    [Senate Hearing 115-185]
    [From the U.S. Government Publishing Office]

             LEGISLATIVE BRANCH APPROPRIATIONS FOR FISCAL YEAR 2018

                                  ----------

                            WEDNESDAY, JUNE 7, 2017

                                           U.S. Senate,
               Subcommittee of the Committee on Appropriations,
                                                        Washington, DC.

        The subcommittee met at 3:00 p.m., in room SD-124, Dirksen
    Senate Office Building, Hon. James Lankford (chairman)
    presiding.
        Present: Senators Lankford, Kennedy, Murphy, and Van
    Hollen.

                              LIBRARY OF CONGRESS

    STATEMENT OF HON. CARLA D. HAYDEN, LIBRARIAN OF
                CONGRESS

                  opening statement of senator james lankford

        Senator Lankford. Good afternoon.
        I would like to welcome everyone to the first of our fiscal
    year 2018 budget hearings for the Legislative Branch
    Appropriations Subcommittee.
        Today, we have with us the Honorable Carla Hayden,
    Librarian of Congress, and the Honorable Stephen Ayers,
    Architect of the Capitol. I appreciate the willingness of both
    of you to appear and your preparation leading up to this.
        I would like to offer a special welcome to Dr. Hayden, as
    this is her first hearing before this subcommittee. Confirmed
    as the 14th Librarian of Congress, she is the first woman
    Librarian of Congress and first African-American Librarian of
    Congress. So glad that you are here; we will try to make this
    rough on you to make it memorable.
        She also has taken the helm of the Library at a critical
    period in its modernization, a lot of things that have been
    moving for a while and you have a big responsibility there in
    the coming years.
        Before we dive into the details, I would like to frame the
    fiscal situation we find ourselves in this year.
        We are yet again in a situation where flat budgets are more
    than likely and that may even be a best case scenario. We will
    do our part to make responsible decisions on how to allocate
    our limited funds, but also understand there are serious
    priorities that also have to be accomplished for the Nation.
        It is my hope that during this Congress, we can return to
    debating and passing individual appropriation bills instead of
    governing from one Continuing Resolution to another. These
    stand alone bills better reflect the thoughtful work of our
    subcommittee, the valuable insights from every agency, and
    including those we are about to receive today.
        For fiscal year 2018, the total budget request for the
    Library is $687.7 million, an increase of $55.8 million above
    the fiscal year 2017. The request includes an increase for
    enterprise IT modernization across the Library, and an
    additional 42 FTEs to support that effort, as well as an
    increase in the staff levels for the Copyright Office and the
    Congressional Research Service.
        The Architect of the Capitol's budget request for fiscal
    year 2018 totals $773.1 million, an increase of $155.2 million
    above fiscal year 2017 enacted level, including nine additional
    FTEs. Of this request, $350 million is for capital projects,
    and given the deferred maintenance backlog of $1.5 billion, I
    recognize you have had to make difficult choices in regard to
    what was included in your request.
        I must reiterate we will have to make very difficult
    choices in light of the budget constraints. In this budget
    environment, we will not be able to accommodate every increase,
    but it will be important to hear what you see as most important
    and what the greatest need for investment is.
        It is worth noting in previous years, the Library of
    Congress and the Architect of the Capitol have requested
    increases that the subcommittee was not able to provide in the
    past, and yet each agency has been able to maintain services
    and complete needed projects and modernization efforts.
        The Library received only $42 million of the $101 million
    increase it requested in the past 2 years, and was able to
    invest in IT security, plan for an agency-wide IT
    modernization, and respond to 60,000 congressional requests
    that were made to CRS. I think 55,000 of those were by Senator
    Murphy. No? Probably not; probably more from me.
        Similarly, the Architect received only $17 million of the
    requested $142 million increase over the last 2 years, but
    within this budget the dome and rotunda restoration was
    completed, work continued on the Capitol exterior stone and
    metal preservation, and the set up for the 2017 Inauguration
    was flawlessly executed.
        I mention this to remind you, but also to commend you. You
    have done a tremendous amount of good with very limited
    funding, and we appreciate that.
        Before moving on, I would like to offer my condolences for
    the loss of a member of the Architect of the Capitol's team,
    Matthew McClanahan, a pipefitter for the Maintenance Division
    for the Capitol grounds. I know this loss has been a tremendous
    loss for the Architect of the Capitol's family, the entire
    Capitol family, and most especially his family. We continue to
    pray for Matthew and his family in the days ahead and for you.
        I would like to now turn to my ranking member, Senator
    Murphy, for opening remarks he would like to make.

                    statement of senator christopher murphy

        Senator Murphy. Thank you very much, Mr. Chairman.
        It is a pleasure to be here, my first hearing as ranking
    member. I look forward to doing good work with you. I ask the
    witnesses to take it easy on me given that it is my first time
    around in this role.
        I want to associate myself with virtually everything that
    the chairman said. His note of commendation is important. Often
    unheralded, the work that you and your staffs do, adds to the
    value that we hope that we can provide to our constituents and
    that you individually provide to our constituents. You have
    done so with severely trimmed sails. We hope to be able to work
    with you to address the challenges that are continually
    presented to you.
        My only editorial comment is that I do understand that we
    have to live within the budget constraints that exist, but I
    would hope that as now leaders of the appropriations
    subcommittee, we can talk about bringing some sanity to this
    process.
        I agree. I would like to move on regular order, but without
    adjustments to the fiscal year 2018 budget caps, our domestic
    programs face nearly $16 billion in cuts compared to 2017. Even
    worse, the President has proposed to add on top of that $54
    billion in cuts to domestic spending.
        Contrary to popular belief, not every investment that the
    Federal Government makes is wasted. There are some incredibly
    worthwhile endeavors that we engage in to help our constituents
    and, of course, the work that you do is at the top of that
    list.
        I know we have a much bigger conversation about the budget
    picture going forward, but if the President's budget moves
    forward, if the unadjusted 2018 budget caps move forward, then
    we are looking at just absolutely crisis shortfalls for some
    really important programming. You are certainly on that list.
        Lastly, let me just add my words of sympathy for the loss
    of Mr. McClanahan, his wife Lauren, his two children that he
    leaves behind, Eve and Matthew. We are just so grateful for his
    work and we are going to remember him as someone who helped
    nurture and preserve the Capitol grounds.
        With that, I am really eager to get to the work here and
    eager to hear your testimony.
        Senator Lankford. With that, I would like to ask our
    witnesses to give their opening statements. I will begin, as we
    should, with ladies first.
        Dr. Hayden, you will have approximately 5 minutes, though
    we should not run a clock. We will have open conversation in
    our time today. If you go a little bit over that, I think we
    will all be fine, but we are honored to be able to receive your
    statement.

                   summary statement of hon. carla d. hayden

        Dr. Hayden. Thank you, Mr. Chairman and Ranking Member
    Murphy.
        This opportunity to provide testimony in support of the
    Library's fiscal year 2018 budget, my first as Librarian of
    Congress, and I look forward to working with all of you.
        Nearly 9 months into my tenure, I continue to be inspired
    by the breadth and depth of the Library's collections and the
    expertise and commitment to public service of its staff. Today,
    the Library holds more than 164 million items in all formats
    and languages, and has the world's largest collection of legal
    materials, films, and sound recordings.
        Last year, the Library welcomed nearly 1.8 million in-
    person visitors and there were 93 million visits to the
    website. More than 400,000 claims were registered by the U.S.
    Copyright Office and more than 10.5 million preservation
    actions on the collections were undertaken. The Library
    responded to over 1 million reference requests from Congress,
    the public, and other Federal agencies.
        I would like to express my sincere gratitude for the
    support of this subcommittee and, indeed, the entire Congress
    provides for the Library. And in particular, we all appreciate
    your support for fiscal year 2017 funding bill for several high
    priority needs.
        I come before you today to discuss the Library's funding
    request for fiscal year 2018 during a time, as you have
    acknowledged, of challenge and opportunity as we position the
    Library for the future.
        I am committed to a modernized Library that will make our
    extraordinary resources, collections, and programs available
    online, enhancing opportunities for those who could not come to
    see us in person.
        The fiscal year 2018 budget request has three priorities,
    Information Technology (IT) and IT modernization, unique
    staffing requirements, and collection storage and preservation.
        Our IT request builds on the progress made by the fiscal
    year 2017 appropriation with three critical modernization
    initiatives: enterprise investment in IT for the entire
    Library, copyright IT modernization, and Congressional Research
    Service, CRS, systems modernization.
        First, the Library's enterprise-wide IT modernization
    request will upgrade the underlying network infrastructure
    across the enterprise to state of the industry standards. This
    effort will provide the infrastructure backbone to support the
    modernization of all business applications including a modern
    copyright registration system.
        The Copyright IT modernization request will focus on
    mission systems and seek support for the next generation
    registration system, as well as resources for maintaining the
    stability of the Copyright's legacy systems.
        Finally, CRS is seeking a 5-year investment in the
    Integrated Research and Information System, IRIS, to modernize
    mission-specific information systems that will reduce the time
    to research, analyze, create, and deliver CRS products to
    Congress with increased security and confidentiality.
        Our staffing request focuses on three key areas: copyright,
    CRS, and IT. Our third priority, storage and preservation space
    for our collections continues to be a severe need. Storage
    Module 5, that you will hear more about in a minute, is on
    target for completion in calendar 2017. As you might realize,
    our storage needs for collections and preservation will
    continue for a number of years.
        Our 2018 budget request reflects the Library's most
    immediate priority of serving Congress, expanding access to
    historical documents and improving service in all of the
    mission areas. The request for fiscal year 2018 is for
    approximately $738 million, which represents a 7.8 percent
    increase over the Library's fiscal year 2017 budget. Of this,
    5.9 percent accounts for mandatory pay and price level
    increases, and the balance of the increase represents critical
    investment in information technology for the Library, Copyright
    Office, and Congressional Research Service.
        In closing, modernized IT, strengthened infrastructure, and
    funding for staff with unique skills and expertise are all
    critical elements in positioning the Library for the future.
        With your support, our service to the Congress and the
    American people promises to be the best is has ever been as we
    try to reach millions of new users in the years to come.
        I welcome your questions.
        [The statements follow:]
                   Prepared Statement of Hon. Carla D. Hayden
        Mister Chairman, Ranking Member Murphy, and Members of the
    subcommittee:

