mr. sherman. thank you, madam secretary. mr. burton, the chairman on europe and eurasia is recognized. >> madam secretary, nice seeing you again. "understand there was an indication that we might open some dialogue with north korea. i just checked and we gave north korea during the clinton administration over $1 billion in fuel and food aid as well as money we spent building their light battewater reactor. and, of course, they violated their agreement they made. i only reason i bring that up is i hope if we start a dialogue with them we realize that their history is one of -- that they certainly can't trust. and even though kim jong-il is gone and we have a new leader, there i think it's extremely important that the state department get everything written in blood, so to speak, to make sure that we're not shaft at the end. recently dom donovan and the chairman of the joint chiefs went over to visit israel. and the tone of the reports that i received and, of course, all this isn't in writing. but the tone was that they were urgin

mr. sherman. >> senator portman. >> thank you mr. chairman and secretary and general dempsey thank you for being here this morning. i have told secretary panetta i was going back and forth between the committee and the budget committee, and it's interesting because i am seeing two different points of view and i commend both of you today and your comments about the need for us to deal with the unsustainable growth on the entitlement or mandatory side of the spending in response to your question from senator gramm is the mandatory for the system but you gave the simple answer colin no. i will tell you to be honest, having just engaged in the budget committee of the president's budget that was submitted yesterday it not only adds another 11 or $12 trillion to our debt taking it up to over $25 trillion but it takes a pass on any tough decisions that have to be made on the biggest part of the budget and the fastest-growing part of the budget and that is the entitlement side to beat actually grows under the numbers from 64% of the total bu

mr. sherman. >> the gentlelady's time is expired. we've got to put our questions here before i choose to think the panel i would like to recognize mr. payne for in the closing remarks he might have. >> thank you very much. i think that you have all added to the hearing today. i appreciate you coming and spending time. i also like to commend the governors. i thought that the had a very balanced approach, and i think that we really need to see how we can get america back on the job truck. i think a lot of the bickering that goes on is really discouraging to the american people. and i think that we can do together to help the nation in this time and i just hope that at some point in time the congress will come together and try to put american people first. also i would like to agree with the governor mentioned this secretary ray lahood did an outstanding job and i would have to agree he is one of the more accessible and energetic forward thinking members. estimates before. i yield back to the estimate of course ray lahood has been a frie

mr. sherman. 64. we proceed to chairman of rob wittman of virginia. >> thank you. i find it interesting in the report to speak about contract management deficiencies at arlington with contract management specifically in the area of i.t. it appears as though 5 million spent and wasteful but haven't produced any results and on page nine of the report you said that the ip contract management system isn't guided by the modernization blueprint and that its duplicative and poorly integrated and not necessarily costly to maintain. from that standpoint, what is your review on covered and specific terms about what you believe that was occurring as well as what are the current efforts to overcome those deficiencies? where are they in the modernization effort to make sure there isn't duplication and that systems are not unduly costly to those. >> thank you, chairman, for the question, and it actually stands both of the reports. the external review is found that dhaka over 5 million that have been spent to modernize the system didn't give up very much and there were a number o

mr. sherman. >> thank you. senator hagan. stomachs before mr. chairman and general, mr. panetta and mr. hill, thank you for your service and it is good afternoon now. thank you for your leadership particularly during this time made the ied proliferation is a key concern of mine, and it certainly has been for quite awhile. i support anything that we can do to counter them and obviously protect our troops, and i also support anything we can do to improve the detection rates and interdict the row and reported last year in afghanistan they cost over half the u.s. military deaths and the ied will continue to pose a threat to our military men and women to be the and i believe we need a capability to counter the threat. however we have to ensure our countermeasures we deal with the types we face now and in the future along with the environment they will likely be legalized in and our efforts must be geared towards countering than in any locale and my figures show that we have spent approximately $17 billion on the various initiatives and equipment not counting the 45 billion spent on drug-resi

mr. sherman. and ranking member for the invitation to come here and to address you and the other members of the committee. it's an honor to be with you here today. i'm here to defend the constitutional prerogative of converse. and i want to be clear from the outset but whatever political concerns i might have with of these nominations, my overriding dominating concerns here is not partisan. rather it is institutional and a constitutional concern that i am here to explain and the answer any questions that you might have regarding those concerns. president obama's january 4th, 2012 appointments are unconstitutional because they did not comply with the requirements for appointments set forth in the constitution to be a those requirements i might add are important because as the founding fathers the five discussed in that fateful convention in the summer of 1787 in philadelphia the founding fathers were unwilling to grant this power on an unrestrained basis to an executive as they offered that there w

mr. sherman said, the president and obviously the legislative bodies put into effect the balance that the bca last summer, that serves as a budget. and that's a real accomplishment. >> we don't need this budget? >> what we need is this budget, we need this -- the policies embedded in this 2013 budget the president has put forward -- >> that will only be done -- trillion dollars of deficit. >> it only will be done if it passed into law if senator reid takes this up as -- in a budget, in the senate, so we -- we are both on the same page. encouraging -- >> i hope the senate and the housework together to make sure that the president's policies are enacted into law as soon as possible. we achieve the deficit reduction. >> if we do that. another quick question and give me one answer. if we pass this budget tomorrow, when does the budget balance in this country, under your proposal? >> we achieve significant progress -- >> i'm looking for a year. >> achieve significant progress -- just a year. when does this budget balance in this country under your proposal? >> this budget makes a serious -- >>

