Leaks Show Wilbur Ross Hid Ties to Putin Cronies

Wilbur Ross, the commerce secretary in the Trump administration, shares business interests with Vladimir Putin’s immediate family, and he failed to clearly disclose those interests when he was being confirmed for his cabinet position.

Ross — a billionaire industrialist — retains an interest in a shipping company, Navigator Holdings, that was partially owned by his former investment company. One of Navigator’s most important business relationships is with a Russian energy firm controlled, in turn, by Putin’s son-in-law and other members of the Russian president’s inner circle.

Some of the details of Ross’s continuing financial holdings — much of which were not disclosed during his confirmation process — are revealed in a trove of more than 7 million internal documents of Appleby, a Bermuda-based law firm, that was leaked to the German newspaper Süddeutsche Zeitung. The documents consist of emails, presentations and other electronic data. These were then shared with the International Consortium of Investigative Journalists — a global network that won the Pulitzer Prize this year for its work on the Panama Papers — and its international media partners. NBC News was given access to some of the leaked documents, which the ICIJ calls the “Paradise Papers.”

Overall, the document leak provides a rare insight into the workings of the global offshore financial world, which is used by many of the world’s most powerful companies and government officials to legally avoid paying taxes and to conduct business away from public scrutiny. More than 120 politicians and royal rulers around the world are identified in the leak as having ties to offshore finance.

The New York Times reported Sunday that the documents also contain references to offshore interests held by Gary Cohn, Trump’s chief economic adviser, and Secretary of State Rex Tillerson. There is no evidence of illegality in their dealings.

Ross’ widespread financial interests

In Ross’s case, the documents give a far fuller picture of his finances than the filings he submitted to the government on Jan. 15 as part of his confirmation process. On that date, Ross, President-elect Donald Trump’s choice for commerce secretary, submitted a letter to the designated ethics official at the department, explaining steps he was taking to avoid all conflicts of interest.

That explanation was vital to his confirmation, because Ross held financial interests in hundreds of companies across dozens of sectors, many of which could be affected by his decisions as commerce secretary. Any one of them could represent a potential conflict of interest, which is why the disclosures, by law, are supposed to be thorough.

“The information that he provided on that form is just a start. It is incomplete,” said Kathleen Clark, an expert on government ethics at Washington University in St. Louis. “I have no reason to believe that he violated the law of disclosure, but in order … for the Commerce Department to understand, you’d have to have more information than what is listed on that form.”

Ross, through a Commerce Department spokesperson, issued a statement saying that he recuses himself as secretary from any matters regarding transoceanic shipping, and said he works closely with ethics officials in the department “to ensure the highest ethical standards.”

The statement said Ross “has been generally supportive of the Administration’s sanctions of Russian” business entities. But the statement did not address the question of whether he informed Congress or the Commerce Department that he was retaining an interest in companies that have close Russian ties.

In his submission letter to the government, Ross pledged to cut ties with more than 80 financial entities in which he has interests.

Ross’s apparent ethical probity won praise, even before he signed the divestment agreement, from both sides of the political aisle.

‘Our Committee Was Misled’

The documents seen by NBC News, however, along with a careful examination of filings with the Securities and Exchange Commission, tell a different story than the one Ross told at his confirmation. Ross divested most of his holdings, but did not reveal to the government the full details of the holdings he kept.

In his letter to the ethics official of the Commerce Department, Ross created two lists: those entities and interests he planned to get rid of and those he intended to keep. The second list consisted of nine entities, four of which were Cayman Islands companies represented and managed by the Appleby law firm, which specializes in creating complex offshore holdings for wealthy clients and businesses. The Wilbur Ross Group is one of the firm’s biggest clients, according to the leaked documents, connected to more than 60 offshore holdings.

The four holdings on the list of assets that Ross held onto were valued by him on the form as between $2.05 million and $10.1 million. These four, in turn, are linked through ownership chains to two other entities, WLR Recovery Fund IV DSS AIV L.P. and WLR Recovery Fund V DSS AIV L.P., which were listed in Ross’ financial disclosure prior to confirmation, but were not among the assets he declared he would retain. According to an SEC filing, those entities hold 17.5 million shares in Navigator, which constitutes control of nearly one-third of the shipping firm.

“You look at all of these names,” Clark said, referring to the financial entities, “and they actually look like a code. And what we actually have to do is find — in a sense — a code that decrypts what these names mean and what these companies actually do.”

She said the way the companies were listed was deliberately vague. “I would say this gives the appearance of transparency,” she said, referring to Ross’s disclosure documents. “It’s sort of fake transparency in a sense.”