        Thank you for the opportunity to provide testimony in support of
    the Library's fiscal year 2018 budget, my first as Librarian of
    Congress. I look forward to working with you.
        Nearly 9 months into my tenure, I am inspired by the breadth and
    depth of the Library's collections and the expertise and commitment to
    public service of its staff. Today, the Library holds more than 164
    million items in all formats and languages and has the world's largest
    collections of legal materials, films, and sound recordings. Last year
    the Library welcomed nearly 1.8 million in-person visitors and there
    were 93 million visits to our website. More than 414 thousand claims
    were registered by the U.S. Copyright Office. More than 10.5 million
    preservation actions on the collections were undertaken and the Library
    responded to over 1 million reference requests from the Congress, the
    public, and other Federal agencies.
        I would like to express my sincere gratitude for the support that
    this committee and the entire Congress provide for the Library. In
    particular, I appreciate your support in the fiscal year 2017 funding
    bill for several high-priority needs. As the Library continues to
    implement recommendations by the Government Accountability Office to
    strengthen our information technology infrastructure, funding for the
    3-year migration of our data center to a new, safe and secure Tier III
    primary computing facility, away from Capitol Hill, is a vital
    component of IT modernization. The support you provided for protecting
    the Library against cyber security threats through two-factor
    authentication will directly address this shared priority. Improved
    security will protect our IT network and resources, including the
    security and confidentiality of Congressional Research Service data.
        I particularly appreciate the additional funding and authorization
    for Copyright Office modernization, one of my management priorities.
    Also, your support for digital collections management staffing, new Law
    Library compact shelving, and additional funding for CRS will
    positively impact the Library's highest priority needs.
        I come before you today to discuss the Library's funding request
    for fiscal year 2018 during a time of challenge and opportunity as we
    position the Library for the future. I am committed to a modernized
    Library that will make our extraordinary resources, collections and
    programs available online, enhancing opportunities for those who cannot
    come to see us in person. We will continue to raise gift and trust
    funds for special acquisitions that complement the collections as well
    as to hold programs that would not be possible through appropriated
    funding. For example, in the past year gift funds allowed us to acquire
    a rare Philadelphia census directory from 1811, the first city
    directory to contain a separate listing of the city's African-American
    residents.
        Our budget request reflects the Library's most immediate priorities
    of serving the Congress, expanding access to historical documents,
    improving service in all mission areas and being good stewards of the
    national collection. As an example of increased access and better
    service, we are livestreaming Library programming for children and
    adults to bring the Library's collections to people who cannot come to
    Washington, DC.
        In the months since I took office, to better support these
    priorities, we have taken positive steps to strengthen management and
    oversight within existing resources. In November, I addressed the need
    to maximize value from the Library's investment in technology by
    directing that all technology activities be centrally coordinated
    through the Office of the Chief Information Officer (OCIO) and approved
    by the Chief Information Officer, who now reports directly to me. IT
    centralization is well underway. IT investment planning is now
    coordinated Library-wide.
        The Director of the Office of Strategic Planning and Performance
    Management also reports directly to the Librarian. This alignment
    strengthens strategic, directional and operational planning, as well as
    performance assessment, internal controls, and the identification and
    mitigation of high-risk areas.
        I am confident that these adjustments have put us on the right
    management path internally to position the Library for the future. Now,
    however, I ask for your assistance for the key initiatives in our
    request that will continue our progress in modernization and staffing.
        The Library of Congress fiscal year 2018 budget request is for
    approximately $738 million, which represents a 7.8 percent increase
    over the Library's fiscal year 2017 budget. Of this, 5.9 percent
    accounts for mandatory pay and price level increases ($43.3 million).
    The balance of the increase represents critical investments in
    information technology for the Library, the Copyright Office, and the
    Congressional Research Service, as well as funding to acquire new
    workforce expertise in key areas.
        The fiscal year 2018 budget request advances the fiscal year 2017
    IT modernization progress with three critical modernization
    initiatives: enterprise investment in IT for the Library; Copyright IT
    modernization; and CRS systems modernization. First, the Library's
    Enterprise IT Modernization request will upgrade the underlying network
    infrastructure across the enterprise to state-of-the-industry
    standards. This effort will provide the infrastructure backbone to
    support the modernization of all business applications, including a
    modern Copyright registration system. Next, the Copyright IT
    modernization request will focus on its mission systems and seeks
    support requirements analysis for the next generation registration
    system as well as resources for maintaining the stability of Copyrights
    legacy systems. Finally, CRS is seeking a 5-year investment in the
    Integrated Research and Information System (IRIS) to modernize mission-
    specific information systems that will reduce the time to research,
    analyze, create, and deliver CRS products to Congress with increased
    security and confidentiality of congressional data.
        A highly trained workforce with the unique skills and expertise to
    take the Library into the future is critical to meeting the needs of
    the Congress and the American people. We have an aging staff. For CRS
    in particular, bringing in junior analysts is important to strengthen
    capacity in high congressional demand areas such as defense policy,
    health and education policy, and the Federal budget process. The junior
    analyst staffing model is an innovative, cost-effective concept that
    allows CRS to be more nimble and flexible with staff by providing
    analysis on emerging issues, while reducing staff capacity in areas
    that are no longer in demand. It also provides the junior analysts with
    the opportunity to build expertise by working with top senior analysts.
        The Library is also committed to a fully functional, well-staffed,
    and modern Copyright Office. Funding is also requested to establish a
    more robust Copyright registration staff as well as public information
    staff to address backlogs and improve the Copyright user experience.
    Enhanced public information staffing will improve the Copyright user
    experience and allow the Public Information Office to permanently
    expand hours of service to better serve the large copyright stakeholder
    community on the West Coast.
        Storage space for our collections continues to be a high priority.
    Storage module 5 is on target for completion in calendar 2017, thanks
    to congressional support. Although not in the Library's budget request,
    the Architect of the Capitol is requesting $45 million in its fiscal
    year 2018 budget to build a double preservation storage module 6,
    needed to keep up with the volume and preservation of the physical
    collections. The design for preservation storage module 6 was funded in
    2016. As stewards of the precious collections stored at Ft. Meade,
    resources that belong to current and future generations, we are deeply
    grateful for this congressional support.
        Another less obvious improvement to our infrastructure is
    restoration of our custodial services through an addition to base
    funding. Custodial services have degraded significantly since 2011 as
    the result of escalating costs. A return to 2011/2012 acceptable
    quality levels would address health and sanitation concerns, and also
    prevent erosion of the physical plant. All of this is important not
    only for the staff, but for visitors to the Library.
        In closing, modernized IT, strengthened infrastructure, and funding
    for staff with unique skills and expertise are all critical elements in
    positioning the Library for the future. With your support, our service
    to the Congress and the American people promises to be the best it has
    ever been, as we reach millions of new users in the years to come.
        Mister Chairman, Ranking Member Murphy, and Members of the
    subcommittee, the Library is both America's first Federal cultural
    institution and part of the innovative infrastructure of America. I
    thank you again for supporting the Library of Congress and for your
    consideration of our fiscal year 2018 request.
                                     ______

       Prepared Statement of Karyn Temple Claggett, Acting United States
                             Register of Copyrights
        Mister Chairman, Ranking Member Murphy, and Members of the
    subcommittee:

        Thank you for the opportunity to submit the United States Copyright
    Office's fiscal year 2018 budget request.
        As this Committee has recognized, technology continues to transform
    and expand the role of copyright and the Copyright Office in the
    Nation's economy.\1\ According to some statistics, in 2015 core
    copyright industries added more than $1.2 trillion to the U.S. gross
    domestic product, accounting for 6.88 percent of the U.S. economy.\2\
    These industries employed over 5.5 million workers, accounting for 3.87
    percent of the entire U.S. workforce.\3\ Against this backdrop, the
    Office maintains key aspects of the Nation's copyright system, which
    benefits content creators, technology companies, and the public at
    large.
    ---------------------------------------------------------------------------
        \1\ ``The Committee recognizes that the digital revolution has
    transformed the copyright marketplace and, as a result, the role of the
    Copyright Office in our economy.'' S. Rep. No. 114-258, at 39 (2017).
        \2\ Stephen E. Siwek, Copyright Industries in the U.S. Economy: The
    2016 Report 2 (2016) (prepared for the International Intellectual
    Property Alliance).
        \3\ Id. Additionally, the Department of Commerce's Internet Policy
    Task Force has explained the importance of the copyright industries,
    noting in 2013 that ``[t]he industries that rely on copyright law are
    today an integral part of our economy, accounting for 5.1 million U.S.
    jobs in 2010--a figure that has grown dramatically over the past two
    decades. In that same year, these industries contributed 4.4 percent of
    U.S. GDP, or approximately $641 billion. And the demand for content
    produced by our creators contributes to the development of the broader
    Internet economy, spurring the creation and adoption of innovative
    distribution technologies.'' Department of Commerce Internet Policy
    Task Force, Copyright Policy, Creativity, and Innovation in the Digital
    Economy 5 (2013) (citations omitted).
    ---------------------------------------------------------------------------
        The Copyright Office manages the Nation's copyright registration
    and recordation systems, each year reviewing hundreds of thousands of
    claims for copyright and thousands of copyright transfer statements.
    The Office also administers statutory licensing royalties and
    distributes hundreds of millions of dollars annually in royalty
    payments. Office staff process assorted public inquiries on nearly
    every aspect of copyright law; search and provide certified copies of
    Office records; transfer hundreds of thousands of new materials to the
    Library of Congress; and provide expert legal and policy advice to
    Federal agencies, courts, and Congress.
        In fiscal year 2016 alone, the Copyright Office registered
    approximately 414,000 claims to copyright and recorded almost 11,000
    ownership-related documents pertaining to nearly 162,000 copyrighted
    works. The Office collected over $242 million in royalty payments from
    statutory licenses and provided certified copies of Office records
    generating over $600,000 in fees. In addition, the Office answered over
    37,000 electronic filing inquiries; 6,500 phone calls; 6,000 email
    inquiries per month; and assisted nearly 2,000 in-person visitors.
        The Copyright Office also engaged in important and complex legal
    and policy issues in furtherance of the Copyright Act. Consistent with
    its statutory mandate, the Office advised Congress on a host of
    informal legislative inquiries and responded to several formal
    congressional requests to study a number of copyright issues. Office
    attorneys also assisted the Department of Justice on various copyright-
    related matters, including briefing in the Supreme Court. For example,
    in fiscal year 2016, the Office participated in briefing the Supreme
    Court in Star Athletica LLC v. Varsity Brands, Inc. and Kirtsaeng v.
    John Wiley & Sons, Inc. In the past year and a half, the Office
    published two comprehensive policy reports, The Making Available Right
    in the United States in February 2016, and Software-Enabled Consumer
    Products in December 2016. The Office also continued ongoing studies on
    the impact and effectiveness of the safe harbor provisions of section
    512 of Title 17 and on the anti-circumvention provisions of section
    1201 of Title 17. The Office held a series of public hearings in San
    Francisco, New York, and Washington DC, and analyzed nearly 100,000
    public comments submitted in connection with these studies.
        In fiscal year 2017, the Copyright Office has issued multiple
    publications in the Federal Register. To date, the Office has issued
    seven final rules, and six proposed rules are pending. For example, the
    Office published Notices of Proposed Rulemaking on technical
    clarifications to regulations under Title 17, as well as proposals on
    supplementary registration and group registration practices. It also
    issued Final Rules regarding the designation of agents to receive
    notifications of claimed infringement and removal of personally
    identifying information from the Office's records, and a Notice of
    Inquiry initiating a study on the moral rights of attribution and
    integrity. In anticipation of modernization, the Office also has
    proposed omnibus revisions to current recordation regulations governing
    transfers and terminations of copyright ownership. These rules
    contemplate the development of an online recordation system through
    which remitters can submit materials electronically, which will replace
    the current paper-based system. The Office further anticipates an
    overhaul or update of registration and licensing regulations to
    accommodate modernization, adjust to technological enhancements, and
    align with developing business practices. In addition, the Office
    preliminarily has identified the need to review all regulations, many
    of which date back to 1978.
        Finally, the Copyright Office engaged in numerous international
    initiatives, including serving on intergovernmental delegations to the
    World Intellectual Property Organization (WIPO) and supporting
    executive branch agencies in analyzing copyright legislation in other
    countries. For example, the Office provided the interagency with
    copyright-related advice on dozens of World Trade Organization (WTO)
    trade policy reviews and two country accessions to the WTO. In
    partnership with WIPO, in June 2016 the Office hosted its biennial
    International Copyright Institute training program for senior copyright
    officials from 22 developing countries.
              funding and overall fiscal year 2018 budget request
        To conduct its statutorily mandated work, the Copyright Office
    requests a budget that will enable it to continue to provide high-
    quality services to the public, Congress, and other Federal agencies.
    This request specifically seeks funding to continue the Office's IT
    modernization efforts, which the Committee has previously supported,
    within the context of the Library's broader IT centralization model. It
    also focuses on targeted staffing needs to maintain and improve
    efficiencies in registration, public records, public information
    services, and legal review. With these funds, the Office can better
    serve the American public at large and continue to support the Nation's
    copyright system.
        The Copyright Office administers funds from three separate budgets
    or program areas: (1) Basic Budget, which funds most of the Office's
    core operations, including the majority of payroll-related expenses.
    Historically the basic budget has been provided through a combination
    of appropriated dollars and authority to spend fee revenue, with fees
    constituting a majority of this funding (generally in the range of 58
    percent to 67 percent); (2) Licensing Budget, which is derived
    completely from licensing royalty collections otherwise payable to
    copyright owners and filing fees paid by cable and satellite licensees
    pursuant to statutory licenses administered by the Office; and (3)
    Copyright Royalty Judges Budget, which funds the Copyright Royalty
    Board (``CRB'')--although the CRB is not a part of the Office, the
    Office administers its budget on behalf of the Library of Congress.
        For fiscal year 2018, the Copyright Office requests a combined
    total of $72.0 million in funding and 488 FTEs, of which $43.6 million
    would be funded through authority to expend fees collected in fiscal
    year 2018 and in prior years.
        Specifically, the Office's requests are:
      --Basic Budget: $64.7 million and the authority to have 458 FTEs.
            $6.1 million and 22 FTEs of this request are for new
            initiatives, including funding important IT stabilization and
            modernization efforts, and staffing to address ongoing
            operations described further below. As in past years, the
            Office asks that Congress provide budget authority through a
            combination of annual appropriations and authority to offset
            fee revenue. The Office requests that $35.2 million be provided
            through authority to expend fiscal year 2018 fee revenue and
            that $2.3 million come through use of unobligated revenue
            balances of prior years. The Office requests that the remaining
            $27.2 million come from appropriated dollars.

