    [House Hearing, 111 Congress]
    [From the U.S. Government Publishing Office]

    THE 2010 CENSUS COMMUNICATION CONTRACT: THE MEDIA PLAN IN HARD TO COUNT
                                     AREAS

    =======================================================================

                                    HEARING

                                   before the

                      SUBCOMMITTEE ON INFORMATION POLICY,
                         CENSUS, AND NATIONAL ARCHIVES

                                     of the

                             COMMITTEE ON OVERSIGHT
                             AND GOVERNMENT REFORM

                            HOUSE OF REPRESENTATIVES

                         ONE HUNDRED ELEVENTH CONGRESS

                                 SECOND SESSION

                                   __________

                               FEBRUARY 24, 2010

                                   __________

                               Serial No. 111-83

                                   __________

    Printed for the use of the Committee on Oversight and Government Reform

      Available via the World Wide Web: http://www.gpoaccess.gov/congress/
                                   index.html
                         http://www.oversight.house.gov
    THE 2010 CENSUS COMMUNICATION CONTRACT: THE MEDIA PLAN IN HARD TO COUNT
                                     AREAS

    THE 2010 CENSUS COMMUNICATION CONTRACT: THE MEDIA PLAN IN HARD TO COUNT
                                     AREAS

    =======================================================================

                                    HEARING

                                   before the

                      SUBCOMMITTEE ON INFORMATION POLICY,
                         CENSUS, AND NATIONAL ARCHIVES

                                     of the

                             COMMITTEE ON OVERSIGHT
                             AND GOVERNMENT REFORM

                            HOUSE OF REPRESENTATIVES

                         ONE HUNDRED ELEVENTH CONGRESS

                                 SECOND SESSION

                                   __________

                               FEBRUARY 24, 2010

                                   __________

                               Serial No. 111-83

                                   __________

    Printed for the use of the Committee on Oversight and Government Reform

      Available via the World Wide Web: http://www.gpoaccess.gov/congress/
                                   index.html
                         http://www.oversight.house.gov

                      U.S. GOVERNMENT PRINTING OFFICE
    61-800                    WASHINGTON : 2010
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                  COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM

                       EDOLPHUS TOWNS, New York, Chairman
    PAUL E. KANJORSKI, Pennsylvania      DARRELL E. ISSA, California
    CAROLYN B. MALONEY, New York         DAN BURTON, Indiana
    ELIJAH E. CUMMINGS, Maryland         JOHN L. MICA, Florida
    DENNIS J. KUCINICH, Ohio             MARK E. SOUDER, Indiana
    JOHN F. TIERNEY, Massachusetts       JOHN J. DUNCAN, Jr., Tennessee
    WM. LACY CLAY, Missouri              MICHAEL R. TURNER, Ohio
    DIANE E. WATSON, California          LYNN A. WESTMORELAND, Georgia
    STEPHEN F. LYNCH, Massachusetts      PATRICK T. McHENRY, North Carolina
    JIM COOPER, Tennessee                BRIAN P. BILBRAY, California
    GERALD E. CONNOLLY, Virginia         JIM JORDAN, Ohio
    MIKE QUIGLEY, Illinois               JEFF FLAKE, Arizona
    MARCY KAPTUR, Ohio                   JEFF FORTENBERRY, Nebraska
    ELEANOR HOLMES NORTON, District of   JASON CHAFFETZ, Utah
        Columbia                         AARON SCHOCK, Illinois
    PATRICK J. KENNEDY, Rhode Island     BLAINE LUETKEMEYER, Missouri
    DANNY K. DAVIS, Illinois             ANH ``JOSEPH'' CAO, Louisiana
    CHRIS VAN HOLLEN, Maryland
    HENRY CUELLAR, Texas
    PAUL W. HODES, New Hampshire
    CHRISTOPHER S. MURPHY, Connecticut
    PETER WELCH, Vermont
    BILL FOSTER, Illinois
    JACKIE SPEIER, California
    STEVE DRIEHAUS, Ohio
    JUDY CHU, California

                          Ron Stroman, Staff Director
                    Michael McCarthy, Deputy Staff Director
                          Carla Hultberg, Chief Clerk
                      Larry Brady, Minority Staff Director

       Subcommittee on Information Policy, Census, and National Archives

                       WM. LACY CLAY, Missouri, Chairman
    CAROLYN B. MALONEY, New York         PATRICK T. McHENRY, North Carolina
    ELEANOR HOLMES NORTON, District of   LYNN A. WESTMORELAND, Georgia
        Columbia                         JOHN L. MICA, Florida
    DANNY K. DAVIS, Illinois             JASON CHAFFETZ, Utah
    STEVE DRIEHAUS, Ohio
    DIANE E. WATSON, California
    HENRY CUELLAR, Texas
                         Darryl Piggee, Staff Director

                                C O N T E N T S

                                  ----------
                                                                       Page
    Hearing held on February 24, 2010................................     1
    Statement of:
        Bakewell, Danny, chairman, National Newspaper Publishers
          Association; James L. Winston, executive director, National
          Association of Black Owned Broadcasters; and 1Sandy Close,
          executive director, New America Media......................   374
            Bakewell, Danny..........................................   374
            Close, Sandy.............................................   388
            Winston, James L.........................................   382
        Groves, Robert, Director, U.S. Census Bureau; Jeff
          Tarakajian, executive vice president, DraftFCB; Robbyn
          Ennis, senior associate media director, Globalhue; and
          Nelson Garcia, Sr., vice president/media director,
          Globalhuelatino............................................    13
            Ennis, Robbyn............................................   143
            Garcia, Nelson...........................................   133
            Groves, Robert...........................................    13
            Tarakajian, Jeff.........................................    24
        Narasaki, Karen, executive director, Asian American Justice
          Center; Arturo Vargas, executive director, National
          Association of Latino Elected Officials; Helen Hatab
          Samhan, executive director, Arab American Institute
          Foundation; and Linda Smith, executive director, National
          Association of American Child Care Resource and Referral
          Agencies...................................................   293
            Narasaki, Karen..........................................   293
            Samhan, Helen Hatab......................................   341
            Smith, Linda.............................................   361
            Vargas, Arturo...........................................   316
    Letters, statements, etc., submitted for the record by:
        Bakewell, Danny, chairman, National Newspaper Publishers
          Association, prepared statement of.........................   378
        Chaffetz, Hon. Jason, a Representative in Congress from the
          State of Utah:
            Information concerning the adjudication process..........   279
            Letter dated May 14, 2010................................   284
            Summary of the 2010 address canvassing cost analysis.....   162
        Clay, Hon. Wm. Lacy, a Representative in Congress from the
          State of Missouri, prepared statement of...................     3
        Close, Sandy, executive director, New America Media, prepared
          statement of...............................................   390
        Cuellar, Hon. Henry, a Representative in Congress from the
          State of Texas:
            DraftFCB subcontractor obligations to date...............   216
            Letter dated May 14, 2010................................   165
        Ennis, Robbyn, senior associate media director, Globalhue,
          prepared statement of......................................   145
        Garcia, Nelson, Sr., vice president/media director,
          Globalhuelatino, prepared statement of.....................   135
        Groves, Robert, Director, U.S. Census Bureau, prepared
          statement of...............................................    15
        Jackson Lee, Hon. Sheila, a Representative in Congress from
          the State of Texas:
            Black audience media buy schedule: print and radio.......   224
            Letter dated January 13, 2010............................   400
            Letter dated January 15, 2010............................   403
            Letter dated March 9, 2010...............................   219
            Letter dated May 14, 2010................................   174
            List of local Black newspapers receiveing 2010 census
              advertisement..........................................   406
            Prepared statement of....................................   181
        Johnson, Hon. Henry C. ``Hank,'' Jr., a Representative in
          Congress from the State of Georgia, prepared statement of..   373
        McHenry, Hon. Patrick T., a Representative in Congress from
          the State of North Carolina, prepared statement of.........     9
        Narasaki, Karen, executive director, Asian American Justice
          Center, prepared statement of..............................   295
        Samhan, Helen Hatab, executive director, Arab American
          Institute Foundation, prepared statement of................   343
        Smith, Linda, executive director, National Association of
          American Child Care Resource and Referral Agencies,
          prepared statement of......................................   363
        Tarakajian, Jeff, executive vice president, DraftFCB,
          prepared statement of......................................    26
        Vargas, Arturo, executive director, National Association of
          Latino Elected Officials, prepared statement of............   318
        Waters, Hon. Maxine, a Representative in Congress from the
          State of California:
            Letter dated May 14, 2010................................   155
            DraftFCB subcontractor obligations to date...............   193
        Winston, James L., executive director, National Association
          of Black Owned Broadcasters, prepared statement of.........   384

    THE 2010 CENSUS COMMUNICATION CONTRACT: THE MEDIA PLAN IN HARD TO COUNT
                                     AREAS

                                  ----------

                          WEDNESDAY, FEBRUARY 24, 2010

                      House of Representatives,
       Subcommittee on Information Policy, Census, and
                                     National Archives,
                  Committee on Oversight and Government Reform,
                                                        Washington, DC.
        The subcommittee met, pursuant to notice, at 7:12 p.m., in
    room 2154, Rayburn House Office Building, Hon. Wm. Lacy Clay
    (chairman of the subcommittee) presiding.
        Present: Representatives Clay, Cuellar, and Chaffetz.
        Also present: Representatives Waters and Jackson Lee.
        Staff present: Darryl Piggee, staff director/counsel; Jean
    Gosa, clerk; Yvette Cravins, counsel; Frank Davis and Anthony
    Clark, professional staff members; Charisma Williams, staff
    assistant; Leneal Scott, IT specialist--full committee; Jim
    Hayes, minority professional staff member; and Adam Fromm,
    minority chief clerk and Member liaison.
        Mr. Clay. The subcommittee will come to order.
        Good evening and welcome to tonight's hearing entitled,
    ``The 2010 Census Communication Contract: The Media Plan in
    Hard to Count Areas.''
        Today's hearing, as the title indicates, will examine the
    2010 Census Integrated Communications Campaign in hard-to-count
    areas. The hearing will assess and examine ethnic print and
    broadcast media's role in preventing an undercount. We will
    further examine avenues to aid the Census Bureau in its efforts
    to reach those who are more likely to be undercounted--
    children, minorities, and renters.
        We have with us today a distinguished colleague,
    Representative Maxine Waters of California who has asked to
    participate in this hearing. I want to welcome her and express
    my appreciation for her attendance, and I ask unanimous consent
    that she be allowed to participate.
        Thank you.
        Without objection, the chairman and the ranking minority
    member will have 5 minutes to make opening statements, followed
    by opening statements not to exceed 3 minutes by any Member who
    wishes to make one.
        Without objection, Members and witnesses may have 5
    legislative days in which to submit a written statement or
    extraneous materials for the record.
        The purpose of today's hearing is to examine the Census
    Communications Campaign in hard-to-count areas. An
    unprecedented amount of Federal dollars has been expended
    toward the constitutionally mandate exercise of counting our
    Nation's population. We have the funding necessary to carry out
    this endeavor. However, we must assess and ensure the best
    placement and use of our taxpayer dollars.
        Let me state again, these are taxpayer dollars. We cannot
    forget that. So we must, through our oversight, ensure that the
    taxpayer receives their money's worth. Advertising dollars must
    be contributed to specific mediums to best touch our Nation's
    hardest to count population. I salute Dr. Groves for his
    efforts and hope this hearing brings forth great ideas and
    input from all who care so deeply about this issue.
        On our first panel we will hear from Dr. Groves and the
    Census government contractors who will testify about the Census
    campaign, including the media strategy, development, and
    placement of advertising dollars.
        Our second panel includes leaders of some of the largest
    civic and professional organizations dedicated to minority
    participation, education, and equality. These witnesses have
    been instrumental in spreading the message of Census and will
    testify regarding their experiences and concerns. This panel is
    acutely aware of the challenges of enumerating the hard-to-
    count population.
        Our last panel consists of not only media experts in ethnic
    broadcasting but also those whose endeavors focus on our most
    hard-to-count population, our Nation's children. These
    witnesses serve as the active, trusted voices in many of the
    hard-to-count communities. This panel will offer
    recommendations they believe will improve the effectiveness of
    the media campaign going forward.
        Census day is a mere 5 weeks away, so let's work together
    and exchange ideas to ensure an accurate count.
        I thank all of the witnesses for appearing and look forward
    to your testimony.
        [The prepared statement of Hon. Wm. Lacy Clay follows:]

        [GRAPHIC] [TIFF OMITTED] T1800.001

        [GRAPHIC] [TIFF OMITTED] T1800.002

        [GRAPHIC] [TIFF OMITTED] T1800.003

        [GRAPHIC] [TIFF OMITTED] T1800.004

        [GRAPHIC] [TIFF OMITTED] T1800.005

        Mr. Clay. I now yield to the distinguished ranking member 5
    minutes.
        Mr. Chaffetz. Thank you, Mr. Chairman; and I thank you all
    for being here this late and unpredictable hour. I appreciate
    your patience and understanding.
        Mr. Chairman, I ask unanimous consent to submit the
    statement of Ranking Member Patrick McHenry, who was detained
    and who could not be here.
        Mr. Clay. Without objection.
        Mr. Chaffetz. Thank you.
        [The prepared statement of Hon. Patrick T. McHenry
    follows:]

    [GRAPHIC] [TIFF OMITTED] T1800.006

    [GRAPHIC] [TIFF OMITTED] T1800.007

        Mr. Chaffetz. I do want to talk about the details of what
    is happening and not happening within the advertising. This
    comes around once every 10 years, and I recognize the short
    amount of time that we have until the execution, and we need
    the maximum participation from the American people. We want to
    encourage everybody to participate in every way, shape, or form
    and recognize the difficulties in trying to get the hard to
    reach and hard-to-count populations.
        Obviously, on both sides of the aisle, we want to make sure
    that everyone is counted. It is a very difficult task, to say
    the least. As the chairman said, we are using taxpayer dollars
    and so we want to ensure that those are being maximized and we
    are getting the maximum results.
        I, for one, am terribly disappointed in the Census, in
    their inability and unwillingness to cooperate in giving us
    details that we have asked for repeatedly. I hold Director
    Groves personally accountable for his unresponsiveness in a
    repeated nature. I think it is terribly disrespectful and
    unacceptable.
        When I have asked repeatedly for information, you have
    repeatedly refused to give it to us. I am a Member of the U.S.
    Congress. You have a duty and an obligation to perform your
    duties and provide this Congress and this committee details
    that we ask for.
        Sir, I find your actions reprehensible. I will continue to
    grill you as long as it takes, and the organization, to provide
    the information that I think the American people should have;
    and I hope at some point there is some sort of attitude
    adjustment in providing the information that I think the
    American people should have.
        I don't think that we can continue on like this. It is a
    late hour. The Olympics are on, and there is a lot happening. I
    promise you we will continue to pursue this information well
    into the future and hope at some point you give us a genuine
    answer and provide genuine information, as you promised in the
    last hearing I was in with you, because I think the information
    and the promises you gave me personally in this committee were
    not followed up.
        That is my personal perspective. You may have a different
    one. I respect that. But I assure you we will continue at this
    until we get the information we have asked for.
        Further, I believe we need to look at the results of the
    advertising campaign and the direction that it is going. I hope
    you understand and respect that we are not here to just pat you
    on the back, that we are here to ask you difficult questions,
    and I have some serious questions about what we are doing and
    not doing in that regard.
        Following up long term, I do have questions about the
    American Community Survey, the questions that are asked, how
    that is executed, the money that we have spent on it. We won't
    have time in this hearing, but I would like to followup with
    the appropriate panel members, Mr. Chairman, as we move forward
    on that in the future.
        I yield back the balance of my time.
        Mr. Clay. We will maintain order and decorum in this
    hearing; and, Mr. Chaffetz, we will maintain a tone here that
    is civil.
        I now recognize the gentlewoman from California, if she has
    an opening statement.
        Ms. Waters. Thank you, very much Mr. Chairman. I am very
    appreciative for your allowing me to participate in this
    hearing today.
        I know that you have been working very, very hard and you
    have been keeping many of us informed about what is going on
    with the Census Bureau and the Census count that is being
    attempted, but I am increasingly concerned about much of the
    information that I am getting. Some of it has come from the
    Black newspapers, Black radio stations, some of the information
    that has come from minority organizations, period.
        It appears that our message of the undercount is not being
    respected. The fact of the matter is, every 10 years we learn
    about the undercount, and you would think that the undercount
    communities would be targeted with the necessary resources to
    reverse that and to get a better count. But it does not appear
    to be happening.
        I am concerned about the way in which conclusions are
    reached about how to reach minority populations. There is a lot
    of speculation about what is and what is not proper and
    appropriate and effective in reaching minority populations.
        I have not heard any information about how these
    conclusions were reached, whether or not there were the kind of
    focus groups that represented these populations. I have not
    seen the research. I have not seen the data that supposedly
    represents these communities, and the money does not appear to
    match the need. And so I am here today to learn what is going
    on. I think we may have some additional work to do.
        Thank you very much, Mr. Chairman. I yield back the balance
    of my time.
        Mr. Clay. Thank you so much, Ms. Waters; and perhaps we
    will get some of the answers to your questions this evening.
    You raised legitimate concerns, and we certainly want to have
    yours and Representative Chaffetz's questions answered.
        So let's start by introducing the panel.
        We will hear first from Dr. Robert Groves. President Obama
    nominated Dr. Groves as Director of the Census Bureau, and Dr.
    Groves began his tenure on July 15, 2009. Dr. Groves is well
    qualified for the position that he holds as Director of the
    Census Bureau.
        Testimony on this panel will also come from DRAFTFCB, Mr.
    Jeff Tarakajian, and subcontractors GlobalHue and
    GlobalHueLatino, represented by Robbyn Ennis and Mr. Nelson
    Garcia.
        Jeff Tarakajian is executive vice president of DRAFTFCB,
    the prime contractor of the 2010 Census Integrated
    Communications Campaign.
        Ms. Robbyn Ennis is the media director at GlobalHue, a
    Black-owned, full service advertising agency. Ms. Ennis is an
    experienced advertising professional with 12-plus years of
    media planning and buying experience. Ms. Ennis manages overall
    media planning and buying operations of GlobalHue.
        Mr. Nelson Garcia is the senior vice president/media
    director at GlobalHueLatino. Mr. Garcia is a 30-year
    advertising industry veteran. Mr. Garcia has held multicultural
    media management positions at top mainstream and leading
    specialty multicultural advertising agencies.
        Thank you all for appearing before the subcommittee this
    evening. It is the policy of the committee to swear in the
    panel.
        [Witnesses sworn.]
        Mr. Clay. Let the record reflect that the witnesses have
    answered in the affirmative.
        Each of you will have 5 minutes to make an opening
    statement. Your complete written testimony will be included in
    the hearing record. Of course, you know the lighting system in
    front of you.
        Dr. Groves, you may proceed with your opening statement.

    STATEMENTS OF ROBERT GROVES, DIRECTOR, U.S. CENSUS BUREAU; JEFF
     TARAKAJIAN, EXECUTIVE VICE PRESIDENT, DRAFTFCB; ROBBYN ENNIS,
    SENIOR ASSOCIATE MEDIA DIRECTOR, GLOBALHUE; AND NELSON GARCIA,
           SR. VICE PRESIDENT/MEDIA DIRECTOR, GLOBALHUELATINO

                       STATEMENT OF ROBERT GROVES

        Dr. Groves. Chairman Clay, Ranking Member Chaffetz and
    other members of the subcommittee, I am happy to be here to
    testify on the 2010 Census Communications Campaign. I
    personally am confident that the campaign is a sound design,
    the messaging is clear, and that our contractors, with the
    guidance of my colleagues at the Census Bureau, are purchasing
    media that will reach hard-to-count populations and motivate
    them to respond to the Census.
        Consistent with the statistical mission of the Census
    Bureau, the campaign was designed based on statistical data.
    Let me tell you a bit about how we did this.
        The staff first assembled rates of response to the 2000
    census way down at the Census track level and also undercount
    estimates for key socio-demographic groups. Groups with low
    participation rates were identified for disproportionate focus.
        Then the contractor identified media outlets that reached
    those different groups, focusing when appropriate on in-
    language media. It was clear from this that more funds should
    be spent locally than nationally, and that is true in contrast
    to the 2000 media buys.
        Then the media buys were directed by the nature of the need
    for a given audience. By that, we mean whether print media were
    chosen, radio media, TV, or digital media.
        The campaign is designed in three phases. There is an
    awareness phase that is going on right now through mid-March.
    The second is a motivation phase that runs mid-March through
    mid April. And the third is a nonresponse followup stage that
    is designed to ensure or encourage the population to cooperate
    with Census takers who visit their homes to followup those
    households who did not send in their Census form.
        The mass advertising part of this campaign will target the
    English-speaking audiences, and additional specific advertising
    will be geared toward a range of diverse audiences, including
    hard-to-count populations. The mass campaign is designed to
    reach the almost 85 percent of the residents who consume paid
    media and who speak English only. However, it is also going to
    reach other ethnic and language audiences, especially the Black
    audience to the extent that they are consumers of those same
    media outlets and diverse mass.
        Each of the targeted audience plans--Black, Hispanic,
    Asian, etc.--has been designed to penetrate the individual
    markets sufficiently to achieve our campaign goals. The
    research behind the campaign focused on understanding the
    societal factors that help contribute to low response rates in
    the 2000 series. Among the key indicators are the rates of
    public assistance in the area, unemployment rates,
    homeownership versus renting, and linguistic isolation. This
    research, along with commercial market research from Arbitron,
    Neilsen and Simmons gave us the guidance to guide the media
    buys.
        Then our contractors entered into negotiations for the
    media buys for national and local outlets. They followed
    industry practices which seek added value from the outlets
    beyond the price of the placements sought by an advertiser.
        An example of this for the 2010 campaign is additional
    broadcast spots provided for free, celebrity endorsements or
    mentions of the Census in programming or through public service
    announcements.
        As of late January, the Census team had negotiated almost
    $30 million in added value for media outlets. When all is said
    and done, we expect that to represent about 25 percent when
    finalized after nonresponse followup.
        I have focused on the media plan. However, I think it is
    important to understand that this is only one component of our
    outreach and promotion strategy. Advertising can increase
    awareness, but it takes trusted voices to persuade people to
    participate in the Census. I am happy to report that we have
    now over 200,000 partner organizations around the country that
    have volunteered to help us get the word out to their
    constituencies, and I know with the help of this committee and
    other Members of Congress that we will get other voices out
    saying the same message.
        Mr. Chairman, I am aware that some Members of Congress have
    received letters from local media outlets in their districts
    questioning the fairness of the amount of money spent. I can
    honestly say that the program was set up in an objective
    manner, guided by data on what audiences needed given their
    historical behavior. Not all media outlets will receive
    contracts, but I am confident that the messages needed for the
    different audiences are being delivered.
        We acknowledge that no plan is perfect, and we have held
    back money of the total amount to react to response rates as
    they emerge in the last weeks of March and the early weeks of
    April. That held-back money will be targeted through new media
    purchases to the areas that are returning the questionnaire at
    lower than expected rates.
        Thank you for your time today, Mr. Chairman. I look forward
    to your questions.
        [The prepared statement of Dr. Groves follows:]

        [GRAPHIC] [TIFF OMITTED] T1800.008

        [GRAPHIC] [TIFF OMITTED] T1800.009

        [GRAPHIC] [TIFF OMITTED] T1800.010

        [GRAPHIC] [TIFF OMITTED] T1800.011

        [GRAPHIC] [TIFF OMITTED] T1800.012

        [GRAPHIC] [TIFF OMITTED] T1800.013

        [GRAPHIC] [TIFF OMITTED] T1800.014

        [GRAPHIC] [TIFF OMITTED] T1800.015

        [GRAPHIC] [TIFF OMITTED] T1800.016

        Mr. Clay. Thank you, Dr. Groves.
        Mr. Tarakajian, you may proceed with your opening
    statement.

