[Senate Hearing 115-533]
[From the U.S. Government Publishing Office]
S. Hrg. 115-533
BARANWAL, McNAMEE AND VELA NOMINATIONS
=======================================================================
HEARING
BEFORE THE
COMMITTEE ON
ENERGY AND NATURAL RESOURCES
UNITED STATES SENATE
ONE HUNDRED FIFTEENTH CONGRESS
SECOND SESSION
to
CONSIDER THE NOMINATIONS OF RITA BARANWAL TO BE AN ASSISTANT SECRETARY
OF ENERGY (NUCLEAR ENERGY), BERNARD L. McNAMEE TO BE A MEMBER OF THE
FEDERAL ENERGY REGULATORY COMMISSION, AND RAYMOND DAVID VELA TO BE
DIRECTOR OF THE NATIONAL PARK SERVICE
__________
NOVEMBER 15, 2018
__________
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
Printed for the use of the
Committee on Energy and Natural Resources
Available via the World Wide Web: http://www.govinfo.gov
______
U.S. GOVERNMENT PUBLISHING OFFICE
33-660 WASHINGTON : 2020
COMMITTEE ON ENERGY AND NATURAL RESOURCES
LISA MURKOWSKI, Alaska, Chairman
JOHN BARRASSO, Wyoming MARIA CANTWELL, Washington
JAMES E. RISCH, Idaho RON WYDEN, Oregon
MIKE LEE, Utah BERNARD SANDERS, Vermont
JEFF FLAKE, Arizona DEBBIE STABENOW, Michigan
STEVE DAINES, Montana JOE MANCHIN III, West Virginia
CORY GARDNER, Colorado MARTIN HEINRICH, New Mexico
LAMAR ALEXANDER, Tennessee MAZIE K. HIRONO, Hawaii
JOHN HOEVEN, North Dakota ANGUS S. KING, JR., Maine
BILL CASSIDY, Louisiana TAMMY DUCKWORTH, Illinois
ROB PORTMAN, Ohio CATHERINE CORTEZ MASTO, Nevada
SHELLEY MOORE CAPITO, West Virginia TINA SMITH, Minnesota
Brian Hughes, Staff Director
Kellie Donnelly, Chief Counsel
Mary Louise Wagner, Democratic Staff Director
Sam E. Fowler, Democratic Chief Counsel
C O N T E N T S
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OPENING STATEMENTS
Page
Murkowski, Hon. Lisa, Chairman and a U.S. Senator from Alaska.... 1
Cantwell, Hon. Maria, Ranking Member and a U.S. Senator from
Washington..................................................... 3
Risch, Hon. James E., a U.S. Senator from Idaho.................. 4
WITNESSES
Cruz, Hon. Ted, a U.S. Senator from Texas........................ 5
Cornyn, Hon. John, a U.S. Senator from Texas..................... 7
Baranwal, Dr. Rita, nominated to be an Assistant Secretary of
Energy
(Nuclear Energy)............................................... 8
McNamee, Bernard L., nominated to be a Member of the Federal
Energy Regulatory Commission................................... 13
Vela, Raymond David, nominated to be Director of the National
Park
Service........................................................ 18
ALPHABETICAL LISTING AND APPENDIX MATERIAL SUBMITTED
American Council of Engineering Companies, et al.:
Letter for the Record........................................ 109
Baranwal, Dr. Rita:
Opening Statement............................................ 8
Written Testimony............................................ 11
Responses to Questions for the Record........................ 55
Cantwell, Hon. Maria:
Opening Statement............................................ 3
Chesapeake Conservancy:
Letter for the Record........................................ 112
ClearPath Action:
Letter for the Record........................................ 114
Cornyn, Hon. John:
Introduction of David Vela................................... 7
(The) Corps Network:
Letter for the Record........................................ 115
Cruz, Hon. Ted:
Introduction of Bernard L. McNamee........................... 5
Kiernan, Thomas C.:
Letter for the Record........................................ 120
League of United Latin American Citizens:
Letter for the Record........................................ 121
Lewis and Clark Trust, Inc.:
Letter for the Record........................................ 122
McNamee, Bernard L.:
Opening Statement............................................ 13
Written Testimony............................................ 16
Responses to Questions for the Record........................ 62
Responses to Supplemental Questions for the Record........... 84
Murkowski, Hon. Lisa:
Opening Statement............................................ 1
National Association of Manufacturers:
Letter for the Record........................................ 123
National Association of State Park Directors:
Letter for the Record........................................ 124
National Parks Conservation Association:
Letter for the Record........................................ 125
Nuclear Energy Institute:
Letter for the Record........................................ 127
Public Employees for Environmental Responsibility (PEER):
Letter for the Record........................................ 128
Public Lands Alliance:
Letter for the Record........................................ 133
Risch, Hon. James E.:
Introduction of Dr. Rita Baranwal............................ 4
Sanders, Hon. Bernard:
Statement for the Record..................................... 136
Smith, Linda M.:
Statement for the Record..................................... 138
Teton County (WY) Board of Commissioners:
Letter for the Record........................................ 140
Timmons, Jay:
Letter for the Record........................................ 141
Vela, Raymond David:
Opening Statement............................................ 18
Written Testimony............................................ 20
Responses to Questions for the Record........................ 88
BARANWAL, McNAMEE AND VELA NOMINATIONS
----------
THURSDAY, NOVEMBER 15, 2018
U.S. Senate,
Committee on Energy and Natural Resources,
Washington, DC.
The Committee met, pursuant to notice, at 10:04 a.m. in
Room SD-366, Dirksen Senate Office Building, Hon. Lisa
Murkowski, Chairman of the Committee, presiding.
OPENING STATEMENT OF HON. LISA MURKOWSKI,
U.S. SENATOR FROM ALASKA
The Chairman. Good morning. The Committee will come to
order.
I am told that our Ranking Member is making her way through
the slush. Recognizing that we have a full hearing today, we
will proceed without her and hopefully she will be here
shortly.
Before I begin, either with my opening or certainly before
moving to our nominees this morning, I would just like to
recognize that within this Committee we have oversight of the
Forest Service, those federal agencies that are involved with
fighting our wildfires across the country, and we recognize the
incredible damage, the loss of life, just the true tragedy in
California at this time. I would just ask members to stop for
one very short moment and recognize those whose lives have been
lost, those who are in danger as they are working to protect
our people and our properties and pause for one moment for
those that are dealing with the current tragedy in California.
[A moment of silence.]
Thank you.
We are back this morning after our several-week recess for
the mid-term elections. We don't exactly know how long the lame
duck session will last, but there is still plenty of work to do
in this 115th Congress, particularly when it comes to
nominations.
Our Committee has spent a significant amount of time
processing nominations in this Congress, and we are here today
to consider three more: Dr. Rita Baranwal to be the Assistant
Secretary of Energy for Nuclear Energy, Mr. Bernard McNamee to
be a Commissioner on the Federal Energy Regulatory Commission
and Mr. Raymond David Vela to be Director of the National Park
Service.
I first want to speak to Dr. Baranwal. The position she has
been nominated for is tasked with overseeing our nation's
nuclear innovation and ensuring the long-term viability of our
domestic nuclear industry. Should she be confirmed, she will
have the opportunity to help shape the future of nuclear
energy--not just here in the United States, but globally as
well.
She currently serves as the Director of the Gateway
Accelerated Innovation in Nuclear program, known as ``GAIN,''
at the Idaho National Lab (INL). I am certainly interested to
know how her work has positioned her to reassert the United
States as a world leader in advanced nuclear technology, which
is one of my key priorities.
Mr. McNamee is back before the Committee. He has been here
three times now, although this will be his first time as a
nominee. He previously appeared in a policy capacity for the
Department of Energy, and I am sure that he will face a number
of questions about the Administration's efforts to provide
economic relief to struggling coal and nuclear plants.
As we discussed when we met before the recess, the Federal
Energy Regulatory Commission (FERC) is an independent agency
and must continue to function as such. The Commission's orders
are never contingent on the Department of Energy's policy
decisions, and in the meeting that I had with Mr. McNamee, I
stressed the importance of maintaining FERC's autonomy and
commitment to taking an independent role at FERC.
So I will note, when it comes to Mr. McNamee's nomination
here, this is not the first time that we have had a nominee
with policy experience at the federal and state levels. In
fact, in this Congress alone, as we sought to establish a full
quorum at FERC, we have confirmed two former Senate staff to
the Commission: Neil Chatterjee, who previously served as the
Majority Leader's Energy Policy Advisor, and Rich Glick, a
former Senior Counsel for Senator Cantwell here on the
Committee.
Our final nominee this morning, Mr. Vela, has been
nominated to be the Director of the National Park Service. He
would oversee some our greatest national treasures. In order to
ensure that our parks are here for future generations, we must
balance our ability to enjoy and explore them with our
responsibility to keep and maintain them. If he is confirmed,
he will be responsible for leading the way in finding that
balance. It is also expected that he would take on a wide range
of issues facing the Park Service, from sexual harassment to
the deferred maintenance backlog. I think it is significant to
note that he would be the first Hispanic American confirmed to
this position.
I would like to thank all those who have been nominated for
their willingness to serve our country.
If members have additional questions after the hearing
concludes today for the record, we will close that out at the
end of the business hours today.
If these nominees prove qualified and have the requisite
support, my plan is to report them to the full Senate shortly
after Thanksgiving. I hope they can be confirmed, along with
the seven nominees that we already have pending on the
calendar, before we adjourn for the year.
I really do not want to see all the good effort that this
Committee has put into advancing these nominees fall by the
wayside. We need to do that, but also these agencies need these
folks in place. They need to have the leadership teams. I also
recognize that these nominees have basically put their lives on
hold during this process, so they deserve some certainty as
well. I would ask that you all work with me to clear the
nominations in Energy's jurisdiction before the end of the
year.
I will now turn to Senator Cantwell. After she has
concluded her opening remarks, Senator Risch has asked to
introduce Dr. Baranwal. Senator Cruz is with us this morning.
We welcome you to the Committee. He will be here to introduce
Mr. Vela, excuse me, Mr. McNamee. Senator Cornyn will be with
us in just a moment to introduce Mr. Vela.
Senator Cantwell.
STATEMENT OF HON. MARIA CANTWELL,
U.S. SENATOR FROM WASHINGTON
Senator Cantwell. Thank you, Madam Chair.
I join you in extending a warm welcome to all the nominees
and to their families. This hearing brings together three very
different offices in keeping with this Committee's broad
jurisdiction. Each of these face its own set of challenges.
The National Park Service has been without a confirmed
director for nearly two years. I am very pleased that the
President has finally nominated someone for this important
position. I am especially pleased that he has nominated someone
who has come up through the Park Service ranks. Mr. Vela has
been a park ranger, a park superintendent, and he should
understand the problems that face our parks firsthand.
For too long we have underfunded our parks, and the
resources we have devoted to maintaining and staffing our parks
have not kept pace with park visitation. So I am counting on
Mr. Vela to understand the importance of our parks to the
American people and to our economy. I am counting on him, if
confirmed, to be an effective spokesperson and advocate for our
park system.
If Mr. Vela's job is to preserve our parks and historic
sites, Dr. Baranwal's will be to contend for the future.
Whether one is for or against nuclear power, there is no
question that nuclear power has played a very important role in
our energy security for the past half a century or more.
As the current generation of nuclear power plants come to
the end of its useful life, we will need to develop the next
generation of nuclear technologies. The next generation must be
safer and more proliferation-resistant and more economically
competitive than today's nuclear power plants.
At the same time, we must develop the workforce we will
need to design, build and operate these plants. And we need to
find ways to work constructively with other nations where these
plants will be built to ensure that these technologies are used
safely for peaceful purposes. Here again, I am pleased that we
have a nominee with experience in this field.
The one statutory qualification for appointment to the
Federal Energy Regulatory Commission is that the nominee be
specially qualified to assess fairly the needs and concerns of
all interests affected by the federal energy policy. Today I
will be listening for assurances that Mr. McNamee meets that
test.
Like many of our colleagues here, I have been troubled by
this Administration's persistent efforts to try to interfere
with our electricity markets in order to subsidize high-cost
coal generation at the expense of our ratepayers. Whether
fairly or not, Mr. McNamee's name has been associated with
those efforts, so I look forward to hearing from him this
morning on these views and on this important matter. I will be
interested in hearing how he will reconcile previous
involvement in Secretary Perry's efforts in the need to be
impartial for the matters that FERC will address.
I will also be interested in hearing how Mr. McNamee's
views on FERC obligations to ensure that electricity rates are
just and reasonable and markets are competitive and how he
thinks the Commission can do that if subsidies for
uncompetitive coal are somehow mandated.
So again, Madam Chair, thank you so much.
I do want to say my condolences to Dr. Baranwal for your
loss of your father earlier this week. Our thoughts and prayers
are with you and your family and thank you for being here today
and continuing with your efforts in the nomination of your
post.
The Chairman. Thank you, Senator Cantwell.
We will now turn to introductions.
Senator Risch has asked to go very briefly to introduce Dr.
Baranwal as he has to rush out of here. Then we will turn to
you, Senator Cruz, and hopefully by that time, Senator Cornyn
will join us.
STATEMENT OF HON. JAMES E. RISCH,
U.S. SENATOR FROM IDAHO
Senator Risch. Well, thank you very much, Madam Chairman.
It is my distinct privilege and honor this morning to
introduce Dr. Rita Baranwal. As is noted, we all join in
expressing our condolences. You are soldiering on here with us
and we understand that these are circumstances you wish things
were different--but our condolences, the Senate Family's
condolences.
She has been nominated to be Assistant Secretary for
Nuclear Energy at the Department of Energy.
I am also pleased to recognize Rita's family. Is Peter
here? There's Peter, okay, and her two children Sanjay and
Amiya. What a pretty name, Amiya, that is. Thank you so much
for joining us.
My home state, Idaho, is fortunate to host the Idaho
National Laboratory. It is our nation's flagship nuclear energy
laboratory, the birthplace of nuclear energy in America and,
indeed, in the world. The INL has a rich history dating from
the dawn of commercial nuclear power and the launching of the
nuclear navy, and this work continues today.
