[Senate Hearing 115-668]
[From the U.S. Government Publishing Office]
S. Hrg. 115-668
NOMINATIONS
=======================================================================
HEARING
OF THE
COMMITTEE ON HEALTH, EDUCATION,
LABOR, AND PENSIONS
UNITED STATES SENATE
ONE HUNDRED FIFTEENTH CONGRESS
FIRST SESSION
ON
EXAMINING THE NOMINATIONS OF MITCHELL ZAIS, OF SOUTH CAROLINA, TO BE
DEPUTY SECRETARY, AND JAMES BLEW, OF CALIFORNIA, TO BE ASSISTANT
SECRETARY FOR PLANNING, EVALUATION, AND POLICY DEVELOPMENT, BOTH OF THE
DEPARTMENT OF EDUCATION, AND KATE S. O'SCANNLAIN, OF MARYLAND, TO BE
SOLICITOR, AND PRESTON RUTLEDGE, OF THE DISTRICT OF COLUMBIA, TO BE AN
ASSISTANT SECRETARY, BOTH OF THE DEPARTMENT OF LABOR
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NOVEMBER 15, 2017
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Printed for the use of the Committee on Health, Education, Labor, and
Pensions
[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]
Available via the World Wide Web: http://www.govinfo.gov
___________
U.S. GOVERNMENT PUBLISHING OFFICE
27-684 PDF WASHINGTON : 2019
COMMITTEE ON HEALTH, EDUCATION, LABOR, AND PENSIONS
LAMAR ALEXANDER, Tennessee, Chairman
MICHAEL B. ENZI, Wyoming PATTY MURRAY, Washington
RICHARD BURR, North Carolina BERNARD SANDERS (I), Vermont
JOHNNY ISAKSON, Georgia ROBERT P. CASEY, JR., Pennsylvania
RAND PAUL, Kentucky AL FRANKEN, Minnesota
SUSAN M. COLLINS, Maine MICHAEL F. BENNET, Colorado
BILL CASSIDY, M.D., Louisiana SHELDON WHITEHOUSE, Rhode Island
TODD YOUNG, Indiana TAMMY BALDWIN, Wisconsin
ORRIN G. HATCH, Utah CHRISTOPHER S. MURPHY, Connecticut
PAT ROBERTS, Kansas ELIZABETH WARREN, Massachusetts
LISA MURKOWSKI, Alaska TIM KAINE, Virginia
TIM SCOTT, South Carolina MAGGIE HASSAN, New Hampshire
David P. Cleary, Republican Staff Director
Lindsey Ward Seidman, Republican Deputy Staff Director
Evan Schatz, Democratic Staff Director
John Righter, Democratic Deputy Staff Director
C O N T E N T S
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STATEMENTS
WEDNESDAY, NOVEMBER 15, 2017
Page
Committee Members
Alexander, Hon. Lamar, Chairman, Committee on Health, Education,
Labor, and Pensions, opening statement......................... 1
Murray, Hon. Patty, a U.S. Senator from the State of Washington,
opening statement.............................................. 3
Franken, Hon. Al, a U.S. Senator from the State of Minnesota..... 18
Hassan, Hon. Maggie Wood, a U.S. Senator from the State of New
Hampshire...................................................... 20
Kaine, Hon. Tim, a U.S. Senator from the State of Virginia....... 21
Casey, Hon. Robert P. Jr., a U.S. Senator from the State of
Pennsylvania................................................... 23
Murphy, Hon. Christopher S., a U.S. Senator from the State of
Connecticut.................................................... 25
Witnesses
Statement of Brigadier General Mitchell Zais, USA (Ret.), of
Columbia, SC, Nominated to be Deputy Secretary, Department of
Education...................................................... 5
Prepared statement........................................... 7
Statement of James Blew, of Valencia, CA, Nominated to be
Assistant Secretary for Planning, Evaluation, and Policy
Development, Department of Education........................... 8
Prepared statement........................................... 9
Statement of Kate O'Scannlain, of Chevy Chase, MD, Nominated to
be Solicitor, Department of Labor.............................. 10
Prepared statement........................................... 11
Statement of Preston Rutledge, of Washington, DC, Nominated to be
Assistant Secretary of Labor for the Employee Benefits Security
Administration, Department of Labor............................ 12
Prepared statement........................................... 14
ADDITIONAL MATERIAL
Statements, articles, publications, letters, etc.
Letters of Support for Preston Rutledge...................... 33
Letter of Support for Kate O'Scannlain....................... 37
NOMINATIONS
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Wednesday, November 15, 2017
U.S. Senate,
Committee on Health, Education, Labor,
and Pensions,
Washington, DC.
The Committee met, pursuant to notice, at 2:34 p.m., in
room 430, Dirksen Senate Office Building, Hon. Lamar Alexander,
Chairman of the Committee, presiding.
Present: Senators Alexander [presiding], Young, Murray,
Casey, Franken, Murphy, Kaine, and Hassan.
Opening Statement of Senator Alexander
The Chairman. The Senate Committee on Health, Education,
Labor, and Pensions will please come to order.
Today we're holding a confirmation hearing on Brigadier
General Mitchell Zais to be Deputy Secretary of the Department
of Education; James Blew to be Assistant Secretary for
Planning, Evaluation, and Policy Development at the Department
of Education; Kate O'Scannlain to be Solicitor of the
Department of Labor; Preston Rutledge to be Assistant Secretary
of Labor for the Employee Benefits Security Administration at
the Department of Labor.
Senator Murray and I will each have an opening statement.
Senator Hatch wants to come by, Mr. Rutledge, to introduce
you. He is presiding over the writing of the tax bill, so
whenever he comes I'm going to stop whatever I'm doing and let
him make comments about you, and then we'll proceed.
After Senator Murray and I have our opening statements,
we'll each have an opportunity to ask--we'll have a round of 5
minutes. We'll hear from the nominees, and then we'll have a
round of 5-minute questions.
I'm glad the Committee has the opportunity to hear from
these important nominees, and we welcome them, and we welcome
their families who are here.
I especially welcome the nominee for the position of Deputy
Education Secretary. If confirmed, General Zais will be
Secretary DeVos' number 2 at the Department, and it brings back
some very fond memories for me because President Bush recruited
David Kearns, who was the CEO of Xerox, to be in that position,
General Zais, when I was Education Secretary. I knew it would
be hard to persuade him because he was one of the country's
chief executives of a major corporation, and his friends said
why would you take all of the abuse to take a secondary
position in a small department. President Bush recruited him.
They were both World War II veterans, respected one another.
David came on board. He had such enthusiasm, skill and
leadership that all the employees loved him. He found a great
many career employees who, as you and I discussed, who were
just looking forward to that kind of leadership, as I'm sure
you will find, and he helped to recruit a distinguished team.
I used to talk about him, and I still do. When I was
running for president in 1995, something I didn't succeed in, I
was in Utah and I was talking about David Kearns and what a
fine person he was. I thought I made a pretty good speech, and
after I finished a lady came up to me and said, ``That was a
wonderful speech, now I know who ought to be President of the
United States.'' I said, ``well, thank you.'' She said, ``Yes,
David Kearns.''
[Laughter.]
The Chairman. So good luck to you.
That's an important position, and I know that you will be a
valuable and important part of the leadership following your
confirmation. You have a broad background. You've been the
Chief State Superintendent for South Carolina's public schools.
You spent 10 years as a college president. You were a member of
the South Carolina Commission on Higher Education, a subject
that this Committee will be turning its attention to shortly
and has been working on for the last three or 4 years. After 31
years in the U.S. Army, you retired as a brigadier general.
You were nominated on October 5. On October 30, the
Committee received your paperwork; on November 9 the Office of
Government Ethics paperwork, including public financial
disclosure and ethics agreement.
James Blew is nominated for an important position, to help
the Secretary develop policies at the Department, to help
manage the budget, ensure that programs are working as
intended, especially important since we just completed, not
long ago, a major restructuring of the Elementary and Secondary
Education Act, and implementing that as Congress wrote it will
be a major task of the Department and of yours.
For the last month Mr. Blew has been Special Assistant to
the Education Secretary. For 20 years he has advocated
improving educational opportunities for families and children,
overseeing grants to low-income, high-risk schools.
He was nominated on September 28. On October 10, we
received his ethics paperwork; November 2nd, we received his
Committee paperwork.
We have two important Labor Department nominees. Kate
O'Scannlain has been nominated to serve as the Labor
Department's Solicitor. She'll be involved in every area of the
Department's work, from regulations to litigation. The
Department is reviewing two Obama administration rules that, in
my opinion, need to be fixed, first the overtime rule. My
concerns are the rapid rate of increase. The salary threshold
was set to double overnight, it seemed, and the harm it would
cause staff at non-profits, at church camps, students at
colleges and universities. Second, the fiduciary rule will make
it harder for many middle-income Americans to get retirement
and financial aid they need.
Ms. O'Scannlain is a partner in the Washington, DC law firm
of Kirkland and Ellis, where her practice focuses on employment
and labor law.
She was nominated October 15. We received her ethics
paperwork October 17; her HELP paperwork on October 17.
Preston Rutledge is nominated for Assistant Secretary for
the Employee Benefits Security Administration, where he will
help administer and enforce Title 1 of the Employee Retirement
Income Security Act, which protects the interests of Americans
participating in employee pension and welfare benefit plans. He
serves as Senior Tax and Benefits Counsel for the U.S. Senate
Finance Committee under Chairman Hatch. He previously served as
a Senior Tax Law Specialist at the IRS, Senior Technical
Reviewer in the Qualified Pension Plans branch of the IRS
Office of Chief Counsel.
He was nominated October 16. We received his Committee
paperwork October 25th; his ethics paperwork on the 30th.
I look forward to hearing from our witnesses.
Senator Murray.
Opening Statement of Senator Murray
Senator Murray. Thank you, Chairman Alexander.
First I want to thank our nominees and their families
behind them for being here today and for your willingness to
serve in these critically important roles at the Department of
Education and Labor.
At a time when a lot of families are still struggling to
make ends meet all of you are going to be responsible for
standing up for students and workers and fighting for their
educational opportunities and financial security. In today's
economy, housing and health care and higher education costs are
on the rise, and wages have remained stagnant. While the middle
class is struggling to make ends meet, corporations and
billionaires are making record profits off the backs of their
employees and working families.
So I'm disappointed, although not surprised, that President
Trump has broken his campaign promises and has now put
corporations and special interests ahead of our middle-class
families by rolling back retirement and overtime standards for
our workers and protections for students and borrowers.
So I look forward to hearing from each of you if you will
stand up for students and workers and families and the missions
of the agencies you've been nominated to serve with, or if you
plan to just be a rubber stamp for President Trump's agenda.
But first I want to talk about just how widespread the harm
the Trump administration has caused to our students and workers
and what the Departments of Education and Labor should be doing
to help working families.
General Zais and Mr. Blew, since taking office Secretary
DeVos has promoted her privatization agenda to siphon taxpayer
dollars away from our public schools. Despite hearing from
parents across the country who have stood up and spoken out
about the importance of investing in and supporting and
strengthening our public schools in their communities, she is
proposing major cuts to our education investments and is
failing to implement our bipartisan Every Student Succeeds Act
the way Congress intended by approving state plans that do not
comply with all the guardrails and that may result in our most
vulnerable students falling through the cracks. She has rolled
back protections for defrauding students, making it easier for
predatory for-profits to prey upon students, and her record on
protecting students' civil rights, including survivors of
sexual assault, has been very troubling.
The Department of Education's core mission is to stand up
for our students, so it's disappointing to me that Secretary
DeVos has decided to go a different direction and put ideology
and the wishes of for-profit colleges ahead of our students and
our teachers and our public schools.
Ms. O'Scannlain and Mr. Rutledge, I'm sure you both
remember one of the biggest promises President Trump made
constantly on the campaign trail was to put workers first. Yet,
since day 1, he has undermined health and safety protections
for our workers and made it harder for working families to
become financially secure during their working years and into
retirement, including not defending the Obama administration's
overtime rule, which would give 13 million workers a raise by
ensuring they are paid for the extra hours that they work.
It is the responsibility of the Department of Labor to
advocate for our workers to make sure they are being treated
fairly and are able to make a decent living.
So to both of you, I hope you are prepared to discuss how
you plan to stand up to President Trump, or if you do, when he
prioritizes corporations and special interests over workers,
and how you plan to live up to the mission of the agency and
truly make sure that workers' rights are respected.
I'd like to discuss some of my initial concerns that I'd
like the four of you to address today.
General Zais, given Secretary DeVos' lack of experience and
track record, it is clear she needs a deputy who is committed
to students and public education. So to me it was troubling
that you share her views on privatization, and you've made a
number of comments that make me question your ability to help
set a course for this agency based on facts and science and
evidence, including that ``5-year-olds are too young to
learn,'' and that ``abstinence-only sex education and
creationism should be taught in our schools,'' and your
decision as South Carolina's State Superintendent to reject
Federal funding that would benefit students and teachers in
public schools. It really makes me question whether you would
act based on what is good for students.
Mr. Blew, the Department of Education's Office of Planning
and Evaluation and Policy Development is critical in developing
and implementing policy which impacts every student in this
country. So your record of promoting school vouchers gives me
pause that you will not stand up for students in our public
schools.