The Office of Government Ethics, which is responsible for executive branch oversight, approved Ross’s arrangement, and it was left almost entirely unchallenged by the Senate.

Sen. Richard Blumenthal, D-Conn., said members of Congress who were part of Ross’ confirmation hearings were under the impression that Ross had divested all of his interests in Navigator. Furthermore, he said, they were unaware of Navigator’s close ties to Russia.

“I am astonished and appalled because I feel misled,” said Blumenthal. “Our committee was misled, the American people were misled by the concealment of those companies.” Blumenthal said he will call for the inspector general of the Commerce Department to launch an investigation.

And a cursory look at Navigator’s annual reports reveal an apparent conflict of interest. Navigator’s second-largest client is SIBUR, the Russian petrochemical giant. According to Navigator’s 2017 SEC filing, SIBUR was listed among its top five clients, based on total revenue for the previous two years. In 2016, Navigator’s annual reports show SIBUR brought in $23.2 million in revenue and another $28.7 million the following year.

The business relationship has been so profitable that in January, around the time Ross was being vetted for his Cabinet position, Navigator held a naming ceremony for two state-of-the-art tankers on long-term leases to SIBUR.

The Kremlin’s inner circle

One of the owners of SIBUR is Gennady Timchenko, a Russian billionaire on the Treasury Department’s sanctions list. He has been barred from entering the U.S. since 2014 because authorities consider him a Specially Designated National, or SDN, who is considered by Treasury to be a member “of the Russian leadership’s inner circle.”

The Treasury Department statement said that Timchenko’s activities in the energy sector “have been directly linked to Putin” and that Putin had investments with a company previously owned by Timchenko, as well as access to the company’s funds.

Daniel Fried, who was the State Department sanctions coordinator under President Barack Obama, said the connection to Timchenko’s interests should have raised alarm bells.

“I would think that any reputable American businessman, much less a Cabinet-level official, would want to have absolutely no relationship — direct, indirect — … with anybody of the character and reputation of Gennady Timchenko,” Fried said. “I just don’t get it.”

Another major SIBUR shareholder is Leonid Mikhelson, who, like Timchenko, has close ties to the Kremlin. One of his companies, Novatek, Russia’s second-largest natural gas producer, was placed on the Treasury’s sanctions list in 2014.

Included in the Appleby documents are details of an internal discussion that resulted in the law firm dropping Mikhelson as a client in 2014, over concerns regarding his financial affiliations.

“I would say to anybody who asked,” said Fried, “treat SDNs as radioactive. Stay away from them.”

A third shareholder of SIBUR – and deputy chairman of the board – is Kirill Shamalov, husband of Vladimir Putin’s daughter, Katerina Tikhonova. After the wedding, Shamalov’s meteoric rise to wealth led him to own as much as 21.3 percent of SIBUR’s stock until April, when he sold off around 17 percent for a reported $2 billion.

“It’s a new generation which is currently being prepared and groomed… to inherit whatever power and wealth Putin’s team has accumulated over the past years,” said Vladimir Milov, a former deputy energy minister in Putin’s government who is now working with the opposition.

Milov also said companies like SIBUR are often the way sanctioned Kremlin insiders have to keep doing business despite restrictions.

The Commerce Department statement said Ross never met Timchenko, Mikhelson, or Shamalov. It said he was not on the board of Navigator in March 2011 when the ships in question were acquired, or the following February when the charter agreement with Sibur was signed. It said Sibur was not under U.S. sanctions now or in 2012. The statement said Ross was on the board of Navigator from March 30, 2012 to 2014, and that no funds managed by his company ever owned a majority of Navigator’s shares.

But as The Guardian reported Sunday, other public documents suggest a different story. A Navigator news release on March 2, 2012, said that Ross was already on the board at that point, and Sibur’s annual report for 2012 said the deal with Navigator was signed in March. In addition, Ross’ company issued a news release on Aug. 10, 2012, saying that the company had agreed to acquire a majority stake in Navigator.

Fried said he has no doubt of the connections between SIBUR and the Kremlin.

“If any senior official of the U.S. government, much less a Cabinet secretary … had any business dealings with sanctioned individuals, direct or indirect,” he said, “I would be appalled.”

Richard Painter, the chief White House ethics lawyer during the George W. Bush administration, said there needs to a close examination of whether Ross’ testimony to the Senate violated perjury laws. Painter also said Ross must recuse himself from all Russia-related matters because of the SIBUR connection.

“Secretary Ross cannot participate in any discussion or decision-making or recommendation about sanctions imposed on Russia or on Russian nationals when he owns a company that is doing business with Russian nationals who are either under sanctions or who could come under sanctions in any future sanctions regime,” Painter said. “That would be a criminal offense for him to participate in any such matter.”