                      STATEMENT OF JEFF TARAKAJIAN

        Mr. Tarakajian. Mr. Chairman, members of the subcommittee,
    the entire Team Census 2010 thanks you for the opportunity to
    be here today and talk to you about the Integrated
    Communications Campaign. Today's topic, the 2010 Census
    Communications Contract: The Media Plan in Hard to Count Areas,
    is our focus for today. Joining me are members of the team who
    are experts on the planning and execution of the media effort
    for key multicultural audiences, including hard-to-count areas.
    Julia Chen from the IW group is here, along with Bob Smith from
    DRAFTFCB.
        As I have stated in previous testimony, the communication
    strategies and the budget allocation decisions that we have
    made have consistently placed greater emphasis on reaching and
    motivating hard-to-count audiences. The budget allocations are
    disproportionately greater to hard-to-count audiences relative
    to their population size, and more emphasis is being placed on
    hard-to-count audiences than in the 2000 census.
        By way of example, 53 percent of the dollars will go toward
    what we call in-culture, in-language advertising, as compared
    with 46 percent in 2000.
        The campaign this time will exist in 11 more languages.
    That is 28 languages versus 17 in 2000. And with a more diverse
    population than ever, the campaign has been very careful to
    ensure that as many linguistically isolated populations as
    possible are covered with in-language communications.
        Each multicultural audience segment that had advertising in
    2000 will have a minimum increase of 35 percent in spending in
    2010 over the 2000 levels.
        Importantly, the campaign reaches out to hard-to-count
    audiences beyond multicultural populations. For example, there
    is a sponsorship with NASCAR and advertising in NASCAR
    programming that reaches the important rural audience, a large
    portion of which is hard to count.
        There will be $6 million spent in online advertising which
    is targeted to single, unattached mobiles, an audience
    identified by the Census Bureau as hard to count.
        The campaign also is more locally driven in 2010 than it
    was in 2000, with 47 percent of the dollars spent on local
    media versus 34 percent in 2000.
        In addition, the national media buys are seen in all local
    markets through local broadcast affiliates and national print
    vehicles that are distributed locally. So that means that every
    market will receive at least 25,000 television ads and over
    6,000 radio ads, and many markets will receive much more as a
    result of the incremental emphasis placed on hard-to-count
    audiences locally.
        An unprecedented outreach has been completed to make
    accessible the opportunity for all media properties to
    participate in the 2010 media buy. Over 2,500 RFPs have been
    issued that cover 61,000 media outlets. We don't know of a
    campaign that has made this kind of outreach in the history of
    our business. Yet we know that media have complained that they
    didn't get business, and we regret that this has happened.
        Media buys today have now been completed for the awareness
    and motivation phases of the campaign. Still to be purchased
    are media for nonresponse followup and, as Dr. Groves said, for
    the deployment of rapid response reserve funds. So there is at
    this point some flexibility remaining to address unforeseen
    events, to fill gaps that stakeholders believe need to be
    filled, and to make any adjustments based on campaign tracking
    results.
        So far those results, as of the middle of February, show
    that awareness of Census advertising is already at 72 percent;
    and that compares very favorably with 27 percent, which was the
    number before ads began. The number is 77 percent for English-
    speaking Blacks and 70 percent for English-speaking Hispanics,
    compared to the overall number of 72. And intent to participate
    is also strong at 87 percent overall, 88 percent for Blacks and
    85 percent for Hispanics; and this number continues to increase
    as we look at the numbers going forward.
        I would be happy to answer any questions that you have.
    Thank you.
        [The prepared statement of Mr. Tarakajian follows:]

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        Mr. Clay. Thank you very much, Mr. Tarakajian.
        Mr. Garcia, you may proceed.

                       STATEMENT OF NELSON GARCIA

        Mr. Garcia. Thank you, Mr. Chairman and the committee, for
    inviting me.
        As with all of the other ethnic and racial segments, the
    goal of the Hispanic audience plan was as follows: to improve
    mail response, to improve overall accuracy, to reduce the
    differential undercount, and to improve cooperation with
    enumerators.
        To meet all of these goals required more than just hard-
    working media dollars in relevant environments. It required a
    fully integrated campaign and a coordination of multiple
    efforts by partner agencies that included paid media,
    partnerships, public relations, Census in schools, and earned
    media outreach.
        The goal of paid media is to educate all Hispanic Americans
    in all 50 States, regardless of their residency status, as to
    the benefits of civic participation and to drive mass
    participation through the most relevant and influential forms
    of communication.
        The plan used research from a wide variety of sources.
    Qualitative and quantitative learning came from focus groups.
    Demographic, psychographic, and life-style learning taken from
    two Census-sponsored research studies. The first was a base
    segmentation study of the Hispanic population, and the second
    was a mind-set study of Hispanics as it pertains to their
    perceptions of the Census.
        From the first study, we were able to segment the Hispanic
    population to eight distinct target clusters. From the second
    study, we were able to understand media and messaging needs.
    This research was based and complemented with extensive use of
    authoritative secondary sources, which ranged from industry
    studies to the ACS to information from census.gov.
        In the discovery process, it was determined that 42.5
    percent of the Hispanic community fell into hard-to-count
    clusters known as Ethnic Enclaves I and II and Economically
    Disadvantaged II. Another key finding found that 20 percent of
    the Ethnic Enclave clusters were Hispanic. Therefore, these
    three clusters' media habits were further examined and led to
    our recommendation.
        So our recommendation was first based on knowing that
    almost half the marketplace was hard to count and their media
    habits. We used syndicated research sponsored by the Census
    Bureau. These findings, plus the Census mail response rate,
    guided our development of a hybrid plan, one that put a greater
    emphasis on local media. Sixty percent of paid media investment
    will be spent on local, radio, newspaper, out of home, and
    really hyper local media, such as public transit, lunch trucks,
    retail post bills, wire transfer, check cashier locations,
    ethnic restaurant menus, and also prepaid calling cards. There
    is a lot of media which is media used by immigrant communities,
    Spanish-dominant communities, and recently arrived communities.
        To reach the most recently arrived and linguistically
    isolated, the plan is weighed toward trusted in-language
    medium. We have 99 newspaper markets. We have 38 radio markets.
    We have 11 out-of-home markets and 18 local news markets.
        A special effort was made to be in media consumed by
    migrant workers and rural Hispanics. In fact, a special
    purchase was made with the United Farm Workers Radio Network,
    one of the group's most influential and trusted news sources.
    Ninety-seven percent of all DMAs have paid Census Spanish TV
    advertising and PSAs from trusted personalities, since 80
    percent of Univision, Telemundo, TeleFutura, and Tedesteca's
    programming is common to all markets.
        In 18 local markets, an extra layer of support came by way
    of paid purchases on local news and local programings. These
    markets were selected based on the fact that they had critical
    mass, at least 100,000 people; the fact that at least 10
    percent of the population was Hispanic; that their hard-to-
    count scores were above the national average; and that the mail
    return rate was below the national average.
        We looked at an 8-year growth rate above the national
    average, and we also looked to hyper-growth markets in the
    Pacific Northwest, the Midwest, and the Southwest; and this
    resulted in a media plan that was very locally oriented.
        It was the most democratic RFP process possible. We sent
    out RFPs to 1,053 individual media companies, which yielded
    close to 21,000 points of contact with the individual Hispanic
    media. We have placed $25.4 million in media so far and have
    yielded $7.5 million back in added value return where 30
    percent were increased because of the generosity of our
    partners. And we involved America's top Hispanic talent,
    everyone from Maria Marin, Piolin, Cristina, Don Francisco, all
    of the key names, all of the people that matter and influence
    this community.
        Thank you.
        [The prepared statement of Mr. Garcia follows:]

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        Mr. Clay. Thank you, Mr. Garcia.
        Ms. Ennis, you are recognized for 5 minutes.

                       STATEMENT OF ROBBYN ENNIS

        Ms. Ennis. Mr. Chairman, Members of Congress and Team
    Census 2010, I would like to thank you for the opportunity to
    talk about the 2010 census Integrated Communications Campaign
    specifically as it relates to the paid media and the Black
    audience segment.
        The three key objectives for the Integrated Communications
    Campaign for the Black audience are to increase mail response,
    improve accuracy and reduce the differential undercount, and,
    last, improve cooperation with enumerators. All of these goals
    were targeted to the Black audience segment, which is inclusive
    of African Americans, Caribbean Americans, Haitian Americans,
    and Black Africans. In order to assist in meeting these goals,
    an integrated paid media plan has been developed based on the
    media habits and behaviors of these particular audiences.
        During our media planning process, as well as buying, we
    utilized proprietary research, third-party research as well as
    proprietary research, CBAMS and cluster data, to develop media
    plans. Utilizing Census and industry research, quantitative and
    qualitative data allowed us to develop the most efficient and
    effective media mix against the Black audience segment and
    specifically the hard-to-count audiences within the segment.
        Part of unearthing the data included analysis of what
    clusters and categories the Black audience represented or
    skewed heaviest. We found that one-third of Black households
    fell into Economically Disadvantaged I and II, and they
    comprise nearly half of the households in each of those two
    clusters, 44 percent and 48 percent respectively.
        The third hardest to count cluster was single unmatched
    mobiles, which were 11 percent of Blacks and 16 percent of
    Blacks within that particular cluster.
        After reviewing the media consumption of these three
    clusters, special consideration was made to skew strategies and
    media efforts to those audiences which are typically unlikely
    to respond. The CBAMS research was utilized to provide
    additional media strategy enhancement, particularly with our
    hard-to-count segments.
        One of the key takeaways from the research was that,
    although there was somewhat of an awareness of the Census, the
    belief that it will make a difference in our own communities is
    relatively low. In this case, GlobalHue's recommendation across
    all segments was to skew choices not only toward trusted
    targeted media but to hone in on trusted voices that the
    audience is familiar with, believes, and that will create
    awareness and more willingness to participate.
        Some of the talent secured to reach hard-to-count audiences
    include but are not limited to R&B artist Monica, national
    syndicated radio host Steve Harvey, Michael Baisden, gospel
    artist Yolanda Adams, April Ryan, Marvin Sapp, Ludacris, Ce-Ce
    Winans, Rico DuPont, Joan Savoury, Dikembe Mutombo, and
    Terrence and Rocsi of 106 and Park.
        Research guided all media choices down to the time tactical
    level of the specific media outlets that were used. What
    resulted was a plan that had a greater emphasis on local media.
    Fifty-five percent of the total allocated budget went to local
    media.
        National media support provides the most efficient way to
    reach the masses of Black adults. Targeted efforts were also
    utilized and partners such as BET, TV One, Radio One, and AURN
    provided significant added value in the form of free PSAs,
    mentions, use of talent, media integrations, vignettes, and
    multiple no-charge spots. This coverage has been essential to
    the overall media plan.
        Utilizing local media is a key strategy of the Black
    audience plan and is equally as important as national media. We
    utilized the following information to prioritize local markets:
    population size, historical response data, prevalence of hard-
    to-count households within the market, availability of media in
    each market, as well as local media studies and regional
    director and advisory committee feedback. A matrix was created
    and markets were prioritized, which resulted in a total of 31
    markets where we would focus our local dollars and effort. We
    have since extended the market list based on the same criteria
    to support additional markets, now a total of 60 plus, with
    targeted Black media efforts.
        Over 500 RFPs were distributed, representing 22,000 media
    properties. Two minority subcontractors were secured, Voices,
    Inc. and NNPA, to negotiate and place the local targeted media
    buys.
        Once RFPs were distributed, proposals were reviewed based
    on the specific criteria and media selections were made. Some
    criteria included vehicles effectiveness in reaching the target
    audience, reach of the media vehicle, content environments that
    are conducive to the Census message, cost efficiency, minority
    ownership, and added value programs that would enhance the
    campaign's message.
        Overall, this plan was designed to effectively and
    efficiently reach the Black audience segment and specifically
    deliver the hard to count. The messaging will reach 95 percent
    plus Blacks covering every market in the country.
        [The prepared statement of Ms. Ennis follows:]

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        Mr. Clay. Thank you so much for all of your testimony.
        We will digress from the normal questioning order, and I
    will recognize Representative Waters to start us off.
        Representative Waters, 5 minutes.
        Ms. Waters. Thank you very much.
        There are a number of questions that I have, Mr. Chairman,
    but, first of all, let me ask, in dealing with the Black media,
    Black newspapers, and the references that you have made to
    public service announcements and basically free media, has
    there been some attempt to say to Black newspapers, for
    example, that we will spend X amount of dollars with you based
    on how much free space you give us? Has there been a demand to
    say you've got to run X number of items for us in order for you
    to get us to pay you for a certain amount of advertising? Did
    this or did this not happen?
        Ms. Ennis, do you want to respond to that?
        Ms. Ennis. I can definitely respond to that.
        Per the written recommendation of the NNPA----
        Mr. Clay. I will have to ask the audience to not interfere
    with the testimony or the questioning. Please observe the
    decorum of the committee. If you are a witness, you will have
    an opportunity to respond. Thank you.
        Ms. Ennis. Let me start over.
        Per the written recommendation of the NNPA, the papers were
    asked to volunteer to include or write any positive articles or
    editorial about the census 2010 as an added value submission.
    Any papers that did not want to take part in submitting or
    writing articles or submitting editorials were asked to provide
    another alternative of added value to our agency.
        Because of the importance of the Census to each of our
    communities, we were told that would potentially be an easy
    task. We have received other added value requests from the
    papers that did not agree to that particular term, and we are
    completely fine with that.
        Ms. Waters. Was this asked of White papers? Were White
    papers asked for this added value as an exchange for getting
    paid advertisement?
        Ms. Ennis. The added value is not asked as an exchange for
    paid advertising.
        Ms. Waters. Was it asked of the White newspapers at all?
        Mr. Tarakajian. May I answer that?
        Ms. Waters. Sure. She gave us a specific answer to how this
    came about asking for free media, and I want to know what the
    connection is to paid media and how was it presented. And it
    was presented to Black newspapers, wherever the recommendation
    came from. Was it presented to any other newspapers, White
    newspapers, or just minority newspapers, Latino, Black, what
    have you?
        Mr. Tarakajian. The request for added value is a very
    standard way of operating.
        Ms. Waters. But I didn't ask about standard. I asked what
    did you do. I want to know what the Census did, what the Census
    project did. Of course, it may be a standard way of doing
    business, but I want to know what did Team Census 2010 do? Did
    you do this for all newspapers?
        Mr. Tarakajian. For the Census contract----
        Ms. Waters. Don't nuance it for me. You either did it or
    you didn't. Did you do it?
        Mr. Tarakajian. For the Census contract, we asked for
    additional added value for all of the media buys that we make.
    It is not a condition of running media. It is, as I said----
        Ms. Waters. Was this done in writing or was this a verbal
    request?
        Mr. Tarakajian. Under oath, I can't tell you 100 percent
    what was done in writing and what was done verbally.
        Ms. Waters. Under oath, you probably can't tell me whether
    it was done at all.
        Mr. Tarakajian. No, I can tell you that the request for
    added value----
        Ms. Waters. Who did the request and how was it done? Ask
    one of your people with you. Somebody must know.
        Mr. Tarakajian. When we do our media buys and specifically
    as it relates to newspapers, which is your question, we, like
    Ms. Ennis is talking about, work with a rep firm who would
    represent a variety of different newspapers. Many of the rep
    firms will recommend ideas for added value. Again, those are
    ideas that they put on the table. We seek them. We encourage
    them. But we do not make the requirement that somebody provide
    added value to literally qualify for a media buy.
        Ms. Waters. OK, we are going to dispense with this because
    I think you just told me what I wanted to know.
        First of all, your reps are the ones who are the ones who
    are negotiating this added value, and you don't really know
    what they are saying. You don't have any way of knowing whether
    or not they are saying this is in exchange for paid media. You
    would hope that they are not doing that, but you don't know
    whether or not they are doing it because you are not doing it
    yourself. Your reps are doing it, correct?
        Ms. Ennis. If it is all right if I answer that question,
    what happens is we work directly with our subcontractors and
    reps. So we approve all paperwork.
        Ms. Waters. This is in writing? You have this request in
    writing, the added value?
        Ms. Ennis. Yes.
        Ms. Waters. Mr. Chairman, may I ask that it be submitted to
    your subcommittee, to you, so we can examine exactly what was
    placed in writing?
        And, Mr. Chairman, will you have them indicate who all this
    request was made of? Was it made of only minority newspapers,
    all newspapers, minority radio stations, minority television
    stations, all radio stations, all television stations, etc? OK?
        Mr. Clay. You have heard the request, and I am sure you
    will submit it to this committee with all due speed.
        [The information referred to follows:]

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        Ms. Waters. Thank you very much, Mr. Chairman. I yield back
    the balance of my time.
        Mr. Clay. I yield to Mr. Chaffetz.
        Mr. Chaffetz. Thank you all for your testimony. I do have a
    series of questions.
        Let me understand the macro number, the overall advertising
    budget is--what is the number for the advertising budget?
        Mr. Tarakajian. For paid media, $130 million.
        Mr. Chaffetz. Diving into the specifics of how that is
    divvied up, my understanding, based on something that I pulled
    off the Web site, is that TV is roughly 52 percent of that
    budget. I'm looking at this document that I have pulled off
    here, draft, and it has these little pie charts, understanding
    of the types of media that was run.
        Mr. Tarakajian. Right.
        Mr. Chaffetz. As a general number--I'm not going to hold
    you to the exact percentage--but roughly half is television?
        Mr. Tarakajian. That's correct.
        Mr. Chaffetz. Are you happy with what has happened on
    television? I mean, most of the articles that I saw pans what
    happened on the Super Bowl ad. Are you happy with that and the
    Olympic buy? My understanding is that for the Super Bowl, you
    spent $2.5 million buying that ad time, and Olympics is $5.1
    million. Does that sound accurate in terms of the dollars
    spent?
        Mr. Tarakajian. The Super Bowl number of $2.5 million is
    accurate. I don't have the Olympics number in front of me, but
    that sounds about accurate.
        Mr. Chaffetz. Are you happy with the ad?
        Mr. Tarakajian. We are happy with the fact that we
    projected an audience that would come out of the Super Bowl ad,
    the Super Bowl advertising participation.
        As I think you are aware, this was the most watched Super
    Bowl ever. Those estimates were exceeded. We have now awareness
    of the advertising that is, as I said in my testimony earlier,
    that is extremely high for where we are at this stage of the
    campaign. It is not just awareness, but the favorability, the
    willingness to participate and intent to participate is also
    very high.
        So we put the two things together, and our view is that
    awareness and a favorable attitude toward the Census and high
    intent to participate means that we are setting ourselves up to
    achieve a strong motivation period.
        Mr. Chaffetz. Who owns DRAFTFCB?
        Mr. Tarakajian. The interpublic group of companies.
        Mr. Chaffetz. How do you do the actual media buying? Who is
    doing the media buying and what percentage are they taking off
    to actually execute the media buy?
        Mr. Tarakajian. The specific media buy that you are talking
    about, which is for the diverse mass audience, was done by a
    company called Pengood, who is a subcontractor that we brought
    on board who is a small, disadvantaged business that did the
    buying on our behalf.
        Mr. Chaffetz. What percentage did they take of the media
    buy? You make a million dollar media buy. What percentage do
    they take?
        Mr. Tarakajian. In this contract, there is no pass through
    on media. So there is no percentage.
        Mr. Chaffetz. You just paid a flat fee?
        Mr. Tarakajian. There is a labor fee connected with all of
    the labor buys, but there is not a percentage on the media buy.
        Mr. Chaffetz. Moving forward, I would appreciate
    understanding the details of that.
        Specifically, I would like to understand the online
    campaign. One of the more effective ways to communicate with
    the public is the online communication. My understanding from
    what we were able to pull off the Web site is that roughly 7
    percent of your budget was to be allocated in terms by media
    type online.
        [The information referred to follows:]

