I am going to keep my remarks brief because I also have a markup in the Judiciary Committee going on right now, and at 11 o'clock I have to chair the Small Business Committee. Chairman Royce. We want to encourage you and everyone else to do the same. Mr. Chabot. I will be very brief. But I just do want to express my support for H.R. 5141, the U.S.-Israel Security Assistance Authorization Act of 2018. As a longtime supporter of Israel and as a cosponsor of this legislation, I want to thank Ms. Ros-Lehtinen and Mr. Deutch for their leadership both on this bill and on the many issues affecting Israel and the Middle East as a whole. Israel is one of our most important allies, without a doubt, and shares our values in a part of the world that so often sees authoritarian governments trample on the most basic of human rights. We must remain committed to our partnership with Israel, especially as they face the ongoing Iran challenge. So with that, I would urge my colleagues to support the legislation, as well as the other bills before us this morning. And I think I was brief. And I will yield back my time. Thank you. Chairman Royce. Mr. Ami Bera of California. Mr. Bera. Thank you, Mr. Chairman. And once again I will echo the sentiment that I appreciate the work of the chairman and the ranking member in bringing this bipartisan package of bills to the floor. I want to just take a brief moment to talk about the amendment offered by the ranking member, Mr. Engel, dealing with major defense partners in the International Security Assistance Act. This amendment is a continuation of Congress' work to strengthen our relationship with India, particularly in the defense sphere. In 2015, we help make India a major defense partner. What we hoped that would do is enable India's access to a wide range of dual-use technologies at levels equivalent to our major allies, like NATO, Japan, South Korea, and Australia. And last year in the NDAA we required a unified interagency definition of the major defense partner to standardize it across the bureaucracy. That was our intent. But I know we still have concerns about the implementation of the major defense partner designation. That is why Ranking Member Engel's amendment is so critical. For arm sales, their review and approvals, it puts major defense partners like India on the same level as our NATO, South Korea, Japan, Australia, New Zealand, and Israeli allies. It adds real teeth to the designation at a time when our relationship with India is more important than ever. So I thank the ranking member for offering the amendment and the committee for supporting its inclusion in the en bloc package. And if I may, I would like to yield some time to my colleague from Rhode Island, Mr. Cicilline. Mr. Cicilline. I thank the gentleman for yielding. I, too, have a markup in Judiciary and wanted to just say thank you to the chairman and the ranking member for bringing the bills before the committee. I am proud to support all of the bills on our agenda. I wanted to specifically thank the ranking member and the chairman for including my amendment in the en bloc to H.R. 5141. This is an issue I have worked on for a number of years. And my amendment will build on the initiatives included in the bill on cybersecurity by requiring a report from the Secretary of State examining the potential benefits of creating a U.S.- Israel Cyber Center of Excellence. As we cooperate more with our ally Israel on cyber issues, I think we should be exploring the possibility of establishing a more permanent collaboration and a joint venture between the United States and Israel, between our educational institutions, so that we can share best practices on cybersecurity. A Cybersecurity Center of Excellence would bring together leaders in academia, the private sector, the nonprofit community, and government agencies to research and develop new strategies for preventing cyber attacks. This amendment asks the Secretary of State to explore the potential benefits and any pitfalls or disadvantages that this might produce from establishing such a center and report that back to Congress. I am, of course, hopeful it will set the context to move forward on this idea. And I really want to thank the chairman and ranking member for agreeing to include this on the en bloc amendments and urge support of the balance of all of the legislation, and thank the gentleman for yielding. And with that, I yield back. Chairman Royce. Thank you, Mr. Cicilline. We now go to Mr. Ted Yoho of Florida. Mr. Yoho. Thank you, Chairman Royce and Ranking Member Engel, for holding today's markup with all the amendments and the bills, especially H.R. 5105, the BUILD Act. I would like to thank you, Chairman Royce, and your team, in particular Andy Taylor, for your assistance over the past year in crafting this important legislation, along with our partners in the Senate, Senator Corker and Senator Coons. I would also like to thank James Walsh on my team, who did the yeoman's work to bring this bill to this stage. Today America is confronting unprecedented instability and growing humanitarian crises around the world, all of which have a direct impact on our national security and economic interests at home. The effective deliverance of foreign assistance is crucial, especially in the current fiscal climate in which it is imperative for the U.S. Government to use each and every dollar more efficiently and, of course, more effectively. The BUILD Act will help ensure the United States delivers foreign assistance in an efficient way and effective manner by catalyzing the private sector to invest in developing countries. This is a break from the old model of spending $1 in a country in the form of foreign aid, often not getting a long- term return, versus investing in a country's infrastructure and/or economy, a way of moving from aid to trade. U.S. businesses have capital to invest and lead the world in the understanding of capital markets and sophisticated financial transactions. Despite our corporate advantages, other countries, especially China, are using development finance institutions more effectively to expand their influences in the developing world. Our tools for development finances are dispersed across too many Federal agencies, and the primary U.S. development agency, OPIC, has not been significantly updated since its creation in 1971. If one were to compare an automobile from 1971 to today's high-tech vehicles, I think we will all agree there have been some significant changes. The BUILD Act is such a vehicle that will modernize our foreign finance development and bring it into the 21st century. This legislation will become an instrument that will project into the future and to help guide the foreign policies of the United States, and that this and subsequent administrations can use to create stronger relationships with needed countries and the future partners in economies and trade. A modernized Development Finance Corporation is imperative to capitalizing upon those changes and will help transition countries again from aid to trade. And if you look at our top 15 trading partners, 12 of those were recipients of foreign aid. This bill's goal is to help facilitate that transition. We want to help countries become robust trading partners in the United