            Initiatives to be funded through this request include:

        --$3.6 million devoted to Office IT modernization, which would be
                covered completely by fees collected in fiscal year 2018 or
                prior fiscal years; and
        --$2.5 million devoted to staffing for the Office to conduct
                registration activities; legal analysis; and administer the
                Office's public records, repositories, and public
                information functions.
      --Licensing Division Budget: $5.7 million, all of which is funded via
            fees and royalties. The requested increase includes mandatory
            pay-related and price level increases of $.149 million.
      --Copyright Royalty Judges Budget: $1.67 million in total, with $.08
            million to support mandatory pay-related and price level
            increases. $.41 million (for non-personnel-related expenses) of
            the total request is offset by royalties. The remainder, $1.26
            million in appropriated dollars, is to cover the personnel-
            related expenses of the Judges and their staff.
                            focus of funding request
        The Copyright Office's funding request focuses on two key areas:
    (1) increased funding for IT modernization efforts; and (2) staffing
    for the Office's registration, public information, and legal services.
    Copyright IT Modernization
        The Copyright Office has dedicated itself to modernizing its
    systems and its administration of the Nation's copyright laws. Starting
    in 2011, the Office began a series of comprehensive and targeted
    efforts to understand and analyze its IT needs. The Office issued its
    Priorities and Special Projects of the United States Copyright Office
    (October 2011-October 2013), which highlighted the need for
    technological upgrades. Following that kick-off, the Office undertook a
    comprehensive study of its technological capabilities and needs, which
    included extensive stakeholder feedback. The resultant 2015 Report and
    Recommendations of the Technical Upgrades Special Project Team
    acknowledged challenges with the current user experience and access to
    the public record, and offered recommendations for improvement. Then,
    based on congressional direction, the Office followed the initial
    report with a more detailed plan, 2016's Provisional Information
    Technology Modernization Plan and Cost Analysis (``Provisional IT
    Plan''), which provided concrete ideas about how to move the Office
    into the modern era.
        Subsequent to the Provisional IT Plan, the Copyright Office and the
    Library engaged in extensive, collaborative efforts to identify
    resource-sharing opportunities that may be achievable through use of
    the Library's existing or planned future technology resources and
    support services. Significant progress has been made by both sides in
    assessing how capabilities can be leveraged to produce the most
    advantageous and cost effective results, and these collaborative
    efforts will be reflected in the Office's revised IT plan, which will
    be submitted later this summer in response to the Committee's request.
    To ensure the revised plan is as comprehensive as possible, the Office
    and the Library's Office of the Chief Information Officer (OCIO) have
    partnered in assembling a team of experts to identify gaps and
    opportunities in available technologies, shared services, and mutually-
    supportive strategies. The revised IT modernization plan will be a
    forwarding-thinking document that provides an enhanced roadmap for
    overall modernization efforts.
        Currently, the Library is centralizing the IT functions of the
    business units, including the Office's IT functions. The Office is
    requesting fiscal year 2018 funds that were developed in coordination
    with the Library's Chief Information Officer to ensure alignment with
    the Library's overall IT strategy. The planning for a Library-led
    strategy for Office IT modernization is ongoing and is expected to
    result in additional funding requests in future years as these efforts
    progress. Since responsibilities will be bifurcated between the
    Library's OCIO, which has primary responsibility for infrastructure,
    project management, and other aspects of IT management, and the Office,
    which provides subject-matter expertise and manages mission-critical
    applications, future funding requests related to Office modernization
    will come from both the Library and the Office.
        At the same time, the Copyright Office has been developing a
    comprehensive plan to modernize its recordation system, and has now
    reached the final year of planning and analysis activities to bring its
    recordation systems online. The Office has undertaken significant
    planning, releasing the Office's Kaminstein Scholar's 2015 report
    Transforming Document Recordation at the United States Copyright
    Office. By the close of the current fiscal year, the Office will have
    completed documenting business and technical requirements and related
    documentation needed for a future-state IT system to accommodate online
    filing and processing of copyright-related documents. Under the shared
    services protocol, the Office plans to deliver the completed package of
    planning documentation to the OCIO later this year so that development
    of the future-state system can begin in fiscal year 2018.
        To significantly advance modernization goals, the Copyright Office
    is requesting $3.6 million, comprised of fees and one-time budget
    requests, as referenced above. In addition to continued development of
    a recordation system, these additional funds will allow the Office to
    launch the first phase of development of a next-generation copyright
    registration system through a thorough, comprehensive analysis of
    business requirements. This phase will include requirements gathering,
    requirements validation, and system design sessions with various
    copyright industry and user group partners, as well as with Office
    staff, to ensure that the unique needs and specific requirements of the
    widest array of user groups are documented and ultimately incorporated
    into the new registration system. Moreover, the funding is necessary to
    mitigate identified risks and to ensure that the Office's existing
    legacy systems remain available and operational until functionality can
    be more permanently addressed through the Office's and Library's joint
    modernization efforts. The requested funding also would allow for
    system monitoring to reduce the risk of system intrusion, proactively
    identify system issues before they occur, and provide for security
    enhancements that would evaluate the technical and non-technical
    security features of existing systems to ensure the systems meet
    mandated security requirements. The activities in this request are
    early-phase projects to be undertaken by the Office in what will be a
    multi-year modernization effort. As the Office and the Library work to
    deliver these improved technologies on behalf of customers and
    stakeholders, it is expected that additional requests for funding will
    be generated.
    Copyright Office Staffing
        The Copyright Office operates on a very modest budget while
    providing valuable services to the public at large, copyright owners,
    technology companies, and the Library itself. For quite some time, the
    Office has conducted this important work with very limited staff. The
    Office believes that additional staffing is critical in several core
    areas to address the expansion in the use of the Nation's copyright
    system, including the need for additional examination capacity and
    increased services to copyright stakeholders, and to address
    increasingly complex policy issues regarding Copyright Act
    interpretation and administration.
        The staffing requests span several areas of the Copyright Office.
    First, the request seeks to add much-needed registration specialists.
    While the Office has hired specialists in recent years, they must
    undergo complex, extensive training in the legal examination of
    copyright applications to properly fulfill their job responsibilities.
    Thus, adding new registration specialists does not immediately result
    in reducing application processing times and, in fact, can appear to
    provide an increase in processing times due to existing specialists
    taking on training roles for the new employees instead of devoting all
    of their time to reviewing incoming claims. The Office's request thus
    seeks 15 additional registration specialists to provide necessary
    capacity to reduce turnaround times in the future, while providing for
    the ongoing training and quality control necessary to better manage
    workload spikes.
        Second, the Copyright Office's request also aims to enhance other
    areas that support the administration of the copyright system.
    Specifically, the request would provide additional staff to the
    Office's small group of legal specialists, who must handle a steadily
    increasing workload as the copyright landscape evolves in both
    complexity and volume. Additional staff also would work in the Office's
    Public Information and Education division, allowing the Office to
    provide expanded service hours for its large community of West Coast
    customers.
        The Copyright Office greatly appreciates the Committee's
    consideration of this request and ongoing support for the success of
    the Office and for the national copyright system.
                                     ______

    Prepared Statement of Mary B. Mazanec, Director, Congressional Research
                                    Service
        Mister Chairman, Ranking Member Murphy and Members of the
    subcommittee,

        Thank you for the opportunity to present the fiscal year 2018
    budget request for the Congressional Research Service (CRS) and to
    briefly describe to you the support we have provided the U.S. Congress
    this past year. As you know, the Service assists Congress by supporting
    its legislative, oversight, and representative functions. CRS provides
    objective, analytical research and information to all Members and
    committees through all stages of the legislative process. The Service
    assists in analyzing draft legislation, comparing policy proposals and
    options, and assessing the potential impacts of policy changes. It
    provides substantive written products, tailored confidential memoranda,
    issue-related seminars, and personal consultations and briefings.
    Moreover, CRS provides those services without advocacy or agenda.
        In the last fiscal year, CRS served the Senate and House with
    support across a wide spectrum of complex and diverse issues. The
    Service received 563,000 requests for products and services from
    Members and committees, including more than 62,000 requests for custom
    research and analysis. CRS produced more than 3,600 new or updated
    products, published over 6,300 bill summaries on our website, and
    hosted seminars and other events for more than 9,200 congressional
    participants. In the last fiscal year and in the several years prior,
    CRS provided custom services to 100 percent of Senate and House member
    offices and standing committees.
                        fiscal year 2018 budget request
        The CRS budget request for fiscal year 2018 is $119,489,000, with
    almost 90 percent devoted to staff pay and benefits. This request
    equitably balances the competing goals of providing the comprehensive
    services mandated by statute, while recognizing the significant budget
    challenges facing Congress and the Nation as a whole.
                               budget challenges
        Over the past several fiscal years, CRS's staffing levels and
    purchasing power have been significantly diminished, while demand for
    CRS work has remained strong. CRS is committed to maintaining broad
    analytical expertise and flexibility to address both recurrent and
    emerging legislative issues. However, if the fiscal trajectory of
    recent years continues, CRS may not be able to sustain the level of
    service currently provided.
        CRS's full-time equivalent (FTE) staffing levels since fiscal year
    2010 have dropped by 13 percent, including an 8 percent reduction in
    analytical capacity. While CRS continues to hire analytical, research,
    and managerial staff, the Service is not able to replace staff on a
    one-to-one ratio. CRS has worked to contain costs, including
    prioritizing hiring research staff over other positions, and dividing
    congressional issue portfolios among remaining staff to maintain
    comprehensive coverage of legislative priorities. To streamline our
    infrastructure, in April we combined our workforce and finance offices
    into one Office of Administrative Operations.
        Static budgets since fiscal year 2010 have also resulted in the
    erosion of CRS's purchasing power by almost 16 percent. CRS uses as
    many modern methodologies and technology platforms as available and
    affordable to increase its efficiency. However, diminishing purchasing
    power may affect CRS's ability to maintain current service levels.
        Specifically, the Service anticipates that:
      --the ability of CRS to conduct in-depth research and analysis will
            be adversely impacted as existing staffing gaps intensify, with
            the Service facing challenges acquiring necessary new expertise
            and retaining its invaluable cadre of experienced experts;
      --the Service will not be able to effectively procure and utilize new
            technologies and thus will not be able to leverage the
            increasingly vast amount of data that could provide critical
            insight for congressional decisionmaking;
      --areas of consistently heavy congressional demand, including
            education, healthcare, defense, and appropriations will
            increasingly be impaired by staffing constraints, and the
            timeliness of responses to requests and of updating research
            products may be compromised due to expanding staff workloads;
            and
      --the Service's ability to effectively perform all of the functions
            required by statute may diminish.
                 fiscal year 2018 programmatic increase request
        CRS is requesting $4.753 million in programmatic increases in
    fiscal 2018 in order to address ongoing challenges and to continue to
    provide the products and services expected by the Congress. This
    request includes $753,000 to support eight not-to-exceed (NTEs)
    appointments to strengthen research capacity in areas of high
    congressional demand and $4 million to support an Integrated Research
    and Information System (IRIS), a needed technology enhancement.
        The majority of the requested funding increase would establish the
    Service's next-generation Integrated Research and Information System
    (IRIS). For fiscal 2018, CRS is requesting $4 million be temporarily
    added to the base through fiscal 2022, for a 5-year investment of $20
    million, to modernize legacy IT systems. The current funding level only
    allows CRS to support operations and maintenance on its existing, aging
    systems. IRIS will leverage the latest advances in web based
    technologies to provide an agile and flexible infrastructure that will
    enable efficient, easy-to-use technologies for rapid deployment and use
    by CRS staff and Congress. IRIS will support Congress in four key
    areas: knowledge management; policy and data analysis; content
    creation; and product delivery. New tools and systems will allow for
    significant improvements including: enhanced personalization of content
    and alerts for congressional users; a more effective search engine with
    faceted search; and new content management and authoring systems, which
    will reduce staff time spent on administrative and production issues,
    thereby allowing for more staff time to focus on research, analysis,
    and consultative services for Congress. IRIS will also allow CRS to
    better capture, digitize, and catalog institutional memory, including
    work products and supporting materials, for future CRS staff.
        CRS also plans to create eight new entry-level positions which
    would be recruited at the GS-11 pay level in NTE 3-5 year appointments.
    These positions would support our succession planning efforts by
    establishing a pool of qualified and available talent. Succession is a
    concern for the Service as 23 percent of CRS staff will be retirement
    eligible in fiscal 2018. CRS is seeking two positions in each of the
    following high-demand areas: defense policy and budget; health policy;
    education policy; and budget and appropriations process.
                      legislative support for the congress
        CRS supported Congress over the past fiscal year across all public
    policy issues. This support included examining the nature and extent of
    domestic and international issues facing Congress; identifying and
    assessing policy options; assisting with hearings on policy proposals
    and on implementation of policies; supporting congressional review of
    nominations and treaties; and providing products, briefings, and
    consultations to address pressing issues on the legislative agenda.