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        Mr. Tarakajian. In the mass--diverse mass portion of the
    media plan, it is roughly 10 percent of it, or $6 million is
    being spent online.
        For some of the other audiences----
        Mr. Chaffetz. How is that going so far?
        Mr. Tarakajian. To the best of my knowledge, it is going
    very well so far.
        Mr. Chaffetz. Well, my understanding, looking at the
    numbers here, if you go to Facebook, look how many followers
    they have. There are roughly 8,500. You go to YouTube, 64
    uploads. Most views per video is less than 8,000. On Twitter,
    you have about 2,400 followers.
        Now these are some of the biggest, most mainstream pieces
    of media that are out there in terms of online. Facebook,
    YouTube, and Twitter have pretty much become household names.
    All told, you are getting a few thousand type of hits in
    response. How can you spend millions and have 2,400 people on
    Twitter? I don't spend anything, and I have 8,000 to 9,000
    people on Twitter, for goodness sake. How do you justify
    millions of dollars going out the door and so few people
    participating in the program?
        Mr. Tarakajian. First of all, what you are talking about
    and what I am talking about in terms of the online media buy
    are two different things. The 10 percent of the mass
    communications base plan online media buy are all of the paid
    media banner ads that are part of this campaign. Those are
    separate and apart from what you're talking about, which are
    seeding commercials online and social media and so forth, which
    is a totally different piece of this.
        Mr. Chaffetz. Mr. Chairman, I know my time is up. I do have
    other questions for other panelists. I know we will have to do
    a couple of rounds here.
        It talks in the plan about the need to have a viral
    component and to get this out there en masse. I see it as a
    complete and utter failure, but I would like to learn more
    information.
        Mr. Clay. Mr. Chaffetz, would you have any requests for
    documentation?
        Mr. Chaffetz. Yes. Again, if there are more details about
    what you are trying to execute, how you are trying to execute,
    and where you think you are seeing success, it is a mystery to
    me. I am sincerely wanting to understand it. If you think my
    numbers are wrong or there is a big component that we are not
    seeing, share it with me, please, sooner rather than later.
        Mr. Clay. Thank you.
        Mr. Cuellar, you are recognized for 5 minutes.
        Mr. Cuellar. Mr. Chairman, sorry, I was doing some
    addition.
        First of all, Dr. Groves, it is good seeing you again.
    Thank you very much for going down to Laredo and visiting the
    colonias, the hard to get, hard-to-count places. Thank you very
    much.
        For the other folks, I want to ask you a little bit about
    the budget. I have a contract budget that you all had prepared
    back in March 26, 2009. Now I am looking at a revised budget of
    February 4, 2010. I want to look at a couple of numbers.
        The total media buy at that time back in March of last year
    was $145 million, and now it has been reduced to $133 million.
    When you look at the local buys, at that time I believe you had
    $82 million, and now it has been reduced to $56 million. When
    you look at the Hispanic buys back at that time, you had $27
    million plus for Hispanic buys, and now it is reduced down to
    $25.4 million. When you look at the African Americans, the
    Black, at that time you had $24.5 million. Now it is $22.9
    million. So you have another reduction.
        When you look at production--and this is part of the paid
    media total budget--media production went from production,
    which includes talent, dubbing, and GPO--I guess Government
    Printing Office--that one went up on production from $28
    million to $36.6 million. So production went up. When you look
    at production, labor, and other--and other includes travel,
    research, and management reserve, and I will talk about that--
    when you add all of those up, I get about $118 million for
    production, labor, and other. And then total advertising is
    about $133 million.
        So you almost have--the money that we are spending for
    advertising, it is almost what we are spending for production
    and costs and all that, almost matches what we are spending for
    media. Why are we spending so much money on production, on
    labor, on talent? If you can't get somebody to volunteer for
    talent, I think we have a problem.
        It is the same question that was asked by my colleague on
    Twitter. You are spending millions of dollars on all this. I
    just don't understand. Why are we spending so much on
    production and labor?
        Mr. Tarakajian. You have to look at this in terms of the
    total budget of this campaign, all the activities support.
    Because the paid media part of this campaign at $133 million is
    one piece of it, but it is not the whole piece. There is the
    Census in Schools program, and there is labor connected with
    that and production connected with that. There is all of the
    partnership materials that have been produced.
        Mr. Cuellar. OK, let's go back on talent. How much money
    did you pay for talent?
        Mr. Tarakajian. I don't have a total.
        Mr. Cuellar. $5 million? $10 million? $20 million? I assume
    you got an actor. How much did we pay for talent or dubbing?
    Dubbing means you reproduce. You get a copy and you reproduce
    that. How much did you spend for talent, dubbing, and shipping?
        Mr. Tarakajian. I would have to get back to you on exactly
    what those figures are for each one.
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        Mr. Cuellar. You have all of those folks behind you. I am
    sure somebody knows how much money was spent on talent,
    dubbing, and shipping.
        What I am trying to say, Dr. Groves, as I mentioned the
    last time we met with the chairman, why can't we use some of
    that money and put it on the local buys? I have mentioned I
    have four out of the top 50 counties that are hard to count.
    Why can't we use some of that and spend it on some of the
    advertising for hard-to-count areas? Why reduce the Black
    purchases and why reduce the Hispanic purchases? And I'm sure
    if I go down on the other ones we probably would have
    reductions, but why increase production which includes talent
    and dubbing?
        Mr. Tarakajian. Your question is a fair question. Every
    time a commercial runs, there is a talent usage fee in
    connection to that commercial. And so, therefore, that is one
    of the reasons why.
        Mr. Cuellar. What percentage is it? In other words, when I
    do a campaign and I run something, it is usually 15 percent
    unless you work out a better deal and it is less than 15, and
    we can do that. Did we negotiate this to get a better deal
    instead of paying millions of dollars on copying and talent?
        Mr. Tarakajian. It all depends on the commercial, and it
    depends on the number of on-camera talents who are in the
    commercial.
        Mr. Cuellar. Give me some of your talent who you spend $36
    million on, part of that.
        Mr. Tarakajian. For example, there is a commercial for
    Diverse Mass that ran on the Olympics called Frank that has a
    number of different on-camera talents in that commercial.
        There is a commercial that my colleague at GlobalHue has
    called Silent Chant which is about to begin running that also
    has multiple on-camera talents in that commercial.
        And people you know get a fee to perform, and that's all
    unionized.
        Mr. Cuellar. So they get a fee.
        And I'm sorry, Mr. Chairman. My time is over. But if you
    can give me a courtesy just to finish my thought.
        So you're saying that you pay somebody a talent fee, and
    that every time they run, they get a royalty, if I can use that
    term.
        Mr. Tarakajian. Yes.
        Mr. Cuellar. Wow.
        Mr. Tarakajian. That is the way the union is set up, and
    that is the way----
        Mr. Cuellar. Couldn't you use some, excuse my language,
    ordinary folks, you know, folks to do some of the commercials
    that can reach out to them, and I see some shaking their heads,
    for example, local buys? If you go and talk to somebody in
    south Texas, they probably trust somebody who has been on their
    TV channel for 10 or 15 years than have somebody that you're
    paying a fee and a commercial on that.
        And again, I know my time is over but my thing is, Mr.
    Chairman, I want to maximize the dollars here. And if we can
    squeeze that. It might be too late already. But I mean, I was
    hoping we would spend a little bit more money, and we've talked
    about this.
        What is the reserve management left over, Dr. Groves?
        Dr. Groves. The shavings of the amounts that you went
    through group by group assembled about $7.5 million, $8
    million.
        Mr. Cuellar. So that hasn't been reduced. So it's still
    about $7.5 million.
        Dr. Groves. Yes.
        Mr. Cuellar. Thank you, Mr. Chairman. Thank you, Dr.
    Groves.
        Mr. Clay. Thank you, Mr. Cuellar.
        And I now recognize the gentlewoman from Texas who has also
    joined us. Welcome to the subcommittee.
        Ms. Jackson Lee. Mr. Chairman, let me thank you for your
    courtesies. For you to have this hearing at this hour connotes,
    equals, confirms the crucialness of where we are and the
    posture that we find ourselves in. My name tag is not here, so
    he's indicated that I am from Texas and also from Harris
    County.
        Let me have the backdrop of my colleague, Congressman
    Cuellar, in terms of his inquiry of the cost, but let me offer
    this on the record. My district, which lies in Harris County,
    is a county, Harris County, ranked fourth of the 50 U.S.
    counties with the highest number of people living in hard-to-
    count areas. In fact, 80.5 percent of the population in Harris
    County live in hard-to-count areas. Even more astonishing,
    Harris County, TX, is one of eight counties estimated to lose
    over $100 million each in Federal funds from undercounting the
    2000 census. The undercount of 2000 caused Harris County, TX,
    to lose a total, including State funds, of $234 million.
        Now, we juxtapose that against of course the labor cost and
    production cost on taxpayers dollars for trying to count
    people, and I'm not sure what the impact would have. In
    addition, as it may have occurred in a number of other
    communities, at the early point of the Census coming out there
    was a big uproar over the utilization of the word Negro. A
    simple courtesy, which I may have missed, to Members of
    Congress that this was going to occur, since we had not seen
    the early document might have been helpful, but I had to
    encounter rallies and town hall meetings on the insult of the
    word Negro.
        I've obviously come to believe that the count is of crucial
    importance, and we work with our county and work with
    individuals in the county and work with those who might have
    been offended from the African American community to try to
    overcome the utilization of that word, which I have reason to
    believe, there are many very competent reasons for that word.
        I lay all that forward to raise these questions, and I'll
    try to be as quick as I can.
        Dr. Groves, as you well know, I had a conversation with you
    and I would like to invite you as you go into the valley to
    come to Houston as soon as possible, and I would like that to
    be within the next 10 days or so, and I would like to look at
    your schedule. And I say that because you're talking about a
    city that has a potential of a great loss but also the
    potential to count down or count up to the third largest city
    in the Nation. That's a big vote for America.
        And I would venture to say that this may be the poster
    child for disorganization, not lack of good will people, but
    disorganization. You have a circumstance where people have been
    enrolled and allegedly signed up and no word coming back on any
    status that they have. Second, you have the representation by
    those who are there saying, we cannot get individuals from the
    minority community, how can you help us, and then not seeking
    the help. Not going into the mass numbers of churches who will
    open their doors, and they can actually put their sites of
    sign-up right in the place of the doors there in the physical
    plan of the church building or another building that's a
    501(c)(3). Many of these buildings, churches have community
    centers and others that are 501(c)(3). So that's the first
    thing. Let me go directly to this question.
        Let me try to find out, Dr. Groves, you're newly appointed
    and let me congratulate you, but let me try to find out, when
    were these contracts let for Draft CBC, DraftFCB and GlobalHue?
    When were these contracts rendered?
        Mr. Tarakajian. Yes. The contracts were awarded in
    September 2007.
        Ms. Jackson Lee. So they were awarded under the last
    administration, which is unfortunate.
        Mr. Tarakajian. That's correct.
        Ms. Jackson Lee. And then the GlobalHue is, what? Is that a
    subcontractor?
        Mr. Tarakajian. GlobalHue is a subcontractor to DraftFCB.
        Ms. Jackson Lee. Is that the only subcontractor?
        Mr. Tarakajian. No, there are other subcontractors who are
    part of the contract. The IW Group, GlobalHue Latino,
    D'Esposito Partners, to name a few. Most of them are
    multicultural agencies specializing in----
        Ms. Jackson Lee. And how were they chosen?
        Mr. Tarakajian. They were chosen by DraftFCB prior to award
    and reviewed by the Census in making that award.
        Ms. Jackson Lee. Will the chairman indulge me? My red light
    went on. I'm just trying to follow a line of questioning.
        Mr. Clay. Sure. You can finish up, Ms. Jackson Lee.
        Ms. Jackson Lee. Let me, first of all, make the official
    request.
        Dr. Groves, can I have a confirmation that you'll work with
    your schedule?
        Dr. Groves. I would be happy to be with you in Houston as
    soon as I can.
        Ms. Jackson Lee. Thank you.
        And I know that we will work through that.
        Mr. Tarakajian, is it?
        Mr. Tarakajian. Tarakajian.
        Ms. Jackson Lee. Excuse me, I'm sorry, Tarakajian, excuse
    me. Let me make the request for the whole list of
    subcontractors that you have. And I understand that was through
    the private sector. So you were selected, and then you selected
    GlobalHue?
        Mr. Tarakajian. Actually what happened is we selected a
    team that we went through the pitch process with, with all the
    various stages.
        Ms. Jackson Lee. So you went in, and then you got selected.
        Mr. Tarakajian. Correct.
        Ms. Jackson Lee. Were there others that came on board after
    the fact?
        Mr. Tarakajian. There's a core group of subcontractors who
    have been with us from the very beginning.
        Ms. Jackson Lee. Right. That's the team.
        Mr. Tarakajian. And then there are other subcontractors
    who, for example, when I talked about Pengood a little while
    ago as the media buyer, there were other awards of
    subcontractors that were made along the way for various
    purposes.
        Ms. Jackson Lee. Well, maybe there will be a second round.
    Let me just ask for the full complement of contractors,
    subcontractors and subcontractors and by region please. I
    assume their address will tell me by region.
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        Ms. Jackson Lee. Then let me also put on the record that
    you all are very hard to reach, and no response comes back. I'm
    not going to say that I tried to reach out to GlobalHue, Mr.
    Garcia, Ms. Ennis, because I think I got frustrated early on.
        But the selection process that you use for minority buys is
    unacceptable. And I understand that the first amount of money
    was $2.5 million, is that correct? I'm sorry for the Black
    print media, $2.5 million? Or was it for a total of media,
    Hispanic and African American, Ms. Ennis?
        Ms. Ennis. Are you asking what the total budget is now?
        Ms. Jackson Lee. No. What was it before?
        Ms. Ennis. It was $1.7 million.
        Ms. Jackson Lee. It was $1.7. What is it now?
        Ms. Ennis. And it's $2.5 million now.
        Ms. Jackson Lee. So that's unacceptable as well.
        Mr. Clay. Representative, we will have a second round. I'll
    allow you to do that.
        Ms. Jackson Lee. All right. And I will finish on this. I
    want to put on the record the Houston Sun that was a missing
    element when all the other papers came out, and then I will
    yield back, Mr. Chairman.
        [The prepared statement of Hon. Sheila Jackson Lee
    follows:]