[NBC News]

‘I’m The Only One That Matters,’ Trump Says Of State Dept. Job Vacancies

President Trump says: “I’m the only one that matters” in setting U.S. foreign policy, thus downplaying the importance of high-level jobs such as the assistant secretary of state, which is currently vacant.

“Let me tell you, the one that matters is me,” Trump said in an interview that aired on Fox News on Thursday night. “I’m the only one that matters, because when it comes to it, that’s what the policy is going to be. You’ve seen that, you’ve seen it strongly.”

The president was responding to a question from Fox’s Laura Ingraham, who asked him, “Are you worried that the State Department doesn’t have enough Donald Trump nominees in there to push your vision through?”

Ingraham added, “other State Departments, including Reagan’s, at times, undermined his agenda. And there is a concern that the State Department currently is undermining your agenda.”

Trump said, “So, we don’t need all the people that they want. You know, don’t forget, I’m a businessperson. I tell my people, ‘Where you don’t need to fill slots, don’t fill them.’ But we have some people that I’m not happy with their thinking process.”

Trump also briefly blamed Democrats for obstructing his nominees in the Republican-controlled Senate. He then said, “We don’t need all of the people. You know, it’s called cost-saving.”

The president’s remarks on his diplomatic corps came as he prepares to leave Washington for a five-nation trip to Asia, including stops in South Korea and China.

In August, concerns were raised that key East Asia jobs had been left empty as tensions rose between the U.S. and North Korea. Trump has not nominated an ambassador to South Korea.

For months, Trump’s administration has been criticized over budget cuts to the State Department and its pace of nominations for high-profile ambassadorships in Asia and the Middle East.

As NPR’s Michele Kelemen reported in September, Secretary of State Rex Tillerson “has raised a lot of eyebrows, maintaining a hiring freeze long after it was lifted for the rest of the federal government. Secretary Tillerson has also hired outside consulting groups.”

For Trump, the approach extends beyond the State Department. His recent remarks echo what he said in October, when he told Forbes, “I’m generally not going to make a lot of the appointments that would normally be — because you don’t need them.”

The president went on to complain about the “massive” size of some federal agencies.

As of last month, the Trump administration had installed roughly a quarter of the personnel needed to fill some 600 appointed positions that require Senate confirmation, as NPR’s Tamara Keith has reported.

[NPR]

Media

Perry links fossil fuel development to preventing sexual assault

Energy Secretary Rick Perry suggested Thursday that expanding the use of fossil fuels could help prevent sexual assault.

Speaking during an energy policy discussion about energy policy with “Meet the Press” host Chuck Todd and Axios CEO and founder Jim VandeHei, Perry discussed his recent trip to Africa. He said a young girl told him that energy is important to her because she often reads by the light of a fire with toxic fumes.

“But also from the standpoint of sexual assault,” Perry said. “When the lights are on, when you have light that shines, the righteousness, if you will on those types of acts.”

Perry said that using fossil fuel to push power into remote villages in Africa is necessary and will have a “positive role” in peoples’ lives.

President Trump has called for expanding domestic production of fossil fuels for export.

The Department of Energy says Perry’s statement was meant to highlight the way electricity will improve the lives of people in Africa.

“The secretary was making the important point that while many Americans take electricity for granted there are people in other countries who are impacted by their lack of electricity,” Shaylyn Hynes, an agency spokeswoman said.

In Africa for an energy conference last week, “one person told him about how light can be a deterrent to sexual assault and security in remote areas,” Hynes said. “Another leader told him about how women in their country have to go to the store every day for a new carton of milk because they don’t have a working refrigerator. Those powerful stories stuck with him and that is what he was sharing with the crowd in Washington today.”

[The Hill]

Scott Pruitt Declares War on Air Pollution Science

The Trump administration’s environmental denialism runs much deeper than global warming. That became clear just one month into the presidency, at the annual Conservative Political Action Conference, where panelist Steve Milloy—formerly a paid flack for the tobacco and fossil fuel industries and member of the president’s Environmental Protection Agency transition team—argued that the mainstream science on the health risks of air pollution was wrong. Contra the Centers for Disease Controlthe World Health Organization, the National Institutes of Health and most publishing epidemiologists, Milloy insisted that excessive particulate matter is not linked to premature death—and that scientists who advise the EPA made up evidence to support the Obama administration’s regulatory priorities. “These people validate and rubber-stamp the EPA’s conclusion that air pollution kills people,” he said. His co-panelists nodded in agreement.

