[House Hearing, 116 Congress] [From the U.S. Government Publishing Office] OVERSIGHT OF FEDERAL EFFORTS TO COMBAT THE SPREAD OF ILLICIT FENTANYL ======================================================================= HEARING BEFORE THE SUBCOMMITTEE ON OVERSIGHT AND INVESTIGATIONS OF THE COMMITTEE ON ENERGY AND COMMERCE HOUSE OF REPRESENTATIVES ONE HUNDRED SIXTEENTH CONGRESS FIRST SESSION __________ JULY 16, 2019 __________ Serial No. 116-53 [GRAPHIC NOT AVAILABLE IN TIFF FORMAT] Printed for the use of the Committee on Energy and Commerce govinfo.gov/committee/house-energy energycommerce.house.gov __________ U.S. GOVERNMENT PUBLISHING OFFICE 43-927 PDF WASHINGTON : 2021 -------------------------------------------------------------------------------------- COMMITTEE ON ENERGY AND COMMERCE FRANK PALLONE, Jr., New Jersey Chairman BOBBY L. RUSH, Illinois GREG WALDEN, Oregon ANNA G. ESHOO, California Ranking Member ELIOT L. ENGEL, New York FRED UPTON, Michigan DIANA DeGETTE, Colorado JOHN SHIMKUS, Illinois MIKE DOYLE, Pennsylvania MICHAEL C. BURGESS, Texas JAN SCHAKOWSKY, Illinois STEVE SCALISE, Louisiana G. K. BUTTERFIELD, North Carolina ROBERT E. LATTA, Ohio DORIS O. MATSUI, California CATHY McMORRIS RODGERS, Washington KATHY CASTOR, Florida BRETT GUTHRIE, Kentucky JOHN P. SARBANES, Maryland PETE OLSON, Texas JERRY McNERNEY, California DAVID B. McKINLEY, West Virginia PETER WELCH, Vermont ADAM KINZINGER, Illinois BEN RAY LUJAN, New Mexico H. MORGAN GRIFFITH, Virginia PAUL TONKO, New York GUS M. BILIRAKIS, Florida YVETTE D. CLARKE, New York, Vice BILL JOHNSON, Ohio Chair BILLY LONG, Missouri DAVID LOEBSACK, Iowa LARRY BUCSHON, Indiana KURT SCHRADER, Oregon BILL FLORES, Texas JOSEPH P. KENNEDY III, SUSAN W. BROOKS, Indiana Massachusetts MARKWAYNE MULLIN, Oklahoma TONY CARDENAS, California RICHARD HUDSON, North Carolina RAUL RUIZ, California TIM WALBERG, Michigan SCOTT H. PETERS, California EARL L. ``BUDDY'' CARTER, Georgia DEBBIE DINGELL, Michigan JEFF DUNCAN, South Carolina MARC A. VEASEY, Texas GREG GIANFORTE, Montana ANN M. KUSTER, New Hampshire ROBIN L. KELLY, Illinois NANETTE DIAZ BARRAGAN, California A. DONALD McEACHIN, Virginia LISA BLUNT ROCHESTER, Delaware DARREN SOTO, Florida TOM O'HALLERAN, Arizona ------ Professional Staff JEFFREY C. CARROLL, Staff Director TIFFANY GUARASCIO, Deputy Staff Director MIKE BLOOMQUIST, Minority Staff Director Subcommittee on Oversight and Investigations DIANA DeGETTE, Colorado Chair JAN SCHAKOWSKY, Illinois BRETT GUTHRIE, Kentucky JOSEPH P. KENNEDY III, Ranking Member Massachusetts,Vice Chair MICHAEL C. BURGESS, Texas RAUL RUIZ, California DAVID B. McKINLEY, West Virginia ANN M. KUSTER, New Hampshire H. MORGAN GRIFFITH, Virginia KATHY CASTOR, Florida SUSAN W. BROOKS, Indiana JOHN P. SARBANES, Maryland MARKWAYNE MULLIN, Oklahoma PAUL TONKO, New York JEFF DUNCAN, South Carolina YVETTE D. CLARKE, New York GREG WALDEN, Oregon (ex officio) SCOTT H. PETERS, California FRANK PALLONE, Jr., New Jersey (ex officio) C O N T E N T S ---------- Page Hon. Diana DeGette, a Representative in Congress from the State of Colorado, opening statement................................. 1 Prepared statement........................................... 3 Hon. Brett Guthrie, a Representative in Congress from the Commonwealth of Kentucky, opening statement.................... 4 Prepared statement........................................... 6 Hon. Frank Pallone, Jr., a Representative in Congress from the State of New Jersey, opening statement......................... 7 Prepared statement........................................... 8 Hon. Greg Walden, a Representative in Congress from the State of Oregon, opening statement...................................... 9 Prepared statement........................................... 11 Hon. Ann Kuster, a Representative in Congress from the State of New Hampshire, prepared statement.............................. 100 Witnesses Kemp L. Chester, Assistant Director of The National Opioids and Synthetics Coordination Group White House Office of National Drug Control Policy............................................ 13 Prepared statement........................................... 16 Answers to submitted questions............................... 114 Matthew Donahue, Regional Director North and Central Americas, Operation Division, Drug Enforcement Administration, U.S. Department of Justice.......................................... 31 Prepared statement........................................... 33 Answers to submitted questions............................... 122 Thomas F. Overacker, Executive Director, Office of Field Operations, Customs and Border Protection, U.S. Department of Homeland Security.............................................. 43 Prepared statement........................................... 45 Answers to submitted questions............................... 137 Gary R. Barksdale, Chief Postal Inspector, U.S. Postal Service... 53 Prepared statement........................................... 55 Answers to submitted questions............................... 158 David A. Prince, Deputy Assistant Director, Transnational Organized Crime, Homeland Security Investigations, Immigration and Customs Enforcement, U.S. Department of Homeland Security.. 60 Prepared statement........................................... 62 Answers to submitted questions............................... 165 Carol Cave, Director, Office of Enforcement and Import Operations, Office of Regulatory Affairs, Food and Drug Administration, U.S. Department of Health and Human Services... 66 Prepared statement........................................... 68 Answers to submitted questions............................... 175 Submitted Material Statement of Actus Foundation ``Amanda's Way'', July 16, 2018, submitted by Ms. DeGette....................................... 101 Article of International Journal of Drug Policy, by Nicholas C. Peiper, et al., submitted by Ms. DeGette....................... 107 OVERSIGHT OF FEDERAL EFFORTS TO COMBAT THE SPREAD OF ILLICIT FENTANYL ---------- TUESDAY, JULY 16, 2019 House of Representatives, Subcommittee on Oversight and Investigations, Committee on Energy and Commerce, Washington, DC. The subcommittee met, pursuant to call, at 10:04 a.m., in the John D. Dingell Room 2123 Rayburn House Office Building, Hon. Diana DeGette [chairwoman of the subcommittee] presiding. Members present: Representatives DeGette, Schakowsky, Kennedy, Ruiz, Kuster, Sarbanes, Tonko, Peters, Pallone (ex officio), Guthrie (subcommittee ranking member), McKinley, Griffith, Brooks, Mullin, Duncan, and Walden (ex officio). Staff present: Mohammad Aslami, Counsel; Joe Banez, Professional Staff Member; Kevin Barstow, Chief Oversight Counsel; Jeffrey C. Carroll, Staff Director; Manmeet Dhindsa, Counsel; Tiffany Guarascio, Deputy Staff Director; Chris Knauer, Oversight Staff Director; Jourdan Lewis, Policy Analyst; Kevin McAloon, Professional Staff Member; Benjamin Tabor, Staff Assistant; Jennifer Barblan, Minority Chief Counsel, Oversight and Investigations; Mike Bloomquist, Minority Staff Director; Adam Buckalew, Minority Director of Coalitions and Deputy Chief Counsel, Health; Jordan Davis, Minority Senior Advisor; Brittany Havens, Minority Professional Staff, Oversight and Investigations; Peter Kielty, Minority General Counsel; Brannon Rains, Minority Legislative Clerk; and Alan Slobodin, Minority Chief Investigative Counsel, Oversight and Investigations. Ms. DeGette. The Subcommittee on Oversight and Investigations will now come to order. Today, the Subcommittee on Oversight and Investigations is holding a hearing entitled ``Oversight of Federal Efforts to Combat the Spread of Illicit Fentanyl.'' The purpose of today's hearing is to examine the increasing threat posed by fentanyl and the Federal Government's coordination and response. The Chair now recognizes herself for purposes of an opening statement. OPENING STATEMENT OF HON. DIANA DeGETTE, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF COLORADO Today, we are once again here to discuss the opioid crisis, an epidemic that this country has been battling for years. Previously, this committee has taken numerous actions to investigate the origins and elements of the crisis and help bring relief to those who are suffering. Today's hearing will examine the growing threat of synthetic opioids, which experts have called the third wave of the opioid epidemic. Our communities have already been ravaged by prescription opioids and then heroin. Now, unfortunately, we are seeing significant increases in overdose deaths involving synthetic opioids like fentanyl, including in my home state of Colorado. Fentanyl is extremely dangerous. It is 50 times more powerful than heroin, 100 times more powerful than morphine, and it is responsible for a number of growing overdose deaths in America. Fentanyl is also cheap and it's easy to produce, giving a high return for those who seek to profit from the destruction that it causes. Fentanyl can be used on its own or can be mixed with other drugs. Alarmingly, even amateur chemists can produce this highly dangerous drug with minimal resources and experience. It is often made overseas, likely in China, then shipped either directly to users in the United States or through intermediaries in other countries like Mexico. It can be bought anonymously on the dark web, and because it is so potent, small but deadly quantities of the drug can be shipped in packages via the U.S. mail or in private consignment carriers. Today, we have before us six agencies who play important roles in fighting the proliferation of fentanyl. Each is responsible for a piece of this effort, from guarding the border, to taking down drug trafficking organizations, to protecting the legitimate drug supply. These agencies will provide us with their assessment of how we got here, where the fentanyl threat stands right now, and how it has changed in recent months. And I want to thank each one of our witnesses for coming today. The purpose is to examine the state of fentanyl, but also our government's response to it. The threat is serious and evolving, and our response must be equally committed and adaptable. These agencies have experience enforcing our nation's drug laws, gathering intelligence against traffickers, and arresting powerful criminals, and we are thankful for their efforts. But fentanyl represents a unique problem, so these agencies need to develop new ways of attacking it. Because we have seen the opioid crisis evolve and take different forms, we also need to anticipate how fentanyl trends are likely to continue to change. I am interested to hear all of our witnesses' perspectives on this and how we can get ahead of the evolving threat so we are not caught flat-footed like we have been before, unfortunately. I am struck by the diverse missions of this panel. It is not every day that we have a hearing with the U.S. Postal Service and the DEA on the same panel. Every one of these witnesses represents just a piece of the puzzle, which means that we cannot succeed unless everybody comes together. The crisis is going to require a massive coordinated effort to overcome. We, frankly, need a national strategy on fentanyl response, and I don't mean just a white paper document or a task force report. I mean we need a coherent practical plan for how we are going to beat this problem. For example, the Office of National Drug Control Policy is supposed to formulate a strategy, bring all of the agencies together, and see to it that the strategy is implemented effectively. Are you coordinating the efforts of these agencies, and if so, how? Your mission is now more important than ever, so we will be looking to you for leadership and vision. DEA, you are on the front lines and often develop important leads for targeting drugs. Is that information being regularly shared with CBP so that it can adequately target fentanyl shipments when they come into the U.S.? FDA, suddenly, you are in the middle of this fight because fentanyl is increasingly being mixed with other drugs, including counterfeit prescription drugs. How are you coordinating with law enforcement to protect the drug supply? These are just a few of the questions we will explore today. If we are going to solve this problem, we need better cooperation across agencies, and we need to think differently than we have on past drug epidemics. Finally, this hearing is just one piece of oversight. This subcommittee will stay on this issue and ensure progress is being made so, as so frequently happens, unfortunately, we are not back next year talking about the same problems. Again, I thank the witnesses for their service on this critical issue and for coming here today, all in one panel. [The prepared statement of Ms. DeGette follows:] Prepared Statement of Hon. Diana DeGette Today, we are here once again to discuss the opioid crisis, an epidemic this country has been battling for years. Previously, this Committee has taken numerous actions to investigate the origins and elements of the crisis and help bring relief to those who are suffering. Today's hearing will examine the growing threat of synthetic opioids, which experts have called the ``third wave" of the opioid epidemic. Our communities have already been ravaged by prescription opioids and then heroin. Now, we are seeing significant increases in overdose deaths involving synthetic opioids such as fentanyl, including in my home state of Colorado. Fentanyl is exceedingly dangerous. It is 50 times more powerful than heroin, 100 times more powerful than morphine, and it is responsible for a growing amount of overdose deaths in America. Fentanyl is also cheap and easy to produce, giving a high return for those who seek to profit from the destruction it causes. Fentanyl can be used on its own or can be mixed with other drugs. Alarmingly, even amateur chemists can produce this highly dangerous drug with minimal resources and expertise. It is often made overseas, likely in China, then shipped either directly to users in the United States or through intermediaries in other countries such as Mexico. It can be bought anonymously on the Dark Web, and because it is so potent, small but deadly quantities of the drug can be shipped in packages via the U.S. Mail or private consignment carriers. Today, we have before us six agencies who play important roles in fighting the proliferation of fentanyl. Each of them is responsible for a piece of this effort--from guarding the border, to taking down drug trafficking organizations, to protecting the legitimate drug supply. These agencies will provide us with their assessment of how we got here, where the fentanyl threat stands now, and how it has changed in recent months. The purpose of today's hearing is to examine the state of fentanyl, but also our government's response to it. The threat is serious and evolving, and our response must be equally committed and adaptable. These agencies have experience enforcing our nation's drug laws, gathering intelligence against traffickers, and arresting powerful criminals. And we are thankful for their efforts. But fentanyl represents a unique problem, so these agencies need to develop new ways of attacking it. Because we have seen the opioid crisis evolve and take different forms, we also need to anticipate how fentanyl trends are likely to continue to change. I am interested to hear these witnesses' perspectives on how we can get ahead of this evolving threat, so we are not caught flat-footed. As I look at the witness panel, I am struck by their diverse missions. It is not every day that we have a hearing with the U.S. Postal Service and the DEA on the same witness panel. Each of you represents only a piece of this puzzle, which means we cannot succeed unless all of you come together. This crisis is going to require a massive, coordinated effort to overcome. We need a national strategy on our fentanyl response. And I don't just mean a white paper document or a task force report. I mean we need a coherent, practical plan for how we are going to beat this problem. For example, the Office of National Drug Control Policy (ONDCP) is supposed to formulate a strategy, bring all the agencies together, and see to it that the strategy is implemented effectively. Are you coordinating the efforts of these agencies, and if so, how? Your mission is now more important than ever, so we will be looking to you for leadership and vision. DEA, you are on the front lines and often develop important leads for targeting drugs. Is that information being regularly shared with CBP so it can adequately target fentanyl shipments when they come into the U.S.? FDA, you are suddenly in the middle of this fight because fentanyl is increasingly being mixed with other drugs, including counterfeit prescription drugs. How are you coordinating with law enforcement to protect the drug supply? These are just a few of the questions we will explore today. If we are going to solve this problem, we need better cooperation across agencies, and we need to think differently than we have on past drug epidemics. Finally, this hearing is just one piece of our oversight. This Subcommittee will stay on this issue and ensure progress is being made so that we are not back here again next year talking about the same problems. I thank the witnesses for their service on this critical issue, and for being here today. Ms. DeGette. And now I recognize the ranking member of the subcommittee, Mr. Guthrie, for five minutes for an opening statement. OPENING STATEMENT OF HON. BRETT GUTHRIE, A REPRESENTATIVE IN CONGRESS FROM THE COMMONWEATH OF KENTUCKY Mr. Guthrie. Thank you, Chair DeGette, for holding this important hearing. The Energy and Commerce Committee has been steadfast in its efforts to help combat the opioid crisis with both investigations and legislation. Whether it was the committee's investigations into opioid distributors, patient brokering, or major opioid manufacturers, we have continued to ask questions and demand answers for the American people. When it comes to legislation, this committee led the way on passage of the 21st Century CURES Act, the Comprehensive Addiction and Recovery Act, and the SUPPORT Act for patients in communities. I was proud to work with these three landmark bills which are advancing treatment and recovery initiatives, improving prevention, protecting communities, and bolstering our efforts to fight deadly illicit synthetic drugs like fentanyl. Fentanyl is a synthetic opioid that is 80 to 100 times stronger than morphine and 50 times more potent than heroin. For many years, pharmaceutical fentanyl has been utilized as a powerful pain medicine to treat severe pain such as advanced cancer pain commonly used in the form of a patch on the skin or a lollipop. But pharmaceutical fentanyl is not why we are here today. We are here today because of concerns over illicit or illegally manufactured fentanyl. The fentanyl crisis is particularly dangerous because of its high potency, and the small amount required to potentially cause an overdose. It has become a powerful additive