        Selected highlights of our services are as follows.

        Comprehensive Energy Legislation: Members of Congress from both
    chambers met in conference to negotiate major energy and natural
    resources legislation. CRS provided ongoing support for the conference
    process through in-person consultations, comparisons of bill sections,
    analysis of provisions, new reports, and updates.
        Constitutional Law and CONAN: The role of the Constitution in
    shaping American society was a prominent issue in the 2016 election,
    and the death of Antonin Scalia raised the potential for significant
    changes to the future of constitutional interpretation by the Court.
    CRS attorneys provided guidance to lawmakers through a variety of
    formats, including efforts to prepare the decennial edition of the
    Senate Document, The Constitution of the United States of America:
    Analysis and Interpretation (CONAN), presentation of seminars for the
    Federal Law Update series relating to constitutional law, the Court's
    criminal law cases, and the application of the Constitution's Supremacy
    Clause. In the wake of the death of Justice Scalia and the nomination
    of his successor, CRS attorneys wrote comprehensive reports to guide
    lawmakers with regard to the Supreme Court vacancy.
        Defense Reform and the National Defense Authorization Act: CRS
    assisted lawmakers as they debated key provisions in the fiscal year
    2017 National Defense Authorization Act, beginning with seminars for
    staff of both chambers on the President's defense budget request, often
    the first such overview and analysis available to Congress following
    the administration's initial budget presentation. CRS experts examined
    proposals related to reform of the Department of Defense. As the bill
    entered its conference phase, more than 60 CRS analysts prepared side-
    by-side comparisons of the more than 1,000 provisions in the Senate and
    House versions of the bill.
        Environmental Law and Policy: In 2016, CRS analysts and attorneys
    assisted Congress by analyzing Senate and House amendments to the Toxic
    Substances Control Act. When the Environmental Protection Agency (EPA)
    issued its Clean Power Plan rule regulating emissions of greenhouse
    gases from existing fossil fuel-fired power plants in 2015, CRS
    analysts and attorneys briefed congressional requesters regarding the
    implications of the rule and provided written reports and memoranda.
        Federal Aviation Administration: In fiscal year 2016 both the
    Senate and House addressed legislation to reauthorize civil aviation
    programs, encompassing everything from regulation of unmanned aircraft
    to subsidized air service to small communities. CRS responded to
    congressional requests for analysis as the two chambers considered
    provisions relating to aviation security, hiring of air traffic
    controllers, and maintenance of control towers at small airports.
        International Law: CRS legislative attorneys provided research and
    analytical support through briefings and written products on a number
    of foreign affairs and international law issues, including the Paris
    Agreement made by parties to the United Nations Framework Convention on
    Climate Change, the Joint Comprehensive Plan of Action regarding Iran's
    nuclear program, resolutions issued by the United Nations Security
    Council, and various treaties submitted to the Senate for its advice
    and consent. The attorneys also researched the status of the settlement
    claims against Iran and assisted as Congress enacted the Justice
    Against Sponsors of Terrorism Act.
        Transatlantic Trade and Investment Partnership and ``Brexit'': CRS
    worked with Congress on a major trade agreement as it entered its
    fourth year of negotiation, the U.S.-EU Transatlantic Trade and
    Investment Partnership (TTIP). CRS regularly updated Congress on the
    status of the negotiations, the priorities of the respective sides, and
    the outstanding issues that remained to be resolved before the
    agreement could be concluded. A related policy issue for Congress was
    the United Kingdom's decision to leave the European Union. CRS
    supported Congress as it expressed interest in the vote's outcomes,
    particularly the trade and economic implications. CRS helped Congress
    assess its impact on TTIP and on the potential future U.S.-UK free
    trade agreement.
        Middle East Turmoil, Terrorism, and Instability: CRS provided
    Congress with in-depth analysis and authoritative information about
    ISIS and the international struggle against it and other terrorist
    groups in Iraq and Syria as well as Libya, Yemen, Egypt, and beyond the
    region to Europe and Asia. CRS analyzed a new Memorandum of
    Understanding between the United States and Israel aimed at enabling
    Israel to defend itself effectively in the midst of regional
    instability and Israel's continued concerns about threats from Iran.
    CRS also conducted detailed analysis of the failed July coup in Turkey.
        Response to the Zika Outbreak: Analysts and attorneys across the
    Service reported on policy concerns affecting countries in Latin
    America and the Caribbean, as well as the United States and its
    territories. CRS helped Congress as it considered measures to fund Zika
    response efforts and assisted in understanding Zika funding requests in
    relation to the status of appropriated funds for the previous Ebola
    crisis. Congress repeatedly turned to CRS legal, policy, and budgetary
    experts as it deliberated an aid package to support domestic and
    international efforts to contain the outbreak.
                             management initiatives
        CRS developed initiatives to optimize workflow, streamline
    operations, and enhance efficiency. Selected accomplishments are as
    follows.
    Congress.gov Development
        As part of the Library's multi-departmental team, CRS contributed
    to continuing development and daily operations of Congress.gov, which
    will replace two legacy legislative information systems with a single,
    modern system. CRS provided data analysis, subject matter expertise,
    consultation, system testing, user testing, coordination of data
    partner relationships, and support for congressional users and data
    partners. The Service also supports the use of the Congress-only LIS
    until equivalent capability is fully developed for Congress.gov.
    Accomplishments included the deployment of LIS-like quick searches for
    each of the Congress.gov collections and the initial implementation of
    an LIS-like advanced search.
    Strategic Planning
        CRS began implementing a new 5-year strategic plan for 2016 through
    2020. Key goals of the plan include expanding the range of products and
    services in line with the needs of Congress across a diverse clientele,
    enhancing a dedicated professional workforce to deliver those services,
    and efficiently and effectively managing resources to ensure that the
    Service optimally executes its statutory mission. As part of that
    effort, CRS is comprehensively evaluating operations and research
    activities to leverage efficiencies and synergies. For example, as
    noted, CRS merged its workforce and finance operations. Furthermore,
    the Service continues to critically examine other facets of its
    operations to strategically allocate resources. CRS also launched new
    initiatives on workplace diversity and internal communications to
    strengthen employee engagement.
    Information Technology Improvements
        CRS is collaborating with the Library of Congress to consolidate IT
    operations and services, as appropriate. In parallel with that process,
    in the past fiscal year, the Service upgraded Mercury, its customer
    relationship management (CRM) system. CRS also redesigned parts of its
    website for Congress (CRS.gov) into a series of 23 new Issue Area
    pages, which better align with the issue portfolios found in
    congressional offices.
    Product Enhancements
        CRS launched a new infographic product on CRS.gov. Infographics are
    intended to present complex information without the need for an
    accompanying written product. The Service also continued work on
    geospatial analysis and mapping products to illustrate public policy
    data. CRS continues to explore additional product formats for
    presenting information and analysis in ways that meet congressional
    needs for authoritativeness, accuracy, and brevity. As part of this
    effort, the Service is developing one-page summaries of CRS reports
    that will be published as stand-alone products.
                                   conclusion
        CRS continues to provide accurate, timely, objective, and
    nonpartisan research to the Senate and the House. However, CRS's
    ability to continue to provide comprehensive research and analysis
    across the spectrum of complex congressional issues may become
    increasingly challenging as the Service works to replace departing
    colleagues, to hire new staff in emerging areas, and to modernize
    information technology.
        Thank you for your steadfast support of the Service's mission, and
    the trust you place in the Service. I look forward to working with you
    to ensure that CRS continues to robustly meet your needs in an
    increasingly complex and fast-paced legislative environment.

        Senator Lankford. Thank you.
        Mr. Ayers.
                                  ----------

                            ARCHITECT OF THE CAPITOL

    STATEMENT OF HON. STEPHEN T. AYERS, ARCHITECT OF THE
                CAPITOL
        Mr. Ayers. Thank you, Chairman Lankford and Ranking Member
    Murphy.
        I appreciate the opportunity today to present the Architect
    of the Capitol's budget for fiscal year 2018.
        Our request of $773 million dollars prioritizes the people
    and projects that are required to fulfill our mission to serve
    Congress and the Supreme Court, preserve America's Capitol and
    inspire memorable experiences for people that visit here from
    across the globe.
        Over the last two decades, our footprint has increased
    substantially and today we operate and care for more than 17.4
    million square feet of space across 36 different facilities and
    570 acres of grounds. In fiscal year 2016, we hosted more than
    4.5 million visitors from throughout the United States and
    around the world.
        During this time, not only has the AOC kept up with, but we
    think we have staked a leadership role in, using innovative
    technology and addressing significant security challenges that
    face us.
        AOC employees work around the clock to maintain our
    facilities to ensure the health and safety of those who visit
    and work on the Capitol campus each day. We could not
    successfully achieve our mission without the hard work, skill
    and commitment of our current team of more than 2,100 craftsmen
    and dedicated professionals.
        Last year, Mr. Chairman, I promised your predecessor that
    2016 would be a banner year for the AOC, and I am delighted to
    report that we delivered. The AOC successfully completed
    several high profile projects on time, on budget and with
    minimal disruption to our building occupants and visitors,
    including the completion of the Capitol dome restoration. And,
    as we have for more than 150 years, the AOC recently supported
    preparations for the Presidential Inauguration.
        As substantial and historic as some of our recent
    accomplishments are, regular preventive maintenance is the best
    defense against the deterioration of our buildings, and the
    best defense against rising costs.
        Budget constraints continue to slow our ability to perform
    regular inspections and routine maintenance that improve
    functionality and extend the lifespan of our infrastructure. We
    rely on temporary fixes that buy time, but are not enough to
    prevent conditions from worsening.
        Our fiscal year 2018 request includes $25 million in
    overdue operational increases to meet the demands of mandatory
    cost increases and address critical repairs that reduce the
    risk of failures in the future.
        Our request will provide the necessary resources for
    preventive maintenance, thereby avoiding costlier fixes to our
    infrastructure and slowing the growth of the $1.55 billion in
    backlog of fire and life safety, and security improvement
    projects.
        In addition, using our risk based prioritization process,
    we are requesting $240 million in capital projects this year.
    Nearly 70 percent of this capital request is specifically for
    the repair or replacement of projects that are past due or for
    systems that are approaching the end of their useful life.
        We are, again, requesting funds to replace obsolete
    chillers from the 1970s at the Capitol Power Plant to ensure
    safe and efficient air distribution across the Capitol campus.
        Our efforts continue to eliminate water infiltration that
    has deteriorated the stone facades of so many or our buildings.
    We are requesting funding for the Russell Senate Office
    Building exterior envelope repair, as well as the renovation of
    the Senate underground garage, which will ensure those projects
    continue to progress on time and on budget.
        We are also prioritizing security and resilience projects
    across the Capitol campus.
        We are committed to driving down our injury rates, driving
    up energy efficiency and reducing costs at every opportunity.
    With your support, we can ensure that the Capitol campus is
    accessible to all and remains a vibrant display of our
    democracy.
        Thank you.
        [The statement follows:]
                  Prepared Statement of Hon. Stephen T. Ayers
        Chairman Lankford, Ranking Member Murphy, and Members of the
    subcommittee, I appreciate the opportunity to present the Architect of
    the Capitol's (AOC) fiscal year 2018 budget. Our request of $773
    million prioritizes the people and projects required to fulfill our
    mission to serve Congress and the Supreme Court, preserve America's
    Capitol and inspire memorable experiences.
        The AOC has a legacy that is rooted in the very beginnings of
    Washington, DC, with the laying of the U.S. Capitol cornerstone in
    1793. As the country grew, so did the Capitol campus and with it the
    AOC's responsibilities. Today, we operate and care for more than 17.4
    million square feet across 36 facilities and 570 acres of grounds.