The INL is the leading partner with the Department of
Energy's Gateway for Accelerated Innovation in Nuclear, also
known as GAIN. That initiative is currently headed by Dr.
Baranwal as its Director. As Director of the GAIN initiative,
Dr. Baranwal is hoping to bridge the gap between innovators in
the private sector and the world class research capabilities of
our national laboratories, thereby accelerating new, innovative
nuclear energy technologies toward market readiness.
Prior to leading the GAIN initiative, Dr. Baranwal spent
more than 20 years working in the nuclear industry, including
nearly
a decade at Westinghouse in their Nuclear Fuel Division. Dr.
Baranwal encountered the nuclear industry working for the
Bettis Atomic Power Laboratory after completing graduate
school. While developing advanced nuclear fuel for the U.S.
Navy, Dr. Baranwal discovered and appreciated the nuclear
energy initiatives in America today. At Westinghouse, Dr.
Baranwal led numerous R&D programs including examining nuclear
fuel and fuel rods. Dr. Baranwal received her Master's and
Doctorate in Material Science and Engineering from the
University of Michigan and her Bachelor's in the same
discipline from Massachusetts Institute of Technology (MIT).
In light of her extensive qualifications, I look forward to
working with this Committee to bring her nomination to the
Senate floor as soon as possible. Rita, we all look forward to
hearing your testimony today.
Thank you, Madam Chairman.
The Chairman. Thank you, Senator Risch.
Senator Cruz, we welcome you before the Committee and are
pleased that you are able to provide introductions this
morning.
STATEMENT OF HON. TED CRUZ,
U.S. SENATOR FROM TEXAS
Senator Cruz. Thank you, Madam Chairman. Thank you, members
of the Committee.
It's a pleasure to join you this morning and I'm
particularly happy to have the opportunity to introduce to you,
Bernie McNamee. He has been nominated, as you know, by the
President to be a Commissioner on the Federal Energy Regulatory
Commission and I think he'll prove to be an excellent addition
to the FERC.
Bernie joined my Senate staff as an Energy Advisor and as a
Counsel in July 2013 which, I think, was just weeks after we
had moved out of the basement office they put us in as Freshman
Senators. So his timing was impeccable to arrive to actually
get an office where there was room for him. Bernie's intellect
and his work ethic soon led for him to be promoted to becoming
the Senior Domestic Policy Advisor in the office and that was a
position he held until he moved back to Texas in December 2014.
While he was working in our office, his work was critical
in developing legislation I introduced, the American Energy
Renaissance Act, which was designed to be a comprehensive bill
focusing on unleashing the great energy resources of this
nation and helping spur our economy and create jobs.
Bernie's policy advice was particularly useful because it
was also informed by his practical experience of having been an
energy lawyer before. Before he joined my staff, he was a
partner with a major law firm of McGuireWoods in Richmond,
Virginia, where he represented electric and natural gas
utilities before state public utility commissions.
Bernie has been recognized by Virginia Business Magazine
as, ``One of the legal elite for legislative, regulatory and
administrative law'' in the years 2008 and 2012, and he has
been named one of the Best Lawyers in America for Energy Law by
Woodward White Incorporated from 2010 to 2013.
Bernie's approach was consistently thoughtful, and he would
examine issues from all angles. One aspect of his character
that I always appreciated was his concern for the younger
members of the staff. He was always willing to help guide and
mentor them and take time to help them think through
complicated and challenging issues.
In addition to having worked in the United States Senate,
Bernie served in leadership positions for four attorneys
general in two different states, in Virginia and Texas. And in
addition, he was a policy advisor to a Virginia governor.
Bernie currently works at the U.S. Department of Energy
where his positions have included Deputy General Counsel for
Energy Policy and Executive Director of the Office of Policy
and he currently serves as a Senior Advisor in the Office of
Science.
Finally, I'll say Bernie is just fundamentally a good guy.
He's someone who, when you work with him, he thinks carefully,
he thinks diligently, he's smart, he's principled, he's
earnest. He cares about these policy issues. He cares about
understanding them. He cares about hearing from different
stakeholders and understanding how a particular policy issue is
going to impact all of the stakeholders.
And he's got a good heart. He values public service. He has
had a lucrative career in private practice, and yet he has
demonstrated being a repeated recidivist, leaving that career
to go back to public service over and over and over again. And
it's because he genuinely cares about helping implement policy
that will benefit the American people.
I would note in the opening remarks there was reference
made to consumers and consumers wanting low prices in energy.
And I will say Bernie is someone who appreciates, and
appreciates passionately, the importance of competition for
lowering prices and for benefiting consumers.
And so, I'm pleased to tell you, from my experience working
alongside him, that I have every confidence that Bernie will
make an exceptional commissioner at FERC and I encourage this
Committee to confirm him.
The Chairman. Senator Cruz, thank you very much. I
appreciate you being here this morning and providing that very
generous introduction.
Senator Cornyn has not yet joined us----
Senator King. We don't get a chance to cross-examine
Senator Cruz?
[Laughter.]
The Chairman. We would love to have that opportunity,
Senator King.
[Laughter.]
The Chairman. We would like to invite up each of the
nominees at this time, and we will proceed with swearing you
each in. If Senator Cornyn has not joined us at that time he
may have an opportunity to provide his comments from the dais
later. But in the interest of time and our opportunity to have
sufficient opportunity to ask and answer questions, we will
proceed.
The rules of the Committee which apply to all nominees
require that they be sworn in in connection with their
testimony. So I would ask you each to raise your right hand.
Do you solemnly swear that the testimony you are about to
give to the Senate Committee on Energy and Natural Resources
shall be the truth, the whole truth and nothing but the truth?
[All nominees respond, I do.]
You may go ahead and be seated.
Before you begin your statements, I will ask you three
questions addressed to each nominee who appears before this
Committee.
The first, will you be able to appear before this Committee
and other Congressional committees to represent departmental
positions and respond to issues of concern to the Congress?
[All nominees respond, yes.]
Are you aware of any personal holdings, investments or
interests that could constitute a conflict or create an
appearance of such a conflict should you be confirmed and
assume the office to which you have been nominated by the
President?
[All nominees respond, no.]
Are you involved or do you have any assets held in blind
trusts?
[All nominees respond, no.]
Okay, with that, let us pause one moment as we invite
Senator Cornyn to come forward.
[Laughter.]
Senator Cornyn, if you want to join us just at the dais
here, that might be easier and your timing is impeccable this
morning.
Senator Cornyn. [Off mic]
The Chairman. We appreciate the fact that you have come
this morning. We just concluded the introductions of Dr.
Baranwal and an introduction of Mr. McNamee and all three
witnesses have now been sworn in and we welcome your
introduction of Mr. Vela.
STATEMENT OF HON. JOHN CORNYN,
U.S. SENATOR FROM TEXAS
Senator Cornyn. Thank you very much, Madam Chairman and
Ranking Member Cantwell.
It is a pleasure to be here on this historic occasion--and
I will speak more to that in just a moment--to introduce my
fellow Texan, David Vela, to be the next Director of the
National Park Service, and thanks for giving me an opportunity
to say a few words.
David grew up in Wharton, Texas, which, for those of you
who are familiar with our geography know that's about 60 miles
southwest of Houston, and he realized the importance of our
national parks at a young age.
Those who have spent some time in Texas know that it is
home to 14 areas managed by the National Park Service,
including the Guadalupe Mountains and Big Ben National Park,
famous for its 1,500-foot cliffs.
In pursuit of his passion, David became an Aggie, went to
Texas A&M where he received a Bachelor of Science degree in
Recreation and Parks. Now, after having served more than 28
years in the National Park Service, David understands, more
than most, the importance of protecting and maintaining our
natural resources for generations to come.
David began his service with the National Park Service in
my hometown of San Antonio with the San Antonio Missions
National Historic Park. Since then he has held numerous
postings with the Park Service across the country, including
Director of the Southeast Region, notably governing the
Everglades in Florida and scenic trails through the Appalachian
Mountains.
Currently, David serves as the Superintendent of Grand
Teton National Park in Wyoming and the John D. Rockefeller
Junior Memorial Parkway. His understanding of the inner
workings of the Park Service make him uniquely qualified to
oversee our park system. I have no doubt, based not only on
what I have learned about David, but from what his friends and
colleagues have told me, that he is the right person for this
important job.
He also--and this is the historic part--in addition to his
tremendous qualifications, he is the first Latino ever to be
nominated for the Director of the National Park Service. His
extensive expertise and dedication to public service have
prepared him to confront the many challenges and there are many
challenges confronting our National Park Service.
So thank you for giving me a chance to say a few words on
his behalf and introduce him here today. And I hope all of you
will vote by acclimation for his nomination.
Thank you so much.
The Chairman. Thank you, Senator Cornyn. We appreciate that
you have taken time out of your schedule to be here before the
Committee and present Mr. Vela to the Committee.
We appreciate that.
With that, let us begin with opening statements.
I ask that you try to keep your statements around five
minutes. Your full statements will be included as part of the
Committee record. We certainly invite you to introduce your
family members.
Dr. Baranwal, I know that Senator Risch has introduced
yours, but again, please take that time because we know that
you cannot do the job that the President has nominated you to
do unless you have the full support of those friends, those
families that back you up.
So, Dr. Baranwal, welcome to the Committee and please
proceed.
STATEMENT OF DR. RITA BARANWAL, NOMINATED TO BE AN ASSISTANT
SECRETARY OF ENERGY (NUCLEAR ENERGY)
Dr. Baranwal. Good morning Chairman Murkowski and Ranking
Member Cantwell and members and staff of the Committee. It is
truly my honor to appear before you today as President Trump's
nominee for Assistant Secretary for Nuclear Energy at the
United States Department of Energy.
I would like to begin my statement by expressing my
gratitude to the President and to Secretary Rick Perry for this
nomination. I am truly humbled by the confidence that they have
placed in me.
I've had the honor of collaborating with numerous talented
individuals throughout my career as a materials engineer and as
a leader in the nuclear industry. There are many colleagues,
friends and family members whose mentorship and faith in my
abilities have contributed to my career path to make my sitting
before you today possible.
I want to especially thank and recognize my husband, Peter,
for his relentless support and understanding. He is here today
with our children, Sanjay and Amiya, who are missing school for
this real-life civics lesson.
Madam Chairman, with your approval, I'd like to reintroduce
them to the Committee.
The Chairman. Welcome----
Dr. Baranwal. I would also like to thank my sister, Seema,
who has always been my cheerleader in my pursuit of a career in
an industry that hasn't been typical for women or for Indian-
Americans.
And lastly, I wouldn't be here without the support and love
of my parents, Krishna and Arti, excuse me, who immigrated to
America before I was born. They raised me to appreciate diverse
cultures and to be diligent and inquisitive. They taught me,
when faced with an issue, to focus on the ``what and the why?''
first, and then to worry about the ``how?'' That is a lesson
that has served me very well throughout my life.
Chairman Murkowski and members of the Committee, as I seek
your approval for appointment to this office, I would like to
share a few thoughts about my background and experiences that I
believe would qualify me for this position.
I graduated from Massachusetts Institute of Technology with
a degree in Materials Science and Engineering. Upon winning a
National Physical Science Consortium Fellowship, I went on to
the University of Michigan to earn my Master's and Doctorate in
the same discipline. There, I developed nanopowders, before
``nano'' was even a buzzword.
My first job after graduate school was my introduction to
the nuclear industry. I leveraged my thesis work to develop
advanced nuclear fuel for the United States Navy's nuclear
fleet while working at Bettis Atomic Power Laboratory.
During this time, I had the good fortune of visiting
Newport News Shipyard while the USS Ronald Reagan was being
constructed. And as I stood in the cavity of the reactor
compartment, looking several stories up, the impact of my work
overwhelmed me. I realized that the material that I was
researching could soon be used to propel this enormous aircraft
carrier. That moment was absolutely pivotal to my career. It
was then that I truly appreciated the magnitude of the energy
density that nuclear power provides and the role that it plays
in enhancing our nation's national security.
While nuclear energy reliably produces 20 percent of our
electricity, and is a clean, secure baseload source, it also
powers ships and submarines to defend U.S. interests around the
world.
I have spent more than 20 years in the nuclear industry,
including nearly a decade at Westinghouse in the Nuclear Fuel
Division, leading numerous research and development programs
and fostering relationships with dozens of utility customers.
That experience led me to my current role as Director of GAIN,
the Gateway for Accelerated Innovation in Nuclear, a DOE
initiative.
In this role, I created private-public partnerships to help
advance advanced nuclear technology developers and help them
commercialize their technologies faster and more cost-
effectively by leveraging the capabilities of the United States
National Laboratory complex. Since 2016, GAIN has positively
impacted 112 companies.
Advanced nuclear technologies provide an opportunity for
the United States to meet future electricity demands while
benefiting our economy, environment and national security. The
United States invented nuclear technologies for peaceful uses
and we are the world's largest producer, accounting for more
than 30 percent of worldwide generation of nuclear electricity.
The U.S. remains in a position of strength, but that future
is not guaranteed. Thanks to my experiences, I also have a deep
appreciation of the challenges and the needs of this sector.
Today, America is in the midst of a period of incredible
energy progress, and the nuclear sector enjoys bipartisan
support as demonstrated by the recently enacted Nuclear Energy
Innovation Capabilities Act, NEICA.
Should I be confirmed, I will draw upon my previous public
and private sector experiences in the nuclear energy industry
to execute the Office's mission of advancing nuclear power to
meet the nation's energy, environmental and national security
needs.
Chairman Murkowski, Ranking Member Cantwell, members of the
Committee, thank you again for this opportunity to appear
before you as the President's nominee to be Assistant Secretary
for Nuclear Energy at the Department of Energy. I commit to
working with the Committee and to be responsive to requests to
testify, meet with Committee members and share information.
Thank you very much for your time today. I look forward to
answering your questions as you consider my nomination.
[The prepared statement of Dr. Baranwal follows:]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
The Chairman. Thank you, Dr. Baranwal. Thank you for
outlining your very extensive background within the nuclear
sector. I appreciate that expertise, and know that we all
express our condolences for your personal loss.
Mr. McNamee, welcome to the Committee.