Ms. O'Scannlain, as the Solicitor of Labor, you will be
responsible for pursuing litigation and helping create policies
that protect workers' rights and enables families to become
financially secure, and I'm concerned about your commitment to
standing up for our workers given you spent your career as a
corporate lawyer representing investment firms and insurance
companies and multi-billion-dollar corporations, so I want to
hear from you about that.
Mr. Rutledge, as Assistant Secretary of the Employee
Benefits Security Administration, you will oversee private-
sector retirement plans, health plans, and other benefits for
workers across our country. You have expressed your
``discomfort'' with the fiduciary rule, a critical and
commonsense rule, in my opinion, which simply requires
financial advisors to act in the best interest of their
clients. So I hope you're prepared today to talk about how you
plan to put working families ahead of insurance companies and
corporations, because if you want to grow our economy, we've
got to start by strengthening that middle class, and I just
don't have faith in President Trump's commitment to do that
right now.
But I can at least hope that his nominees will commit to
standing up for the mission of the agencies that you want to
serve in and the people that we all represent. This is really,
to me, a pivotal moment, and I really want to hear your answers
on how all of you plan on lifting up families in our country
today.
Thank you very much.
The Chairman. Thank you, Senator Murray.
We now will hear from our four nominees. Thanks to each of
you for offering to serve our country. I've given each of you a
pretty thorough introduction, so this will be brief.
As I said, when Senator Hatch arrives, I'll stop and let
him say a few words about Mr. Rutledge, and then go back.
The first nominee is General Mitch Zais for Deputy
Secretary, South Carolina's State Superintendent of Education,
10 years a college president, retired from the Army, 31 years a
brigadier general.
Mr. James Blew worked for 20 years to promote education
reform.
Kate O'Scannlain for the Solicitor of the Department of
Labor, with a focus on employment and labor since 2005, a
strong legal background.
Mr. Preston Rutledge, who has been working with the Finance
Committee; Senator Hatch, of course, will say more about him.
So why don't we start with you, General Zais.
If you each would summarize your thoughts in about 5
minutes, that will leave more time for questions.
Welcome, General Zais.
STATEMENT OF BRIGADIER GENERAL MITCHELL ZAIS
General Zais. Thank you, Chairman Alexander, Ranking Member
Murray, and Committee Members. It's an honor to appear before
you today.
I'd also like to thank President Trump and Secretary DeVos
for their confidence in me. It was Secretary DeVos' vision and
commitment to students that inspired me to undertake this task.
I would also like to thank my family. My wife Susan and I
have been married for 38 years. She is an Army daughter, an
Army wife, and an Army mother. Throughout our frequent moves
she managed to make a home out of a house in 13 different
locations, an average of less than 3 years per residence. Susan
currently mentors a child in a high-poverty elementary school
in our hometown.
My son, Bradley, is a veteran of the war in Iraq where he
fought as an infantry soldier with the 101st Airborne Division.
His wife, Suzanne, is an elementary school teacher in an inner-
city public charter school.
My daughter, Ashley, is a stay-at-home mom, and her
husband, Michael, works as an attorney with the U.S. Justice
Department.
Finally, my brother is a paratrooper, Ranger, and retired
infantry colonel with a Ph.D. from Duke University.
As an Army brat, I attended 11 different schools in 13
years, including three high schools. Both of my children
attended public schools here in Washington, DC, and graduated
from public schools in rural South Carolina.
I come from a family of teachers. My father was coaching
and my mother was teaching home economics when they met. My
brother and I both taught at West Point. My wife and daughter
both taught English as a second language, and my wife was an
adult education teacher. My mother-in-law and sister-in-law and
daughter-in-law were all elementary school teachers.
At an early age I learned the importance of education from
the examples of my father and from my uncle. My father's
parents, immigrants from eastern Europe, did not have much
education. His mother got as far as 6th grade, his father only
as far as 3rd grade. But he was able to finish high school, the
only one of four boys in the family to do so. By working and
getting some partial scholarships, he graduated from the
University of New Hampshire. Ultimately, he became the NATO
commander of the Greek and Turkish armies. To the best of my
knowledge, he is the only Jewish four-star general in the
history of the American Army.
Education was also vital to the success of my uncle, an
orphan who quit school in the 7th grade. On his 17th birthday
he enlisted in the Army, and despite lacking a high school
education he got an appointment to West Point. Ultimately, he
became the youngest two-star general in the history of the
American Army and U.S. Ambassador to France under President
Kennedy.
You understand my commitment to education, and you also
know my record. I believe that one size doesn't fit all in
education and that low-income families deserve the same right
that high-income families have always enjoyed, which is to
choose a learning environment that is a good fit for their
child.
You also know that I resisted what I perceived to be well-
intentioned but overly intrusive mandates from Washington. I
believe that most education policy should be left to the states
so they can develop solutions that best fit their own unique
circumstances.
The contentious issues in K-12 are simple to me. Does one
support the school system, or does one support the school
students? In my view the answer is clear: students come first.
In closing, I have lived a lifetime of service. For 31
years I served my country as an infantry soldier with duty in
Vietnam, Korea, Panama, and the Middle East. For 10 years I
served my faith as president of a faith-based college. For 4
years I served the people of South Carolina as their elected
State Superintendent of Education. I view possible confirmation
as Deputy Secretary of Education as the culmination of a
lifetime of service, and I look forward to your questions.
[The prepared statement of General Zais follows:]
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Prepared Statement of Mitchell Zais
Chairman Alexander, Ranking Member Murray, and Members of the
Committee, it is an honor to appear before you today. Thank you.
I would also like to thank President Trump and Secretary DeVos for
their confidence in me. It was Secretary DeVos' vision and record of
commitment to students and parents that inspired me to undertake this
task.
I would also like to thank my family members who have been so
supportive, some of whom are here today.
My wife, Susan, and I have been married almost 38 years. She is an
Army daughter, Army wife, and Army mother. Throughout our frequent
moves she made each house a home, 13 altogether, an average of less
than 3 years in each residence. Susan currently mentors a child in a
high-poverty elementary school in downtown Columbia, South Carolina.
My son, Bradley, is a veteran of the war in Iraq where he fought as
an infantry soldier with the famed 101st Airborne Division. He now
proudly serves in the South Carolina National Guard. His wonderful
wife, Suzanne, is an elementary school teacher at an inner-city, public
charter school in Charleston, South Carolina.
My daughter, Ashley, a stay-at-home mom, and her husband Michael,
are here. Michael is an attorney with the U.S. Department of Justice.
Finally I would like to thank my older brother, Barrie, a
paratrooper, Ranger, and retired infantry colonel with a Ph.D. from
Duke. He has been my role model my entire life.
Growing up as an Army brat, I attended 11 different schools in 13
years, including three high schools. Both of my children attended
public school here in the District of Columbia--and they graduated from
a public high school in rural South Carolina.
I come from a family of teachers. My parents met when both were
teaching high school. My father was teaching PE and coaching; my mother
was teaching what was then known as home economics. My brother and I
both taught at West Point. My wife and daughter both taught English as
a second language, and my wife was also an adult education teacher. My
mother-in-law and sister-in-law were both career elementary school
teachers. As I mentioned, my daughter-in-law is an elementary school
teacher.
At an early age, I learned the vital importance of education from
the examples of my father and uncle.
My father's parents did not have much education. They were
immigrants from Eastern Europe. His mother got as far as sixth-grade,
this father only as far as third-grade.
My father, the youngest of four boys, was the only one who finished
high school. But, by working, with a small ROTC scholarship, several
partial athletic scholarships, and with help from his older brothers,
he was able to graduate from the University of New Hampshire. With his
education, plus hard work, he ultimately became the NATO commander of
the Greek and Turkish armies. To the best of my knowledge, he is the
only Jewish four-star general in the history of the American Army.
Education was also vital to the success of my uncle. An orphan, he
was adopted by a coal mining family in Pennsylvania. He quit school in
the seventh-grade to work to earn money for them. To escape, he ran
away from home on his seventeenth birthday and lied to enlist in the
Army. Despite lacking a high school education, he earned an appointment
to West Point. The education he received there provided the foundation
that ultimately led to his becoming the youngest two-star general in
American history and U.S. Ambassador to France under President Kennedy.
So now, you understand my personal commitment to education.
You also know my record.
You know I believe that one size does not fit all in education and
that no child should be forced to attend a failing school. Lower-income
families deserve the same right that upper-income and middle-income
families have always enjoyed--that is, to choose a school that is a
good fit for their child. Upper-income families have school choice.
They can choose to put their children in private schools. Middle-income
families, by and large, have school choice. They can move to the
suburbs or to highly ranked school districts if the local school is not
a good fit. It is predominately low-income families that are trapped in
perennially failing schools, with no escape and no options.
You also know that as State Superintendent of Education in South
Carolina, I resisted what I perceived as well intentioned, but overly
intrusive mandates from Washington. Just as one size does not fit all
students, one size does not fit all states. I believe most education
policy should be left to the states to develop solutions that best
address their own unique circumstances.
The contentious issues involved in K-12 education seem to me to be
pretty simple. Does one support the school system or does one support
the school students? My stance has been clear: students come first.
Also, as a college president for 10 years, I learned how difficult
it can be to comply with the requirements imposed from Washington. I'm
aware of the ``Report of the Task Force on Federal Regulation on Higher
Education'' and look forward to working to reduce the enormous
administrative burden.
In closing, I have lived a life of service. For 31 years I served
my country as an infantry soldier in the United States Army, with duty
in Vietnam, Korea, Panama, and the Middle East. For 10 years I served
my faith as president of a faith-based college. For 4 years I served
the people of South Carolina as their elected State Superintendent of
Education. I view possible confirmation as Deputy Secretary of
Education as yet another chance to serve the Nation I love so dearly,
and the culmination of a career of service.
Thank you for the opportunity to appear before you. I look forward
to your questions.
______
The Chairman. Thank you, General Zais.
Mr. Blew, welcome.
STATEMENT OF JAMES BLEW
Mr. Blew. Thank you, Chairman Alexander, Ranking Member
Murray, and other Members of the Committee. It is an honor to
appear before you today as the nominee for Assistant Secretary
for the Office of Planning, Evaluation, and Policy Development
at the U.S. Department of Education.
Mr. Chairman, I have submitted a written statement for the
record. May I summarize my points?
The Chairman. Yes.
Mr. Blew. That's great.
I do want to start by thanking my family that has been very
supportive of me: my brother, who is a retired public school
teacher and Army officer; my two children, one who attends
university in North Carolina, another who attends university in
Los Angeles; but most of all I want to thank my wife. She and I
met in public high school back in Reseda, California. We became
married several years later. It is our partnership and our love
that makes me a better man. My wife has a very demanding
orthodontic practice back in our hometown, and she could not be
here today.
The second family that I wanted to thank, and I do so in my
written statement, is the Walton family. I want to thank them
globally for their steadfast investments in helping improve the
lives of children in low-income communities across this
country. I also include in there my philosophy about education
reform and some of my experience that I believe is part of what
prepares me for this position, if the Senate confirms me.
The bulk of this presentation goes into a ringing
endorsement of the limited but very important role that the
Federal Government plays in our education system: namely, the
enforcement of our civil rights laws in schools and colleges;
second, the assistance that the Federal Government gives our
states as they address the needs of disadvantaged students, as
well as students with disabilities; and finally, the support
that the Federal Government gives students as they prepare,
attend, and hopefully complete their degrees and certificates
in higher education.
I will conclude, as I do in my written statement, by
thanking the millions of parents and teachers who educate our
children every day. It is my belief that the success of our
country depends on us empowering those parents and teachers to
improve our system.
I look forward to your questions.
[The prepared statement of Mr. Blew follows:]
------
Prepared Statement of James C. Blew
Chairman Alexander, Ranking Member Murray, Members of the
Committee:
It is an honor to appear before you today as the nominee for
Assistant Secretary for the Office of Planning, Evaluation and Policy
Development at the U.S. Department of Education.
I appreciate the confidence and support that President Trump and
Secretary DeVos have placed in me and education reform with this
nomination. Before sharing my approach to the position, if confirmed, I
have two families that I would like to thank. Without them, I would not
be appearing before you today.
First is my own family, especially my wife Carole. She has a
demanding orthodontic practice back in our home town, which keeps her
from joining us today. But without her consistent support, love and
partnership, I would not have been able to commit much of my adult life
to the education reform cause.
Second is the Walton family. After Sam Walton's death in 1992, one
of his sons, John Walton, took leadership in developing a philanthropic
strategy that would help our country's public education system live up
to the following aspiration: every child should be educated to his or
her fullest potential. It is a strategy to create more high-quality
school options in lower-income communities, more transparency about
school and educator performance, and more accountability for
performance.
For a decade after John's untimely death in 2005, it was my great
privilege to help the Walton family execute their K-12 philanthropic
investment strategy. This involved, among other things, managing
hundreds of grants totaling more than $1 billion over several years.
As a country, we still have a long way to go to achieve our
aspirations for every child. But thanks to the Walton family--along
with like-minded philanthropists, the Federal government, and many
others--our K-12 system is improving and continuously serving students
better.