States. By doing so, we will be helping create stable, sufficient societies around the world and open up new markets for U.S. goods and services. There is truth in the saying, a rising tide lifts all boats. The BUILD Act will help make this a reality. And I thank you for your consideration and support. I yield back. Chairman Royce. Thank you, Mr. Yoho. Again, this is going to allow us to double the book of business in terms of development finance, but it is also going to mobilize a lot of private capital; and something else we can't do right now, which is to work with our partners, the British and others on the ground. So we thank the committee members for their support. Lois Frankel of Florida. Ms. Frankel. Thank you, Mr. Chair. And I want to thank Mr. Royce and Mr. Engel for your bipartisan leadership and all my colleagues for their good work on these bills, which I support. I would like to highlight, too, just the following. Mr. Yoho, I thank you for your sponsorship of H.R. 5105, the BUILD Act of 2018. And I thank the chair and ranking member for putting my amendment, which I am going to talk about, in the en bloc amendment. So I am calling attention to a provision that urges the new Development Finance Corporation, which this bill establishes, to work to improve women's economic opportunities and outcomes and takes steps to mitigate gender gaps, which are very, very significant. It also requires the corporation to measure development outcomes broken down on gender basis, tracking whether women are reaping the benefits of this support. Some of you may remember that a few weeks ago we unanimously passed out of this committee the Women's Entrepreneurship and Economic Empowerment Act, recognizing that when women are educated and given the tools for economic success, their communities are safer, stronger, and more peaceful. If women, who account for half the world's working-age population, do not achieve their full economic potential the global economy will suffer. And as the chairman said, I think it was last week, Mr. Royce, that advancing women's economic equality toward parity with men could add trillions, and I mean trillions and trillions of dollars to the global GDP in just 7 years. So this bill before us will allow the new corporation to empower women. I will give you an example, like Manjula from India, who worked 15 years in a garment factory, long hours and barely any pay. She dreamed of starting her own business so she could buy a house, educate her daughter. The problem was she had no access to capital until she received a small loan from a micro finance institution supported by OPIC. And with that, not only did Manjula start her own factory, she created dozens of jobs, paying workers fairly so they can provide for their families and making their community more secure and peaceful. And stories like this show that investing in women is not only humane, it is good economic sense, trillions of dollars of economic sense. As I said this before, I will say it again, when women succeed, the world succeeds. I also want to highlight and support H.R. 5141, the U.S.- Israel Security Assistance Authorization Act. Again, I am going to compliment, as my colleagues did, Representatives Ros- Lehtinen and Deutch. This bill recognizes Israel's right to defend itself and writes into law the continued cooperation between our two countries. With yesterday's decision from President Trump to withdraw the U.S. from the Iran nuclear agreement, ensuring our great friend and ally is safe and has all the resources it needs to protect itself is more important than ever. And when you look at the neighborhood, there is reason to be worried: Hamas in the Gaza rebuilding its rocket arsenal and calling for Israel's destruction, Iran constructing its military bases in Syria, ISIS wreaks havoc in the Sinai, while Hezbollah in Lebanon points 150,000 missiles at Israel. So we must do all we can to strengthen Israel's defenses. And this important bill codifies the Memorandum of Understanding signed by the Obama administration with Israel, the largest U.S. military assistance package ever, and it also expands U.S.-Israel cooperation in areas of mutual interest, like establishing a U.S.-Israel cybersecurity research and development grant program and authorizing USAID to enter into an agreement with Israel to help lift low-income countries. In an increasingly polarized Washington, Israel can never be a partisan issue. Defending Israel is in our national security interest. So I urge support of all these measures, and I, again, thank everyone for their bipartisan support. I yield back, Mr. Chair. Chairman Royce. Thank you. Thank you, Congresswoman Frankel. We have Adam Kinzinger from Illinois. Mr. Kinzinger. Well, thank you, Mr. Chairman. And thanks for bringing up this great slate of bills before us today. And I want to thank both sides of the aisle. I want to thank my colleague from Illinois, Mr. Schneider, for building on the work Congressman Lieu and I began last Congress. Following the 2016 election, it was determined by the heads of American intelligence agencies that Russia had developed and executed a strategy to influence the American elections through online propaganda operations. While it can't be disputed that the operation occurred, there is no evidence that this information operation affected the outcome of the election. This kind of action is a direct assault on American democracy, and the United States needed the proper tools to defend its interests against this type of foreign manipulation. In response, Congressman Lieu and I introduced the Countering Foreign Propaganda and Disinformation Act of 2016, which was later included in the fiscal year 2017 National Defense Authorization Act. This legislation created the Global Engagement Center with the purpose of streamlining our counterpropaganda efforts. Unfortunately, the State Department, under its previous leadership, squandered over two-thirds of the congressionally allocated funds that were to be transferred to the GEC from the Department of Defense, resulting in delayed efforts to counter propaganda. We now have an opportunity to correct course. I am a cosponsor of H.R. 5681, the Global Engagement Center Authorities Act, along with my colleagues, Mr. Schneider and Mr. Lieu. This bill will strengthen the organization by mandating the GEC take a more direct approach to countering both state and nonstate actor propaganda around the world. This legislation isn't about politics, and there have been some sad attempts to make this about politics. This is purely about ensuring that the United States has the proper tools to combat all forms of online propaganda, whether being spread by Russians or being spread by ISIS. We know that state actors are already working to influence the upcoming midterm elections, and we need to ensure that our Government is fighting against these kinds of assaults on our democracy, not to mention the democracies of our friends. I urge my colleagues to join me in supporting this legislation. And also, I would like to quickly discuss an amendment that I have offered to Congressman McCaul's Energy Diplomacy Act. This simple amendment, only nine words long, would ensure that the personnel working on energy diplomacy issues within the Department