STATEMENT OF BERNARD L. McNAMEE, NOMINATED TO BE A MEMBER OF
THE FEDERAL ENERGY REGULATORY COMMISSION
Mr. McNamee. Thank you, Madam Chairman----
[Protester interrupts.]
The Chairman. The Committee will come to order.
[Protester continues.]
Mr. McNamee, if you will proceed.
Mr. McNamee. Chairman Murkowski, Ranking Member Cantwell
and members of the Committee, thank you for giving me another
opportunity to appear before all of you.
I also want to say thank you to Senator Cruz for that kind
introduction that he gave to me.
I also want to say before beginning my formal remarks, I
would like to introduce my family. My wife, who is my dearest
friend, my son, of whom I'm so proud. Not here are my mother
and father, sorry, who have supported me with unconditional
love and support. Also, my sister who is also my dear friend.
I also want to say thank you to the President for having
nominated me to this position and to Secretary Perry and all of
my colleagues at the Department of Energy who have just
supported me with their friendship and have always been kind to
me.
These are exciting times to be in the energy sector. We are
in the midst of the great American Energy Renaissance, one that
has created and is supporting millions of good-paying jobs for
American workers. It has lowered energy costs for families and
for businesses and has broken America's dependence on foreign
energy supplies. We have also seen the development of new
technologies and grid innovations, and they are transforming
the way we generate and use electricity.
As an independent agency, FERC plays a vital role in the
United States energy sector by implementing Congressional
policy to help ensure that Americans have access to abundant
and affordable energy, things I know that are very important to
this Committee.
FERC's regulation of the wholesale electric markets and
bulk power system, the interstate gas pipelines, oil pipelines,
help ensure that rates are just, reasonable and not unduly
discriminatory.
FERC facilitates the building of new energy infrastructure
by permitting LNG facilities, gas pipelines and licensing non-
federal hydro facilities. It protects the grid through
reliability standards. And importantly, FERC oversaw the
development of competitive electricity markets, which has been
one of the great economic success stories of this country. In
short, FERC plays a vital role, along with the states and the
private industry, in powering America. If confirmed, I would be
committed to seeing that this success continues.
To that end, I think that markets are the best way to
allocate resources and set prices and, if confirmed, I'm
committed to continuing FERC's independence in its decision-
making.
There are also challenges. In particular, there is a
growing recognition that the energy grid and energy supply
chains are vulnerable to physical and cyberattacks. I know
these are issues also important to the Committee. I know that
they're also, through these issues, that there's going to take
a lot of work from different agencies and different people. And
I pledge to work, not only with my fellow commissioners but
with the other agencies and this Committee and Congress as a
whole, to try and figure out how are we going to address these.
As FERC confronts so many issues involving the electric
grid, the pipelines and ratemaking, I believe my experience as
a lawyer and a policy advisor will help me assist FERC in its
mission and its duties.
As an energy lawyer for almost nine years at McGuireWoods
in Richmond, Virginia, I represented various energy clients in
electric and natural gas issues. My cases included construction
of solar facilities in Virginia, a 1,300-megawatt natural gas
combined-cycle facility, conversion of three coal plants to
natural gas, approval of renewable portfolio standards,
integrated resource planning, rate cases and energy efficiency
programs. I've not only just talked about fuel diversity, I've
also worked on ``all-of-the-above'' and, in short, the work
I've done has helped make these issues a reality and I know
these are things that are important for the nation.
In addition to my experience as a lawyer, I've also had the
honor of working as a policy issues, energy policy issues at
the Department of Energy, in Congress when I was working for
Senator Cruz and also at a think tank at the Texas Public
Policy Foundation.
I also understand the important perspective of the states
in our federal energy system, especially on energy issues,
through my roles with four state attorney generals and in
representing the electric and natural gas utilities before
state public utility commissions.
If confirmed, I commit that I will be a fair, objective and
impartial arbiter in the cases and issues that would confront
me as a Commissioner. My decisions will be based on the laws
and the fact, not politics.
And I don't just say this just because I'm trying to get
your vote, it's something I believe because I think that the
rule of law depends on the fact that people who are in the
position of making decisions, that they listen and they hear
what people say and they consider it.
I've been so fortunate in my career as a lawyer to be
before independent tribunals where people may have been
appointed by legislators, they may have been a Republican or
Democrat, but I knew they listened. They paid attention to the
issues and they were able to separate out what their past lives
were and they were going to make the decisions based on what
the law was and what the facts were. And I pledge to you, I
will do my best to do the same.
FERC has a central role in ensuring that America has the
energy necessary to continue its future prosperity. And, should
I be confirmed, I look forward to doing my part to help FERC in
its mission on behalf of the American people.
Once again, I am honored and humbled to have been nominated
for this position and I hope to gain your support, and I look
forward to your questions.
Thank you.
[The prepared statement of Mr. McNamee follows:]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
The Chairman. Thank you, Mr. McNamee, we appreciate that.
Let's now turn to Mr. Vela.
Welcome to the Committee.
STATEMENT OF RAYMOND DAVID VELA, NOMINATED TO BE DIRECTOR OF
THE NATIONAL PARK SERVICE
Mr. Vela. Thank you, Chairman Murkowski, Ranking Member
Cantwell and distinguished members of the Committee. I'm
honored to have half of Texas behind me and members from
Jackson Hole.
My wife, Melissa, our daughter, Christina, our son,
Anthony, daughter-in-law, Amelia, and Uncle Paul, Aunt Jenny,
Cousin Bianca and dear friends----
[Laughter.]
The Chairman. Wow, that is impressive.
Mr. Vela. ----from Texas and Jackson Hole. I'm deeply
humbled that they're here today and thank you for that
opportunity to recognize them.
I am also deeply humbled and honored to be before you today
as President Trump's nominee to serve as the 19th Director of
the National Park Service. I want to thank Secretary Zinke for
his confidence and support in me for this position.
In addition, I greatly value and appreciate the
introduction from the distinguished Senator from Texas, Senator
John Cornyn.
As the oldest grandchild of a sharecropper, my journey
through the National Park Service began on a trip to
Yellowstone National Park while a young teenager from our rural
home in Wharton, Texas. My parents decided one day to take a
trip with my younger brother Michael, sister Judy and I, and it
proved to be a journey of a lifetime.
My dad, Raymond, who is a proud Navy veteran, and my
mother, Mercedes, who are watching these proceedings today from
Texas, raised their three children with a strong foundation and
appreciation of faith, family and country.
On that first-ever trip to Yellowstone, we stopped at Grand
Teton National Park. Our eyes could not fully absorb all that
we were seeing: iconic landscapes, wildlife and the first-ever
sighting of a National Park Ranger. The image of that National
Park Ranger truly caught my eye, and I began to think of how
special it must be to work in a national park. Upon arriving
home from Yellowstone, I devoured every article that our
assistant high school librarian, Ms. Betty Bergstrom, could
find.
After graduating from Texas A&M University with a Bachelor
of Science Degree in Recreation and Parks, my journey as a
permanent employee of the National Park Service was finally
realized when I became a permanent employee at San Antonio
Missions National Historical Park.
Accompanying me through this entire journey is my
kindergarten classmate, high school sweetheart, and bride of
over 38 years, Melissa. I'm truly blessed that Melissa said
``yes'' and supported our many moves across this great country.
We raised two children in the national parks, Christina and
Anthony, who like their parents, are also graduates of Texas
A&M University. We're so proud of our children as Christina
works in the field of education while Anthony serves as a Chief
Ranger in one of our park units in Florida. Anthony met his
wife Amelia while they were working in Grand Teton National
Park, and Amelia is also a National Park Service employee.
Melissa and I are so blessed to have six grandchildren. They
are with us here today, ranging in ages from 11 years to 9
months. We are also pleased to have members of our family,
friends, and colleagues who are also here today.
Over the course of nearly 29 years in the National Park
Service, I have held nearly every leadership position in the
agency. From serving as a frontline ranger, supervisory park
ranger, superintendent at four different park units, regional
director of 66 units in the southeastern United States and the
Caribbean to associate director in headquarters. Today, I serve
as Superintendent of the very national park that changed my
life.
As a result of these experiences, I've had the honor of
working with a very passionate and dedicated workforce, the
pride of the National Park Service. I'm so very proud of our
permanent, seasonal and volunteer workforce. Yet, we as an
agency have fallen short in treating them with the dignity and
respect that they truly deserve. The scourge of sexual and
workplace harassment in society and in the National Park
Service must stop. Great strides have been made within the
agency, but there's more to be done. If confirmed, I will
continue to hold people and processes accountable to ensure
that we achieve our workplace and workforce interests.
Since his confirmation, Secretary Zinke has been discussing
and tackling the Department's deferred maintenance backlog, as
it has been one of his top priorities. The National Park
Service has the largest share at $11.6 billion.
I applaud the Administration and the Congress in pursuing a
funding and mitigation strategy designed to address the network
of roads, restrooms, water treatment systems, housing and
visitor centers that are aging and exceeding capacity. Many of
these facilities have a direct impact on the visitor experience
and, should this bill pass and should I be confirmed, I look
forward to rebuilding our national treasures so they remain the
envy of the world.
As we embark upon a second century of service, we must make
ourselves relevant to current and future generations while
building a diverse population of conservation stewards and
workforce. From tackling the effects of climate change to
addressing the visitor experience, future generations will be
impacted by the decisions and actions that we take today. With
this in mind, I would like to acknowledge the students and
faculty of Wharton County Junior College and Texas A&M
University who are watching this hearing today.
As the first Latino in the over 102-year history of the
National Park Service to be nominated as Director, I am
reminded of the lessons taught to me by a sharecropper: be
humble, maintain a strong moral and ethical compass and pursue
causes greater than myself.
Chairman Murkowski, Ranking Member Cantwell, and
distinguished members of the Committee, if confirmed, I eagerly
look forward to working with you in protecting what has been
called ``America's Best Idea,'' our nation's national parks.
It is my pleasure to answer any questions that you may
have.
[The prepared statement of Mr. Vela follows:]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
The Chairman. Thank you, Mr. Vela, and thank you to your
family. You truly have a family history of service to our
national parks and that is most appreciated. We welcome all of
you. We welcome all of the families.
We have many members here today, so we will move quickly
into questions.
Mr. McNamee, let me begin with you and ask the question
that I have been asked repeatedly since your name came forward
in nomination. You have been supported by many, but your
nomination has also been criticized by some due to your
previous position as DOE's Director of the Office of Policy and
your purported involvement in the Administration's effort to
subsidize coal and nuclear power plants. I would like to give
you the opportunity to respond to that and also ask the
question as to whether or not you believe that your prior
policy work will unduly influence your decision-making as a
Commissioner at the FERC.
Mr. McNamee. Thank you, Chairman.
I think I can, I know I can honestly say that I will be an
independent arbiter if the issues come before me at FERC. I
think it's important to look at the law and the facts and then
make those decisions based on that.
So I mentioned in my introduction, I've had the benefit of
being before Commissioners at the state level and knowing that
they always listened. They looked at the facts, the law, and
they made the hard decision but the most important thing is
they listened and they thought. And sometimes you won,
sometimes you lost, but you were always confident that they
were paying attention and that was very important.
And as you mentioned, the concern out there is when I was
part of the Department of Energy's, the Deputy General Counsel
for the Department, my role was working on the Section 403 NOPR
that was proposed by Secretary Perry to FERC. That was a
proposed rulemaking in order to address what he perceived as
the problems and challenges of the retirements of a number of
``fuel-secure resources.''
That proposal went over to FERC, and FERC considered it and
FERC made a decision. They decided that the proposal, as set
forth, that a combination--that the record wasn't sufficient
and that it did not meet their standards for being able to act
under Section 205 or 206. And what they did is they rejected
the proposal. But what they also did is that they also opened
up a new docket in order to consider the issues that were
proposed in there and it's currently open.
So my role was primarily as the lawyer and as I've talked
throughout in my introduction, I've had a number of roles as a
lawyer and I've been fortunate enough to represent and to work
on a number of important issues in the energy issue.
The Chairman. I appreciate that response.
Mr. Vela, let me ask you. We had an opportunity yesterday
to discuss some of the workforce issues, the workplace issues
and what the Park Service has encountered over a period of
years and this is, unfortunately, a long-term pattern of sexual
harassment and a hostile work environment. This has been
substantiated in numerous IG reports.
This is really a dark cloud over our National Park Service.
You clearly are proud of the men and women that you work with,
that you have an opportunity to supervise, but you are going to
be in that position where you have an opportunity to change the
culture within the National Park Service--and I think we both
agree that the culture must be changed.
You mentioned accountability in your opening statement, but
if you can, detail to the Committee what you view this long-
term plan to fundamentally change the culture within the
National Park Service when it comes to the workplace and
workforce issues.
Mr. Vela. Absolutely, Chair Murkowski, and thank you for
your time yesterday. I enjoyed our visit.
We have a responsibility and an obligation to make sure
that all of our employees--permanent, seasonal, volunteer--have
a workplace that treats them with the dignity and respect that
they deserve. And I, if confirmed, would look forward to
carrying out some further developments that the agency has been
able to put into place that provide additional assets, if you
will, to help us to address that.
I think we're in a better place now to know what has taken
place throughout the service. We have better reporting
requirements. We have survey instruments. We've added
additional subject matter expertise to help guide individuals
who are making allegations through the process. We have more
defined processes.
But the thing that I want to make sure, if confirmed, is
that we have accountability, accountability throughout the
entire chain of command. It starts with the Director. The
Director sets the tone. He or she sets the dynamics, if you
will, to ensure that we do get that accountability.
So I would look forward, Chairman Murkowski, if confirmed,
to again, take what has been done to a higher level but to make
sure that we have accountability throughout the process.
The Chairman. Thank you. We would look forward to working
with you to achieve just that.
Senator Cantwell.
Senator Cantwell. Thank you, Madam Chair. There is almost
not enough time to ask these three important nominees
questions, but I will try to go quickly. So if you could help
me with short answers, that would be great.
I am going to start with you, Mr. Vela. In 2016 you were
Superintendent of the Grand Teton and acquired 640 acres of
state land within the park for the State of Wyoming and part of
that was with the Land and Water Conservation Fund (LWCF). In
your view,
is the Land and Water Conservation Fund a good use of federal
dollars, and do you oppose zeroing out federal LWCF funding?