For 20 years, I have focused on our students and policy at the
state and local level. I chose to focus locally because that's where I
felt my efforts could yield the greatest change. It is also where 90
percent of K-12 funding is generated.
However, I do believe the Federal Government has important roles to
play. I'll address three:
First, for more than 50 years, Congress has stood by our country's
most vulnerable children. As result, it has steadily increased and
refined the Department's role enforcing civil rights laws in our
schools and colleges.
Second, Congress has also invested significantly in our most
vulnerable children--those from lower-income communities, as well as
those with disabilities.
For our lower-income students, I think the bipartisan framework
laid out in the Every Student Succeeds Act is an historical step in the
right direction. The Federal Government must empower states to pursue
the best strategies they can devise, recognizing local context, while
simultaneously enforcing the accountability guardrails Congress has put
in place.
I'm equally sanguine about the Federal role in supporting our
vulnerable students with disabilities. Its role is critical to making
sure all special needs students get the education they need and
deserve.
Third, Congress directs more than $100 billion annually to provide
students with access to higher education in this country--several times
more than the amount it spends through Title I on disadvantaged K-12
students. Yet, far too many of those students are neither completing
their degrees nor obtaining the skills and knowledge they need to
improve their wages. We can and must do better.
Let me close by thanking the thousands of classroom teachers and
parents who work every day to ensure that all children in our country
get the excellent education they deserve--and that our country needs
them to have. The key to our country's future success is empowering
those teachers and parents to improve our education system.
Thank you again for the opportunity to appear before you. I look
forward to answering your questions.
______
The Chairman. Thank you, Mr. Blew.
Ms. O'Scannlain.
STATEMENT OF KATE O'SCANNLAIN
Ms. O'Scannlain. Thank you, Mr. Chairman, Ranking Member
Murray, and other Distinguished Members of this Committee. It's
an honor to appear before you today.
I want to thank the President of the United States for
nominating me, and Secretary Acosta for recommending me.
I want to thank my family members and friends who are here
today supporting me.
Particularly, I want to acknowledge my husband, Matt
Johnson; my parents, Diarmuid and Maura O'Scannlain; five of my
seven siblings who are here today--Sean, Jane, Kevin, Megan,
and Annie; my father-in-law, Walter Johnson; and my four
children--Nolan, Cormac, Bowen, and Jane. I also want to
recognize and thank my long-time mentor and friend from
Kirkland & Ellis, John Irving, as well as my firm's leadership
and colleagues for their support.
You might say that my journey to this appointment began my
junior year at Jesuit High School in Portland, Oregon in Father
Larry Robinson's U.S. History Class. I was part of a small
group of women who transferred in that year to the previously
all-male school. I remember vividly the day that Father
Robinson wrote the name ``Frances Perkins'' on the chalk board
and called on me to answer what was unique about the spelling
of the name--an ``e'' instead of an ``i''--a woman's spelling.
Of course, I came to learn, and never have forgotten, that
Frances Perkins was the first female Cabinet Member, the
longest-serving Secretary of Labor, and the first woman in
Presidential line of succession. If confirmed, it will be my
honor to go to work every morning in the Frances Perkins
Building to ensure that the Nation's labor laws are forcefully
and fairly applied to protect our Nation's workers.
We are at a critical time in history for the American
worker as our employers and labor force face increasingly
complex issues: the rise of the gig economy; rapid advancements
in automation and artificial intelligence; an aging workforce;
more women in the workplace, including in boardrooms and the
frontlines of the military; an increase of women as the primary
breadwinner in families; the challenges of seasonal and
agricultural workforces; revelations of sexual harassment and
predatory behavior on the front pages; the burdens of excessive
occupational licensing requirements; a decline in organized
labor; opioid abuse that is plaguing many American families and
workers; higher compliance costs for small businesses, just to
name a few.
If confirmed, I pledge to tackle these challenges with the
thoughtfulness and care that they merit. I will work to enforce
the laws under the Labor Department's jurisdiction fully and
fairly. I will collaborate with career officials who possess
the bulk of the subject-matter expertise in these areas and to
have open and fulsome dialog before committing to or
recommending any particular course of action. I commit to
listen carefully to all stakeholders.
If confirmed, I look forward to helping further this
administration's labor agenda, including issues that are of
particular importance to this Committee. These include job
creation, advancing opportunities for profitable employment
through apprenticeship and job-training programs, improving
workplace safety, helping efforts to reintegrate veterans into
the workforce, assuring work-related benefits and rights are
protected, among many other stated goals.
I will bring a diversity of experiences to the Solicitor's
office from more than a decade in private practice. In my
experience, the vast majority of employers seek to comply with
the law. Indeed, they spend significant amounts of money on
compliance costs, only to confront laws, rules, and regulations
that can be confusing in their application to the modern
workplace. The rules of the road should be clear and compliance
guidance ample and easily accessible. Our laws should not be a
game of ``gotcha'' or involve gamesmanship using novel legal
theories. That benefits no one, especially the American worker.
Like Secretary Acosta, I am committed to helping employers
understand their obligations to their workforces and properly
incentivizing compliance with the law.
If confirmed, I intend to promote understanding and
effective enforcement, and to reduce unnecessary redundancies
through communication and cooperation with our federal and
state agencies. I would challenge this Committee, just as I
will challenge the Labor Department every day of my service, to
write laws, rules, and guidance that are clear to employers,
employees, and unions so that we can be confident when bringing
an action that the offending party deserves to be met with the
full force of the Labor Department's enforcement resources.
In closing, it is not lost on me that if confirmed I will
serve as the highest-ranking woman in the Labor Department.
That is not a responsibility I take lightly. I pledge to this
Committee to bring the totality of my experiences to bear upon
the unique challenges facing today's modern workplace.
Thank you again, and I look forward to any questions the
Committee may have.
[The prepared statement of Ms. O'Scannlain follows:]
------
Prepared Statement of Kate O'Scannlain
Thank you, Mr. Chairman, Ranking Member Murray, and Distinguished
Members of the Committee. It is an honor to appear before you today as
you consider my nomination to be Solicitor of Labor. I want to thank
the President of the United States for nominating me and Secretary
Acosta for recommending me. I want to thank the family members and
friends who are here today supporting me.
In particular, I want to acknowledge my husband Matt Johnson, my
parents Diarmuid and Maura O'Scannlain, five of my seven siblings who
are here today (Sean, Jane, Kevin, Megan, and Annie), my father-in-law
Walter Johnson, and my four children Nolan, Cormac, Bowen, and Jane. I
also want to recognize and thank my long-time mentor and friend from
Kirkland & Ellis, John Irving, as well as my firm's leadership and
colleagues for their support.
You might say that my journey to this appointment began my junior
year at Jesuit High School in Portland, Oregon in Father Larry
Robinson's U.S. History Class. I was part of a small group of women who
transferred that year into the previously all-male school. I remember
vividly the day Father Robinson wrote the name ``Frances Perkins'' on
the chalk board and called on me to answer what was unique about the
spelling of Frances-an ``e'' instead of an ``i''--a woman's spelling.
Of course, I came to learn--and never have forgotten--that Frances
Perkins was the first female Cabinet Member, the longest serving
Secretary of Labor, and the first woman in Presidential line of
succession. If confirmed, it will be my honor to go to work every
morning in the Department of Labor Frances Perkins Building to ``ensure
that the Nation's labor laws are forcefully and fairly applied to
protect [our] Nation's workers.''\1\
---------------------------------------------------------------------------
\1\ DOL Solicitor's Mission Statement.
---------------------------------------------------------------------------
We are at a critical time in history for the American Worker as our
employers and labor force face increasingly complex issues: the rise of
the gig economy; rapid advances in automation and artificial
intelligence; an aging workforce; more women in the workplace-including
in Board rooms and the frontlines of the military; an increase of women
as the primary bread-winner in families; the challenges of seasonal and
agricultural workforces; revelations of sexual harassment and predatory
behavior on the front pages; the burdens of excessive occupational
licensing requirements; a decline in organized labor; opioid abuse that
is plaguing many American families and workers; higher compliance costs
for small businesses-just to name a few.
If confirmed, I pledge to tackle these challenges with the
thoughtfulness and care that they merit. I will work to enforce laws
under the Labor Department's jurisdiction fully and fairly. I commit,
if confirmed, to collaborate with the career officials who possess the
bulk of the subject-matter expertise in these areas and to have open
and fulsome dialog before committing to or recommending any particular
course of action. I commit, to listen carefully to all stake holders.
If confirmed, I look forward to helping further this
Administration's Labor agenda, including issues that are of particular
importance to this Committee. These include job creation, advancing
opportunities for profitable employment through apprenticeship and job-
training programs, improving workplace safety, helping efforts to
reintegrate veterans into the workforce, assuring work-related benefits
and rights are protected-among many other stated goals. I will bring a
diversity of experiences to the Solicitor's office from more than a
decade in private practice. In my experience, the vast majority of
employers seek to comply with the law. Indeed, they spend significant
amounts of money on compliance costs--only to confront laws, rules, and
regulations that can be confusing in their application to the modern
workplace. The rules of the road should be clear and compliance
guidance ample and easily accessible. Our laws should not be a game of
``gotcha'' or involve gamesmanship using novel legal theories. That
benefits no one, especially the American worker. Like Secretary Acosta,
I am committed to helping employers understand their obligations to
their workforces and properly incentivizing compliance with the law.
If confirmed, I intend to promote understanding and effective
enforcement. Also to reduce unnecessary redundancies through
communication and cooperation with our federal and state agencies. I
would challenge this Committee, just as I will challenge the Labor
Department every day of my service, to write laws, rules, and guidance
that are clear to both employers, employees, and unions--so that we can
be confident when bringing an action the offending party deserves to be
met with the full force of the Labor Department's enforcement
resources.
In closing, it is not lost on me that if confirmed I will serve as
the highest ranking woman in this Labor Department. That is not a
responsibility I take lightly. I pledge to this Committee to bring the
totality of my experiences to bear upon the unique challenges facing
today's modern work place.
Thank you again. I look forward to any questions the Committee may
have.
______
The Chairman. Thank you, Ms. O'Scannlain.
Mr. Rutledge, welcome.
STATEMENT OF PRESTON RUTLEDGE
Mr. Rutledge. Thank you. Good afternoon, Chairman
Alexander, Ranking Member Murray, and other Members of the
Committee. Thank you for the opportunity to appear before you
today. I am honored to have been recommended by Secretary
Acosta and nominated by President Trump to lead the Employee
Benefits Security Administration, known as EBSA, at the
Department of Labor.
If I may take just a brief moment to introduce my family
who are here today, I would like to do that. My wife, Julie
Gackenbach, is sitting directly behind me. Without her tireless
support in every facet of my life, I could not have spent as
many years in public service as I have, and that's just one of
the few things she's done for me in my life.
Also here today is my older son, Charlie Rutledge, and his
wife and my new daughter-in-law, Nicole Rutledge; and also my
younger son, Andrew Rutledge, and his girlfriend, Gabriella
Simondson. I was instructed to be sure to put the ``D'' in
there. It's ``Simondson.''
The mission of EBSA is to assure the security of the
retirement, health, and other workplace benefits of America's
workers and families. While EBSA develops and enforces
regulations, the role of EBSA is much broader. The office
assists and educates workers, plan sponsors, fiduciaries, and
service providers. It engages in outreach and research.
I have spent nearly my entire career as a lawyer in the
employee benefits area. I believe in the importance of employee
benefit programs for America's workers. If I am fortunate
enough to be confirmed, I look forward to working to strengthen
and expand opportunities for employers to offer and employees
to benefit from retirement, health, and other employee benefit
programs.
I have had the pleasure to work with many of you during my
tenure at the Senate Finance Committee as I have worked to
advance retirement benefit security reforms. I am most proud
that we were able to work together last year to develop the
Retirement Enhancement and Savings Act of 2016. The bill would
have modified requirements regarding multiple employer plans,
automatic enrollment, auto escalation, reporting and disclosure
rules, and rules regarding the selection of lifetime income
providers.
The bill also would have increased the tax credit for small
employer pension plans and allow a tax credit for employers
that startup a pension plan that includes automatic enrollment.
With respect to individual retirement accounts, the bill
would have treated taxable non-tuition fellowship and stipend
payments as compensation for the purpose of an IRA. That would
allow a student to begin contributing to an IRA while they're
still a student.
The bill garnered the support of every Member of the
Finance Committee and was for me a great example of Chairman
Hatch's and Ranking Member Wyden's leadership and our ability
to work together on a bipartisan basis to improve retirement
security. I've always believed that retirement should not be a
partisan issue, and in my experience working for the Senate
Finance Committee, it never has been.
In addition to retirement policy, I have worked closely
with staff from both parties, including the staff of two
Members of this Committee, Senator Burr and Senator Casey, to
help Congress enact the Achieving a Better Life Experience Act,
or the ABLE Act. The ABLE Act allows disabled individuals and
their families to save private funds in a tax-advantaged
account, similar to a college savings account, for the purpose
of paying for the expenses related to living a life with
disabilities. If confirmed, I look forward to working with the
Chairman, the Ranking Member, and the other Members of this
Committee on these and other proposals to strengthen our
Nation's pension laws.