to drugs such as heroin, cocaine, or counterfeit pills with or without the user's knowledge. According to the CDC, in 2017 there were more than 28,000 deaths involving synthetic opioids in the United States, which is more deaths than from any other type of opioid. Further, overdose death rates from synthetic opioids increased all across all demographics, county urbanization levels, and numerous states. A little bit of fentanyl goes a long way, which makes it harder for law enforcement to track where and how fentanyl is being purchased. Fentanyl can be purchased on the internet both in open source and on the dark web, and can be purchased pseudo anonymously using bitcoin or crypto currency. In addition to being smuggled across our borders, fentanyl can be mailed in small quantities through the Postal Service or express consignment carriers and, therefore, has a higher likelihood of coming into the United States undetected. These circumstances require a much different approach to intelligence, interdiction, and law enforcement compared to methods that may be better suited for what might be considered a more common drug smuggling operation. The threat is real, and it has been growing over the past few years. According to Customs and Border Protection data, in fiscal year 2015, 70 pounds of fentanyl were seized in the United States. In comparison, for fiscal year 2018, more than 2,000 pounds of fentanyl was seized. Further, for fiscal year 2019 to date, there have been 17,003 pounds of fentanyl seized, which is enough fentanyl for more than 600 million lethal doses of fentanyl, and we still have four more months of data to count before we know the total for this year. I want to acknowledge some of the efforts and accomplishments of this administration, including but not limited to HHS establishing an interdepartmental substance use disorder coordinating committee, China pledging to add fentanyl to its list of controlled substances, increasing shipment tracking responsibilities and coordination among multiple entities, and disruption efforts which has taken down an entire online black market. While we are already seeing new tools and resources provided and utilized as a result of this committee and the administration's work, the threat still exists, and our work is not done. I want to thank all the witnesses for being here today. I look forward to hearing from all of you about successes we have had in combating our nation's fentanyl threat but also how the threat has changed, what challenges remain, and what more we in Congress can do to be partners in this fight. I yield back. [The prepared statement of Mr. Guthrie follows:] Prepared Statement of Hon. Brett Guthrie Thank you, Chair DeGette, for holding this important hearing. The Energy and Commerce Committee has been steadfast in its efforts to help combat the opioid crisis, with both investigations and legislation. Whether it was the Committee's investigations into opioid distributors, patient brokering, or the major opioid manufacturers--we've continued to ask questions and demand answers for the American public. When it comes to legislation, this Committee lead the way on passage of the 21st Century Cures Act, the Comprehensive Addiction and Recovery Act, and the SUPPORT for Patients and Communities Act. I was proud to work on these three landmark bills, which are advancing treatment and recovery initiatives, improving prevention, protecting communities, and bolstering our efforts to fight deadly illicit synthetic drugs like fentanyl. Fentanyl is a synthetic opioid that is 80 to 100 times stronger than morphine and 50 times more potent than heroin. For many years, pharmaceutical fentanyl has been utilized as a powerful pain medicine to treat severe pain, such as advanced cancer pain, commonly used in the form of a patch on the skin or a ``lollipop." But pharmaceutical fentanyl is not why we're here today--we're here today because of concerns over illicit, or illegally manufactured, fentanyl. The fentanyl crisis is particularly dangerous because of its high potency and the small amount required to potentially cause an overdose. It has become a powerful additive to drugs such as heroin, cocaine, or counterfeit pills--with or without the user's knowledge. According to the CDC, in 2017 there were more than 28,000 deaths involving synthetic opioids in the United States--which is more deaths than from any other type of opioid. Further, overdose death rates from synthetic opioids increased across all demographics, county urbanization levels, and numerous states. A little bit of fentanyl goes a long way--which makes it harder for law enforcement to track where and how fentanyl is being purchased. Fentanyl can be purchased on the internet-both in the open source and on the dark web-and can be purchased pseudo-anonymously using bitcoin or crypto currency. In addition to being smuggled across our borders, fentanyl can be mailed in small quantities through the postal service or express consignment carriers, and therefore has a higher likelihood of coming into the United States undetected. These circumstances require a much different approach to intelligence, interdiction, and law enforcement compared to methods that may be better suited for what might be considered a more common drug smuggling operation. The threat is real and has been growing over the past few years. According to Customs and Border Protection data, in fiscal year 2015, 70 pounds of fentanyl were seized in the United States. In comparison, for fiscal year 2018, more than 2,000 pounds of fentanyl were seized. Further, for fiscal year 2019 to date, there have been 1,703 pounds of fentanyl seized. That is enough fentanyl for more than 600 million lethal doses of fentanyl, and we still have four more months of data to account for before we will know the total for this year. I want to acknowledge some of the efforts and accomplishments of this Administration, including but not limited to HHS establishing an interdepartmental substance use disorder coordinating committee; China pledging to add fentanyl to its list of controlled substances; increasing shipment- tracking responsibilities and coordination among multiple entities; and disruption efforts such as taking down an entire online black market. While we are already seeing new tools and resources provided and utilized as a result of this Committee and the Administration's work--the threat still exists, and our work is not done. I want to thank all of the witnesses for being here today. I look forward to hearing from all of you about successes we have had in combatting our nation's fentanyl threat, but also how the threat has changed, what challenges remain, and what more we, in Congress, can do to be partners in this fight. Ms. DeGette. The Chair now recognizes the chairman of the full committee, Mr. Pallone, for five minutes for purposes of an opening statement. OPENING STATEMENT OF HON. FRANK PALLONE, Jr., A REPRESENTATIVE IN CONGRESS FROM THE STATE OF NEW JERSEY Mr. Pallone. Thank you, Madam Chair. This committee has held many hearings on the opioid crisis over the last several years, and with each hearing it seems the challenge to combat the crisis grows even more daunting. While opioid prescribing rates appears to have gone done, overdose deaths continue to climb. Communities all around the country are still suffering from this epidemic, now largely at the hands of heroin, increasingly fentanyl. Fentanyl is a deadly synthetic drug that is 50 times more powerful than heroin. Because it's relatively easy to make and so potent, it is tragically leading to large increases in overdose deaths. We have all heard the terrible numbers that tell the story. In 2017, there were over 47,000 opioid overdose deaths. Twenty- eight thousand of those deaths involve synthetic opioids such as fentanyl. My home state of New Jersey, for example, has seen a ten- fold increase in deaths involving fentanyl in the last several years, and fentanyl represents the third wave, as the chairwoman said, in the opioid crisis. After the country was inundated with prescription opioids, prescribing rates when down. But many of those who were already addicted then turned to heroin, and now the trend is shifting towards synthetic opioids like fentanyl, which pose a unique threat. These drugs are manufactured overseas in countries like China, oftentimes in clandestine labs. These drugs are then shipped into the U.S. often in small quantities that are difficult to detect. And to make matters worse, we are now seeing fentanyl increasingly mixed into other drugs like cocaine, methamphetamine, and even counterfeit prescription drugs like Oxycodone. This means that many unsuspecting people are dying at the hands of fentanyl when they didn't even realize they were taking it, and this drug represents an unprecedented threat to the U.S. and we have to do everything we can to stop this flow into our communities. Today, we are hearing from the key law enforcement and regulatory agencies on the front line of this battle. Each agency plays a critical part and has decades of experience in this fight. The problem, however, is that fentanyl is unlike any drug crisis we have faced before. All of these factors point to one conclusion. We have to think differently about how to counter the spread of fentanyl. The old approaches simply will not suffice. Finally, we have repeatedly heard from experts that we cannot arrest our way out of the opioid crisis and fentanyl is no different. Evidence-based treatment is the best hope for those suffering from addiction and we must support programs that provide that help. So today's hearing focuses on how to stop the flow in fentanyl but this is by no means the end of the conversation. I am committed to providing Americans suffering from opioid use disorder access to the quality treatment they need, and this committee will continue to shine a spotlight on this crisis to help identify solutions including in the treatment and public health arenas. [The prepared statement of Mr. Pallone follows:] Prepared Statement of Hon. Frank Pallone, Jr. This Committee has held many hearings on the opioid crisis over the last several years, and with each hearing it seems the challenge to combat the crisis grows even more daunting. While opioid prescribing rates appear to have gone down, overdose deaths continue to climb. Communities all around the country are still suffering from this epidemic, now largely at the hands of heroin and increasingly, fentanyl. Fentanyl is a deadly synthetic drug that is 50 times more powerful than heroin. Because it is relatively easy to make and so potent, it is tragically leading to large increases in overdose deaths. We have all heard the terrible numbers that tell this story. In 2017, there were over 47,000 opioid overdose deaths, 28,000 of those deaths involved synthetic opioids such as fentanyl. My home state of New Jersey, for example, has seen a tenfold increase in deaths involving fentanyl in the last several years. Fentanyl represents the third "wave" in the opioid crisis. After the country was inundated with prescription opioids, prescribing rates went down--but many of those who were already addicted then turned to heroin. Now the trend is shifting toward synthetic opioids like fentanyl, which poses a unique threat. These drugs are manufactured overseas in countries like China, oftentimes in clandestine labs. These drugs are then shipped into the United States, often in small quantities that are difficult to detect. To make matters worse, we are now seeing fentanyl increasingly mixed into other drugs like cocaine, methamphetamine, and even counterfeit prescription drugs like oxycodone. This means that many unsuspecting people are dying at the hands of fentanyl when they didn't even realize they were taking it. This drug represents an unprecedented threat to the United States--and we must do everything we can to stop its flow into our communities. Today we will hear from the key law enforcement and regulatory agencies on the front lines of this battle. Each agency plays a critical part and has decades of experience in this fight. The problem, however, is that fentanyl is unlike any drug crisis we have faced before. Just about everything about this threat is new: how easily it can be produced and sold, where it can be made, how it can be trafficked into our country, how difficult it is to detect-- and of course, how deadly it is. All of these factors point to one conclusion--we have to think differently about how to counter the spread of fentanyl. The old approaches simply will not suffice. We need to hear from the agencies about how they are adapting to this new and evolving threat, how they are thinking of new ways to attack this problem, and especially, how they are collaborating. The fentanyl threat is so unprecedented, and so challenging, that no single agency can tackle it on its own. They must all work together. You simply cannot let turf wars or the competition for bringing cases stop you from cooperating with one another to help solve this problem. The stakes are too high. Finally, we have repeatedly heard from experts that we cannot arrest our way out of the opioid crisis, and fentanyl is no different. Evidence-based treatment is the best hope for those suffering from addiction, and we must support programs that provide that help. Today's hearing focuses on how to stop the flow of fentanyl, but this is by no means the end of the conversation. I am committed to providing Americans suffering from opioid use disorder access to the quality treatment they need. This Committee will continue to shine a spotlight on this crisis to help identify solutions, including in the treatment and public health arenas. I yield back. Mr. Pallone.I have about two minutes left, and I'd like to yield that now to the gentlewoman from New Hampshire, Ms. Kuster. Ms. Kuster. Thank you, Chairman Pallone. We have seen the opioid crisis evolve and take many different forms, as you described. But no community in this country has been spared. New England and New Hampshire, in particular, have been devastated by this crisis. In my home state, while we have seen the rate of prescription opioid and heroin overdose deaths decline, the rate of fentanyl--involved overdoses has not subsided. With the help of a coordinated approach at the local level, the hub and spoke model ensures that every Granite Stater has nearby access to treatment and recovery services. But this does not solve the supply problem. We know all too well that newer, stronger, and deadlier analogs of fentanyl continue to proliferate and challenge our ability to prevent needless premature deaths. I look forward to the hearing. I look forward to your testimony and I thank the gentlewoman chairing this subcommittee and the chair of the committee for their attention to this crisis. Thank you. I yield back. Mr. Pallone. Thank you. I have about a minute. I don't know if anybody else wants the time. If not, I will yield back, Madam Chair. Ms. DeGette. The gentleman yields back. The Chair now recognizes the ranking member of the full committee, Mr. Walden, for five minutes for purposes of an opening statement. OPENING STATEMENT OF HON. GREG WALDEN, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF OREGON Mr. Walden. Good morning, Madam Chair, and thank you for holding this really, really important hearing on getting illicit fentanyl off our streets. As you've heard, fentanyl is so deadly a piece of it, the size of a few grains of salt, can kill you. It reportedly led to 49 deaths in Oregon in 2017. So, ridding our communities of fentanyl is a key piece of combating the opioid crisis in Oregon and across the country. Illicit fentanyl is a tremendously difficult and dynamic problem. It is hard to detect and is highly potent and lucrative enough to be sent in small envelopes or packages, and while the heroin market was monopolized by large criminal groups, this fentanyl wave--it is harder to police. It is coming almost entirely from the black market on the dark web and clandestine labs in China and Mexico with many mid-level and small operators in addition to drug smuggling operations like the cartels. This subcommittee last held an oversight hearing on illicit fentanyl back in March of 2017. The need for fentanyl focused action was clear then. Two years later, there are numerous significant accomplishments. Last year the committee worked in a bipartisan way to enact the SUPPORT Act to bolster the fight against opioids such as fentanyl. This law has helped provide advanced electronic data of international mail shipments to help target and intercept illicit fentanyl. This act also provided the FDA with a new tool for deterring imports of illicit fentanyl. As you'll recall, Dr. Burgess went up to a mail distribution facility in New Jersey and learned a lot and brought that back to us. The Trump administration has spurred improved actions in the fentanyl fight. Our nation is getting at least some improved level of cooperation from the Chinese government on class-based scheduling, which helps remove an incentive for traffickers to introduce new substances in the fentanyl family for the purpose of evading controls. President Trump deserves credit for moving this bold proposal based on the longstanding work of the White House Office on National Drug Control Policy, the DEA, and the State Department. President Xi of China deserves some credit for agreeing to a commitment to crack down on fentanyl as a class. We'd like to see more there. While it's too soon to assess the impact, early indications are at least encouraging. And since February of 2018, DEA has imposed emergency scheduling of fentanyl-related substances, but we need to work with DEA and other federal agencies to find the best approach to make this scheduling permanent. The Stop Importation and Trafficking of Synthetic Analogs, or SITSA, Act, which would have given law enforcement additional tools they need to get illicit drugs such as fentanyl off our streets without compromising important public health and research protections, that was included in our House-passed version of the SUPPORT Act but, sadly, was not included in the final package that became law. Mr. Katko of New York, he sponsored this legislation. It would be a good place to start again and we should make it law. On July of 2017, the Department of Justice announced the seizure of AlphaBay. That's the largest criminal marketplace on the dark web and a major source of fentanyl linked to overdose deaths. The AlphaBay takedown was an international operation led by the U.S. Both DEA and CBP recently made the largest seizures of fentanyl in U.S. history and we thank you for that. Federal agents working with local police seized 50 kilos of fentanyl precursor in 2017. For the first time the Justice Department announced indictments of Chinese nationals for conspiracies to distribute large quantities of fentanyl and fentanyl analogs. May of '19, a dark net drug dealer was indicted for selling fentanyl online, thanks to Homeland Security's investigations, a