Mr. Vela. Land acquisition over the course of its existence
and then through LWCF has benefited directly, and Grand Teton,
Senator, was one of those benefactors.
We were also able to, with the parcel in question that
you're talking about, were able to also provide philanthropic
support which helped to achieve our interest in acquiring that
very significant property.
So over the course of LWCF, land acquisition has played and
has benefited and played a very important role in helping the
Park Service to achieve its interests.
Senator Cantwell. So you think we should fund it?
Mr. Vela. The President has included it, supports it in his
budget and has called for its reauthorization.
Senator Cantwell. Thank you.
Mr. Vela. Thank you.
Senator Cantwell. Mr. McNamee--and I would like more
opportunity, Mr. Vela, so hopefully you and I will have a
chance to meet personally.
Mr. Vela. It would be my pleasure.
Senator Cantwell. Thank you.
Mr. McNamee, on the FERC's decision to turn down the
resilient pricing proposal by the Secretary, did they do the
right thing?
Mr. McNamee. I think that clearly the Commission acted
within its authority. And I think what the Commission did is
they recognized that resiliency was an issue that deserved
further study, and that's my understanding in their order of
why they opened up a new docket on the issue.
Senator Cantwell. Do you think that you can meet the
standards of just and reasonable rates if, in fact, that
proposal went through and you actually raised prices on
individuals? Would that be within just and reasonable rates?
Mr. McNamee. I believe that FERC's examination of the issue
is still outstanding.
The issue, I think, needs to be, and what they're looking
at is, what are the attributes necessary for resilience? And as
FERC has done on a number of issues is, they've recognized that
there's issues of price formation, there were determinations
about some attributes weren't being allowed to compete and that
wasn't just and reasonable, such as fuel storage.
So I think FERC does its job of looking at what are the
right attributes that are needed for the grid, and they do a
good job of taking a hard look at the issues and trying to make
those decisions.
Senator Cantwell. So you think there could be a scenario
under which resiliency or shortage of supply would make you
believe that you should move forward on a proposal to mandate
coal or nuclear power?
Mr. McNamee. I would not go that far. I think that's
something that would have to be based on the facts presented
before them and the laws that are there.
I know that NERC has made observations about the importance
of essential reliability services, fuel assurance and
generation and that those are issues that I know that FERC is
supposedly considering as part of its resiliency docket.
Senator Cantwell. I think it would be helpful if you could
supply to the Committee information about what role you played
in the actual formation of this proposal and details about
that, but we can write some specific questions and get those to
you. If you can answer those that would be very, very helpful
about your previous role in this matter.
Dr. Baranwal, I wanted to ask you specifically, the Pacific
Northwest National Lab, one of our labs, is in the nuclear fuel
cycle. Some very important work on material recovery and waste
form development is being carried out there to improve our
understanding of the nuclear fuel cycles and advanced reactor
design, but also to enhance our waste characterization process
and capabilities at Hanford. Are you familiar with this
program?
Dr. Baranwal. I'm not familiar with that exact program, but
I am familiar, more so, with the advanced reactor work and the
advanced materials development work that is being done at
Pacific Northwest. I've been there a few times for visits to
talk with the staff that are working in those areas.
Senator Cantwell. Can you take a look at that specific
program and give me some feedback on whether you think it
should remain a priority within our system?
Dr. Baranwal. I can do that.
Senator Cantwell. Thank you.
Thank you, Madam Chair.
The Chairman. Thank you, Senator Cantwell.
Senator Alexander.
Senator Alexander. Thank you, Madam Chair.
I have the same request Senator Cantwell had--five minutes
of short answers would be helpful.
I would like to observe to begin with, Dr. Baranwal, that
for the fourth consecutive year the Congress has appropriated a
record level of funding for the Office of Science which
supports the national laboratories, including nuclear power,
and I think that goes unnoticed by many people.
Mr. Vela, let me go to you. On the Portman-Warner
legislation, which Senator King and I also strongly support, if
it doesn't succeed, how are you going to deal with the deferred
maintenance backlog of $11+ billion?
Mr. Vela. Well, thank you, Senator, for your support of the
bill and of national parks.
We have to find a way to appropriately address aging
infrastructure.
Senator Alexander. Yes, but it is four times your annual
appropriation--I mean, that amount of money is four times your
annual appropriation, right?
Mr. Vela. Yes, sir.
Senator Alexander. And your annual appropriation is used
for salaries and other purposes?
Mr. Vela. Absolutely, other operations.
Senator Alexander. How much of your annual appropriation
goes to, roughly, to maintenance, deferred maintenance?
Mr. Vela. I can't give you the specifics. I'd be happy to--
--
Senator Alexander. Well, like at the Grand Teton, what
would it be--10, 5, 15?
Mr. Vela. I can share with you that my maintenance backlog
alone in Grand Teton is around $190 million.
Senator Alexander. Yes.
Mr. Vela. Our built asset is around $1.3-$1.5 billion with
probably close to five million visitors which will be another
record-breaking year.
Senator Alexander. Yes.
Mr. Vela. So what we will continue to do, Senator, is
assess all means necessary, possible, to include philanthropic
support to help us to address our most critical needs.
Senator Alexander. To be a little bit parochial, the
Smokies, the Great Smokies, has about $220 million of
maintenance----
Mr. Vela. Right.
Senator Alexander. ----and twice as many visitors a year--
--
Mr. Vela. Yes, sir.
Senator Alexander. ----and the same sort of challenges.
Senator Portman is a former budget director but the way all
of this is constructed, I want to go back over--the maintenance
backlog at the National Park is not really debt in the way we,
I mean, it really is debt in the way we think about it.
Mr. Vela. Right.
Senator Alexander. It is not--and the money that we would
propose to use to pay the debt is real money--I mean, it is not
like other mandatory funding, sometimes we say, well, we will
borrow money so that we can pay social security. We will borrow
money so that we can pay Medicare. In this case, we are taking
real money, right, from our revenues from energy drilling on
public lands and using it to, in effect, pay down debt. Is that
right?
Mr. Vela. It's my understanding, sir, on interior lands,
interior properties.
Senator Alexander. Yes. And the program is only authorized
for five years, so it is not forever.
Mr. Vela. Right.
Senator Alexander. The other thing I would like to ask you
to confirm, if you agree that this is correct: there are other
important programs that the Federal Government has, such as the
Land and Water Conservation Fund and the Reclamation Fund, and
payments to states and other smaller funds, but under the
Portman-Warner legislation those accounts would be paid first,
if I am characterizing it correctly. Now some still have to be
appropriated.
Mr. Vela. Right.
Senator Alexander. But the money would go to those accounts
before it would go to the National Park maintenance backlog. Am
I correct in that sense?
Mr. Vela. That would be my understanding.
Senator Alexander. Yes. Let me move to Ms. Baranwal.
I noticed I still have five minutes left. I appreciate the
generosity of the Chairman on this.
[Laughter.]
This is very generous.
[Laughter.]
The Chairman. I am sorry, Senator Alexander.
Senator Alexander. Chairman.
But Ms. Baranwal----
The Chairman. The Senator's time truly has expired.
[Laughter.]
Senator Alexander. Oh, has it? Oh, it did?
The Chairman. But it was a good line of questioning so we
allowed the continuation.
Senator Alexander. Okay, it kept saying five minutes here.
But I accept the ruling of the distinguished Chairman.
Thank you, Mr. Vela.
[Laughter.]
Senator Heinrich. Mr. McNamee, in a hearing here in June I
asked each of the FERC Commissioners who were here if there is
currently an emergency requiring subsidies of coal and nuclear
plants and none of the Commissioners indicated that there was a
reliability emergency.
So I wanted to ask you, not in terms of representing the
Secretary or representing the President, but do you believe
that there is an urgent threat to the resilience and
reliability of the power grid that would justify FERC to
intervene in the bulk power markets?
Mr. McNamee. In terms of the issue of an emergency, that
power, I think, is you're referring to in our conversation
during that hearing with, Senator, Section 202c of the Federal
Power Act. The Secretary currently has not issued a 202c, and I
have no reason to second guess his determination about whether
or not there is an emergency currently. And it does not appear
at this point on a general nationwide basis that there's an
emergency.
Senator Heinrich. So that would be a no?
Mr. McNamee. It's a no----
Senator Heinrich. A qualified no.
Mr. McNamee. ----only a no that I don't have access to all
the information the Secretary does.
Senator Heinrich. When you testified here in July you cited
the President's directive to Secretary Perry to prepare
immediate steps to stop the loss of so-called ``fuel-secure
power resources'' to prevent impending retirements from
impacting the resilience of the power grid and what, I believe,
you referenced in terms of the President's view as the crisis
on the grid. What is the status today of the response to the
President's directive of June 1 to Secretary Perry?
Mr. McNamee. My understanding is that it's in the inner
governmental process. I've not been involved in that process
for the past few months.
Senator Heinrich. What was your previous role in preparing
that response up to the time that you were no longer involved?
Mr. McNamee. In terms of--I think you're referring to the
leaked memo. I was not at the Department of Energy when the
memo was drafted or leaked and when I returned to the
Department, I looked at the memo and was trying to understand
what the issues were, what the law was, but came to no final
conclusions.
Senator Heinrich. That was your only involvement then?
Mr. McNamee. That's correct, sir.
Senator Heinrich. Okay.
What legal authority does FERC have to pick and choose
generation technologies and fuels for retail power supplies?
Mr. McNamee. I don't believe that FERC's role is to pick
and choose resources. I think one of the great success stories
has been the development of the wholesale markets. I think
consumers have benefited. I think that FERC and the RTOs and
the ISOs are constantly working to make sure that the markets
function properly and they're constantly looking at, you know,
new resources and how to better make the markets function, you
know, that's why, you know, some of them develop capacity
markets, why there are special reliability, you know, essential
reliability services.
But I think that FERC's role is really--their goal is to
make sure that the markets function properly and that's really
through just and reasonable rates and making sure it's not
unduly discriminatory.
Senator Heinrich. In February, FERC finalized a rule on
energy storage participation in the wholesale markets. What is
your view of the Commission's approach there, to reducing
barriers and to allowing storage to compete on a level playing
field with those other resources in competitive markets?
Mr. McNamee. I think that storage is going to be one of the
game changers that's going to take place on the grid. Once
there is access to truly affordable utility scale storage,
you're going to really see a transformation of the grid and, to
be honest, it's kind of what makes me excited about this job is
there's two really great things that are happening: one,
there's the transition which is always a time of challenge and
danger; and then there's how do we get to the next place? And
it's not for FERC to choose, but it's to make sure that the
markets work so that those opportunities are there.
In terms of the specific rule that FERC has proposed, I
believe it's under pending review, you know, they made the
final issue and I think there's been pending rehearing, so I
don't want to comment on the specific rule itself.
Senator Heinrich. I understand.
FERC also has a pending rule on participation of aggregated
distributed energy resources in wholesale markets. I would not
ask you to comment specifically on the rule itself but would
love your views on whether or not you support the full
participation of aggregated distributed resources in
competitive wholesale markets.
Mr. McNamee. The issue of distributed energy resources is
one that, I think, that the grid is generally moving toward. I
know there's complicated issues between depending on whether
they're basically at the distribution level, whether they're
behind the meter, how they're going to interact with the
wholesale markets and there's a variety of issues where the
states and the Federal Government through FERC is going to have
to work it through.
I don't think FERC specifically should be picking and
choosing, but it should be, they should look at it just like
any other resources, just like fuel, and they should give, you
know, they should look at what are the opportunities and how do
things work, but I think----
Senator Heinrich. Just treat it like all the other
resources.
Mr. McNamee. It needs, it's a little bit more complicated
than saying here's something that just bids in because of those
complications at the state level with the distribution system
and I don't want to prejudge, kind of, what the challenges are
because I don't know.
But I do know that it is somewhere that distributed energy
resources are clearly something that are taking place on the
grid and that customers are looking for them.
Senator Heinrich. Okay, thank you.
The Chairman. Thank you, Senator Heinrich.
Senator Capito.
Senator Capito. Thank you, Madam Chair, and thank all of
you for your service to our country and future service.
Mr. Vela, I would like to ask you--thank you, first of all,
for coming to my office at the end of September to talk about
National Park Service priorities in the State of West Virginia.
As you recall, we discussed the interests of my constituents in
re-designating the New River Gorge National River as a national
park while ensuring the preservation of existing hunting and
fishing, rights that are enshrined in the federal statute as it
stands right now for the national river. Since that time, I
have introduced legislation to do just that.
So I, first of all, would like to ask you, after your
confirmation, to pledge to me two things. Number one, that you
will continue to work with me on helping us as West Virginians
to work toward a re-designation of that area. We had a great
meeting at home on this, and there is a lot of enthusiasm. So
that is my first ask.
Mr. Vela. I would look forward to doing that, if confirmed,
Senator.
And thank you also for your time and the meeting that we
had as well.
Senator Capito. And then a visit after you----
Mr. Vela. Yes, ma'am.
Senator Capito. Yes. We will do the bridge walk. We will go
over the bridge.
[Laughter.]
Mr. Vela. I look forward to it.
Senator Capito. I hope you are not afraid of heights
because it is a little--it is a wonderful thing.
Mr. Vela. Awesome.
Senator Capito. But the path forward maybe, we have some
ideas on whether we should do a national park feasibility
study----
Mr. Vela. Okay.
Senator Capito. ----because we may end up looking at, as
you described to me, a preserve-park combination bill where we
can meet the questions of all folks involved. So I look forward
to working with you on this issue.
Mr. Vela. Likewise, Senator. Thank you.
Senator Capito. Thank you.
In July we passed, unanimously, S. 1573, the American
Discovery Trail Act. This is a bipartisan Act that I worked
with Senator Coons on which would give us signage on the
American Discovery Trail in our national parks. I think there
has been some issues with getting that signage put up. It is a
source of concern I wanted to just call to your attention.
Mr. Vela. Thank you.
Senator Capito. Thank you.
Dr. Baranwal, thank you for your visit as well. I am very
proud of your accomplishments in an industry that does not have
many women, and I look forward to you serving at the DOE.