I'm running out of time to keep talking about myself, so I
won't. I'll just mention briefly that I have spent a lot of
time in the government working to support ERISA. I believe in
ERISA, and I hope to bring both my public-and private-sector
experience to work on the ERISA issues that the country faces.
If I'm given the opportunity to serve, I look forward to
working with all of you and your staff and the talented and
hard-working staff at EBSA to protect and improve the employee
benefit system.
Thank you, Mr. Chairman and Ranking Member Murray, for the
chance to speak to you today. I am happy to answer any
questions.
[The prepared statement of Mr. Rutledge follows:]
------
Prepared Statement of Preston Rutledge
Good afternoon Chairman Alexander, Ranking Member Murray and other
Members of the Committee. Thank you for the opportunity to appear
before you today. I am honored to have been nominated to lead the
Employee Benefits Security Administration (EBSA) at the Department of
Labor.
The mission of EBSA is to assure the security of the retirement,
health and other workplace related benefits of America's workers and
their families. While EBSA develops and enforces regulations, the role
of EBSA is much broader. The office assists and educates workers, plan
sponsors, fiduciaries and service providers. It engages in outreach and
research.
I have spent nearly my entire career as a lawyer in the employee
benefits area. I believe in the importance of employee benefit programs
to America's workers. If I am fortunate enough to be confirmed, I look
forward to working to strengthen and expand opportunities for employers
to offer and employees to benefit from retirement, health and other
employee benefit programs.
I have had the pleasure to work with many of you during my tenure
at the Senate Finance Committee as we have worked to advance retirement
and benefits security reforms. I am most proud that we were able to
work together to develop the Retirement Enhancement and Savings Act of
2016. The bill would have modified requirements regarding multiple
employer plans, automatic enrollment, auto escalation, reporting and
disclosure rules, defined benefit plan nondiscrimination rules and
rules regarding the selection of lifetime income providers. The bill
also would have increased the tax credit for small employer pension
plan startup costs and allow a tax credit for small employers that
establish retirement plans that include automatic enrollment. With
respect to individual retirement accounts, the bill would have treated
taxable non-tuition fellowship and stipend payments as compensation for
the purpose of an IRA. The bill garnered the support of every Member of
the Finance Committee and for me was a great example of Chairman
Hatch's and Ranking Member Wyden's leadership and our ability to work
together on a bipartisan basis to improve retirement security.
In addition to retirement policy, I have worked closely with staff
from both parties, including the staff of two Members of this
Committee, Senator Burr and Senator Casey, to help Congress enact the
Achieving a Better Life Experience Act of 2014. The ABLE Act allows
disabled individuals and their families save private funds in a tax-
advantaged account, similar to a college savings account, for the
purpose of paying for expenses related to living a life with
disabilities. If confirmed, I look forward to working with the Chairman
and the Members of this Committee on these and other proposals to
strengthen our Nation's pension laws.
Prior to joining the Finance Committee I served in the Office of
Chief Counsel for the Internal Revenue Service where I focused on tax
side issues of employee benefits, plan design and administration, and
compliance. I also served for many years in private practice where I
was engaged in compliance and plan design as well as ERISA litigation.
Before I became a lawyer, I was a Naval Office for 4 years, served on a
destroyer escort stationed in San Diego, California, making one
deployment to the Western Pacific.
I hope to bring my public and private sector experience to EBSA to
help Secretary Acosta help workers and employers meet the challenges
inherent in our changing society--including improved longevity and
changing employment relationships.
If I am given the opportunity to serve, I look forward to working
with you, your staff, the talented and hardworking staff at EBSA,
employees, plan sponsors and the public at large to protect and improve
our Nation's employee benefit system.
Thank you Mr. Chairman and Ranking Member Murray for the change to
speak with you today. I am happy to answer any questions.
______
The Chairman. Thank you, Mr. Rutledge. Thanks to all of
you.
We'll now begin a round of 5-minute questions.
General Zais, let me begin with you. You were
Superintendent of Education in South Carolina during the last
administration, correct?
General Zais. That is correct, sir.
The Chairman. You're familiar with what the administration
did with waivers when they said in order for you to have a
waiver from No Child Left Behind, you had to do X, Y, and Z,
such as adopt these standards or this teacher evaluation
program, correct?
General Zais. We did develop a plan that we worked on very
hard. Yes, sir.
The Chairman. But you're aware that they required you to do
things in exchange for getting a waiver, correct?
General Zais. That is correct, sir.
The Chairman. Are you aware that we changed that law?
General Zais. I am.
The Chairman. That means that as Deputy Secretary of the
Department of Education, if Tennessee applies for a waiver, in
some circumstances you're prohibited from conditioning that
waiver on some other well-intended goal.
General Zais. Senator, I understand absolutely. The job of
the Secretary in the Department of Education is to ensure that
state plans comply with the law, no more, no less.
The Chairman. We took the extraordinary step, some people
thought, of actually writing prohibitions into the law not just
to apply to the previous administration but to this one, and to
my surprise within a few months after this one took office,
there was a letter sent to Delaware saying that its state plan
as proposed wasn't ambitious enough.
Now, the law says that the plan has to be an ambitious
state design plan. The law also says the Secretary is
prohibited from defining that. Do you agree that the Department
of Education in Washington doesn't have the authority to tell
Delaware that its plan is not--to reject the plan because it's
not ambitious enough?
General Zais. That is my understanding of the law, sir. I'm
not familiar with the case of Delaware or the plan they
submitted.
The Chairman. Now, you might go to Delaware and say it's a
dumb plan, or it's not ambitious, or they should be
embarrassed, or you have a lot of suggestions for how to
improve it. But the idea was that it's state designed and that
the Department wouldn't do that mandate.
Let me switch gears to higher education, Mr. Blew and
General Zais. We had very good work done. Senators Mikulski,
Bennet, Burr and I asked a group of higher educators to come up
with 59 ways to simplify more effective regulations for higher
education so students could apply for and pay off their loans
more efficiently, and university administrators could run our
6,000-student campus more efficiently. They came back, the
Chancellor of Maryland and the Chancellor of Vanderbilt, with
59 recommendations widely endorsed by the higher education
community. Of those 59, 12 can be done by the Department of
Education alone. Are you familiar with that?
Mr. Blew. I am familiar with the study. It makes a very
compelling case.
The Chairman. Would you commit to review those 12 proposals
and take action on those proposals if you think they're
appropriate within a reasonable period of time?
Mr. Blew. Absolutely, to the extent that it would involve
my office, if confirmed.
The Chairman. General Zais, are you familiar with the
Kerwin Zeppos recommendations and the fact that the Department
itself could act on 12 of the 59 provisions without our
involvement?
General Zais. Senator, I am aware of the Kerwin Zeppos task
force report. Having been required to comply with in excess of
several thousand pages worth of regulations and administration,
I look forward to assisting the Secretary in those 12
initiatives.
The Chairman. Yes. The consensus among at least the four
Senators who were working on that is that this is a rapidly
changing world and we want higher education to be able to be
flexible enough to deal with that, and the so-called jungle of
red tape identified by this group of distinguished educators
were a matter of simplifying effective regulation. In one case,
the FAFSA, which Senator Bennet and I introduced a bill on,
which we'll have a hearing on later this month, the
recommendation was to go from 102 questions to two. Twenty
million families fill out that form every year.
I have time for one more question.
Ms. O'Scannlain, in our conversations you said you know the
difference between a guidance and a regulation. Will you pay
attention to the guidances offered by the Department of Labor
and make sure that briefs filed in the Supreme Court or the
circuit courts of the United States don't allege that
guidances, which are not law, are the law of the land?
Ms. O'Scannlain. Thank you, Mr. Chairman. Yes, I will. In
particular, if I may have more time to answer, guidance is not
law but guidance is an important aspect of making sure there's
consistency and application of our laws, and that's one of my
main priorities. If I'm lucky enough to be Solicitor, that is
one of my main priorities, and I know that's an important issue
to you as well.
The Chairman. But guidance are not law, correct?
Ms. O'Scannlain. Correct.
The Chairman. Correct. Okay.
Ms. O'Scannlain. Guidance is guidance.
The Chairman.
Senator Murray.
Senator Murray. Thank you, Mr. Chairman.
General Zais, let me start with you. As State
Superintendent of Education in South Carolina, you repeatedly
advocated for private school vouchers, including helping to
pass a tax credit voucher program for students with
disabilities which allows wealthy individuals and corporations
to receive a tax break for contributing to private school
voucher programs.
Now, President Trump has proposed spending Federal dollars
to support private school voucher programs. Would you support
spending taxpayer dollars for a new private school voucher
program that takes money away from our public schools?
General Zais. Ranking Member Murray, I applaud the
initiative of Florida and other states which allowed
scholarships to students with disabilities to attend a school
that meets their needs and was instrumental in recommending a
similar program in South Carolina.
Senator Murray. Well, my question goes to the fact that
Congress never intended ESSA to be used for vouchers. I want
you to know I'm going to work every day to make sure the
Department doesn't overreach in that area. I know many of my
colleagues on both sides of the aisle agree with me, and I hope
you will commit to uphold the tenets of our bipartisan bill as
well.
General Zais. I understand what the law is and I can assure
you that the Secretary and I, if confirmed, I will work to make
sure that the law is complied with.
Senator Murray. Okay. In another area, General Zais, in
July, when she was talking about sexual assault on campus, the
Acting Assistant Secretary for Civil Rights, Candice Johnson,
said, and I want to quote, ``The accusations, 90 percent of
them fall into the category of `We were both drunk. We broke
up, and 6 months later I found myself under a Title 9
investigation because she decided that our last sleeping
together was not quite right.' ''
Candice Johnson, after having said that, is still serving
in the role of Acting Assistant Secretary. I want to know, if
you're confirmed--you'll be second-in-command at the Department
of Education--do you believe the comments made by Acting
Assistant Secretary were appropriate for someone who is charged
with enforcing civil rights for the Department?
General Zais. I'm not familiar with the comment, but I do
agree that one act of sexual violence in any case is
unacceptable, and that the Department should promulgate very
clear guidance and help the institutions. As I understand, the
Secretary has undertaken that process with a rulemaking.
Senator Murray. Well, I just want you to know, I'm really
disturbed by her comments. She is overseeing a critical agency
that oversees that. If confirmed, I hope you will think about
that and determine whether or not you believe she's the right
person to be there.
Mr. Blew, if confirmed, you're going to be advising the
Secretary on all matters relating to policy development. Since
her confirmation, Secretary DeVos has made it clear she's going
to take a different path to addressing campus sexual assault.
She rescinded the 2011 and 2014 guidance that are related to
sexual harassment, including sexual violence, and that guidance
was there to help survivors speak out about their assaults and
make clear that schools could no longer sweep sexual assault
under the rug.
Now, the Secretary has announced she plans a notice and
comment period related to addressing sexual harassment and
assault. However, it's now been 2 months since that guidance
was rescinded, and it remains very unclear if and when the
Secretary intends to move forward with the rulemaking process.
That lack of movement is particularly concerning as interim
guidance appears inconsistent now with the previous guidance it
claimed to follow and actually suggests to schools that they
don't need to take efforts to minimize the impact on survivors
and can set higher standards of evidence than are allowed in
other civil rights cases.
Do you believe there is a role here for guidance to clarify
and ensure schools understand what is required of them to
comply with Title 9 and other Federal statutes?
Mr. Blew. Senator, you've already acknowledged that this is
in the rulemaking process. I hear your impatience about the
lack of movement on it. It's inappropriate for me to comment on
the process itself. I do want to echo what General Zais said.
Sexual violence should not be tolerated. It's clear in the law,
and we have every intention of following through on that.
Senator Murray. Okay. Well, this is really critical because
without guidance--it's been rescinded--it sort of gives schools
the ability to say this isn't as important. I think critically
right now we give that guidance out, we need it out soon, we
need to be able to see that it is actually going to be able to
protect survivors and create a climate on our campuses that
says it's safe for women to be there. So I would appreciate you
looking at that.
Mr. Blew. I hear you.
The Chairman. Thank you, Senator Murray.
Senator Franken.
Statement of Senator Franken
Senator Franken. Thank you, Mr. Chairman.
Ms. O'Scannlain, it was great meeting you yesterday. In our
meeting you talked about the revelations of systemic sexual
harassment in the workplace across a wide variety of
industries, which you mentioned in your opening remarks.
Ms. O'Scannlain. Right.
Senator Franken. I think one reason that people are
horrified is because they find it hard to believe that it's so
widespread. Part of the reason they don't know it is so
widespread is because of the forced arbitration clauses found
in employment contracts which often prevent victims from
speaking out, which keeps the arbitration all secret.
In an op-ed published a few months back, Gretchen Carlson,
who recently took on her former boss at Fox News, Roger Ailes,
wrote: ``So many women are being silenced by employers who
force them into a secret star-chamber proceeding called
arbitration. By coercing women to remain silent about illegal
behavior, the employer is able to shield abusers from true
accountability and leave them in place to harass again. The
arbitration process has silenced millions of women who
otherwise may have come forward if they knew they were not
alone.''
Ms. O'Scannlain, you and I discussed this issue. Do you
agree that forced arbitration clauses that prevent victims of
workplace harassment from speaking out about what has happened
to them are problematic?