    ARCHITECT OF THE CAPITOL STEPHEN T. AYERS ANNOUNCING THE COMPLETION OF
                   THE U.S. CAPITOL DOME RESTORATION PROJECT

        In the last two decades, our footprint has increased substantially.
    Along with the sheer growth in size, the complexity of operating our
    facilities has changed significantly. The number of people that work
    here has grown, and the number of people that visit has skyrocketed.
    The Capitol campus is home to thousands of daily occupants and has
    hosted approximately 4.5 million visitors from throughout the U.S. and
    around the world in fiscal year 2016.
        During this time, the AOC has not only kept up with, but staked a
    leadership role in using innovative technology and addressing
    significant security challenges all while driving down injury rates,
    driving up energy efficiency and reducing costs.
        In 2016, we completed several high-profile projects on-time,
    within-budget and with minimal disruption to building occupants and
    visitors.
        In the fall, we celebrated the once-in-a-generation restoration of
    the U.S. Capitol Dome and Rotunda. With the support of the Congress,
    hundreds of expert craftsmen worked day and night to restore the Dome
    to its original inspiring splendor.

                  GRANT MEMORIAL RESTORATION BEFORE AND AFTER

        We also completed the initial phase of the work needed to preserve
    Union Square. In 2011, Congress transferred Union Square to the AOC and
    made the meticulous restoration of the Ulysses S. Grant Memorial a
    priority. Weather and time have not been kind to the memorial, and we
    are working to address safety issues and repair the most visibly
    deteriorated conditions throughout Union Square. The restoration of the
    bronze components and marble pedestals of the Grant Memorial will once
    again allow all who visit to experience the power and majesty of the
    memorial.
        In addition, we successfully completed the first phase of the
    Cannon Renewal project. On time and under budget, this phase included
    installing building utilities, primarily in the basement, and the moat
    area of the courtyard. This enables future work to connect to the new
    systems, minimizing shutdowns and disturbances.

                STONE PRESERVATION AT THE U.S. CAPITOL BUILDING

        Stone preservation across the Capitol campus remains a top priority
    for us, as nearly every building is enveloped in stone and all have
    significant problems. To address these stone issues across the campus
    takes a team of historic preservationists, structural engineers and
    stonemasons, among others. The men and women of the AOC are in a race
    against time as the infrastructure rapidly crumbles and deferred
    maintenance projects accumulate. While we face many challenges, we
    continue to successfully tackle this important issue. In 2016, we
    completed the first section of the U.S. Capitol Stone and Metal
    Preservation project. This multi-phased project is designed to extend
    the life expectancy of the deteriorated stone and to replace missing
    elements of the U.S. Capitol Building.

                         2017 PRESIDENTIAL INAUGURATION

        And as we have for more than 150 years, the AOC recently supported
    preparations for the 58th Presidential Inauguration. We successfully
    constructed the inaugural platform, set up the necessary fencing,
    placed over 30,000 chairs on the grounds, procured the sound system and
    other support systems, installed the flags and buntings, and
    coordinated many other activities with the Joint Congressional
    Committee on Inaugural Ceremonies. We are extremely proud to have once
    again been part of this historic event.
                          immeasurable responsibility
        As substantial and historic as some of our recent accomplishments
    are, they should not diminish the importance of our day-to-day duties.
    AOC employees work around the clock to maintain our facilities and
    ensure the health and safety of those who visit and work at the Capitol
    campus each day. Our fiscal year 2018 budget request of $773 million
    includes funding increases to provide the regular, ongoing maintenance
    that is vital to protect our recent major investments. Regular
    preventive maintenance is the best defense against the enemy of
    deterioration by slowing the cycle of decline and helping guard against
    catastrophic failure and unsafe conditions. The most prudent, cost-
    effective investment we can make is to support adequate personnel and
    resources to perform regular inspections and routine maintenance that
    improve functionality and extend the life span of our infrastructure.
        The demand of meeting mandatory cost increases is compromising our
    ability to fully execute these core functions. Budget constraints have
    slowed our ability to perform maintenance and, rather than purchasing
    needed parts and service throughout the year, we are relying on
    temporary fixes that buy time but are not enough to prevent conditions
    from worsening. Across campus, we must address a growing backlog of
    work that is needed to keep our heating, ventilation and air
    conditioning equipment and electrical systems operational. Plumbing
    inspections, carpentry work, general repairs and emergency repairs
    compete for limited resources. In recent years, we have successfully
    managed to balance competing needs and diminishing resources, but we
    are now faced with critical life cycle repairs and replacement
    requirements that must be met to reduce the risk of system failures.

    PERFORMING ROUTINE MAINTENANCE IMPROVES THE SAFETY AND SECURITY OF OUR
                                 INFRASTRUCTURE

        To address this, our request will provide resources necessary for
    preventative maintenance, thereby avoiding more costlier fixes to
    campus infrastructure and slowing the growth of the $1.55 billion
    backlog in campus fire, life-safety and security improvement needs.
        In addition, using the AOC's risked-based project prioritization
    process, we are recommending 21 Line Item Construction Program projects
    totaling $240 million. Of this, $166.4 million (or 69 percent) is
    specifically for projects classified as Deferred Maintenance (repair or
    replacement is past due, in some cases significantly) or Capital
    Renewal (approaching the end of useful life).

     DETERIORATION OF THE RUSSELL SENATE OFFICE BUILDING EXTERIOR ENVELOPE

        Our fiscal year 2018 request includes funding for the Russell
    Exterior Envelope Repair and Renovation project. The Russell Senate
    Office Building recently passed its 100th anniversary and is showing
    its age. This project mitigates life-safety hazards and reduces current
    maintenance and energy costs.
        Preservation of the exterior stone, windows and doors at the U.S.
    Capitol and the U.S. Supreme Court are also underway. These projects
    will prolong the life expectancy and preserve the historic features of
    the buildings by preventing water and air infiltration, slowing
    deterioration of the stone and corrosion of the metals, repairing
    damage, and removing soil and stains.
        And soon we will begin the Senate Underground Garage. Ensuring this
    critical project is fully funded will allow us to remain on-schedule
    and prevent continued deterioration that has jeopardized the garage
    structure and increased the risk of deteriorating concrete.

           STORAGE MODULE AT THE LIBRARY OF CONGRESS FT. MEADE CAMPUS

        Also, construction of Module 6 at the Library of Congress' book
    storage facility complex at Fort Meade, Maryland, will further
    accommodate the Library's expanding collections of books, manuscripts,
    prints, maps, cultural and other copyrighted materials. Without
    additional off-site storage, as the Library's collections in all
    formats grow, the current situation continues to deteriorate,
    exacerbating the already dangerous conditions with regard to life-
    safety, research and preservation.
        We are also requesting funds in fiscal year 2018 for several safety
    and security projects that impact campus-wide services. At the Capitol
    Power Plant, the four existing cooling towers on the roof of the West
    Refrigeration Plant are more than 35 years old and beyond their useful
    life expectancy. The concrete associated with the cooling tower and
    other system components are continuously deteriorating, increasing
    potential for the towers to fail without warning.
        Externally, and in close coordination with the Capitol Police
    Board, we are prioritizing security upgrades to the Capitol campus. We
    must replace vehicle barriers and kiosks that have reached the end of
    their intended life cycle. Additionally, an enhanced exterior security
    presence and upgraded building infrastructure are essential elements in
    support of the security mission of the U.S. Capitol Police.
        Improvements are needed to address the long-term maintenance,
    preservation and restoration of Capitol Square, which encompasses the
    56 acres of grounds surrounding the U.S. Capitol. The aging, antiquated
    and disorganized system of infrastructure above and below ground
    continues to increase the negative impacts on projects, further damages
    the Capitol Square grounds, and prevents effective planning for future
    initiatives.

        PRESERVATION DAY CELEBRATION AT THE U.S. CAPITOL VISITOR CENTER

        The AOC is dedicated to creating a safe, welcoming and inspiring
    experience for all who visit Capitol Hill. For many visitors, this may
    be their first and only time seeing the Nation's capital, and we work
    hard to ensure the experience is worthy of this working symbol of
    American democracy and freedom. The dedicated employees of the U.S.
    Capitol Visitor Center and the U.S. Botanic Garden work to enhance
    customer service, hospitality and visitor engagement in a seamless,
    cohesive and positive visitor experience. As a source for civic
    education, we must continue to grow our exhibit and education
    experiences to maintain the high level of quality visitors expect and
    to expand our reach to include online and virtual visitors to the U.S.
    Capitol.
                                   conclusion
        The AOC's core values--integrity, professionalism, teamwork, safety
    and pride--drive our daily mission to serve Congress, the Supreme Court
    and the American people every day. From clearing snow after the January
    2016 snow emergency, to coordinating Supreme Court Justice Antonin
    Scalia's lying-in-repose ceremony, to planning congressional office
    moves and supporting the 58th Presidential Inauguration, we strive to
    be a world-class organization providing superior service to our
    clients. The AOC's fiscal year 2018 budget request furthers our
    commitment to ensuring the Capitol campus is accessible to all and
    remains a vibrant display of our democracy.

        Senator Lankford. Thank you very much.
        With the ranking member's concurrence, what I think I would
    like to do is have a more open conversation and not worry so
    much about the clock, since it is the two of us. We may have
    some other members that will pop in and out.
        I will address the questions initially to Dr. Hayden and
    then let us just swap back and forth. Then we will thoroughly
    grill Mr. Ayers from there, if that is all right with you. That
    will give you time to be prepared for that.
        Mr. Ayers. Yes, sir.

                     LIBRARY'S INFORMATION TECHNOLOGY PLAN

        Senator Lankford. Dr. Hayden, let me run through just a
    couple of things. Give me additional detail on the IT
    modernization plan, and the structure of that. Let us start
    with some basic things.
        You have a data center relocation, if I remember correctly,
    in that. Talk me through that project, what that means, and the
    timing.
        Why is this the right year to do that?
        Dr. Hayden. Yes. The IT modernization, as you may know, has
    been a major challenge and priority for the Library for a
    number of years, the Government Accountability Office report as
    well as Inspector General's recommendations. There are three
    benchmarks in the Information Technology plan for the Library.
        Number one is to stabilize the systems that exist; for
    instance, stop interruptions and outages. The second part would
    be to optimize, improving what we have already and what we can
    do with the legacy systems. And then one of the best parts is
    to modernize, making changes to the applications and making it
    better.

                             DATA CENTER MIGRATION

        The need to move to a more secure and a technology
    infrastructure base, the computing center, will allow the
    Library to move from a Tier 1 to a Tier 3 environment. That
    will not only stabilize our operations as they exist, but also
    provide better security and better operational aspects.
        For instance, at a Tier 1 facility that the Library
    currently occupies, it has a number of environmental
    challenges. By moving to another facility that is safely away
    from Capitol Hill--so you are migrating the physical operations
    to another location--you will then be able to have your
    security aspects in a format that will allow for cloud
    computing as well as physical. It will be both in the new
    computing. So that has started.
        We have a timetable of being able to have the contract by
    this August for moving materials and equipment out of the
    existing facility to the new, and then by next year, being able
    to complete the move.
        Senator Lankford. Let me ask a question. In the omnibus
    that we just passed for the rest of this fiscal year, we
    allocated $20 million for that data center move.
        Dr. Hayden. Yes.
        Senator Lankford. The good news - bad news on it. Good news
    is we finally got the appropriations bills done and got that
    finished. Bad news, it is a very short window with just the
    rest of this year.
        Do you feel confident that with that $20 million you can go
    through the process of the contracting, getting it out, getting
    the bids, whatever is required to be able to manage that in a
    way that is a good use of funds rather than have to be in a
    hurry to try to be able to get that done?
        Are you in a posture that you can use that effectively or
    is that about to rollover into next year?
        Dr. Hayden. No, we are not.
        And I say no like that emphatically because joining with
    me, and right behind me, is Mr. Bernard A. Barton, Jr., CIO,
    the first permanent CIO the Library has ever had.
        The contract for beginning the initial stages of the move
    is being submitted as we speak--I just got an update on that
    yesterday--and will be awarded by mid-summer August before this
    fiscal year ends.
        Then for fiscal year 2018, the initial phase of moving the
    equipment and the data to the Tier 3 environment will be
    completed. Then fiscal year 2019, everything will be completed
    to the Tier 3 environment. So in anticipation of a short period
    of time to let the contract, we are very hopefully getting
    things ready.