Milloy called for EPA Administrator Scott Pruitt to overhaul the agency’s scientific advisory boards, the bodies that ensure public health regulations are based on sound, peer-reviewed science. Milloy said scientists who receive EPA grants are biased toward regulation, and thus Pruitt should ban them from serving on the boards. He and his co-panelists also argued for more representation from polluting industries, which clearly do have a bias against regulation.

Milloy and others on the anti-environmental fringe are getting their wish. On Tuesday, Pruitt announced massive changes to the EPA’s Scientific Advisory Board and Clean Air Scientific Advisory Council, both of which advise EPA on the science behind proposed regulations. Pruitt announced that EPA will no longer appoint scientists who have received grants from the agency to these boards. “From this day forward, EPA advisory committee members will be financially independent from the agency,” he said. Pruitt is also expected to replace every single member whose term is expiring instead of renewing some for a second term, as is common practice. Terry Yosie, former director of the Science Advisory Board during the Reagan administration, told me, “It’s fair to say that this has never happened to this sweeping degree before of existing board members whose terms are expiring this year.”

These changes have been expected for several weeks, but it’s all the more concerning when we look at who these new advisors are. A list of expected appointees to the EPA’s Science Advisory Board, obtained by the Post, E&E News, and The New Republic, shows that Pruitt is expected to appoint multiple people who have downplayed the impact of air pollution on public health. These deniers will have the influence to contort EPA science, leading to the weakening or even repeal of clean-air regulations that protected Americans for decades.

Of the 17 new members expected to be appointed to the EPA’s Scientific Advisory Board (SAB), three hail from large fossil-fuel companies: Southern Company, Phillips 66, and Total. Three are from red-state governments; one is from a chemical industry trade association; the rest are from various universities and consulting groups. Five of the 17 hold views on air pollution that are outside of the scientific mainstream. Of the three new members expected to be appointed to the Clean Air Scientific Advisory Council (CASAC), one is an air pollution skeptic.

Most toxicologists and epidemiologists accept that air pollution can harm humans, and that excessive air pollution can lead to death in vulnerable populations (like children and the elderly). That’s why the government regulates it—principally under the Clean Air Act, a widely popular law passed in 1963 and amended multiple times with unanimous or overwhelming support in the Senate. Through that law, we have various regulations on specific air pollutants, including National Ambient Air Quality Standards for particulate matter and ground-level ozone.

Several expected SAB appointees will likely argue that these regulations should be weakened. Michael Honeycutt, the director of toxicology at the Texas Commission on Environmental Quality (TCEQ), has been aggressively seeking a spot on one of the scientific advisory boards since last year. He is “one of the top ozone science doubters in the state,” according to a 2016 profile in the Houston Press:

Honeycutt is the guy who has been leading the charge against making any changes to air quality standards in Texas. He and a bunch of TCEQ scientists have followed in the footsteps of Republicans in Texas and across the country in vowing to oppose EPA air quality changes until the end of time, more or less. He’s stated in the past he’s against any measures to reduce air pollution mainly because he feels they would be too expensive. Aside from that, Honeycutt reasons that ozone levels aren’t an issue at all because  “most people spend more than 90 percent of their time indoors” so they’re rarely exposed to significant layers of ozone.

The EPA considers ozone a harmful air pollutant. “Reducing ozone pollution makes breathing easier,” the agency’s website reads. “Breathing ozone can trigger a variety of health problems, particularly for children, the elderly, and people of all ages who have lung diseases such as asthma.” Honeycutt, who’s been trying to undercut the scientific basis for smog regulations since 2010, argues that people aren’t outside long enough for high levels of ozone exposure to make a difference.

Robert Phalen, who directs the Air Pollution Health Effects Laboratory at the University of California Irvine, is not an obvious ideologue like Honeycutt, but his research findings would support a deregulatory agenda for air pollution. “The relative risks associated with modern [particulate matter] are very small and confounded by many factors,” he wrote in a 2004 study. “Neither toxicology studies nor human clinical investigations have identified the components and/or characteristics of [particulate matter] that might be causing the health-effect associations.” Phalen has argued that the air is currently too clean, because children’s lungs need to breathe irritants in order to learn how to fight them. “Modern air,” he said in 2012, “is a little too clean for optimum health.”

Anne Smith, an analyst at NERA Economic Consulting, has argued against President Barack Obama’s signature climate change regulation, the Clean Power Plan. Specifically, she took issue with how his administration classified the health risks of particulate matter. She contends that one can’t know for certain whether a death during, for instance, a smog event was directly caused by air pollution. Mainstream scientists acknowledge as much, but say the strong statistical correlation between death rates and pollution rates are enough to prove the risks. Smith disagrees.

