Press Releases

WASHINGTON – U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) released the following statement today following the decision by Attorney General Miyares to drop the state’s federal appeal in the manslaughter case against the two U.S. Park Police officers involved in the November 2017 shooting of Bijan Ghaisar: 

“Our hearts go out to Bijan Ghaisar’s loved ones, who have spent more than four years searching for closure following the fatal shooting of Bijan by two U.S. Park Police officers. We are deeply disappointed by this decision by Attorney General Miyares to end Virginia’s pursuit of justice for Bijan and his family. This decision only stands to cause further harm to the Fairfax County community while preventing a heartbroken family from reaching the closure they desperately need. We will continue to support the Ghaisar family’s pursuit of justice for Bijan. ”

In January of 2018, Sens. Warner and Kaine, and Rep. Don Beyer (D-VA), pushed the FBI for an update on the status of its investigation into the fatal 2017 shooting. In October of that year, Sen. Warner sent a letter to the head of the National Park Service (NPS) regarding the circumstances under which U.S. Park Police officers engaged with Bijan.

In June of 2019, Sen. Warner along with Sen. Chuck Grassley (R-IA) decried the opaque and drawn-out nature of the review in letters to both the FBI and NPS. Two months later, the FBI provided a brief response, leaving many questions unanswered. In October, NPS provided a partial response, which prompted a follow-up letter from the Senators seeking more information.

In November 2019, Sens. Warner and Grassley pledged to seek greater transparency and formally requested an FBI briefing on its investigation into the shooting – shortly after the FBI concluded its lengthy investigation without fully explain its findings, including why the two officers opened fire on Ghaisar. In February 2020, Sen. Warner voted against the nomination of Katharine MacGregor to be Deputy Secretary of the Interior, and in May, announced that he would place a hold on future Department of the Interior nominees until he receives adequate responses to his questions surrounding the Park Service’s handling of the shooting. Later that July, Sen. Warner pressed NPS for answers regarding its internal affairs investigation into the killing of Bijan, and the following month, he joined Sen. Grassley in a letter expressing concern over the department’s refusal to answer a number of questions in a briefing. In October 2020, Sen. Warner reiterated the need for justice after Fairfax Commonwealth's Attorney Steve T. Descano brought forth two charges against the officers.

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 WASHINGTON – Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) announced $2,642,519 in federal funding from the Substance Abuse and Mental Health Services Administration (SAMHSA) for the Virginia State Department of Behavioral Health and Developmental Services (DBHDS). This funding will go towards improving call and text response rates at the National Suicide Prevention Lifeline.

he last two years of the pandemic, we have seen an increased demand for mental health services,” the senators said. “We are pleased that this funding will allow the Commonwealth to provide more timely assistance to those who are in crisis and in need of help.”

Currently in Virginia, the DBHDS has an in-state answer rate of 83 percent. The goal of this funding is to increase answer rates at call centers to 90 percent by the end of the grant period. In addition, SAMSHA has a stated goal of answering 90 percent of calls within 15 seconds and 95 percent of calls within 20 seconds by the end of the grant period.

This funding comes ahead of the National Suicide Prevention Lifeline’s July transition from the current 10-digit number to a three-digit, 988, dialing code. With the switch, SAMHSA is expecting an increase in calls. 

In February of last year, Sens. Warner and Kaine announced funding for the Richmond Behavioral Health Authority to help expand access to and improve the quality of mental health and substance use disorder programs.

This funding was provided through the American Rescue Plan which was supported by both Sens. Warner and Kaine.

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 WASHINGTON – U.S. Sen. Mark R. Warner (D-VA), a member of the Senate Banking Committee, released the following statement on President Biden’s intent to nominate Michael Barr as Vice Chair for Supervision of the Federal Reserve:

“Michael Barr has spent much of his career working to protect consumers and safeguard the long-term stability and wellbeing of our nation’s financial system. While I look forward to further reviewing his qualifications and considering his nomination, I believe he has the background to be a valuable Vice Chair for Supervision of the Federal Reserve at this moment in time.”

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WASHINGTON — Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) issued the following statement on the Biden administration’s decision to issue a Temporary Protected Status designation for Cameroon: 

“We are pleased to see the Biden administration recognize the humanitarian crisis threatening the people of Cameroon. This TPS designation will ensure that Cameroonians already living in the U.S. are not forced to return to a nation torn by unrelenting violence.” 

Sens. Warner and Kaine have been strong advocates for the TPS program. In November, they joined a number of their colleagues in calling on the administration to provide protections to Cameroonians fleeing violence. 

Established by the U.S. Congress through the Immigration Act of 1990, TPS is a temporary, renewable program that provides relief from deportation and access to a work permit for foreign nationals from certain countries who are unable to return safely to their home country due to natural disasters, armed conflicts, or other extraordinary conditions.

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WASHINGTON — U.S. Sens. Mark R. Warner and Tim Kaine applauded unanimous Senate passage of their bipartisan legislation to commemorate the historic sites that catalyzed litigation leading to the 1954 landmark Supreme Court decision, Brown v. Board of Education of Topeka. The bill will expand the Brown v. Board of Education National Historic Site in Kansas and designate National Park Service (NPS) Affiliated Areas in Delaware, South Carolina, Kansas, Virginia, and the District of Columbia. Specifically, the legislation would recognize the Moton Museum, formerly the Robert Russa Moton High School, in Farmville, Virginia, where Barbara Johns led a protest against school segregation and demanded better conditions for Black students.

The 1954 Supreme Court decision in Brown v. Board of Education of Topeka transformed the United States, striking down the separate-but-equal doctrine established by Plessy v. Ferguson in 1896. The Brown decision ended the practice of legalized segregation in educational facilities and was a major catalyst of the Civil Rights Movement of the 1950s and 1960s.

“Seventy years ago, 16-year-old Barbara Johns led a walkout to protest school segregation alongside all 450 of her fellow Black classmates at the Robert Russa Moton High School in Farmville, Virginia. Ms. Johns’ student-led demonstration spurred one of the five cases that would eventually head to the Supreme Court under the Brown v. Board of Education lawsuit,” said Sen. Warner. “As we honor Barbara Johns’ legacy in the halls of Congress with her statue, I’m proud to join this effort to commemorate the Brown v. Board of Education National Historic Site and further recognize the vital role played by the R.R. Moton School in Farmville in ending school segregation.”