                                IT MODERNIZATION

        Senator Lankford. By the time we get to 2019, do you
    anticipate that all of the Library's legacy systems, as you
    mentioned them, are gone and that we have the modernization
    done? Or will there still be legacy systems there even in 2019,
    excluding the card catalog, by the way, in the corner? The old
    pull drawer catalogs, that legacy system is to remain.
        Dr. Hayden. And the card catalogs themselves physically
    still exist.
        Senator Lankford. Yes, so they need to remain. But the
    computer screens with the orange monitor probably need to be
    modernized. So tell me what you expect in that modernization.
        Dr. Hayden. Mr. Barton, we might want to bring him up just
    to clarify some of my general understanding, Mr. Barton reports
    directly to me now. That was one of the GAO recommendations and
    I get weekly updates.
        My understanding is that there are some mission specific
    legacy systems that have not been totally transitioned. For
    instance, the request for IRIS is taking care of the CRS system
    that is at least 20-years old and needs to be updated.
        We are looking at the copyright registration system, for
    instance, the Patent Office changeover and other similar types
    of processes that are automated. So we anticipate that we will
    be well on the way with most of the turn over for legacy
    systems. That is a major focus.

                    IT MODERNIZATION AFFECTING STAFF LEVELS

        Senator Lankford. At the end of that time period, do you
    expect that we will need fewer FTEs, more, or the same based on
    that modernization?
        Dr. Hayden. What is sometimes not always evident is the
    number of staff members might be the same, but they will be
    different types of positions as you move more into a more
    modernized IT environment. And so, we cannot predict right now
    exactly the difference in the number.
        Sometimes there is a sense that if you increase the digital
    capacity that the human capital might decrease.
        Senator Lankford. Right. Yes, and the Government Publishing
    Office has experienced that.
        Dr. Hayden. Very much so.
        Senator Lankford. They have done remarkable modernization
    over the last several years.
        Dr. Hayden. Right.
        Senator Lankford. And have also had a decrease in staff
    because of their modernization efforts.
        Dr. Hayden. And that is something that you hope that there
    will be an opportunity to look at the number of staff that we
    have at the Library, of course.
        For instance, with CRS, even if you have modern ways to
    communicate and serve Congress, still 90 percent of their
    budget is personnel because it is the human capital.
        Senator Lankford. Right.
        Dr. Hayden. So we will be looking at that balance.
        Senator Lankford. Thank you. Let me reserve other
    questions.

                             ABSORBING BUDGET CUTS

        Senator Murphy. Thank you, Mr. Chairman.
        I would like to come back to some of my opening remarks
    about the potential consequences from the massive budget cuts
    that could be coming. You are talking about a 3 percent cut if
    we do not adjust the budget caps and then potentially another
    13 percent cut if the President's budget is put into effect.
        And so, maybe I frame this in the context of a request that
    you have made, Dr. Hayden, for $1.8 million to restore some
    basic custodial services inside the Library.
        Dr. Hayden. Yes.
        Senator Murphy. Maybe you can talk about why that shortfall
    came about, but then maybe that is context to discuss what the
    impact would be of getting no additional funding to cover
    shortfalls like the one you have identified with respect to
    custodial services. But also then to have to endure 13 percent
    cuts to the overall budget.
        What decisions would you have to make if the President's
    budget actually became law?
        Dr. Hayden. Absorbing mandatory pay increases, and I
    mentioned that in the opening statement, and making sure that
    staff members at least have basic level of cost of living
    increases would have to be something that we would want to
    maintain.
        Looking at innovative ways to address staff shortages is
    something that is actually covered in our CRS request for eight
    short-term junior analysts that could have flexible schedules.

                           CUSTODIAL SERVICES REQUEST

        The deferred maintenance, the Architect mentioned what
    effect that has on the physical. It also affects things in
    terms of the Library with the custodial. And when you have
    collections, and you have people, and you have sensitive
    materials, custodial services are very important. The Library,
    in my review of the request, has had to make steady decreases
    in custodial services and over time that does have an impact.
        So at the Library, we are all looking throughout the
    Library of where we can make those adjustments and what that
    impact might have.
        Senator Murphy. As you know, people have very strong
    feelings about the future of the Copyright Office.
        Dr. Hayden. Yes.

                            COPYRIGHT MODERNIZATION

        Senator Murphy. And without getting into the details of the
    policy questions, one of the issues here is a backlog of over
    300,000 workable claims on copyright registration.
        I wonder if maybe you would talk about how the
    modernization effort that you are undergoing would affect the
    Copyright portion of the Library of Congress and whether some
    of that will address the backlog issue that we hear a lot
    about.
        Dr. Hayden. In fact that has been, as I mentioned also in
    the opening statement, a major focus of mine is to not only
    Library-wide modernization, but in particular the two special
    units, Copyright and CRS, and with the processes of copyright
    registration and recordation, two different processes.
        We are looking at making sure that we are able to modernize
    the legacy systems that Copyright uses as well as moving from
    as much paper-based parts of both processes that can be
    eliminated.
        And so steps have been taken already that will allow
    people, for instance, to register for copyright basically
    through electronic means and also to reduce the time that it
    takes for examiners to determine if the copyright is feasible
    and what type of copyright. So there has been quite a bit of
    work.
        I wanted to take this opportunity, if I may, to compliment
    Miss Karyn Temple Claggett, who has been Acting Register. She
    is right behind me. To thank her because she has really gotten
    in there, and pushed that effort along to try to address the
    backlogs and really make IT modernization happen sooner.
        So there is a timeline, and Miss Claggett and Mr. Barton
    have been working closely together to make sure that in our IT
    modernization--and you will notice that Copyright is mentioned
    quite a bit in that--that we are taking advantage of technology
    as much as we can.
        Senator Murphy. Can the backlog be solved purely through
    technology or is there a personnel issue here that exists
    regardless of how fast you move technology?
        Dr. Hayden. Well, there is in the request this year a
    number of staff that are requested to help with the backlog,
    and that is to address that. So there is still a human
    component.
        And, in fact, when we look at the progress that has been
    made with Patent and Trademark, there are specific aspects of
    registering for copyright that require things like a wet
    signature. There are certain things that cannot, right now, be
    aided by technology as we look at the processes.
        So some of that I mentioned the examiners. For instance,
    they go through a period of time depending on what is being
    submitted to be copyrighted. They have to determine is it a
    copyrightable item from wallpaper to books? Books, for
    instance, are much easier.
        So the examiner, in being trained, that is the human
    capital part of determining and so that cannot necessarily
    translate into the technology taking over that part. But not
    having to have paper applications, being able to have certain
    formats submitted electronically would aid quite a bit, and
    being able to review things electronically.
        So that is where we are looking. Where in the process can
    we modernize and use technology?
        Senator Murphy. Thank you.
        Thank you, Mr. Chair.
        Senator Lankford. Senator Van Hollen, would you like to ask
    questions of either of our guests?

                              CRS STAFFING LEVELS

        Senator Van Hollen. Thank you, Mr. Chairman.
        It is great to join you and Senator Murphy. And welcome to
    both of you.
        Dr. Hayden, we are very proud of you in the State of
    Maryland and your service at the Enoch Pratt Library System,
    and the modernization that you brought to that, and the efforts
    you had to bring digitizing. So thank you for taking those
    efforts to the Library of Congress.
        I have a question with respect to the Congressional
    Research Service, which I think Members of Congress on a
    bipartisan basis agree is a really important service where your
    nonpartisan expert analysts provide information to Members of
    Congress.
        In your budget, you note that staffing levels at CRS have
    declined by almost 12 percent since the year 2010. You are
    requesting $745,000 for eight additional staff members.
        Can you talk about the impact of declining staff at CRS on
    their ability to provide work requested by Congress, and
    exactly how you determine this need for an additional eight?
        Dr. Hayden. Thank you for mentioning the decline in the
    staffing for CRS over at least a 10-year period. From an all
    time high of over 600 to now 580 or so that are a mixture of
    subject specialists, all types of staff members.
        Ninety percent of the CRS budget is made up of the staff
    that I have often called ``the special forces'' for Congress; a
    topnotch research and reference group.
        And so looking at how to keep up with and maintain that
    quality of service that CRS is known for from the basic
    answering of questions from staff and members as soon as
    possible, to producing in depth analysis and reports has been
    challenging.
        The request is for eight junior analysts. We are looking
    also at succession planning in that they would have about a 3-
    year period to learn from other analysts, but be almost like
    SWAT teams.
        So, for instance, if healthcare, when things are being
    discussed and needed by Congress that these people will be
    flexible. So that is one way of looking at, and trying to
    cover, and maintain the service.
        The IT request for CRS that I talked about making sure they
    have the latest technology to be able to respond quickly to
    staff and to not have to spend their time, as they are doing
    now with this older system, working with the system, which does
    not provide for them. I have to just say it is clunky.
        So here you have these analysts who are on these timeframes
    that are doing this and they are working with the technology
    system that is 20-years old. We want to at least erase that and
    that is an instance of technology helping the humans to do
    their work and making it faster.
        So those are the types of things that CRS is trying to do.
    They work 24 hours a day. They are, I would say, really
    dedicated.
        Senator Van Hollen. I want to thank you. In my experience,
    the quality of their work has been really great.
        Mr. Ayers, first I want to thank you for the way you and
    your team came together after the tragic death of Matthew
    McClanahan. For my colleagues, we had a Marylander working for
    the Architect of the Capitol who, as you know, was tragically
    killed. I just want to thank you for being there to support the
    family and really the entire Architect of the Capitol family
    coming together after that tragedy. Thank you for that.
        Mr. Ayers. Thank you. Thank you for being part of that.

                             HARRIET TUBMAN STATUE

        Senator Van Hollen. Please keep us posted on how the family
    is doing.
        So you may not be aware of this yet, but my staff has been
    talking to some of the folks in your office about the
    possibility on the horizon of the State of Maryland donating a
    statue of Harriet Tubman, a great Marylander, a great American,
    to the Library of Congress.
        The State of Maryland has created an official State
    commission for the purpose of donating such a statue to the
    Capitol. All the fundraising is going to be done by the State
    commission. They are willing to work with you, the Architect of
    the Capitol and the Joint Committee on the Library, to ensure
    that we follow the regular process and that whatever is
    produced fits here in the Capitol.
        I have introduced legislation to authorize Congress to
    accept the statue and I understand if you have not had a chance
    to look at that. But I wanted to put that on your radar, if it
    is not already, and just ask if you would continue to work with
    me and have your team continue to work with my staff as we
    advance that process.
        Mr. Ayers. I would be happy to. Thank you, Senator. I look
    forward to working with you on that.

                         RUSSELL SENATE OFFICE BUILDING

        Senator Van Hollen. Great. It is a work in progress;
    literally.
        The last thing I just wanted to ask you about was the state
    of the Russell Senate Office Building. As a member who
    represents a lot of people who work in the Capitol and its
    offices, as you know, there has been an ongoing issue with
    respect to the Russell Senate Office Building. Thank you for
    working on the exterior.
        There is an ongoing issue with respect to the resolution of
    Citation 19.
        If you could, just provide us a brief update. And if you
    want to provide a lengthier response in writing, feel free to
    do that.
        Mr. Ayers. I would be happy to. I would be happy to do
    both.
        [The information follows:]

        Mr. Ayers. Citation 19 from the Office of Compliance
    requires a number of fire and life safety upgrades to the
    Russell Senate Office Building. We have been working with them,
    and a variety of consultants and blue ribbon panels, to find
    the right set of solutions that balance both life safety, as
    well as preservation of this beautiful gem of a building.
        We think now we have reached that solution with the Office
    of Compliance. We do have a verbal agreement on exactly what
    needs to be done.
        We are working on developing a budget and a timeline for
    the 11 Work Elements that need to happen to close out that
    citation. We will present that to the Office of Compliance. I
    am quite sure they will accept it.
        Then we will need to come before the subcommittee to
    request money on some of those work elements at some point in
    the future.
        Senator Van Hollen. Great. Thank you.
        Mr. Ayers. You are welcome.
        Senator Van Hollen. Thank you, Mr. Chairman.
        Senator Lankford. Before we move on to other areas with the
    Architect of the Capitol, I want to be able to come back to a
    couple of issues still with the Library. So we are not done
    yet.
        You and I have spoken before about the employee dispute
    resolution process.
        Dr. Hayden. Yes.