of State do so in coordination with the Department of Energy. This addition will help integrate our domestic and foreign policies relating to energy resources, energy technologies, and nuclear nonproliferation. I urge my colleagues to join me in supporting this amendment. Mr. Chairman, I yield back. Chairman Royce. Thank you. Joaquin Castro of Texas. Mr. Castro. Thank you, Chairman Royce and Ranking Member Engel. I want to also congratulate all the members whose bipartisan bills are being considered here today. The bills considered here today address important issues in the world and I am pleased to support all of them. Thank you to Ileana Ros-Lehtinen and Representative Deutch for introducing the bill today authorizing security assistance to Israel. For decades, Israel and the United States have had a strong partnership that is based on shared values. Given the precarious position Israel occupies in the Middle East and the proliferation of challenges in the region with Iran's malign activity and the crisis in Syria, it is important that the United States supports Israel by guaranteeing a robust security assistance package. I would also like to commend my friend Representative Mike McCaul and Ranking Member Engel in introducing the Energy Diplomacy Act to ensure the United States continues global leadership as an innovator in energy technology and practices. I also voice my support for the Hack Your State Department Act, introduced by Representatives Lieu and Yoho. This important legislation will bring much-needed improvements to the State Department's cybersecurity apparatus. This measure also comes at a time when cybersecurity is increasingly necessary to protect the interests of the United States and the well-being of our citizens, including our diplomats. In recent years we have seen a new form of information warfare waged through the internet by terrorists group like al- Qaeda, ISIS, and state actors, such as Russia. The Global Engagement Center in the State Department is an important office to counter these activities and set the record straight. I was pleased to lead a letter with my colleague Ted Lieu of California in March urging then-Secretary of State Rex Tillerson to explain why the State Department had not used any resources allocated to this Center in 2017 to counter foreign propaganda designed to influence elections and undermine democracies, just as Russia did in the U.S. Presidential election. This legislation introduced by Representatives Schneider and Lieu strengthens and defines the activities of the Global Engagement Center, and I am pleased to support this legislation that will help the United States counter propaganda. Also, regarding the International Security Assistance Act of 2018, international security assistance is an important tool for U.S. diplomacy and congressional oversight over this facet of our foreign policy, and it is very critical. I would also like to thank Ranking Member Engel for his amendment improving the ability of the United States to have a closer defense partnership with India. The U.S.-India defense and security relationship is an anchor of our engagement in the Indo-Pacific, and this should be welcomed. And I look forward to greater cooperation with India that this measure will enable. And finally, the BUILD Act of 2018. The Asian Development Bank noted that there is a $26 trillion infrastructure gap in Asia that restricts the ability of the region to reach its full economic potential. Other regions, including the Americas and Africa, are in desperate need for investment as well. Some countries have taken advantage of this demand by pursuing government-financed infrastructure investment, often with low standards, that leave countries in debt and beholden to their lenders. We rightly criticize these practices, but we must also provide alternatives for countries that can become important economic partners to the United States with the right investments. One of the strengths of our country has always been our engaged and dynamic private sector, whose investments abroad need to be leveraged as an instrument of our foreign policy. The BUILD Act does precisely this by empowering government to better support these international investments by U.S. firms that keep in mind the responsibilities we have to respect the dignity of labor and the environment. And I support all of these measures, and I know that my colleagues will as well. Thank you. Chairman Royce. We go know to Chairman Mike McCaul of Texas. Mr. McCaul. Thank you, Mr. Chairman. The bills before us are critical to strengthening U.S. engagement and protecting our national security interests across the globe. I would like to commend the bipartisan efforts of my colleagues, and I look forward to advancing these measures on the floor. I also would like to thank Chairman Royce for including my legislation, the Energy Diplomacy Act, as part of this markup. Across the globe, our friends and allies are looking for a stable and reliable supply of American energy. However, regions such as Eastern Europe and our allies are still living under the heavy hand of Russia, a destabilizing regime that constantly exploits the vulnerabilities posed by Europe's reliance on their natural gas. Since coming to Congress, I have advocated for a foreign policy that helps alleviate our allies' reliance on unpredictable regimes to meet their energy needs. In 2015, I helped champion the repeal of the outdated crude oil export ban. Now U.S. producers are finding new customers in both Asia and Europe. But we must go a step further, and that is why I offered the Energy Diplomacy Act. This legislation elevates the Bureau of Energy Resources at the State Department by replacing the international energy affairs coordinator with an Assistant Secretary to carry out the Department's functions internationally on behalf of the United States. It also ensures the State Department is staffed with sufficient personnel to support this mission. This will empower the State Department to promote and advance a bold energy diplomacy abroad. So, again, I would like to thank Chairman Royce and Ranking Member Engel for holding this important markup and supporting my legislation. And with that, I yield back. Chairman Royce. Thank you. We go now to Mr. Espaillat of New York. Mr. Espaillat. Thank you, Mr. Chairman and Ranking Member Engel. Thank you both for continuing this extraordinary bipartisan work of this committee. I am proud to support all six bills today, including to cosponsor H.R. 5141, the United States-Israel Security Assistance Authorization Act. This important bill will further enhance our cooperation with Israel and help to ensure that Israel would always be able to defend itself, particularly in light of the recent clashes in Syria and at Israel's northern border. We must work to prevent a military escalation in this region. It remains imperative that the U.S. does its part to help our ally Israel protect itself from all threats, and this package will just help do that. In addition to that, I support H.R. 5105, the BUILD Act, which will establish the International Development Finance Corporation. This bill moves to improve the allocation of U.S. private assets in international development. And I am encouraged that this legislation, with