I would like to ask--we passed legislation in this
Committee, it was enacted in our Omnibus, directing the DOE to
support moonshot R&D goals in the nuclear space. You have been
in this space for quite some years. What does that mean to you?
And what are some examples of the things--we talked about some
of the innovations that we did with smaller and more advanced
nuclear. Is that one of the considerations you would put
forward?
Dr. Baranwal. Yes, thank you for the question, Senator. And
it was a pleasure to meet with you the other day.
Yeah, so a lot of the work that we have done in the nuclear
industry one might consider a moonshot a lofty type of goal to
strive toward. And certainly the smaller reactors, also known
as microreactors, that many companies are working on to develop
could be considered one of those.
The beauty of that is that we're starting to see the
application of a lot of innovative technologies from outside of
the nuclear industry and leveraging that to benefit our
industry, to help those types of moonshot goals, to make that
goal become much more of a reality.
Senator Capito. Part of our discussion was talking about
the mining industry----
Dr. Baranwal. Yes.
Senator Capito. ----and you mentioned to me that some
mining interests are, sort of, looking at some of these smaller
reactors too, since mining, in and of itself, is so energy-
intensive to use nuclear energy, maybe, as the power source to
move forward. Could you talk about that a little bit?
Dr. Baranwal. Absolutely.
So at some meetings that I've been in over the past few
months, I've been speaking to folks that are in the mining
industry, talking about how energy-intensive that industry is
and talking about the application of these smaller reactors to
help fuel, if you will, that industry so that as mining
equipment is moved around and operations are mobile, some of
these reactors are certainly looking at that type of
application and would lend themselves to that type of
application.
Senator Capito. Sounds like an interesting conversation and
something worth looking into.
Mr. McNamee, we had a hearing in EPW about cooperative
federalism and the way the states and the Federal Government
are reacting, particularly in the natural gas space. I would
like to ask you, I know that you have a history of working for
the states and for advocating for a robust tenth amendment. Can
you briefly describe your views on these issues and how do you
achieve the right balance between, if you can solve this
problem, states' rights, and national interests?
Mr. McNamee. I think that's a tension that's built into our
constitution, the tension between the states and the Federal
Government. And I think that Congress, in its wisdom, decided
when they were passing things like the Clean Water Act and
other things to encourage cooperative federalism to ensure that
the states' views on certain issues are heard and that there's
also federal policy on it.
And I think that those are things that have to be worked
out on a case-by-case basis because I think it's important that
the interests of the states are considered. I know that there
is federal policy in particular projects. And I think what's
important is that you look at what the facts are on the ground
and that you have information and that those decisions are
based on that. And I know there's many different agencies that
have to work together. I know that members of this Committee
have tried to streamline the way those decisions are made,
especially at the federal level.
Senator Capito. Thank you.
The Chairman. Thank you, Senator Capito.
Senator Wyden.
Senator Wyden. Thank you very much, Madam Chair.
Mr. McNamee, you played a key role in developing the legal
underpinning of a Trump energy bailout that was so flawed every
member of the Federal Energy Regulatory Commission rejected it.
I have been Chairman of this Committee and I haven't really
seen anything quite like that and I think I know why. It would
have benefited a handful of companies, most of them in the
northeast, while jacking up ratepayers' costs billions of
dollars.
Now the President wants to put you on the Commission that
rejected the plan you wrote. It looks to me, and I want to get
your response to this--this is not like having the fox guard
the chicken coop; this is like putting the fox inside the
chicken coop.
So my question to you is, tell the Committee why you should
be trusted to do anything differently than you did earlier if
you become Commissioner?
Mr. McNamee. As to the issue, I think, ultimately, is
whether I'd be an independent arbiter, to be able to look at
the facts and the law, make an independent choice. I have no
doubt that I can do that and that it won't be influenced by
politics. I understand the difference between my role as a
lawyer, when I worked on the Secretary's proposal under Section
403 of the DOE Organization Act, and what the role of FERC is.
Now I also recognize that FERC rejected the proposed remedy
but I also recognize that they unanimously agreed that it was
an issue that needed to be looked into further. So I can't
comment on each specifically further about what the end result
of that would be because there's so many facts. I think there's
been hundreds of comments filed and thousands of pages.
And I think that FERC has a tradition of making decisions,
not based on whether they're Republican or Democrat, though
they may by nominated as such, but making it based on working
together and trying to figure out what's the right thing to do.
And my pledge to you is that I will work in that fashion.
Senator Wyden. So you wrote this plan. Government lawyers
deal with policy all the time. I believe you ought to recuse
yourself if you are chosen for this position on matters that
deal with the specifics of what got such a resoundingly
negative response earlier. I mean, the combination of helping a
handful of companies while jacking up rates billions of
dollars, that is pretty bad stuff. I am going to want to talk
to you if you get confirmed, but I believe you ought to recuse
yourself given your role in the initial proposal.
Now let me turn, if I could, to you for a moment, Mr. Vela.
As you know, Secretary Zinke has been subject to a jaw-dropping
array of federal investigations raising very substantial
ethical concerns about what has gone on at the Interior
Department. Suffice it to say, we have seen a pattern of other
officials involved in this. It is kind of like when you listen
to all this, somebody just lost the ethical compass.
What I would like to have you tell the Committee is, if you
are appointed Director of the National Park Service, what
specifically would you go in there and change in order to deal
with this spree of unethical behavior that we are reading about
in the news media pretty much constantly?
Mr. Vela. Thank you, Senator, for that question.
Over my nearly 35 years of public service, sir, at the
state and federal level, I have been guided, as I mentioned in
my opening remarks by the guidance of my grandfather and my
parents about pursuing moral and ethical objectives and
interests.
I think as a leader, as a Senior Executive in the Federal
Government, sir, I think it starts with the individual. And, if
confirmed, setting the example of the Director, as Director,
setting the bar as to what is not acceptable. I think we
achieve that through training, further training. I think we do
that through accountability. But it starts at the top and, if
confirmed, I will provide that leadership.
Senator Wyden. I will just tell you, respectfully, sir, I
asked specifically what you would change and all the words that
you just offered me are certainly ones that I would agree with.
I think virtually anybody would. It still does not tell me what
specifically you would do to change these ethical practices
that are so destructive to this important agency.
My time is up. I am going to hold the record open to get an
answer to what you would specifically change. But I will not be
able to support your appointment unless there are specifics
given about what you would change because we cannot allow this
to go on any longer.
Thank you, Madam Chair.
The Chairman. Thank you, Senator Wyden.
I had mentioned at the outset that if members have
additional questions or are seeking additional responses, we
would like to try to get them by close of business today.
Let's go to Senator Daines.
Senator Daines. Thank you, Chair Murkowski and Ranking
Member Cantwell, for prioritizing today's hearing on three
exceptional nominees, all very important to both our public
lands and our nation's energy security.
As the Chair of this Committee's Subcommittee on National
Parks, I am going to start with Mr. Vela. You have all heard
from others on this Committee that our national parks make us
uniquely American. Europe has their castles and their good
food. America, we have our national parks. We have our public
lands. That is why I believe it is imperative we take care of
them and the workforce that supports them.
Mr. Vela, you spent some time at department headquarters on
the workforce department with direct oversight over employee
matters. You have also worked your way up through the Park
Service over 29 distinguished years. Recent findings of sexual
misconduct in the workplace and other issues with the workplace
environment in our national parks are completely unacceptable.
While we all love to play in our national parks, we must
also make them a great place to work. Workforce environment
starts at the top, and I know Secretary Zinke has taken this
issue head-on at the Department and its policies have been
updated. We all want a zero-tolerance policy, and Park Service
employees need to feel safe and enjoy waking up and going to
work every day.
The question is, what have you learned from your time at
the Department on ways to improve the employee work
environment, and how will you be carrying forward some of these
policy changes moving forward? I understand you addressed this
earlier. You talked about how it needs to start with
accountability. Culture change starts at the top. I completely
agree, as somebody who has managed business organizations for
28 years and now, in public service, it really starts at the
top. The tone and tenor at the top matters and that is where it
starts.
Mr. Vela. Well said, Senator, and thank you for that.
What I've learned, and even in the serving as Associate
Director of the Workforce, was that we need to do a better job
of learning what was taking place out in the field because at
that time we didn't have accurate or sufficient reporting
processes and protocols so that the leadership in Washington
had a sense for what was happening at a park; we do now--better
reporting, better transparency.
But I'm not certain that we're quite there yet on the
accountability. And so, what I've learned, Senator, is we've
come a long way in a short period of time and I give the agency
credit. But every leader in the organization has to own this,
you know. And I want to focus more on the performance
evaluation process because during the mid-year and at the end
of a given year, we have a chance to reflect on what you did as
a leader. And if you didn't own the culture and if you didn't
mitigate appropriately and change the dynamics, you will pay a
price. And I have experience in dealing with that. So I think,
on the accountability piece, that there's more that we can do.
We know how to go about doing that and, if confirmed, I look
forward to achieving that.
Senator Daines. Thank you.
You know, you--having led some of our most visited national
parks, the Grand Teton, you are Regional Director for the
Southeast--you have seen firsthand the challenges visitation
brings and the record visitation levels, the challenges it
brings regarding Park Service infrastructure.
You spoke earlier about the importance of enacting Senate
bill 3172 with Senator Alexander. We are very proud of that
bill. Talk about a great example of working with Senator
Portman,----
Mr. Vela. Absolutely.
Senator Daines. ----Senator Alexander, working as
Republicans with Senator King, Senator Warner. I chair that
Subcommittee. This is, it is great chemistry. We actually work
together, egos set aside, and are solving a really important
problem and we need to get this bill passed.
Mr. Vela. Right.
Senator Daines. So we are pushing hard until we get this
through in the lame duck.
In fact, I was just down in Gardiner. I got to meet Cam
Sholly there, our new Superintendent.
Mr. Vela. Awesome.
Senator Daines. It is named after Cory Gardner.
[Laughter.]
Senator Gardner. It is a great town.
Senator Daines. It is a great town, Cory, but I get Cam
Sholly, who actually was a Gardiner kid. He went to school down
there, once upon a time, and now he has come back as
Superintendent of Yellowstone National Park. We are really glad
to have him on board.
Mr. Vela. Thank you.
Senator Daines. But we talked about these record levels of
visitation and what is going on and the stress it is putting on
our infrastructure.
We are working in Congress to address some of the deferred
maintenance backlog, and Senator King said it well--he says,
``deferred maintenance is debt, and we've got to address
this.''
In the interim, what are some ways to improve Park Service
infrastructure that can be done now in anticipation of getting
this bill passed?
Mr. Vela. Well, I want to thank all the members of the
Committee for your support and your love of national parks.
It's important that we recognize that.
And I think that what we have to do is to really explore
everything that's in the realm of possibility. How can we
leverage further internal capacity, philanthropic capacity,
gateway community capacity, to come together to help address
these issues which are critical?
Visitation in the national parks is now, through the
system, is well over 330 million visitors and growing. So we
have an obligation and responsibility to access what's in the
realm of possibility today and with the bill's passage, into
the future because it's extremely important as it deals
directly with the visitor experience as you clearly
articulated.
Senator Daines. Thank you.
Mr. Vela. Thank you, sir.
The Chairman. Thank you.
Thank you. Senator King is deferring to Senator Cortez
Masto. Is that correct? Okay, thank you.
Senator Cortez Masto.
Senator Cortez Masto. Thank you very much and thank you to
my colleague, I appreciate it.
Welcome, congratulations to all of you.
Let me start, I know I have five minutes so I am just going
to jump right into this.
Dr. Baranwal, thank you so much for meeting with me
yesterday. As you know, the DOE Office of Nuclear Energy has a
prominent role in managing the Yucca Mountain licensing
proceedings and the storage programs and will also provide
Yucca-related information for future budget requests. Have you
ever been to Yucca Mountain?
Dr. Baranwal. I have not, Senator.
Senator Cortez Masto. And have you, based on your previous
experience or in your preparation for this position, formed an
opinion about the safety of storing spent nuclear fuel and
high-level radioactive waste at Yucca Mountain?
Dr. Baranwal. My expertise has always been in the middle of
the fuel cycle, so I'm not very well versed at the early stages
such as the mining nor am I very well versed on the back end on
the used fuel and waste side of things, so----
Senator Cortez Masto. No, that would be a no.
Dr. Baranwal. No.
Senator Cortez Masto. Thank you, I appreciate that.
How much does science factor into your decision-making?
Dr. Baranwal. It's weighed very heavily. I'm a scientist,
and I look at the evidence.
Senator Cortez Masto. And how much consideration should be
given to concerns of the local community in your work?
Dr. Baranwal. I think the concerns of localities and states
and tribes should, those voices absolutely should be heard.
Senator Cortez Masto. Okay.
And if a community does not provide their consent, what
should take precedence, the community's concerns or consent or
what the DOE and the Administration decides they think should
be done?
Dr. Baranwal. I think when it comes to that type of
decision, again, the voices should be heard, but I would work
with what Congress decides and passes as law and would follow
that.
Senator Cortez Masto. Okay.
My understanding is you have not yet had the opportunity to
read the Blue Ribbon Commission's report on the storage of
spent nuclear fuel and high-level radioactive waste at Yucca
Mountain. Is that correct?
Dr. Baranwal. That is correct.
Senator Cortez Masto. And is it your intention to explore
this and take a look at what is happening there at Yucca
Mountain as you move into this position, if you are appointed?
Dr. Baranwal. If I am confirmed, yes.
Senator Cortez Masto. Can I get a commitment that if you do
get confirmed, you will come out to Yucca Mountain and you will
listen to both sides, look at the science and let the science
decide, really, what should happen there and not a political
decision that was made years ago that negates the safety and
the health of the people that live there and the safety and the
national security interests of this country?
Dr. Baranwal. Should I be confirmed I very much look
forward to visiting Yucca Mountain.
Senator Cortez Masto. Thank you. I appreciate that.
Mr. McNamee, I am going to jump back to some questions that
were asked of you with respect to the grid resiliency pricing
proposal.
Would you recuse yourself if this were to come before FERC
again and you are nominated on any issue relating to the grid
resiliency proposal?