year-long nationwide undercover action, and under agreement with the U.S. Postal Service, China Post is providing advanced electronic data on parcels mailed to the U.S. FDA and CBP signed an agreement in April of 2019 to maximize inspection detection capabilities to products such as fentanyl from entering the United States. So, we salute these important federal workers and agencies for their work. But we know big challenges remain. More work is needed to get better cooperation from Mexico's law enforcement authorities. We need to remain vigilant with China on its fentanyl commitment. Much more needs to be done to collect better data on fentanyl trafficking and to improve data sharing and we want to hear more on strategy to disrupt fentanyl trafficking. We will be asking questions how we can strengthen our efforts on what this committee can provide. The SUPPORT Act was a great start, but it is not enough. And Madam Chair, I would remind you we posted our final oversight investigations report on the committee's Web site and sent everybody a letter at the beginning of the year. There were some important recommendations there I hope we can eventually get to. Before I conclude, I want to take a moment to recognize Michael Gray. He is father of Amanda Beatrice Rose Gray. Amanda died of an overdose of pure fentanyl in January of 2018--pure fentanyl. Michael has been a tireless advocate fighting against the opioid epidemic and fentanyl. His efforts informed our work in the last Congress. He was incredibly helpful in that, and let us remember as the face of this crisis his daughter, and we thank you for being here and we thank you for your work. Madam Chair, in conclusion, the Actus Foundation--we have a letter we would like entered into the record that we previewed with you. [The prepared statement of Mr. Walden follows:] Prepared Statement of Hon. Greg Walden Chair DeGette, thank you for holding this hearing on getting illicit fentanyl off our streets. Fentanyl is so deadly that a piece the size of a few grains of salt can kill you, and reportedly led to 49 deaths in Oregon in 2017. Ridding our communities of fentanyl is a key piece of combating the opioid crisis in Oregon and across the country. Illicit fentanyl is a tremendously difficult and dynamic problem. It is hard to detect, highly potent, and lucrative enough to be sent in small envelopes or packages. While the heroin market was monopolized by large criminal groups, this fentanyl wave is harder to police. It is coming almost entirely from the black market on the dark web and clandestine labs in China and Mexico with many mid-level and small operators, in addition to drug smuggling operations like the cartels. This Subcommittee last held an oversight hearing on illicit fentanyl in March 2017. The need then for fentanyl-focused action was clear. Two years later, there are numerous significant accomplishments. Last year, this Committee worked in a bipartisan way to enact the SUPPORT Act to bolster the fight against opioids such as fentanyl. This law helped provide advance electronic data of international mail shipments to help target and intercept illicit fentanyl. This Act also provided the FDA with a new tool for deterring imports of illicit fentanyl. The Trump Administration has spurred important actions in the fentanyl fight. Our nation is getting cooperation from China on class-based scheduling, which helps remove an incentive for traffickers to introduce new substances in the fentanyl family for the purpose of evading controls. President Trump deserves credit for moving this bold proposal, based on the longstanding work of the White House Office on National Drug Control Policy, the DEA, and the State Department. President Xi of China deserves credit for agreeing to a commitment to crack down on fentanyl as a class. While it is too soon to assess the impact, early indications seem encouraging. Since February 2018, DEA has imposed emergency scheduling of fentanyl-related substances. We need to work with DEA and other federal agencies to find the best approach to make this scheduling permanent. The Stop the Importation & Trafficking of Synthetic Analogues (SITSA) Act, which would have given law enforcement additional tools they need to help get illicit synthetic drugs, like fentanyl, off our streets without compromising important public health and research protections was included in the House-passed version of the SUPPORT Act, but ultimately not included in the final package that became law. Mr. Katko's legislation is a good place to start. In July 2017, the Department of Justice announced the seizure of AlphaBay, the largest criminal marketplace on the dark web, and a major source of fentanyl linked to overdose deaths. The AlphaBay takedown was an international operation led by the U.S. Both DEA and CBP recently made the largest seizures of fentanyl in U.S. history. Federal agents working with local police seized 50 kilos of a fentanyl precursor in May 2017, apparently one of the largest, if not the largest, seizure of a precursor in the U.S. For the first time, the Justice Department announced indictments of Chinese nationals for conspiracies to distribute large quantities of fentanyl and fentanyl analogs. In May 2019, a darknet drug dealer was indicted for selling fentanyl online, thanks to Homeland Security Investigations' yearlong nationwide undercover actions to target vendors of illicit goods on the dark web. Under an agreement with the U.S. Postal Service, China Post is providing advanced electronic data on parcels mailed to the U.S. FDA and CBP signed an agreement in April 2019 to maximize inspection and detection capabilities to products such as fentanyl from entering the U.S. We salute the federal agencies for this work, but big challenges remain. More work is needed to get better cooperation from Mexico's law enforcement authorities. We need to remain vigilant with China on its fentanyl commitment. Much more needs to be done to collect better data on fentanyl trafficking and to improve data-sharing. We want to hear more on a strategy to disrupt fentanyl trafficking. We will be asking questions on how we can strengthen our efforts, and what help this Committee can provide. The SUPPORT Act was a great start. Let's continue our bipartisan legislative efforts to combat this crisis. I look forward to the testimony and thank our witnesses for being here today. Ms. DeGette. Without objection, and I would add my thanks to you, Mr. Gray, for all of your tireless work. Mr. Walden. Thank you, Madam Chair. Ms. DeGette. The gentleman yields back, and I now ask unanimous consent that the Members' written opening statements be made part of the record. Without objection, so ordered. [The information appears at the conclusion of the hearing.] Ms. DeGette. I would now like to introduce our panel of witnesses for today's hearing. Mr. Kemp L. Chester, Assistant Director of the National Opioids and Synthetics Coordination Group, the White House Office of National Drug Control Policy. Welcome. Mr. Matthew Donahue, Regional Director, North and Central Americas Operation Division, Drug Enforcement Administration at the U.S. Department of Justice. Mr. Thomas F. Overacker, Executive Director, Office of Field Operations, Custom and Border Protection at the U.S. Department of Homeland Security. Mr. Gary R. Barksdale, Chief Postal Inspector at the U.S. Postal Service, Mr. David A. Prince, Deputy Assistant Director, Transnational Organized Crime, Homeland Security Investigation, Immigration and Customs Enforcement at the U.S. Department of Homeland Security. Carol Cave, Director of the Office of Enforcement and Import Operations, Office of Regulatory Affairs, Food and Drug Administration at the Department of Health and Human Services. Thank you all for appearing in front of the subcommittee today. You are aware the committee is holding an investigative hearing and, when doing so, has had the practice of taking testimony under oath. Do any of you have any objections to testifying under oath? Let the record reflect that the witnesses have responded no. The Chair then advises you under the rules of the House and the rules of the committee you're entitled to be accompanied by counsel. Do any of you desire to be accompanied by counsel today? Let the record reflect the witnesses have responded no. If you would, please rise and raise your right hand so you may be sworn in. [Witnesses were sworn.] Ms. DeGette. You may be seated. Let the record reflect the witnesses have now responded affirmatively and you are now under oath and subject to the penalties set forth in Title 18 Section 1001 of the U.S. Code. The Chair will now recognize the witnesses for five minutes summary of their written statements. In front of each of you is a microphone and a series of lights. The light turns yellow when you have a minute left and it turns red to indicate that your time has come to an end. And so let's start with you, Mr. Chester. You are now recognized for five minutes. STATEMENTS OF KEMP CHESTER, ASSISTANT DIRECTOR OF THE NATIONAL OPIOIDS AND SYNTHETICS COORDINATION GROUP, WHITE HOUSE OFFICE OF NATIONAL DRUG CONTROL POLICY; MATTHEW DONAHUE, REGIONAL DIRECTOR NORTH AND CENTRAL AMERICAS, OPERATION DIVISION, DRUG ENFORCEMENT ADMINISTRATION, U.S. DEPARTMENT OF JUSTICE; THOMAS F. OVERACKER, EXECUTIVE DIRECTOR, OFFICE OF FIELD OPERATIONS, CUSTOMS AND BORDER PROTECTION, U.S. DEPARTMENT OF HOMELAND SECURITY; GARY R. BARKSDALE, CHIEF POSTAL INSPECTOR, U.S. POSTAL SERVICE; DAVID A. PRINCE, DEPUTY ASSISTANT DIRECTOR, TRANSNATIONAL ORGANIZED CRIME, HOMELAND SECURITY INVESTIGATIONS, IMMIGRATION AND CUSTOMS ENFORCEMENT, U.S. DEPARTMENT OF HOMELAND SECURITY; CAROL CAVE, DIRECTOR, OFFICE OF ENFORCEMENT AND IMPORT OPERATIONS, OFFICE OF REGULATORY AFFAIRS, FOOD AND DRUG ADMINISTRATION, DEPARTMENT OF HEALTH AND HUMAN SERVICES STATEMENT OF KEMP L. CHESTER Mr. Chester. Chairwoman DeGette, Ranking Member Guthrie, members of the subcommittee, thank you for inviting me to testify today on this critical issue. The Office of National Drug Control Policy, under the leadership of Director Jim Carroll, leads the development of the administration's national drug control strategy and oversees its implementation. The 2019 strategy is a comprehensive plan to address the president's top drug priority--the current opioid crisis--also focusing on the emergence of even newer synthetic opioids and other emerging crises such as methamphetamine use and the increase in cocaine availability. As part of the executive office of the president, ONDCP is uniquely positioned and has played an integral in coordinating a comprehensive approach to drug policy development and implementation. It has facilitated successful interagency collaboration, coordination, and problem resolution on myriad drug policy issues. To that end, ONDCP has led countless interagency efforts directly related to the illicit opioid problem set. ONDCP established the National Heroin Coordination Group, recently renamed the National Opioids and Synthetics Coordination Group, in the fall of 2015 to apply new thinking to the heroin and fentanyl problem and develop a novel approach to addressing it. We worked collaboratively with the interagency in 2016 to develop and issue the Heroin Availability Reduction Plan, or HARP, to guide and synchronize interagency activities against the available of heroin, fentanyl, and fentanyl analogs. To this day, the HARP is the one document that brings together, contextualizes, and synchronizes the Federal Government, activities at the federal, state, local, and tribal levels as well as in the international domain. Ten times every month our opioids and synthetics coordination group leads video teleconferences at all levels of classification and nationwide webinars where departments, agencies, state, local, and tribal officials and key embassies share information and synchronized efforts based upon a common understanding of the strategic trends related to the opioid problem set. This level of direct leadership has been instrumental in developing a better understanding of the crisis at all levels as well as serving as the driver for collaboration and tangible results both domestically and with international partners. Based upon our in-depth understanding of the opioid crisis, key issues such as the challenges of fentanyl detection, safe fentanyl handling, and the need for innovative public health approaches were brought to the forefront and are currently being addressed. Our partnership with the U.S. Postal Inspection Service has increased interagency understanding of the international and domestic mail flow into the United States, and U.S. vulnerabilities in disrupting the fentanyl and synthetic opioid supply chain. Our collaboration with the FBI-led Joint Criminal Opioid and Darknet Enforcement, or J-CODE, team, U.S. Customs and Border Protection's National Targeting Center, and our management of key international relationships with Mexico, Canada, China, Afghanistan, and others have brought tangible results in disrupting the flow of these dangerous drugs across our borders. For example, because of the interagency focus on disruptive the fentanyl supply chain, in the spring of 2017 CBP began to imprint odor of fentanyl on all narcotics detection K9s, and now more than 450 dogs are trained addressing a critical vulnerability in our detection capability. As the fentanyl threat grew in 2016 and 2017, the lack of good scientific information concerning the threat of fentanyl exposure had a chilling effect on U.S. law enforcement and our first responders. ONDCP initiated an interagency working group to develop and publish the fentanyl safe handling recommendations, and shortly thereafter CBP released a companion roll call video in use today. ONDCP is leading an interagency process with the Departments of Justice and Health and Human Services to schedule fentanyl analogs before the temporary action expires while providing a framework to address the dynamic illicit drug market in a more comprehensive manner and making all of these substances available to the research community. The national drug control strategy states, quote, ``While confronting today's drug crisis to arrest its growth and reduce its effects, we must also further develop the capability, knowledge, and infrastructure to respond to the evolving nature of the drug threat as we move deeper into the 21st century,'' closed quote. The men and women of ONDCP are doing just that. I would like to thank this committee and your House colleagues for your foresight and leadership in addressing this critical national security, law enforcement, and public health challenge. Thank you for the opportunity to testify today and I look forward to your questions. [The prepared statement of Mr. Chester follows:] [GRAPHICS NOT AVAILABLE IN TIFF FORMAT] Ms. DeGette. Thank you, Mr. Chester. Mr. Donahue, you're now recognized for five minutes. STATEMENT OF MATTHEW DONAHUE Mr. Donahue. Good morning, Chairman DeGette, Ranking Member Guthrie, and members of the subcommittee. It is my honor to appear before you today to discuss the critically important issue of illicit fentanyl and fentanyl like substances that have had a tremendous impact on the health and safety of our communities. Illicit fentanyl and other fentanyl like substances are especially dangerous drugs are often far more potent and deadly than other drugs like heroin and cocaine. I have had the privilege of being a DEA special agent for almost 30 years, having worked in South America, the Caribbean, and now North and Central American region. When I reflect on my time with DEA, the challenge we face with the ongoing opioid crisis, along with the sophistication, capacity, and global reach of Mexican poly-drug cartels is what worries me and deeply concerns me the most. As the regional director of North and Central America region, I see firsthand everyday the extreme lawlessness and other atrocities committed by Mexican cartels to maintain their dominant market share to provide illegal substances to individuals in the United States. The ruthlessness of these cartels, combined with their callous greed, is devastating families and communities, resulting in an increase of violent crime in the United States. Dangerous and highly sophisticated cartels operating in both Mexico and the United States have been and will continue to be the most significant source of illicit narcotics trafficked into and throughout the United States. When it comes to illicit fentanyl, China is the primary manufacturing source as well as the source of precursor chemicals needed to manufacture fentanyl outside of China. However, I would be remiss if I didn't say that China has taken important action to stem this manufacturing by the extraordinary step of controlling the entire class of fentanyl- based drugs. History has shown that when China and the United States have jointly controlled the drug it has drastically decreased its importation into the United States. However, Mexican cartels now have increasingly an important role in the fentanyl trafficking. We have witnessed a transition from importation of precursor chemicals for the production of fentanyl to the manufacturing of precursor chemicals and fentanyl within Mexico itself. This is a very alarming development. Fentanyl comes into the United States in three ways. It is shipped directly to the United States through the U.S. mail services, it is trafficked in through our northern border, and most importantly, it is trafficked over our southern border via Mexican cartels by various means and methods. In many cases, fentanyl comes in the form of counterfeit prescription pills. Oftentimes, people believe they may be ordering Hydrocodone or Oxycodone on the internet but they're receiving a fentanyl or a fentanyl analog, which could lead to deadly consequences. As a leader of DEA in Mexico, I can say confidently that we have not been a spectator in this battle. DEA has the largest footprint of the United States Government in Mexico. We are addressing this threat by focussing on efforts of identifying the supply chain and disrupting it. We are working bilaterally and judiciously targeting and dismantling the cartels. Through our more than 300 domestic and international field offices, our special operations division, which works with our interagency and international partners, we are conducting large-scale investigations and prosecuting those who seek to profit and are responsible for the production, transportation, distribution, and sale of these deadly substances. Perhaps one of the most notable examples of these efforts is the 2016 arrest of Sinaloa cartel leader Joaquin Guzman Loera, commonly known as El Chapo, who coincidentally is being sentences tomorrow in New York City. The DEA will continue to investigate the biggest and most egregious organizations that are poisoning our communities. We will continue to focus on targeting drug cartels and significant organizations operating in and outside the United States whose only motive is to make tremendous profits on unsuspecting