The rest of the expected nominees are similarly skeptical. The University of North Carolina’s Richard Smith is the author of a recent peer-reviewed study that found “No association of acute deaths with levels of PM2.5 or ozone.” Stanley Young, a listed expert at the climate-denying Heartland Institute, has written that there is “empirical evidence and a logical case that air pollution is (most likely) not causally related to acute deaths.” And Tony Cox—the one expected to be appointed to the clean air board—has long argued that the public health benefits of reducing ozone pollution are “unwarranted and exaggerated.”

Unlike with climate change, which scientists overwhelmingly agree is driven by humans, some peer-reviewed studies cast doubt on air pollution’s health impacts. But other peer-reviewed studies say air pollution’s health risks are even greater than we currently assume. And the majority of scientists agree that air pollution poses a threat to public health, and can trigger death in vulnerable populations. The disproportionate number of doubters on Pruitt’s science advisory team doesn’t reflect that robust debate happening within the scientific community. Instead, it drastically tips the scales in favor of Pruitt’s deregulatory policy agenda. Or as Milloy, the EPA transition team member and CPAC panelist put it on Tuesday afternoon, “More winning!”

[New Republic]

Trump drug czar nominee accused of hindering opioid crackdown

US President Donald Trump’s nominee for drug czar is accused of helping relax enforcement on pharmaceutical firms blamed for fuelling the opioid crisis.

Pennsylvania congressman Tom Marino pushed a bill that reportedly stripped a government agency of the ability to freeze suspicious painkiller shipments.

His co-sponsor on the act was Marsha Blackburn of Tennessee. Both their states have been ravaged by opioids.

Experts estimate the drugs could kill 500,000 Americans in the next decade.

Deadly addiction to opioids – a class of drug covering everything from legal painkillers to heroin – has been described as America’s biggest public health crisis since the spread of HIV/AIDS in the 1980s.

President Trump was pressed on Monday about the allegations surrounding his drug czar nominee that were detailed in an expose by the Washington Post and CBS News’ 60 Minutes programme.

During a press conference at the White House, Mr Trump told reporters he took the journalistic investigation “very seriously”.

“We’re gonna be looking into Tom [Marino],” he told reporters from the Rose Garden.

“He’s a great guy. I did see the report. We’re gonna look into the report.”

Mr Trump also said he would formally declare a national opioid emergency next week, as he pledged to do more than two months ago.

Mr Marino and Ms Blackburn, both Republicans, helped force out an official at the Drug Enforcement Administration (DEA) who was taking on the drug firms, report the Post and 60 Minutes.

According to the investigation, they also introduced and lobbied for an “industry-friendly” bill called the Ensuring Patient Access and Effective Drug Enforcement Act.

A DEA whistleblower said the legislation made it harder for the agency to prevent distributors from shipping pills to rogue pharmacies and corrupt doctors around the US.

The so-called suspension orders – which the DEA slaps on suspicious shipments – have not been issued for at least two years, according to the report.

[BBC News]

Trump Interior Secretary Defends Confederate Statues

Interior Secretary Ryan Zinke says that the Trump Administration will not remove Confederate monuments from federal lands out of consideration for the feelings of “native Indians.”

“Where do you start and where do you stop?” Zinke asked a Breitbart reporter in an interview published Sunday. “It’s a slippery slope. If you’re a native Indian, I can tell you, you’re not very happy about the history of General Sherman or perhaps President Grant.”

This is a mildly innovative take on the “where do you draw the line?” argument that various members of the Trump administration — and countless conservative commentators — have been rehearsing, ad nauseam, since a bunch of neo-Nazis in Charlottesville successfully revived the defense of Confederate monuments as a national political issue. But Zinke’s iteration of the question isn’t any harder to answer than its predecessors.

It simply isn’t very difficult to find a limiting principle that would allow one to take down statues of Confederate generals, while preserving most other monuments to key figures in American history. Here are two:

1) Is the individual in question historically noteworthy primarily for their service to an evil cause? In other words, was their contribution to said cause their principal legacy?

2) Was the monument in question erected with the explicit intention of celebrating that evil cause?

William Sherman was a racist who participated in what we would now call ethnic cleansing operations against Native American tribes. But this is not what he is primarily remembered for, nor is it his principal contribution to our nation’s history. Rather, Sherman is best known for helping to preserve the union — and thus, end American slavery — by bringing total war to the American South. That Ulysses S. Grant is not primarily remembered for his (terrible) treatment of the Plains Indians would seem to go without saying.