“In April 1951, Barbara Johns led her classmates in a protest to demand better conditions for Black students at the segregated Moton School in Farmville, Virginia. I’m proud the Senate passed our bipartisan bill to honor the Moton Museum and other historic sites connected to Brown v. Board of Education,” said Sen. Kaine. “As we approach the 68th anniversary of this landmark ruling, we must continue to tell inspiring stories of Americans fighting for equality and recommit ourselves to upholding the principle of equal protection under the law.”

The legislation was crafted in partnership with the National Trust for Historic Preservation. In the Senate, the bill was led by U.S. Senators Chris Coons (D-DE) and Lindsey Graham (R-SC), and supported by U.S. Senators Tim Scott (R-SC), Tom Carper (D-DE), Jerry Moran (R-KS), and Roger Marshall (R-KS).

“With the passage of the Brown v. Board National Historic Site Expansion Act to designate all of the sites associated with this monumental Supreme Court case, history is not just memorialized but also made whole,” said Paul Edmondson, President and CEO of the National Trust for Historic Preservation. “At the National Trust, we have been diligently working to reveal and amplify a more complete view of our national history and we’re pleased to have partnered with Senator Coons and Congressman Clyburn in this important work. The heroism of the communities, parents and schoolchildren who dared to demand equal access to education can now be properly celebrated through these historic places.”

“This preservation process reveals how all history is truly made,” said Brent Leggs, Executive Director of the African American Cultural Heritage Action Fund. “So often it takes more than one great man, woman or even a single community to create change, despite the way the stories of history are often recounted. Actually, it requires many ‘ordinary people with extraordinary vision’ to move a society forward. We applaud those courageous attorneys, families, and activists, some known and others unknown, who put so much at risk to secure educational equality for all Americans. Thanks to our preservation partners, the full history of this landmark case will forever be memorialized and interpreted to inspire the next generation of social justice leaders.”

“The Robert R. Moton Museum is excited to join with communities involved in the historic Brown v. Board of Education of Topeka decision. In seeking to become an affiliated area of the National Park Service, we know this affiliation will allow us the opportunity to better collaborate with other communities involved in the historic Brown decision as we work to ensure that countless individuals have the opportunity to know of the courage and sacrifice that citizens made towards equality in education,” said Mr. Cameron D. Patterson, Executive Director of the Robert R. Moton Museum in Farmville, Virginia. “The Moton Museum Board of Trustees, Moton Museum Community Council, and our partner institution Longwood University in offering their support towards this effort, recognize that the resources and benefits offered from this affiliation with the National Park Service will only strengthen our ability to fulfill our mission as a museum.”

The creation of NPS Affiliated Areas in Delaware, Virginia, and the District of Columbia for sites associated with the Brown v. Board of Education case and an expansion of the Brown v. Board of Education National Historic Site to include the related sites in South Carolina provides an opportunity for these sites to tell their own uplifting, under-recognized stories of students, parents, and their allies who helped shape American society. 

Enactment of this legislation has the potential to appropriately recognize the sites associated with the other four court cases and help them to combine current uses with preservation and public education.  In collaboration with local partners and other stakeholders, the National Trust will continue their collective work to bring recognition to communities that fought for school integration, helping these sites to tell their own history of the Brown v. Board of Education case and make connections to other communities engaged in the fight for educational equity, past and present.

On Wednesday, the bipartisan bill unanimously passed in the House Committee on Natural Resources. The House will soon consider the bill, and then it will go to President Biden’s desk to be signed into law.  

The bill text is available here.

 

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WASHINGTON – U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) announced the designation of $232,426,060 in federal funds for Virginia transit systems. This largest-ever investment in Virginia transit was authorized by the Infrastructure Investments and Jobs Act negotiated by Sen. Warner and supported by Sen. Kaine. The funding will be awarded through the U.S. Department of Transportation’s Federal Transit Administration formula programs and distributed to transit systems throughout the Commonwealth.

“Thanks to the bipartisan infrastructure law, Virginia continues to receive funding for much-needed transportation upgrades,” the senators said. “This investment in the Commonwealth’s public transit will make lives easier for every Virginian who relies on public transportation while creating good-paying jobs for workers.”  

Because of this record investment in transit, Virginia is set to receive a 28.7 percent increase in funds over last year’s total apportionment.

In addition to the $232 million guaranteed for Virginia, the Commonwealth is expected to receive a portion of the $280,270,139 in funding designated to the D.C. Metro Area, which includes Northern Virginia, D.C., and Maryland. This funding will be divided across transit agencies and localities within the area.

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WASHINGTON —U.S. Senator Mark R. Warner (D-VA) and U.S. Representative Abigail Spanberger (D-VA-07) today led the Virginia congressional delegation in calling on the U.S. Department of Commerce to consider Virginia for future locations of major semiconductor production and research facilities — as efforts to fund the CHIPS for America Act continue.

In a letter  sent to U.S. Secretary of Commerce Gina Raimondo, Warner, Spanberger and the entire Virginia congressional delegation urged the Department to recognize the role Virginia can play in strengthening the American semiconductor industry and creating new jobs in this key sector. Specifically, they called on Secretary Raimondo to consider Virginia as the site for the National Semiconductor Technology Center (NSTC) and National Advanced Packaging Manufacturing Program (NAPMP) — two initiatives established by the CHIPS for America Act that would be funded by legislation currently under consideration by Congress.

The letter was also signed by U.S. Senator Tim Kaine (D-VA) and U.S. Representatives Don Beyer (D-VA-08), Ben Cline (R-VA-06), Gerry Connolly (D-VA-11), Bob Good (R-VA-05), Morgan Griffith (R-VA-09), Elaine Luria (D-VA-02), A. Donald McEachin (D-VA-04), Bobby Scott, (D-VA-03), Jennifer Wexton (D-VA-10), and Rob Wittman (R-VA-01).