Mr. McNamee. I understand that the docket in which that
proposal was offered has been closed and I need to consult with
ethics counsel about whether or not I could further participate
in the issues.
Senator Cortez Masto. Why do you need to, I mean, you were
involved in the proposal drafting, correct?
Mr. McNamee. Well, in terms of the specific proposal,
clearly that specific proposal was proposed and I would not be
able to be involved in that but that docket has been closed.
The issuance of resilience, generally, are constantly coming
before FERC and so I'd need to consult with ethics counsel to
understand what I could or could not participate in.
Senator Cortez Masto. So just for my clarification, if it
comes back in a manner like it was proposed to you,
specifically, the grid resiliency proposal to provide support
for failing coal and nuclear plants, you would recuse yourself?
Mr. McNamee. I don't know if anything is going to be
proposed, will be proposed or what format, so I can't say what
I would or wouldn't----
Senator Cortez Masto. I don't know whether it is going to
be proposed either. I am just saying if it comes before you,
would you recuse yourself?
Mr. McNamee. Well, I commit I will talk with ethics counsel
to find out if I need to recuse myself.
Senator Cortez Masto. Okay.
You are an attorney, correct?
Mr. McNamee. That's correct.
Aren't you, under the rules of professional responsibility,
supposed to recuse yourself on issues or areas where you have
worked on previously as an attorney?
Mr. McNamee. That's one of the reasons I'd want to talk to
ethics counsel because there's also additional rules that you
have to follow in relation to rules that Congress----
Senator Cortez Masto. But as an attorney, that is what you
are required to do under the rules of professional
responsibility.
Mr. McNamee. It deals with specific matters and specific
parties.
Senator Cortez Masto. Okay, thank you.
Mr. Vela, thank you also for taking the time to meet with
me. I appreciate it.
There is one question that I have for you and I know there
was, I think, on August 7th the National Park Service issued a
proposed rulemaking that would revise the Park Service's
protest permitting process regarding demonstrations at the
National Mall Memorial Parks and the President's Park in DC.
Were you involved in the crafting of this rule at all?
Mr. Vela. No, Senator.
Senator Cortez Masto. Okay.
And yes or no, do you believe that citizens should be
charged a fee for holding peaceful protests in our nation's
capital?
Mr. Vela. There is a process where that is provided to
cover some of those costs, but Senator if confirmed, I'd like
to learn more about what was proposed, the rationale, but also
to assess the substantive comments that have been received
through the public comment period. I would look forward to
doing that, if confirmed.
Senator Cortez Masto. Thank you.
Mr. Vela. Yes, ma'am.
Senator Cortez Masto. I appreciate that.
I notice my time is up. Thank you so much.
The Chairman. Thank you.
Senator Portman.
Senator Portman. Thank you, Madam Chair.
This is going to be a lightning round here because,
although I have enjoyed being here this morning, I now have a
hard stop at 11:30, so I am going to run off for another
meeting.
First, Mr. Vela, you know how strongly I feel about our
parks and trying to deal with this deferred maintenance
backlog. I am also, as you know, very pleased that you are
willing to step up. I think it is great. You have the
experience, the background as a career Park Service employee,
and I think you have responsibly handled some big
superintendent jobs, including your current one. Quick
question.
Mr. Vela. Yes, sir.
Senator Portman. Are you fully on board with the Restore
Our Parks Act and will you help us get it done?
Mr. Vela. I am, sir, and thank you for your support on the
bill.
Senator Portman. One of the things that I run into as I
talk to my colleagues about it--and Senator Alexander did a
terrific job talking about it, Senator King is going to talk
about it in a minute, I know Senator Daines did a great job
talking about it--we have unbelievable support here on this
Committee and then, of course, Senator Warner off the
Committee. But one of the things I am hearing from my
colleagues is, is there really a good accounting of what the
deferred maintenance needs are, and are there good accountings
of what is most urgent?
Do you believe that that already exists, number one? I know
it does in Ohio because I spent some time with our parks there,
as you know, our great parks in Ohio. But do you believe that
is true nationally and, if not, are you willing, if confirmed,
to be sure that we have an accurate accounting?
Mr. Vela. Absolutely, Senator. I think we have an
obligation and responsibility to ensure full transparency and
accountability.
Senator Portman. Excellent.
Fees--there is a proposal to increase some fees by 2020. As
you know, I am also the author of the Centennial Act and we are
putting a little money against deferred maintenance, about $120
million over the next five years, roughly.
Mr. Vela. Right.
Senator Portman. Not enough. And that comes from $1.00
public money matched by $1.00 private sector money. We have
exceeded that match, as has the National Park Foundation and
their match, which we also have as a part of our legislation
from two years ago.
But fees always come up among some of my more fiscally
conservative colleagues. Why can't we increase the fees----
Mr. Vela. Right.
Senator Portman. ----to be able to pay for some of this
deferred maintenance? Again, we are already doing some of that
and you already have a proposal to increase some fees by 2020.
There are a bunch of national parks that charge no fees at
all. There are other parks, like your current park, Teton,
Yellowstone, Yosemite, some of the great parks that do charge a
fee, but the fee is a lot less than, let's say, taking your
kids to a movie.
Mr. Vela. Right.
Senator Portman. What do you think about fees?
Mr. Vela. I think fees play a role, and I think that what
we need to do as we tackle the challenges and interests of a
second century of managing our nation's most special places
that we need to take a hard look at all options.
But at the same time and in the same breath, need to make
sure that who may we be excluding from the process, who don't
have the ability to pay additional fees. So I think those
interests are equally compelling and equally important.
Senator Portman. You talked about your experience going to
the parks for the first time and your folks probably view that
as a very cost-effective vacation, which it is for a lot of
families in America. But I do think this is an issue that is
going to come up in the context of our Restore Our Parks Act,
and I think we need to be able to address it responsibly.
Mr. Vela. Right.
Senator Portman. Again, you do have a fee schedule update
and the question is whether there should be, perhaps, some more
units to come under that, in my view.
Again, thank you for your support of this. We have to get
this deferred maintenance backlog, almost $12 billion, handled.
It is the right thing to do from a fiscal responsibility point
of view. There is a compounding effect of this when you don't
fix the roof, the dry wall, as happens in Ohio, then it becomes
moldy. You have a huge cost that could have been avoided had
you just taken care of the deferred maintenance backlog.
Mr. Vela. Well said, Senator. Thank you.
Senator Portman. Quickly, for Dr. Baranwal, the American
Centrifuge Project in Ohio was discontinued in 2015. This is at
the Piketon Plant. As you know, the Portsmouth Gaseous
Diffusion Plant in Piketon, Ohio, is now being cleaned up and
the Obama Administration chose to stop the future project which
is a new centrifuge technology in 2015. Big mistake, in my
view, big mistake. We now have no ability to have a
domestically-owned American source of enriched uranium. Have
you looked into this yet and what do you think about it?
Dr. Baranwal. I have not had the opportunity yet, Senator,
to look into that project. What I am aware of is that the
companies that are developing new technologies and advanced
reactors will have a need for what's called high-assay, low-
enriched uranium and it would be good to have a domestic source
of that fuel supply.
Senator Portman. Well, I am glad to hear you say that. I
hope you will come out to Piketon.
Would you commit to coming out and taking a look at the ACP
facility that is now standing vacant that can provide,
immediately, the ability for us to get back into the enriched
uranium business?
Dr. Baranwal. If I am confirmed, I look forward to a visit.
Senator Portman. Great, thank you very much. We cannot rely
just on Chinese, Russian and French product. We need to have
our own, and I am glad you agree with that.
Thank you, Madam Chair.
The Chairman. Thank you, Senator Portman.
So it is Senator Smith's turn but, in the just continuing
cooperation by colleagues on the other side here, she is going
to defer to Senator Manchin. Is that correct?
Senator Manchin. That is what we do best on this side.
[Laughter.]
The Chairman. It is excellent. We love it.
[Laughter.]
Go ahead, Senator Manchin.
Thank you, Senator Smith.
Senator Manchin. Thank you, all three of you, for putting
your name up to represent our great country. I appreciate that.
Mr. Vela, we have had a chance of getting to know each
other and I really appreciate it very much. I think you are an
excellent selection.
Mr. Vela. Thank you, sir.
Senator Manchin. With that being said, I noticed--I am one
of the co-chairmen of the Sportsmen's Caucus, Congressional
Sportsmen Caucus, and hunting is something I take very
passionately.
I agree with my colleague, Senator Capito, on a national
park designation for the New River Gorge National River, but I
have concerns. I have concerns about the hunting. I do not see
where we have ever allowed access to hunting in the culture
that we have in the National Park System.
And we were looking at a compromise--a national park
preserve. Denali has a national park preserve. You have, in
Grand Teton, your national park, limited elk reduction, but so
many shells, so many shots--that is not how we hunt.
Mr. Vela. Right.
Senator Manchin. When we go, we go.
[Laughter.]
Mr. Vela. Excellent.
Senator Manchin. I think you got me, right? You know where
I am coming from.
Mr. Vela. Yes, sir.
Senator Manchin. What is your recommendation? How do we
best navigate this? We want the people to come enjoy our
beautiful State of West Virginia.
Senator King. He even shoots pieces of legislation.
[Laughter.]
Senator Manchin. When I can't find the elk, legislation is
not safe.
Senator Smith. Madam Chair, I would like to reclaim my time
here.
[Laughter.]
Senator Manchin. So if you could just give me some advice
and comments.
Mr. Vela. Yes, sir, Senator. It's good seeing you again.
I think that, first of all, I do believe in if the
tradition, those traditional uses are being done, hunting in a
national park, it's part of enabling legislation. It's
something that we support.
But if confirmed, sir, I would be very interested in having
further conversations, specifically in addressing your
interest.
Senator Manchin. The reason I am saying that is I know the
passion in my state and the culture in my state, and if that is
limited or taken away, we do not need to get into this because
we all want the same thing. We want a national park
identification.
Mr. Vela. Right.
Senator Manchin. But also preserving----
Mr. Vela. Absolutely.
Senator Manchin. ----our traditional rights.
So if you can help us navigate, and Senator Capito and
myself work very well together.
Mr. Vela. Right.
Senator Manchin. We can maybe make this happen without
getting people all worked up.
Mr. Vela. It would be my pleasure, sir.
Senator Manchin. And if I can, to Mr. McNamee.
First of all, I am probably the only one on my side here
who appreciates where you are coming from, and I understand
that. And let me explain to my colleagues.
Basically, in the PJM system, 88,000 megawatts we produce
and that is, you know, our quadrant. Of that, 56 percent comes
from coal and nuclear. So we are concerned about reliability in
my quadrant. Other parts of the country are a little different
and I respect that. I want to work with them and we are moving
also, but we just cannot get there.
That was the reason we have asked for the Defense
Authorization Act on that to protect the reliability on that. I
appreciate that and I would think that you would be able to
look at that as far as the delivery of how power goes to
different households in different parts of the country and make
your decisions based on the need that we have and what we are
dealing with.
In West Virginia, our prices have gone from $0.06 to $0.08
per kilowatt-hour. We are up to $0.1139 and we are still
depending on coal 90 percent. It is being driven by all the
regulations. It has driven a lot of the coal-fired plants out
of operation. We are in a conundrum here, and we are trying to
work through that. I would hope that you would continue to look
at the areas that have the need of reliability in that manner,
sir.
Do you think--I mean, basically, you have answered it
before--I know there is not a problem. I appreciate your
position, that is what I am trying to say.
Mr. McNamee. Thank you, Senator.
Clearly, the challenge is that the people of West Virginia
have had both from an employment side and in terms of electric
prices are substantial and I know that you have been very
forceful in trying to make sure that your constituents and the
people that rely on you for support are heard.
Senator Manchin. Let me just say, if I can finish up, Dr
Baranwal, thank you so much for your expertise you bring to
this. I continue to have serious concerns with some of our
civil nuclear cooperative agreements with other countries, in
particular, China, as you know.
There has been media reports as recent as last month that
China is stealing nuclear-related technology from American
firms and using it for purposes such as powering its submarines
and other military uses. In October, the Department of Energy
updated the U.S. policy framework on civil nuclear cooperation
with China.
What are your thoughts? Last year we exported $170 million
in nuclear exports to China which has a large and expanding
economy for nuclear exports. What are your thoughts on the
updated framework on that since they are using it not for the
intent that we are sharing?
Dr. Baranwal. So my experience has been with numerous
United States companies and the role that I have in my current
position as Director of GAIN is to help the United States come
back to the number one position in nuclear technology
leadership.
And I'm not deeply familiar with the recent policy that has
been put forth, but at a very high level I understand that
companies from China who are wanting to import our technology
will be reviewed on a case-by-case basis, very specifically.
And I, again, from a high-level understanding of this new
policy----
Senator Manchin. [Off mic]
Dr. Baranwal. ----and if that is indeed the case, I am in
agreement with the policy to review each company that's
requesting that, requesting our technology on a case-by-case
basis.
Senator Manchin. Thank you very much. Thank you all.
Dr. Baranwal. Thank you.
The Chairman. Senator Barrasso.
Senator Barrasso. Well, thank you very much, Madam
Chairman.
Good morning, welcome to all of you and congratulations to
all of you.
Superintendent Vela, good to see you again. Nice to visit
with you earlier this morning and yesterday afternoon. Welcome.
I had a chance to speak with you previously as well about the
need to keep the Moose Wilson Road open, accessible and safe
for local residents and park visitors. I know you are very
familiar with the situation. You know Yellowstone and Grand
Teton National Parks already face significant transportation
issues, so I think the park must effectively address existing
and emerging challenges. All parks do.
But to me, in terms of what is going on in Wyoming, include
ensuring the safety of cyclists, pedestrians, as well as
wildlife. It is my understanding that the park is proceeding
with paving a portion of that road next year. I think that
fails to resolve other critical issues raised by the local
community.
I would just ask, if confirmed, would you work more closely
with the local community to address all the safety and
accessibility needs of the gateway community now rather than in
an additional process several years down the line?
Mr. Vela. Absolutely, Senator.