and vulnerable populations. But there is more work to be done. On February 6, 2018, the DEA used its authority under the Controlled Substances Act to temporarily place all nonscheduled fentanyl like substances in Schedule I and it has had a significant impact. Let me reiterate that point. The temporary control of all nonscheduled fentanyl substances has had a significant positive impact in this fight. The class control action has substantially slowed the rate at which new substances are introduced to and encountered on the illicit market. However, this temporary action expires February 2020, which is only 206 days away. Additionally, if lawful access is not addressed, criminals will continue to use our own laws to evade detection and exploit members of our communities as technology advances and law enforcement is prevented from judicial interception and collection. Make no mistake--no matter the challenge, DEA will never stop aggressively pursuing the most dangerous and prolific criminals trafficking in illicit drugs in our communities. Thank you for the opportunity to testify before your subcommittee on this important issue and I look forward to your questions. [The prepared statement of Mr. Donahue follows:] [GRAPHICS NOT AVAILABLE IN TIFF FORMAT] Ms. DeGette. Thank you so much, Mr. Donahue. Mr. Overacker, you are now recognized for five minutes. STATEMENT OF THOMAS F. OVERACKER Mr. Overacker. Chairwoman DeGette, Ranking Member Guthrie, members of the subcommittee, thank you for the opportunity to testify before you today. I am proud to represent the men and women of the U.S. Customs and Border Protection, our nation's unified border agency with a vital counter narcotics mission. On a typical day, CBP seizes more than 5,800 pounds of narcotics that would otherwise make their way into American communities. While today's hearing focusses on the opioid crisis and its devastating effects, CBP is committed to stopping all illicit drugs from crossing our borders. For example, last month, with our partners at Homeland Security investigations and the United States Coast Guard, CBP seized more than 19 tons of cocaine on a container ship in Philadelphia. The cocaine had an estimated street value in excess of $1.3 billion and was the largest cocaine seizure in the combined 230-year history of the U.S. Customs Service and CBP. Compared to cocaine or methamphetamine, CBP seizures of fentanyl are relatively low. However, these seizures have increased dramatically in recent years and that is cause for concern. In fiscal year 2013, CBP seized approximately two pounds of fentanyl. Last year, we seized over 2,100 pounds. Through June of this year, we have already seized as much as we did last year. Most of the fentanyl coming into our country does so at ports of entry along the Southwest border. It's brought in by privately owned vehicles, commercial vehicles, even pedestrians. Less frequent is fentanyl entering through international mail packages and express consignment environments. In those cases, most of the shipments originate from China. However, the fentanyl in the international mail and express environments is far more potent and pure than the fentanyl crossing the Southwest border. Stopping fentanyl and other narcotics takes a collaborative effort. Through CBP's national targeting center we work with our partners to identify and disrupt fentanyl smuggling at ports of entry, international mail facilities, and express consignment carrier facilities. Our partners include Homeland Security investigations, the United States Postal Inspection Service, the Drug Enforcement Administration, Health and Human Services, Food and Drug Administration, the Office of National Drug Control Policy, the Organized Crime Drug Enforcement Task Force, and numerous other domestic and international partners. Based on our encounters, CBP produces intelligence products to help identify the tactics, techniques, and flow of drug trafficking. This enhances targeting efforts and supports investigations. It also provides policymakers, agency leadership, and the intelligence community with information that can lead to drug interdiction. Information sharing, advanced electronic data, the targeting of precursors and pill presses are among the many elements that inform our actionable intelligence and allow us to combat narcotics trafficking in a dynamic threat environment. In addition, CBP uses a variety of technologies and techniques to detect and identify illicit drugs. With the support of Congress, we are making significant investments and improvements in these capabilities, including additional narcotics detection K9 teams, enhanced field testing and new nonintrusive inspection, or NII, equipment. NII contributes to more than 98 percent of the number and total weight of seizures. Currently, CBP scans approximately two percent of privately-owned vehicles and 16 percent of commercial vehicles arriving at the Southwest border ports of entry. To enhance our capabilities, CBP has developed a new model port concept that prioritizes the use of drive through scanning equipment to streamline the inspection process and increase scanning rates, thereby increasing the probability of interdiction. To protect CBP personnel, who may be exposed to dangerous substances during the course of their duties, we have deployed more than 1,100 2-dose boxes of counter narcotic Naloxone to train personnel in the field. CBP was the first federal law enforcement agency to implement such a program and we have already administered nine lifesaving doses to members of the public. Together, CBP and its partners are focused on enhancing collaboration and information sharing to reduce the amounts of illicit opioids that cross our land, air, and sea borders. Thank you for allowing me the opportunity to tell our story. I look forward to your questions. [The prepared statement of Mr. Overacker follows:] [GRAPHICS NOT AVAILABLE IN TIFF FORMAT] Ms. DeGette. Thank you so much. Mr. Barksdale, you are now recognized for five minutes. STATEMENT OF GARY R. BARKSDALE Mr. Barksdale. Good morning, Chair DeGette, Ranking Member Guthrie, and members of the subcommittee. I appreciate this opportunity to be here today to discuss efforts to combat opioids, including fentanyl. My name is Gary Barksdale. I am the chief postal inspector for the United States Postal Inspection Service, the law enforcement arm---- Ms. DeGette. Mr. Barksdale, can you move the microphone just a little closer? Thank you. Mr. Barksdale. Winning the battle against illicit drugs in the mail stream is one of our top priorities. Postal inspectors work not only to remove drugs from the mail but to investigate and arrest individuals and disrupt drug trafficking networks across the U.S. Internationally, the inspection service is working aggressively to stem the flow of illegal drugs entering the country. Due to the opioid crisis, nearly two years ago we created an internal team of cross-functional subject matter experts specifically focussed on narcotics trafficking through the mail. The Contraband Interdiction and Investigations team, or CII, uses enhanced investigative methods, deploys resources as needed, and strengthens strategic partnerships to achieve significant improvements in our ability to seize fentanyl and synthetic opioids from the mail. The inspection service works closely with other law enforcement agencies to share intelligence, coordinate cases, and conduct joint enforcement operations to maximize our resources and impact. Relationships with partners such as DEA, HSI, CBP, and FDA allow us to better advance our mission to enforce the laws that defend the nation's mail. Inspection Service personnel are assigned full time at ONDCP, the DEA's Special Operations Division, the National Fusion Center, and CBP's national targeting center. Internationally, the Postal Inspector is now detailed at Europol and the Hague. We also work with state and local law enforcement to share intelligence and conduct joint operations including several Inspection Service sponsored task forces. These relationships facilitate communication and data sharing that enable the identification of drug trafficking organizations which would not be possible without interagency cooperation. The Inspection Service launched cyber and analytics unit to enhance investigative techniques to better utilize data to target parcels. Due to many illicit dark web vendors aligned with physical delivery networks for their products, the Inspection Service is involved with investigations into vendors and the take down of their illicit marketplaces. The Inspection Service has also joined DHS, CBP, and ONDCP as a sponsor for the opioid detection challenge, which is a global prize competition for rapid nonintrusive detection tools that will help find illicit opioids in international mail. Postal inspectors interdict and seize thousands of illegal drug shipments in the mail. From fiscal year 2016 through 2018, we achieved a thousand percent increase in international synthetic opioid seizures and a 750 percent increase in domestic synthetic opioid seizures. Thus far in fiscal year 2019 we have seized 185 synthetic opioid parcels, 153 of which were in the domestic mail stream. Our current stats represent a decrease in international seizures while our domestic seizures are trending up. This shift may suggest synthetic opioids are increasingly entering the country through means other than international mail. In 2018, Congress enacted the STOP Act, which requires the Postal Service to receive advanced electronic data, or AED, on at least 70 percent of inbound package shipments including 100 percent of shipments from the People's Republic of China by December 2018 and 100 percent of all inbound international shipments by December 2020. The volume of inbound packages with AED has improved from 26 percent in October of 2017 to approximately 60 percent in May of 2019, while the volume of packages with AED from China has increased from 32 percent to approximately 85 percent in May of 2019. This represents a significant improvement within a relatively limited period of time. The Postal Service continues to collaborate with foreign postal operators and organizations that support international postal operations to work towards obtained AED on 100 percent of inbound packages and shipments. We have significantly improved coordination with CBP and developed processes to ensure we take action on requests to hold packages for inspection. The Postal Service currently has a 93 percent success rate in the capture of CBP hold requests and they will continue to focus on employing technology to improve interception capability and reach 100 percent. The Postal Service takes seriously its mission to protect the security and sanctity of the mail and is committed to taking all necessary actions to combat illicit drugs in the mail. Thank you for this opportunity to testify and I look forward to your questions. [The prepared statement of Mr. Barksdale follows:] [GRAPHICS NOT AVAILABLE IN TIFF FORMAT] Ms. DeGette. Thank you, Mr. Barksdale. Mr. Prince, you're now recognized for five minutes. STATEMENT OF DAVID A. PRINCE Mr. Prince. Chairwoman DeGette, Ranking Member Guthrie, and distinguished members of the subcommittee, thank you for the opportunity to appear before you to discuss my agency's efforts in attacking the national opioid crisis impacting our communities. Homeland Security investigations is the department's primary criminal investigative agency and is focussed on disrupting and dismantling transnational criminal organizations. As the sole investigative agency with combined customs and immigration authorities, HSI investigates and enforces more than 400 federal criminal statutes that protect our nation's trade, travel, financial, and immigration systems. Today, I would like to speak about our successful efforts in combatting the flow of illicit fentanyl into the United States. In fiscal year 2018, HSI initiated 1,393 opioid related criminal investigations, executed 5,262 opioid related criminal arrests, and seized a total of 9,928 opioid--pounds of opioids, which consisted of 2,737 pounds of fentanyl and 7,103 pounds of heroin. Our 2019 fiscal year statistics are set to exceed 2018 statistics in these areas. HSI has collaborated with Chinese authorities to address the China-sourced fentanyl threat through investigative information sharing. As of May 1st, 2019, Chinese authorities passed legislation making all fentanyl illegal. However, it is still--it still remains a threat. We are now urging general administration of China customs and China postal services to secure its mail and express consignment industry. Through our transnational criminal investigative units in Mexico, HSI works to disrupt Mexico-based opioid TCOs. TCIUs are multi-discipline units comprised of foreign law enforcement officials who ensure that shared information and operational activities are collaborated upon without compromise. HSI's customs authorities extend to the virtual border of the open internet and the dark net. HSI's Cyber Crime Center, known as C3, provides support and assistance to global cyber investigations targeting illicit marketplaces where fentanyl and opioid sales proliferate. Today, HSI has more than 700 open cyber crime investigations and more than 200 investigations specifically targeting criminal dark net organizations. Many of these investigations focus on illicit opioid suppliers. HSI is at the forefront of cyber investigations and has been successful in developing methods to track and trace digital crypto currency, often used as a payment system for online opioid transactions. In fiscal year 2018, HSI delivered its online international opioid smuggling training course to more than 4,000 local, state, federal, and international law enforcement partners. This course provides law enforcement with the technical knowledge and in-depth case briefings to assist criminal investigations involving the dark net and crypto currency- related crimes. The Border Enforcement Security Task Force, known as BEST, utilizes local, state, and federal agencies at land border sea port, international airport, and mail facility locations to target TCOs. There are currently 65 BEST teams across the United States and we have increased our presence at international mail facilities and express consignment carrier to include JFK, LAX, Memphis, and Louisville. We have also established BEST teams in areas hardest hit by the opioid epidemic such as Ohio and West Virginia. In fiscal year 2018, BEST Memphis initiated 204 narcotic control deliveries, executed 46 criminal arrests. It effected 149 seizures. BEST Cleveland has initiated Operation Darkness Falls to target top dark net vendors. Darkness Falls has led to the disruption and dismantlement of large-scale opioid vendors to include the largest identified fentanyl vendor with the most verified transactions. The National Targeting Center Investigations--NTCI-- partners with CBP and Postal Inspection Service to interdict illicit opioids entering the United States. Recently, NTCI assisted in an investigation where 171 pounds of fentanyl was seized from a New Jersey-based TCO involved in the importation of opioids. To date, this investigation is one of the largest domestic seizures of fentanyl from China. HSI seeks to identify, disrupt, and dismantle criminal financial networks and leverages a multitude of investigative techniques to target money service businesses, all cash smuggling, and crypto currency. In fiscal year 2019 thus far, HSI seized nearly $1.9 million in fentanyl-related digital currency and has over 268 open investigations involving the illicit use of crypto currency. I am grateful for the opportunity to appear before you to share HSI's efforts to combat the opioid epidemic. We will continue our commitment to maximize our full complement of authorities. I thank you for the support that you provide to HSI as we execute our mission and I look forward to any questions you have. [The prepared statement of Mr. Prince follows:] [GRAPHICS NOT AVAILABLE IN TIFF FORMAT] Ms. DeGette. Thank you so much, Mr. Prince. And Ms. Cave, you are now recognized for five minutes. STATEMENT OF CAROL CAVE Ms. Cave. Good morning, Chairwoman DeGette, Ranking Member Guthrie, and members of the subcommittee. Thank you for the opportunity to be here today to discuss the Food and Drug Administration's role in combatting our nation's ongoing crisis of opioid addiction, specifically regarding fentanyl. I am Carol Cave, the director of the Office of Enforcement and Import Operations within FDA's Office of Regulatory Affairs. FDA, along with our partner government agencies, continue to work together to consider more active and creative steps to make inroads against this crisis. I am pleased to be here today to discuss the work we are doing at our nation's borders and at the international mail facilities, or IMFs. FDA plays an important role related to the interdiction work that takes place in IMFs and has acted to enhance our operations there. In the international mail environment, Customs and Border Protection is the leading interdicting authority for controlled substances including fentanyl and other opioids. As such, they examine before FDA and generally will act against these types of shipments without forwarding for FDA for review. FDA is focusing on inspecting and sometimes testing products that may be counterfeit or unapproved drug products. Last year, Congress gave FDA more tools to intercept illicit drugs coming through our nation's IMFs by enacting the SUPPORT Act. On behalf of FDA, I would like to thank the members of this committee for your work on these important authorities. The SUPPORT Act, specifically Section 3022(d), gives the FDA new authority to treat imported articles as drugs when they meet certain requirements, even in the absence of certain evidence of intended use. This allows FDA to apply its existing authorities to appropriately detain, refuse, and administratively destroy these subject articles. The implementation of this section, which began in March of this year, has been an unquestioned success. For articles determined to be under the 801(u) product specifically our destruction rate is, roughly, 99 percent, thus eliminating distribution of these products into the hands of consumers. Additionally, on April 4th of 2019, FDA and CBP leaders signed a letter of intent that addresses the areas of cooperation outlined in Section 3014 of the SUPPORT Act, including information sharing, operational coordination for better targeting of high-risk parcels, and collaborative strategies. FDA and CBP have actively been exploring ways to enhance collaboration and increased efficiency of operations by sharing existing but limited space. As FDA is able to increase the amount of space allocated to its activities in the IMS, FDA can further add staff, enabling the agency to expand its admissibility review of drugs shipped into the U.S. international mail parcels. The letter of intent also addresses FDA's and CBP's commitment to