“Thank you for your work to strengthen American semiconductor manufacturing, and the Department of Commerce’s efforts with Congress to pass the CHIPS for America Act. As Congress works to fully fund the important programs authorized by the law, we write to express our strong support for considering Virginia for sites to establish the National Semiconductor Technology Center (NSTC), National Advanced Packaging Manufacturing Program (NAPMP), and other federal investments in semiconductor research and manufacturing,” said the Virginia Members.

In their letter, the Virginia Members also outlined Virginia’s longstanding leadership in the semiconductor industry, as well as the reasons why Virginia’s economy would be best suited for these new centers.

The Virginia Members continued, “Virginia’s leading technology workforce and semiconductor manufacturing presence make the Commonwealth an ideal location for future federal investments in semiconductor research and manufacturing. Virginia has the second highest concentration of technology workers in the US, and net technology employment in Virginia grew by more than 27,000 jobs between 2010 and 2019. Virginia also has strong education infrastructure, especially in Science, Technology, Engineering, Math (STEM) degrees and credentials. In 2019-20, Virginia’s public and private nonprofit colleges and universities awarded 122,869 degrees and certificates in areas such as health care, business, education, information technology and other demand fields.”

Virginia is already home to multiple shovel-ready sites that are ready to support new semiconductor manufacturing, research, and development. This preparation was outlined by the Henrico Economic Development Authority and the Chesterfield County Board of Supervisors backing this Spanberger-Warner effort to secure these sites.

“We are ready. Thanks to the hard work of Rep. Spanberger and Sen. Warner to move the CHIPS Act forward, Henrico and the Commonwealth of Virginia are poised for semiconductor investment.  We have a long history of innovation in the semiconductor industry, and with our robust infrastructure, shovel ready sites, and talented workforce we are ready to meet the needs of the semiconductor industry,” said Anthony J. Romanello, Executive Director, Henrico Economic Development Authority.

“Securing advanced manufacturing is critical to growing local, regional and state economies, which is why Chesterfield has taken a strategic approach to be ready when opportunities knock. This expands into our prepared and ready workforce and streamlined planning and permitting processes, which make it easy to do business in Chesterfield. We’ve worked with our economic and community development professionals to determine what’s needed and where, and we’re positioning Chesterfield to be a desired and leading location in attracting technology and other advanced manufacturing to the Commonwealth. We appreciate Sen. Warner and Rep. Spanberger for supporting this effort in Virginia,” said Chris Winslow, Chairman, Chesterfield County Board of Supervisors.

Full text of the letter is available here and below.

Dear Secretary Raimondo,

Thank you for your work to strengthen American semiconductor manufacturing, and the Department of Commerce’s efforts with Congress to pass the CHIPS for America Act. As Congress works to fully fund the important programs authorized by the law, we write to express our strong support for considering Virginia for sites to establish the National Semiconductor Technology Center (NSTC), National Advanced Packaging Manufacturing Program (NAPMP), and other federal investments in semiconductor research and manufacturing.

We appreciate the Department of Commerce’s leadership in convening business leaders and government officials to address supply chain disruptions and semiconductor chip shortages. These issues are at the heart of rising prices that are impacting Americans’ pocketbooks. Additionally, investing in domestic semiconductor manufacturing is crucial for US global competitiveness and national security. As such, we strongly support robust funding for the CHIPS Act, and believe Virginia is uniquely positioned to effectively leverage federal investments to strengthen domestic manufacturing.

Virginia’s leading technology workforce and semiconductor manufacturing presence make the Commonwealth an ideal location for future federal investments in semiconductor research and manufacturing. Virginia has the second highest concentration of technology workers in the US, and net technology employment in Virginia grew by more than 27,000 jobs between 2010 and 2019. Virginia also has strong education infrastructure, especially in Science, Technology, Engineering, Math (STEM) degrees and credentials. In 2019-20, Virginia’s public and private nonprofit colleges and universities awarded 122,869 degrees and certificates in areas such as health care, business, education, information technology and other demand fields.

In addition to the Commonwealth’s highly prepared workforce, there are several shovel-ready sites in Virginia that are eager to support new manufacturing, research, and development. Multiple leading semiconductor manufacturing companies, such as Micron Technology and GeneSiC, have already chosen Virginia for large investments, such as for new semiconductor manufacturing plants, or expanding operations. Virginia has been named the “Top State for Business” five times since CNBC began ranking states for doing business in 2007, most recently ranking first in 2021. For these reasons, Virginia is strongly suited to be a responsible steward of federal investments in domestic semiconductor manufacturing and research, and promote U.S. global competitiveness in this key sector.

We continue to strongly support the Department’s work in promoting domestic semiconductor production and research, and we urge you to consider Virginia for the NSTC, NAPMP, and other investments as the Department implements the CHIPS for America Act. Thank you for your full and fair consideration of this request, consistent with applicable agency guidelines. 

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WASHINGTON – Today, U.S. Sens. Mark R. Warner (D-VA) and Chris Coons (D-DE) reintroduced legislation to give low- and moderate-income workers more access to lifelong learning opportunities. The Lifelong Learning and Training Account Act would establish a tax-preferred savings account with a generous government match to support workers looking to retrain or develop new skills throughout their careers.

In the coming years, more workers will be required to learn new skills throughout their careers. A National Academies of Sciences report focused on information technology and the U.S. workforce recently stressed the need to prepare individuals for the changing labor market. Due to automation, the McKinsey Global Institute estimates that up to a third of the U.S. workforce will need to learn new skills or find new work in new occupations by 2030. According to a Pew Research Center survey, 87 percent of workers believe training and developing new job skills throughout their work life is essential to succeed in the workplace. The Lifelong Learning and Training Account Act would give workers a tool to access that training by providing them with a portable, government-matched savings vehicle for lifelong learning.

“Access to lifelong learning and education is a critical tool that workers need to succeed in today’s economy. Therefore, it is essential for the federal government to support Americans’ ability to retrain and upskill throughout their career,” said Sen. Warner. “This is a no-brainer investment that would help workers continue to expand their skillsets and grow their earning potential. It would also help employers who need skilled workers to fill those jobs, particularly in a competitive labor market.”