And I want to thank you for the support you've given to me
as Superintendent over the past five years. It is greatly
valued and appreciated and the guidance on conversations just
as you've articulated.
Senator Barrasso. I want to talk about some of the
additional needs of the Park Service. It is no secret that the
National Park Service faces billions of dollars in deferred
maintenance, a significant portion of which is roads.
I will commend you, because we talked about the numbers in
Wyoming in deferred maintenance when you were a superintendent
of Grand Teton National Park.
Mr. Vela. Right.
Senator Barrasso. Deferred maintenance actually went down
because of the good job you were able to do with making sure
that the resources were used more effectively, as well as help
from some outside groups wanting to participate.
Mr. Vela. Thank you.
Senator Barrasso. Currently, the National Park Service is
tasked with managing--hard to think of this as the National
Park Service--but the George Washington (GW) Parkway and the
Baltimore-Washington Parkway. Both have become major community
and commuter highways. Their function, to me, as units of the
Park Service, has really fundamentally changed over time. It is
not, I think, what most of us think of as the National Park
Service.
Mr. Vela. Right.
Senator Barrasso. In June, the Department of the Interior
and the State of Maryland signed a general agreement to explore
potential management alternatives for this Baltimore-Washington
Parkway. Would you urge the Secretary to undertake a similar
effort to evaluate future management alternatives for the GW
Parkway as, again, a part of an effort to improve resource
management for the Park Service as needed?
Mr. Vela. Yes, sir, if confirmed, and having been the
former superintendent of the George Washington Memorial
Parkway, I would look forward to having conversations on those
and related matters.
Senator Barrasso. Mr. McNamee, if I could, you know,
Wyoming leads the nation in coal production. Coal mining
supports thousands of excellent jobs throughout the state and
provides a major source of revenue at the local and state
level. Coal-fired generation has steeply declined in recent
years due, in large part, to the Obama Administration's anti-
coal agenda but also competition with renewable energy
subsidies as well as low natural gas prices.
Coal is a critical component of the electric grid
reliability. The coal-fired power plants can store the fuel
onsite. They can use this dependable fuel 24/7 in terms of
baseload energy generation. For these reasons, I believe coal
must remain an integral part of our baseload fuel supply. Could
you talk for a bit about the importance of coal within a
diversified fuel mix?
Mr. McNamee. Currently, coal provides about 26 percent of
the electric generation in this country. So clearly, it
currently provides a significant portion.
I also understand in communities like yours and Senator
Manchin's that coal is not only just about the electricity it
provides, but it's also about the jobs that are important to
your constituents.
I think in terms of the future of coal, I think what FERC's
role is going to be is making sure that the markets perform and
that they're able to form in an open and clear manner.
I think the fundamental thing of markets and what FERC is
primarily responsible for is ensuring that a good market sets
prices and allows the market to set the prices and allocate
resources.
Senator Barrasso. Thank you.
Thank you, Madam Chairman.
The Chairman. Thank you, Senator Barrasso.
I don't know, it is a toss-up now. Who wants to go?
Senator Smith, I think you have deferred a couple of times.
Senator Smith. Thank you very much, Madam Chair, and to my
colleagues and thanks to the three of you here today for
presenting yourselves and for your willingness to serve. I
greatly appreciate that and also to your families.
I am going to just try to touch on a few issues that my
colleagues have also touched on. I would like to start with Mr.
McNamee.
Mr. McNamee, in an Earth Day editorial this year, you
highlighted the role that fossil fuels have played in improving
human life and our food supply, and I agree with you on that.
But you also went on to say that some suggest that we can
replace fossil fuels with renewable resources to meet our
needs, but they have never explained how.
As I am grappling with your ability to be a neutral arbiter
of the facts and this very important role at FERC, can you just
explain for me how you would do that given what appears to me
to be a bias?
Mr. McNamee. I think that as you also note in that article
that I also made the observation that renewables are something
that, of course, we should consider. In fact, in my career I
worked as a lawyer to help get three utility scale solar
facilities built in Virginia, also worked on renewable
portfolio standards for utilities both in Virginia and North
Carolina.
So I understand the important role that renewables can play
in our electric mix. And, in fact, currently, you know,
currently fossil fuels are providing 62 percent of the electric
power generation, but that doesn't mean that you don't have
renewables and that there aren't opportunities for renewables
to grow.
I think the primary thing for FERC is to make sure that
they're not picking and choosing what the resources should be
but ensuring that the markets are able to function so resources
can compete and that the market decides what's the right
resource. And I think that's really, primarily, what FERC's
role should be.
Senator Smith. I was just looking at a leading model of
electric sector in Minnesota which shows that the lowest cost
mix of sources in my state could be over 90 percent renewables.
This is an issue of great importance to me and to my state and
I would just observe that though we talk about the free market
picking and choosing, we also have all sorts of incentives, tax
incentives and others, that favor one source over another. So
this remains, I will just say it remains a source of concern
for me.
Mr. Vela, I am so happy to have a chance to meet you and I
so appreciate the experience, the decades of experience that
you bring to our most precious places that we share together
and especially your role as a ranger and a supervisor. I think
that this experience is going to be a huge asset as you grapple
with, as you talked about and some of my colleagues have as
well, some of the cultural issues in the national parks.
I appreciate the comments that you have made so far. In my
experience managing a large and highly decentralized
organization, the real challenge is figuring out how to get the
leadership that you need in all of those independent and far-
flung organizations to change.
Mr. Vela. Right.
Senator Smith. Could you just tell us a little bit about
what you have observed about how to change the leadership to
get the cultural change you need?
Mr. Vela. Well, thank you for those comments, Senator. I
really appreciate them.
I've held nearly every leadership position in the Park
Service, and I've learned a lot as a result of that. I think
for me, and if confirmed as the next director, is setting the
example, setting the expectations and ensuring that we get the
outcomes that we're looking for. For example, that we're
addressing the deferred maintenance. It was asked previously,
do we have a game plan? We will develop--but we can also draw
upon previous experiences.
The other issue is how do we effectively address the
visitor experience?
And for me, another very pressing issue is how do we build
the next generation of conservation stewards and workforce?
Senator Smith. And make that a more diverse group of
individuals.
Mr. Vela. Absolutely, Senator, absolutely, to widen and
increase that tent.
What starts at the top? It starts with leadership and
ensuring that everyone understands those interests and that
there's accountability in achieving, that there's milestones
and there are consequences, frankly, if those outcomes aren't
achieved.
For me, that's a leadership model that has worked for me
over nearly 35 years, and I will look forward to implementing
as director, if confirmed.
Senator Smith. Thank you, thank you very much.
Madam Chair, I have a couple of questions for Dr. Baranwal,
but I will submit those for the record in the interest of time.
I appreciate you being here very much.
The Chairman. Thank you, Senator Smith, I appreciate that.
Senator Cassidy.
Senator Cassidy. Folks, I will ask you to answer quickly
just because I have limited time. Thank you.
Mr. McNamee, following former Chairman McIntyre's
confirmation to FERC, he initiated a review of the Commission's
1999 policy statement on the certification of natural gas
infrastructure. My colleague sent the FERC a letter last month
asking the Commission, ``do no harm'' to their approval
process. What are your thoughts on the current policy
statement? Do you believe it is efficient? If not, what areas
do you think FERC should review?
Mr. McNamee. I think the importance of building out our
energy infrastructure is very important which, I think, is part
of the reason that Congress passed the Natural Gas Act.
And obviously, with the nonconventional revolution, what
Senator Cruz has called the American Energy Renaissance Act,
it's really transformed America and been a game changer in
terms of our access to energy, not just being able to, for our
own consumption, but changing how we use it throughout the
world.
And in terms of the specific policy statement, I know that
that is currently under review. So I don't think it would be
appropriate to prejudge what various parties may have and may
think about what that policy statement should ultimately be.
Senator Cassidy. I accept that.
Any other thoughts as to how the FERC regulatory review
process could be, if you will, updated for the LNG operating
facilities?
Mr. McNamee. The one thing that's a perennial problem
within government is the frustration over how permitting takes
places whether it's, you know, whether it's for LNG facilities,
whether it's throughout government. And it's something, I know,
that Congress has grappled with, things such as the FAST-41 and
the President's One Federal Decision.
I know that, in terms of the LNG facilities, that FERC
recently signed an MOU with the pipeline safety group over at
the Department of Transportation in order to try and facilitate
and make things move more quickly.
And I think what's important is trying to make sure that
you have the resources and the staff and that you're
prioritizing what needs to be done. And in my past experiences,
in both the attorneys general offices, in particular, I
understand that you've got to make priorities.
And so, I'd need to look into specifics, but I do
understand that making sure that projects aren't delayed for--
--
Senator Cassidy. Well, let me ask you this because one
thing we have heard is that FERC has had challenges in
attracting and retaining professionals. Somebody who is a great
reviewer may get hired away far more. That suggested, either we
could third-party it, subcontract or if somehow have some other
mechanism. Any thoughts on that?
Mr. McNamee. I think one of the blessings of the American
Energy Renaissance Act is that there's a lot of projects, and
there's a lot of good-paying jobs.
I think that, to your point, we need to look at all options
and to see how we can make sure that projects aren't delayed
because there isn't sufficient staff. And if I'm fortunate
enough to be confirmed, I will look into----
Senator Cassidy. You smiled when I said that, suggesting to
me that you actually know that to be an issue, the retention
and the hiring of----
Mr. McNamee. I think that it's an issue throughout not just
government, but you're seeing it now in the private sector too
which I guess that the good news in all that is that wages are
rising.
Senator Cassidy. And the great Trump economy is fantastic,
huh? You don't' have to comment on that.
[Laughter.]
Mr. McNamee. I'm non-political.
Senator Cassidy. I think it seems self-evident.
In July, Senator Cornyn and I wrote a letter to FERC
expressing our concerns with the March 15, 2018 decision to
disallow master limited partnerships from taking an income tax
allowance in their rate calculations. It is a subject of
litigation, I understand that, but I want to take this
opportunity to reiterate my hope that FERC provide
clarification, at a minimum, if not reevaluate this decision
altogether. I will follow up with a question for the record in
more detail.
Mr. Vela, a critical question. In two weeks, LSU plays
Texas A&M.
[Laughter.]
Senator Cassidy. Whom will you support?
[Laughter.]
Mr. Vela. Very good question, sir.
[Laughter.]
Today, it's LSU.
[Laughter.]
Senator Cassidy. Oh my gosh, I am all for it----
[Laughter.]
----although I will doubt his veracity.
Listen, going back to fees and how do we support? When
Secretary Zinke was here he said something I did not know, that
if there's a whole van full of folks and one is a veteran, then
the whole van full gets the benefit of the veteran being a
veteran--no one pays a park admission fee because the veteran
does not pay. Now I am all for veterans getting their access,
but it does seem if you have a bus or a van full of folks and
only one is a veteran, it is the veteran who should get the
benefit, not the whole van full. Any thoughts on that?
Mr. Vela. Well, I think what we're clearly doing here,
Senator, is clearly honoring the service by that veteran.
Senator Cassidy. Which we should.
Mr. Vela. Absolutely, which you agree and support. I think
when you go--when an individual goes through a national park
and pays the entrance fee, it's for all the occupants in that
vehicle as well. So not everyone has to pay. So it's somewhat
comparable and it's just another means of recognizing the
service of----
Senator Cassidy. I will say that my colleagues have
supported this taking revenue from the outer continental shelf
to support the parks. I disagree with it, because it is not
free money. They are making it out as if it does not have to be
offset elsewhere in the budget. It absolutely has to be offset
elsewhere in the budget----
Mr. Vela. Correct.
Senator Cassidy. ----and it is not true that it is free
money. So I will just make that statement. If we are going to
find the revenue someplace, it does seem that we need to look
at what is an equitable distribution and how do we truly honor
people.
I am over time. I yield back. I appreciate it.
Thank you.
The Chairman. Thank you, Senator Cassidy.
Senator King.
Senator King. Thank you, Madam Chair.
Mr. McNamee, I am surprised you did not give a direct
answer to Senator Cortez Masto. The United States Code says any
judge, justice or magistrate judge of the United States shall
disqualify himself in any proceeding in which his impartiality
might reasonably be questioned.
It goes on to say where he has served in government
employment and in such capacity, participated as counsel,
advisor or material witness considering the proceeding or
express an opinion concerning the merits of the particular case
in controversy, he should disqualify himself.
I don't understand any argument where you would have to
consult any counsel anywhere on Earth to understand that you
have a conflict of interest when it comes to this issue of the
price, the so-called grid resiliency pricing rule, or any
version thereof. Will you recuse yourself if that issue comes
before the Commission and you are a member?
Mr. McNamee. I believe that the statute that you read talks
about a specific proceeding, and I'd want to talk with counsel
or----
Senator King. It goes on to say, or express an opinion,
concerning the merits of the particular case or controversy.
You have clearly expressed opinions on the merits of this issue
repeatedly and, in fact, before this Committee.
Mr. McNamee. I believe that the issue is, what is the
specific issue that would come before FERC and whether it's the
same issue or not.
Senator King. So you, at this point, refuse to commit to
recuse yourself if this issue comes back before the Commission?
Mr. McNamee. I commit that I will consult with ethics
counsel to make sure that I comply not only with the statute
but also with the bar ethics rules.
Senator King. I am surprised and disappointed that you feel
you have to consult with counsel on something that is so clear.
You, before being nominated and when you wrote your article
about fossil fuels, were employed by something called the Texas
Public Policy Foundation. You mentioned it in your testimony.
Who funds that organization?
Mr. McNamee. I think there's a variety of funders.
Senator King. Do you know any specifics?
Mr. McNamee. The--I think there are some oil and gas
producers in Midland, Texas. Midland and Odessa, I believe, are
supporters. I know that there are supporters in Houston and I
think there's a supporter, a natural gas compressor company in
Ohio, but that's subject to check.
Senator King. Have the Koch brothers, directly or
indirectly, been substantial supporters of that foundation?
Mr. McNamee. I've read that in the paper. I do not know
that from personal knowledge.
Senator King. Thank you.
You talked about the transition and what we can do, and I
think the short answer to your question in your article, ``Some
suggest we can replace fossil fuels with renewable resources,
but they never say how.'' The short answer to that is storage.