establish, expand its scientific presence at the IMS considered most of risk of receiving opioids and other illegal or dangerous drugs entering the United States. FDA and CBP are looking at ways to develop and refine laboratory-based methods to identify unapproved, counterfeit, and other unlawful controlled substances. The division of import operations managers have met several times with their counterparts at CBP and U.S. Postal Service to assess how our respective systems can be utilized to share data and information on actions taken by the agencies on individual parcels and commodities. All three agencies are considering the most appropriate and efficient means of using existing data streams to share IMS specific data and investigational outcomes. We remain committed to using our regulatory authority to the fullest extent to address the opioid crisis including new authorities granted by FDA--granted to FDA by the SUPPORT Act. Thank you for the opportunity to testify today and I look forward to answering your questions. [The prepared statement of Ms. Cave follows:] [GRAPHICS NOT AVAILABLE IN TIFF FORMAT] Ms. DeGette. Thank you so much, Ms. Cave. It's now time for Members to ask you questions and the Chair will recognize herself for five minutes. Mr. Donahue, combatting fentanyl is challenging because, as we all know, it is cheap and easy to make. It has huge profits. It is hard to detect in shipments and it is deadly even in small amounts. It's also increasingly mixed into other drugs, often without the user's knowledge, and so that leads to more overdoses. Would you agree with me with that assessment of the challenge that we are facing? Mr. Donahue. Yes, Congresswoman. I appreciate the question and it's not an easy one because with all the drugs and the fentanyl and the different types of drugs coming in from other countries we are required to have their cooperation and we actually investigate these cartels specifically here with the fentanyl coming in. We are concerned with China, sometimes India, sometimes Holland where the drugs are coming in---- Ms. DeGette. Right. Mr. Donahue [continuing]. Directly to United States and/or to Mexico to produce it and send it up. Ms. DeGette. But it's--because of all the things I said it's harder to make those identifications and so working with the other countries is even more important. Wouldn't that be fair? Mr. Donahue. Extremely important, and with our panel members here as well working collectively on attacking the people who are actually producing the drugs and shipping the drugs and actually really the key is prosecutions. Ms. DeGette. Right. Mr. Donahue. We got to do something with the seizures that we make in the United States and bring it back to the source countries and gain their cooperation to attack the source of the drugs. Ms. DeGette. To do it there. Mr. Chester, your agency has been trying to coordinate drug control efforts for a long time. What are we doing to think outside the box in addressing the fentanyl threat that's different from what we've been doing with some of the previous illicit drug control strategies? Mr. Chester. Thank you for the question, ma'am. I think we've done a couple of things. The first 1 is we have, through our interagency coordination and our work with the intelligence community and with partner nations, we are a generation ahead of where we were before in understanding the problem first, which I don't believe we had a good grasp on what the nature of the problem was and we didn't have an ability---- Ms. DeGette. When was that? When was that? Mr. Chester. This was really about the 2014-2015 time frame, and so what this does is with this greater understanding we can--we can look beyond the immediate actions that we take and are better able to anticipate trafficker actions in switching to other synthetic opioids. I think that's the first thing. And then I think the second thing is we look outside of the bounds of one particular class of drugs to things like nonsynthetic opioids and things of that nature, and our understanding has allowed us to be able to be more--much more anticipatory than we have been in the past. Ms. DeGette. Do you think that the agency cooperation has been different than it was before and if so, how? Mr. Chester. Absolutely. I think the level of information sharing--the first one is in the mechanisms that we have put in place, and when I say ten times every single month all of the members of this--of this panel and the agencies and departments that they represent, we have mechanisms to share cooperations at all levels of classification. The ability to coordinate and the ability not only to shape our own actions domestically but our approach with other countries as well much, much better than it has been in the past. Ms. DeGette. Mr. Overacker, I would like to ask you, do you agree that the agencies are doing a better job of sharing data and working together than in the past? Mr. Overacker. Yes, I believe so. My experience tells me that when we can link up, you know, investigators with operators we can do a better job of basically identifying targets and supporting, you know, investigations in the field. This is something we've done at our national targeting center. It's been successful, and now with this fentanyl crisis we've really amped up our capabilities for that purpose. Ms. DeGette. What is it that you're doing differently now? Obviously, we can all agree that coordination is great. But what is it that you're doing differently? Mr. Overacker. Well, I wouldn't necessarily say it's different, just to say that I think what we've learned over the years is we have to be working on this daily. It has to--you know, it's a collaboration and it really is something you have to work on every day and I think it's just-- the level of collaboration we have for the fentanyl crisis is more than what we've seen for other issues in the past. Ms. DeGette. And what can we do to help you do your job better? Is there something--is there a better way to share data across the agencies? Is there something that we can do to help? Mr. Overacker. Well, you know, we certainly appreciate your support--your continued support for CBP. As far as data sharing, we do have, you know, data sharing arrangements with all of these agencies, and because we work collectively at our national targeting center we are able to share information in a sort of rapid real-time format. Ms. DeGette. OK. Thank you. I yield back and recognize Mr. Guthrie for five minutes. Mr. Guthrie. Thank you very much, and I want to go down the panel with this question, and so be mindful I got to do that in five minutes and ask a couple of other questions, too. So, I am going to be brief. So, I just want each of you to say your agencies in fentanyl, what is your biggest accomplishment the past two years--your agencies. I know you have done a lot, but your biggest--and then what your biggest challenge is. Mr. Chester. I would say that our biggest accomplishment is the publishing of the National Drug Control Strategy, which contextualized everything the departments and agencies are doing in this particular regard for all drug issues, but in this 1 specifically. I would say that our biggest challenge is the rapidity with which new substances appear in the United States either have crossed our borders or are detected in post-mortem toxicology testing. That is--that is something that requires an enormous amount of effort. Mr. Guthrie. Thank you. Mr. Donahue? Mr. Donahue. I would say one of our biggest accomplishment is actually scheduling--emergency scheduling all analogs of the fentanyl, which has really greatly helped DEA in our investigations. One of our biggest challenges is actually obtaining the evidence required to enter to the Grand Jury in the United States to target these cartels that are producing and trafficking in fentanyl in the court of law in the United States. We recently established our Sensitive Investigative Units specifically for that reason to work with our counterparts to obtain evidence in the foreign countries to utilize back in the Grand Jury in the United States. But that's a very big accomplishment for us that we are going to use, going forward. Mr. Guthrie. Thank you. Mr. Overacker? Mr. Overacker. From a CBP perspective, I would say one is our detection capabilities. We now have a fully staffed 24/7 laboratory in Springfield, Virginia, dedicated exclusively to fentanyl and we've also deployed detection equipment throughout CBP so we can identify fentanyl in a safe way. I would also say that our collaboration with the U.S. Postal Inspection Service is another big success story for us as we increased our level of effort with them. And also just through our national targeting center the partners that we work with there and the coordination efforts, the sort of community of effort that we've established through the national targeting center is important. Mr. Guthrie. Thank you. Mr. Barksdale? Mr. Barksdale. Thank you. I would say our biggest accomplishment, as Mr. Overacker has said, is our collaboration and data sharing, our embedded inspectors at the national targeting center and DEA's SOD. I've seen a difference in the type of cases we are making. As far as challenges, I think our biggest challenge is also one of our biggest successes is although we've improved in our capability to attack the problem, internet sales is still a challenge, going forward. As good as we are taking down one site, they will quickly stand up another site or a different marketplace so that will be a challenge, going forward. Mr. Guthrie. Thank you. Mr. Prince? Mr. Prince. I would say some of our things that we can--we can definitely say we've accomplished is our development of the innovation lab, which is something we bring problem sets to to help us expand our capability to deal with stuff like opioids and our expansion of the BEST initiative as well, particularly with our recent expansions, which we think are going to bear fruit. You know, our block chain analysis as well in the crypto currency space is something that we are very proud of. We continue to make inroads in that and it helps us develop much more robust target packages on our complex conspiracy investigations. Obviously, China is recalcitrant when it comes to a lot of these issues that we are dealing with that was part of our oral testimony, and I would say that's a challenge that we continue to deal with. Mr. Guthrie. Thank you. Ms. Cave? Ms. Cave. Good morning. I would say the number-one thing for the FDA is, clearly, the 801(u) authority that was given to us by the SUPPORT Act, which actually allows us to destroy product when it's coming in as opposed to refusing admission and exporting. So thank you very much for that. In terms of challenge, I would say it's just in the international mail facilities in terms of the volume and the sheer volume that we are dealing with and the advanced--you know, lack of advanced data that comes in, for example, on addressing those issues. Mr. Guthrie. A colleague of mine, a couple of them, have seen different targeting centers the thing you're talking about and just amazed at the effort that you guys are doing in working, and then second of all, and just also amazed at the volume you're dealing with. So, we are mindful of that. I hope to see one of those as well. Mr. Donahue, I just have less than a minute left. But the Wilson Center Mexico Institute reported that fentanyl is entering Mexico via the Ports of Manzanilla and Lazaro Cardenas,--we say Cardenas,, who's our colleague here--but Cardenas,. Do you agree with that finding and, if so, what level of cooperation is DEA getting from Mexico law enforcement authorities at these ports in taking and seizing fentanyl? And when are their--I will go ahead and ask the second question--you may answer them together. In an interview with the Wilson Center Mexico Institute, Mexico federal forces said that they did not believe that fentanyl was a significant part of the Mexican drug traffickers' criminal portfolios. In your opinion, what do you comment on that? Mr. Donahue. They are both two big ports where we see enormous amount of precursor chemicals coming in, not just for fentanyl but for methamphetamine and for production of heroin as well. We are seeing chemicals coming in through the airports as well from China in various forms. We are working with OFAC as well to take those addresses that we are getting in China, working with our offices in China to follow up to see what laboratories they're coming from. So you see large numbers coming in through the ports. But we also see them coming in through the airports and other small airports as well in Mexico. In our assessment and active investigations and intelligence they are synthesizing fentanyl inside of Mexico and we've seen pill mills with industrial size pill presses making fentanyl pills inside of Mexico, specifically on the border, and we've had seizures in the airports of pills---- Mr. Guthrie. I didn't leave you much time to answer. My time has expired. So, I appreciate your answer. Ms. DeGette. Thank you so much. The Chair now recognizes Ms. Schakowsky for five minutes. Ms. Schakowsky. I thank the Chair and ranking member and I thank you all for coming today to testify. I am really glad that you all gather together to discuss this critical issue and I believe it will require a broad government approach to tackle the spread of illicit fentanyl across the public health, law enforcement, and international relations sector. In particular, I am glad that in recent years both the legislative and executive branches appear to have realized the devastating failure of the previous war on drugs and have turned to a system of helping rather than locking up drug users, which has led to mass incarceration of hundreds of thousands of Americans, mostly brown and black. Recently, Secretary of Health and Human Services Alex Azar indicated that he would be fully in support, for example, of needle exchange programs as part of his agency's plan to combat HIV--the HIV epidemic. But needle exchanges are also critical responses to the opioid epidemic. In Illinois, Lindsay Hartman of Kane County runs a van every Saturday that provides clean needles, clean straws, Naloxone, and everything else a drug user needs to stay alive, and thankfully the Illinois state legislature passed a bill last month to ensure public health vans like Lindsay's can continue to run without fear of legal repercussions. One important item that's on that van is--are test strips that can detect the presence of fentanyl in drugs. A recent study from RTI International found that, quote, ``People who use illicitly made street opioids and tests them for fentanyl by using fentanyl test strips are 5 times more likely to engage in safer drug use behavior than when the test comes back positive,'' end quote. So you can imagine I was disappointed to learn that Assistant Secretary of Mental Health and Substance Use Dr. Elinore McCance-Katz has publicly come out against the use of these test strips, and she wrote, quote, ``Is it our goal simply to stop people from dying so they can continue a life of 'safe' heroin use or should our goal be different?'' End quote. So Mr. Chester and Ms. Cave, and then anybody else who would like to respond, do you believe that fentanyl testing strips and other similar innovative measures are essential to-- for preventing death and shouldn't that be an objective in light of the current fentanyl epidemic? Mr. Chester. Thank you, Congresswoman. I can't speak on behalf of anyone else. I can just---- Ms. Schakowsky. No, I am asking you. Mr. Chester. Yes, I understand. So the approaches as we laid out in the drug control strategy is three pillars, and two of those three pillars are public health. One of them is to prevent drug use before it starts and then the second one is to provide treatment leading to long-term recovery. Those are our main efforts, and any public health interventions, and when I mentioned in my testimony innovative public health interventions there are a wide range of things that we discuss and that we consider. We look for their efficacy in the public health space, all designed to save lives and to get people on their path to recovery. That is our principle concern and that is the bulk of our efforts in the public health space specifically when it comes to opioids. Ms. Schakowsky. So saving lives is a goal? Mr. Chester. Absolutely. That is the single and, as it states in the strategy, the single criterion of success is to save American lives and stop Americans from losing their lives to these deadly drugs. Yes, ma'am. Ms. Schakowsky. Thank you. Ms. Cave? Ms. Cave. So to echo that, I would say I am not a scientist or a physician either, and so I would--honestly, I would take this back to our department and have them answer as an HHS response in terms of what their opinion would be on this issue. Ms. Schakowsky. OK. But it doesn't take a scientist, it seems to me, if test strips would actually show that fentanyl is present and prevent people--five times more people--lives saved because of it, that that's really a values question. Ms. Cave. Right. I would say safety, obviously, is number one. Ms. Schakowsky. Thank you. I yield back. Ms. DeGette. Thank you. The Chair now recognizes Mr. McKinley for five minutes. Mr. McKinley. Thank you, Madam Chair, and I want to thank you for holding this hearing. I got to tell you, I am really disappointed that it's taken us seven months to have another hearing on this topic. Seven months. It looks like we are going to get started again because we had a hiatus from last--the last Congress. Think about it. During the last Congress we had H.R. 6. We had CARA, 21st Century CURES. We were having multiple hearings on this, and then it all went silent. And I thank you for bringing it back up again. I think everyone has to understand during that hiatus, during that period of time--seven months--215 people died yesterday from substance abuse. Two hundred and fifteen people died today. Two hundred and fifteen people are going to die tomorrow. In my state of West Virginia, the epicenter of this problem, we have one person dying every eight hours from a drug problem. I think we need to be faster with this. So let me question, though. The theme or the concept that I am still struggling with is that why, and I've had a conversation with NIH. We've had conversations with other folks. Why are--why are Americans turning to drugs to deal with their problems? Why is it that we have such a problem? I've got the report here that has been filed that talks about why America is leading the globe in the use of drugs. As an example, in France about 350 people died two years ago from drug overdose out of 66 million. That's a half of a person per 100,000. In Ohio, it's 35. Nearly 40 persons per 100,000 is dying from drugs. Why is France not using drugs? What are they doing right in France? Or take England, for example. England's ratio of death overdose by drugs is 4 per 100,000. In West Virginia, it's 52. What are we doing