“By strengthening access to skills training and fostering a culture of lifelong learning, we can support American workers while ensuring we have a workforce ready to fill the jobs of tomorrow,” said Sen. Coons. “That’s why I’m proud to partner with my colleague Senator Warner to invest in our future with this needed investment, and make available the growth and retraining we know will be vital in a competitive, global economy.”

“Small business owners often struggle to find skilled workers, which has become even more challenging during this competitive labor market,” said John Arensmeyer, Founder & CEO of Small Business Majority. “In fact, Small Business Majority's scientific opinion polling found more than one-third of small employers said it is difficult to find candidates with the right education, skills or training. Since small firms rarely have enough time to dedicate to extensive staff training or sufficient funds to pay for employee education, the Lifelong Learning and Training Account Act would be a huge boost to small businesses by offering them another way to invest in the development of their staff. This legislation would also help solo entrepreneurs invest in their own development and acquire skills without the aid of an employer.”

The Lifelong Learning and Training Account Act creates employee-owned Lifelong Learning and Training Account (LLTA) savings plans. Contributions to an LLTA by low- and moderate-income workers or their employers would be eligible for a dollar-for-dollar federal match of up to $1,000. Under this legislation, the federal matching funds would be directly deposited into the LLTA immediately after a contribution by the worker or employer. The worker would then get to choose how to use the LLTA funds, which could be applied towards any training that leads to a recognized post-secondary credential.

For workers that need to contribute to the cost of updating their job skills, this significant federal investment can make a huge difference in whether or not these workers seek additional training. If employers are willing to match employees’ savings, the returns can be even greater—a $500 contribution by a worker would create $2,000 in training opportunities (a $500 match by the employer, and then a $1,000 match from the federal government.) The accounts are portable from job to job, and always under workers’ control.

Contributions by workers and employers are after-tax dollars, but face no additional taxes on earnings if the LLTA funds are used for qualified training expenses. Eligibility is for workers age 25 to 60, with incomes of up to $82,000 per worker. States will manage the accounts. Accounts are designed to encourage the worker to use the funds to regularly update their skills, rather than build up large balances over many years. Restrictions are put in place to ensure that the government’s matching dollars go only to qualified training expenses.

The full text of the bill can be found here.

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WASHINGTON – Today, Senator Rick Scott released the following statement applauding the Senate’s unanimous approval of his bipartisan resolution with Senator Mark Warner supporting Chinese tennis star Peng Shuai. Senator Scott’s resolution also rebukes the International Olympic Committee (IOC) for its failure to clearly and forcefully challenge the Chinese Communist Party’s claims about her safety.

The resolution was previously reported favorably out of the Senate Foreign Relations Committee. It is cosponsored by Senators Shelley Moore Capito, Sherrod Brown, John Hoeven, Ron Wyden, Ted Cruz, Jeff Merkley, Mike Braun, Chris Van Hollen, Marsha Blackburn, Bob Casey, Tom Cotton, Raphael Warnock, Ron Johnson and Jeanne Shaheen. A companion, bipartisan resolution led by Congressman Michael Waltz and Congresswoman Jennifer Wexton unanimously passed the U.S. House of Representatives in December 2021.

Senator Rick Scott said, “Today, the United States Senate sent a clear message that Communist China’s silencing of Peng Shuai is unacceptable and the IOC’s cooperation with the authoritarian and oppressive communist Chinese regime in covering up this alleged assault will not be tolerated. In passing this resolution, the Senate is again rightly standing in support of freedom and democracy around the world, and showing Xi Jinping that we will never turn a blind eye to his gross behavior. We will never stop fighting to support brave women like Peng Shuai and will continue to demand accountability and condemn the horrific abuses of the Chinese Communist Party.”

Senator Mark Warner said, “In the time since the closing ceremony of the Beijing Olympics we have not been given any clarity regarding the freedom, well-being, and safety of Peng Shuai. In passing this resolution, the United States Senate is reaffirming that the International Olympic Committee’s unwillingness to clearly and forcefully stand up to the CCP and call for independent assurance into the safety of Peng Shuai has stood in direct opposition to what we stand for, and to the broader diplomatic efforts to push for her freedom and well-being. The U.S. will continue to call out disturbing human rights abuses by the CCP.”

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WASHINGTON - Today, U.S. Sen. Mark R. Warner (D-VA) joined Sens. Cory Booker (D-NJ) and Tim Scott (R-SC) and U.S. Representatives Ron Kind (D-WI) and Mike Kelly (R-PA) introduced a bipartisan, bicameral bill reforming Opportunity Zones, the tax incentive for individuals who reinvest unrealized capital gains into high-impact projects in underserved communities. Additionally, U.S. Chris Van Hollen (D-MD), and Todd Young (R-IN) and Representatives Terri Sewell (D-AL-07), Dan Kildee (D-MI-05), and Jackie Walorski (R-IN-02) co-sponsored the legislation, called the Opportunity Zones Transparency, Extension, and Improvement Act.

Booker and Scott originally introduced the Investing in Opportunity Act in April 2016. A provision based on the bill was included in the 2017 tax bill. As communities across the country have begun to see investments take hold, the lawmakers are proposing a series of improvements to the tax incentive.

“I am proud to co-sponsor this Opportunity Zone reform bill that will provide more transparency and reporting for these zones,” said Senator Warner. “I was an original leader on the bipartisan Investing in Opportunity Act, which led to the creation of Opportunity Zones, and I know this bill will make meaningful progress and substantially improve the policy.” 

“The Opportunity Zone incentive has the potential to unleash much-needed economic growth in high poverty communities across the country – communities that investors too often overlook. But without robust guardrails in place, the incentive could be undermined or abused by those who aren’t committed to uplifting rural and urban communities across the country,” said Senator Booker. “I am proud to introduce this legislation with Senator Scott to help restore the original promise of opportunity zones by steering private capital to reinvest in underserved communities that have been historically left behind and working to level the economic playing field.”

“The Opportunity Zone program represents the good that leaders can do for communities across the country when we work together toward common sense solutions,” said Senator Scott. “Independent reporting shows that investments in Opportunity Zones are making a huge impact across the country, with billions of dollars flowing into impoverished neighborhoods. I am glad to build on that success with this legislation to make the program stronger, so that we can ensure this incentive is benefitting the Americans who need it most.”