broad support, will promote growth and economic partnerships between the United States companies and foreign countries. The projects built from this will help to combat poverty, hunger, and health crises, while furthering labor and human rights, protecting the environment, and promoting American entrepreneurship. H.R. 5433, the Hack Your State Department Act, is a crucial piece of legislation to improve cybersecurity at the State Department. We have learned the hard way the lessons of not being prepared to prevent cyber attacks, and we must all work together to prevent, in our democracy, future cyber threats. Provisions in this legislation will work to improve processes at the State Department for identifying and fixing vulnerabilities and utilize best practices to advance data security within the Department. H.R. 5535, the Energy Diplomacy Act, is an important step to furthering U.S. energy diplomatic priorities by codifying provisions within the State Department dedicated to energy matters. In the 21st century it is beyond clear the importance of energy development and security. Ensuring that the State Department has leadership and the capacity to appropriately handle these issues is necessary for the many challenges our country may face in the coming years. Finally, Mr. Chairman, H.R. 5681, the Global Engagement Center Authorities Act, will strengthen the Center's ability to counter foreign propaganda and disinformation by giving it the authority to direct and coordinate Federal efforts to counter propaganda. At a time where it often seems that the truth is under attack, it is important that our efforts to promote accurate information are coordinated and disseminated in the best methods. The authorities of the Global Engagement Center will help to improve upon best practices and work to stop the spread of false information. Thank you, Mr. Chairman, and I yield back the remaining part of my time. Chairman Royce. Thank you, Mr. Espaillat. I appreciate it. We go to John Curtis of Utah. Mr. Curtis. Chairman Royce and Ranking Member, thank you for holding this important markup today. As the Foreign Affairs Committee moves six bills forward with bipartisan support today, I want to speak specifically about H.R. 5141, the United States-Israel Security Assistance Authorization Act, of which I am a cosponsor. I want to thank Representative Ros-Lehtinen and Representative Deutch for their leadership in introducing this bill. I am a strong supporter of the U.S.-Israeli alliance. Having just returned from the Middle East, I am more concerned about Iran's aggression in the region and more committed than ever to strengthen U.S.-Israeli security cooperation. H.R. 5141 reauthorizes and improves defense and security assistance for Israel through the year 2023. Among many other important provisions, this bill also strengthens U.S.-Israel cybersecurity cooperation and extends the War Reserves Stockpile authority for the benefit of both the United States and Israel. I encourage my colleagues on this committee to support this critical legislation. Thank you, Mr. Chairman. I yield my time. Chairman Royce. Thank you, Mr. Curtis. We go now to Mr. Brad Sherman of California. Mr. Sherman. Mr. Chairman, excellent slate of bills. I commend everyone who is involved. I support them all. I have cosponsored most. I want to focus first on the BUILD Act. You and I have been working to reauthorize OPIC back from over a decade ago. We had a bill that passed this committee and passed the House and then was held up in the Senate to reauthorize OPIC, the most unfortunately named, and now to be renamed, organization in the Federal Government. The failure of the Senate to take up that bill is further proof of the desirability of a unicameral legislature. The BUILD Act that is before us starts by saying that the new DFC, Development Finance Corporation, will carry on the policies adopted by OPIC. That is particularly important because OPIC included in its policies many of the provisions of the bill that you and I, Mr. Chairman, had back a decade ago. They have given me further assurance as to two of their policies. The first one commits them to continuing their policy of not participating in a project in the Caucasus that deliberately excludes Armenia. That is to say, a transportation project that skirts around Armenia tying Georgia and Azerbaijan together, rather than going through Armenia. And the second relates to their environmental policy. In addition, I would like to thank you for including in the en bloc four of my amendments on this bill. The first and most important requires the agency to take into consideration--first, it requires them to get a certification that its beneficiaries do not conduct any activity subject to U.S. sanctions. And this is, I think, a change and improvement in precedent, requires that certification to apply on behalf of--the beneficiary to certify on behalf of itself and all of its affiliates up and down the chain. That is an important provision, especially as we continue to use sanctions to achieve our foreign policy objectives. Second is that the agency will take into consideration whether the country engages in a boycott against a friendly U.S. country. Of course the Export Administration Act already prohibits U.S. companies from doing this, especially prohibits them from complying with the Arab League boycott of Israel. It is common sense that the new DFC selects projects with that in mind. Third, it is important that the report that the DFC sends us includes a report on how well its projects focus on human rights, labor, environment, and social policies. And finally, when it comes to the makeup of the board, we should take into consideration not only banking acumen and experience, but experience in environmental development and labor experience. It is so important that we include people on this board focused on American jobs. As to the Global Engagement Center Authorities Act, I want to condemn--commend--Representatives Schneider and Lieu for drafting this. And I want to commend the recorder for recording my words accurately and noting that I used the word ``commend.'' In particular, I want to thank the chairman for including in the en bloc my amendment to say that we will support communicating in provincial languages, not just the leading or official language of any particular country. It is particularly important with regard to Pakistan that we reach out in Sindhi and other regional languages of Pakistan. Finally, Mr. Chairman, we are taking up the Energy Diplomacy Act. It is critical that we have a diplomacy focused on energy, but the most important part of that is nuclear energy and the risk of nuclear proliferation. And I would hope that we would have hearings on the possible nuclear cooperation agreement with Saudi Arabia. Chairman Royce. Well, thank you. I will share with the gentleman that in our prior roles, by the way, for the members here, as chairman and ranking member of the Nonproliferation Subcommittee, Mr. Sherman and I have worked on this issue, and we held a number of, I thought, critical hearings on this issue. I share your concern, as you know, Mr. Sherman, that we need to prevent more countries that currently lack the capacity from undertaking enrichment and undertaking reprocessing. So, as