mr. sherman, the ranking member on the subcommittee on terrorism, nonproliferation and trade is recognized. >> madam secretary, glad to you have back here. i want to join so many of my colleagues who praised your work for our country and how much you've been able to accomplish with less than 1% of our budget. i've got a lot of topics to cover. i would expect that you would just want to respond for the record. but interrupt me at any point if the spirit moves you. the first is to focus on georgia. we have been very generous to the republic of georgia. it is a region in southern georgia with

mr. sherman. i am sure at this point to end the hearing secretary panetta that you are contemplating what daniel akaka said to you and are wondering about your career choice, but we do appreciate your service and the service of all of you. general dempsey, i want to bring up with you in the issue that really troubles me. since may of 2007, afghan security forces have killed 70 americans and allied troops and wounded many more come over 100 more. in 45 separate attacks and one of those killed was the unnamed soldier private first class buddy mclean. i am so disturbed by the frequency of these attacks it raises questions about our the bidding process, it raises concerns among our troops when here they are risking their lives to train and assist these afghan troops to only have some of them turn on them and kill them. it's my understanding that the central command report concluded that there was the crisis of distrust that permeated both the national afghan security troops that we are trading, and ou

mr. sherman. i'm pleased that the administrator can join us today to discuss the tsa screen partnership program. i would also like to extend a welcome to our second panel of witnesses. it is my hope that some of the myths and rhetoric surrounding the program can be put to bed today. by this hearing, my colleagues on either side of the aisle have implied that the current use of federal screenings impedes job growth. there is no proof and the wall or the fact for that assertion. the number of screeners there and airports is determined by an analysis of the risk, threat and william that airport. these factors will not change based on whether the screeners or private contractors are federal employees. but the number of jobs will not change based on whether the screeners are public or private sector employees. under the republican suggestion, the only thing that would change is whether the jobs would be public or private. we know that both types of screenings are effective and face challenges. follow t

mr. sherman. >> the gentlelady's time is expired. we've got to put our questions here before i choose to think the panel i would like to recognize mr. payne for in the closing remarks he might have. >> thank you very much. i think that you have all added to the hearing today. i appreciate you coming and spending time. i also like to commend the governors. i thought that the had a very balanced approach, and i think that we really need to see how we can get america back on the job truck. i think a lot of the bickering that goes on is really discouraging to the american people. and i think that we can do together to help the nation in this time and i just hope that at some point in time the congress will come together and try to put american people first. also i would like to agree with the governor mentioned this secretary ray lahood did an outstanding job and i would have to agree he is one of the more accessible and energetic forward thinking members. estimates before. i yield back to the estimate of course ray lahood has been a frie

mr. sherman, looking back at it i think the fundamental error was in not really applying maybe the intent or the past practices of the administrative procedures act, notices of proposed rule makings that involved reallocation of spectrum. an argument was made that this was not a reallocation from mobile satellite services to a high-powered broadband terrestrial mobile service but this was, in fact, simply a relaxation of maybe some outdated constraints and some waivers could be applied and maybe new efficiencies could be found. i think in retrospect that was too kleopfer by half, that -- clever by half, that a notice of proposed rulemaking should have been done. the notice would have generated the technical data necessary to understand what was involved, and that one would have fairly quickly seen that this was a nonstarter. when this originally started back in about 2003, the idea of an ancillary terrestrial component to mobile satellite service was considered a kind of a fill-in, a gap filler, a relatively low power system. no one was talking about 40,000, you know, high-powered cell to

mr. sherman. >> thank you, mr. chairman. find it rather ironic that two years ago the intelligence community was chastised for being stovepiped come for stovepiping, withholding information back, and just to expand on what mr. king live was pointing out, that your we have the various intelligence agencies who are trying to work to prevent terrorist attacks in the future, the very thing they were criticized for ten years ago went 9/11 occurred. now they are being criticized for actually doing with the congress and the american public asked them to do which was to work as closely as you can to protect civil liberties but make sure we are sharing information across the board. and as it relates to the folks i represent, i hope folks are focusing within the intelligence community on the activity of these drug cartels who are now operating in mexico and other parts of south america who are also operating in california and parts of the west and i assume all over the country. every day innocent americans are being killed in this cou

mr. sherman. >> thank you. mr. foley. >> i'm grateful for the opportunity to participate in this hearing. i am director of aviation machinist technology garmin. the people of garmin are devoted to building gps devices for millions of users worldwide improving their lives and safety. the gps industry in this country alone accounts for over 130,000 direct jobs. what was once a government only technology is now woven into the fabric of our infrastructure. that did not happen overnight. it's taken two decades and hard work to maturity from the technology into the reliable force for safety and efficiency that we have built together now threatens. today virtually all types of aircraft utilize the gps for navigation approaches. lots of even a fraction of the gps reliability would pose significant danger to the aviation safety. a theory as i am particularly worrisome. the gps while on the approach would unsafely increase the pilot workload in this phase of life. the gps would deny coverage of their parts like in the ground