"Opportunity Zones are bringing capital to communities in rural and underserved areas and investing in our local economies," said Representative Kind. "In order to ensure this program is used as it was intended, we need strong transparency and accountability measures in place. I'm proud to help introduce this bipartisan, bicameral legislation to maximize the potential of Opportunity Zones, improve safeguards, and drive economic growth across the country."

“Opportunity Zones have brought new life to America’s Main Streets and communities that have not seen this type of investment in decades,” Representative Kelly said. “Nationally, one of the best-known Opportunity Zones is in my congressional district in Erie, Pennsylvania.  Due to great community partners and private investment, local leaders have been able to leverage the revitalization of downtown Erie.  Our new legislation will help ensure that Opportunity Zones can continue to revitalize communities like Erie for years and decades to come along with giving taxpayer’s the peace of mind that the government is working for them locally.”

“Gaps in Opportunity Zone programs have barred economically distressed areas from accessing the critical resources they need to create new local opportunities. This legislation will help close those gaps and ensure that Opportunity Zone investments lift up low-income communities – spurring further investments and ultimately benefiting Marylanders,” said Senator Van Hollen. “Maryland’s own Sparrows Point and Turner Station, alongside hundreds of recovering regions across the country, stand to see renewed economic vitality and more good-paying jobs as a result of this solution.” 

“The creation of the Opportunity Zones initiative in the 2017 tax reform law has succeeded in attracting capital and investments to historically distressed communities. They serve as a critical tool to create jobs, revitalize neighborhoods, and lift Hoosiers out of poverty, which is why I am proud to help introduce the Opportunity Zones Transparency, Extension, and Improvement Act. This bipartisan legislation will better optimize Opportunity Zone investment in neighborhoods and communities across Indiana while strengthening transparency and reporting metrics to improve on the initiative’s success,” said Senator Young.

This bipartisan legislation would improve Opportunity Zones by:

  • Reinstating and expanding the reporting requirements that were present in the Investing in Opportunity Act (IIOA), the original stand-alone legislation that created Opportunity Zones, but were stripped out in the 2017 Tax Cuts and Jobs Act due to procedural rules.
  • Ending Opportunity Zones that are not impoverished. While the vast majority of Opportunity Zones are truly impoverished areas, the legislation would sunset a small percentage of Opportunity Zone designations for tracts with a median family income at or above 130 percent of the national median family income. States would be able to designate a new tract in high-need communities for every tract sunsetted under this provision.
  • Creating pathways for smaller-dollar impact investments by allowing Qualified Opportunity Funds (QOFs) to be organized as a "fund of funds" that may invest in other QOFs, providing smaller communities and projects with the financing they need.
  • Providing operating support and technical assistance to high-poverty and underserved communities through a State and Community Dynamism Fund. Flexible grants will help states drive private and public capital to underserved businesses and communities.
  • Extending the tax incentive for two years in order to facilitate continued investment. It took the Treasury Department nearly two years to issue final regulations governing Opportunity Zones, during which time many investors and stakeholders stayed on the sidelines awaiting clear rules for the policy. Extending the policy by an equal amount of time will help investors and communities fully use the tool as Congress intended -- which is especially important now with the economy in recovery from the impacts of the COVID-19 pandemic.

The full text of the legislation can be viewed here

The one-pager of the legislation can be viewed here.

The section by section of the legislation can be viewed here.  

Quotes in support of the legislation can be viewed below:

John Lettieri, President and CEO, Economic Innovation Group:

“Supporting economic growth in low-income communities remains an urgent challenge as the country recovers from the severe disruption of the pandemic. One powerful way to do that is to strengthen the Opportunity Zones incentive, which has proven to be an effective tool for encouraging investment in struggling areas throughout the country,” said John Lettieri, President and CEO of the Economic Innovation Group. “The Opportunity Zones Transparency, Extension, and Improvement Act would enhance the policy on multiple fronts, including by enacting careful reporting and measurement standards, strengthening the incentive to draw in greater investment, creating new ways to attract funding for high-impact activities, and refining the map of designated communities to better align with the intent of the law. EIG applauds the bill’s sponsors for their thoughtful, bipartisan leadership in bringing this important legislation to fruition.” 

 

Jonathan Tower, Managing Partner, Arctaris Impact Investors:

“Arctaris Impact Investors has invested in the revitalization of under-invested communities for 13 years over 7 funds and, in our experience, the Opportunity Zone incentive is more efficient for delivering capital and social impact to low income census tracts than all the other federal and local economic development programs combined.  The proposed amendments will help attract more institutional-grade capital to OZ funds, and Arctaris looks forward to expanding its platform to support the growth of diverse businesses, community infrastructure, and real estate.  Further, Arctaris has long advocated for and adhered to higher standards for impact reporting than contained in the original legislation, and we welcome the greater transparency requirements in the proposed amendments.”

 

Martin Muoto, CEO, SoLa Impact:

“This bipartisan legislation to improve the Opportunity Zones policy will drive investors to focus more on social impact in communities like South Los Angeles,” said Martin Muoto, CEO of SoLa Impact. “The OZ legislation has enabled SoLa to leverage private capital to build over 1,500 affordable and workforce housing units and house hundreds of formerly homeless residents.”

 

Alex Flachsbart, Founder and CEO, Opportunity Alabama:

“As presented, The Opportunity Zones Transparency, Extension, and Improvement Act will be the biggest step forward for Opportunity Zones in the program’s history. Providing a longer deferral window and allowing the feeder fund concept will substantially improve the flow of capital into the program - and, thanks to inclusion of additional reporting requirements, we can finally get real data on where those funds will flow. Most important, though, is the inclusion of the State and Community Dynamism Fund, a tool that - if properly implemented - could make Opportunity Zones the most effective incentive in the tax code at driving impactful, ground-up community development work."  

 

John Persinger, CEO, Erie Downtown Development Corporation:

“Opportunity Zones are helping to fuel a $100 million revitalization of downtown Erie, Pennsylvania, which is home to one of the poorest zip codes in America,” said John Persinger, CEO of the Erie Downtown Development Corporation. “Strengthening the oversight provisions and generally improving the legislation will ensure that Opportunity Zones continue to help those communities with the greatest economic and social needs, communities like Erie.”