you know, the Subcommittee on the Middle East and North Africa held a hearing several months ago on this issue on the proposed 123 agreement. And under the Atomic Energy Act, this committee is required by law to hold a hearing on any 123 agreement that the U.S. negotiates with another country and transmits to Congress. So I can assure my colleagues---- Mr. Sherman. Mr. Chairman, I would hope that we would have a hearing before the agreement is sent to Congress, because that is when the hearing can enlighten the administration as to what ought to be in that agreement. Once the agreement is submitted to Congress, in the past it has been, well, not a fait accompli, but Congress is in less a position to get the right kind of agreement after it has already been signed by the executive. Chairman Royce. We are glad to take that under consideration. We will talk with you and Mr. Engel, certainly, Mr. Sherman. Mr. Sherman. Thank you. Chairman Royce. Thank you. Mr. Sherman. I yield back. Chairman Royce. All right. We go now to Mr. Ted Poe, I think is next, from Texas. Mr. Poe. Thank you, Mr. Chairman. I am pleased to be an original cosponsor of Mr. Yoho's bill, the BUILD Act and commend him for his lead in it. The bill provides much needed reform on how we invest in development dollars abroad. When we provide loans and financial assistance to foreign partners, our goal should always be to move them from aid recipients to prosperous self-sufficient economies. Having oversight of the Overseas Private Investment Corporation, or OPIC, I have seen the need to consolidate our development financial institutions to better compete with global rivals. In its place, a more efficient agency will be created that can allow improved oversight of U.S. financial support and capital. With the BUILD Act and the creation of the U.S. International Development Finance Corporation, we have a powerful new foreign policy tool. By spurring market-based economic growth and private sector development, the U.S. can build strong independent partners around the world. This reduces the burden on the U.S. in the long run, and it directly strengthens our national security. When States are economically prosperous and not vulnerable to predatory foreign powers hoping to manipulate weaker States for their strategic gain, it makes America safer and regions more stable. As chairman of the Terrorism, Nonproliferation, and Trade Subcommittee, I like the idea of getting our friends abroad from aid recipients to trade partners. The free flow of trade is a great way to forge stronger relations between nations, preserve peace, open new markets for American products. I am also proud to, once again, work with Representative Connolly to ensure that transparency and accountability of our Government's programs. I have joined him in introducing an amendment to this important bill that will ensure that the new development finance institution established by this legislation will be subject to the same transparency and accountability standards and guidelines that became law as a result of the Foreign Aid Transparency and Accountability Act where we were both the original cosponsors. So I thank Mr. Connolly for introducing this important amendment. I am also pleased to support H.R. 5141, the U.S.-Israel Security Assistance Act introduced by Chairman Ros-Lehtinen. Israel is our most trusted and reliable ally in the Middle East. And since its establishment, it has been under constant siege by neighboring adversaries that hate Israel because it is a democratic and a Jewish state. Outnumbered and facing attack on nearly all sides, Israel's security situation is unique in the world, and their intelligence is excellent. I personally am grateful for the intel Mr. Netanyahu has supplied the United States on Iran and its quest for nukes. We also must maintain a military advantage over its foes. Israel needs to be an industrial might that we can provide help to. By keeping Israel secure and capable of deterring potential foes like Iran and its proxies, we preserve peace in the region, and we really further our own security. Israel is an outpost of democracy and freedom in a troubled region that shares our values and faces many of the same dangers we face, and has faced those dangers since 1948 when it became a nation. Our close defense cooperation has created numerous game changing technologies that have been used to not only defend Israel, but strengthen our military aides as well. For decades, it has been our policy to ensure Israel is dominant on the battlefield. If it wasn't, we would have to send U.S. military to protect it. Israeli friends have always made it clear they don't want Americans to fight their battles for them, they just need tools to defend themselves. Through this bill, we will continue to improve the tradition of strongly supporting Israel. H.R. 5141 will enshrine another decade of foreign military financing to the Jewish state, streamline the transfer of military materials so Israel can utilize American when we need it most. I might add that much of the money that we send to Israel is spent here in the United States for military development. This bill also will increase our cooperation with Israel on combating cyber and drone threats, expanding space exploration, provide foreign assistance in areas where we share common goals. So our relationship with Israel continues to be beneficial to both nations. This bill will ensure the U.S.-Israeli alliance continues far into the future, that Israel has the capability to defend itself against any foe, and put other nations on notice that the United States totally supports our friend and ally, Israel. And I will yield back. Chairman Royce. Thank you, Mr. Poe. Mr. Brad Schneider of Illinois. Mr. Schneider. Thank you, Chairman Royce. And I am in another committee where we may have a vote. If I have to leave, I apologize, mid sentence. But I want to thank the chairman and ranking member for convening today's markup and for their leadership in this committee. I am pleased to support all of the bills in today's en bloc package, which includes some legislation I have introduced. Every week, we seem to learn more about the sophisticated network of social media bots and online ads used to spread misinformation during the 2016 election. And our intelligence chiefs are unanimous that Russia views the 2018 elections as a target for further interference. The State Department's Global Engagement Center, GEC, was created in 2016 to lead the United States' effort to counter propaganda and disinformation from foreign actors. Alarmingly, The New York Times reported in March of this year that the State Department didn't spend any of the $120 million available since late 2016 to counter Russian information warfare efforts, nor did it recruit a single analyst in the GEC who speaks Russian. This is not a partisan issue. It is of great importance to anyone who has an interest in protecting our democracy. The actions of our State Department need to reflect that urgency. The Global Engagement Center Authorities Act of 2018 would strengthen the current statute that initially authorized the GEC and will better equip the office to carry out its important mission. The bill also strengthens the Foreign Affairs Committee's oversight of the GEC by requiring notification of funding transfers and annual briefings from the State Department on the Center's activities. The Global Engagement Center is an important tool in our efforts to counter foreign misinformation campaigns and propaganda. I want to thank my colleagues, Representative Ted Lieu and Representative Adam Kinzinger, for their previous work in support of this legislation, and the chairman and ranking member for including this bill today. I hope we can work together to make the GEC an even more effective resource. I am also pleased to support the U.S.