[Senate Report 114-244]
[From the U.S. Government Publishing Office]
Calendar No. 436
114th Congress } { Report
SENATE
2d Session } { 114-244
_______________________________________________________________________
ESSENTIAL TRANSPORTATION WORKER IDENTIFICATION CREDENTIAL ASSESSMENT
ACT
__________
R E P O R T
of the
COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
on
H.R. 710
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
April 25, 2016.--Ordered to be printed
______
U.S. GOVERNMENT PUBLISHING OFFICE
59-010 WASHINGTON : 2016
SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
one hundred fourteenth congress
second session
JOHN THUNE, South Dakota, Chairman
ROGER F. WICKER, Mississippi BILL NELSON, Florida
ROY BLUNT, Missouri MARIA CANTWELL, Washington
MARCO RUBIO, Florida CLAIRE McCASKILL, Missouri
KELLY AYOTTE, New Hampshire AMY KLOBUCHAR, Minnesota
TED CRUZ, Texas RICHARD BLUMENTHAL, Connecticut
DEB FISCHER, Nebraska BRIAN SCHATZ, Hawaii
JERRY MORAN, Kansas ED MARKEY, Massachusetts
DAN SULLIVAN, Alaska CORY BOOKER, New Jersey
RON JOHNSON, Wisconsin TOM UDALL, New Mexico
DEAN HELLER, Nevada JOE MANCHIN, West Virginia
CORY GARDNER, Colorado GARY PETERS, Michigan
STEVE DAINES, Montana
Nick Rossi, Staff Director
Adrian Arnakis, Deputy Staff Director
Rebecca Seidel, General Counsel
Kim Lipsky, Democratic Staff Director
Christopher Day, Democratic Deputy Staff Director
Clint Odom, Democratic General Counsel
Calendar No. 436
114th Congress } { Report
SENATE
2d Session } { 114-244
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ESSENTIAL TRANSPORTATION WORKER IDENTIFICATION CREDENTIAL ASSESSMENT
ACT
_______
April 25, 2016.--Ordered to be printed
_______
Mr. Thune, from the Committee on Commerce, Science, and Transportation,
submitted the following
R E P O R T
[To accompany H.R. 710]
The Committee on Commerce, Science, and Transportation, to
which was referred the bill (H.R. 710) to require the Secretary
of Homeland Security to prepare a comprehensive security
assessment of the transportation security card program, and for
other purposes, having considered the same, reports favorably
thereon with an amendment (in the nature of a substitute) and
recommends that the bill (as amended) do pass.
PURPOSE OF THE BILL
The purpose of H.R. 710, as amended, is to require a
comprehensive assessment of the effectiveness of the
Transportation Worker Identification Credential (TWIC) program,
and require a corrective action plan that addresses concerns
raised by the Comptroller General, and during the comprehensive
assessment.
BACKGROUND AND NEEDS
Shortly after September 11, 2001, Congress called for the
establishment of a common credential for personnel requiring
unescorted access to secure areas of the national
transportation system. The TWIC program was developed in
response to legislative provisions in the Aviation and
Transportation Security Act of 2001\1\ and the Maritime
Transportation Security Act of 2002,\2\ and in accordance with
Government standards for secure credentials. The Transportation
Security Administration (TSA) manages applicant enrollment,
background checks, and the issuance of TWICs, and the United
States Coast Guard (USCG) develops security regulations and
ensures industry compliance. As of April 2014, the TSA had
issued nearly 3 million credentials to transportation workers,
including merchant mariners, port employees, and truck drivers,
with 2 million cards seeing regular use.
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\1\P.L. 107-71.
\2\P.L. 107-295.
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While the TWIC program was initially intended to apply to
all transportation sectors, there have been significant
challenges in the maritime sector. As recently as February
2015, the TSA reported TWIC enrollment delays of more than 60
days and recommended that applicants apply for their TWICs at
least 10 to 12 weeks early.\3\ Those delays and recommendations
occurred despite a statutory obligation to respond to the
applicant within 30 days.\4\
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\3\Journal of Commerce. 2015, May 4. TSA reports processing delays
for TWIC cards. Retrieved from http://www.joc.com/regulation-policy/
transportation-regulations/us-transportation-regulations/tsa-reports-
processing-delays-twic-cards_20150324.html.
\4\P.L. 111-281, Section 818.
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The Committee also remains concerned by the duplication of
vetting between the TWIC program and other Government-issued
credentials, as well as the need for some transportation
workers to obtain two costly credentials. The Implementing
Recommendations of the 9/11 Commission Act of 2007 (Public Law
110-53; 121 Stat. 266), states that ``an individual who has a
valid transportation employee identification card issued by the
Secretary of the department in which the Coast Guard is
operating under section 70105 of title 46, United States Code
[i.e., a TWIC], shall be deemed to have met the background
records check required'' for licensed drivers with hazardous
materials endorsements.\5\ Furthermore, the TSA itself
determined that the Security Threat Assessment required for
issuance of a TWIC is the same background check required for
licensed drivers with hazardous materials endorsements.\6\
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\5\P.L. 110-53.