about--what are we actually doing? Some of you, like Mr. Barksdale--it's not your issue with the Postal--but I want to understand why are Americans turning to drugs so rapidly and quickly instead of finding another way to deal with drugs. Because what we are dealing in this hearing right now is the results. We want to chase the drug after it's come here. I want to understand why our kids, adults, others, are turning to drugs in the first place when the rest of the world isn't. They're finding other ways to deal with this problem. So I would like maybe each of you to tell me why is it that you think America is using drugs at such a greater rate than anyplace else in the world. Start with you, Mr. Chester. Mr. Chester. Thank you for the question, Congressman. I am not--I am not prepared to answer why that is. I don't know just as you don't. I think that there are a lot of--a lot of variables as to why individuals choose to use drugs. However, I will say that we no longer speak in terms of supply and demand. We speak in terms of availability and use, because we do know and our experience has shown that the greater availability of drugs in a community the greater chance that an individual will be able to use them for the first time and that first use leads to chronic use very, very quickly, particularly with opioids. Mr. McKinley. Reclaiming my time. Last year we had Zuckerberg in here from Facebook. We had Dorsey in here from Twitter. And both of them were saying how-- thumping their chest they don't use--they don't sell--they don't allow that to be sold on their platforms. But yet, we demonstrated on both occasions that you can get drugs without prescriptions with Facebook, Twitter, Google, all these other accounts, and within hours each of them pulled it back down again. And I am here to say I am told they're back up again. So regardless of--we took them to task. They're back out there again. So we talk about availability. Are our social media platforms--are they being used and how can we structure that? How can we in Congress do a better job to prevent Facebook, Twitter, and others from selling drugs over the internet? Mr. Donahue? Mr. Donahue. Well, two things. I will get with our demand reduction unit in our DEA headquarters because it's an important question that you asked and I will get you our answer and our opinion that we got with DEA why people are using drugs. I know one of the things we are always pushing for is the ability to be able to judiciously intercept devices--Facebook, other things--that we currently can't do with a judicial order which causes a huge problem for law enforcement to infiltrate certain organizations, not having the ability to get into certain encrypted devices. Mr. McKinley. Thank you. My time has expired. I yield back. Ms. DeGette. The gentleman's time has expired. The Chair recognizes the gentle lady from New Hampshire, Ms. Kuster. Ms. Kuster. Thank you, Madam Chair, and thank you again for holding this hearing. As we know, the opioid epidemic continues to impact communities across this country. This is a crisis that knows no demographic and impacts urban and rural communities like mine alike. My home state of New Hampshire has been one of the hardest hit by the country's fentanyl crisis. This is a crisis that knows no border, no ocean deep enough, no continent broad enough to stop the flow of deadlier and deadlier fentanyl analogs. As the epidemic evolves, we must evolve our approach to combat it and if one thing having all of these agencies before us today has shown it's that there's a greater need for an even more coordinated approach across international, national, and local agencies. I want to start with you, Mr. Chester. As you have relayed, fentanyl is the biggest driver of overdose deaths, providing the best business model to drug traffickers, and being the hardest to detect. You told committee staff that enforcement has historically been focused on interdicting 20th century drug trafficking and that it has taken us awhile to develop the architecture and means to combat 21st century drug trafficking. What do you mean that fentanyl trafficking is following a 21st century architecture and what challenges do we face in adapting our strategy to meet this new threat? Mr. Chester. Thank you for the question, ma'am, and I do want to be clear about one thing. We still have a 20th century drug trafficking problem in the United States and that's principally heroin, and New Hampshire is one of our state partners that we hear from every single month, and we've seen how heroin has tapered off in New Hampshire while synthetic opioids like fentanyl and fentanyl analogs have continued--have continued to rise. Twentieth century drug trafficking, plant-based drugs that are packaged, moved across the borders through a hierarchical drug-trafficking organization, and that ends in a face-to-face cash transaction somewhere--that's what we refer to as 20th century drug trafficking. Twenty-first century drug trafficking is an individual who does not need to interface with a drug trafficker or a drug- trafficking organization. They can get on their own laptop. They can get on the dark web. They can go to--go to a vendor that will sell them the drugs. They can pay for it with bitcoin. It will be delivered directly to their house through the mail service or through express consignment. That's what we refer to as 21st century drug trafficking. Unfortunately, we have both of those models that we are dealing with right now and I will tell you that our law enforcement community and our State Department and our other partners have done a remarkable job in being able to take on the 21st century drug trafficking at the same time we are still dealing with the traditional model that we've dealt with for 30-plus years of drug policy. Ms. Kuster. Thank you. Mr. Prince, fentanyl poses unique challenges compared to other drugs. Cheap to make, clandestinely produced in labs, easily transportable and, as we know, hard to detect. Traffickers are increasingly mixing the drug into other narcotics as well as counterfeit prescription drugs. I ask you what is HSI doing to tackle the fentanyl epidemic that is uniquely different from its efforts to combatting heroin, cocaine, and other narcotics? Mr. Prince. Thank you for the question, ma'am. As my colleague had illustrated the 20th century versus 21st century drug problem, I call it analog versus digital. Our analog methodologies haven't changed in 35 years. Surveillance, informant management, cultivation development, cooperating defendants, execution of search and arrest warrants, those are all our analog tools that we use that are always going to be relevant. They will be relevant a hundred years from now. As far as how we deal with the digital aspect of it, we have our innovation lab that I mentioned earlier. We have NTC and NTCI. NTCI is placed very squarely in NTC where there's information sharing. Many of the people here on the panel are part of NTCI or NTC, collaborate with us on a daily basis. We have the OCDTF program that shepherds large-scale federal investigations in a collaborative team effort, and the two meet. At some point the digital crypto currency space and the dark net activity is going to turn into something at the corner of what I say walk and don't walk where a drug deal is done, and that's where our ability to deal with the digital space while at the same time dealing with the analog space is going to bear fruit. In my oral testimony, I mentioned just a few cases that developed into some significant opioid and fentanyl seizures. That's a collaboration of the digital space mingling with the analog space and providing arrests, seizures, and significant results. Many of those investigations are ongoing. Some of those investigations are over. But we are moving with the digital transformations of the criminal enterprises. We are keeping up with what is going on. Ms. Kuster. Thank you. I yield back. Ms. DeGette. I thank the gentle lady. The Chair now recognizes the ranking member, Mr. Walden, for five minutes. Mr. Walden. Thank you, Madam Chair, and again, thanks to the panel. We have two hearings going on simultaneously. So, I am kind of bouncing between all of that. Mr. Overacker, I was down at the Southwest border touring some CBP facilities in Yuma, Arizona on Sunday, and I asked CBP whether they had seen an uptick in fentanyl coming in from Mexico in the Yuma sector. The answer was no, they had not seen an uptick and, in fact, drug interdictions on the whole are down across the Yuma sector as the CBP checkpoints were shut down for months because of the humanitarian crisis on the border, and that meant CBP agents could not staff those checkpoints during the border emergency, given the huge influx of people. So, my question is the data show interdictions are down, but with those checkpoints closed I am not sure we can rely on those data this year. And are there other CBP sectors being similarly impacted by this humanitarian crisis at the border and is there anything you can tell us about the way the cartels are using and profiting from the humanitarian crisis to overwhelm your agents--our agents--and then get the drugs in along the way? What can you tell us about that? Mr. Overacker. Thank you for the question, sir. The first thing I would say is that what we are tracking right now is overall our interdictions on the Southwest border are as much as we had last year. That includes not just what the Border Patrol does at checkpoints. That includes our ports of entry and, roughly, 90 percent of what we seize is at a port of entry as opposed to in--between the ports by the Border Patrol. I understand the humanitarian crisis has impacted their operations. They've also impacted the operations at our ports of entry as we've redirected CBP officers to support the Border Patrol sector. Mr. Walden. So we were hearing. Mr. Overacker. As a result, we've had to close lanes at ports of entries, which has slowed the amount of traffic. But given that 90 percent of what we seize is at a port of entry, we are seizing just as much as we did last year overall as an agency. But with respect to the other Border Patrol sectors, I would gladly take that back and get you more information on what they are seeing as well. Mr. Walden. You might take another look at it because some data we were seeing over the weekend showed that it was down considerably in some categories. Mr. Overacker. Some categories. Mr. Walden. And so, I just want to make sure that--you know, we know your folks are getting overwhelmed when you go thousands of people coming in in a given night or hundreds where you had 10 or 20 or 30 in the past, and I know we've got colleagues that want to get rid of CBP or get rid of ICE and don't respect the tough conditions and what you and your folks are doing on things like this. But we keep hearing they're being pulled aside to do the processing of the asylum claims. I mean, there's a lot of this work being done. They're not out in the field doing the interdictions. And so, to what extent do you think this humanitarian crisis at the border is affecting the ability to interdict these drugs? Mr. Overacker. Well, like I say, it has impacted not only Border Patrol resources between the ports of entry. It is also impacting field operations at the ports of entry in terms of just by--just the manpower that we have to dedicate to those traditional interceptions. Mr. Walden. Right. Mr. Overacker. But I think at the port of entry we've seen things stabilize and, of course, with the apprehension numbers declining now between the ports of entry, we think that the situation is improving. Mr. Walden. All right. Mr. Prince, do you have any comment on this from your agency's view--DHS? Mr. Prince. Most of the agents that are responding to the border crisis are responding to human smuggling or human trafficking events. The border crisis at some point could create a tipping point for us in the investigative space. At this time we are not seeing that. We are deploying bodies, agents, to the border. Most of the agents that are responding are already at those special agent in charge offices along the Southwest border. I will say that it has created some opportunities for us to open up new portfolios in the investigative tool space, 1 of those being DNA testing. The DNA testing is allowing us to actually separate children who are being used in a human trafficking scheme or a smuggling scheme. Mr. Walden. We met with some investigators who had just gotten that tool and said they can turn a DNA test in 90 minutes I think they told us. Mr. Prince. Right, and the DNA testing is actually identifying children that don't--that aren't of these individuals that are crossing the border with them. And so we are rescuing kids in this effort. Mr. Walden. Yes. All right. Madam Chair, my time has expired. Thank you all. Ms. DeGette. I thank the gentleman. The Chair now recognizes the gentleman from Maryland, Mr. Sarbanes, for five minutes. Mr. Sarbanes. Thank you, Madam Chair. Thanks to the panel for being here. Obviously, we all know well the threat that fentanyl is posing to the health and safety of our communities. We've been hearing a lot of very strong testimony on that and the experience in our districts clearly bears that out as well, and it has to be a very coordinated role, which you're trying to project here today. I appreciate that. I did, Mr. Chester, want to focus a little bit more on the role of ONDCP because it asserts this coordinating function among all the various agencies that we need leaning in to address this crisis and this threat in terms of how our federal agencies are responding. So tell me a little bit, to try to illustrate the coordinating role, what would be happening if your agency did not exist in terms of being able to pull the resources together across these agencies. Mr. Chester. Well, the first thing, Congressman, I think there would be a lack of focus and a lack of direction in advancing the administration's drug control priorities, and that's one of the more important functions that ONDCP does is to--is to document our priorities and lay out the lines of effort that we are going to--that we are going to operate on. I think that's the first thing. I think the second thing is that the day-to-day activity of ensuring that when departments and the agencies are doing things in the drug control space they're doing it for a higher purpose and they're doing it in--to get complementary effects from other departments and agencies that are working in the same space. This happens all the time in government, right. You have got three or four departments and agencies that are redundant. They are doing the same thing. They don't--they don't know that the other ones are operating and that they are doing that. The third thing is when it comes to the interface between what we are doing on the national security and law enforcement side of the house and what we are doing in the public health space, and we've said from the very beginning that we can be as productive on the front end of the supply chain of drugs coming in the country as we want to. But our true effectiveness has to be measured in the public health space, and you can--you can increase seizures and increase arrests and increase removals in the transit zone and do all of that. But if Americans continue to die from these drugs then you're not being truly effective. And ONDCP, by being an organization not only in the executive office of the president but one that has national security, law enforcement, and public health responsibilities, we are the organization that can bring both of those things together in a complementary fashion, unlike---- Mr. Sarbanes. So let me--let me follow up on that, because that last observation in terms of the health dimension of this--the public health dimension may be a rationale for why some of the grant programs that you have previously administered are being proposed to be placed in other agencies--the High Intensity Drug Trafficking Areas program. Maybe I think it would go to DOJ and the drug-free community support programs at HHS. So maybe you could explain why that decision is being made, and then in terms of your emphasizing the role that the--the importance, the priority, that the administration gives to this fight and the coordinating, sort of traffic cop role that your agency can play in that. I don't, frankly, understand how the administration has come I think three years running in its proposed budget with a proposal to cut your budget by 90 percent. Now, we have restored in our appropriations--we recognize the value that your agency plays and I think we even plussed it up over prior years because we want you to play that role. But you need to help me reconcile what you just said, which I agree with, that this should be a priority and it should reflect the administration's emphasis here on coordinating the efforts of all these agencies--on the one hand, reconcile that with the fact that the president's budget keeps coming with a 90 percent proposed cut; on the other hand, which doesn't send, I wouldn't think, the right message in terms of the role you want to play with respect to all of these agencies in terms of coordination. So I won't ask any more questions because I am out of time. But if you could answer that I would appreciate it. Mr. Chester. Thank you, Congressman. The discussion about those 2 particular grant programs has been going on for many, many years, and the Congress has decided where those programs would be originally placed at their inception and the Congress will decide where they go. I will tell you that both the HIDTA and the DFC program are critical to not only the coordination that we do across the federal government, and we'll talk about the HIDTA program for a second, but the integration of federal, state, local, and tribal together is incredibly important, and to ensure that that function is rolled into the broader efforts that ONDCP does is working very, very well. When we talk about preventing drug use before it starts. I would struggle to find a program more successful than the drug- free communities program doing just that. And so the placement of the HIDTA program and the DFCs together is a great example of what I talked about in bringing our national security, law enforcement, and our public health programs together in one place and ONDCP is glad to have those programs. Ms. DeGette. Thank you, Mr. Chester. The Chair now recognizes Mr.