 

Rick Wade, Senior Vice President, U.S. Chamber of Commerce:

“The Opportunity Zone program is a positive, compelling example of government and the private sector working together to solve our nation's challenges. Investments made possible through the Opportunity Zone program will help underserved communities struggling to bounce back from pandemic-induced economic hardships. The U.S. Chamber of Commerce is proud to support this bipartisan legislation that ensures Opportunity Zone financing reaches the areas of our country that need it the most and expands the reach of a public-private partnership on track to decrease the poverty rate by 11 percent,” said Rick Wade, Senior Vice President at the U.S. Chamber of Commerce

 

Stephanie Copeland, Partner, Four Points Funding:

"The changes addressed in this bill not only practically strengthens the Opportunity Zone program, but also continues to align investors to the intent of the incentive. We are thrilled to see the thoughtful progress."

 

Katie Kramer, Vice President, Council of Development Finance Agencies:

“The Council of Development Finance Agencies is grateful to Congress for their efforts to introduce important reforms to Opportunity Zones. The State and Community Dynamism Fund is critically needed at the local levels to fully deploy comprehensive OZ strategies in disinvested communities. We stand ready to support the implementation of the Opportunity Zones Transparency, Extension, and Improvement Act.”

 

Ross Baird, CEO and Founder, Blueprint Local:

“As active Opportunity Zone investors, we are excited to see this legislation that can ultimately drive much more impact in distressed communities. It is very positive to see the reporting requirements, which will bring transparency to this catalytic program and drive more impact in communities, as well as the fund of funds provision, which will help many more investors participate in the program and help the country’s most impactful projects find the capital they need.”

 

Ben Seigel, Opportunity Zones & Impact Investment Coordinator, Baltimore Development Corporation:

"From Day 1, the Baltimore Development Corporation embraced Opportunity Zones as a tool for attracting impact capital to underserved neighborhoods and projects in our city. We were one of the first cities in the country to hire an Opportunity Zones Coordinator to match investors with projects, as well as track and monitor investments and their impact. While we have been pleased with the results to date, we know that Opportunity Zones can do a lot more to drive inclusive economic growth in our city. This new legislation would significantly increase the promise and potential of Opportunity Zones in a place like Baltimore City by extending the incentive period, requiring impact reporting, and investing additional resources into OZ projects and local capacity building in underserved communities."

 

Jeremy Keele, Managing Partner, Catalyst Opportunity Funds:

"We're really supportive of this new legislation to improve key elements of the Opportunity Zone policy. As impact-focused investors active in the OZ strategy, we believe the proposed changes are likely to improve transparency and accountability program-wide, and more directly target capital and other resources into the low-income communities around this country that stand to benefit most from OZ investment."  

 

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WASHINGTON – Today it was announced that U.S. Sen. Mark R. Warner (D-VA), Chairman of the Senate Select Committee on Intelligence, will serve on the conference committee of Senators and House members working to reconcile differences between the House and Senate version of the jobs and competitiveness bill, which has been known variously as the Bipartisan Innovation Act, America COMPETES Act, the United States Innovation and Competition Act, or the Endless Frontier Act, in order to send a final bill to President Biden’s desk for signature.

“For too long, the United States has allowed our global competitors to out-invest and out-hustle us in regard to our innovation economy. This competitiveness bill will make major investments in domestic semiconductor manufacturing, create good-paying jobs, and provide the tools our country needs to continue competing in the global economy while addressing some of the major causes of economic inflation,” said Sen. Warner. “I am honored to be a member of the conference committee that will work to get a strong bill to the president’s desk ASAP.”

“The Senate is moving an important step closer to delivering a robust jobs and competitiveness bill that will help fix our supply chains and boost American innovation and technological dominance for generations. Our Democratic conferees will ensure that the Senate-passed bill stays on track to create more good-paying jobs, boost domestic manufacturing, and spark American ingenuity that will be the engine that drives our economy forward for years to come,” said Senate Majority Leader Chuck Schumer (D-NY).

In June, the Senate voted 68-28 to pass the United States Innovation and Competition Act, bipartisan legislation that includes Warner-led provisions to foster U.S. innovation in the race for 5G and shore up American leadership in the semiconductors industry. In February, the House finally acted to pass its own version of the bill, the America COMPETES Act. Now, a small group of House members and Senators will form a conference committee to negotiate differences between the two bills and assemble a final product to send to President Biden.

Earlier today, Sen. Warner joined Rep. Abigail Spanberger (D-VA) in leading the Virginia congressional delegation in calling on the U.S. Department of Commerce to consider Virginia for future locations of major semiconductor production and research facilities.

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BROADCAST-QUALITY VIDEOS AND PHOTOS AVAILABLE HERE 

WASHINGTON – U.S. Sen. Mark R. Warner (D-VA) released the following statement on his intent to support Judge Ketanji Brown Jackson’s nomination to the Supreme Court:

“Judge Jackson is a trailblazer and a highly-qualified jurist. Her wide-ranging endorsements – from conservative jurists, civil rights organizations, law enforcement groups, and through her previous bipartisan Senate confirmations – speak to her sterling credentials.

“During her hearing and our meeting, Judge Jackson demonstrated a strong command of constitutional law, a patient and reasoned temperament, and a warm devotion to her family and to the United States. Her confirmation would also take a long overdue step toward making the composition of the Supreme Court better reflect the people it represents by finally including a Black woman.

“After careful consideration, I believe Judge Jackson embodies the highest intellect, impartiality, and honesty, and I look forward to casting my vote in support of her nomination."

 

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WASHINGTON — Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) joined Senate Agriculture, Nutrition, and Forestry Chairwoman Debbie Stabenow (D-MI) and a bipartisan group of their colleagues in introducing the Support Kids Not Red Tape Act, which would grant the U.S. Department of Agriculture (USDA) additional flexibility so that schools and summer meal sites can stay open and improve access to free, healthy meals for children. The additional flexibility would mean less red tape and more options for families, including by allowing families to pick up a week’s worth of meals or having meals delivered to their home on the school bus. These flexibilities have been crucial to feeding students throughout the COVID-19 pandemic. With 90% of schools still facing many challenges as they return to normal operations, these flexibilities would give schools much-needed support to keep kids fed.