                          EMPLOYEE DISPUTE RESOLUTION

        Senator Lankford. And that previously, this committee and
    subcommittee had made some requests. There was a pilot program
    for employee dispute resolution, however those pilot programs
    were not effective.
        I would like to know what the considerations and thoughts
    are out there for employee resolution and if you are aware of
    any current complaints in the system?
        Dr. Hayden. One of the aspects of my early tenure was to
    establish regular meetings and communication with the Library's
    three unions. They were very involved with reviewing the aspect
    of employee dispute resolution that would include interactions
    with the Office of Compliance.
        So in terms of should there be a pilot on that, they were
    very involved with looking at and comparing the pretty robust
    system that the Library has for employee conflict resolution.
        They were satisfied and that we were able to provide
    opportunities for staff members to have effective resolution.
    So that I take literally their temperature on that, almost on a
    constant basis, but there are meetings with them to see.
        I have had a number, for instance, of employee open houses.
    I have a regular ``Coffee with Carla,'' which is kind of a
    behind the scenes just me and all types of staff members. I
    learn a lot at those coffees, but to really make sure that we
    have an opportunity. We have, of course, at the Library the
    EEOC officer and things like that.
        Senator Lankford. So current practice right now, employees
    can either go through the current Library conflict resolution
    process or they can go to the Office of Compliance, either one,
    and they pick which direction they want to go?
        Dr. Hayden. Most of the employees--from what I understand
    our H.R. director and the unions themselves--see the Library's
    process of conflict resolution to be an option for most of the
    employees.
        Senator Lankford. Right. Which I would assume would work.
    What I am trying to say is they can right now go the other
    route if they choose.
        Dr. Hayden. No, and they also have the opportunity to go
    outside in terms of Federal court or other mechanisms if they
    want. So they have those options.
        [Clerk's Note: This response was updated by the Librarian
    of Congress to reflect the correct information regarding
    employee dispute resolution.]
        [The information follows:]

                    LIBRARY'S LEGISLATIVE LANGUAGE PROPOSALS

        Senator Lankford. You made three legislative language
    proposals and I want to just ask you quickly about those as
    well.
        One allows the Library to be reimbursed for services that
    it already provides including storage, exhibit and training
    fees.
        Another proposal is for the Library to accept gifts beyond
    the monetary gifts currently authorized.
        And a third one deals with allowing the Copyright Office to
    continue to function even during a Government shutdown. Senator
    Murphy and I are going to work together to make sure there are
    no Government shutdowns any more, but if there is a Government
    shutdown, this allows the Office to operate much as the Patent
    and Trademark Office does.
        Do you want to make comments about any of the three of
    those?
        Dr. Hayden. Yes. Basically all three are designed to make
    sure the Library has some flexibility in terms of, for
    instance, the Copyright Office, that request to use at least 20
    percent to make sure that that registration process and their
    operations could continue in the event of any type of
    Government interruption.
        The other two allow the Library to be reimbursed and cover
    basic costs for loaning out exhibits, some of the services that
    they provide that there is a mechanism that they can at least
    cover the basic costs.
        Being able to accept gifts in kind, one way that the
    Library might be able to meet some of the fiscal challenges
    that might lie ahead is to be able to accept some gifts in kind
    in terms off equipment or other things that will help quite a
    bit.
        So it is about recouping basic costs, not over, but just
    the things that we already do and to have some flexibility for
    gifts and then operations.
        Senator Lankford. We have spoken about that before and I do
    not see an initial issue. Obviously, we have to work out the
    accountability portion and the transparency portion of that as
    well.
        Dr. Hayden. Right.
        Senator Lankford. Because at the end of the day, the donors
    also want to know the transparency portion of it, as well as
    the transparency of this subcommittee----
        Dr. Hayden. Very much so.
        Senator Lankford [continuing]. And the appropriated dollars
    and how that fits in.

                       REFRIGERATION PLANT REVITALIZATION

        Mr. Ayers, can we talk a little bit about the power plant
    chiller system replacement? Since it is June and August is
    quickly coming, and we are all aware of what August and July
    feels like in DC.
        Talk a little bit about the process, where we are right
    now, time periods, phases, and such.
        Mr. Ayers. I would be happy to.
        We have nine electric driven chillers at the Capitol Power
    Plant and they make chilled water that is sent out through
    several miles of underground tunnels to all of our buildings
    and others. That is what we use to air condition our buildings.
        We have developed a project to modernize the refrigeration
    plant. We have, with your support, received funding to date to
    replace several of those chillers. We received partial funding
    in 2016 to move onto the next phase, which are two additional
    chillers that date back to the 1970s. In fiscal year 2018, you
    will see the remainder of that phase. If that is funded in
    fiscal year 2018, we will be able to execute that subsequent
    phase and replace those two chillers.
        Senator Lankford. Okay. Walk me through what happens if
    that is not funded in 2018.
        What does that mean if that gets pushed back to 2019?
        Mr. Ayers. Well, for us, it is all about mitigating risk.
    Today, as we go to operate these chillers because you need
    additional capacity for chilled water. Your buildings are
    calling for it.
        You push the start button and that chiller does not start.
    Then you have to begin shedding load in other portions of your
    buildings, and prioritize where you can send chilled water,
    what places you can air condition and what places can you trim
    the load.
        It increases our risk to not be able to provide a
    comfortable working space for the Congress, the Library, the
    Supreme Court, the Capitol Police and others.

                             DATA CENTER RELOCATION

        Senator Lankford. All right. You are also dealing with data
    center relocation efforts. Tell me about the status on that,
    and time periods, and end of the year funding this year versus
    next year, and how that effort is going.
        Mr. Ayers. In our 2017 budget, we did put in money to move
    to the same data center Dr. Hayden was speaking of. But we have
    reconsidered that and brought in a consultant to help us
    develop a business case, what we are calling a sense of reality
    to who we are and what our IT system needs really are.
        We have an IT system of 10 racks. By the end of this year,
    we think it will be down to 6 racks. That is a tiny IT system.
        Senator Lankford. Right.
        Mr. Ayers. We have one of those here on Capitol Hill, and a
    completely redundant system in Virginia. They are active-
    active. When one goes down, the other one picks up. You could
    not tell the difference whether you are working from Virginia
    or working from here on Capitol Hill at any given time.
        We do not think we need to move to a Tier 3 data center. We
    just do not have that kind of need. We think we need to move to
    a local data center.
        We have also looked at moving to the cloud, which would
    cost us about $4 million a year. We think moving to a local
    data center where we will lease space among many others will
    cost us $1.2 million or $1.3 million a year and that is
    completely sufficient for our needs.
        I would also offer that we have a complete backup of our
    system in California that we have recently tested. If all of
    our data systems go down, we will be able to restore them with
    our backup system in California. We may lose a day of data, but
    we just do not have the intensity or the risk that many of our
    legislative branch partners that serve you and the House of
    Representatives do.
        We think a much more reasonable approach is adequate for
    us.
        Senator Lankford. Do you feel confident in the security
    protocols in each of those three locations, California,
    Virginia, and here?
        Mr. Ayers. We do, absolutely.

                     CAPITOL BUILDING SMOKE CONTROL SYSTEM

        Senator Lankford. Okay. Let me ask one other quick question
    dealing with the smoke control system. Currently, you are in
    the process now of preparing for that testing.
        I have noticed, as I walk through the Capitol building,
    there are quite a few statues and paintings that have plastic
    all over them.
        Tell me about any updates on that project, and the timing
    for completion. Are we on track?
        Mr. Ayers. I would be happy to.
        It is an interesting project. You look at the grand stairs
    on the east and west end of the Senate Chamber, and the grand
    stairs on the east and west end of the House Chamber. These
    grand stairs are really smoke chimneys and today's building
    codes would prevent you from designing a grand staircase like
    that. In fact, it would enclose it with doorways so that when
    you enter in a stairway, you are free from smoke. We do not
    want to install doorways that would limit those beautiful and
    grand spaces.
        An alternative approach to that is providing an air
    movement system that will clear out the smoke in those stairs
    in the event of a significant fire, evacuate the smoke to allow
    people to exit the building in sufficient time.
        The system it is in, installed, and has been tested and
    run. But to fully commission it, we need a very specific
    temperature and humidity range so that we can run the air
    through that system.
        We have been waiting for that temperature and humidity
    sweet spot since May 1 and we have not hit it yet. My sense is
    we are likely not to hit it until the fall. If we get lucky, we
    will commission the systems earlier. I suspect we are not going
    to be that fortunate.
        Instead, we will take the plastic off of the artwork and
    all of the statues, and wait until the fall to fully commission
    the system. But it will be operational in the meantime.
        Senator Lankford. We have not had a problem with smoke and
    fire in the Capitol before, have we?
        Mr. Ayers. Yes, sir. Once or twice over the years.
        Senator Lankford. We should maybe just station the Capitol
    police and have them watch out for the British on the outside
    of the building and have that as an extra protection as well.

                             RESTAURANT ASSOCIATES

        Let me move to Senator Murphy.
        Senator Murphy. Thank you very much, Mr. Chairman.
        Mr. Ayers, I want to talk to you about Restaurant
    Associates. I wanted to get an update from you on AOC's
    oversight of the contract.
        Last summer, as everyone here undoubtedly knows, Restaurant
    Associates paid nearly $1 million back pay to more than 600
    current and former employees, and they are dealing with the
    consequences of that at the Department of Labor department
    proceeding at the top of that list.
        Last September, you wrote my predecessor, Senator Schatz,
    committing to some specific steps to improve oversight of
    Restaurant Associates. You committed to assigning additional
    AOC staff to oversee them, conducting regular audits, providing
    training on how to oversee this contract, and improving
    communications with the employees.
        Can you just give a general update on the implementation of
    the steps that you committed to in that letter?
        Mr. Ayers. Yes, sir.
        We have hired additional staff to provide that kind of
    oversight, and we do weekly audits on wage compliance. We
    review payroll documents weekly. We look at the overtime
    numbers weekly. We look at super wages weekly. All of that is
    regularly happening today.
        We brief our congressional stakeholders on that once a
    month. We are working closely with the Department of Labor and
    Restaurant Associates. All of that is happening. We have also
    provided training. Restaurant Associates has stayed in
    compliance with their commitment to the Department of Labor. We
    watch them very carefully on an ongoing basis and they, too,
    are in compliance with their commitments.
        Everything is going well at the moment.
        Senator Murphy. And then changes with respect to improving
    communication with the Restaurant Associates employees.
    Obviously, we only found out about this problem through
    communication with the employees who let us know about the
    reclassification.
        Have we taken steps to improve that dialogue?
        Mr. Ayers. We have, indeed, and Restaurant Associates has
    brought in a bilingual H.R. manager that works full time to
    help address these issues as well.

                              DEFERRED MAINTENANCE

        Senator Murphy. In the vein of the question I asked Dr.
    Hayden about the impact of a potential 13 or 15 percent budget
    cut, might I ask you to just make the case against deferring
    maintenance and deferring some of these big projects to maybe
    find an example of a project whereby waiting ends up costing
    you more?
        You are asking for your backlog to be addressed, which will
    be hard to do even if we are able to push back on the 13 or 15
    percent cuts that are proposed either by budget caps or the
    President's budget.
        But just maybe help us understand what happens when you
    just push off these projects for 5, 10, 20 years?
        Mr. Ayers. I think Dr. Hayden was right in her response to
    that question that with 5 or 6 years of flat budgets--as she
    pointed out and I would certainly agree--that a flat budget is
    a cut.
        We have approximately 3 to 5 percent of our payroll budget
    that goes to COLAs, mandatory price increases and inflationary
    increases for construction materials. A flat budget is a cut
    and we have had that for several years now as part of
    sequestration.
        The net result of this are fewer people and fewer materials
    that enable us to do the day to day maintenance, such as
    repairs to our HVAC systems. There are fewer electricians here
    than there were before to make these 36 buildings operate
    efficiently.
        Less maintenance is going to increase the failure rate of
    our mechanical systems, our steam systems, our air conditioning
    systems. They are going to fail sooner than they would without
    the right day to day maintenance activities. Our bill is going
    to be bigger than it would have otherwise.
        I think the best investment that we can make is fully
    funding the day to day maintenance so that we can stave off the
    costs as long as we possibly can.