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        Mr. Clay. Thank you so much, and you will get a second
    round.
        Let me say that I'm very concerned about reports that I
    have received from local elected officials who have conveyed to
    me that they are not hearing the confidentiality message in the
    paid media campaign. In other words, certain constituent groups
    are concerned about information that they give to the Census on
    these forms on the questionnaire.
        In terms of special outreach to these groups, I see the
    Census advertising has failed to adequately address these
    concerns about confidentiality among hard-to-count groups. Will
    you take steps to correct this problem, and could supplemental
    media be created to specifically close this confidentiality
    gap? I'll let anyone try to answer that.
        Mr. Tarakajian. That is probably best answered by a number
    of us because it varies by audience, quite honestly. The simple
    answer to your question, though, is that there are different
    creative messaging executions that we have that, to varying
    degrees, have the confidentiality message in it. And it varies
    by audience where, for example, we found that among the
    Hispanic audience it's a very important issue; a less important
    issue across the diverse mass audience. And the messaging that
    we have reflects that difference depending upon the specific
    audience.
        Mr. Clay. Well, but that may be where you might not have
    all of the information you need about those audiences because
    I'm hearing it in my district, and I'm hearing it from a
    predominantly African American audience over maybe legal
    concerns, maybe the number of people who live in a certain
    house that's contrary to codes, to building codes and
    occupation codes. I mean, so as these things crop up,
    hopefully, you will have some type of strategy that effectively
    addresses it.
        Yes, Dr. Groves.
        Dr. Groves. We're tracking through sample surveys daily
    multiple methods of tracking the knowledge of the public about
    these various components. Confidentiality is one. Another is,
    do people know that this is a 10-minute questionnaire, and do
    they know, do they link the Census to the return of taxpayer
    money, the $400 billion a year? We're tracking this by
    subgroup. And when we're seeing groups reacting to a particular
    message inadequately, then there's a chance to intervene.
        So let me give you an example of this. To our surprise, to
    my surprise anyway, the message that's getting out least well
    right now is that this is a short questionnaire and it only
    takes 10 minutes. And we have to do something about that
    because that's a very good story. So we're trying to measure it
    and then react to it as much as we can.
        Mr. Clay. As far as tracking, how will the Census Bureau
    know if the Integrated Communications Campaign increased the
    mail response rate? And to what extent will the Bureau
    calculate the return on its investment in advertising?
        Dr. Groves. I love this question because, in my ideal
    world, we wouldn't advertise because everyone would know the
    Census is coming. And so it was a question on my mind when I
    entered this position. There is for the first time an
    experiment, an examination of this built into the Census
    advertising where there are a set of media markets where the
    advertising levels are going to be systematically varied and
    will study the impact of that variability. So I think, for the
    first time, at the end of this, we'll have better data for
    every dollar we spend on advertising what was the impact on
    change between 2000 and 2010.
        Mr. Clay. How will the Bureau use the realtime information
    it is collecting, such as Gallup data and early mail response
    data, to respond to challenges, such as unexpected regional
    disparities in mail response rates? And what are the targeted
    response rates that trigger new advertising spending in
    geographic areas?
        Dr. Groves. This is something that I hope everyone watches.
    So starting about the third week of March, the proportion of
    houses that are returning the questionnaire will be published
    daily at a track level. You'll be able to go to our Web site,
    type in your zip code and see how your zip code is doing, how
    tracks in your zip code are doing. If you want to compare St.
    Louis to Kansas City on the return rate, you'll be able to do
    this.
        We hope that local officials and our partners throughout
    the country are watching this in addition to us, and we are
    proposing to intervene both with the money we've held back on
    advertising for those areas that are doing less well than we
    anticipated despite everything we did. We're studying this
    process. We have a team of people trying to predict what's
    going to happen, and we're forecasting it and will do
    interventions both on paid media, and then also we'll get the
    word out to our partners to help us in this area, this
    neighborhood isn't doing as well as we--this is going to be a
    first time for this. It will be very interesting. I'm very
    hopeful about it.
        Mr. Clay. I'm very curious about it, so thank you for that
    response.
        Mr. Chaffetz, you're recognized.
        Mr. Chaffetz. Thank you.
        I want to followup, Director Groves, on something you
    talked about. One of the concerns that you just mentioned in
    your testimony was the idea that we are requiring the short
    form as opposed to a long form. I think one of the reasons that
    we have that concern so rampant in the marketplace is that
    these American community surveys are being sent out which are
    very comprehensive. Don't you think this adds to the confusion?
    I mean, at the same time we're running Super Bowl ads and doing
    those types of things, people are getting these in the mail.
    Why--and then you expect somebody, you know, the following
    month or two to go back and fill out another form. Why are we
    doing this at the same time?
        Dr. Groves. The American Community Survey was passed by
    Congress as a way to separate the long form from the short
    form. So, in essence, the content of that questionnaire you
    just held up is quite similar to the original long form. Every
    question in that questionnaire----
        Mr. Chaffetz. And on the envelope it says ``U.S. Census
    Bureau.''
        Dr. Groves [continuing]. Is specified by some law passed by
    Congress that there must be information on that item in order
    to implement a program that Congress has passed, so that's the
    reason for that questionnaire.
        The confusion you speak to is something I worry about. I
    was concerned about that when I entered office. We have alerted
    the folks who are falling in the sample of the American
    Community Survey about the fact that this is not the decennial
    census and they will get another Census form. We're watching
    right now the response rates on the American Community Survey
    to see if there is confusion among--if they're performing
    differently.
        Mr. Chaffetz. Our time is short. I think naturally given
    that these forms are arriving so similar in their time is
    terribly confusing. I had a town hall meeting just in the last
    2 weeks. A person came up and handed this, didn't understand.
    And again, for another discussion, I think it's a very invasive
    questionnaire. I mean, one of the questions on the
    questionnaire is literally, ``does this person have difficulty
    dressing or bathing?'' And I got to tell you, I--again,
    separate hearing, Mr. Chairman, but I think we need to go back
    and better understand the need of this. It's 11 pages for the
    first person just to get through. It says it's coming from the
    Census Bureau at the same time we're trying to get people to
    fill out the other forms.
        And the other thing is we talk about groups that are
    difficult to get to. One of the questions right here at the
    beginning after you kind of get past your pages of housing is,
    literally, the third question asked them if they are a citizen.
    And so we have people that are afraid of filling out these
    forms because you're going to be asked detailed questions; is
    this person a citizen of the United States?
        I think this is terribly confusing in terms of its timing
    and whatnot, and we will have to continue to go back. I don't
    understand what constitutional role this plays or the authority
    that it meets, but I understand that there are laws on the
    books, and we'll have to address those.
        My understanding is that the Bureau has overspent its $356
    million address canvassing budget by $88 million, roughly a 25
    percent cost overrun. What is your best projection today as to
    where you're going to be in terms of your overall budget, given
    everything else that's going on?
        Dr. Groves. I testified on that overrun twice in front of
    this committee, as you may recall, Congressman.
        Mr. Chaffetz. Just hoping for an update, just a quick
    sentence or two.
        Dr. Groves. I am optimistic, based on the rebudgeting of
    the operations going forward that we just completed and that we
    have sufficient money for the 2010 census, all the further
    operations. Every operation we've done since that event has
    been on time and either on budget or under budget.
        Mr. Chaffetz. The Washington Post, it was cited in the
    Washington Post, the GAO warned that, in a Senate subcommittee
    hearing recently, that the Bureau's computer software that
    handles personnel and payroll systems as well as processes the
    proper paper questionnaires, ``has not yet demonstrated an
    ability to function at the necessary capacity later this
    year.'' Can you give us the most recent update on that?
        Dr. Groves. That is a true statement. When I testified in
    front of this committee last time, I noted that this was the
    highest-risk software development that we were involved in. It
    continues to be a high-risk development. We have--I brought in
    a team that's an external and independent assessment group, and
    we are literally meeting daily on this issue right now.
        Mr. Chaffetz. When you say ``risk,'' can you give us some--
    you say ``high risk.'' I mean, how worried should we be about
    this?
        Dr. Groves. If I could finish, I could address your
    concerns I think. The software is being released in three
    components.
        The first component is released and is in production. The
    production performance of it is less than desirable but
    adequate for the operations. We're ramping up operations, so
    right now, we're having low-level operations. It's fitting
    production needs now.
        The second release just occurred last Friday. It will start
    production--well, it started production the last few days.
        The big production component will be released at the end of
    March for the nonresponse followup stage. That's what we're
    really focusing on. We have a team together that is making the
    kind of tradeoff decisions you need to make in a large software
    development with a fixed deadline. And that is, some of the
    functions that were desired for computer assistance will be,
    will have workarounds that will be manual in nature.
        When I do my visits around the country to our regional
    offices it gives me some comfort that they're ready to do those
    in a manual mode because all past Censuses did those manually,
    that was a step up and will pull off those things. So we're
    focusing on the identification of the core functions that allow
    us to do a successful Census. That's where we are right now.
        Mr. Chaffetz. Thank you.
        Thank you, Mr. Chairman.
        Mr. Clay. Thank you Mr. Chaffetz.
        And now we will recognize Ms. Waters for a second round.
        Ms. Waters. Thank you very much, Mr. Chairman, for the
    opportunity to do this second round. I need to understand the
    organization of the media companies that are involved in this
    campaign. Now, you are DraftFCB, is that right?
        Mr. Tarakajian. That's correct.
        Ms. Waters. OK. And you are the media company that's
    coordinating all of the media buys and production, etc?
        Mr. Tarakajian. We are the prime contractor, meaning that
    we have some specific responsibilities that are ours which are
    overall coordination of the campaign elements. And then we have
    a whole host of subcontractors who work for us who bring
    certain expertise to the table, such as expertise on the Black
    audience or expertise in the Hispanic audience.
        Ms. Waters. That's OK. You don't have to tell me what they
    do. I just want the structure. You're the prime contractor.
        Mr. Tarakajian. Yes.
        Ms. Waters. How many subcontractors do you have?
        Mr. Tarakajian. There are, in addition to us, there are, I
    believe it's 12 additional subcontractors.
        Ms. Waters. Twelve additional subcontractors now?
        Mr. Tarakajian. Yes.
        Ms. Waters. Were these subcontractors hired through an RFP
    process?
        Mr. Tarakajian. These subcontractors were hired originally
    as part of our team process for pitching the Census.
        Ms. Waters. Just tell me, were they RFP, or were they just
    selected or appointed or however?
        Mr. Tarakajian. Well, we went through an RFP process.
        Ms. Waters. So you selected these 12 additional contractors
    through an RFP process, is that correct?
        Mr. Tarakajian. The RFP process that we went through was
    with the Census to get the contract, if that's what you mean by
    an RFP process.
        Ms. Waters. No. Let me tell you what I mean. You hired 12
    additional contractors, is that right?
        Mr. Tarakajian. We brought--we had a team of subcontractors
    who have worked with us from the beginning. And they were all
    part of the original contract and RFP process that we went
    through with the Census Bureau.
        Ms. Waters. You have 12 contractors?
        Mr. Tarakajian. Correct.
        Ms. Waters. How were they hired? How did you get these 12
    contractors? You said some were with you from the beginning. I
    don't know what that means.
        Mr. Tarakajian. OK. There are two processes that were at
    work here. We selected partners to work with us as
    subcontractors.
        Ms. Waters. How many partners did you select as
    subcontractors that did not go through an RFP process?
        Mr. Tarakajian. There were no subcontractors that we
    selected that were not part of an RFP process.
        Ms. Waters. OK. So, in the beginning, you selected
    contractors; that's what you said.
        Mr. Tarakajian. That's correct.
        Ms. Waters. How did you select them? What process did you
    use?
        Mr. Tarakajian. And we all together went through an RFP
    process to be awarded this contract.
        Ms. Waters. So the 12--so, in the beginning, the
    contractors that you selected went through an RFP process.
        Mr. Tarakajian. That's correct.
        Ms. Waters. Why couldn't you just say that? RFP process,
    OK.
        Mr. Tarakajian. Because I'm trying to make the distinction
    between what----
        Ms. Waters. How many were selected through the RFP process
    in what you call the beginning?
        Mr. Tarakajian. They were all part of the RFP process that
    we went through, along with our subcontractors.
        Ms. Waters. All 12?
        Mr. Tarakajian. Yes, along with our subcontractors.
        Ms. Waters. OK. Are these independent contractors, or are
    these contractors subcontractors to you or the company that you
    subcontract to?
        Mr. Tarakajian. No, they are subcontractors to us.
        Ms. Waters. To you.
        Mr. Tarakajian. Correct.
        Ms. Waters. So these are not independent contractors; these
    are people who work for you.
        Mr. Tarakajian. Yes.
        Ms. Waters. So you did an RFP process for people who work
    for you.
        Mr. Tarakajian. We did an--we were, along with all of those
    subcontractors that I'm just talking about, part of the RFP
    process that we went through with the Census Bureau in
    selecting us and also selecting those subcontractors.
        Ms. Waters. So, basically, your company controls all the
    subcontractors because they worked for you anyway?
        Mr. Tarakajian. Well, there are now subcontracts that our
    subcontractors have for media buying and other activities.
        Ms. Waters. We'll get to that. But let's make sure we
    understand that, in the beginning, as you referred to it----
        Mr. Tarakajian. Correct.
        Ms. Waters [continuing]. You selected 12 contractors, all
    of whom were subcontractors to you already.
        Mr. Tarakajian. Well, they weren't already subcontractors.
        Ms. Waters. Well, how did they get to be--they are your
    people subcontractors.
        Mr. Tarakajian. Well, when you say that they are our
    people----
        Ms. Waters. Well, you said in the beginning----
        Mr. Tarakajian [continuing]. They are not necessarily part
    of our company. Some of them are; some of them are not.
        Ms. Waters. I don't care how they are hired by you. The
    question becomes are these subcontractors a part of your
    company, whether they're part time, full time, hired in the
    beginning or later on, these are your subcontractors in your
    company, right?
        Mr. Tarakajian. GlobalHue is not part of our company.
    Allied Media, who is a subcontractor, is not part of our
    company.
        Ms. Waters. How many are part of your company, 12, right?
        Mr. Tarakajian. No.
        Ms. Waters. How many of the 12?
        Mr. Tarakajian. I will tell you who is part of our company.
        Ms. Waters. Just tell me how many of the 12.
        Mr. Tarakajian. Weber Shandwick is one.
        Ms. Waters. You don't have to name them. I just want to
    know how many.
        Mr. Tarakajian. Well, I'm trying to go through in my head
    how many are part of our company and how many are not.
        Ms. Waters. We only have so many minutes. How many? Can you
    guess? Somebody tell him.
        Mr. Tarakajian. I believe there are two; Weber Shandwick
    and Jack Morton--I'm sorry, three. The IW Group is also part of
    our Interpublic Group of Companies.
        Ms. Waters. So 3 of the 12 are your own subcontractors that
    were hired through some RFP process.
        Mr. Tarakajian. They are owned by the same holding company
    as we are.
        Ms. Waters. Oh, well, what's the holding company?
        Mr. Tarakajian. Interpublic Group of Companies.
        Ms. Waters. So you are owned by whom?
        Mr. Tarakajian. A company called the Interpublic Group of
    Companies.
        Ms. Waters. Interpublic Group of Companies. So they own you
    and the subcontractors?
        Mr. Tarakajian. They own us and the three subcontractors
    that I mentioned. They do not own the other subcontractors.
        Ms. Waters. Three of the 12, is that right?
        Mr. Tarakajian. Excuse me.
        Ms. Waters. Three of the 12.
        Mr. Tarakajian. I believe it's three of the 12, yes.
        Ms. Waters. OK. Now, tell me about GlobalHue? You have
    GlobalHue Black and GlobalHue Latino or something like that.
        Mr. Tarakajian. That's correct.
        Ms. Waters. Is that one company, or is that two companies?
        Mr. Tarakajian. GlobalHue African American and GlobalHue
    Latino is one company with two separate operations; one
    targeted to the Black audience, and the other targeted to----
        Ms. Waters. You don't need to tell me all that. Who owns
    GlobalHue?
        Ms. Ennis. Don Coleman.
        Ms. Waters. So he owns----
        Ms. Ennis. GlobalHue and GlobalHue Latino.
        Ms. Waters. But he's not owned by----
        Ms. Ennis. He's not owned by Interpublic, no.
        Ms. Waters. OK. Did he have to go through an RFP process,
    or was he appointed or selected to do the media buys for the
    Black and Latino audiences? Did he go through an RFP process?
        Ms. Ennis. He went through the RFP process with DraftFCB.
        Ms. Waters. With whom?
        Ms. Ennis. DraftFCB.
        Ms. Waters. So you selected all of the other nine through
    an RFP process, is that what you did?
        Mr. Tarakajian. We selected all of the other subcontractors
    to be part of our team. Together, we went through this RFP
    process with the Census Bureau to be awarded the contract in
    2007.
        Ms. Waters. Thank you.
        I'm not interested in how many people were involved in the
    RFP process. I just wanted to know, was there an RFP process.
    I'm trying to understand who owns what and how they were
    selected.
        Mr. Tarakajian. I'm trying to help you understand it.
        Ms. Waters. OK. If you would just answer the question and
    not editorialize, you would help me out, OK. So I think we're
    at this point.
        Now, can you tell me how much each--the first three that
    are owned by your company, how much are they contracted for?
    How much, what is the value of each of those contracts?
        Mr. Tarakajian. Well, first of all, I don't have that
    information at my fingertips in terms of how much.
        Ms. Waters. Well, how much is your contract? What is the
    value of your contract?
        Mr. Tarakajian. The total value of the contract is----
        Ms. Waters. Of yours, just yours.
        Mr. Tarakajian. Well, the total value of the contract is
    $340 million.
        Ms. Waters. So $340 million. Who gets paid out of that $340
    million?
        Mr. Tarakajian. All of the subcontractors, ourselves, all
    of the media that's purchased, all of the production that's
    done, literally every activity.
        Ms. Waters. So you have a $340 million contract; three of
    the subcontractors are your people that work in the company
    that you work for.
        Mr. Tarakajian. Correct.
        Ms. Waters. You don't know how much they are paid, each of
    them? You don't know what those contracts are worth.
        Mr. Tarakajian. I do. I don't have that information at my
    fingertips with me.
        Ms. Waters. Do you know how much the other nine contracts
    are worth?
        Mr. Tarakajian. Again, they are not contracts where
    somebody was awarded a specific amount to do the work.
        Ms. Waters. It's an open-ended contract.
        Mr. Tarakajian. It is a contract where we have come
    together to work on the $340 million contract and mutually,
    collaboratively come up with how we are going to divide those
    roles and responsibilities.
        Ms. Waters. I only want to know what you paid these people.
    I don't care how collaborative you are. I want to know, how
    much does each one of them make? Are you telling me it's an
    open-ended contract; you don't have an exact number that you
    contracted for; is that what you're telling me?
        Mr. Tarakajian. No. I can provide that information for you.
    I don't have it at my fingertips right now.
        Ms. Waters. Mr. Chairman, I would like to request that
    information be provided. As a matter of fact, if you're going
    to have any more hearings, I would like to see a flow chart of
    how these companies are connected, how much money they are
    contracted for and whether or not there was an RFP process in
    this collaborative effort that is being described to us.
        Thank you, and I yield back the balance of my time.
        [The information referred to follows:]

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        Mr. Cuellar [presiding]. Thank you. And I thank the
    gentlewoman from California.
        For the record, sir, 10 days from now, submit to the
    committee the information that Ms. Waters requested.
        Ms. Waters. Excuse me, if I can, thank you. There was one
    part of the question that was not answered. While the gentleman
    may not know how much the other subcontracts are worth, I asked
    him how much was his worth, and that was not answered. He gave
    me the big answer of $340 million. So let me, if I may, inquire
    of that.
        Mr. Cuellar. Yeah, why don't we do this.
        Sir, again, for the record, submit to the committee in
    writing within 10 days from today the information that she
    requested specifically on the $340 million contract. If you can
    break that down as to what your company and the subcontractors
    make.
        Ms. Waters. He doesn't know how much he makes now.
        Mr. Cuellar. Well, apparently, he doesn't, right; is that
    correct?
        Ms. Waters. You don't know how much your contract is worth?
        Mr. Tarakajian. Our contract is worth $340 million. That is
    the value of the contract.
        Ms. Waters. But you told me everybody gets paid out of that
    contract.
        Mr. Tarakajian. That's correct.
        Ms. Waters. How much do you get paid out of the $340
    million for your company?
        Mr. Tarakajian. Again, I would have to go and collect that
    information.
        Mr. Cuellar. Why don't we go ahead and provide that
    information to the committee within 10 working days from today,
    sir.
        Mr. Tarakajian. Will do.
        Mr. Cuellar. And also the information I requested on the
    production, labor, breakdown on the tallying, the dubbing, the
    shipping and all that, if I can have the breakdown, again, to
    be submitted to the committee within 10 working days.
        [The information referred to follows:]

        [GRAPHIC] [TIFF OMITTED] T1800.183

        Mr. Cuellar. At this time, I'll recognize the gentlewoman
    from Texas, Ms. Jackson Lee, if you have any further questions.
    You're recognized for 5 minutes.
        Ms. Jackson Lee. Thank you very much.
        Dr. Groves, I want to pointedly speak to you because you
    represent the administration, and really say to you that we do
    want to be your partner. We know that this is a collective
    challenge and responsibility in this instance for at least two
    branches of government, the executive and the Congress.
        I want to, first of all, thank the chairman for this
    hearing and just hope that you will leave here knowing that we
    are in fact partners. As I ask my questions, and I'm asking
    them because I am on the ground in our respective districts,
    and I see either the confusion that I've acknowledged and/or
    the angst and anguish. For example, you've indicated, and you
    might want to answer this, you say if you had been in place,
    you would not have used I guess print media or advertising. And
    I would be interested, I want to go quickly, so I want to hear
    that question.
        But what I also wanted to say to you is that, culturally
    speaking, and I don't pretend to be the expert, but living
    amongst very diverse cultures, there are some print newspapers,
    for example, that are in essence the Bible in certain
    communities. Whether it's Asian, whether it's in it's in their
    own language, many language-directed newspapers, whether it's
    Latino, whether it's immigrant, vast immigrant, whether it is
    subsets of the African American population, that means African,
    Haitian and others, these newspapers are valuable. And so when
    I made the comment about, I was not being short the Arab
    American community. I was not being light in my assessment of
    $1.7 million and then moving it to $2.5 million, as if I was
    going to tumble over and feel so overwhelmed by the increase.
        And let me tell you what my concern is. You know, you
    wonder--I enjoyed the Super Bowl. I went to about four or five
    Super Bowl parties, and I enjoyed the diversity of the folk
    that I saw. Unfortunately, I might have been like a lot of
    Americans. Maybe some people were sitting down. But I can tell
    you this. In the homes that I went in, people were so busy
    slapping five and having a good time, I'm not sure what
    advertisements they might have seen. And so, even though you
    might have had a great audience, I can't take a poll. I'm sure
    there was a judgment made on that point, but I'm not sure
    whether anybody came away and said, ``do you know what, besides
    the Saints going marching in, do you know that the Census is
    here?''
        Dr. Groves, I'm not sure that occurred. But I will tell you
    that newspaper ads and electronic media in specific audiences,
    minority radio, make a difference on drive time. Somebody
    picking up a newspaper at a church or at a store, they take
    those papers home. They open them. They may not be reading
    everything, but if they get a front page slot or they see an
    ad, they will move forward on that because it's a piece of
    paper that they're holding onto.
        Let me just hear you very quickly. What did you say about
    print advertising? I wasn't sure whether you were saying you
    were for it or you would have done something different.
        Dr. Groves. What I tried to convey, first of all, I'm not
    an advertiser.
        Ms. Jackson Lee. And I understand. This is just your
    preference. We've already gone over that.
        Dr. Groves. I've learned a lot over the past few months.
        But what was done, I'm sure, because I've seen the
    approach, was to examine for the hard-to-count groups their
    media consumption by type of media.
        Ms. Jackson Lee. Right.
        Dr. Groves. That led to the targeting.
        And so if you go across these different hard-to-count
    groups, the role of radio in the community varies across the
    groups. The role of print varies and so on. So that guided the
    national buys.
        In the last few months, I've been traveling all over the
    place. I've talked to local folks. I was in Minneapolis last,
    gee, just a few days ago, with local newspapers talking about
    exactly what you're talking about, but this was the Somali
    community in Minneapolis.
        Ms. Jackson Lee. Right. I know them well.
        Dr. Groves. I get this point, and when I go back and look
    at the national plan, I see the difficulty we have
    communicating the fact that we have to have certain thresholds;
    we have to go off of audience figures for the outlooks that
    we're using. That's the----
        Ms. Jackson Lee. So you're buying into it now. You would
    have had a different approach, but you understand what we're
    saying.
        Dr. Groves. I understand. And we tried--when I asked how we
    did this, we tried to get input from our regional offices, and
    they did indeed enrich the media outlet list that was part of
    the----
        Ms. Jackson Lee. Let me, because my time is going.
        Dr. Groves. Sorry.
        [The information referred to follows:]

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        Ms. Jackson Lee. But let me get on record with you,
    Director Groves, $2.5 million is not enough for print media. I
    haven't gotten the electronic media, and I'm going to do a
    series of questions. I want to leave you now, because you have
    indicated that you will reach out to me on the organization and
    the enrollment and no response and a lot of other issues that
    we need to talk about on the record.
        I want to get that on the record acknowledging how
    important these people are.
        Can I just make these questions, Mr. Tarakajian, on the
    record, Mr. Chairman, I need to get, as I indicated, a list of
    all the contractors, and Congresswoman Waters may have asked
    that. But to Mr. Garcia and Ms. Ennis, I need all of the--
    you're doing radio and print?
        Ms. Ennis. Yes.
        Ms. Jackson Lee. Are you producing ads as well?
        Ms. Ennis. GlobalHue and GlobalHue Latino are producing ads
    as well.
        Ms. Jackson Lee. So you're getting persons to act. Are you
    doing television?
        Ms. Ennis. TV, radio.
        Ms. Jackson Lee. OK. What's the buy for television?
        Ms. Ennis. I'm not sure what your question is.
        Ms. Jackson Lee. How much are you spending on TV that's
    directed to the minority community?
        Ms. Ennis. Local TV or national or both?
        Ms. Jackson Lee. Both.
        Ms. Ennis. OK, can I take 1 second?
        Ms. Jackson Lee. OK. Then let me--Mr. Garcia is answering
    the same thing. This is combined.
        The second thing is, I need from you the list of all print
    that you're utilizing.
        And let me be on the record that I have no ownership in the
    Houston Sun. I'm using it as an example, and I'm not precluding
    anyone else. I would like to get a list of all of the
    newspapers. The only reason I use them as an example is my
    understanding is that they were part of the conversation and
    dialog by several groups, and there may be others in Atlanta or
    others somewhere else, and they were left out.
        Ms. Ennis. Houston Sun is on our media buy.
        Ms. Jackson Lee. We don't have that information, but if you
    would give me the whole list. And that is all the papers.
        And then if you have an immigrant population paper list, I
    would appreciate it.
        Ms. Ennis. Yes, we do.
        Ms. Waters. Will the gentlelady yield?
        Ms. Jackson Lee. I would be happy to yield.
        Ms. Waters. While you're making that request, would you
    also request, I guess, what would be termed as the coverage
    that particular newspaper has? Because as I've been looking at
    some of this information, it seems so disproportionate. There
    are some newspapers that, or magazines, that they give
    extraordinary amounts to, and ones who have more coverage get
    less amounts. And I want to see how they make these decisions.
    So if you would include that in your request, I would
    appreciate it.
        Ms. Jackson Lee. I think the gentlelady is correct. The
    analysis of how you made the decisions and how you make
    decisions as to the amount of advertising in the particular
    media magazines versus others.
        I hear the gavel, and I'm just--was this submitted in the
    record, this is the American survey.
        Mr. Cuellar. Without objection.
        [The information referred to follows:]