--the gentleman from Virginia, Mr. Griffith, for five minutes. Mr. Griffith. Thank you very much, Madam Chair, and appreciate you calling this hearing. I know how important this subject and other drug issues are to you, and I do appreciate it. Let me quickly say in response to the previous questioning that I fully support the High Intensity Drug Trafficking Area program and it's been very helpful in my district. Mr. Chester, in May of 2017, the Drug Enforcement Administration recovered 50 kilos of NPP. Now, I am going to botch this up, but that's N-Phenethyl-4-piperidinone--if I got close. But NPP is what we'll call it, a fentanyl precursor chemical that could yield about 19 million fentanyl tablets with a street value of more than $570 million. The NPP was found in a storage locker in Northborough, Massachusetts. This recovery of NPP was one of the DEA's largest seizures of a fentanyl precursor chemical in U.S. history. It had been believed prior to that that fentanyl synthesis using precursor chemicals is conducted at clandestine labs in China or in Mexico. But this appears to call that into question. Prior to May 2017, do you recall any previous fentanyl precursor seizures of this size indicating possible synthesis occurring here in the U.S.? Yes or no. Mr. Chester. I do not recall a seizure of that size prior to that event. No, sir. Mr. Griffith. And given the size of the seizure that it was a fentanyl precursor chemical and would presumably support a nearby fentanyl synthesis lab in the United States, would this case be important enough to the Office of National Drug Control Policy-ONDCP--on fentanyl issues to be notified about it and briefed about it? Yes or no. Mr. Chester. Yes, it would be. But when I get the chance I would like to talk about its--NPP's relationship with fentanyl synthesis. But please finish your questions. Mr. Griffith. All right. Let me get--let me keep moving. Did the DEA report or brief you--did they either report to you or brief you or someone else at the Office of ONDCP about this situation? Mr. Chester. I don't remember a specific briefing. But we get continual reports from the DEA on drug events. Mr. Griffith. But you don't remember getting one on this one? Mr. Chester. This one is not particularly memorable to me. No, sir. Mr. Griffith. Even though it would have been a very large size. I mean, this is--this is what it looks like and it's just one of the precursors, and that's a picture of what they seized. That's a fairly significant amount of precursor when you realize it could be--back to my notes--19 million fentanyl tablets with a street value of $570 million. I would have thought you might remember that if you had been informed of it. I understand you don't. That's fine. In cases like this, do you believe sharing information would be helpful to law enforcement? Mr. Chester. Yes, and I will tell you that we have many, many, many mechanisms to be able to share information and intelligence information. In this particular case as a precursor chemical we do know a couple of things. The first 1 is the presence of a precursor chemical in the United States does not necessarily mean that there's synthesis going on nearby because precursor chemicals are shipped from the United States to other countries. And the second thing is about 2 months before that particular seizure, under United States leadership the international community placed controls on the two chemicals related to fentanyl synthesis--NPP, which was the one that was seized, and ANPP. So---- Mr. Griffith. OK. In this case--let's see that picture again, if we could--on many of those boxes there are Chinese characters. It would indicate it did not come from the United States. It came in--the precursor came in from China to the United States. Mr. Chester. Absolutely, and it could be--although I don't know this, it could be that the individual was warehousing it for use, not turning it into someplace close by. We don't know. Mr. Griffith. OK. And here's my problem, and Mr. Donahue, I am going to ask you a question about whether or not your agency notified them. Here's my problem. If we found that precursor, it would seem to me you would want to at least check, see who the storage locker belonged to, do an investigation, and it would seem like to me there needed to be a lot of coordination. And as far as I know, that didn't happen. Mr. Donahue, do you know if your agency briefed other agencies and Mr. Chester's agency on this particular seizure of a large amount of precursor? Mr. Donahue. I appreciate the opportunity to respond to that. The case is currently under investigation. It's coming up to trial, which is a lot of times why stuff is not put out in the open due to the protections of the people testifying. We daily notify other agencies on seizures that are made. That specific seizure was work with state and locals as well. It's ongoing. It was built up, and it's still ongoing, and we do these daily--these types of investigations--at our international scale. So you mentioned the markings that are in Chinese. They go to our offices over in Beijing, which follow up on those companies, whether we can task a foreign country to do certain intel gathering for us to bring it back, to identify the source all the way back to where the seizure is made. So we do the follow up on those investigations. So sometimes they take a year, sometimes six months, sometimes two years because you're dealing with foreign countries. Mr. Griffith. We are already on two years and it doesn't look like we followed up. And, look, I think we need to just do a lot better job. Mr. Barksdale might have been liked to have known about that so he could check those addresses out. I think we do a better job if we are all working together and as President Reagan said, there's no limit to the amount of good you can do if you don't care who gets the credit. And I yield back. Ms. DeGette. The gentleman yields back. The Chair now recognizes the gentleman from New York, Mr. Tonko, for five minutes. Mr. Tonko. Thank you, Madam Chair. As others have stated today, the fentanyl threat is unlike any drug problem we have seen before and it is going to take the totality of the Federal Government's capabilities to fight it. Each of these agencies has unique skill sets. But they each only see a piece of this picture. We need them to actually come together and pool their resources, information, and expertise. Unfortunately, it does not appear that that's happening as much as it could. For example, committee staff visited CBP's National Target Center and saw how CBP is able to use algorithms to target shipments and packages likely to contain contraband. But that is only as good as the data that is fed into the system, and CBP does not receive all of the data it could from other agencies. So how do we get past this burden, Mr. Overacker? Why is this--why are we not getting the most that we can here? What is holding back the progress that we need to realize? Mr. Overacker. Well, I would say that, first of all, we do have good levels of collaboration. We do receive data that is required by regulation and then we fuse that data with other information to try to identify high risk. Mr. Tonko. But if I might, though--see, when we look at the National Target Center visit, they're saying it's not happening as well as it could. What is holding that back? Mr. Overacker. Well, there is room for improvement and I would just say that this is an example within the law enforcement community of where I believe that we need to have investigators get to a comfort level where they can share their case information with CBP, knowing that as law enforcement officers, ourselves, that we can protect those cases. But we can also use that information to advance those cases by basically giving them greater feedback and greater information. So I just think it's a question of education of the investigators in the field of what our capabilities are and what value we can add to their cases. Mr. Tonko. And what additional data would CBP like to receive from other agencies involved in this fight to feed into your targeting system? Mr. Overacker. Well, like I said, I think the case-specific information, that will allow us to pinpoint target and also provide meaningful interdictions for those agents in the field. Mr. Tonko. And, Mr. Donahue, I understand DEA frequently shares data with CBP on specific cases when DEA deems it appropriate. But what is stopping DEA from providing CBP with more data on an automatic ongoing routine basis? Mr. Donahue. We work with CBP daily down in Mexico City and various other countries. We are mandated by DOJ policy to provide all of our data into the Special Operations Division where there's over 38 foreign and domestic agencies, both state, local, and federal, that seize that data that can share it and CBP actually has officers stationed in the Special Operations Division, and we work a lot along the border with them passing information on seizures that we need them to make for our investigative purposes that we can use in a court of law in United States. So there's daily engagement. Mr. Tonko. Why then is CBP stating that they're not receiving all of the data that they need to? Mr. Donahue. You know, I don't--they're not tied in directly to SOD but they can see all of our data there because they have representatives stationed in the Special Operations Division that coordinate with all the other agencies there to include people out in the field and in foreign offices. Mr. Tonko. Well, let me give a specific example. If DEA executes a search warrant related to fentanyl and discovers packages containing fentanyl that include names and addresses, can that information automatically be sent to CBP for it to interdict all related shipments coming in? Mr. Donahue. If they're working that investigation in conjunction with DEA, they would have it right then and there. We provide all that to our targeting over in SOD and they would, in turn, share it with the CBP officer there when they could give value add to that investigation to help identifying the people responsible for that seizure. Mr. Tonko. Well, Mr. Chester, this is one of ONDCP's essential missions, to make sure that these agencies are working together and sharing all of the information that they can. But, clearly, there is more that can be done in terms of ongoing information sharing and for there to be this proclamation by some of the groups saying we are not doing as well as we should. What are the roadblocks here? Mr. Chester. Clearly, there are roadblocks. There is always room for improvement in the ability---- Mr. Tonko. But what are the roadblocks? Mr. Chester. I think some of them may be procedural. Some of them may be technical in nature, the ability for databases to speak with--to one another on a routine basis, and as those issues arise we absolutely are more than happy to work with the interagency to try and reduce them, as you pointed out. Mr. Tonko. But why can't we link up more of these data systems so that the agencies can help one another? Mr. Chester. Yes, sir. We would have to take a good close look at the reason why it's not happening and fix that problem. We absolutely will. Mr. Tonko. We have a crisis on our hands. Why are we not taking that closer look? Mr. Chester. Yes, sir. Mr. Tonko. We could look at it. Why aren't we? Mr. Chester. We absolutely will look at it. This particular case that you raise we absolutely will take a look at why the information is not routinely shared and we will reduce that barrier and make sure that that happens. Mr. Tonko. Madam Chair, I yield back. Ms. DeGette. The Chair now recognizes the gentle lady from Indiana, Mrs. Brooks, for five minutes. Mrs. Brooks. Thank you, Madam Chairwoman, for holding this incredibly important hearing. I am really pleased that we are focusing in large part on law enforcement issues. I am a former U.S. attorney from '01 to '07, and so worked with all of your agencies. Was there when Homeland Security was stood up, and so just want to thank you all very, very much for your work. I think what the frustration is is we are trying to determine if there are any legal barriers, legal authorities, or anything that is keeping the agencies from sharing at the level that we all think you should be sharing at. And so my question is to any of you, and your counsels who might be here, are there any legal barriers that exist in law that are keeping you from sharing information? Discovery issues--is there anything? Mr. Donahue, anything you know of? Mr. Donahue. I think that depends on what the seizure is, if it's actually in judicial processes--is it actually protected information from other countries. But there is no legal, you know, policy or anything preventing us from sharing information. I could tell you what we've done in Mexico City in our offices. We have HSI agents and FBI agents sitting right in the office with DEA for that deconfliction purpose and for the immediate sharing of information. Mrs. Brooks. OK. And do any of the other agencies know of any legal reasons why our law enforcement agencies aren't sharing or can't share anything? Or is it just operational? Mr. Overacker. I am not aware of any legal restriction---- Mrs. Brooks. OK. Mr. Overacker [continuing]. And I think our default position always should be we have an obligation to share. Mrs. Brooks. OK. And I assume--is that anything different? Mr. Prince. Again, yes, I am not aware of any legal prohibitions but I think that, you know, the size of some of these agencies--these are large enterprises that we are talking about. But a lot of these gaps are closed through deconfliction houses, case coordination such as OCDTF, HIDTA. A lot of these things I am sure you're very much aware of, and I think it's not--these aren't insurmountable issues. These are issues that we collaborate on daily---- Mrs. Brooks. Right. Mr. Prince [continuing]. With respect to the international space---- Mrs. Brooks. OK. Just wanted to make sure there were no legal impediments because actually Mr. Donahue talked about a legal impediment, which I've been very concerned about for a long time, and that's the encrypted phones, which we have not resolved, have we, Mr. Donahue? Mr. Donahue. No, we've been pending that issue for years now. Mrs. Brooks. OK. And could you very succinctly remind us all what that is? Mr. Donahue. So it's a law that's going to enable us to judicially intercept a device that's signed by a judge on a target that we can demonstrate is violating U.S. law. Mrs. Brooks. But then the encryption is what's keeping you from getting to the information in the phone. Is that correct? Mr. Donahue. Correct. Certain companies don't cooperate-- aren't obligated to cooperate to give us the technology to intercept the encryption. Mrs. Brooks. OK. I want to talk about some of the technology challenges, and Mr. Prince, you talked about the dark web, and can you please share with us what--how it is that it's more of a law enforcement challenge than, you know, other issues that we've seen and whether the issues with cryptic currency, and I just read that Facebook is now contemplating a currency. Can you please talk with us about any successes or challenges you're having on the dark web? Mr. Prince. The successes are I mentioned in my oral testimony. The challenges are, obviously, with respect to crypto currency and that when we are looking at transactions that are occurring in the dark net and the dark net is largely where nefarious activities are occurring and transactions are happening. We don't necessarily know what these purchases and sales are unless or until we arrest an individual who is engaged in this criminal activity and perhaps commandeer their account, in which case we can see their entire wallet and what those transactions translate to. If we are looking at it from the outside in what we see is transactions that are occurring we can presume that those transactions are in fact criminal in nature because we are in the dark net space. But we don't know what they're selling, what they're buying. So those are some challenges. But we overcome those challenges through a variety of different techniques that I can't really get into here. Mrs. Brooks. Right. Mr. Prince. But, certainly, we do make an impact and we are making inroads in that space. Mrs. Brooks. And I would like to follow up on that further. But one thing that I know CBP mentioned but I would also like to ask you, Mr. Barksdale. Can we talk a little bit in my time that I have left about the Narcan availability for--I know it's at key facilities. Obviously, when we are dealing with fentanyl all the law enforcement--everyone who touches it it's of significant concern because it could kill. What percentage of postal and--I am curious, and I think we'll have to do this in written form to all the agencies--what percentage of your officers have access to Narcan? Mr. Barksdale. Well, first, as far as postal inspectors, every postal inspector has access to Narcan. Mrs. Brooks. OK. Good. Mr. Barksdale. Those on our drug teams has access to Narcan. On the operational side, all of our key facilities does have Narcan distributed to them, and that would include all of our process and in distribution centers and other large facilities. As far as the percentage of employees that covers, I will have to get back to you with an exact number. Mrs. Brooks. OK. And I will be submitting for--written questions about the availability of Narcan, the percentage of your employees that are all covered or have access to that because I think this is a serious issue for law enforcement. Thank you. I yield back. Ms. DeGette. The Chair now recognizes the gentleman from Massachusetts, Mr. Kennedy, for five minutes. Mr. Kennedy. Thank you, Madame Chair. Thank you for hosting this incredibly important hearing. Thank you for the witnesses to be here today and for your service to our country. A number of complexities that--and hot issues that been brought up over the course of the testimony today, and I appreciate your focus on that. I want to try to drill down on some of that, given that Congress has the opportunity to make some changes here and some investments here that I think are necessary, although we need to do that right. So, Mr. Overacker, you told us earlier that, quote, ``Most of the illicit fentanyl entering our country by weight does so at ports of entry along the Southwest border by private vehicles, pedestrian, and commercial vehicles,'' and that, quote, ``Fentanyl entering from the northern border does so by international mail packages and express consignment courier,'' end quote. So in your opinion, sir, would a border wall at a cost of up to $25 billion be the most effective way to stop fentanyl from arriving in our country through mail and ports of entry? Mr. Overacker. Let me just say that I think when we talk about border management you have to have a comprehensive approach. You know, most of what we encounter is at a port of entry and--but we are working with--working to change our concept of operations at these ports so we can increase the scanning rates, and when we increase those scanning rates I think it will have an impact on the patterns of crossing and if we deter these drugs---- Mr. Kennedy. Understood. Mr. Overacker [continuing]. Deter them from coming to the ports they're going to go someplace else. Mr. Kennedy. Right. So I am going to interpret that based upon the phrasing in which you answered that question as a no, not the most effective way to spend the initial first $25 billion. So if Congress was to appropriate $25 billion to the CBP to combat fentanyl