“Every child, regardless of where they live, deserves nutritious meals,” said Sens. Warner and Kaine. “Ensuring that school districts have the flexibility and federal resources they need to keep feeding their students is essential to our fight to end childhood hunger in America. This legislation will help us do that.”

“We should make it easier for kids to get the meals they need – not harder. Our bill cuts red tape and keeps the priority on giving children the healthy meals they need and deserve,” said Senator Stabenow. “As we come out of this pandemic, schools are doing their best - but it takes time for them to transition back to their operations before COVID. We can’t let hungry kids get caught in the middle. Without this support, up to 30 million kids who get food at school will see their essential breakfast and lunch meals disrupted. And millions of hungry kids who rely on summer meals may have nowhere to go to get food.”

More specifically, the bipartisan Support Kids Not Red Tape Act would:

  • Extend USDA’s authority to issue waivers from June 30, 2022 to September 30, 2023, which would extend USDA school meal flexibilities. This is simply a continuation of the authority USDA has had and exercised throughout the pandemic. This would cover this summer, as well as the full 2022-2023 school year, and summer of 2023, and create a transition plan to help schools adjust back to normal school meal operations starting October 1, 2023.
  • Direct states to submit a transition plan to USDA so that schools will be prepared and supported when transitioning back to normal National School Lunch Program operations after the increased flexibilities end.
  • Direct the Secretary to provide technical assistance to states on drafting transition plans and to School Food Authorities on meeting meal standards during the waiver period.

Since the pandemic began, Warner and Kaine have secured federal funding to expand access to food assistance for students, including successfully pushing USDA to make food distribution policies more flexible for Virginia’s families. They also helped secure Virginia’s request to operate a Pandemic Electronic Benefit Transfer (P-EBT) program to ensure children have access to healthy food while at home. In March 2022, Warner and Kaine sent a letter urging USDA to issue guidance to better address the growing food insecurity crisis among college students. 

In addition to Warner, Kaine, and Stabenow, this legislation was also cosponsored by 49 members of the Senate, including: Lisa Murkowski (R-AK), Martin Heinrich (D-NM), Susan Collins (R-ME), Joe Manchin (D-WV), Kirsten Gillibrand (D-NY), Bob Casey (D-PA), Chris Van Hollen (D-MD), Tina Smith (D-MN), Sherrod Brown (D-OH), Tammy Baldwin (D-WI), Cory Booker (D-NJ), Ben Ray Lujan (D-NM), Amy Klobuchar (D-MN), Richard J. Durbin (D-IL), Reverend Raphael Warnock (D-GA), Ed Markey (D-MA), Mazie Hirono (D-HI), Tammy Duckworth (D-IL), Bernie Sanders (I-VT), Jack Reed (D-RI), Patrick Leahy (D-VT), Ron Wyden (D-OR), Jeanne Shaheen (D-NH), Maggie Hassan (D-NH), Michael Bennet (D-CO), Jeff Merkley (D-OR), Elizabeth Warren (D-MA), Alex Padilla (D-CA), Patty Murray (D-WA), Benjamin Cardin (D-MD), Christopher Coons (D-DE), Catherine Cortez Masto (D-NV), Tom Carper (D-DE), Brian Schatz (D-HI), Gary Peters (D-MI), Angus King (I-ME), Dianne Feinstein (D-CA), Jacky Rosen (D-NV), Bob Menendez (D-NJ), Richard Blumenthal (D-CT), Chris Murphy (D-CT), John Hickenlooper (D-CO), Sheldon Whitehouse (D-RI), Mark Kelly (D-AZ), Kyrsten Sinema (D-AZ), Jon Ossoff (D-GA), Jon Tester (D-MT), Charles E. Schumer (D-NY), and Maria Cantwell (D-WA).

Full text of the legislation is available here. A summary of the legislation is available here.

 

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WASHINGTON – U.S. Sen. Mark R. Warner (D-VA) issued the following statement in response to the Department of Homeland Security (DHS) and the Department of Labor (DOL) announcement making available an additional 35,000 H-2B temporary nonagricultural worker visas for fiscal year (FY) 2022. These visas will be set aside for U.S. employers seeking to employ additional workers between April 1, 2022 and September 30, 2022:

“Last week I met with Secretary of Homeland Security Mayorkas and emphasized the need for the Biden administration to make additional H-2B visas available so that Virginia’s seafood businesses can meet their labor needs. Every year, my office hears from seafood businesses about how difficult it is to find and hire workers in an industry with incredibly demanding but temporary jobs like processing crabs and shucking oysters. These businesses – often small and family-owned – live in a constant state of worry, unsure whether they’ll have to cancel contracts because they can’t get the workers that they need. I thank the Biden administration for making these additional visas available, and I look forward to working with my colleagues to reform the H-2B visa program to ensure our processors have the labor certainty they need for their businesses to grow and thrive.”

The H-2B Temporary Non-Agricultural Visa Program allows U.S. employers to hire seasonal, non-immigrant workers during peak seasons to supplement the existing American workforce. In order to be eligible for the program, employers are required to declare that there are not enough U.S. workers available to do the temporary work, as is the case with the seafood industry, which relies on H-2B workers for tough jobs such as shucking oysters and processing crabs.

Sen. Warner has long advocated for the expansion of H-2B visas in order to ensure that seafood processors in Virginia have the seasonal workforce they need. Last year, Sen. Warner, joined by Sens. Tim Kaine (D-VA), Ben Cardin, and Chris Van Hollen (both D-MD), urged the Biden administration to make available the maximum number of congressionally-authorized H-2B visas to support local seafood businesses.

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U.S. Sen. Mark Warner (D-VA) joined Sen. Chris Murphy (D-CT) in sending a letter urging Secretary of State Antony Blinken and U.S. Agency for International Development (USAID) Administrator Samantha Power to press international donors at the United Nations pledging conference to fulfill the current $3.8 billion funding gap for humanitarian aid for Afghanistan and to ensure that aid can reach the Afghan people in need.