-Israel Security Assistance Authorization Act, which enhances Israel's ability to defend herself against mounting regional threats. As Hezbollah and Hamas continue to grow their weapons arsenals and Iran becomes even more entrenched in Syria, the United States must ensure that her greatest ally in the Middle East has the ability to defend herself against these challenges. Last year, I introduced the Defending Israel's QME Act to strengthen the process that ensures Israel's qualitative military edge over other countries in the Middle East. I am pleased that a portion of my bill has been included in the United States-Israel Security Assistance Authorization Act so that we can continue to ensure Israel has the tools to maintain its QME over those who seek to do her harm. Thank you, again, to the chairman and ranking member for convening today's markup and for your support of my legislation. With that, I yield back. Chairman Royce. Thank you, Brad. We go now to Mr. Tom Garrett of Virginia. Mr. Garrett. Thank you, Mr. Chairman. And I want to thank specifically, before he leaves, my colleague, Mr. Schneider, for helping me help work on his fine piece of legislation, 5681. I want to speak briefly, Mr. Chairman, to the nature of propaganda and inference in our Nation. It has been my honor as a member of this committee to have engagement with a number of leaders from around the world, but most specifically, in this instance with the leaders from the Baltic Nations, Latvia, Lithuania, and Estonia, who could each tell horror stories about Russian interference. And I want to speak candidly to the bipartisan nature of Mr. Schneider, Mr. Kinzinger, and Mr. Lieu's work here. There is absolutely no doubt that there was inference in American elections in the last election cycle and that there will probably be so in the future. Having said that, I want to speak to the nature of that inference as I understand the understanding of Nations who have been subject to this sort of inference for far longer than we. And that is not so much to target one particular party or individual, but instead, to sow chaos, discord, and undermine the confidence and functioning liberal democracies, which is, indeed, inherently dangerous in and of itself, but a correction, I think, of the record of some and not my colleague, whose fine legislative effort this is. And so, I think those words need to be spoken. And I would commend Mr. Schneider again, as well as Mr. Kinzinger and Lieu on this legislation, as well as the chair and ranking member for bringing it forward. We need to address this because we have something special here that is worth striving to maintain and, in fact, modeling for the remainder of the world. Which brings me to the BUILD Act, Mr. Chairman, H.R. 5141. Israel is not perfect, nor is the United States. However, we do have commonalities of interest and values. Functioning democracies wherein people, regardless of their ethnic background or religious background who choose to participate without violence and intend to harm others are tragically rare, unfortunately, even in 2018. And so where we can undergird those who share our values and, indeed, in the case of Israel, who lack a mirror-like entity for thousands of miles in any direction, where we can undergird those who help to undergird the other reasonable moderate regimes in the region, for example, Jordan, who relies largely on the existence of Israel to perpetuate their own nation state; where we can undergird those values that help to spread opportunity to peoples across world, even where they are enforced and implemented by imperfect people such as ourselves, we should do so. Which brings me ironically, finally, to my commentary on H.R. 5105. The BUILD Act creates a circumstance wherein individuals are lifted up. I hear, oftentimes, from people who don't understand sort of my political philosophical vent, that we need to spend our money here at home. However, it is innumerable the number of dollars saved by stewarding good resources for use abroad. And my colleague, Ms. Frankel, speaks passionately of creating opportunities for women globally, and I could not concur more. But let me take that a step further. Where there is opportunity for women, there is a reduction in radicalization. Where there is opportunity for women, there is a growth in economic opportunity and empowerment across the Nation. And where there is opportunity for women, there is a growth of the class of people as opposed to the autocratic ruling class that leads to the empowerment of nations who will, with the proper shepherding, one day be the very constructive trade partners to which many of my colleagues had made reference. So with that, in closing, I thank the chairman, the ranking member, and my colleagues. It is indeed a delight to come into this committee room, or any committee room in this day and age, and find such broad bipartisan consensus on such important issues, and that makes me feel good. Thank you. Chairman Royce. Thank you, Mr. Garrett. We go to Dina Titus of Nevada. Ms. Titus. Thank you, Mr. Chairman. Thank you and the ranking member and the sponsors of this legislation. I am a cosponsor of several of the bills before us, and I support all of the ones that we are going to be voting on today. I would just like to say for the record that I hope that the Assistant Secretary of State for Energy Resources that is authorized by H.R. 5535 will keep in mind the impacts of climate change as he or she pursues U.S. energy security interests abroad. As I look at the specific responsibilities laid out for this office with respect to international energy policy and security, I see several that stand out where this consideration would be very important, supporting the development of energy resources for the benefit of the U.S., our allies, and trading partners, promoting the availability of diversified energy supplies, supporting the economic and commercial interest of Americans operating in energy markets of foreign countries, and certainly, coordinating energy security currently undertaken by other bureaus and offices in the State Department. So with that admonition to the person occupying this position, I would say I support the bill and yield back. Ms. Ros-Lehtinen [presiding]. Thank you very much. And now we go to Mr. Meadows of North Carolina. Mr. Meadows. Thank you, Madam Chair. And I want to thank you for your leadership, not only on this particular measure, but on a number of measures as it relates to our most trusted ally in the Middle East, the nation of Israel. And certainly, as we look at the Israel Security Assistance Authorization Act, it is an essential step in continuing our commitment to our ally Israel. My