trafficking, would you choose to spend that money on a border wall or, as you said, increase technology focused on screening cars and pedestrians at ports of entry and packages that are arriving through the mail? Mr. Overacker. Well, in the 2019 appropriation we received $570 million to improve our scanning capabilities at ports of entry---- Mr. Kennedy. And given what you just said, we are not there yet in terms of trying to---- Mr. Overacker. No, that's going to be a multi-year investment. But that's our first priority right there. Mr. Kennedy. Appreciate that, sir. Mr. Donahue, if given $25 billion by Congress, do you believe the most effective way to stop any arrival of illicit drugs to the United States is a border wall? Mr. Donahue. Again, collectively, with all different tools, can't say, you know, it won't help. I mean, I can't say it's the solution. But it would help. It's just another tool in our toolbox that we can actually filter certain threats to certain areas and we can focus on in personnel---- Mr. Kennedy. So but the most--if you had $25 billion is the intervention that you would go with first a border wall? Mr. Donahue. It would just be part of our comprehensive plan on how we approach the issue. Mr. Kennedy. Sir, you touched on the importance of treatment and recovery options here in the United States as a way to reduce demand. Do you think that a $25 billion border wall would help us increase access to care in places like Massachusetts that would lead to reduced demand? Mr. Donahue. I mean, again, that's part of our--we believe in the rehabilitation. We believe in the demand reduction and the enforcement, and the international focus on the sources of supply. So we---- Mr. Kennedy. And so would that---- Mr. Donahue [continuing]. We'd spread that money out, look at it collectively on the entire problem. Mr. Kennedy. And so that $25 billion could be spent on something like Medicaid, which is the largest payer of mental behavior health services in the country that accounts for more than 40 percent or nearly 40 percent of all adults with opioid addition in the country? Mr. Donahue. It would help that too, and our concern is to have less drugs and less flow into the United States, have less drugs addicts and less people dependent on those programs. Mr. Kennedy. And so if I am understanding your answer that that would help--expanding access to Medicaid would be a critically important part to ensuring that people get access to the treatment that's necessary. Mr. Donahue. The DEA doesn't run anything on--in Medicaid. We are targeting the cartels that are responsible for bringing the drugs into the country. Mr. Kennedy. Right. But as you said, if you're trying to reduce demand, getting people treated that are affected with addiction is probably part of that, no? Mr. Donahue. Yes, it is. Mr. Kennedy. OK. Mr. Chester, on multiple occasions the administration has opposed--has proposed gutting ONDCP by 95 percent. Do you believe that our response to this epidemic would be improved without a centralized agency tasked with leading that response? Mr. Chester. As the central EOP office for advancing the administration's drug control policy, ONDCP has been very effective in doing that role. Mr. Kennedy. Do you think cutting your budget by 95 percent would make you more effective or less effective? Mr. Chester. Well, clearly, cutting our budget by 95 percent would make us less effective. But I will also tell you that the administration's support for ONDCP has been very strong and they've allowed us to do our jobs very, very well in this particular crisis over the last-- -- Mr. Kennedy. Would you characterized the proposed cut by 95 percent as being very strong support, sir? Mr. Chester. The proposed cut by 95 percent was the inclusion of the other two programs that were very pricey. So it wasn't a--it wasn't 100 people from ONDCP became five people. But what I will tell you that the relationship that we have with the administration they have allowed us to be able to do our jobs at advancing the drug policy across the federal government. Mr. Kennedy. So why do you think they'd propose cutting your office by 95 percent? Mr. Chester. I think that these were all parts of budget discussions in the past but we are all very glad that ONDCP exists and continues to do its good work to this day. Mr. Kennedy. Me, too. Thank you. I yield back. Ms. DeGette. The Chair now recognizes the gentleman fromOklahoma, Mr. Mullin. Mr. Mullin. Thank you, Madam Chair. My questions are going to be for Mr. Donahue and Mr. Overacker, if you could both kind of answer when you can. How much fentanyl is coming directly from China? Mr. Overacker. So the fentanyl that comes directly from China typically we see that in mail or express, and I can tell you that---- Mr. Mullin. How much? I mean, give me--like, how much have we--have we stopped? How much do we estimate is entering the country from China directly? Mr. Overacker. Well, the numbers have dropped precipitously this year. Mr. Mullin. OK. Mr. Overacker. So we are talking about only pounds of fentanyl---- Mr. Mullin. Pounds? Mr. Overacker [continuing]. That we have encountered so far this year. Mr. Mullin. Mr. Donahue? Mr. Donahue. We couldn't give you the exact number coming in because we only know what we know. We can give you our seizures numbers that---- Mr. Mullin. Right. That's what I am looking for. How much have you seized? Mr. Donahue. So I will get those exact seizure numbers for you. Mr. Mullin. Thank you. Mr. Donahue. One thing we are looking for in China is actually the precursor chemicals coming from China actually utilized to produce more fentanyl. Mr. Mullin. How much is coming over our southern border that we are apprehending? Mr. Overacker. On the southern border, that's where, basically, most of what we are seeing---- Mr. Mullin. Right. Mr. Overacker [continuing]. And I think this year we are tracking at over 1,800 pounds or---- Mr. Mullin. Eighteen hundred pounds. Mr. Overacker [continuing]. Close to 2,000 so far. But this is not pure fentanyl. This is fentanyl that would be either---- Mr. Mullin. It's laced. Right. I get it. Right. Mr. Overacker [continuing]. Yes, laced or cut or however you want to---- Mr. Mullin. I get it. Mr. Donahue, would you agree with those numbers? Mr. Donahue. They seem accurate, and we see a lot going up through the corridor for Tijuana and Mexico. Mr. Mullin. Are we grabbing most of that at the port of entry? Mr. Overacker. Absolutely. Ninety percent of our seizures occur at a port of entry. Mr. Mullin. And if I am--if I am not mistaken we are only inspecting, roughly, 20 percent of the--of the vehicles. We are only able to inspect 20 percent of the vehicles coming across the port of entry. Is that correct? Mr. Overacker. Well, currently, our scanning rates for privately-owned vehicles coming across the southern border are around two percent and it's, roughly, 16 percent for commercial vehicles, and that's really a function of the volume of what's crossing. We have---- Mr. Mullin. Well, the point I am trying to get to is my colleague that was before me was bringing up the $25 billion for the southern border for building the wall, and underneath the president's proposal he also designated a significant amount of money for the port of entry to scan 100 percent of the vehicles as they was driving through because right now we are only inspecting, roughly, 20 percent and we are already catching the largest amount but through the port of entry. To get back to what my colleague was referring to, would the wall work. Well, what the wall would do is draw more people to that port of entry. Is that not correct? If the wall is there, then they would have to look for a more--a different avenue to be able to enter the country through, which would be the legal point of entries. Mr. Donahue, would you like to respond to that? Mr. Donahue. We do a lot of great work with CBP and passing information when we can drive people or operations that we do at the port of entry where we can focus on cars and trucks. Mr. Mullin. It's to funnel them there to a certain point. Mr. Donahue. Yes. Mr. Mullin. So would the wall help funnel that? Mr. Donahue. Absolutely would. Mr. Mullin. Mr. Overacker, would you agree with that? Mr. Overacker. I would say that the port of entry is a controlled place. Mr. Mullin. Sure. Where the--where the open border isn't, correct? Mr. Overacker. And so because it's a controlled place and we have better opportunities to interdict. Mr. Mullin. OK. So my point that I am trying to drive home here is there's not just one thing that's going to solve this problem. But the amount that we can keep from flowing over our southern border, which is where the majority of the drugs are coming from--if we can get a better control on that and designate dollars specifically for those and make our southern border a harder target rather than right now being an easy target because, as we all know, the easy target is an opportunity for success and a harder target most criminals aren't going to attack. If we are able to make it a hard target, would that help us with combatting the overdoses that are taking place and the addiction issues that are taking place here inside the United States? Mr. Donahue. We look at all tools because, you know, we are speaking about fentanyl today and we are concerned with the enormous amount of methamphetamine that's being produced that's coming up---- Mr. Mullin. Right. Mr. Donahue [continuing]. The enormous amount of cocaine and the heroin as well, which are bulky to bring in that they need big trucks to do it. So we are looking at every tool possible to identify and disrupt and seize those drugs that are coming in. Mr. Mullin. With the amount of human trafficking that's going on in our southern border right now--the overflow that's taking place--is it distracting your mission from being able to--being able to look directly to drug trafficking or you have to spend resources to the human trafficking side of it, too? Mr. Overacker, you want to---- Mr. Overacker. Well, there's no question that the current conditions on the Southwest border have caused us to have to shift, you know, our personnel. So it does have some impact. There's no question about that. Mr. Mullin. See, what I am thinking is that the cartels are purposely flooding our southern border so that the drug routes can be easily accessed because they know that we having to put resources to the human trafficking crisis that's taking place and the humanitarian that's taking place. So the wall, to which my colleague brought up, is to help all the above picture, not just one single issue. With that, I will yield back. Ms. DeGette. The gentleman yields back. The Chair now recognizes Mr. Duncan for five minutes. Mr. Duncan. Thank you, Madam Chairwoman, and thanks for holding this hearing. I sat here a long time listening because I am concerned about the 28,000 deaths in the United States from synthetic opioids like fentanyl. And my colleague made a great point just now that cartels are going to exploit weaknesses or crises to get their product across. I think they are. I think walls do work and I think they create corridors that our law enforcement can better utilize the resources we give them within those corridors to stop the bad guys from wanting to bring these horrendous drugs into our cities and killing our fellow Americans. I've been sitting here and for--sat here for several hours listening to all the other questions. One of the benefits or challenges being last is all the groovy questions have been asked. You all have been great to answer those questions. I want to give you a chance to tell us what more we can do in Congress. We passed the SUPPORT Act last year, the SUPPORT for Patients and Communities Act. I want to see the implementation of that. But what I would like to do is just ask Mr. Overacker first what can we do in Congress to help keep our law enforcement officers best positioned to continue infiltrating the supply chain. What more can we do? Mr. Overacker. Thank you for that, Congressman. First of all, I would just like to say that we are very fortunate that Congress has supported us most generously over the last two budgets with respect to our detection capabilities, and so we are grateful for that, and we know we have a multi-year effort to improve our scanning capabilities on the Southwest border but also throughout CBP. We are also grateful for the continued support we've received with respect to improving our laboratory capabilities and also appropriations for improving our facilities. That's an important part, particularly what we are doing now to improve the international mail facilities where we process mail with the U.S. Postal Service. So that continued support is most helpful for us. So that's what I would say, just thank you for the support we've received so far. Mr. Duncan. Let me ask Mr. Donahue from the DEA standpoint. What can we do to help you disrupt the distribution process of opioids and what more can we do? Mr. Donahue. I think having hearings and meetings like this and keeping it to the forefront is really important, and inviting DEA to these meetings. We bring something specific to the table. We have extraordinary amount of resources in our overseas offices which is where the drugs come from--the cocaine, the methamphetamine, the heroin, the fentanyl. It all comes from international and other countries. So bringing this to the forefront I think is really important for the DEA and letting our message get out there, and I think having the youth and other people seeing the damage of the drugs that are coming in from a foreign country, just the damage to our cultures and our communities. It's really important not to do it every six months but to do it daily. Mr. Duncan. I've got a--my best friend from college is a doctor and we talked about fentanyl just this week, and we were talking about the smuggling efforts. And as you guys become more and more effective, my concern is the very potent fentanyl could be put into food supplies as part of the smuggling effort in containers and contaminate food supply that ultimately gets in. Not talking about drug users that are looking for that stronger high. I am talking about fentanyl get into an area where it contaminates food or liquids that ultimately end up on the digestives systems of just average Americans, and then we have a lot of other innocent deaths. I want to ask Mr. Prince with HSI--you know, as containers are being brought in, I know HSI is doing a great job overseas. Is that a reality that we should think about is fentanyl contaminating any other sort of food supply or liquids that are coming into this country? Mr. Prince. I think it's an abstract thought that I have that I will share but, you know, lack of imagination is something that we shouldn't have when it comes to fentanyl in the same sense that when you think about 9/11 and how that happened. So we should have an imagination about the various ways that fentanyl can be introduced into the United States as we put pressure on organizations. We should be creative. We should continue to leverage tools that we have. We should continue to create new tools and expand our aperture within the cyber space. And don't forget about our, as I mentioned earlier, our analog tool sets that allow us to also be effective. Mr. Duncan. Madam Chairwoman, before I came to this committee I was on the Homeland Security, and I was on the Border and Customs Border Patrol--Border and Maritime Subcommittee. We went to the ports and we looked at container security, and we looked at the screen for radioactive devices. We looked at what drug smugglers have done. But fentanyl being put on containers it's going to be very difficult for these guys to detect. That's something we ought to consider in future hearings. And with that, I yield back. Ms. DeGette. The gentleman is right. Fentanyl is really difficult to detect and that's 1 of the real dangers. I want to thank all of the witnesses for coming today. Your participation has been very informative and helpful. I do have a document that Ms. Schakowsky asked me to enter into the record. It's an article from the International Journal of Drug Policy and I would ask unanimous consent. So ordered. [The information appears at the conclusion of the hearing.] Ms. DeGette. I can assure all of you, and everyone in the audience, this committee does intend to stay on this issue. This has been a multi-year process, a bipartisan process, and we intend to continue to look quite closely at it, because it is really a national crisis. And I want to thank all of our witnesses for recognizing it as such and for increasing your cooperation between your agencies. I also want to remind Members that pursuant to committee rules they have 10 business days to submit additional questions for the record to be answered by witnesses who have appeared before the subcommittee. I would just ask if all of our witnesses would agree to respond promptly to any such questions if you receive any. I think you will be getting some from Mrs. Brooks, for example. And with that, the subcommittee is adjourned. [Whereupon, at 12:06 p.m., the subcommittee was adjourned.] [Material submitted for inclusion in the record follows:] Prepared Statement of Hon. Annie Kuster We have seen the opioid crisis evolve and take many different forms. No community in this country has been spared, but New England and New Hampshire in particular have been devastated by this crisis. That is why it is imperative that we anticipate how the fentanyl crisis will continue to evolve. We need to get ahead of this ever-changing threat, so we are not caught flat-footed. As I look at the witness panel, I am struck by their diverse missions. It is not every day that we have a hearing with the U.S. Postal Service and the DEA on the same witness panel. We need a national strategy on our fentanyl response. And I don't just mean a white paper document or a task force report. I mean we need a coherent, practical plan for how we are going to beat this problem. For example, the Office of National Drug Control Policy (ONDCP) is supposed to formulate a strategy, bring all the agencies together, and see to it that the strategy is implemented effectively. DEA, you are on the front lines and often develop important leads for targeting drugs. And FDA is suddenly in the middle of this fight because fentanyl is increasingly being mixed with other drugs, including counterfeit prescription drugs. These are just a few of the issues we will explore today. If we are going to solve this problem, we need better cooperation across agencies, and we need to think differently than we have on past drug epidemics. Finally, this hearing is just one piece of our oversight. This Subcommittee will stay on this issue and ensure progress is being made so that we are not back here again next year talking about the same problems. I thank the witnesses for their service on this critical issue, and for being here today. I yield back. [GRAPHICS NOT AVAILABLE IN TIFF FORMAT] [all]