Are you a supporter of the development of additional storage
capacity and would you support that policy as a member of FERC?
Mr. McNamee. The current rule on storage is currently, I
believe there's a rehearing pending, so I don't want to state
specifically on that proposal but clearly storage is an
important thing for the transformation of the grid. I think
that's really the thing that's going to unlock the use of
renewables because then you're not going to have to worry about
the time of day and whether those resources are available and
you'll be able to dispatch the storage when it's needed.
Senator King. I agree. I think that is the answer to your
question that you stated in your article for exactly the same
reason that you just stated.
Dr. Baranwal, short answer. Is the development of a
financially-feasible nuclear power plant, next generation, is
that possible? Do you see that in the foreseeable future?
Dr. Baranwal. I do, and I know companies are working on
that.
Senator King. And is that one of the priorities of your
office that you are going to be undertaking?
Dr. Baranwal. If I am confirmed, that will be one of my
priorities, to support the advanced reactor community, yes.
Senator King. And give me an estimated timeframe. Are we
talking 5 years, 10 years, 50 years? I mean, this has been a
long time coming.
Dr. Baranwal. So there are some developers who are looking
to deploy their concepts within less than five years. Others
are looking at a 2025 to 2030 timeframe. So it's all of the
above, Senator.
Senator King. Alright, thank you.
Mr. Vela, you are taking over a very important agency and
I--this is ground that we have already plowed, but I take it
that you are supportive of the Restore Our Parks Act, which is
bipartisan legislation reported out by this Committee?
Mr. Vela. Absolutely, Senator.
Senator King. And if that is enacted, you will see that it
is implemented properly across the country?
Mr. Vela. Sir, if confirmed, we will make sure that we have
full transparency and accountability in achieving the outcomes
of the bill.
Senator King. I do have a suggestion for how to allocate,
as between the parks, that it be done alphabetically.
[Laughter.]
That would start with Acadia.
Mr. Vela. With Acadia?
The Chairman. By state, though, by state.
Mr. Vela. Or Alaska. There you go.
[Laughter.]
Senator King. Thank you.
Mr. Vela. Yes, sir, thank you, Senator.
Senator King. Thank you, Madam Chair.
The Chairman. Thank you, Senator King.
Senator King. Denali would be fairly high on the list.
The Chairman. It would be, it would be.
[Laughter.]
While Senator Hoeven gets himself settled here, let me just
ask a couple of quick questions of you, Mr. Vela, and these are
pretty parochial. I am seeking your commitment this afternoon
to work with us on a few very Alaska-specific projects.
We have the Noatak road. I am sure you have been briefed on
this. I was out in Noatak, which is out in the Northwest Arctic
Borough, less than a month ago and we had great conversations
about how, as a village, they face extraordinarily high fuel
costs. The only way to get fuel in is to fly it in. We would
have an opportunity to reduce fuel costs considerably if there
were an opportunity to cross the Cape Krusenstern National
Monument. The folks there in the village of Noatak, working
with others, have been trying to address this. I just ask for
your commitment to help continue this process of engagement,
recognizing that this is a considerable issue to not only that
community, but to others in the region.
Mr. Vela. Chair Murkowski, if confirmed, it would be my
pleasure. I clearly value that your great state is clearly
unique with ANILCA and just these types of issues and
interests, and I would look forward to learning more about them
and spending more time with you accordingly.
The Chairman. Well, I am sure that you would receive a
welcome invitation----
Mr. Vela. Thank you.
The Chairman. ----to go up to Noatak and to so many of the
others.
Another small community that I would like you to visit is
Gustavus. That is down in the southeast. It is a community that
has also been faced with very high energy costs but they have a
beautiful natural solution right there with their small hydro.
They are working to complete a hydro intertie project. It
has been painfully, painfully, painfully slow to get the
National Park Service to agree to come off of their diesel-
powered generator and tie into the small hydro that is there
that would benefit folks within the community as well as the
park.
So, again, I would ask for your commitment to be engaged
with this project and working with the local community to
ensure that the project's goals are met.
Mr. Vela. Yes, ma'am. It would be my pleasure.
The Chairman. Great. We have a whole bunch of others.
Let me turn to Senator Hoeven right now.
Senator Hoeven. Thank you, Madam Chairman.
Mr. Vela, thanks for coming by and meeting with me the
other day. I appreciate it very much and look forward to
working with you.
As you know, we are working on a Theodore Roosevelt Library
in Theodore Roosevelt National Park in my state. I would ask
for your commitment to help us in that effort and also ask a
little bit about how you might approach it?
Mr. Vela. Thank you, Senator.
And I'm aware that the Secretary is also committed in this
initiative. I have a little experience as a superintendent
working with presidential libraries and, if confirmed, I hope
to bring that to the table. But I think the most important
thing is to continue to listen to all the stakeholders and
develop a path forward, a proactive game plan that helps to
achieve those interests.
Senator Hoeven. But you are committed to the project?
Mr. Vela. Yes, sir.
Senator Hoeven. Okay, great.
And then the Restore Our Parks Act, which you know we are
working hard to move to provide for the deferred maintenance in
our park, $12 billion for our parks, more than $50 million in
my state. Talk to me about how you might help advance that and
utilize those dollars for the parks.
Mr. Vela. Well, I think one of the good things, Senator, is
that in our facilities management system, our facility managers
and superintendents have helped to develop priorities, critical
infrastructure needs. So what I would be looking at, if
confirmed as Director, is to assess what they are, where they
are, and what would be, what are appropriate outcomes by way of
timelines but, again, getting back to the accountability and
transparency piece.
Senator Hoeven. And you were the supervisor at the Grand
Teton National Park?
Mr. Vela. Superintendent, yes, sir.
Senator Hoeven. Superintendent, and we have had like, five
million visits a year there.
Mr. Vela. Yes, sir.
Senator Hoeven. We also want to plumb your great thoughts
and understand how we are going to get Theodore Roosevelt
National Park----
[Laughter.]
Mr. Vela. ----move that to North Dakota.
Senator Hoeven. ----to five million visits a year we are
looking for.
Mr. Vela. Yes, sir, okay.
Senator Hoeven. Thank you.
Mr. Vela. Yes, sir.
Senator Hoeven. Mr. McNamee, baseload is crucially, vitally
important to this country. It really is a national security
issue. So I am a true believer in all-of-the-above energy
development. We want to continue to bring all sources of energy
online and produce more energy and be energy self-sufficient,
be able to export energy, all those things.
But how do we make sure that baseload has access to
transmission which is so difficult, as you know, to build and
develop? Given some of the priorities the renewable sources
have and so forth, how do we make sure that our baseload has
reasonable access to transmission and so that we maintain
sufficient baseload for national security purposes?
Mr. McNamee. Well, obviously it's important to recognize,
you know, the current fuel mix is about 62 percent fossil
fuels, about half of that is natural gas, half of that is coal.
Of course, then we have nuclear and renewables filling the
rest.
And all those resources are currently being used to power
the grid and sometimes in different parts of the region, in
your part of the country, it's a little bit different than
others. And the issue of transmission is an issue that's
widespread, not just for baseload but also, I know, renewables
are concerned about it. I know Congress has tried to address
some of it by providing some incentive funding for transmission
lines.
Having worked on transmission applications at the state
level, I understand some of the complications that go on with
that. And I think that ultimately, you know, transmission lines
are ultimately sited and those decisions are made--for electric
transmission lines--are made by the state, but FERC has a role
in terms of how it implements the incentive funding that goes
on, particularly incentive funding that Congress provided it.
Senator Hoeven. Okay, let me put it this way. Do you think
we need baseload power and transmission to move around the
country?
Mr. McNamee. I think that the electricity mix is changing.
I think that baseload, what has been termed baseload,
obviously, has been changed. I think that the existing
resources such as coal and fossil fuel are currently very
important and they currently run the grid.
Senator Hoeven. Is that a yes?
Mr. McNamee. They are currently very important but the
issue, I don't want to play games with you with it and that's,
I think, important is that baseload is----
Senator Hoeven. Well, I am just looking for yes or no
whether you think we need baseload.
Mr. McNamee. I think that the challenge with baseload is
that baseload and baseload generation have started to converge
as to what they mean and that's the challenge.
Senator Hoeven. So that is, you are not going with a yes or
no here, right?
Mr. McNamee. I'm--instead of going yes or no, I'm trying to
be truthful in saying I understand that there are challenges in
the divergence of how baseload power, the baseload which is,
you know, what's basically needed to power the grid and then
how you have the, basically, the load curve and how as the
markets have developed as renewables have come in and others
that where you used to have a coal plant that would run 85, 90
percent capacity factors, they're not doing that anymore. You
may have nuclear plants that are still running at 92 percent
capacity factors.
I don't want to waste your time, but I'm not saying yes or
no because if I'm fortunate to be confirmed to FERC, understand
that there's these complications that they need to consider.
Senator Hoeven. Madam Chairman, can I beg your indulgence
for one more question?
The Chairman. Yes.
Senator Hoeven. Dr. Baranwal, in regard to security for
things like nuclear, storage, nuclear plants and so forth, what
role do you see for unmanned aviation? We are doing a lot in
our state with UAS, unmanned aviation, border security, and all
kinds of different applications--commercial, military,
agriculture, industrial, energy. Do you see a role that, in
terms of security, for some of our nuclear sites and other
energy sites that UAS can play?
Dr. Baranwal. So I do have a little bit of experience with
UAVs, unmanned aerial vehicles, and their application to the
nuclear industry. It is more so for inspections of new plants,
however, but I do know that other utilities have been using it
for inspections outside of their facilities and would
anticipate that they can also be used for the security
applications that you're suggesting. I'm not terribly familiar
with that specific application, but it seems like it could be
possible.
Senator Hoeven. Thank you.
Thank you, Madam Chair.
The Chairman. Thank you, Senator.
Dr. Baranwal, let me ask you a question. It was raised by
Senator Capito some time ago when she was speaking about the
potential for small modular reactors in mining industry.
We have some interest in remote areas of my state in better
understanding the application of microreactors and the
potential that they might be able to deliver.
We are a state where we figure we are on everybody's radar
for oil and, certainly, natural gas, but we are also a
significant leader when it comes to renewable energy resources.
And people do not necessarily think about Alaska as a potential
prospect for the small or the microreactor.
But yet, in many applications I think they make a lot of
sense, trying to move our small, remote areas off of diesel
generation. So it is not just within say, for instance, the
mining sector, but also the prospect and the possibility for
our military bases and installations that are also often very
remote.
Can you share with the Committee what you believe the
greatest challenges are with regards to market adoption of
microreactors, and then also how the Office of Nuclear Energy
can work with the Department of Defense in integrating the
potential for microreactors, small reactors, to meet our
national security needs?
Dr. Baranwal. Sure, yes. Thank you, Chairman.
I am very excited about the prospect of application of
microreactors to support especially remote communities both in
the Arctic type of areas as well as desert communities and
military bases, regardless of the community.
I think at the moment some of the biggest challenges are
not necessarily technical, they're around perception and
policy. And so, I think in collaboration and working with the
Nuclear Regulatory Commission around regulation, and then
working with all of you as Congress to work around policy will
help address some of those challenges.
The perception piece, I think, is--the onus is on everybody
in the nuclear industry to help alleviate some of the
perception issues.
And with respect to your question about working with DoD,
if I am confirmed, I absolutely will work with you and your
staff to work with the DoD and understand what the needs are
and what the relationship needs to be to ensure that we can
possibly deploy microreactors for the applications that you
mentioned.
The Chairman. I think we have such opportunity in this
space and when we look to our responsibility, our obligation,
to do what we can from a policy perspective to reduce emissions
in this country, to move toward cleaner sources of energy,
nuclear just has to be part of this discussion. And I agree
with your comment about the perception and how we deal with
that. I know, in working with my colleague from California,
Senator Feinstein, and Senator Alexander, as the Chairman and
Ranking on the Appropriations Committee for Energy and Water,
and working with Senator Cantwell here as authorizers, we have
to deal with waste issues, that must be addressed.
But again, I think we are, we have such an opportunity
within the nuclear space. I have introduced legislation
recently that, again, I hope will help push us out with that,
not only with the technologies but with the workforce and
ensuring that the United States is a leader in this space. So I
look forward to working with you in that role as well.
I want to thank each of you. You have given the Committee a
good amount of your time this morning. I thank your families
and your friends for being here to support you. That means a
lot.
I think you saw good participation from the Committee here.
We all agree that there are far more questions that we could
have asked each of you.
I appreciate your commitment, Mr. Vela, to really focus on
some of the workforce issues that have been raised here today.
We want to make sure that within our agencies, all of our
federal agencies, that morale is good, that people are proud of
where they work, that they go to work without fear of
intimidation or harassment of any kind, without fear of any
level of discrimination and making sure that we have that
appropriate culture built-in is absolutely key and critical.
And you are right, it does start at the top. So I thank you for
your commitment to focus and to work on that.
Mr. Vela. Thank you, ma'am.
The Chairman. Mr. McNamee, you have heard very clearly, we
expect the Federal Energy Regulatory Commission to be that
independent, unbiased entity and to act in a manner that,
again, you are not picking the winners and losers, you are not
tipping the scales based on political perspective, but that you
truly are evaluating these considerations that are so
important. The issue of resilience within our electric grid,
our energy sector, this is key. This is timely. This is an
imperative. But again, knowing that we have a Commission that
is fair, impartial and unbiased, that independent arbiter is
what we need and what we expect.
Dr. Baranwal, I am very impressed by the credentials that
you have shared with us, your background, your life, your role
model which is really very important and very encouraging. And
I appreciate the passion with which you approach not only this
position that you have been nominated for but to your work
prior to this time.
With that, again, I will remind colleagues that if they
have additional questions, we would like to get them in by
close of business so that we can start moving forward.
As I mentioned, it is my intention to try to move you all
through the process as expeditiously as possible. Who knows
what happens in lame duck? But we will be prepared.
I thank you for the time that you have given us and thank
you for your willingness to serve.
With that, the Committee stands adjourned.
[Whereupon, at 12:17 p.m. the hearing was adjourned.]
APPENDIX MATERIAL SUBMITTED
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