amendment actually makes the policy of the United States even further expanded by ensuring that a long- standing partnership extends best practices between law enforcement personnel in each of our Nations as they undertake the increasingly complex antiterrorism missions. Inclusion of Israel into our network of international law enforcement academies will help Israel and the United States collaborate together to confront terrorists organizations, and certainly, international drug trafficking groups. Further, my amendment supports Secretary Pompeo's efforts in the Middle East through the international narcotics control and law enforcement program. So I appreciate the hard work of the committee members and the staff on this legislation, and I would strongly urge not only support of this amendment, but the underlying bill. And I thank the chairwoman for her leadership, and I yield back. Ms. Ros-Lehtinen. Thank you, Mr. Meadows. And now we go to Mr. Keating of Massachusetts. Mr. Keating. I would like to thank the chair. I would like to thank the ranking member for holding this markup and their work on all the bills that are in front of us. I would also like to congratulate Representatives Ted Yoho and Adam Smith for their work on the BUILD Act, which I am a cosponsor of, and has been addressed many times in terms of its merits earlier today. I would like to thank the chairman and his staff, in particular, for working with me to include my amendments in the en bloc this morning. They do more than just reflect our country's values. But they help guarantee success. My amendments focus on accountability and risk management making sure that those at the heart of any development work. That the people, the workers, their communities are the major focus of the corporation's work. Development efforts fail when there is insufficient attention to workers' rights, environment protection, or human rights. That is because developmental work and the economic growth that it is meant to create is sustainable only when there is someone there to sustain it. If you don't protect and invest in local populations and their communities through development and economic growth, those ends, those goals, won't succeed, and that will disappear the second that those main tenets and values disappear. One of my amendments requires that, as the corporation works to manage risk, that must include environmental and social risks. If our goal is to achieve effective sustainable development, we can't afford environmental and social harms any more than we can afford financial costs. Poisoning the water supply of a town is going to sideline any contributions people can make to furthering their own community's economic growth. Workers' rights, environmental protections, social issues are just as important as any financial metrics to the bottom line of these investments. It is, therefore, important that they are part of the corporation's reviews that are submitted to Congress every year. Another one of my amendments offered and included in the en bloc today does just that. Finally, accountability is an important piece of any successful endeavor, especially in development. OPIC created an independent accountability mechanism in 2004 that served to promote and defend high standards of labor, human rights, and environmental protection, among other key issues. By providing a forum for addressing complaints, and by monitoring compliance with and offering guidance on those standards, an accountability mechanism helps to make these development programs as effective as possible. My amendment ensures this accountability mechanism continues on in serving the corporation's mission. So in conclusion, I would like to thank all the people that worked so hard on the bills and support, and give my support to all the bills in front of us today. I think it is an example of the strong bipartisan effort that this committee shows time and time again. I yield back. Ms. Ros-Lehtinen. The gentleman yields back. Mr. Donovan of New York. Mr. Donovan. Thank you, Madam Chairwoman. Effectively countering propaganda is one of our first lines of defense against terrorism. Today, it only takes a simple click to upload viral videos and social media posts that highlight extremist views, recruit terrorists, or instruct followers on how to carry out an attack. Jihadist terrorists are increasingly using this viral and fashionable format to spread their methods for mayhem across the internet to Western audiences. Al Qaeda employed Samir Khan, a Pakistani American to launch its first Web magazine, Inspire, in 2010. ``Make a Bomb in the Kitchen of Your Mom'' was the featured article with the byline of ``the AQ Chef.'' The piece, which was written and published in English, was eventually used to manufacture the bombs at the Boston Marathon. This one example makes clear that Jihadi terrorist propaganda cannot be ignored, and that the United States must enhance its ability to counter it. The purpose of the Global Engagement Center housed within the State Department is to counter Jihadi and State-sponsored terrorist propaganda. That is why I support H.R. 5681, the Global Engagement Center Authorities Act of 2018. I also strongly support H.R. 5141, the United States-Israel Security Assistance Authorization Act of 2018. The purpose of this bill is to ensure that Israel has the ability to defend itself through increased security assistance. And Israel's very existence is under daily threat from a multitude of enemies, but none so persistently dangerous and devious as Iran. Under the Obama administration, our Nation placated Iran and emboldened the regime's bad behavior. The previous administration believed that the $120 billion given to Iran under the flawed Iran nuclear deal would be used to help address domestic needs in a floundering economy. They were sadly mistaken. President Obama's weak stance on Iran not only impacted U.S. and Israel national security efforts, but it also hurt the Iranian people. Here is the reality of how the Iranian regime, a known state sponsor of terror, spent its billions in aid. According to a senior Iranian cleric cited in a 2014 Washington Post article, Iran provided over $1 billion in military aid alone to Iraq. Iran funds Assad, who has brutally decimated his own people via chemical weapons and barrel bombs. The U.N. special envoy for Syria estimated in July 2015 that Iran gives Assad anywhere between $6 billion and $35 billion a year. Israel Government Minister has also told the Times of Israel that Iran's expenditures on Hezbollah alone totaled $1 billion per year. That is merely the beginning of what has been reported in various news outlets. So what do Iraq, Syria, and Lebanon hold in common for Iran? They shared global locations that could strategically allow Iran a clear direct path to Israel. It is no secret that Iran wants nothing more than to destroy Israel. Iran's attempt to build a land bridge from Iraq to Syria to Lebanon to Israel represents a dangerous turbulent development that the U.S. must counter to defend our staunch ally, Israel. As demonstrated by the United States Security Assistance Authorization Act, America's commitment to Israel is absolute and unwavering. And with that, Mr. Chairman, I yield the remainder of my time Chairman