By contrast, Robert E. Lee’s principal historical legacy was taking up arms against the United States in defense of the Southern elite’s right to enslave — which is to say, rape, beat, breed, and kill — human beings with dark skin, at will.

To see the absurdity of Zinke’s rhetorical question, imagine a German official saying that it would be misguided to take down a statue of Adolf Hitler, because then the Chinese might start complaining about statues to Kaiser Wilhelm, who instructed German troops to “mercilessly” put down the Boxer Rebellion.

Now, this is not to say that one shouldn’t judge historical figures by their treatment of Native Americans. But the fact that Grant and Sherman made other significant contributions to our history means that when American communities memorialize them with statues, they do not, typically, do so as a means of celebrating the mistreatment of indigenous peoples.

And here lies the most important distinction between statues of Confederate generals and those of Union ones: The latter were not typically built during the Jim Crow era, to celebrate the restoration of White Supremacy after the end of Reconstruction; the former, typically were.

In his Breitbart interview, Zinke said, “When you try to erase history, what happens is you also erase how it happened and why it happened and the ability to learn from it.”

But when Zinke suggests there is no distinction between monuments to Union and Confederate generals, he erases how the latter were erected — and why.

[New York Magazine]

Trump suggests NHL owner could help him with NAFTA negotiations

President Trump suggested on Tuesday that Ron Burkle, a co-owner of the Pittsburgh Penguins NHL team, could help his administration renegotiate the North American Free Trade Agreement (NAFTA) with Canada and Mexico.

Trump during a White House visit by the Stanley Cup championship team praised Burkle’s negotiating abilities, and suggested that the billionaire investor could play a role in NAFTA discussions.

“Ron, how about negotiating some of our horrible trade deals that they’ve made?” Trump asked. “Here’s what I want, I want to get him. Oh, I would love to have Ron Burkle.

“And it’s great to have you Ron. But I really mean that, if you want to get involved in negotiating NAFTA, I like it. Because we’re renegotiating NAFTA, Ron.”

“Of course, he may not like that, because maybe he’s on the other side,” Trump added. “You’re not on the other side of NAFTA, Ron, are you?”

Burkle could be heard responding: “I am not.”

Trump has railed against international trade deals, like NAFTA, as “unfair” to the U.S. and has vowed to renegotiate them.

Canadian Prime Minister Justin Trudeau is set to visit Washington on Wednesday — a trip that will overlap with the fourth round of NAFTA negotiations.

Trump has signaled more recently that he’s leaning toward scrapping the trade deal altogether, telling Forbes in an interview published Tuesday that “NAFTA will have to be terminated if we’re going to make it good.”

[The Hill]

 

Trump EPA Pick Defends His Extreme Views as ‘Sound Science’

At his Senate confirmation hearing on Wednesday, Michael Dourson, President Donald Trump’s nominee to lead the federal office for chemical safety, defended his record against fierce attacks from Democrats, who accused him of downplaying the risks of potentially toxic chemicals.

“I have been objective in my work and applied sound science to come to my conclusions,” said Dourson, a toxicologist who is Trump’s pick to lead the Environmental Protection Agency’s chemical safety office.

Democrats repeatedly pressed Dourson to commit to recusing himself from EPA decisions involving chemicals that industry players had paid for him to review, pointing out that his proposed standards for safe exposure were often much weaker than the EPA’s.

Dourson refused to state whether he would recuse himself, saying only that he would rely on EPA’s ethics officials to determine if such actions was necessary. According to his financial disclosure forms, Dourson hasn’t been directly paid by chemical companies within the past year, making it unlikely that he would have to recuse himself because of ethics laws, The New York Times reported.

In his opening remarks, Dourson promised to protect the American public, “including its most vulnerable.” He added that his research and consulting company, Toxicology Excellence for Risk Assessment, received only one-third of its funding from private industry, with the remainder coming from government sponsors.

But Dourson’s testimony did little to assuage Democrats. When Sen. Ed Markey of Massachusetts asked Dourson if he would weaken the EPA’s existing standards for 1,4-Dioxane — a solvent that the agency has classified as a likely carcinogen — Dourson said he would “bring new science and thinking into the agency.”

Markey lashed out, saying that Dourson’s proposed standard for 1,4-Dioxane was 1,000 times higher than the EPA’s. “You’re not just an outlier on the science — you’re outrageous in how far from the mainstream of science you actually are,” Markey said.

Throughout the hearing, Sen. John Barrasso, R-Wyo., the chairman of the Senate Committee on Environment and Public Works, repeatedly quoted praise for Dourson from toxicology professionals who described him as “highly qualified” and “a leader in the field of risk assessment.”