\6\72 Federal Register at 3508, January 25, 2007.
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In addition, the fee for a TWIC, which is valid for 5
years, is $128. Between August 2012 and December 2014, the TSA
offered an Extended Expiration Date TWIC. Through that
initiative, a worker holding a valid TWIC could extend a
credential for 3 years at a cost of $60.\7\ Workers with
current and comparable background checks, including truck
drivers with a Hazmat Commercial Driver License Endorsement
(HME) or Merchant Marine Credential, pay a reduced fee of
$105.25. The cost of the TSA's hazmat background check is
$89.25. While the TSA has worked to harmonize the credentials,
a truck driver who needs both a TWIC and an HME would still be
forced to pay $89.25 for an HME background check, and $105.25
for a reduced fee TWIC, even though the driver has already
completed the required security threat assessment. The
Committee looks forward to receiving an up-to-date third-party
analysis of the program's vetting standards and overlap, and
potential legislative proposals to address these concerns.
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\7\U.S. Congress. Subcommittee on Border and Maritime Security,
Committee on Homeland Security of the House of Representatives
``Threat, Risk, and Vulnerability: The Future of the TWIC Program.''
(Date 6/18/13). Retrieved from http://www.gpo.gov/fdsys/pkg/CHRG-
113hhrg85688/html/CHRG-113hhrg85688.htm.
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In addition to concerns with the TWIC application and
vetting process, the program's ability to enhance security
remains in question. In May 2011, the Government Accountability
Office (GAO) issued a report entitled, ``Transportation Worker
Identification Credential: Internal Control Weaknesses Need to
Be Corrected to Help Achieve Security Objectives.'' In that
report, the GAO found numerous problems with the TSA's
administration of the TWIC program. Most notably, the GAO
investigators were successful in accessing ports using
counterfeit TWICs, authentic TWICs acquired through fraudulent
means, and by offering false business cases.\8\ The report also
found that the Department of Homeland Security (DHS) did not
have adequate internal controls to assure that only qualified
individuals were able to acquire TWICs. The GAO suggested
actions in that report that the DHS could implement to assess
the effectiveness of the TWIC program. Congress also required
that the TSA and the USCG conduct the GAO-recommended
assessment before publication of the card reader rule (see
below), but all four of the GAO's recommendations remain
open.\9\
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\8\U.S. Government Accountability Office, Transportation Worker
Identification Credential: Internal Control Weaknesses Need to Be
Corrected to Help Achieve Security Objectives, GAO-11-657, May 10,
2011.
\9\This assessment was required by the Consolidated Appropriations
Act, 2014 (P.L. 113-76).
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The GAO issued another report on the TWIC reader pilot
project in April 2013 entitled, ``Transportation Worker
Identification Credential: Card Reader Pilot Results are
Unreliable; Security Benefits Need to Be Reassessed.'' While
the TSA did complete a pilot program on the effectiveness of
the TWIC program, the GAO determined that the TSA's results
``cannot be relied upon to make decisions regarding the TWIC
card reader rule or the future deployment of the TWIC
program.''\10\ The GAO conducted its own assessment and found
that, due to a number of vulnerabilities, the TWIC program
would have difficulty in carrying out its mission of enhancing
maritime security. The GAO made this conclusion following its
assessment of the results of the TSA pilot, a comparison of
those results to the program's legislated requirements, and
through undercover testing of the TWIC program's ability to
provide access control at four maritime ports. The GAO
recommended that Congress halt the DHS's efforts to promulgate
a final regulation on TWIC card readers until the successful
completion of a security assessment of the effectiveness of the
TWIC program.
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\10\U.S. Government Accountability Office, Transportation Worker
Identification Credential: Card Reader Pilot Results are Unreliable;
Security Benefits Need to Be Reassessed, GAO-13-198, May 8, 2013.
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On March 22, 2013, the DHS issued a notice of proposed
rulemaking on card reader requirements for the TWIC
program.\11\ The USCG estimates that the rule will be
promulgated in 2016. H.R. 710, the Essential Transportation
Worker Identification Credential Assessment Act, will not delay
the implementation of the reader rule, but will prevent further
regulatory action until the issuance and review of the
comprehensive assessment and the corrective action plan.
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\11\78 Federal Register at 17781, March 22, 2013.
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The Committee looks forward to an analysis that considers
whether an alternative credentialing approach, including a more
decentralized option, could better achieve the TWIC program
goals. Finally, the Committee looks forward to reviewing a
third-party analysis of the benefits of the TWIC program, and
the costs to government, industry, and workers.