Royce. Thank you. We go now to Norma Torres of California. Mrs. Torres. Thank you, Mr. Chairman. I want to thank you, the ranking member, the majority and minority staffs for their hard work on all the bipartisan bills that we are considering here today. In particular, I am pleased that we are advancing the Israel Security Assistance Act thanks to the great work of our chair, Ileana Ros-Lehtinen, and Ranking Member Ted Deutch. This bill will keep our security cooperation with Israel strong for many years to come. As Israel faces growing threats from Iran and its many proxies, we must continue to stand with our ally. I am so proud to cosponsor this bill, and I urge all of my colleagues to support it. I am also glad that we are marking up the BUILD Act, which will ensure that the United States continues to be a leader in a field of development finance. And I applaud Chairman Yoho for his initiative, and I thank him for accepting my amendment to the bill. My amendment would ensure that the new development finance institution is careful to avoid doing business with bad actors, such as terrorists, drug dealers, or corrupt government officials. Last month, when this committee held a hearing on the administration's development finance proposal, I voiced my concerns with a specific OPIC-supported project in Guatemala. Since then, Mr. Chairman, I want to report to you that OPIC has answered many questions from my office on this case, and I appreciate their transparency. And I am reassured that there are many people working there who are committed to doing due diligence. As many of you know, corruption is a very serious issue in Guatemala. In recent years, though, we have seen some real progress. The International Commission Against Impunity in Guatemala, CICIG, has been working with local police and prosecutors to uncover networks of corruption and to bring about important reforms. Congress has supported CICIG on a bipartisan basis. Many members of this committee have supported CICIG. And we have seen some very positive results. Violent crime, for example, is down. The people of Guatemala had seen that no one is above the law. The Guatemalan people fight against corruption, has given the young people of that country great hope. And we must build on this progress. We cannot and must not allow it to be turned back. The cost of giving up now is simply too high, and we must be vigilant about who we are doing business with in Guatemala, or any other country around the world where corruption is a major problem. So I urge my colleagues to support my amendment, and I support all of the measures that are before us today. Thank you, Mr. Chairman, and I yield back. Chairman Royce. Thank you very much, Congresswoman Torres. Hearing no further requests--oh, Mr. Ted Lieu. Mr. Lieu. Thank you, Mr. Chair. I want to, first of all, thank the chairman and ranking member for having this hearing, and pleased that we are moving forward six pieces of strong legislation to improve our national security. I would like to talk about two of these bills. The first is H.R. 5433, the Hack Your State Department Act. I would like to thank the chairman for calling this bill up, and to also thank my colleague, Ted Yoho of Florida. We are co-leading this piece of legislation. Over the years, the State Department has faced mounting cybersecurity threats from both criminal enterprises and state- sponsored hackers. As an agency with a critical national security role, we must do more to protect its cybersecurity. As a computer science major, I recognize there are proven tools at our disposal to improve cybersecurity that the Department has yet to adopt. One such tool is to enlist the help of America's top security researchers to find weaknesses in our cybersecurity. The first step of this bill is to establish what is called a vulnerability process, which sets clear rules of the road so that when people outside the Department discover vulnerabilities on systems, they can report it in a safe, secure, and legal manner with the confidence that the Department will actually fix the problems. The second step is to actually pay vetted white hat hackers to find vulnerabilities. The Department of Defense proved the success of the bug bounty program back in 2016. Over a 24-day period, the Pentagon learned of and fixed over 138 vulnerabilities in its systems. The 2017 report to the President on Federal IT modernization stated agencies must take a later approach to penetration testing. At a bare minimum, agencies should establish vulnerability disclosure policies. Agencies should also identify systems that are appropriate to place under public bug bounty programs such as those run by the Department of Defense or GSA. And today with this legislation, our committee is taking these recommendations to heart in helping to improve the State Department with respect to cybersecurity. The second bill I would like to talk about is the Global Engagement Center bill. Two years ago, I worked with Congressman Adam Kinzinger on legislation to task the State Department with leading efforts to counter disinformation and propaganda around the world. The Global Engagement Center was established to lead a whole of government response. I am grateful now to be partnering with Representative Schneider to strengthen the Global Engagement Center within the Department of State, because it will serve as a vital tool to counter foreign interference in our upcoming elections. And also, finally I would like to talk about an amendment that the chair and ranking member have included in this package. It is an amendment to H.R. 5677, to strengthen the reporting requirements under what is referred to as the Leahy law, a landmark law that prohibits the U.S. Government from providing assistance to foreign military units that are found to have committed gross human rights violations. My amendment today will narrow the exceptions to the public reporting under Leahy law to meet its objectives. It asks the State Department to disclose publicly the units of foreign militaries that are banned from receiving U.S. assistance. This information will also serve to unify our efforts with key training allies in global hotspots, allies such as the U.K. and France. Importantly, we will still provide exceptional disclosure when doing so would reveal intelligent sources and methods. Thank you again, Mr. Chair. And with that, I yield back. Chairman Royce. Thank you, Colonel Ted Lieu. Now, with no further requests for recognition, the question occurs on the items considered en bloc. All those in favor, say aye. All those opposed, no. In the opinion of the chair, the ayes have it, and the measures considered en bloc are agreed to. Without objection, the measures considered en bloc are ordered favorably reported as amended. Staff is directed to make any technical and conforming changes, and the chair is authorized to seek House consideration under suspension of the rules. And so that concludes our business for today. I thank the members and our ranking member for their contribution and assistance with this markup today. The committee is adjourned. [Whereupon, at 11:34 a.m., the committee was adjourned.] A P P E N D I X ---------- Material Submitted for the Record [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] [all]