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        Ms. Jackson Lee. I would like to submit this in the record.
    I guess we're not having another round.
        But Director Groves, I think this is your document, this is
    the American survey?
        Dr. Groves. The American Community Survey, yes.
        Ms. Jackson Lee. I will say to you that this is posing a
    lot of confusion, and maybe we will get an answer on how we
    decipher that and get people to know it's 10 minutes and 10
    questions. And I know my colleague raised the same point. And
    how we separate this out. Why couldn't this be sent 2011 and
    get this information or December 2010 to get this information?
    So I yield back.
        And I thank the chairman.
        Mr. Cuellar. Thank you very much.
        One question, before I pass it on to the ranking member,
    the company D'Esposito, is that one of them also that's owned
    by you?
        Mr. Tarakajian. Yes. D' Esposito is a company that is one
    of our core subcontractors, but we hired them after.
        Mr. Cuellar. Is that part of the three, or is that No. 4?
        Mr. Tarakajian. No, they are not owned by the Interpublic
    Group. They are an independent company.
        Mr. Cuellar. OK. And I want to correct myself on something.
    In Homeland, I usually give 10 days, but I understand this
    committee, it's 5 days. So I will correct myself and ask that
    the information be submitted 5 days, 5 working days from today.
        At this time, I'll recognize the ranking member.
        Mr. Chaffetz. Thank you. Thank you, Mr. Chairman.
        Before I was talking about the American Community Survey
    and some of the concerns about the timing, the questions and
    whatnot. Let me also say publicly that the Republican National
    Committee, I'm a Republican, sent out a so-called census across
    the country. I think that was wrong. I don't think we should
    necessarily mandate or put in statute that you shouldn't use
    the word ``census.'' But I think it was deceiving at best. And
    I wish my party had not done that.
        I would encourage others to not try to piggyback and take
    advantage of the word ``census'' at a time that we're trying to
    encourage participation. And I think it was used as an
    enticement to open an envelope, and I wish they hadn't have
    done it.
        But I want to be fair on both sides and stand on principle,
    and so I want to say that.
        I have been somewhat frustrated, Director Groves, as you
    know, about the question of hiring criminals to conduct the
    enumeration parts of the Census. I would like to ask again, how
    many criminals are we hiring to do the enumeration, and what
    crimes do you think are acceptable to be hired to become an
    enumerator?
        Dr. Groves. I could--I briefed the chairman and the Ranking
    Member McHenry on the changes in both the fingerprinting and
    the adjudication process. And I think we were close to having a
    meeting, but the snowfall did us in, of all the Members. I
    would be happy to do that again. If you would like I could read
    through all of the crime types that throw out an applicant
    immediately from consideration.
        Mr. Chaffetz. I guess for the benefit of the full
    committee, I would like your commitment and understand the
    timing of when you're going to provide that information. I
    think those are two critical pieces of information. I think
    Congress is entitled to see that information.
        Dr. Groves. I'm happy to do that right now if you would
    like Congressman.
        Mr. Chaffetz. And in the essence of time, I want to be
    careful of my colleagues, if you can submit it right now that
    would be great. I will look at it and read through it tomorrow.
    I understand there's going to be a lengthy list of maybe what's
    not acceptable, but I also want to see what's acceptable. And I
    would like to know how many people we are hiring that fall into
    this category.
        So, again, if I have your commitment that you have this
    information, that you will provide it. We'll try this again.
    The hour is late, and we're coming up on 9 here. Do I have your
    assurance that you are going to provide that information?
        Dr. Groves. Sure.
        [The information referred to follows:]

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        Mr. Chaffetz. OK. I appreciate it, because my time is real
    short, one last thing, I would appreciate your explanation on,
    what is this category called ``Census in schools?'' How much
    are we spending there, and what does that really do? I mean, if
    you're a 12-year-old kid, you're not going to be able to fill
    out the Census. And I guess you want to encourage mom to do it,
    but what is this program? And why are we spending so much? And
    how much are we spending on it, and why are we spending so much
    on it?
        Dr. Groves. We're spending about $13 million on it. And let
    me tell you the program to answer your question. This is a
    program that has exercises for K-through-12 kids, year
    appropriate. The focus of the exercise is to teach the
    constitutional basis of the Census in those grades that can
    consume that. In grades that are lower, it talks about what a
    Census is, the fact that this country, since 1790, has done
    this. And they do exercises; accounting, map reading. There's a
    bit of civics, a bit of arithmetic, a bit of geography that's
    done.
        What we found I think and what other countries have found
    repeatedly is that, for new immigrant families, the children
    are the first to learn the language of the new country. And to
    the extent they understand the message and they look forward to
    participating in their Census, their first Census for many of
    them, that aids the participation rate of others. I've gone to
    several schools around the country. We have enlisted the help
    of Sesame Street characters to help get this message out, so
    the Count and Rosita sometimes come with me. The kids get it.
        Mr. Chaffetz. Maybe next time you could bring them along.
        Dr. Groves. I have quizzed kids about things that my adult
    friends don't know. The lessons are working. They know why we
    do a Census. They know--some of them know that Thomas Jefferson
    was the first Director of the census. They get it. So I think
    this is an area that we should all be proud that we're teaching
    these young Americans about how this country works and how the
    census fits into it.
        Mr. Chaffetz. It sounds like an admirable goal. You know, I
    question $13 million, and how did it work. And, obviously, I
    think, Mr. Chairman, it's $13 million. How is that money passed
    out?
        Dr. Groves. This is actually done through schools. So with
    an alliance from scholastic.com, teachers can go to the Web
    site and download the materials. This seems to be working. And
    then we send out maps and other materials directly to the
    schools.
        Mr. Chaffetz. If we could learn the details of how that is
    administered and how that money gets put out.
        Dr. Groves. Sure.
        Mr. Chaffetz. On the one hand, it sounds like a very large
    number. When you think about the tens of millions of kids we
    have out there and all the schools----
        Dr. Groves. And do you know what's fun? To go to a school
    in your district and watch them do this exercise.
        Mr. Chaffetz. If we could learn more about how that money
    is administered and who has that contract. That's sort of
    similar to what we were talking about before. We would
    appreciate it.
        Thank you, Mr. Chairman.
        Mr. Cuellar. And Director Groves, again, within 5 days, if
    you can submit that information from today. Director Groves.
        We're about to close, but let me say, you and I have spoken
    about the question that the ranking member asked, and of
    course, you're going to do everything to make sure that the
    American public is protected; is that correct?
        Dr. Groves. Absolutely. I've testified and I've given
    speeches that the safety of both the American public and our
    enumerators are key to the success of the Census. This has to
    be both true in fact and true in perception. I care deeply
    about this. We're doing everything we can to make sure that
    occurs.
        [The information referred to follows:]

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        Mr. Cuellar. And I know you well, so I appreciate your
    time. Director Groves--one more? One more question, and then
    we're going to move to the next panel.
        Ms. Jackson Lee. A record clarification if I could.
        And, Dr. Groves, you didn't answer my question on the
    American survey, the timing. Is that now, or is it later?
        Dr. Groves. Since the early 2000's, continuously we've been
    doing that survey. Every month, a small sample of households
    get that, and it just keeps going forever.
        Ms. Jackson Lee. You might think with your top leadership
    how we can help people discern the two, particularly in the
    unaccounted area.
        Mr. Chairman, just a record clarification. Ms. Ennis, are
    you going to submit what I asked you to submit in writing, or
    do you have a number right here?
        I asked a question, Mr. Chairman, and she was looking
    through her papers.
        Ms. Ennis. I can give you the numbers right now and in
    writing if you would like, if we have time.
        Ms. Jackson Lee. Mr. Chairman, I don't know if--how do you
    want it, Mr. Chairman?
        Mr. Cuellar. If we can do this quickly, because I do want
    to move into the second panel.
        Ms. Jackson Lee. If you can just say it quickly.
        Ms. Ennis. I'm just going to read them off.
        It's $6 million in national television; $4.2 million in
    local television; $2.8 million in national radio; $3.9 million
    in local radio; $1.6 million online, that's digital marketing;
    $800,000 in magazine; $2.5 million in local newspapers; and
    $1.2 million in out of home.
        Ms. Jackson Lee. We're writing it down, and you can put
    that in writing.
        And I'll just close on this point so that I will not be
    reflected negatively in the record. I'm not asking about one
    newspaper. I used them as an example of individuals who were
    left out. And Mr. Bakewell is here, and he knows that I'm
    looking at the vast number of newspapers, not only in Houston
    but elsewhere, and I think that number is not high enough.
        And last, my good friend from Utah, I would like to clarify
    the word ``criminals,'' because I have the greatest respect for
    the Census, and I know that it's a different term from
    criminals. These are individuals who you're not barring, who
    happen to be ex-felons or maybe ex-felons or may have had and
    are through the process and are employable.
        So I know that they may have had a record, to my
    distinguished gentleman.
        And I know that you're going to give him a report, Dr.
    Groves, about what the criteria is, but I wouldn't want to
    frighten the public about criminals. I believe it is different
    from that. It is people who are eligible to work who may have
    had a prior encounter with the law, and you vetted them and
    making sure they're able to work. But I know you'll give us a
    final report on that.
        And I yield back to the chairman.
        Mr. Cuellar. Thank you.
        Thank you very much to the witnesses.
        Dr. Groves, Mr. Tarakajian, Mr. Garcia and Ms. Ennis, we
    want to thank you very much.
        Again, this was a long day. As you can see we started out
    with Toyota, and still got one last panel, I believe, or two
    more. All right. So, again, I want to thank you.
        To all of you all, thank you very much. We'll move on to
    the second panel at this time. Thank you very much. Good night.
        Before we get started, I believe the U.S. Census Director's
    staff turned in a document to the ranking member, and you want
    to make a motion.
        Mr. Chaffetz. I just ask unanimous consent to submit it
    into the record.
        Mr. Cuellar. Without objection.
        All right. We now move to our second panel.
        Our first witness is Ms. Karen Narasaki, the executive
    director of the Asian American Justice Center, one of the
    Nation's leading voices that advocates for the rights and
    interests of Asian Americans.
        The second witness is Mr. Arturo Vargas, the executive
    director of the National Association of Latino Elected
    Officials [NALEO], the national organization of Latino
    policymakers and their supporters.
        The next one will be Ms. Helen Hatab Samhan, the executive
    director of the Arab American Institute Foundation.
        Thank you again for being here.
        And then we have the final panelist is Ms. Linda Smith,
    executive director of the National Association of American
    Child Care Resource and Referral Agencies.
        I want to thank all of you all for appearing before this
    subcommittee.
        As you know, it is a policy of the Oversight and Government
    Reform Committee to swear in all the witnesses before they
    testify. And I would like to ask each of the witnesses to
    please stand and raise your right hands.
        [Witnesses sworn.]
        Mr. Cuellar. Let the record reflect that the witnesses
    answered in the affirmative.
        Each of you all will have 5 minutes to make an opening
    statement. Your complete written testimony will be included in
    the hearing record. The yellow light will indicate that it is
    time to sum up. The red light indicates that your time has
    expired.
        And Members, we are going to stick to the 5 minutes. We're
    just going to go one round for the courtesy of the witnesses.
    And of course, I think we have another panel afterwards. It is
    9:06, so we're just going to go with--we'll be very strict on
    the time and just go with one line.
        So, at this time, Ms. Narasaki, I would ask you to proceed
    with your testimony.

        STATEMENTS OF KAREN NARASAKI, EXECUTIVE DIRECTOR, ASIAN
      AMERICAN JUSTICE CENTER; ARTURO VARGAS, EXECUTIVE DIRECTOR,
     NATIONAL ASSOCIATION OF LATINO ELECTED OFFICIALS; HELEN HATAB
    SAMHAN, EXECUTIVE DIRECTOR, ARAB AMERICAN INSTITUTE FOUNDATION;
     AND LINDA SMITH, EXECUTIVE DIRECTOR, NATIONAL ASSOCIATION OF
           AMERICAN CHILD CARE RESOURCE AND REFERRAL AGENCIES

                      STATEMENT OF KAREN NARASAKI

        Mr. Narasaki. Thank you, Mr. Chairman. We appreciate the
    invitation to the Asian American Justice Center to testify on
    this very critical issue.
        My name is Karen Narasaki, and I'm president of the Asian
    American Justice Center. We are a member of the Census Bureau's
    Advisory Committee for the 2010 census. And as we did in 2000,
    AJC is leading a national Census outreach campaign for Asian
    Americans and Pacific Islanders.
        We are working with partners such as our affiliates in LA,
    the Asian Pacific American Legal Center of Southern California;
    and in Chicago, the Asian American Institute in Illinois; and
    one of our key partners in New York, the Asian American
    Federation. We have directly funded in a coordinating effort by
    29 local community-based organizations in 21 States. And they
    include the Legal Center in LA, which is subgranting a
    statewide campaign, as well as three groups in Houston; OCA,
    BPSOS and one of the South Asian organizations.
        We have also developed educational PSAs, brochures and
    other translated materials and have created a Web site that
    serves as a national clearinghouse for census 2010 materials
    created for Asian Americans and Pacific Islanders in various
    languages. And it's part of our campaign, ``Fill in Your
    Future,'' and you can find it at fillinyourfuture.org.
        We are also partnering with national civil rights
    organizations such as the Leadership Conference on Civil
    Rights, the National Conference of American Indians, the NAACP
    and the NALEO. Mr. Vargas will be testifying after me.
        As you know, Asian Americans have historically been
    undercounted. And because the community is two-thirds foreign
    born and comprised of more than several dozen distinct ethnic
    groups and a multitude of cultures, speaking many different
    languages varying generationally, many challenges exist in
    counting this population.
        We are pleased that the Census Bureau has listened to our
    recommendations from the 2000 census effort in building their
    2010 Census Integrated Communications Campaign. Ethnic media is
    a very important tool in communicating to our community. In
    fact, three in four Asian Americans are reached through ethnic
    media.
        The Asian American media plan is significantly more
    inclusive than in 2000, with more languages covered and over
    750 media outlets engaged. Media buys are being made nationally
    and in 53 additional local markets, covering 13 Asian languages
    and 17 Asian ethnic groups.
        And most importantly, this campaign does not have a one-
    size-fits-all generic Asian campaign, but it is one that is
    culturally sensitive for each targeted ethnic group.
        However, while there is improvement, there are still
    significant gaps. Too many restrictions on the access to the
    agencies working on the media campaign by community partners
    working with the Bureau have created frustration for a lot of
    our partners and has, unfortunately, bred some suspicion and
    animosity that we think could be prevented. This has led to
    negative media coverage in some ethnic newspapers of census
    2010 at a time when the Bureau needs to be building trust in
    our communities.
        The national budgets allocated for communities do not
    appear to be enough to cover several of the smaller but growing
    and harder-to-count Asian communities, such as the Indonesians,
    the Sri Lankans, Burmese, and isolated communities, such as the
    Montagnards Vietnamese.
        In addition, there's no Pacific Islander media campaign for
    the mainland; it is only focused on the island. Many Pacific
    Islanders actually reside on the Continental United States, and
    we run a high risk of missing them during the 2010 census.
        Finally, key opinion leaders often read the English
    language Asian media, and despite the increase in English
    language Asian media outlets, no resources seem to have been
    allocated at all to these media organizations.
        Of great concern also is the regional office issues.
    There's a lack of coordination between the national and
    regional local outreach and public relations efforts. The
    Bureau needs to ensure better coordination. It is important for
    them to work with their regional offices also to make sure that
    they are recruiting, hiring and training the employees with the
    best language and cultural skills needed to secure an accurate
    count.
        Another concern is the need for adequate hiring and
    training. Unfortunately, the AAPI partnership specialists
    qualities vary significantly across the regions, and not enough
    specialists have been hired to cover various communities. So,
    for example, in Chicago, our affiliate there had to fight to
    get even one Asian-specific partnership specialist hired,
    despite the growth in the population. To date, the regional
    office has only recruited one Chinese-speaking partnership
    specialist, despite the huge diversity of the immigrant
    community in Chicago.
        We also believe that the Census Bureau needs to act quickly
    to identify its Questionnaire Assistance Centers and Be Counted
    Sites. In 2000, they did it only a week before census day. And
    they must do a better job coordinating the advertising of where
    these sites are going to be, including the organizations'
    leading community based outreach efforts.
        Finally, the Census Bureau needs to make much more of a
    priority to ensure that deceptive mailings and Internet scams
    that pretend to represent the Census Bureau and census 2010 are
    not used to mislead, misinform, or otherwise swindle these
    particularly vulnerable communities.
        In conclusion, I look very much forward to answering any
    questions you may have. Thank you very much.
        [The prepared statement of Ms. Narasaki follows:]

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        Mr. Cuellar. Thank you very much for your testimony.
        At this time, the Chair recognizes Mr. Vargas to proceed
    with his opening statement.

                       STATEMENT OF ARTURO VARGAS

        Mr. Vargas. Thank you Mr. Chairman, Representative Jackson
    Lee, my fellow Angeleno, Representative Waters. Thank you for
    the opportunity to appear before you tonight to discuss this
    topic.
        First, we applaud the Census Bureau for recognizing the
    importance of using Spanish language media and commend the
    breadth of the paid media strategy, the investments in creating
    and developing messages based on research and in consultation
    with key stakeholders. However, we have identified significant
    weaknesses in the Bureau's Latino communications plan.
        First, the Bureau's 2010 investment to reach Latinos does
    not keep pace with inflation nor with population growth. In
    2000, the Bureau spent $18.9 million on Latino outreach,
    compared to $25.5 in 2010. Had the Bureau merely accounted for
    inflation, the 2010 budget would have been $23.4 million.
    Accounting for more than half of the total U.S. population
    growth, the Latino population has increased by 33 percent since
    2000. Had the Bureau increased its spending to account for both
    inflation and population growth, the 2010 Latino allocation
    would have been at least $31 million.
        Second, the Bureau's Latino strategy relies almost
    exclusively on Spanish-language media and ignores the English-
    dominant Latino population. While Spanish language media are
    very effective in reaching Latinos who consume those media,
    many Latinos rely primarily on English language media. The
    Bureau investment in English language media is virtually
    nonexistent. We are deeply concerned that English-dominant
    Latinos, may of whom live in hard-to-count communities, will
    not be reached effectively.
        Third, our media partners have informed us that the
    Bureau's investment is not enough for effective market
    penetration in many regions of the country. This is
    particularly a problem in nontraditional Latino population
    centers such as the Deep South, the Mid-Atlantic, and the
    Midwest.
        A fourth weakness is the method by which the Bureau used to
    decide local media buys which allow for deeper market
    penetration and better message targeting. The Bureau developed
    six criteria to develop local Spanish language media buys.
    Those markets meeting at least four of the six criteria were
    selected.
        Now we commend the Census Bureau for including hard-to-
    count scores and mail return rates in the criteria. However, we
    do have concerns with the methodology by which these criteria
    are formulated.
        Where the Latino population is concentrated in hard-to-
    count areas, the use of market-wide HTC averages mask the
    presence of areas with low HTC scores. This measurement fails
    to accurately capture the hard-to-count score for many Latinos
    in a particular market.
        Similarly, the criterion which uses the average 2000 census
    form mail return rate [MRR], for a local market provides a
    skewed measure of the return rate among Latinos.
        We analyzed nine media markets that did not receive local
    television media purchases by isolating specific tracks of
    significant Latino populations and determined their average HTC
    score and MRR. We also examined the Latino percentage within
    tracks and HTC scores of the national average or mail response
    rates below the national average. This analysis presents a very
    different picture of the need for spot buys.
        Our analysis suggests that the Bureau did not make local
    spot buys in areas where its averaging methodology masks the
    presence of hard-to-count Latinos. Similarly, several markets
    with above average response rates have Latino tracks where the
    rate is significantly lower than the national average. These
    markets include Boston, Austin, and Hartford-New Haven.
        The Bureau's HTC and mail response criteria are compounded
    by population size criteria. This disproportionately affects
    markets with emerging Latino populations and communities which
    are relatively small. For example, the Laredo market is by all
    measures a hard-to-count Latino market, but it does not meet
    the 100,000 Latino household threshold criterion. Similarly,
    the Atlanta market has over 158,000 households, many of them in
    hard-to-count Census tracks, yet fails to me the criterion of
    Latino households comprising at least 11 percent of all
    households in a particular market. Both of these markets were
    shut out of local media buys.
        So, therefore, based on our analysis we offer the following
    policy recommendations: One, the Census Bureau must make a
    reasonable investment in paid advertising to reach English-
    dominant Latinos, and it must significantly increase its
    spending on Spanish-language media.
        Two, the Census Bureau must be more transparent with
    respect to criteria for targeting local buys. We believe the
    Bureau was overly vague with stakeholders about a strategy,
    making it difficult to provide any guidance. We urge the Bureau
    to do better in its media buys during nonresponse followup.
        Third, the Census Bureau should report to Congress and
    stakeholders strategies to reach Latinos in local markets that
    are difficult to count and do not receive local media buys.
        Fourth, the Census Bureau should carefully examine the
    inadequacies in existing Spanish-language local media buy
    criteria and make improvements when implementing nonresponse
    followup.
        Finally, there are two unrelated matters that warrant this
    subcommittee's attention. We recommend Congress curtail third-
    party efforts that exploit the Census. We also urge the Bureau
    to develop a paid media strategy to inform the public about
    what data are and are not collected in the Census and how to
    identify authentic enumerators. There are recent press reports
    that fake Census takers are defrauding families who believe
    they are cooperating with the Bureau. These acts are repugnant,
    undermine the Census, and they must be stopped.
        Thank you again for this opportunity to share our views on
    the 2010 census media plan on hard-to-count communities. We
    look forward to working with the Congress in partnership with
    the Bureau in ensuring a full Census count in 2010.
        [The prepared statement of Mr. Vargas follows:]

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        Mr. Cuellar. Thank you, Mr. Vargas.
        Ms. Samhan, if you can proceed with your testimony.