Ms. O'Scannlain. I do, Senator, and we did have a great
conversation about that yesterday. I want to say that there's
no place for sexual harassment in the U.S. workforce and that
it obviously is a very prevalent issue, and particularly in the
instance of Gretchen Carlson in the Fox News situation, that
clause failed her and it didn't enable her to know about the
other women who were going through a similar situation.
Senator Franken. Well, I want to get rid of that clause,
that kind of clause.
Ms. O'Scannlain. I understand that.
Senator Franken. Would you support that?
Ms. O'Scannlain. I'm not going to commit to any particular
policy consideration out of deference to the Secretary, who I
have not had discussions with, but I agree that they're
problematic. I agree that the issue needs to be discussed and
further studied, and I look forward to working with you on
that.
Senator Franken. Thank you very much.
General Zais, nice to meet you. You said to your knowledge,
your father was the only Jewish four-star general in the United
States Army. Is that correct?
General Zais. To the best of my knowledge, that's correct,
Senator.
Senator Franken. Did you know that Wesley Clark, a four-
star general, is half-Jewish?
[Laughter.]
General Zais. No, sir. General Clark is a good friend with
whom I've worked closely, and I did not know that.
Senator Franken. Okay. Well, he's probably trying to keep
it secret.
[Laughter.]
Senator Franken. During your tenure as State Superintendent
in South Carolina, you supported voucher programs using public
dollars to send students to private schools, and if confirmed,
you will serve as second-in-command to Secretary DeVos, who has
spent years pushing vouchers. Are you aware of the research on
the impact of vouchers on student achievement?
General Zais. Senator, to the best of my knowledge,
whenever we give parents an opportunity to choose a school
that's a good fit for their child, the result is improved
outcomes.
Senator Franken. No, that's not true. The academic outcomes
for students who use vouchers to attend private schools is
actually quite abysmal. The New York Times article from
February of this year reported on three studies of large state
voucher programs, three of the largest--Indiana, Louisiana, and
Ohio. Each study found vouchers negatively impact results in
both reading and math. In fact, in Louisiana's voucher program,
public elementary school students who started at the 50th
percentile in math and then used a voucher to transfer to a
private school dropped to the 26th percentile in a single year.
Harvard education professor Martin West said this negative
effect was ``as large as any I've seen in the literature.'' He
was talking about all literature, the entire history of
American education research.
There was a study of--that was Indiana. No, that was
Louisiana. In Indiana, the same kind of results; the same kind
of results in Ohio. These were astoundingly--in DC, we saw a
recent study showed that students who used vouchers have
significantly lower math and reading scores than students who
did not receive a voucher. For voucher recipients coming from a
low-performing public school attending a private school, it had
no effect on achievement. For voucher recipients coming from a
high-performing public school, the negative effect was
particularly large.
When you answered my question, you didn't answer my
question. I said were you aware of the studies, and you
didn't--can I just finish?
General Zais. Yes, sir.
Senator Franken. Okay. You said, instead of answering my
question, you said in every case when students had vouchers,
their performance has improved. That's totally anecdotal, I
assume?
General Zais. Senator, I was unaware of those studies that
you cited.
Senator Franken. I understand that. Was your--what you
testified before us, was that anecdotal?
General Zais. Yes, it was.
Senator Franken. Thank you.
The Chairman. Thank you, Senator Franken.
Senator Hassan.
Statement of Senator Hassan
Senator Hassan. Thank you, Mr. Chair and Ranking Member
Murray. Good afternoon to all four nominees. Congratulations on
your nominations, and congratulations and thanks to your
families as well, because this is a family business when you
step up to serve, so we are grateful.
Mr. Rutledge, I wanted to just follow up on a topic we
discussed when we met, and thank you for meeting with me in my
office. The Trump administration recently issued two interim
final rules taking direct aim at birth control coverage for
millions of women. These rules undermine women's access to
contraceptives without out-of-pocket costs by letting a woman's
employer decide, for virtually any reason, that she can no
longer have access to this benefit.
These rules, which went into effect immediately after they
were issued, discriminate against women and their access to
basic health care. The department you are nominated to lead has
a role to play here because that department ensures that
employers who refuse to cover birth control are still in
compliance with the rules under the Employee Retirement Income
Security Act, or ERISA. This includes making sure that if
employers decide to deny their employees contraceptive
coverage, that is clear in the plan documents.
When we talked in my office you said you had not looked
into these rules. So, Mr. Rutledge, I'd like you to commit to
me that if you are confirmed, you will see to it that changes
employers make under these rules are disclosed to plan
participants and described in the plan documents so they have
the information they need to make the decisions that are best
for them.
Mr. Rutledge. Senator Hassan, thank you for that question.
We did have a good conversation about this in your office and
in my role in the Committee at the moment. No, I have not read
those regs. I did look at them quickly enough to realize they
are what we call three-agency regs. It's Treasury, Labor, and
HHS.
I need to and I can commit that when I get to EBSA, if I'm
fortunate enough to be confirmed, I will absolutely ask to be
brought up to date and up to speed on what's happening on those
regs and on the policies. Whether I can promise to have them
changed to your satisfaction, I can't promise that.
Senator Hassan. I'm not asking for a change. I'm asking
that they follow the law and disclose plan changes that women
should know about if they're deciding, for instance, whether to
take a job with an employer who has an ERISA plan and who has
decided at their own personal opinion or whim to deny a woman a
benefit that she might be able to earn through another
employer.
Mr. Rutledge. I will confirm with the Solicitor's office,
if that's the law, then I will see--I'll do my best to make
sure that's enforced properly.
Senator Hassan. Thank you.
Mr. Zais, I wanted to come back to quotes we have seen from
you concerning early childhood education, and I appreciated you
coming to see me in my office as well. When you were running to
be Superintendent of Education in South Carolina, you were
quoted as saying that you did not believe in spending money on
5-year-olds because they were too young to learn. Later, as
Superintendent, you opposed increased funding for state pre-
school programs.
A body of research shows that access to effective early
learning programs can have a positive impact throughout a
person's life, in addition to having one of the greatest
returns on investment when deciding where to spend our limited
public dollars.
Can you please tell us what you meant when you said that
you thought 5-year-olds are too young to learn?
General Zais. Senator, if I ever said that, I do not recall
having said that. As a grandfather of four children under the
age of 5, I'm acutely aware that those children are learning at
a rapid pace. I'm not opposed to early childhood education. I
think it's a matter for the states to decide. Currently, one of
my 2-year-old grandchildren is the recipient of some services
under the Infant and Toddler provisions of IDEA, early
childhood education, and I'm enormously grateful for that.
Senator Hassan. Well, thank you for that. I would hope that
you would consider the importance of Federal investment in
early childhood education. It is incredibly important to our
overall economy and preparation for the next generation on any
number of levels.
I am running out of time, so I will submit for the record
questions to you, General Zais, and to Mr. Blew about voucher
programs. I disagree with the premise of your statement,
General Zais, that you either have to decide between the system
or the student. We should have a system that works for all
students, and in New Hampshire we work very hard on
personalized education that works for all. The question will go
along the lines of the degree to which vouchers take away
critical resources from our public schools that often serve
some of our most vulnerable children. So I'll look forward to
your answers on that. Thank you.
The Chairman. Thank you, Senator Hassan.
Senator Kaine.
Statement of Senator Kaine
Senator Kaine. Thank you, Mr. Chair, and thank you to the
witnesses.
My voice is shot today, so excuse me. It's not painful, it
just doesn't sound very good.
I just want to begin with a comment, a concern. I had very
good office visits with General Zais and Mr. Blew that I found
productive. But I learned in both of those visits that they
both used the phrase ``because of the firewall, I was not able
to discuss that.'' In one instance I asked one of the
individuals what their job description would be, and the answer
was ``because of the firewall at the DOE, I was unable to have
that discussion with officials at the DOE.'' In some other
areas, what would your priorities be, what will you be working
on, ``because of the firewall at the DOE, I am unable to
discuss that.''
They were not suggesting that they weren't telling me, but
they were suggesting that they have not been read into things
like their job description or what they're going to be asked to
do. So it sort of made the point of my in-office interviews a
little bit like, well, what can I ask you about if you've been
nominated by the President but you haven't been read in on what
your job description is or what you're going to be asked to do?
I can read your bio. I'm more interested in what you're going
to do.
This is really a comment to the Chair and Ranking, and to
DOE officials. If folks are going to come before us but there's
a practice, apparently, in this agency not to read them in on
their job description or what they're likely to do, it really
hampers us in an oversight function in a confirmation hearing.
It has not been my experience with nominees coming to my office
from any other department, certainly not SAS nominees, SFRC
nominees, State, Defense, Labor, other agencies. I'm able to
ask people about their job description and what it is they
intend to do. But in this case, if the Department was not
preparing these individuals to be able to answer those
questions and apparently felt there was some kind of a firewall
that prohibited them from being able to do so, that sort of
limits my ability to really delve.
I do want to say to General Zais, I did appreciate our
office visit yesterday. As somebody who has worked on both
higher education in a South Carolina state commission over
higher education, and K-12 education as the elected
superintendent, you've worked at the state level. You've also
been the president of an institution, a private college in
South Carolina.
Coming into this job, how do you see the role of the
Federal Government in education matters as they affect school
kids across the country?
General Zais. Senator, I see the role of the Federal
Government as to guarantee the civil rights of our students.
I'm very grateful for the financial assistance that it provides
to our students in our institutions of higher education. I
think that the Department has a very important role in advising
the states how to best comply with the laws established by
Congress. But I don't believe in a one-size-fits-all education
system. What works and makes sense in a rural state may not
make sense in a more urban state, and I believe that states
should best develop policies that meet their own unique
circumstances.
Senator Kaine. Let me just tackle each of the three items
that you mentioned, and I completely agree with you on the last
point. It shouldn't be one size fits all. But with respect to
civil rights, the civil rights of students, those civil rights
should be the same regardless of the zip code or jurisdiction
where a student lives, correct?
General Zais. Exactly.
Senator Kaine. Then you indicated a Federal role was to
provide financial assistance, and you appreciate that at the
higher education level, but there's also financial assistance
to states in pre-K and K-12 as well; isn't that correct?
General Zais. That is correct, Senator.
Senator Kaine. Then finally with respect to providing
advice to states, would you view that advisory function as just
providing advice about how to meet Federal law, or is it
broader advice like best practices, things that are working
here that you might want to consider, all with the goal of
helping students achieve?
General Zais. Senator, that's an important function. As
State Superintendent, there wasn't one teacher, one principal,
one superintendent, or one school board that worked for me. I
didn't pass any laws, I didn't allocate any dollars. But I did
have access to the media and to the public and used that as a
forum to advocate for best practices and celebrate those, and
for districts or schools that were not doing well, to highlight
those publicly as well.
Senator Kaine. Depending upon how your job description is
fashioned, you would be willing and interested in doing the
same thing in this position?
General Zais. I think the parallel is clear, Senator.
Senator Kaine. One final question. The Department, along
with HHS, administers pre-school development grants as part of
the ESSA rewrite. Virginia has been a recipient of those grants
and has used it in significant ways to advance early learning
to help kids achieve, to help them avoid dropping out, to help
them identify early learning disabilities which, once
identified, can often be rectified.
You've made some statements in the past, even during your
staff interviews, having some skepticism about early learning,
citing studies. There are plenty of studies. I think the best
research is that early learning is--investments in early
learning are sound, but I recognize there are many studies. But
will you, as an administrator with the Department of Education,
administer the pre-school development grants to help the states
who want them and who have them make the very most of them for
the youngsters who are recipients of those pre-school programs?
General Zais. Senator, I can assure you that if confirmed,
I will work to ensure compliance with the law and make those
dollars available to the states as specified in the statutes.
Senator Kaine. Thank you.
Thank you, Mr. Chairman.
The Chairman. Thank you, Senator Kaine.
Senator Casey.
Statement of Senator Casey
Senator Casey. Thank you, Mr. Chairman. I want to thank the
panel for being here today and for your testimony.
I'll focus my questions to Mr. Blew for purposes of today.
We're in and out of the hearing today because we're doing tax
reform and some other things in another Committee.
I wanted to start, Mr. Blew, with the question of public
education. I come from a state where a statute was passed in
the 1830's, the early 1830's, for free public schools. It was
quite a debate in the 1830's, but thank goodness we have
maintained it all these years in Pennsylvania.
We have something on the order of 93 percent of all
children in our state attending public schools. I think the
national number is close to that, maybe 91 percent. One of the
concerns that I had with then-nominee Betsy DeVos, now
Secretary DeVos, was that she seemed to spend an inordinate
amount of her time and her resources and her advocacy on behalf
of for-profit institutions, for-profit charter schools. I come
from a state where we have zero percent for-profit charter
schools. We have charters, but they're all, by statute, non-
profit charters.
She was in a state, to a certain degree because of her
advocacy, where about 80 percent of the charters were for-
profit. So I said to Ms. DeVos in our discussion in my office,
tell me more about your strategy, your plans for supporting
public education and your advocacy on behalf of public schools.
Her answer wasn't satisfactory, and I literally said to her--
and I wasn't doing it to try to use a one-liner. I just said if
you're confirmed, you're not going to be the Secretary of
Private Education, and I told her what the history in
Pennsylvania was.