Democrats do not have the votes to block Dourson’s nomination, but if he passes out of committee — which didn’t vote on his nomination Wednesday — they could threaten to prolong the nominating process by using a Senate procedure that requires 30 hours of debate for each nominee.

[NBC News]

Reality

Dourson has written books and often engages in “faith based science” which cherry-picks actual scientific evidence to fit into a Biblical narrative.

Trump Hires Campaign Workers Instead of Farm Experts at USDA

President Donald Trump’s appointees to jobs at Agriculture Department headquarters include a long-haul truck driver, a country club cabana attendant and the owner of a scented-candle company.

A POLITICO review of dozens of résumés from political appointees to USDA shows the agency has been stocked with Trump campaign staff and volunteers who in many cases demonstrated little to no experience with federal policy, let alone deep roots in agriculture. But of the 42 résumés POLITICO reviewed, 22 cited Trump campaign experience. And based on their résumés, some of those appointees appear to lack credentials, such as a college degree, required to qualify for higher government salaries.

It’s typical for presidents to reward loyalists with jobs once a campaign is over. But what’s different under Trump, sources familiar with the department’s inner workings say, is the number of campaign staffers who have gotten positions and the jobs and salaries they have been hired for, despite not having solid agricultural credentials in certain cases. An inexperienced staff can lead to mistakes and sidetrack a president’s agenda, the sources say.

“There is a clear prioritization of one attribute, and that is loyalty,” said Austin Evers, American Oversight’s executive director, who provided the documents after his organization received them in response to a Freedom of Information Act request. He said the group sought résumés for Trump administration political appointees from across the federal government and found an abundance of former campaign workers in positions that did not appear to match their qualifications. “The theme that emerges is pretty clear: What do you have to do to get an administration job? Work on the campaign,” he added.

USDA in a statement defended the hires: “All of the appointees have skills that are applicable to the roles they fill at USDA.”

The truck driver, Nick Brusky, was hired this year at USDA’s Foreign Agricultural Service — an agency tasked with developing overseas markets for U.S. agricultural trade goods — at one of the highest levels on the federal government’s pay scale, a GS-12, earning $79,720 annually. Though that pay grade requires a master’s degree or equivalent experience, it’s not clear from Brusky’s résumé whether he’s a college graduate. The document lists coursework in business management and political science at three universities from 2000 to 2013, but does not specify a graduation date.

Brusky served as a field representative for Trump’s campaign in the battleground state of Ohio, beginning in November 2016, while driving for a trucking company in Hilliard, where he also was a county commissioner. Brusky’s résumé shows he has no experience in cultivating international markets for trade goods, though he notes he has experience “hauling and shipping agricultural commodities.” It says he was twice elected to local office and was a legislative aide to an Ohio state representative from January 2009 until June 2012.

Another example: Christopher O’Hagan, an appointee as a confidential assistant at the Agricultural Marketing Service, which helps producers of food, fiber and specialty crop growers market their goods. O’Hagan graduated in 2016 from the University of Scranton with a major in history and a minor in economics. But his résumé lists only one example of work experience prior to joining the Trump campaign in January 2016 — employment as a cabana attendant at the Westchester Country Club in Rye, New York, while in school.

Similarly, Trump campaign alum Tim Page, a 2016 graduate of Appalachian State University, is now at the Natural Resources Conservation Service, an agency that helps farmers, ranchers and forest managers employ conservation practices. Page’s résumé indicates that he owns Cutting Edge LLC, a landscaping service in Connelly Springs, North Carolina.

“Much in the same way previous administrations have done, the USDA worked with the Presidential Personnel Office to place Schedule C appointees where they could be most helpful to the mission of the department,” the department said in an email to POLITICO. “All of the appointees have skills that are applicable to the roles they fill at USDA.“

O’Hagan, Page and Brusky did not respond to emails requesting comment and the USDA declined to make them available for this story.

Brusky, O’Hagan and Page are three of 10 confidential assistants whose résumés were among those obtained by American Oversight, along with the résumés of some career staff who are acting in leadership roles. All but one of the 10 touted their work to get the president elected, and most do not have agricultural experience. All of the appointees with this title are ranked as GS-11, GS-12 or GS-13, positions with annual salaries ranging from $60,210 to $85,816 at Step 1 of each grade. Two of the 10 didn’t list college degrees on their résumés, despite guidelines that call for anyone at GS-7 or higher to have completed a four-year degree.

Further, none of the confidential assistants indicated they had earned a master’s. Employees at the GS-9 level or higher are required by Office of Personnel Management guidelines to have obtained that level of education or equivalent experience.