                    STATEMENT OF HELEN HATAB SAMHAN

        Ms. Samhan. Thank you for this opportunity to share the
    perspectives of Arab Americans as you explore the issues that
    will affect communities who will be hard to count in 2010.
        By way of background, the Arab American Institute has over
    two decades of experience in working with the Census Bureau on
    ways to improve data collection and also questionnaire
    relevance to ethic Americans and particularly to Arab
    Americans.
        It's no surprise I don't think to anyone that in the wake
    of September 11th prejudice and fear about Arabs emerged in
    American popular and political culture and were also manifested
    in national security policies, which were often based on
    profiling large segments of the Arab and Muslim populations
    based solely on their national origin or religious affiliation.
    This political and security environment and climate play a
    significant role in how Arab Americans will view the 2010
    census.
        The hard-to-count community in my view fall into three
    categories: The traditionally hard to count. Those are
    immigrant families who have limited English proficiency, are
    not familiar as much with American processes, and might have
    come from countries where the government is not exactly a
    friend.
        The second category is the post-9/11 hard to count. And
    those are people who were willing to cooperate and support the
    Census in the last time around, but now, because of racial
    profiling in the wake of 9/11, are now more suspicious and less
    likely to appreciate the protections that are afforded by the
    Census Bureau.
        The third area is what we call identity hard to count, and
    this relates to the race categories as defined by the Office of
    Management and Budget and which are reflected on the 2010
    census form. The undifferentiated White and Black race
    categories that do not allow for subgroup identification have
    caused confusion, alienation, and even anger within segments of
    the American population with origins in the Middle East and
    North Africa.
        Many first- and second-generation Arab Americans do not
    understand the race distinctions that are codified by the OMB
    categories and have lived through experiences both before and
    after 9/11 where they don't feel treated like the White
    majority population and therefore they don't relate to the race
    categories.
        The great attention to pluralism and ethnic and racial
    diversity in American civic discourse has further added to this
    disconnect between race classification and our active
    participation in the promotion of racial justice, tolerance,
    the defense of civil liberties, and the support for national
    security policies that do not punish or resort to racial
    profiling.
        Given this context and the fact that ancestry data are no
    longer collected in the decennial census operation, activists
    and advocates have the dilemma of encouraging participation in
    a survey which does not appear to recognize who Arab Americans
    are. While advertising alone will not reverse all of these
    challenges, we recognize and appreciate the serious effort that
    was made by the Bureau to reach Arab Americans and convince
    them of the safety and value of the Census participation.
        The early decision to include in the paid advertising
    campaign emerging language communities like Arabic beyond the
    recognized race and minority groups was a positive step, even
    though the percentage of the overall budget was understandably
    small. The Census Bureau listened to the need to address
    concerns about privacy and confidentiality in the early phases
    of Census planning and conducted focus groups to study opinions
    and attitudes of Arab Americans toward the Census.
        Our participation in the advisory process permitted a
    dynamic interaction in the planning of the 2010 census
    communications strategy, a process that sought advice and
    feedback from the early stages of conceptualization and review
    of message and creative design.
        Efforts to reach the Arab American community extend well
    beyond the paid advertising campaign. A number of regional
    Census offices, notably Detroit, Philadelphia, New York, and
    Los Angeles, dedicated partnership resources to reach Arab
    communities in their areas. Detroit, in particular, led the way
    by arranging for translation of outreach materials into Arabic
    as early as last summer and by assigning a team of up to six
    partnership specialists to work with the Middle East community.
        Finally, in our capacity as a national partner, we are
    launching a ``trusted voices'' PSA campaign in Arabic language
    media. The same agency that was hired by the Census Bureau for
    paid media ads offered to design and produce these ads on a pro
    bono basis.
        Our overall evaluation of the 2010 Census Integrated
    Communications Campaign is that it represents significant
    improvement over previous Census efforts. We understand that
    adequate resources and time are perennial challenges to any
    Census operation, and there's never enough of either to assure
    a perfect process. We also understand that multiple and
    sometimes competing interests of diverse advisory bodies make
    the consultative process complex, demand extraordinary
    patience, and result in decisions that are bound to disappoint
    some stakeholders.
        We are stakeholders, however, and are committed to work
    with the Bureau not only in the final weeks of the 2010 census
    but in the months and years that follow the decennial
    operation. Our interests going forward include studying the
    extent to which some other race is used by respondents of Arab
    origin and the results of the experimental panels to test
    alternative ways to measure race and ethnicity, and we look
    forward to new research into adding a question on ancestry in
    the next census in 2020.
        [The prepared statement of Ms. Samhan follows:]

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        Mr. Cuellar. Thank you for your testimony.
        At this time the chair will recognize Ms. Smith for 5
    minutes.

                        STATEMENT OF LINDA SMITH

        Ms. Smith. Thank you, Mr. Chairman and members of the
    committee, for inviting me to testify tonight.
        My name is Linda Smith, and I'm the executive director of
    the National Association of Child Care Resource and Referral
    Agencies [NAACCRRA]. That makes it a little bit easier.
        We are a nonprofit membership association, and we represent
    roughly 700 community based child care resource and referral
    agencies around the country. These agencies help ensure that
    families in 99.3 percent of all inhabited zip codes in the
    United States have access to high quality, affordable child
    care.
        Every week in this country, over 11 million children are in
    the care of someone other than their parents; and these
    children are under the age of 5. They are cared for by over 2.3
    million child care providers. This group, as we know, is one of
    the most undercounted populations in the Census, and we have a
    serious interest in ensuring that these children get counted.
    So we see that child care can provide a vital link into this
    population during the 2010 census count.
        Our member agencies maintain a data base of child care
    providers and programs and use it to link parents who are
    looking for care to child care programs in their communities.
    On an annual basis, we provide services to over 7 million
    parents.
        Here in Washington, NAACCRRA operates Child Care Where, a
    national toll-free hotline and Web site designed to link
    parents to child care providers in their local areas. We serve
    another million parents through this hotline. Beginning this
    week, we will be posting information on the site about the 2010
    census and will continue doing so throughout the period; and we
    will be encouraging our 700 members to do the same.
        Not only do we help parents find child care, but we also
    train over half a million child care workers every year. In
    addition, we collect information on the supply and demand for
    care and the cost of care in communities around this country.
    About 40 percent of our agencies administer child care
    subsidies to low-income families on behalf of States.
        NAACCRRA itself manages a fee-assistance program for nearly
    20,000 children of AmeriCorps and Vista volunteers and military
    service personnel living off base, including National Guard and
    Reserve members currently deployed.
        Given our reach into the child care community, we have
    taken the lead in working with the Census Bureau to disseminate
    information about the importance of the 2010 census to parents.
    We have an aggressive plan, and much of our work will be
    focused on families living in difficult-to-count areas.
        We are working with other national organizations such as
    the Children's Leadership Council, the National Head Start
    Association, the National Black Child Development Institute,
    the National Indian Child Care Association, and LaRaza. We will
    be publishing our materials both in English and in Spanish.
        You have already heard the statistics or are aware of the
    undercount of the young child population. You have heard many
    of the reasons why that exists. We know firsthand that it's
    very difficult to reach into this community. In general, we
    know that families with young children are highly mobile and
    they do not have as many anchors in the community as families
    with children who are in public schools.
        But one thing that we do know, when they move, they need
    child care; and we can reach them during that process. We have
    a broad national network and are working with the Census Bureau
    to connect parents to their local child care programs. Our hope
    is to reach millions of families and ensure that our youngest
    children are well represented in the 2010 census.
        We will specifically target our agencies located in the
    most hard-to-serve counties, as submitted earlier. Because our
    programs depend on Federal funds that are apportioned based on
    the subsidy data, they have a real interest in getting this
    right in their communities.
        Before I close, I would like to acknowledge the efforts of
    the Annie E. Casey Foundation for their work on this issue. It
    is through their efforts that NAACCRRA has become involved in
    this work. We are working with Annie E. Casey and the Census
    Bureau, and our goal is to ensure that every child living in
    the United States is accurately counted in 2010.
        Again, thank you for inviting me to testify.
        [The prepared statement of Ms. Smith follows:]

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        Mr. Cuellar. Ms. Smith, again, thank you very much for
    being here with us and, again, to all the witnesses.
        We now move on to the question period for the Members and
    proceed under the 5-minute rule for Members. I will stick as
    Chair to the 5 minutes. I will go ahead and proceed now as the
    Chair.
        I just have one general question for all of you all. You
    heard the witnesses before. You heard how they were spending
    the money. There were questions about the contractors, and
    apparently the contractor didn't know how much money he was
    taking in and all that. Because I want to see more of that
    money spent in the field instead of up there for contracting
    purposes. What are your general thoughts about this? Anybody.
        Mr. Vargas, go ahead.
        Mr. Vargas. Thank you, sir, for that question.
        I think one of the problems is that this field is very
    expensive; and the Bureau, in many respects, regardless of who
    would have been the contractor, would have had to spend top
    dollar to get this job. I would say the quality of some of the
    ads that have been produced are high-quality ads, but the
    amount of money that is actually being spent on getting the ads
    out into the market is where I think this falls short. Because
    the rotation of the ads really is not sufficient to reach, at
    least in the Latino community's case, enough of a penetration
    in the markets to motivate people to act.
        Our media partners have told us that people need to hear
    the message at least seven times to understand what is
    happening, and they don't believe that the national coverage
    itself is sufficient to reach people seven times. Given the
    lack of local media buys in these emerging communities like
    Atlanta, Tampa, Orlando, Austin, Boston, Laredo, I think we are
    at serious risk of people not getting the message enough to be
    motivated to act.
        Mr. Cuellar. I believe what you're saying for the hard-to-
    count places, the local advertising, trusted voices would be
    more effective than the Golden Globes, Super Bowl. Would you
    agree that using some of that local media, whether its Hispanic
    or African American, would work better than some of the money
    that they have spent?
        Mr. Vargas. I think more local media would be very
    important, especially in emerging markets. We are particularly
    concerned about the lack of targeting Latinos in the South,
    which we have seen hypergrowth of Latino communities in the
    Carolinas, in Georgia, in Arkansas. Those are the communities
    that are going to rely exclusively on national media buys,
    which we have been told aren't sufficient to really motivate
    people to act.
        Mr. Cuellar. A question for all of you all, and I don't
    know if you all were stakeholders in this, but did they give
    you sufficient input or an opportunity to get your input in the
    overall strategy? Just from left to right.
        Ms. Narasaki. AAJC is part of the Census Advisory 2010, and
    we were actually part of a task force on media and advertising.
        The challenge, as you know, is a lot of the decisions get
    made many, many years before. That then limits what you can do
    going forward. So by the time that we were included, a lot of
    key decisions in terms of how much money would actually be
    available are already made.
        I want to echo what Arturo said about the issue about local
    trusted media that you yourself are making. One of the biggest
    issues in our communities, particularly the Latino and the
    Asian community, is to overcome the issue of distrust of
    government; and it is those local, trusted ethnic media who
    they trust for their knowledge of what is going on in their
    communities that have the most influence in being able to
    overcome that particular distrust. An ad on the Super Bowl
    isn't going to do it for them.
        Then, I just wanted to add on an earlier question about the
    ACS. My sister got the ACS questionnaire. She's college
    educated. We are four generation. We are not an immigrant
    population. And she herself was confused. She called to yell at
    me about how long it was. When I told her that actually isn't
    the Census, there's a second one that is coming in April, it
    was very confusing for her.
        There does need to be, I think, much more thought about how
    do you educate communities--how do you use some of the
    advertising to educate communities that there are, in fact, two
    Census tools going out. And particularly in the minority
    communities where it's hard enough to get them to answer one,
    you can imagine the challenge of trying to get them to answer
    two. Thank you.
        Mr. Cuellar. If you want to close up, because I want to
    stick to my 5-minute rule.
        Mr. Vargas. Thank you, sir.
        Not only is NALEO a member of the Census Advisory Committee
    but a member of the Joint Advertising Advisory Review Panel
    [JAARP]. And I want to commend the Bureau for establishing that
    review panel because back in April of last year we were able to
    put the brakes on what we thought was an obsolete messaging
    campaign that DRAFTFCB had developed. We asked them to go back
    to the drawing board to come back with different ads which we
    believe now are more appropriate for the kind of environment
    the Census is being conducted in, including the recession.
        Now what the Bureau did not do as good a job at is letting
    us know where the media buyers are going to be and how much
    will be spent on media buys. Had we been a partner like we were
    on the messaging, I think we could have been used better to
    advise the Bureau as to where we believe local media buys were
    more necessary.
        Ms. Smith. Can I respond to that, too?
        We are, obviously, a nonprofit association; and we are not
    receiving any funds to do the work that we are doing. I have to
    say that I think there's been sort of an overlooking of the
    whole nonprofit community and mobilizing them around the
    Census. If it hadn't been, as I said in my testimony, for the
    Annie E. Casey Foundation, the work that I had done with them
    in the past, we would not have been brought into this. I
    think--and now we are working with the Bureau on this--on
    trying to get this count of children.
        But I will add that I work with another organization here
    in Washington that represents over 50 children's organizations,
    all of them nonprofit, and none of them to my knowledge have
    been contacted to mobilize around the Census. I think it's a
    missed opportunity. These people represent groups that are
    highly trusted in their communities. I think we could do a lot
    more to get the Census out and we would benefit from it.
        Mr. Cuellar. Thank you.
        At this time, I will recognize the gentlewoman from
    California, Ms. Waters, for 5 minutes.
        Ms. Waters. Thank you very much.
        Just simply based on everything that you have seen and you
    understand about how this team is working, for each of you,
    just quickly, could you support the idea that there should be
    more money put in local media buys?
        Ms. Narasaki. Very definitely needs to be more money put in
    local media buys, particularly in the ethnic markets.
        One of the challenges, like with the Latino advertising
    dollars, the Asian dollars went up a little bit. But if you
    adjust for inflation and the fact that you're trying to cover a
    population that has gone from 12 to 15 million and has more
    language and diversity, it does not even begin to cover it.
        Ms. Waters. So that would be both radio, television and
    newspaper.
        What about you, Mr. Vargas?
        Mr. Vargas. What we would recommend in those local buys
    that the media buys be more strategic and that more weight be
    given to hard-to-count rate scores and mail response rate
    scores versus the size of a population.
        Ms. Waters. But the bottom line is, do you believe that we
    need to put more money into those local media buys? And we
    could design better and give advice about what they should be,
    but there should be more money to do the job.
        Mr. Vargas. There should be more money in local media buys.
    But I think it would be as important which local markets are
    selected for additional media buys.
        Ms. Samhan. I agree. I think it would be more beneficial to
    have more money in the local media buys. It does depend on
    where. We have a very small media in the Arabic media language
    to choose from; and, of course, we are the smallest percentage
    of the foreign language media buys as well. But I think that
    more local-based media is a good idea.
        Ms. Waters. What about you, Ms. Smith?
        Ms. Smith. I actually agree that would be a good thing, but
    I also think that there's an opportunity through the earned
    media and the use of the nonprofit community to get this word
    out. We have no budgets usually for media, and yet we work with
    the media a lot. I think just making the news, for example, in
    the case of children under the age of 5 being undercounted, we
    can go out and get media in other ways.
        Ms. Waters. So you're basically saying, in addition to
    media as we know it, the print and electronic media, that the
    non-profits have networks about which they should be supported
    to get the word out, also.
        Well, I thank you all. That's where I'm going with all of
    this. I really do think there needs to be more money to get to
    these populations and to be able to motivate in whatever the
    two phases are. I have a real appreciation for learning about
    Thomas Jefferson, but we really do have to get to the people
    who are going to fill out these forms and get them back. So if
    we make this recommendation, we are going to be looking for you
    for support. Thank you.
        Mr. Clay [presiding]. Thank you very much. Thank you for
    your indulgence.
        Representative Jackson Lee.
        Ms. Jackson Lee. Thank you very much, Mr. Chairman.
        I'd like to follow the line of questioning that my
    colleague and you have made the record, so let me just ask the
    question, Ms. Narasaki, do you believe there should be an
    enhanced funding for media that outreaches to diverse groups,
    including print and radio in particular?
        Ms. Narasaki. Yes, I do. It is something that we have been
    advocating for over the last several years. We've had to
    advocate each year for increased funding for the Asian American
    media for the paid advertising as well as the community
    outreach. Those things are really important.
        Ms. Jackson Lee. And for fear of the interpretation of our
    position being considered either self-serving or to give
    another small business some money, can you articulate how
    important these cultural entities are to our communities or to
    communities of color, meaning their radio, print media, that is
    a comfortable vehicle? Why are you suggesting that you need
    that increase in the media? What does that do in terms of
    helping to eliminate or work against the undercount?
        Ms. Narasaki. Well, as you know, it actually helps the
    American public generally, because the more people you can get
    to respond to the mail initially, it saves in nonresponse
    followup. So we are trying to advocate for something that would
    be an overall helpful benefit to the Nation as a whole.
        The second thing is ethnic local media understand what are
    the messages that are going to most encourage people to
    respond, what is most important to the local community, how to
    best phrase that particularly in language, how to best
    communicate that, and they are the most trusted sources to get
    over the issue of fear about confidentiality and government
    intrusiveness.
        Ms. Jackson Lee. That's a term that I'm going to use, is
    the ``most trusted vehicle,'' which is a very important point
    in our mutual communities.
        Mr. Vargas, why don't you comment on the thrust of my
    questions. You made a point about the broad brush on Latinos
    all going to Spanish speaking, when there are any large numbers
    of Latinos who are English speaking. Why don't you speak to the
    need for media that is culturally relevant?
        Mr. Vargas. Again, I think Spanish-language media is very
    effective in reaching the population that consumes Spanish-
    language media. I will refer to my written testimony where we
    say research that--where Spanish-language media actually is
    able to increase, for example, voter turnout rates. But we also
    know voter turnout rates are the lowest among native-born
    English speaking Latinos, and it is that segment we believe is
    the hardest to count. So ignoring vehicles, media vehicles that
    use English language to reach these populations, whether they
    be young people or people who are disaffected from society, I
    think is a real missed opportunity. This is something we raised
    with the Bureau over a year ago, that the lack of an English-
    language media strategy could be a problem in the 2010 census.
        Ms. Jackson Lee. You listened to the listing that the
    previous witness gave about how much money is being spent on
    national and local. When the contract is $300 million--and my
    understanding is that the Census Bureau is not the ones that
    deciphered or delineated or categorized how the moneys would be
    spent--would you make the argument that there should be a
    returning to the drawing board to reconsider or reconfigure
    that funding breakdown?
        Mr. Vargas. With all due respect, I think we are already
    past the 11th hour figuratively and literally tonight. The
    Census is weeks away, and these media buys have been made. I
    think the most effective thing to do now is to identify those
    local media markets that did not get local buys with
    significant rates of hard-to-count communities and low-mail-
    response rates and do additional local media targeting in those
    communities.
        Ms. Jackson Lee. I'm an optimist, and I hear what you're
    saying, but I do know they haven't spent the total $300
    million. So you're right. If they can't reconfigure, if the
    buys are solid, I guess I'm optimistic enough to say that some
    buys will be pulled down. But if that is not where they could
    go, then I would suggest that they dip into the $300 million.
        Let me quickly go to Ms. Samhan and Ms. Smith. Ms. Samhan,
    you have a unique community. If you would comment on the need
    to pertain to that unique community and how you think the
    Census is doing.
        Ms. Samhan. Well, as I said in my testimony, I believe that
    they are doing the best that they can with a relatively
    emerging market. This is the smallest percentage of the overall
    special market, foreign language media that was allocated. I
    expect that in the next Census operation it will increase, but
    it was under $800,000 for three language groups.
        So it's such a small drop in the bucket, and it was really
    for that reason that we realized that we needed to have a
    partnership effort that was to basically complement the limited
    funds that were available for these emerging language groups.
    So we did this PSA campaign, and we believe that actually
    there's a benefit to that as well because there's a way to get
    earned media and media from nongovernment sources or media
    about nongovernment sources supporting the Census. So we think
    that this partnership with all of the nonprofit organizations
    that represent our community speaking at the same time as the
    Census is advertising is actually a good thing.
        Ms. Jackson Lee. So we need to improve our partnerships.
        Let me put on the record the total that I heard Ms. Ennis
    speak to: $22 million for the broad minority community in terms
    of media, out of $300 million. There was a list of numbers that
    were given. I'm just putting this on the record. To my
    question, she gave me a list of numbers. It was $22 million.
        Mr. Vargas. I think that was for African American.
        Ms. Jackson Lee. I asked her to give me for all.
        Ms. Samhan. I think for her agency.
        Ms. Jackson Lee. Twenty-two million across the board for
    that. That is still--let me just put on the record $22 million
    for African American. Mr. Garcia did not respond. I will get it
    in writing.
        Let me just quickly conclude. I need to get back to Ms.
    Narasaki. Give us an answer to what you said was indicting and
    vital disorganization of the regional offices which many are
    seeing across the America. What do we need to do as Members of
    Congress to get right in the midst of that problem?
        Ms. Narasaki. I think it's helpful for Members of Congress
    to check into what kind of specialists have been hired in your
    district who are serving your district and to check and see
    whether you think it's reflecting the demography of the
    communities who actually make up your district and ask those
    questions. While the census day is April 1st, there's
    nonresponse followup, and that is going to be critical to have
    people who can knock on the doors and get the answers they need
    to get.
        Mr. Clay. The gentlewoman's time has expired.
        I now recognize Mr. Cuellar of Texas.
        Mr. Cuellar. Mr. Chairman, thank you. I have asked my
    questions already.
        Mr. Clay. Let me have one final question for the panel. Ms.
    Smith, is the Census in the Schools program adequate to count
    and involve the children of this Nation?
        Ms. Smith. I don't think I'm qualified actually to answer
    that question, because we work mostly with the population of
    children that are preschool age children and they have not been
    targeted by any of these programs.
        So I think if I were to make one comment to everything
    that's been said tonight, I think we really have a serious
    issue at looking at young parents in this country and how do we
    access them. They are new into all of this since the last
    Census. And we are obviously not getting to them, no matter who
    they are. Children under five are not counted, and they are not
    targeted with any sincerity right now in this count.
        Mr. Clay. Thank you for that response. I will make inquiry
    with the Census Bureau about the comprehensive approach to
    involving young people, since they are the most frequently
    undercounted of all segments of our population.
        Panel two is dismissed, and we will call forward panel
    three.
        While panel three is coming forward, in the interest of
    time I will also announce that Marcelo Tapia and Hubert James
    will not appear tonight for various reasons.
        Also, we will include in the record the statements of
    Representative Hank Johnson as well as Representative Crowley
    of New York.
        [The prepared statement of Hon. Henry C. ``Hank'' Johnson
    follows:]