In your case, you're seeking the position of Assistant
Secretary for Planning, Evaluation and Policy Development, so
you would obviously have a huge role in the planning and the
vision of the Department, responsible for creating and
implementing strategies to meet the goals of the
Administration. You'd be taking on the Secretary's priorities,
combining with existing policy, and marshalling the
Department's resources to fulfill the law and meet the
Administration's goals.
In your opening you identified three areas--civil rights,
vulnerable student populations, and accountability--for the
billions of dollars spent in the Department.
I guess I'd start with one question. I'll have more, I
guess, in writing, in light of the time. But by virtue of the
fact that the Secretary hasn't stated to my knowledge at any
point in the last 9 months a priority for strengthening public
schools, should one of the priorities of the U.S. Department of
Education be to strengthen public schools?
Mr. Blew. Senator, I look forward to answering more of your
questions in writing. But, absolutely, yes.
Senator Casey. How would you propose to do that?
Mr. Blew. Part of how we do that is to execute the law that
Congress has passed and that this Committee was critical in
developing on the K-12 side. I'm talking about the ESSA.
Senator Casey. That was a great bipartisan effort that
Chairman Alexander and Ranking Member Murray led the way on,
and we're grateful that they did that.
The Secretary has also held up the Florida McKay
Scholarship Program as a model both in her nomination hearings
as well as in subsequent comments, and some private schools
that accept McKay Scholarships require that students with
disabilities relinquish their due process rights which are
guaranteed under the Individuals with Disabilities Education
Act. Do you think that a family should give up their right to
due process to attend a private school?
Mr. Blew. Again, I look forward to correspondence with you
on this issue. There is a lot of confusion about it. Let me
just make one critical point, that all schools that accept
direct Federal dollars need to follow the law. They have to
follow Federal law.
Senator Casey. Thank you very much.
The Chairman. Thank you, Senator Casey.
Senator Murphy.
Statement of Senator Murphy
Senator Murphy. Thank you very much, Mr. Chairman. Thank
you all for your willingness to serve.
Mr. Rutledge, last year this Committee and Congress passed
the 21st Century Cures Act, which included in it some major
reforms to the Nation's mental health law. Probably the most
important of the reforms included in that section of the bill
was one that built on the country's mental health parity law
passed in 2008. This Committee recognized that while insurance
companies technically stated that you had mental illness
benefits comparative to physical illness benefits, the
administration of those benefits was not equal. There was more
red tape and bureaucracy being put up in front of people
receiving mental health benefits than for non-mental health
benefits.
The Act gave a number of authorities to both HHS and to the
Department of Labor, and the Administration has worked to
implement some of these new requirements, like a convening of
interested stakeholders to develop an action plan for improved
coordination and enforcement.
I just wanted to ask you if you're aware of the provisions
that you would oversee in this new capacity related to mental
health parity and if we can count on you to help implement the
remaining portions of that law that the Administration has not
moved forward with yet.
Mr. Rutledge. Senator, thank you for your question. I am
not particularly familiar at this moment with mental health
parity. That has not been part of the practice I've ever had or
any of the work I've ever done in government. But I do expect
and demand that I be briefed on that as soon as I arrive. I do
want to understand it. I very much understand the importance of
mental health care. I have had experiences in my life where
I've represented people who sought medical care for what they
call soft-tissue issues, which are harder to diagnose, and
blocks were thrown up in their path, and I helped people get
over those.
So although I'm not at the Department right now, I'm not
familiar with what they're actually doing to implement this,
implementing the law will certainly be EBSA's role, and what I
can certainly commit to, although I cannot commit the
Department to a position today since I'm not there, if I'm
fortunate enough to be confirmed I can certainly commit that I
will faithfully implement the law to the best of my ability,
and that's the recommendation I will always have for Secretary
Acosta.
Senator Murphy. I look forward to working with you on this.
Thank you for that answer, Mr. Rutledge.
Mr. Rutledge. Thank you, Senator.
Senator Murphy. General Zais, thank you for your
willingness to serve as well. In 2015, the South Carolina
legislature took up a bill called the Second Amendment
Education Act, and there's reporting suggesting you were a
supporter of that piece of legislation. I have no issue with
school kids being taught about the Constitution or drilling
down on particular parts of the Constitution, but one provision
of this act required, and I quote: ``The State Superintendent
of Education shall adopt a curriculum developed or recommended
by the National Rifle Association.'' It does not seem
appropriate to me that any political group should be able to
write curriculum for our Nation's students.
Let me ask you to speak for yourself with respect to your
support of that legislation and ask you specifically whether
you think that it's appropriate for political organizations to
be given the power by law to write curriculum for America's
students.
General Zais. Senator, I did not support the adoption of
the NRA curriculum. At one point I did say that students should
be familiar with the Second Amendment. Of course, I support the
law that says that students may not carry weapons to schools. I
carried a weapon for many years as part of my job, and I know
that weapons are not toys, and it's my belief that whether or
not selected adults such as school resource officers are armed
or not should be a decision made at the states.
Senator Murphy. Okay. So, for the record, you did not
support that legislation that I referenced?
General Zais. That is correct, Senator.
Senator Murphy. Okay. Thank you.
Thank you, Mr. Chairman.
The Chairman. Thank you, Senator Murphy.
There may be Senators who have further questions, so let me
start.
General Zais, are you familiar with--usually people do this
online, but do you know what this is?
General Zais. Senator Alexander, could that be the free
application for Federal student aid?
The Chairman. Yes, that's what it is. Twenty million
families fill it out, and there are a lot of us who would like
to simplify it. Senators Bennet, Burr, King, and Booker have
introduced legislation to do that--and Isakson.
As a college president, what is your experience with the
complexity of the Federal student aid application and the
complexity of the student loan repayment plans? We have
bipartisan legislation to simplify both of those.
General Zais. Senator, I appreciate the question because
I've struggled with the FAFSA as a college president for years.
Not only is it difficult for families to complete that, and for
students, it's difficult to train our financial aid counselors
on the intricacies of that. A financial aid counselor, what
you'll find in all institutions of higher education, turn over
frequently. In many schools, particularly small schools like
Newbury, where I was college president, it's an entry-level
position, and for some families it was simply a bridge too far,
particularly first-generation families where the parents were
not well educated. To gather all that information was just too
large of a task. Our financial aid counselors helped as well as
they could, and I'm so happy that this whole process is under
review.
The student loan repayment process is complicated. There's
conflicting procedures and processes for different kinds of
loans, and I think it would be a great contribution to simplify
those things.
The Chairman. Our next major order of business is to review
the Higher Education Authorization Act. We'll need to work with
the Department to do that.
I want to say to Mr. Blew--you mentioned the Walton
family--how much I appreciate the contributions they've made to
this country, especially for low-income children, especially to
startup public schools, charter schools over the years, going
back for a long time. So I thank them.
Let me ask this of General Zais. There's always a lot of
talk about vouchers here, it's a very explosive subject, but
would you agree that a reasonable definition of a voucher would
be a government scholarship or stipend that a student might
spend at any accredited public or private institution?
General Zais. I would agree, Senator. In fact, I think we
have a similar system in many higher education institutions.
The Chairman. Well, I was about to get to that. What would
you call the scholarship--you're a brigadier general. In 1944
we passed something called the GI Bill. So if soldiers coming
home from World War II got a scholarship, they could spend it
at any institution, public, private, or religious, that was
accredited. Would you call that a voucher?
General Zais. Yes, sir, I would.
The Chairman. Today we have about $100 billion of student
loans that we distribute every year which may be spent at any
public or private or religious university that's accredited.
Would you call that a voucher?
General Zais. I would, sir.
The Chairman. We have about $34 billion of Pell Grants that
we spend, that students may spend at any public, private, or
religious institution that's accredited. Would you call that a
voucher?
General Zais. I would, sir.
The Chairman. We have about $8 billion of funding that we
give to states for low-income mothers to choose a pre-school
program for their children that may be spent at any public,
private, or religious accredited institution. Would you call
that a voucher?
General Zais. Yes, Senator, I would.
The Chairman. Would you conclude from that that vouchers by
themselves might not be a bad idea since those are some of the
most popular and effective social programs our country has ever
passed?
General Zais. I agree.
The Chairman. Would you also agree that the Federal law
does not allow the U.S. Department of Education to require any
state to use Federal funds as a voucher that may be used as a
private school, that might be your opinion, but the Federal law
doesn't permit you to mandate that of any state?
General Zais. Senator, the Federal law is clear in that
regard.
The Chairman. Thank you. Thank you, General.
Senator Murray.
Senator Murray. Mr. Rutledge, I understand you have
expressed your ``discomfort'' with the fiduciary rule. That is
a rule that simply requires that retirement savers are given
advice in their best interest.
As you know, President Trump issued a memorandum directing
the Department to review that rule, and in response the
Department has proposed a second delay. Given that conflicted
advice costs our retirement savers about $17 billion annually,
do you support delaying this rule in order to conduct a study
that was already completed as part of the regulatory impact
analysis last year?
Mr. Rutledge. Senator, thank you for that question. I'm not
at the Department right now, and I can't, of course, commit the
Department to a position on how to proceed on that rule. I have
reviewed the Presidential memorandum, and it appears to me to
direct the Department to review the rule, but to review it from
the perspective like ERISA has always been in my experience,
from the perspective of the investor, the participant, the
worker, the retiree, are you sure you're not hurting those
people. ERISA is very participant centered.
I would also like, if I may, since you mentioned the quote
from that news article, I've never said I have discomfort with
the fiduciary rule. What I was saying at the time was the
Department of the Treasury was not involved at the time, and
with ERISA a lot of the rules are two agency, Treasury as well
as Department of Labor. In the case of a prospective violation
of that rule, it would have triggered the necessity of the IRS
to assess excise taxes, and there were those of us on the
staff, and Chairman Hatch shared our view, that Treasury ought
to at least be at the table if this rule was going to create
additional work for them.
That was the discomfort. It wasn't about the rule. It was
about the fact that Treasury didn't seem to be involved as far
as we could tell.
Senator Murray. Well, that rule did go through an extensive
process, so I just want to make that clear.
General Zais, let me come back to you. As you know, 2 years
ago Congress passed the Every Student Succeeds Act, ESSA. It
provides states with additional flexibility, but it maintains
some very strong Federal guardrails for accountability, which
is really important to our taxpayers. When they spend their tax
dollars, they want to know that there's accountability, and we
heard that throughout our process.
When you were the State Superintendent of Education in
South Carolina, you actually wrote an op-ed supporting a
proposal that would have gutted our Nation's K-12 education law
and left very few protections in place for our students and our
families and our taxpayers.
Now, ESSA has made some requirements related to the design
of state accountability systems, subgroup accountability, and
evidence-based interventions in low-performing schools. But
under Secretary DeVos the Department has now approved state
plans that do not comply with all of ESSA's guardrails, an
important part of that law, and I wanted to ask you, if you're
confirmed, because you'll be in a position to correct those
flaws, will you enforce ESSA as written, including all the
Federal guardrails that are written into it?
General Zais. Senator, I'm unaware of the specifics of any
cases where plans have been approved that do not conform with
the law. But I can assure you that if confirmed, I will work to
ensure that the Federal law as specified in ESSA is followed.
Senator Murray. Okay. I will follow up with a question for
the record. That's really important to us.
Mr. Blew, my last question to you. We all know that
Secretary DeVos was one of the architects of Detroit's charter
school system, which even the charter school advocates have
called ``the biggest school reform disaster in the country.''
In Michigan, charter school authorizers faced no accountability
for their performance. The sector has very high rates of
financial corruption and mismanagement, and the results have
been disastrous for children.
You have spent your career advocating for charter school
expansion, and I know that while you were at the Walton Family
Foundation you contributed hundreds of thousands of dollars to
groups that pushed Secretary DeVos' agenda on this, and I
wanted to ask you, do you think Michigan is a good example of
what an effective charter school system looks like?
Mr. Blew. Senator, one of my beliefs is the importance of
accountability in education. Michigan, as you may know, has
made many improvements in its laws in the last couple of years,
holding authorizers and schools themselves more accountable. I
do want to say that the characterization of the charter school
sector in Detroit as being a disaster seems unfair. The most
reliable studies are saying that, indeed, the charter school
students out-perform the district students.
Senator Murray. Actually, Michigan's achievement rates have
plummeted for all kids. But in addition, charter schools in
Michigan are performing worse than traditional public schools.
As I said, even charter school advocates are saying it's the
biggest school reform disaster in the country. Are you aware of
that?
Mr. Blew. I'm aware of the studies you're talking about.
The most reliable studies do show that the charter school
students in Detroit out-perform their peers in the district
schools.
Senator Murray. I would like to see that, because that's
not the data that we have.
Mr. Blew. I will be happy to get it for you. It's done by
the Stanford Credo operation.
Senator Murray. I'm not aware of that organization.
Mr. Blew. Stanford University. I'm sorry.
Senator Murray. I'm out of time.
The Chairman.
Senator Franken.
Senator Franken. Thank you again.