SUMMARY OF PROVISIONS
If enacted, H.R. 710, as amended, would do the following:
Require the Secretary of Homeland Security
(Secretary) to commission a comprehensive assessment of the
TWIC program within 60 days of the date of enactment. The
assessment would be completed by a national laboratory or a
university DHS Center of Excellence.
Require the Secretary to submit a corrective
action plan to address any concerns identified in the study.
Require review of the corrective action plan by
the DHS Office of the Inspector General (OIG).
Delay further rulemaking on the TWIC program until
deficiencies are addressed.
Require semi-annual reports to Congress for three
years on the status of the corrective action report
recommendations.
LEGISLATIVE HISTORY
H.R. 710 was introduced in the House of Representatives on
February 4, 2015, by Representative Jackson Lee of Texas. The
bill passed the House by voice vote on February 10, 2015. On
May 20, 2015, the Committee met in open Executive Session and,
by a voice vote, ordered H.R. 710 to be reported favorably with
a manager's amendment offered by Chairman Thune.
ESTIMATED COSTS
In accordance with paragraph 11(a) of rule XXVI of the
Standing Rules of the Senate and section 403 of the
Congressional Budget Act of 1974, the Committee provides the
following cost estimate, prepared by the Congressional Budget
Office:
H.R. 710--Essential Transportation Worker Identification Credential
Assessment Act
H.R. 710 would direct the Secretary of Homeland Security to
assess the effectiveness of the Transportation Worker
Identification Credential (TWIC) program. That program was
established under the Maritime Transportation Security Act
(MTSA), which requires the Secretary of Homeland Security to
provide a biometric security credential for personnel who
require unescorted access to secure areas of MTSA-regulated
facilities and vessels and for all mariners who hold
credentials issued by the U.S. Coast Guard. Based on the
findings of the proposed assessment, H.R. 710 would direct the
Secretary to identify and implement corrective actions
necessary to improve the effectiveness of the TWIC program and
would require the Government Accountability Office (GAO) to
report to the Congress on the status of those efforts. Finally,
H.R. 710 would specify conditions that would pertain to certain
rulemakings related to the TWIC program.
Based on information from the Coast Guard and GAO, CBO
estimates that implementing H.R. 710 would cost about $1.5
million in 2016, assuming appropriation of the necessary
amounts. That estimate is based on the historical cost of
studies and analyses undertaken by those agencies that are
similar in scope to those envisioned under the legislation.
Enacting H.R. 710 would not affect direct spending or revenues;
therefore, pay-as-you-go procedures do not apply.
H.R. 710 contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act.
The CBO staff contact for this estimate is Megan Carroll.
The estimate was approved by Theresa Gullo, Assistant Director
for Budget Analysis.
REGULATORY IMPACT
Because H.R. 710 does not create any new programs, the
legislation will have no additional regulatory impact, and will
result in no additional reporting requirements. The legislation
will have no further effect on the number or types of
individuals and businesses regulated, the economic impact of
such regulation, the personal privacy of affected individuals,
or the paperwork required from such individuals and businesses.
CONGRESSIONALLY DIRECTED SPENDING
In compliance with paragraph 4(b) of rule XLIV of the
Standing Rules of the Senate, the Committee provides that no
provisions contained in the bill, as reported, meet the
definition of congressionally directed spending items under the
rule.
SECTION-BY-SECTION ANALYSIS
Section 1. Short title
This section would designate the bill's short title as the
``Essential Transportation Worker Identification Credential
Assessment Act.''
Section 2. Comprehensive security assessment
This section would require a comprehensive assessment of
the TWIC program be completed by a national laboratory or
maritime security university-based center within the DHS
Centers of Excellence network.
This section would require a two-phase assessment of the
TWIC program which will review both the TSA credentialing
process and the implementation of the TWIC reader rule. The
assessment will include an evaluation of whether the TWIC
program addresses security risks in the maritime environment,
whether previous GAO deficiencies have been addressed, and a
cost benefit analysis of the program.
The bill would further require that the DHS submit a
corrective action plan to address deficiencies identified in
the comprehensive assessment. The DHS OIG is directed to review
the corrective action plan to ensure it addresses the concerns
raised by the assessment and previous GAO recommendations.
This section also would delay the issuance of any
additional final rules relating to the TWIC reader program
until the DHS OIG certifies that the report is responsive to
the GAO's concerns and that a new list of approved TWIC readers
is issued.
This section also would require semi-annual reports to
Congress on the implementation of the corrective action plan.
Section 3. No additional funds authorized
This section would provide that no additional funds are
authorized to be appropriated for the study, and the study
should be funded through existing DHS appropriations for
research.
CHANGES IN EXISTING LAW
In compliance with paragraph 12 of rule XXVI of the
Standing Rules of the Senate, the Committee states that the
bill as reported would make no change to existing law.
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