    [GRAPHIC] [TIFF OMITTED] T1800.316

        Mr. Clay. Our final panel today comprises those with media
    expertise on reaching those hard-to-count populations focused
    on by Census efforts.
        First on our panel is Mr. Danny J. Bakewell. Mr. Bakewell
    is the chairman of the National Newspaper Publishers
    Association. The NNPA represents more than 200 Black community
    newspapers from across the United States. Mr. Bakewell is the
    executive publisher of the Los Angeles Sentinel and owns WBOK
    radio station in New Orleans. He is the recipient of numerous
    awards, including the NAACP Image Award and the Congressional
    Black Caucus Adam Clayton Powell Award. Mr. Bakewell is a much-
    sought-after speaker, community organizer, and leader.
        Welcome to the committee.
        Next, we have Mr. James Winston, executive director and
    general counsel of the National Association of Black Owned
    Broadcasters. Mr. Winston is a partner in the D.C. law firm of
    Rubin, Winston, Diercks, Harris, and Cooke. He has been the
    Executive Director of NABOB since 1982. From 1978 to 1980, Mr.
    Winston served as Legal Assistant to FCC Commissioner Robert
    Lee. Mr. Winston is a graduate of Harvard Law School and holds
    a bachelor of science degree in electrical engineering from the
    University of Pennsylvania.
        Welcome to the committee.
        Next, we have Ms. Sandy Close, executive director of New
    American Media. New American Media is the country's first and
    largest national collaboration and advocate of 2,000 ethnic
    news organizations, founded by the nonprofit Pacific News
    Service in 1996. NAM is headquartered in California. Ms. Close
    has served as executive director of Pacific News service since
    1974. A graduate of UC Berkeley, Sandy was formerly China
    editor of the Far East Eastern Economic Review in Hong Kong and
    founder of the Oakland-based Flatlands Newspaper.
        Thank you for appearing before the subcommittee today.
        It is the policy of this committee to swear in all
    witnesses before they testify. I'd like to ask each witness to
    please stand and raise your right hands.
        [Witnesses sworn.]
        Mr. Clay. Let the record reflect that all witnesses
    responded in the affirmative.
        Each of you will have 5 minutes to make an opening
    statement, and your complete testimony will be included in the
    hearing record.
        Of course, we have a lighting system which will be operated
    as soon as my friend gets back.
        Anyway, Mr. Bakewell, you are free to begin.

      STATEMENTS OF DANNY BAKEWELL, CHAIRMAN, NATIONAL NEWSPAPER
     PUBLISHERS ASSOCIATION; JAMES L. WINSTON, EXECUTIVE DIRECTOR,
      NATIONAL ASSOCIATION OF BLACK OWNED BROADCASTERS; AND SANDY
              CLOSE, EXECUTIVE DIRECTOR, NEW AMERICA MEDIA

                      STATEMENT OF DANNY BAKEWELL

        Mr. Bakewell. Thank you.
        Congressman Clay and members of the committee, I'd like to
    thank you for giving me the opportunity to speak before your
    committee this evening. It is really an honor to be here.
        Congressman Clay, I want to give you a particular vote of
    confidence or an acknowledgment for the leadership and vision
    that you have demonstrated in holding these hearings. They are
    much needed, and hopefully at the end of these hearings you
    will know that there is much needed to be done.
        I also want to thank the members on the committee for the
    vigilant and direct questioning that you have posed to members
    of the Census. Sometimes when you come before Congress you guys
    are so polite and you're so busy asking for the gentlelady and
    the gentleman and the gentle cousin, we get lost in terms of
    the substance of what it is we are trying to accomplish here.
    So I thank you very much for the directness of your
    questioning.
        In my time allotted, I'd like to provide you with an
    enhanced version of my written testimony which I have
    submitted.
        As chairman of the National Newspaper Publishers
    Association, which is the Black press of America, I represent
    nearly 200 Black newspapers and publishers throughout America.
    NNPA members reach more than 19 million African Americans and
    people of Caribbean decent weekly. This year, NNPA celebrates
    our 70th anniversary. We are not newcomers to this game.
        During 2010, we will also celebrate 183 years of tradition
    and service when the first Black newspaper was founded, Freedom
    Journal. It's appropriate that the echo of those who founded
    Freedom Journal said, ``we desire to plead our own case;'' and
    that is very much what we are here today talking about.
        Black communities throughout America over the many years
    the Black press has established a legacy of trust built on
    honesty and accurately telling the stories of Black America
    from a Black perspective to Black Americans about Black
    Americans and other people of goodwill.
        The Black press is the fiber that connects Black
    communities small, large, rural, urban, throughout America. Our
    member newspapers publish in New York, Los Angeles, Chicago,
    Greensville, Durham, Shreveport, Michigan, St. Louis, Oakland,
    Atlanta, Norfolk, Washington, Baltimore, Texas, North Carolina,
    South Carolina, all across America.
        The Black press is the Black community's drumbeat felt,
    heard, read in Black households 52 weeks a year throughout the
    United States. The Black press has been and continues to be the
    gatekeeper and collector of our historical archives and records
    of every political issue, civil rights struggle, and social
    justice movement, the challenges, triumphs of our people.
        The Black press's ability to inform, advise, influence, and
    lead in the Black community is unmatched, unchallenged, and
    unquestioned. The Black community's trust and confidence in the
    Black press was forged over many years. No media represents the
    Black community better.
        Today, I am here to testify on the importance of the 2010
    census to Black Americans throughout America, and we want it to
    work. But I must tell you there seems to be a lack of
    importance given to delivering the 2010 census into all Black
    households throughout America, as evident by the Census's
    initial offer to buy advertisement in only a small portion of
    Black newspapers with a budget--they told you $1.7--it was $1.3
    million--to count 40 million Black people. This is a difficult
    task under any circumstances, but a budget of $1.3, you don't
    intend to count Black people.
        As you are aware, the second decade of undercounting Blacks
    will have a devastating impact on Blacks living in the United
    States for many years to come. We were undercounted by 2
    percent; and according to the statistics that I understand, 2
    percent represents about $178 million in terms of how that is
    correlated. If we come up short, we again, for every 1 percent,
    it will cost the government $90 million. So this is a clear
    case of being penny wise and pound foolish. We cannot let this
    happen.
        This is not a normal advertising campaign in which you can
    adjust your strategies. The Census has about, as it's been
    said, about 6 weeks to go. What happens when we get the count
    wrong? What happens when it comes back and all the households
    are not responding? We are going to be put in a position where
    we have to forever hold our peace.
        If we allow this to happen, Black Americans will receive
    reduced funding in education, health care, reduced resources
    from government. Black-elected officials will be severely
    compromised and threatened and in many instances lost. We
    cannot afford that. And I know you understand that.
        Today, I'm here to tell you that even though Black
    newspapers have the trust and respect of the Black community
    and despite having the ability to deliver advertising messages
    to the masses of Black consumers and Black people, the way we
    are going into the market is ineffective and must be altered
    now. Simply stated--and I met with and talked to many of you--
    we need more money. The Black press of America needs at least
    $10 million to have a consistent message in 200 Black
    newspapers throughout the America.
        There is no reason to cherry-pick. Wherever Black
    newspapers are, that is where Black people are. We wouldn't
    operate if those communities weren't there. Nobody reads our
    papers but Black people. So if you want to communicate with
    Black people, you have to communicate through us. There are
    other mediums, just like they talked about the Super Bowl, $2.5
    million. Fine. But don't expect to count us. Don't expect to
    get any residue.
        You're talking about Thomas Jefferson. When we talk about
    Thomas Jefferson, we talk about him and his mistress. We ain't
    talking about him being the head of the Census.
        So let's be real. These people up here were talking to you
    like if they were teaching a class at Georgetown University.
    They had no emotion. They are just reading. They are just
    talking. They are just giddy-uping.
        And that is the same kind of message that they created to
    go into our communities. It's not provocative. Nobody can
    deliver a better message in Los Angeles than Maxine Waters. Why
    don't you put her in an advisement? Put Lacy Clay in the
    advertisement. Put Jackson Lee in the advertisement. That's the
    kind of stuff that we need. We need names and people and bodies
    that are trusted in our community.
        Let me get back to this script. If we are to--you cannot
    say that you want to count all Black people and then unveil a
    program to advertise in only 16 markets. That's where they
    started out, 16 markets. Didn't have Doris Ellis, didn't have
    Dr. Suggs, didn't have Amelia Ward. That's in places like
    Houston. That's in places like St. Louis. That's in places like
    Oakland, California. That's in places like North Carolina,
    South Carolina. No Black people live there? What's the deal?
    How can you do that? How egregious is this?
        Now we're up to 55 markets, but we still don't have all 200
    Black newspapers, and this is going to result in the greatest
    undercount in the history of Black America. And you and we will
    suffer from that.
        I beg you, as I have when I have met with you individually,
    not to let that happen. We cannot travel back down the road of
    having Black Americans once again undercounted and
    underrepresented in the U.S. Census. The message that we all
    count and need to be counted cannot be fully realized with an
    advertising campaign that reaches some African Americans. It
    must be geared to all African Americans. Black people do not
    live in only 16 markets in America. We live in America. Black
    people live in small, large cities, rural, urban, all over
    America. We must deliver the message where we live, where we
    pray, where we are educated, and where we are best informed.
        And the vehicle best to reach us continues to be Black
    newspapers, Black radio, and Black churches. No question about
    it. If we are serious about securing an accurate count, we must
    implement a comprehensive outreach plan that requires placement
    and advertising of every Black newspaper throughout America. If
    not, the 2010 census information is not going to be captured
    and once again Blacks are going to be undercounted and
    underrepresented, losing out on millions of dollars in our----
        Mr. Clay. Mr. Bakewell, thank you for your presentation.
    You went 4 minutes over, in the interest of the other
    witnesses. We will let you in the question and answer period
    elaborate even more. Thank you very much.
        [The prepared statement of Mr. Bakewell follows:]

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        Mr. Clay. Mr. Winston, 5 minutes.

                     STATEMENT OF JAMES L. WINSTON

        Mr. Winston. Thank you, Chairman Clay, Congresswoman
    Waters, Congressman Cuellar, Congresswoman Jackson Lee. Thank
    you all for staying to this late hour for this very important
    discussion.
        My name is James Winston, and I'm the executive director
    and general counsel of the National Association of Black Owned
    Broadcasters. I thank you for inviting me to testify.
        NABOB is the only trade association representing the 245
    Black-owned radio stations and 13 Black-owned television
    stations around the United States.
        I wish to provide comments on three subjects today.
        First, the paid advertising program targeting African
    Americans got started significantly later than for other
    communities. Second, there are problems with choosing stations
    based solely on Arbitron audience ratings. Third, the
    allocation of Census advertising dollars toward the African
    American communities should be increased.
        The ad campaign on general market stations began on January
    1st. However, the campaign targeting the African American
    community got started much later. Some stations have advertised
    only within the last few days that they will be receiving
    Census ad buys, and some which were previously advised that
    they would receive Census ad buys have yet to be receiving
    them.
        Congresswoman Jackson Lee, you made the comment about the
    Houston Sun; and, in questioning, Ms. Ennis from GlobalHue said
    that Houston Sun was on the ad buy. Obviously, they have not
    conveyed that information to you, which sounds exactly like a
    situation I had just last week.
        Congresswoman, you will appreciate that, KJLH in Los
    Angeles contacted me because they had not gotten a Census buy,
    although they had been told that they had one coming. When we
    contacted GlobalHue last week, they said there was some
    paperwork mix-up, but of course KJLH was on the buy, and they
    began the buy just a couple of days ago.
        So in addition to the lack of money we have, we are not
    getting it. They are behind the curve in getting the money out.
    Obviously, the program is going to end at the same time for
    everybody. So if we started more than a month behind, we can't
    possibly get the messages out in time where they need to be
    going.
        So that is a problem that needs to be looked into as to
    what took so long to get started and why there's still stations
    that were told they are getting buys that have not gotten
    bought yet.
        Worse than the timing issue, however, is the fact that in
    several markets the African American owned stations have been
    completely overlooked and all the Census Bureau ad buys have
    been placed with non-African American owned radio stations that
    target their programming through the African American
    audiences.
        These ad buys have relied upon Arbitron audience data to
    choose these stations. However, a coalition of Black and
    Hispanic broadcasters has demonstrated that Arbitron's new
    unaccredited measurement service, the Personal People Meter,
    discriminates against Black and Hispanic audiences.
        Indeed, Chairman Towns of this committee held a hearing
    investigating Arbitron's PPM on December 2nd of last year.
    After receiving testimony from the representatives of the PPM
    Coalition and Arbitron, Chairman Towns directed the parties to
    meet to resolve this ongoing controversy. The chairman warned
    Arbitron that they, the committee, would look at a legislative
    solution if the parties failed to do so. While the PPM
    Coalition and Arbitron have met numerous times, no resolution
    of this problem has been achieved.
        Moreover, even if the Arbitron data were reliable, reliance
    solely on Arbitron data would completely ignore the ability of
    Black-owned stations to connect with their communities. It is
    this connection shared by both Black-owned radio stations and
    Black-owned newspapers which has enabled these companies to
    survive for decades without Arbitron data and other data saying
    that we have large audiences.
        The connection between Black-owned radio and newspapers in
    their communities is not one that can be measured in and
    catalogued by Arbitron. It must be discerned from experience
    using those media to achieve a desired result whether to sell a
    product or convey important information relevant to that
    community. That is how you decide that a station is relevant to
    the community.
        Local talk show hosts and air personalities can have
    influence in their communities far beyond the audience number
    generated by Arbitron. Yet in many markets it appears that the
    Census Bureau advertising campaign has completely ignored this
    important fact.
        This leads me to my final point. The Census Bureau
    advertising budget needs to be revised to allocate more
    advertising dollars to Black-owned media. As the Bureau is well
    aware, some of the principal problems affecting the undercount
    in African American communities are distrust of government and
    a sense of disconnection from the government. Only a trusted
    voice in the local community can turn such attitudes around.
    Established Black-owned broadcast stations and newspapers are
    those trusted voices. They need to have a much more prominent
    role in the Census Bureau's advertising budget than they have
    had so far. I urge the committee to examine this matter further
    and direct the Bureau to make a greater utilization of Black-
    owned media.
        Thank you for the opportunity to appear before you today.
        [The prepared statement of Mr. Winston follows:]

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        Mr. Clay. Thank you, Mr. Winston.
        Ms. Close, you may proceed.

                        STATEMENT OF SANDY CLOSE

        Ms. Close. Thank you very much.
        As the final speaker, probably the oldest speaker in this
    room, the speaker that just missed my airplane back to San
    Francisco, I want to echo what the last panel and my fellow
    panelists here said tonight to you and to wholeheartedly
    endorse the idea of expanding investment, especially during
    this last key, post-response phase of the campaign, to those
    ethnic media embedded in their communities where the low
    response rate makes them absolutely essential targets.
        I had hoped to show you a photograph, and I don't know if
    Anthony stayed. He had kept the photograph to put on the
    screen. Maybe he's already left. Because in some ways a picture
    is worth a thousands words.
        Let me then go back to my text very quickly and come to the
    most important example.
        Over the last year, New America Media organized 12
    briefings for the U.S. Census for over 600 ethnic media
    practitioners. We started in New Orleans. We went second to
    Detroit. Then we went to Atlanta, Houston, Chicago, Seattle,
    Phoenix. We literally canvassed ethnic media across the
    country, and you could cut their exuberance with a knife.
        For many of them, in Denver, for example, and in Houston,
    it was the first time they had ever seen each other around a
    table as a collective media force and at the table with the top
    Census people. And I do salute A.J. Jackson and Maria Mattos
    and Raul Cisneros and Steve Bruckner for trekking long
    distances to talk with them about the Census.
        The difficulty is that they get the Census. Juan Carlos
    Ramos in New Orleans in 2000, the undercounted Hispanics in
    that city prompted Coca-Cola to drop advertising in the
    Hispanic market in New Orleans.
        There is no question these media absolutely understand the
    importance of the Census to their audiences, and from our first
    briefing until our last in Seattle the anxiety and the sense
    of, in a way, confusion over how they could get involved was
    very clear. They wanted transparency, and there was very little
    transparency. How do we get in line? Whom can we call? No one
    answers our e-mails. No one answers our phone calls.
        Above all, they expressed frustration over messaging that,
    even while offered in 28 languages, was being created often far
    from their communities and by agencies they had very little
    input to.
        Mr. Clay. Excuse me, Ms. Close. The photo is up.
        Ms. Close. There are the photographs.
        ``It's important that Census advertising is being created
    in Vietnamese,'' says Thuy Vu of Saigon Radio in Houston, ``but
    it's not Houston Vietnamese.''
        Probably the best example came in Hupa, California, where
    the American Indian Hupa and Klamath River Tribes are served by
    two very important American Indian media. But take a look at
    the ads that the Census firms sent the Hupa, who have lived in
    redwood forests for 3,000 years. The first was of an American
    Indian against a cityscape, and the second was a plain Indian
    walking toward teepees. Both of them they rejected.
        We invested a very small amount of money that we raised
    from a foundation letting them shape their own messages; and if
    we can see that message, you will see the enormous difference.
        The third ad, which should be coming up right now, is Hupa
    looking out over their very isolated redwood forests and
    saying, ``if they don't count you, they will say no one lives
    here and they will take away our water rights.''
        The idea that our ethnic media are the ones who have the
    knowledge of their communities and should be helping to shape
    the messages is what leads me to my final point, because I want
    to keep this very short.
        In the last phase if there could be an SOS campaign, save
    our services campaign, targeting media that were left out of
    the ad buy, or like Joe Orozco of Hupa Radio felt they could
    have done a far better job messaging; like the San Bernardino
    Sun that was left out; like the Burmese newspaper that has
    Burmese audiences in Phoenix, in Houston, and in Nashville;
    like The Ethiopia here in Washington, with over a hundred
    thousand audience left out. They know what the messages are
    that will really inspire and cut through the fear, and the idea
    would be invest in them much as we invest in a community based
    organization.
        We don't have time for endless focus groups to shape these
    ads. We should let these media shape the messages to their
    communities. And let me tell you, as Freedom Journal put it,
    ``we wish to plead our own cause. Too long have others spoken
    for us.'' They will convey the message that resonates in their
    communities.
        I have listed in my testimony some of the dozens of e-mails
    from over 47 percent of the media that came to our briefings
    with the U.S. Census but never received an ad buy. These folks
    did know how to apply. They did get in line. They did spend a
    day to be with the Census folks, and they are ready to go all
    out. Black media, Asian media, Hispanic media, Russian media,
    media that are really the unduplicatable audience-trusted
    messenger.
        And I hope that in this last phase of the campaign, we can
    maximize those dollars by giving them the leadership role to
    shape the messages for their communities. In doing that, you
    will reach 60 million ethnic adults who now rely on ethnic
    media. Ethnic media is the only sector whose audience has grown
    by 16 percent.
        In conclusion, it is also the media that, when asked ``what
    are your primary goals,'' 68 percent respond by saying service
    to the community. Only a third put making a profit as their
    goal. This is a resource we can't afford to lose as media
    meltdowns across the country. Your capacity to govern requires
    communicating with the governed. These are the media that are
    intermediary that are just totally ready to get involved to be
    at this table, and they have sent the messages to you through
    us which are excerpted in the testimony I have left with you.
    Thank you very much.
        [The prepared statement of Ms. Close follows:]