The USDA said duties of a confidential assistant include “conducting research; preparing documents for special projects; overseeing correspondence control … receiving a wide variety of telephone inquiries from executives within and outside the USDA and from other agencies.”

O’Hagan and Page were hired at the GS-12 level and assigned to the secretary’s office, with a salary of $79,720. They were then transferred to their current roles, both of which are at the GS- 11 level and come with an annual salary of $66,510. Four other political appointees had their salaries reduced after they started.

“By the time these people are serving in confidential assistant roles, they are sitting on a very thin layer in government bureaucracy,” a former USDA official who arrived at the department at the beginning of the Obama administration, noting that the confidential assistant positions can be involved with technical decisions on policy matters. “If you just have someone with no higher education and no experience and no background in policymaking as the arbiter on these questions, that’s pretty unusual.”

Also in the ranks of USDA political appointees are the scented-candle company owner; a clerk at AT&T; a Republican National Committee intern; a part-time executive assistant and rental property manager; and a former Washington state senator who mentioned on his résumé that he was the first elected official in his state to back Trump’s candidacy.

The list of 42 appointees also includes seven special assistants, who command higher salaries than confidential assistants and generally have experience in policy and government. All of the special assistants are either GS-14 or GS-15, which start at $101,402 and 119,285, respectively. Three of the seven special assistants mentioned work on the campaign on their résumés.

In the early days of the Obama USDA, more experienced people coming off the campaign were given posts as confidential assistants, the former USDA official explained. They were tasked with assisting Senate-confirmed officials, taking notes during meetings and coordinating efforts with career staff.

Special assistants, by contrast, performed jobs for officials who did not require Senate confirmation, such as chiefs of staff, administrators and other leadership posts. There were some young staffers with ties to the campaign trail, sources conceded. The Obama team also pulled heavily from Capitol Hill staff to fill key roles, but only a handful of the appointees at USDA as of late last month have made a similar jump.

For the most part, the administration’s selections for leadership positions at USDA have been well received by industry and Capitol Hill. Agriculture Secretary Sonny Perdue, a two-term governor of Georgia who also is a veterinarian and ran a host of agriculture-related businesses, got the endorsement of former Agriculture Secretary Tom Vilsack, the only Trump Cabinet official to be backed by his predecessor.

Perdue also has brought on board about a half-dozen policy advisers and high-level political staff who have backgrounds at influential agricultural policy groups or as staffers on relevant congressional committees or who served under Perdue during his time as Georgia governor. None of these hires listed campaign experience among their qualifications.

Meanwhile, even with the campaign loyalists who are now on the USDA staff, the administration is still behind schedule in hiring for the agency’s more than 200 political positions that span from Washington, D.C., to rural communities across all 50 states.

The combination of a thin political staff and a lack of appropriate expertise among the appointees could spell trouble for Perdue as he pushes forward with his reorganization plan and other policy objectives, said a former USDA official who arrived at the department at the beginning of the Obama administration.

“If you don’t have talented people, experienced people, people who know how policymaking works, there are a number of ways you can get your agenda sidetracked,” said the former staffer, who was granted anonymity to discuss staffing freely. Policymaking is filled with landmines — from congressional oversight to complicated rules related to acceptance of gifts, the source noted, adding: “What you can get is both the failure to take advantage of opportunities … and mistakes that will eat up time and energy.”

[Politico]

Trump Nominates Science-Denying Politician To Run NASA

President Trump plans to nominate Rep. James Bridenstine (R-Okla.) to be the next administrator of the National Aeronautics and Space Administration (NASA), the White House announced Friday.

Bridenstine entered Congress in 2013, serving on the House Armed Services Committee as well as the Science, Space and Technology Committee, which has jurisdiction over NASA.

He was also an aviator in the U.S. Navy Reserve, having flown combat missions in Iraq and Afghanistan.

Bridenstine is one of two GOP lawmakers that Trump nominated on Friday to positions in his administration.

The White House also announced Rep. Tom Marino (R-Pa.) as Trump’s pick to be the Director of the Office of National Drug Control Policy.

Bridenstine’s nomination drew immediate criticism from both of Florida’s senators, who expressed concern over his lack of experience and partisanship.

“It’s the one federal mission which has largely been free of politics and it’s at a critical juncture in its history,” Sen. Marco Rubio (R-Fla.) told Politico.

“I would hate to see an administrator held up – on [grounds of] partisanship, political arguments, past votes, or statements made in the past – because the agency can’t afford it and it can’t afford the controversy.”

[The Hill]

Reality

In 2013, during his first year in Congress, Bridenstine infamously called on then-President Barack Obama to “apologize” to the state of Oklahoma for his “gross misallocation [sic]” of funds to climate change research.

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