General Zais, you said in response to Senator Kaine that
your job as Deputy Secretary is to protect the civil rights of
students. LGBT students deserve to learn in an environment free
from discrimination, and they deserve to be treated with
dignity and respect. But far too often LGBT kids, particularly
transgender kids, endure harassment and discrimination. When
that happens, those students are deprived of an equal
education.
In May, the Seventh Circuit ruled in favor of a transgender
boy named Ash Whitaker whose school wouldn't let him use the
boy's bathroom. The court ruled that the school's
discriminatory bathroom policy violated Title 9 and the
Fourteenth Amendment. It's unfortunate that the Trump
administration scrapped guidelines written by the Obama
administration that instructed schools on how to protect
transgender students under Title 9. But rescinding the guidance
didn't change the law, and it didn't take away students'
rights.
Dr. Zais, when a school administrator tells a boy like Ash
that he can't use the same bathroom as all the other boys in
his class, that student feels intimidated and shamed. You can't
learn if you dread going to school. But Title 9 protects these
students. The Department of Education should enforce it. If a
transgender student files a complaint under Title 9 alleging
unequal access, would you advise the Office for Civil Rights to
investigate?
General Zais. Senator, I believe firmly that no child
should be subjected to bullying, abuse, or intimidation, and
that includes transgender students.
In terms of the legal rights, as I understand it that is
now being litigated, and since it's in the court system, I
don't know that it would be appropriate for me to----
Senator Franken. The 7th Circuit ruled in favor of Ash
Whitaker. It was just in May, and I think that's now the law.
General Zais. I don't know that LGBT is a protected class
currently. But I can tell you that, if confirmed, I will work
to comply with all aspects of the Federal law.
Senator Franken. Well, that is the law, so you will enforce
it.
General Zais. I will work with you and the Secretary. Right
now I'm unclear as to what exactly the law is.
Senator Franken. Okay. Let me move on.
Over 15 percent of all Federal financial aid goes to
students attending for-profit colleges and universities. While
there are some very good actors in the for-profit sector, many
of these institutions have been putting their own financial
gains above the best interests of their students. Over the last
several years tens of thousands of students throughout the
country have been victims of fraud and predatory lending
practices by for-profit institutions. In my home state of
Minnesota, Globe University and Minnesota School of Business
are two examples of institutions whose fraudulent activities
have left their students deep in debt with worthless degrees
and futures compromised by bad credit.
I have written multiple letters urging the Department of
Education to take action against these for-profit institutions
and to help students get the debt relief that they deserve.
Dr. Zais, if you are confirmed as Deputy Secretary of
Education, are you committed to ensuring that students who have
been victims of fraudulent behavior receive the debt relief
that they deserve by processing all current and future claims
from students eligible to have their loans discharged?
General Zais. Senator, first of all, I'm very sensitive to
the fact that there are a number of institutions that have
engaged in fraud and deceptive advertising. I'm particularly
sensitive because many of these people are veterans who have
been taken advantage of.
Senator Franken. Right.
General Zais. I understand that there's a negotiated
rulemaking process in progress right now, but I definitely
intend to look out for the interests of what tend to be our
most vulnerable students in higher education.
Senator Franken. Thank you. By the way, the highest-ranking
Jew in the military is currently the Comptroller of the Coast
Guard.
That's a joke. I don't know. That's anecdotal.
[Laughter.]
The Chairman. Thank you, Senator Franken.
Senator Hassan.
Senator Hassan. It's always a little tricky to follow
Senator Franken. I'm not about to try.
[Laughter.]
Senator Hassan. General Zais, can you tell us about when
the United States had a public education system for all
elementary school students, by about what year?
General Zais. No, Senator, I don't know the year.
Senator Hassan. Okay. My quick research just now tells me
that by about 1870 all states had a public education system
paid for with tax dollars, by about 1870. After that, I assume
you would agree that we had a public education system for
elementary and then eventually high school that served all of
our kids. Is that a fair statement?
General Zais. That's my understanding. That's correct.
Senator Hassan. Okay. So when the GI Bill came along in
1944, though, we didn't have a public higher education system
that could absorb all the GIs. Is that fair?
General Zais. Well, Senator, I don't know what the capacity
of our higher education system was in 1944.
Senator Hassan. But we certainly didn't have the assumption
that all of our graduates from high school would be going to
higher education before 1944. Is that a fair statement?
General Zais. That's a fair statement.
Senator Hassan. Okay. So that gets me back to the issue of
my concerns about vouchers in particular. I will tell you that
as Governor of New Hampshire I supported strategically
authorized, accountable public charter schools because I think
it's very important to have innovation in the public school
system, and I think charter schools are a very good way to do
that.
But the concern I have about vouchers is that they take
taxpayer dollars, giving them to parents who often can afford
to make up the difference that the voucher doesn't pay for
toward a private school tuition or, for instance, for
transportation expense. My concern is what that does to the
public schools.
Both you and Mr. Blew--and, Mr. Blew, I'd be pleased to
hear your response to this question too--you both talk about
helping students leaving so-called failing schools. But do you
agree that when you de-fund public schools, that can lead to
those schools having to make difficult decisions about cutting
curriculum, teacher capacity, and other services?
I'll start with you, General Zais.
General Zais. I know that when--we haven't had vouchers in
South Carolina. But I know that when students left their
traditional public school to attend a public charter school,
that actually more money went to the traditional public school.
Senator Hassan. But that generally hasn't been the way it
has worked. One of the concerns I've got is you look at a
family that can't afford the transportation expense or the
difference between the private school tuition and the voucher,
and now that child and that family is left in a public school
with fewer and fewer resources. When you also add to the fact
that children with disabilities, particularly severe
disabilities, are often ineligible for vouchers because there
aren't private schools that can provide them the quality
education that they deserve, that you are increasingly draining
resources from the schools that are left to deal with our most
vulnerable and disadvantaged students.
Mr. Blew, maybe you can answer this. How do voucher
programs or proponents of voucher programs address that issue?
Mr. Blew. Let me make a couple of points on this. First of
all, Senator Murray pointed out there is no Federal voucher
program in place right now.
Senator Hassan. No, but you're talking about going to work
for a Secretary of Education who has been a major proponent of
one, and a president who says he wants to spend $20 billion on
it.
Mr. Blew. The Secretary also has said publicly and
repeatedly that she does not favor a Federal voucher program
being imposed on the states. She believes that that's something
that locals should consider, as you did in New Hampshire, for
themselves.
Senator Hassan. Except that there will be Federal dollars
available for it, taking away Federal dollars for other
education resources. If the President is going to devote $20
billion, states are likely to be incentivized to apply for it.
Let me just move on to one last question, which is that
there are particular examples in news reports of families who
have children with disabilities who use a voucher, sign away
their rights, and discover that after some time in the private
school, having been promised that the school was qualified in
educating their child, that they aren't. In at least one case,
a child was put in seclusion, segregated from his peers, and
now he has no legal rights and can't necessarily get back into
the public school right away.
Tell me why it is that voucher proponents think that
draining resources and splintering school systems is going to
help children with disabilities.
Mr. Blew. Senator, I'm not aware of the specific
circumstance you raised. I can tell you the law is very clear
on this, that the local education agency is responsible for
providing a free and public education. So the comment that they
couldn't go back to the public school----
Senator Hassan. Not right away, right? They've waived a lot
of their resources. I'll give you the article that outlines
what happened to this family in the McKay, Florida system.
Mr. Blew. Yes, and I think it's very important for me and
everyone to be aware of these examples. It's also important to
understand that there are 30,000 parents now in that program in
Florida. It's grown tremendously since 2006, and most parents
are overwhelmingly happy, satisfied with the services they're
getting compared to what they would have had in the traditional
system.
Senator Hassan. I thank you for that comment. I'm well over
my time. I would just add that there are thousands of students
left in public schools that aren't happy, in part because they
don't have the resources that they might have had if we had all
focused on making those public school systems serve every
student.
Thank you.
The Chairman. Thank you, Senator Hassan.
Senator Murray, do you have----
Senator Murray. Mr. Chairman, I just would like unanimous
consent to enter into the record a letter from early childhood
education organizations regarding the nomination of General
Zais.
The Chairman. Thank you, Senator Murray.
The Chairman. I ask consent to introduce six letters of
support for Preston Rutledge, including a letter from Senator
Hatch. I ask consent to introduce one letter of support for
Kate O'Scannlain into the record.
Those will be entered under Additional Material.
The Chairman. If Senators wish to ask additional questions
of the nominees, questions for the record are due by 5 p.m.
Friday, November 17. For all other matters, the hearing record
will remain open for 10 days. Members may submit additional
information for the record within that time.
Thank you for being here today. We appreciate the witnesses
attending. We thank the families for coming.
The Committee will stand adjourned.
[Additional Material Follows:]
ADDITIONAL MATERIAL
letters of support for preston rutledge
American Benefits Council,
Washington DC,
November 15, 2017.
Hon. Lamar Alexander, Chairman,
Hon. Patty Murray, Ranking Member,
Senate Committee on Health, Education, Labor, and Pensions,
428 Dirksen Senate Office Building,
Washington, DC.
Dear Chairman Alexander and Ranking Member Murray: I am writing to
strongly support the confirmation of Preston Rutledge as the Assistant
Secretary of Labor for the Employee Benefits Security Administration
(EBSA). The American Benefits Council (Council) represents companies
and other organizations that either directly sponsor, or provide
services to, virtually all of the Nation's employer-sponsored health
and retirement plans.
Over a period of many years, in a variety of different capacities,
Mr. Rutledge had demonstrated that he has the qualities needed to lead
EBSA in a manner that will enhance personal financial security provided
through the employer sponsored benefits system--the source of
retirement and health coverage for the vast majority of Americans.
Mr. Rutledge has already had a distinguished career, most recently
as Tax Counsel serving the Senate Finance Committee. In this position,
he has shown a great ability to bring people together to achieve the
goals of various stakeholders in the employee benefits system.
Mr. Rutledge's skills as a public servant were exemplified by the
valuable role he played in supporting the Members of the Finance
Committee as they worked toward unanimous passage of the Retirement
Enhancement and Savings Act of 2016. This landmark bill would break
major new ground in serving retirement income security and retirement
plan innovation. Senators of both parties appreciated Mr. Rutledge's
expertise and tireless efforts to help the Committee achieve this
important bipartisan accomplishment.
At EBSA, among his many responsibilities, Mr. Rutledge would be
called upon to fairly balance the concerns and priorities of the myriad
stakeholders who play a role in the U.S. employee benefits system.
Foremost, of course, are the interests of the millions of Americans who
rely upon a strong employer-sponsored benefits system for their
financial security. As representatives of the companies and
organizations whose creativity, dedication and substantial financial
investment make possible that system, the Council is confident Mr.
Rutledge will approach his duties with the same expertise, fairness,
receptivity to hearing diverse views, and courtesy that he has
displayed in the public service roles in which he has served.
We strongly support Mr. Rutledge's confirmation and thank you for
considering our views.
Sincerely,
James A. Klein, President,
American Benefits Council.
______
November 14, 2017.
Hon. Lamar Alexander, Chairman,
Hon. Patty Murray, Ranking Member,
Senate Committee on Health, Education, Labor, and Pensions,
428 Dirksen Senate Office Building,
Washington DC.
Dear Chairman Alexander and Ranking Member Murray: The undersigned
associations write in support for Preston Rutledge to be confirmed as
Assistant Secretary of Labor for the Employee Benefits Security
Administration (EBSA).
Mr. Rutledge has led a distinguished career in public service, and
has a proven track record of working in a collaborative and bipartisan
manner. As an expert in retirement policy, employee benefits, executive
compensation, and the tax treatment of life and health insurance, his
background makes him uniquely qualified to lead EBSA.
During his time as Tax and Benefits Counsel on the Majority Tax
Staff of the Senate Finance Committee, many of us have worked with Mr.
Rutledge to advance legislation important to the retirement community
at large. These efforts include the Secure Annuities for Employee
(SAFE) Retirement Act, the Retirement Enhancement and Savings Act
(RESA), the Miners Protection Act (MPA), and the 2015 Tax Reform
Working Group on Savings and Investment. These bills reflect various
perspectives and illustrate his commitment to work across the aisle to
achieve outcomes favorable for different types of workers and their
employers.
We appreciate your consideration of Mr. Rutledge to serve in this
important role. We strongly urge Members of the Committee to act
swiftly and positively on his nomination.
Signed,
American Council of Life Insurers, Association for Advanced
Life Underwriting, American Retirement Association,
Committee on Investment of Employee Benefit Assets, Defined
Contribution Institutional Investment Association,
Financial Services Institute, Financial Services
Roundtable, Insured Retirement Institute, Investment
Company Institute, National Association of Insurance and
Financial Advisors, National Association of Professional
Employer Organizations, NTCA-The Rural Broadband
Association, Plan Sponsor Council of America, Retirement
Industry Trust Association, Securities Industry and
Financial Markets Association, Small Business Council of
America, Small Business Legislative Council, The ESOP
Association, The SPARK Institute, and U.S. Chamber of
Commerce.
______
Insured Retirement Institute,
Washington, DC,
November 13, 2017.
Hon. Lamar Alexander, Chairman,
Hon. Patty Murray, Ranking Member,
Senate Committee on Health, Education, Labor, and Pensions,
Washington, DC.