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        Mr. Clay. And we thank you for that testimony and what you
    have left this committee. It will certainly guide us in our
    advocacy for ethnic, so-called ethnic audiences.
        Let me recognize the gentlewoman from California first.
        Ms. Waters. Thank you very much, Mr. Chairman.
        Let me thank you again for holding this hearing. This is
    very much needed. I think that we have gathered enough
    information here this evening to move and to get active to make
    sure that this so-called second phase or whatever they call it
    is done correctly; that more money is put into this advertising
    budget, more opportunities to shape the message from the local
    communities as you are describing you're right, this SOS. I
    agree with you 1,000 percent.
        Let me just say before I ask each of you if you agree that
    there's got to be more money, you mentioned about $10 million
    maybe for the African American press. And if we looked at all
    of the groups, we're probably talking about a total of at least
    somewhere between $30 million and $50 million more that's
    needed to cover everything.
        Danny Bakewell, may I ask you if in fact you advised the
    Census team that they should extract from you free press in
    order to get more money in the media buy from the Census team?
    Did they suggest that in some way? What happened with that
    conversation?
        Mr. Bakewell. Thank you, Congresswoman.
        I have submitted a letter. I gave you a copy of a letter,
    one to--that I sent to GlobalHue responding to that request,
    and then another letter which is a followup that identified
    specifically. And I want to read it into the record.
        What we said to them--they were talking about this issue of
    value added. We said you should ask--underline the word ask--
    all of the Black newspapers who are committed to the Census and
    committed to making sure that Black people understand the
    importance of the Census, ask them to run articles, which we
    have been doing already, and ask them to run editorials
    reinforcing how important the Census is.
        They took the language that we gave them, which was to ask
    all of the newspapers, and this is what they wrote:
        In the lieu--this is very specific, Congresswoman, because
    you asked this woman, and she did not respond to this at all.
    As a matter of fact, this letter is directed to her and it
    starts off, ``I read your e-mail in the response to my letter
    to Mr. Coleman, and once again, you got it wrong!''
        What they said is, In lieu of free ad space in all papers--
    all papers--must--underline the word must--agree to running six
    articles preferably during the hiatus weeks, about the census
    2010 as well as two editorials. If paper does not agree to the
    added value stipulation, buy will be canceled immediately.
        That was in the order, the insertion order, that they sent
    to the papers.
        Mr. Clay. What is the date of that?
        Mr. Bakewell. The letter that I sent to her was on January
    15th. And I want the record to reflect, some members have told
    me that they went to--they confronted members of the Census
    about this, and they said, I apologized. I have never
    apologized nor do I intend to apologize nor would I ever
    apologize about anything that I have said regarding to the
    Census's inability to respond to the Black community and the
    Black media in terms of allocating the appropriate amount of
    resources and having the political will.
        You have the political will, but they are refusing to carry
    out your political will by putting the appropriate resources
    next to it.
        So to answer your question, that was--and I apologize Mr.
    Chairman, for being out of order. I am a little aggravated. But
    the point was----
        Mr. Clay. I realize that you are very emotional about this.
        Mr. Bakewell. I am very passionate about this.
        Mr. Clay. Because you see the time slipping away from us as
    a Nation. I understand that.
        Mr. Bakewell. Absolutely. And this newspaper issue is my
    lane, and I am staying in it, and that was just an outright
    lie. I don't even understand how she could say that.
        Ms. Waters. Well, let me just say, if I may, reclaiming my
    time, Mr. Chairman, they were under oath when I asked the
    question. I tried to probe it in the length of time that we
    had, and I think that we were misled.
        So, Mr. Chairman, I will consult with you, but I think I am
    on the verge of asking for an investigation. First of all, it's
    discriminatory.
        Mr. Bakewell. Absolutely.
        Ms. Waters. And it appears that the African American
    newspapers are being told that they must give free space and
    editorials, or they will not get money.
        Mr. Bakewell. They have retracted that. In all fairness,
    after my letter and after my confrontation with Ms. Ennis, Mr.
    Coleman, who I never heard from and Mr.--what's his name?
    Jarvis? Jost? He did, they rescinded that, because we were
    about to hire a lawyer to sue them on the basis of our freedom
    of--you know, the right, freedom of information. You know? It
    was ridiculous.
        Ms. Waters. Well, you are absolutely correct. If it has
    been rescinded, and it's not been requested now, that will
    certainly cause me not to pursue an investigation in this
    matter. If it's one thing I can't stand, it is gross
    unfairness. I just will not tolerate that.
        Mr. Bakewell. Well, the fact that they did it, though, the
    fact that they did it. They don't do it--you asked the
    question, how was that in relationship to the--they probably
    asked, asked for added value for all of the media. That's sort
    of common in the industry. But to mandate and to say that you
    are going to be penalized punitively and we are going to take
    your advertising, that is reflective of the attitude and the
    mentality that they have when it comes to dealing with the
    Black press and the Black media.
        Mr. Clay. And thank you for that. And Representative
    Waters, we will review the testimony. And if we see a
    discrepancy, we will turn it over to the investigative arm of
    this committee.
        Ms. Waters. Thank you so much.
        And in wrapping up, I just want to make sure that if you
    decide to move forward to ask for supplemental appropriation or
    more money, whether or not these people who are here testifying
    tonight will be supportive of that, would you support----
        Mr. Bakewell. Absolutely.
        Ms. Waters [continuing]. Increased amount of money?
        Ms. Close. I would say something further about the Black
    press. Every city that we have gone to, and I will give you an
    example of Houston and New Orleans, where we have built ethnic
    media networks, it has been the Black media that have opened
    the door. They have been the gate openers. It isn't a question
    of Black media being told to run these--this material. The
    whole mindset is screwed up. The--it's a top-down mindset
    shaped by mainstream media advertising ideas. Mainstream media
    is melted down. It barely exists anymore. And now you have
    ethnic media that's growing because people can't do without it.
    They have the audience, and they are totally dedicated to this.
    But they are being ignored. They are not being asked what they
    would do to effectively message out.
        IW group is probably doing the best job of trying to get
    input from local Asian media about what would work in their
    communities, but they've been largely restricted, as Karen
    said, to national advertising.
        What we have to do, given the very limited time we have
    left, is bring our media and trust them to be the messengers
    and to help shape the messages, and not just leave it to a top-
    down construct that has shown itself. They are not even here.
    Why didn't they stay? If I was getting $300 million, I would
    damned well stay for this hearing.
        Mr. Bakewell. Mr. Chairman, I know the hour is late, but it
    really is important to ask the question, why won't they follow
    our recommendations? The Black newspapers, as an example, as
    well as Black radio, we couldn't exist in communities where we
    don't have the host, the heart and souls of the communities
    supporting us. I mean, the fact that we would have tried and
    trusted organs in the community and we recommend to them that
    they buy it, I have had this conversation with Congresswoman
    Jackson Lee. We recommended Doris's paper, and they didn't take
    it.
        Eventually, after we badgered and we went back and we went
    back and had her call and I had conversations, the same is true
    with Congressman Clay. Why would that happen? How can you be
    committed to counting 40 million African Americans and come out
    with a program in 16 markets in America? It absolutely, I mean,
    befuddles the imagination.
        Ms. Waters. Thank you very much, Mr. Chairman.
        I appreciate the time.
        Mr. Clay. Thank you so much, Representative Waters.
        Representative Jackson Lee.
        Ms. Jackson Lee. I can't thank the chairman enough for his
    leadership and vision on this issue.
        And, Mr. Chairman, I would like to have the Members who are
    here--I don't want to speak for them, but I know that if they
    are not on the committee, if we could have our staffs added to
    your e-mail list so that we can be aware, at your courtesy and
    invitation, to come to these upcoming hearings that I know that
    you are going to have.
        Mr. Clay. You certainly will be notified, invited, and most
    welcomed to attend.
        Ms. Jackson Lee. Thank you, Mr. Chairman.
        Mr. Chairman, I am going to ask for an investigation. And
    since we are in this committee, I am going to make it official.
    And that will be up to you and your staff to assess. Because I
    made the point on the record that the Census contracts were
    rendered in the previous administration in 2007, there's an
    instructive point that I would like to make. I know timing is
    everything. But I would prefer contracts not being made by lame
    duck administrations, No. 1.
        But No. 2, because these contracts then disburse the $300
    million, so, in essence, I cannot go to Director Groves and ask
    for an accounting, then I would like to have an investigation
    as to the utilization of the $300 million. And I think
    Congresswoman Waters asked it, but I would like it to be in the
    form of an investigation; how were those dollars used? And.
        The previous panel, a witness said he believes that the cow
    is out of the barn. I don't know that. I am confused. Do I have
    $300 million left or a portion thereof? Do I have to have a
    supplemental, or can I go back in and reconfigure the buys? I
    don't know that. I am not a media buy person. I happen to think
    that you do have the opportunity to reconfigure some of the
    buys or some of the prioritizations.
        For example, I believe that the genius of the people
    sitting before us is stellar. I believe that Vince Young in
    Houston, TX, that won the Rose Bowl could be on an
    advertisement in the local papers and got more young people
    running to be in the Census than I can have any national star--
    no disrespect to them or actor or whoever it is that is going
    to charge me a thousand dollars an hour. I think the local
    restaurant person that the Black newspaper or the Latino
    newspaper or the Asian newspaper or the Native American
    newspaper could put in or the chief in the tribe.
        Mr. Clay. Representative Jackson Lee, not to cut you off,
    but we will give you a full accounting of those $300 million.
        And Representative Cuellar has brought up some very valid
    issues about the expenditures being made, and so have you.
        Ms. Jackson Lee. And I did not let you answer, so let me
    just say that I am asking for an investigation, and the
    chairman has said that you will do some. So sorry.
        So I do believe, and then the reason why I am going on, on
    that point, is because if we look at whether there's production
    costs and the production cost is 90 percent, then I would say
    to Mr. Winston, I know you could get people interviewed on your
    stations that would have people running to be registered, to be
    part of the Census, as opposed to some production media that
    comes and you have to play.
        So let me ask this question, Mr. Bakewell. You are saying
    you have how many, 200?
        Mr. Bakewell. 200 Black publicists. Right.
        Ms. Jackson Lee. Mr. Chairman, can I put Mr. Bakewell's
    January 13, 2010--it may already be in--ask unanimous consent
    to put in the record?
        [The information referred to follows:]

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        Mr. Clay. Without objection.
        Ms. Jackson Lee. To Mr. Coleman? And then his January 15,
    2010 letter to Ms. Ennis, I believe.
        [The information referred to follows:]

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        Mr. Clay. Without objection, so ordered.
        Ms. Jackson Lee. Thank you. I have a document here that
    indicates a list of local Black newspapers, and they go up to
    152, and you said there were 200. Is this something that you
    say has been fixed? Or what is this that I am looking at?
        Mr. Bakewell. I don't know what you are looking at. As far
    as we know, that all of our newspapers, in spite of the fact
    that we recommended all of them, they are not on the buy. We
    have some that was just put on the buy today. And one of the
    things that you have to be mindful of is that when you get put
    on the buy, what does that mean? What they have done is that,
    instead of all of the newspapers running advertising
    consistently, like we recommended that you start in January,
    you take a full page ad out and you run that every week
    consistently messaging, making sure that you have the right
    kind of layout. They ran--first of all, it didn't start in
    January. It didn't start until February, and it started for--
    they gave some newspapers a 6 week run or a 4 week run, one
    full-page ad, one half-page ad, two quarter-page ads, and then
    you stop.
        Ms. Jackson Lee. Mr. Bakewell, I want to get on the record
    now. How many do you think, to your knowledge, is getting ads
    of your membership of 200?
        Mr. Bakewell. Our membership of 200, I don't think we're
    past 125.
        Ms. Jackson Lee. OK. I don't know where this came from.
    That's why this is part of the--they list 152. So you are
    saying that is inaccurate, to your knowledge?
        Mr. Bakewell. To my knowledge, we have not been confirmed
    that those are all our newspapers. There may be some papers
    that they are selecting who are not members----
        Ms. Waters. Would the gentleman yield for a minute?
        Congresswoman, I don't know what this represents, but
    there's one lame newspaper that's listed 18 times in 18
    different cities.
        Mr. Bakewell. Yes. That's Rollout. Yes.
        Ms. Waters. I want to tell you, something is wrong here.
    And so this really does have to be looked at because, you know,
    it's just so unusual. It is not something that most of us are
    aware of. And most of us are aware of the African American
    newspaper population all over the country. So when she says
    that's 152, and 18 of them are some newspaper that is supposed
    to be in 18 cities, that really has to be critiqued and looked
    at.
        Mr. Clay. We will have--the committee will ask for a full
    accounting of the buy for 18 for the rolling out publication.
        Ms. Close. If there were any way to also include the Afro-
    Caribbean media, like the Ethiopian. One of the--the DraftFCB
    person mentioned Somali. But to our knowledge, the Somali media
    of Indianapolis and the Ethiopian media, but even more
    worrisome, why would San Bernardino, Riverside, the poorest and
    fastest-growing region in our State, left out both Spanish
    Language Radio and San Bernardino Sun? That is one of the
    oldest Black newspapers in the State.
        Mr. Bakewell. I know this is not my area, and it is
    Winston's area, but I will tell you one of the things that I
    went over today just in terms of talking about how--because we
    are all focusing on, how do we get this done? We are really not
    trying to find reasons not to do this. We are trying to
    consolidate to say, how do we make this a success? In terms of
    Black radio, they are--they have told them to go into the
    markets and go into the top 20 markets and take the top two
    rated stations for those markets. Those are probably Black
    programmed but not Black-owned stations. That does not mean
    that the Black-owned stations are not reaching both with depth
    and reach the community. But they are just not focused on us in
    a way that is representative and realistic.
        Mr. Clay. Representative Jackson Lee, if you would conclude
    your questioning.
        Ms. Jackson Lee. My staff has informed me that this list
    that I'm holding in my hand, the 152, came from the Census,
    U.S. Census. And maybe we can explore this.
        Mr. Chairman, I am going to ask unanimous consent to add
    this to the record. It is not labeled. It says List of Local
    Black Newspapers Receiving 2010 Census Advertisement. So maybe
    we can have a review of what this is, because it is in conflict
    with Mr. Bakewell.
        [The information referred to follows:]

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        Mr. Clay. Without objection.
        Ms. Jackson Lee. I want to move very quickly to Mr. Winston
    just to followup--and thank you--to followup on this question
    or this point that Mr. Bakewell has made. And I was going to
    have that very point.
        It would be helpful if you could submit from your
    perspective or your list to this committee what stations you
    know to be getting, out of your organization, to be getting
    advertisement.
        You say you have how many stations, Mr. Winston?
        Mr. Winston. There's 245 radio stations.
        Ms. Jackson Lee. I'm sorry.
        Mr. Winston. 245 radio stations, 13 television stations.
        Ms. Jackson Lee. Do you have knowledge that the 245 and the
    13 are getting advertisement?
        Mr. Winston. I know that many of them are not. I do not
    have an exact count. But I have had a number of stations
    contact me saying that they were--that they either have not
    heard from the Census Bureau at all, or they have been promised
    advertising that has never arrived. And I have seen, in my
    testimony, I mentioned exactly what Mr. Bakewell was talking
    about a minute ago about they're targeting stations based upon
    Arbitron ratings. So they are taking the Black targeted
    stations, which may have nothing to do with Black ownership and
    have no connections with the Black community.
        Ms. Jackson Lee. Then I would ask you if you would do your
    own research, maybe you all have the resources. But you've got
    245 and 13 television.
        Mr. Winston. Right.
        Ms. Jackson Lee. I'd appreciate it if you could give us
    that report.
        Second, I would ask, for example, to note whether or not--
    and I use these only as examples, so I don't want the other
    universities to raise up their voices, but I use them as
    examples. WHUR, I am wondering whether they considered
    university-based stations. KTSU, Texas Sun University. I say
    that to say that's an odd component of our communities. Do they
    know that is, however, a very important part of our
    communities? And they're PBS, some of them, of course. But the
    point is they reach a population that we want to be counted.
    Would you check that for me, please?
        Mr. Winston. Sure. And WHUR is actually a commercial
    station. It is one of the NNPA member stations. So I will be
    happy to look into that as well. And I hope that you will also
    ask the Census Bureau for their record on what they say is the
    Black target stations and the Black-owned stations that they
    claim to have reached.
        Ms. Jackson Lee. And that's a very good point. I will just
    close, Mr. Chairman, by saying, Ms. Close, you have been very
    articulate.
        I just want this question to ask. Do you believe that it
    would be more effective to utilize local personalities and
    local focus and local content that would actually pierce and
    penetrate the neighborhoods throughout America that listen to
    localized programming and media?
        Mr. Bakewell.
        Mr. Bakewell. Absolutely.
        Ms. Jackson Lee. Mr. Winston.
        Mr. Winston. Absolutely.
        Ms. Jackson Lee. Ms. Close.
        Ms. Close. Absolutely.
        Ms. Jackson Lee. I yield back.
        Mr. Clay. Thank you so much, Ms. Jackson Lee. And thank you
    for your participating in the hearing.
        Let me close out by asking one question to each of you, and
    I will start with Ms. Close. Discuss for us, after seeing the
    initial photos and the ads, discuss for us the importance of
    specialized ethnic media outlets and motivating the hard-to-
    count population, and speak to the necessity of recognizing
    cultural sensitivities in crafting a message. And you can bet
    that they are monitoring these hearings. So I want to hear it
    from you, someone that's in the field.
        Ms. Close. When I was in Hoopa, which is 7\1/2\ hour drive
    from San Francisco, a very isolated part of the State, the
    bumper stickers on the cars said ``Think you can trust
    government? Ask an Indian.''
        The people who run the Two Rivers Tribune--and I mentioned
    the Indian only now because we haven't really heard from the
    American Indian. The Two Rivers Tribune publisher said that
    most of the advertising to reach American Indians was going
    into billboards, and that most people in their community don't
    really go on the freeways. And, in any case, the Redwood
    Highway doesn't have billboards. And then they showed me those
    ads, the teepee ads. And they say they were too offended to run
    them. So we said, well, if we give you $2,000, will you come up
    with our your own?
        And this is what is so ridiculous, to imply that Black
    media need to be told what to run and what to editorialize.
    These media are chomping at the bit to develop their own
    messaging. And then they came up with that wonderful: If you
    want to save your water rights, be counted. Yes.
        Mr. Clay. Let me also ask Mr. Winston, how do past Census
    buys compare with the current effort in terms of your
    membership participating in media buy? Is it the same
    experience or different?
        Mr. Winston. I was told that, in actual dollars, the
    dollars that have come down so far this year are lower than the
    2000 census. And obviously, you have 10 years of inflation to
    add into those lower dollars. So it is significantly less in
    terms of what's happened. And I don't know if that's in part,
    as I said, there are people who have been promised dollars they
    haven't even seen yet. So I think part of it is failure of
    execution and also a question of the limited budget.
        Mr. Clay. Mr. Bakewell, the same question. How does that
    compare with 2000?
        Mr. Bakewell. I don't know specifically because I was not
    in this position as Chair of the NNPA. But I can tell you, many
    of the members have said to me that last time they got more
    money and the buys were more consistent. And that's what we
    have been fighting for, as you well know.
        Ms. Jackson Lee. The contract was purchased under another--
    not purchased, but structured under another administration that
    we had a lot of input at that time. I remember--I don't know,
    Congresswoman, if you may yield, Mr. Chairman.
        I don't remember, Congresswoman Maxine Waters, but I think
    we had come together and really had an impact before they went
    out with the structure that they used. Even though we had
    undercounts, I remember specifically having outreach through
    congressional offices that made--much more that made a
    difference. Thank you for yielding.
        Mr. Bakewell. Congresswoman Waters, you asked a question,
    and I am not sure this is the specific answer, but I think it
    is. You asked the guy who was heading up, who was the head of
    the agency who got all the money, the $300-some million about
    RFPs. I think what he was sort of being very delicate about is
    that they put together a team, and the RFP that they are
    talking about was that he submitted the master agency and RFP
    for that one contract. All of those individual 12 agencies that
    he had did not submit an RFP to him. He selected them, and the
    RFP which he was telling you about was the one RFP that they
    submitted to the Census. So you were right on point and on
    track in terms of, there was a preselection of the people that
    he decided he wanted to have on his team.
        Mr. Clay. Let me close out this hearing and first thank all
    of the participants in this hearing. I believe it was
    exhaustive. I believe it was eye-opening. And I thank you for
    understanding the timeframe that we conducted this hearing in.
        Ms. Close, I am sorry about you missing your plane and
    sorry about you all being inconvenienced in this way. It was
    really unavoidable.
        Interesting issues have been raised this evening. This
    subcommittee will followup and share what we find with the
    participants of this committee--of this hearing, the whole
    issue of ethnic media, the entire issue of media bias, and we
    will move forward accordingly. And so let me thank you all.
        Mr. Bakewell. I really have to thank you. We really want to
    go on record as thanking you for the leadership. This is a most
    vital and important hearing. And, again, your leadership and
    your vision for knowing and making this an imperative hearing
    has been extraordinary to, I believe, ultimately trying to get
    to the bottom and getting a successful 2010 census count.
        Mr. Clay. Thank you, Mr. Bakewell.
        Mr. Winston. I join in Mr. Bakewell's comments.
        Mr. Clay. Thank you, Mr. Winston. And we will stay on this
    subject. And I thank all of you. The hearing is adjourned.
        [Whereupon, at 10:48 p.m., the subcommittee was adjourned.]
        [Additional information submitted for the hearing record
    follows:]

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