                      IMPORTANCE OF HISTORIC PRESERVATION

        Senator Murphy. Lastly, on your list of capital projects,
    you have to balance life and safety needs against projects that
    have more of an historic preservation focus.
        You know of my interest in historic preservation. We have
    been working together on restoring an important piece of
    sculpture in the center of the Hart atrium. I am a believer
    that there is importance and impact in the history of this
    building and that that has to be part and parcel of what we
    help to fund.
        Just make the case, because we could spend all of our money
    on the stuff behind the scenes. But this is one of the world's
    great campuses, and one of the world's great buildings. It
    brings millions of people to Washington every year that spend
    lots of money in and around the building.
        Just make the case for why we should be allocating funding
    for historic preservation side by side with the absolutely
    critical funding that we provide for life and health safety.
        Mr. Ayers. I will make two points on this issue.
        The first is you speak about the millions of people from
    around the world that come here. Just for us at the United
    States Botanic Garden and the Capitol Visitor Center combined,
    it was 3.4 million people last year.
        But what we talk about is that if we make those experiences
    right and inspire them, it is not just 3.4 million because they
    go back home to Connecticut or Oklahoma and tell others. We
    talk often about how to get the ripple effect about what we do
    here.
        My point there is that it has a very big impact, not just
    locally but nationally and internationally.
        Second, as evidence of that, when we restored the Capitol
    dome, you would have thought that we would have received
    negative feedback about taking on a project of nearly $100
    million. Instead, we received hundreds, if not thousands of
    letters and emails from people across the country and across
    the globe about the importance of that work, the importance of
    saving our symbol of democracy, how important it was to them. I
    was so surprised by that. We have never undertaken a project
    that received that kind of public feedback.
        There is a genuine interest, a deep rooted interest by the
    people across this country about these beautiful treasures that
    we have the opportunity to oversee.
        Senator Murphy. You did pretty well on ``60 Minutes''.
        Mr. Ayers. Thank you.
        Senator Murphy. Thank you, Mr. Chairman.

                        FISCAL YEAR 2018 BUDGET OVERVIEW

        Senator Lankford. Senator Kennedy.
        Senator Kennedy. Thank you, Mr. Chairman.
        What title should I call you, Mr. Architect? Is it Dr.
    Ayers?
        Mr. Ayers. That would be great. Yes.
        Senator Kennedy. Mr. Architect.
        Mr. Ayers. Thank you, Senator.

                           EMOTIONS OF BUDGET CLIMATE

        Senator Kennedy. And Dr. Hayden, I am sorry I was late. I
    was in another committee.
        I do want to compliment you on the dome renovation. It is
    absolutely extraordinary.
        Are you generally happy with your budget or unhappy, Dr.
    Hayden?
        Dr. Hayden. The fiscal year 2018 allows the Library to
    continue the progress. I thanked the committee, the
    subcommittee, earlier for the fiscal year 2017 appropriation.
    That has allowed us to move forward with modernizing the
    information technology infrastructure. The commitment of this
    subcommittee in particular to, at least, ensure that that
    modernization effort continues is critical to the Library being
    able to move forward.
        When I was confirmed, and part of what I talked about, was
    being able to modernize this treasure----
        Senator Kennedy. Yes, Ma'am.
        Dr. Hayden [continuing]. That the Library has. So the
    fiscal year 2018 request allows us to continue to modernize.
        Senator Kennedy. Yes. But are you happy with it or unhappy?
        Dr. Hayden. Actually, when you ask about my happiness
    level, I have to couch it in the fact that I have been very
    heartened and--I mentioned earlier--inspired by this
    opportunity to open up America's treasure chest. We talk about
    that. And so I continually am gratified with working with this
    staff and the resources.
        Senator Kennedy. Can you make your budget work, I guess, is
    what I am trying to get to?
        Dr. Hayden. We can make it work.
        Senator Kennedy. Okay.
        Dr. Hayden. The staff, and the prior appropriations, and
    what we are requesting this year are very reasonable, and would
    be able to allow us to move forward.
        Senator Kennedy. I appreciate that attitude. It is very
    rare in this place.
        Dr. Hayden. I am a librarian.
        Senator Kennedy. Thank you for that. Thank you for your
    positive attitude, Dr. Hayden.
        Mr. Ayers, can you make your budget work?
        Mr. Ayers. Absolutely, and we are specialists in that.
        But I can, if I may, take the opportunity to answer your
    first question.
        Senator Kennedy. Please. Please do.
        Mr. Ayers. I can sit here and tell you that I am unhappy
    with my budget, and I can recall just 2 or 3 months ago sitting
    with my team as we prepared this budget.
        I have a 30 percent increase that I presented to you today,
    and my team said, ``Mr. Ayers, they are going to kick you out
    of the room.'' And I said, ``Well, they are going to have to do
    that.''
        This is the budget that we think we need. We have a
    responsibility to request it. You have a responsibility to make
    the important decisions and then we have a responsibility to
    make it work. And that is exactly what we will do.
        Senator Kennedy. I appreciate that candid answer. I mean,
    you both know the problem we have. Some people want to ignore
    it. Some people want to just pretend we can just keep borrowing
    and a lot of that is politics.
        I am new to the Senate, but I have been in politics for a
    while. When you say yes every time, people vote for you, but
    that is not leadership.
        Then you know the problem we have. We have a $20 trillion
    debt and we got that debt. It is accumulated deficits. We got
    the annual deficits because we spend more than we take in and
    then we borrow money to fill the hole.
        I do not know how it works in your household, but I cannot
    do that in my household and most Americans cannot. In fact,
    every State has to balance its budget. You can do it for a
    while. I can probably survive and my family, I do not know, 5
    or 6 months if I just took the credit card every month, and
    just kept charging on it, buy anything I want until I hit the
    limit. Go get a new card, hit the limit. Go get a new card. But
    at some point, I cannot do it anymore.
        To be brutally honest, the only difference between this
    place and a drunken sailor is that a drunken sailor stops
    spending when he runs out of money. And we do not.
        The only way I know to do it in a way that serves most
    Americans is to tell them the truth and say to them, ``We have
    a certain amount of money and so, we are going to have to
    prioritize.''
        Now it might be that the Library of Congress and the
    buildings, the beautiful buildings, that you are in charge of,
    Mr. Ayers, and do just a wonderful job managing, it may be that
    they are right at the top of the list. But every body cannot be
    at the top of the list and that is what I hope we are going to
    be struggling with. I do not want to struggle with any of this.
    I wish we had unlimited funds, but we do not.
        If we keep going at the rate we are going, and criticizing
    people because they are trying to help us live within their
    means as if they are some mean, bad person who does not care
    about their follow Americans. It is not productive and that is
    what this is about.
        That is why I ask you. It was not a fair question. I should
    not have said happy or unhappy. I do not blame you. I want to
    hear exactly what you think about your budget, but I also want
    to work with you constructively as long as I am in the Senate
    on how we can help you get what you need with the understanding
    that we have a lot of other needs. We just cannot continue to
    do what we are doing.
        It is great politics for some because a lot of the people
    that are doing all the spending will not be here to have to
    answer when the bills come due. But my children will be here
    and your children and grandchildren.
        So thank you both for your spirit. Thank you.

                             FACILITIES MAINTENANCE

        Senator Lankford. Mr. Ayers, let me ask one more quick
    question.
        The increase that you put in, and we did not throw you out
    of the room with a 30 percent increase. I agree with your
    perspective. You have the responsibility to bring to us what
    you think is needed. We have the responsibility to make the
    decision. We get that role, but let me ask a clarification.
        The $7.5 million of your increase was for facilities
    maintenance. Help me understand that more. What needs to be
    done that is not being done on facilities maintenance that
    would be $7.5 million in additional need?
        Mr. Ayers. It really stems back, Mr. Chairman, to the last
    5 or 6 years of essentially flat budgets. We have been forced
    to realign maintenance money to ensure we have adequate
    personnel to do the work. We think the most important assets we
    have are our employees that do the work day in and day out.
        We have had to realign funds year after year to support our
    existing payroll needs and that has left a deficit of about
    $7.5 million in maintenance money. It results in fewer
    materials and supplies that are necessary to undertake the
    growing list of maintenance work.
        Senator Lankford. Is this work that is undone, or is this
    people, or things that you have put in storage to maintain? I
    am trying to figure out if that $7.5 million was----
        Mr. Ayers. It is all of that.
        Senator Lankford. Is this some of the contract folks or
    some of the people that you have that are on call?
        Mr. Ayers. It is primarily in-house employees that we have
    been unable to replace. Also, materials and the ability to
    repair air conditioning equipment, plumbing equipment, heating
    equipment because of the lack of supplies and the lack of
    materials. We have had to realign that money to keep our
    employees instead.

                          COLLECTION STORAGE MODULE 6

        Senator Lankford. All right. That makes sense. Great.
        Any other questions you have, Senator Murphy?
        Any other statements you all need to make? You have lots of
    pictures you did not get a chance to show, so I want to make
    sure that you get a chance to get out anything that you need us
    to see.
        Mr. Ayers. I would be happy to share some with you.
        Senator Lankford. Whatever you need us to see, otherwise, I
    am about to read a closing statement. So if there is something
    else you need to be able to show us.
        Mr. Ayers. Well, Dr. Hayden and I will do one together and
    that is this one.

                      FT. MEADE COLLECTION STORAGE MODULES

        Dr. Hayden. This is to address the Library's storage, and
    continuing storage, and preservation needs. And you see books
    on the floor very nicely stacked, but definitely on the floor.
    The support of Congress to provide the Library with continuing
    storage and preservation capacity is essential.
        Mr. Ayers. This is the reason that we are doing Fort Mead
    Module 5, which will turn over in October. Fort Meade Module 6
    is in our 2018 budget before you today. This is essentially the
    reason that we need to do that.
        Senator Murphy. Where is that? What building is that?
        Mr. Ayers. That is the Thomas Jefferson Building.
        Dr. Hayden. 1897 building. It was not built to handle the
    increase of the Library's collections.
        The Library, as you probably know, is the national library
    for this country and the library of record. In future years, it
    will be the only library, for instance, that might have
    physical copies of particular items and their manuscript
    collection.
        Senator Lankford. Right.
        Dr. Hayden. Thank you.
        Senator Lankford. Module 6, by the way, is it the same
    design as Module 4 and 5? Are you using the same architectural
    drawings and plans and efficiencies there or are those changing
    each time?
        Mr. Ayers. They do not change each time. Essentially, the
    building is the same. There are some efficiencies gained and we
    do a central plant portion. So we are able to make some
    efficiencies, and mechanical, and electrical systems as well.
        Senator Lankford. Okay. I had always heard when you use
    something seven times by the seventh time is when you really
    gain efficiency. So we will see how it comes out pricing for
    Module 7 in the years ahead.
        Any other comments that you want to be able to put on the
    record?
        Dr. Hayden. Just to thank you for your consideration of the
    request.
        Senator Lankford. Thank you.
        Mr. Ayers. Thank you.
        Senator Lankford. As Senator Murphy mentioned before, there
    are a lot of extremely important things to do, and there are a
    lot of people that are involved in this that are very dedicated
    folks that work on it.
        But as Senator Kennedy said as well, part of the struggle
    of this subcommittee, not particularly with this subcommittee,
    but every time there is an increase in spending in one area
    there is a conversation about cancer research in another. There
    is a conversation about roads, and another about national
    defense, and to try to be able to figure out priorities and
    where those need to land. These become very complicated issues
    very, very quickly as we work through this process.
        I appreciate very much both your work on a day to day basis
    and your team. You both have very remarkable teams, but also
    your preparation for this hearing as well, both today and your
    written information.
        The hearing record will remain open for 7 days allowing
    members to submit statements or questions for the record, which
    should be sent to the subcommittee by the close of business on
    Wednesday, June 14, 2017.

                              SUBCOMMITTEE RECESS

        Senator Lankford. The next hearing of the subcommittee will
    be held on Wednesday, June 14, at 11:00 a.m. here in this same
    room, Dirksen 124, and we will hear testimony from Capitol
    police and the Senate Sergeant at Arms regarding their fiscal
    year 2018 budget request for those agencies.
        Until then, thank you very much.
        This hearing is adjourned.
        [Whereupon, at 4:10 p.m., Wednesday, June 7, the
    subcommittee was recessed, to reconvene June 14, at 11:00
    a.m.].