Dear Chairman Alexander and Ranking Member Murray: On behalf of our
member companies, the Insured Retirement Institute (IRl)\1\, is honored
and privileged to write to you to state our support for the expeditious
confirmation of Preston Rutledge to serve as Assistant Secretary of
Labor for the Employee Benefits Security Administration at the United
States Department of Labor. Mr. Rutledge has been an outstanding
champion for common-sense solutions to increase retirement security for
all Americans and in this position, he would continue to serve as a
strong advocate for Americans to plan earlier and save more for their
retirement.
---------------------------------------------------------------------------
\1\ The Insured Retirement Institute (IRI) is the leading
association for the retirement income industry. IRI proudly leads a
national consumer coalition of 40 organizations, and is the only
association that represents the entire supply chain of insured
retirement strategies. IRI members are the major insurers, asset
managers, broker-dealers/distributors, and 150,000 financial
professionals. As a not-for-profit organization, IRI provides an
objective forum for communication and education, and advocates for the
sustainable retirement solutions Americans need to help achieve a
secure and dignified retirement. earn more at www.irionline.org.
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Mr. Rutledge has a distinguished record of public service to our
Nation, starting with his service as an Officer in the U.S. Navy and
all throughout his career up until his current service as the Tax and
Benefits Counsel on the Republican Tax Staff of the Senate Finance
Committee. He has been active during his time with Senate Finance in
working to enact legislation that would help Americans to achieve
financial security in their retirement years. Mr. Rutledge has been a
strong proponent of finding solutions for Americans to insure against
the risk of outliving their assets and has promoted policies to support
retirement financial planning by recognizing the value of products
providing retirees with guaranteed lifetime income.
Most recently, Mr. Rutledge was one of the prime Senate staff
architects who drafted the Retirement Enhancement and Savings Act. He
then played an instrumental role in garnering bipartisan support for
the bill, culminating last November in a unanimous vote in favor by
Senate Finance Committee. IRI enthusiastically supported this bill as
it made significant strides toward helping Americans overcome the
barriers to a financially secure retirement. It contained bipartisan
measures to: expand access to workplace retirement plans by encouraging
the use of multiple employer plans (MEPs); increase access to lifetime
income strategies that help retirees ensure they do not outlive their
financial assets in retirement; provide certainty to plan sponsors
regarding the selection of a lifetime income provider; enable annuity
portability; and require benefit plan statements to include lifetime
income estimates.
The common-sense solutions of this legislation, are ones that IRI
has long-endorsed and actively advocated for their passage. With Mr.
Rutledge, serving in this position at the Department of Labor, we are
confident with his knowledge about and passion for retirement security,
we can work together to turn these policy proposals into reality and
help more Americans plan for and attain a financially secure
retirement.
The current state of retirement savings readiness in America is at
crisis levels and the need for dedicated and passionate leadership on
this has never been greater. We believe Mr. Rutledge can provide that
leadership.
For these reasons, on behalf of IRI and its member companies, I am
pleased to express our wholehearted , steadfast and strong support for
Preston Rutledge to be confirmed as the next Assistant Secretary for
the Employee Benefits Security Administration at the United States
Department of Labor. We urge all the Members of this Committee to act
expeditiously to vote in favor of his nomination and move his
confirmation forward to the full Senate for its consideration and
action.
Sincerely,
Catherine Weatherford, President & CEO,
Insured Retirement Institute.
______
National Association of Insurance and Financial
Advisors,
Falls Church VA,
November 13, 2017.
Hon. Lamar Alexander, Chairman,
Hon. Patty Murray, Ranking Member,
Senate Committee on Health, Education, Labor, and Pensions,
Washington, DC.
Dear Chairman Alexander and Ranking Member Murray: The National
Association of lnsurance and Financial Advisors (NAIFA) strongly
supports the confirmation of Preston Rutledge to serve as Assistant
Secretary of Labor for the Employee Benefits Security Administration at
the United States Department of Labor. Mr. Rutledge's knowledge and
experience in working with retirement, health and disability issues has
resulted in improvements to the overall security for all Americans and
therefore NAIFA urges the Committee to vote in favor of his nomination
and move his confirmation forward promptly.
NAIFA Members--comprised primarily of insurance agents, many of
whom are also registered representatives--are Main Street advisors\1\
who serve primarily middle-market clients, including individuals and
small businesses. NAIFA Members help families manage the risks of dying
prematurely or outliving savings, and assist in early planning to
achieve their personal retirement goals. Having robust, saver-friendly
employer-sponsored programs is a critical component to overall
financial security and retirement readiness. We believe Mr. Rutledge's
leadership in the Employee Benefits Security Administration will result
in long-term improvements to employee benefits programs.
---------------------------------------------------------------------------
\1\ About NAIFA: Founded in 1890 as The National Association of
Life Underwriters (NALU), NAIFA is one of the Nation's oldest and
largest associations representing the interests of insurance
professionals from every Congressional district in the United States.
NAIFA Members assist consumers by focusing their practices on one or
more of the following: life insurance and annuities, health insurance
and employee benefits, multiline, and financial advising and
investments. NAIFA's mission is to advocate for a positive legislative
and regulatory environment, enhance business and professional skills,
and promote the ethical conduct of its Members.
---------------------------------------------------------------------------
NAIFA looks forward to working with the Committee and with the
Department of Labor to enhance the financial security of American
families. Please contact NA IFA Government Relations Assistant Vice
President Judi Carsrud ([email protected]) with any questions.
Sincerely,
Kevin M. Mayeux, CAE
CEO, NAIFA.
______
United States Senate,
Committee on Finance,
November 15, 2017.
Hon. Lamar Alexander, Chairman,
Senate Committee on Health, Education, Labor, and Pensions,
428 Senate Dirksen Office Building,
Washington, DC.
Dear Chairman Alexander: I am writing to express my support for the
nomination of Preston Rutledge to be the Assistant Secretary of Labor
for the Employee Benefits Security Administration (EBSA). His
nomination iscurrently before the Senate Committee on Health,
Education, Labor and Pensions.
For nearly seven years, Mr. Rutledge has been a valued Member of
the Senate FinanceCommittee staff. Throughout that time, I have been
very fortunate to have him on my team. I cannot think of a more
qualified candidate for this position.
Mr. Rutledge is an experienced attorney with a knack for tax policy
and ERISA issues. His knowledge of issues dealing with employee
benefits is unsurpassed and, throughout out his tenure on the Finance
Committee, he has demonstrated his ability to work with Members and
offices from both sides of the aisle to advance reforms to our Nation's
pension and savings programs, helping to ensure a more stable and
reliable retirement savings system.
Two examples of his success include the Retirement Enhancement &
Savings Act, as well as the ABLE Act which provided savings
enhancements for children with disabilities.
Preston is a dedicated public servant with an outstanding track
record to prove it. As a teenager he worked in our national forests,
and later proudly served as an officer in the U.S. Navy. Later, he was
alaw clerk on the U.S. Circuit Court of Appeals for the 5111 Circuit
and spent over a decade with the Internal Revenue Service focused on
employee benefits and tax-exempt organizations.
Between his experience and impeccable character, I am confident
that Preston is well equipped to tackle the tough issues that lie ahead
for EBSA. There is no one else that I know of who would do a better
job. I am confident that Preston's open-minded and inclusive approaches
to problem-solving will serve to improve our Nation's benefits and
retirement for workers across the country.
Make no mistake, Preston's talents and good humor will be missed on
the Finance Committee. However, I share the president's view that he is
the person best equipped to address the issues facing the EBSA at this
time. I heartily support this nomination.
Sincerely,
Orrin G. Hatch,
Chairman, Senate Committee on Finance.
______
letter of support for kate o'scannlain
November 10, 2017.
Hon. Lamar Alexander Chairman,
Hon. Patty Murray,
Senate Committee on Health, Education, Labor, and Pensions,
428 Senate Dirksen Office Building,
Washington, DC.
Dear Chairman Alexander and Ranking Member Murray: We write in
emphatic support of Kate O'Scannlain's nomination to serve as Solicitor
of Labor, the highest legal position in the Department of Labor.
Although we all have worked with Ms. 0'Scannlain as partners and
colleagues at Kirkland & Ellis LLP, we write this letter of support in
our personal capacity.
For many years, each of us has worked with and alongside Ms.
O'Scannlain. While we have worked on different matters together and in
various contexts, our opinions are the same. Ms. O'Scannlain is a true
professional, a superb lawyer, a gracious colleague, and an ethical and
honorable person. Ms. O'Scannlain is a litigator and also has a broad
range of knowledge and experience with employment, labor and compliance
issues in business sales, acquisitions, and restructurings. Her focus
has been on identification and assessment of issues, consideration of
all points of view, and their thoughtful, fair and practical
resolution. Importantly, she is even-tempered, and with solid and
excellent judgment. She is organized, thoughtful, respectful, and
respected. She is exactly the type of person needed for the broad range
of legal, administrative and enforcement responsibilities of Solicitor
of Labor.
Across the Firm, Ms. O'Scannlain treats everyone with dignity and
respect. She is courteous and patient no matter with whom she
interacts. Ms. O'Scannlain is known for her collegial demeanor and
collaborative style. She mentors associates and has been instrumental
in the firm's diversity initiatives.
Ms. O'Scannlain's work at Kirkland & Ellis has included pro bono
representation of a variety of indigent and not-for-profit clients on
diverse matters, including the obtaining of Combat Related Special
Compensation for a disabled Operation Iraqi Freedom veteran. She is a
regular volunteer at the Archdiocesan Legal Aid Clinic of Washington,
DC. Every year since 2008, Kate has won the Kirkland & Ellis Pro Bono
Service award for her commitment to pro bono service; in three of those
years, she performed over 100 hours of pro bono work.
Outside of our law firm, Ms. O'Scannlain also serves on the Notre
Dame Law Advisory Board. She has served on other boards affiliated with
the University of Notre Dame, including the advisory board of a
Washington, DC school educating underserved students on Capitol Hill.
Ms. O'Scannlain has also served in leadership roles at her children's
school and is active in her parish.
Our support for Ms. 0'Scannlain is not driven by politics. We are
Democrats, Republicans, and Independents, and hold views across the
political spectrum. Even though some of us may disagree with the
policies and politics of this Administration, we all are united in our
view that Ms. O'Scannlain is fair, intellectually honest, and
judicious--a person of great integrity. In short, the President has
nominated an excellent choice for Solicitor of Labor. We encourage her
swift confirmation.
Respectfully,
Allen Winn, Eugene Assaf, Daniel F. Atlridge, James P.
Gillespie, Boyd H. Greene, Michael A. Glick,Mario Mancuso,
Dianne McClanahan, Michael W. McConnell, Zachary Avallone,
Gottschalk Tom, Scott M. Metzger, Amy M. Balkema, Patrick
Haney, Mihalas Alexandra, Christopher Bartolomucci,
Catalina Benech, Liam Patrick Hardy, Amanda Hayes, Lauren
A. Mitchell-Dawson, Christopher F. Mizzo, Robert M.
Bernstein, Andrew M. Herman, Patrick Montgomery, Heather
Bloom, Stephen E. Hessler, Erin E. Murphy, Marin Boney,
George W. Hicks, Linda K. Myers, Daniel A. Bress, Vanessa
Higareda, Ragan Naresh, Chris Chase, Edward Holzwanger,
Bridgette O'Connor, Michael Chiswick-Patterson, Lisa A.
Horton, John C. O'Quinn, Toby Chun, Hughes Emily P.,
Patrick F. Philbin, Jeffrey Clark, Elena Ionita, Evangelia
Podaras, Andrew Clubok, John S. Irving, Craig S. Primis,
Asteena Corren, Ellen M. Jakovic, Jeffrey S. Quinn, Adria
M. Crowe, Jonathan D. Janow, Joanna M. Ritcey-Donohue,
Sabine Curto, Erin C. Johnston, Robert S. Ryland, Elizabeth
Dalmut, Sydney Jones, Mia Sathia, Wendell Daniels, Matthew
D. Keiser, Deborah Scarcella, Susan Davies, LaWan Keith,
Michael A. Schulman, Devin A. DeBacker, Jonathon Kidwell,
Michael Shumsky, Joseph J. DeSanctis, Patrick J. King, Anne
McClain Sidrys, Viet D. Dinh, Caron Kline, R. Timothy
Stephenson, Mark D. Director, Olivia Kwok, Bryan M.
Stephany, Stuart Drake, Chris Landau, Thomas Yannucci, Gary
A. Duncan, Susan E. Engel, William Lane, Andrew Langan,
Scott J. Vail, Sara Webber, Katherine Espiritu, Alexandra
Farmer, Christa J. Laser, Abigail E. Lauer, Thomas P. Weir,
Jason Wilcox, Peter A. Farrell, Kenneth R. Lench, Erica Y.
Williams, Mark Filip, Jennifer Levy, Michael F. Williams,
Pamela Gagliardi, Walter H. Lohmann, Megan Wold, Jonathan
f. Ganter, Jay B. Stephens, Jodi Wu, Robert R. Gasaway, and
Nathan Mammen.
[Whereupon, at 4:08 p.m., the hearing was adjourned.]
[all]