mr. sherman. i appreciate that. >> mr. galvin i'm going to run down the list and make sure i'm reading it correctly. the labor force participation rate dropped last month from 64% to 63 kysa 7% to read a number of discouraged workers was up from roughly 945,000 to 1.05 million people; is that correct cracks >> correct. >> the number of other marginally attached orders from 9.5 million to 1.75 million last month? >> i have to do the math. that looks right. the number of folks who are employed to part-time for economic reasons grow from 8.09 to 8.23 last month. >> correct. >> that is the unemployed by the widest measure grew from 23.7 to 23.8 million people last month. is that correct? >> i have a date for that level. >> the rate went from 15.2 to 15.1? >> correct. >> the percentage of the total long-term unemployed -- as a percentage of unemployment rose from 16.7 to 43.3%. that's defined by folks out of work more than six months. 27 weeks. >> it rose to 42.9%. >> and then the graph that the german offer does appear. the nu

mr. sherman. >> senator portman. >> thank you mr. chairman and secretary and general dempsey thank you for being here this morning. i have told secretary panetta i was going back and forth between the committee and the budget committee, and it's interesting because i am seeing two different points of view and i commend both of you today and your comments about the need for us to deal with the unsustainable growth on the entitlement or mandatory side of the spending in response to your question from senator gramm is the mandatory for the system but you gave the simple answer colin no. i will tell you to be honest, having just engaged in the budget committee of the president's budget that was submitted yesterday it not only adds another 11 or $12 trillion to our debt taking it up to over $25 trillion but it takes a pass on any tough decisions that have to be made on the biggest part of the budget and the fastest-growing part of the budget and that is the entitlement side to beat actually grows under the numbers from 64% of the total bu

mr. sherman, a restaurant a number of members of the subcommittee, good morning. my name is craig parmelee i serve as managing director and analytical manager for the north american financial institution team at standard and poor's. i am pleased to appear before you this morning and discuss the rates. over the course of its history s&p -- >> i'm going to ask you to do me a favor to read those microphones don't pick up a very good unless you nearly half your lips on them that you don't have to put your lives on them if you move them closer. over the course of its history we sought to improve transparency and capital markets by providing independent assessments of credit worthiness. at the core the credit ratings reflect the forward-looking views about the ability and willingness of issuers to meet the financial obligations in full and on time. the ratings or expressions of opinion. they are not recommendations to buy or hold securities and they are not statements of fact. a frustrated in 2007. the rating at the time was the bbb-plus and remained at that level until

mr. sherman.has been a very interesting debate not only on this amendment but on others that have been offered, and i've listened with a great deal of attention to what members of said on both sides of the issue regarding the underlining of legislation. let me just outline of the things that really troubles me about this. first call, i think that this is a terrible way to legislate. and let me tell you why. no presidential permit is required for the pipeline. there's a requirement that to issue a permit for the construction of the pipeline within 30 days of receiving an application. so no one is interested in what the responsibility of an agency or for review in putting my constituents. so this is on a high-speed rail for being approved. just do it by degree, why bother going to an agency? you are telling and agency to turn an answer in a is a predetermined answer and that's that. you wait all of the applicable requirements under nepa. if they don't act on the permit application for 30 days to per

mr. carter. >> thank you, sherman isi and a ranking member cummings to testify before the committee today. as the direct consequence of the appointments some members richard griffin share the glock and terrence flem on january 4th, every administrative decision and every administrative rule or regulation implanted by the national labor relations board will be subject to the appeal or attack. the vulnerability will necessarily impact the agency's ability to accomplish its primary mission of promoting industrial peace and stability in the labour relations and minimizing the likelihood the labor strike will negatively impact the interstate commerce in the united states. as recently as january 26, the chairman of the in to nlrb told the associated press reports that the nlrb would push for new rules to give unions a boost and organizing members. the chairman is quoted as stating we presume the constitutionality of the president's appointment and we go forward based on that understanding. the german's reference to the constitutionality of these appointments is a critical issue. as we have heard

mr. sherman. thanks for being here and the same to governor malloy to read this to the book is letcher in indiana has recently -- and this is a state issue taken up right to work which is a controversy of subject as you know. governor snyder, are there any discussions in your state which neighbors lined concerning this type of action at state level? >> it is under discussion. there are a number that are promoting that in my perspective as i've made it clear it's not in my agenda. right to work is an issue that's a very divisive issue people feel very strongly about and as mentioned in the relentless positive action persons we have many problems in michigan that are much more pressing but i want to find the common ground issues we can work together on before we get into the divisive issues and we are showing great success we balance the budget and did the the tax reform. the important items this year i would prioritize include the transportation package i mentioned about infrastructure and we have