“The humanitarian crisis in Afghanistan is deepening, with more than half the population - 23 million people - in need of assistance. In response, the UN has released an appeal to international donors for $4.4 billion to meet the humanitarian needs in Afghanistan - the largest single country appeal in history. In advance of the high-level pledging event for the country scheduled for March 31, we urge the administration to work closely with our international partners to generously commit and rapidly deliver funds that will help save lives in Afghanistan,” the senators wrote.

The senators continued: “As the economy craters, the suffering of the Afghan people deepens. Today, 95% of households in Afghanistan don’t have enough food to eat. By this summer, 97% of Afghans will be living below the poverty line—trying to survive on less than two dollars a day. With nine million people just one step away from famine, this humanitarian crisis could kill more Afghans than the past 20 years of war.”

“We understand that the Taliban takeover of Afghanistan is driving unprecedented levels of suffering of the Afghan people, and urge robust oversight to ensure that all assistance gets to the people of Afghanistan. Without the full participation of female humanitarian staff in the design, implementation, monitoring and evaluation of all humanitarian services, aid will not be delivered in a manner that upholds humanitarian principles, and will be unable to reach the most vulnerable Afghan women and girls in the hardest to reach areas. The Taliban must allow unhindered humanitarian access, safe conditions for humanitarians, independent provision of assistance to all vulnerable people, and freedom of movement for aid workers of all genders,” the senators wrote.

The senators concluded: “Amid crises in Yemen, Ukraine, Ethiopia, Syria, and elsewhere, the international community must not lose focus on Afghanistan. We encourage you to press key international donors to make up the current $3.8 billion funding deficit for humanitarian programs and to expediently deliver such funds. These include countries in the region and members of the Organisation of Islamic Cooperation, as well as likeminded partners who have generously supported Afghanistan in years past. Finally, we encourage you to work closely with our allies in the region to ease any restrictions on humanitarian access in Afghanistan to enable humanitarian partners to reach people in need.”

The letter led by Senator Murphy was signed in addition to Senator Warner by Senators Dick Durbin (D-IL), Alex Padilla (D-CA), Tim Kaine (D-VA), Richard Blumenthal (D-CT), Brian Schatz (D-HI), Chris Van Hollen (D-VA) Bernie Sanders (I-VT), Edward Markey (D-MA), Jeff Merkley (D-OR.), and Sherrod Brown (D-OH).

Full text of the letter is available below.

Dear Secretary Blinken and Administrator Power,

The humanitarian crisis in Afghanistan is deepening, with more than half the population - 23 million people - in need of assistance. In response, the UN has released an appeal to international donors for $4.4 billion to meet the humanitarian needs in Afghanistan - the largest single country appeal in history. In advance of the high-level pledging event for the country scheduled for March 31, we urge the administration to work closely with our international partners to generously commit and rapidly deliver funds that will help save lives in Afghanistan. 

Even prior to the Taliban’s takeover, Afghanistan’s economy suffered from longstanding structural problems. The country was highly dependent on external aid, which financed 75% of public expenditures and were equal to about 40% of the country’s GDP. The Taliban’s takeover caused a pullback in foreign aid and strained the liquidity and solvency of Afghanistan’s financial sector. The IMF estimates that the country’s economy will contract up to 30% this year, and many of the senior officials and technical experts needed to provide sound economic management have fled the country. While humanitarian aid is critical to saving lives in the short-term, it cannot replace a functioning economy in Afghanistan. These underlying structural economic problems will take years to solve. 

As the economy craters, the suffering of the Afghan people deepens. Today, 95% of households in Afghanistan don’t have enough food to eat. By this summer, 97% of Afghans will be living below the poverty line—trying to survive on less than two dollars a day. With nine million people just one step away from famine, this humanitarian crisis could kill more Afghans than the past 20 years of war.

Robust international commitments to support humanitarian assistance in Afghanistan are more critical now than ever. Last year, Afghanistan faced a 40% loss of wheat production due to drought and economic deterioration related to the COVID-19 pandemic. Over the past month, Russia’s invasion of Ukraine has further raised the price of wheat in the global food market. The World Food Programme had previously depended on Russia and Ukraine for more than half of the wheat it provides to countries such as Afghanistan.  

We understand that the Taliban takeover of Afghanistan is driving unprecedented levels of suffering of the Afghan people, and urge robust oversight to ensure that all assistance gets to the people of Afghanistan. Without the full participation of female humanitarian staff in the design, implementation, monitoring and evaluation of all humanitarian services, aid will not be delivered in a manner that upholds humanitarian principles, and will be unable to reach the most vulnerable Afghan women and girls in the hardest to reach areas. The Taliban must allow unhindered humanitarian access, safe conditions for humanitarians, independent provision of assistance to all vulnerable people, and freedom of movement for aid workers of all genders.

In the immediate aftermath of the Taliban’s takeover of Afghanistan, Congress passed a supplemental appropriations bill that included $915 million in humanitarian assistance for Afghanistan. With that funding, Congress sent a strong signal that the United States must lead a robust response by the international community to the ongoing humanitarian crisis. We support the administration’s initial 2022 contribution of more than $308 million in humanitarian aid to Afghanistan on January 11th. At the upcoming pledging event on March 31st, we urge the administration to commit additional, substantial funding to the Afghanistan response as soon as possible to ensure vital assistance programs are not reduced or cancelled. A significant U.S. pledge is vital to encourage other countries to follow suit. Generous and timely investments, delivered to the right agencies on the front lines, are instrumental to saving lives and staving off famine in Afghanistan.

Amid crises in Yemen, Ukraine, Ethiopia, Syria, and elsewhere, the international community must not lose focus on Afghanistan. We encourage you to press key international donors to make up the current $3.8 billion funding deficit for humanitarian programs and to expediently deliver such funds. These include countries in the region and members of the Organisation of Islamic Cooperation, as well as likeminded partners who have generously supported Afghanistan in years past. Finally, we encourage you to work closely with our allies in the region to ease any restrictions on humanitarian access in Afghanistan to enable humanitarian partners to reach people in need.

Thank you for your urgent attention to this crisis, as the people of Afghanistan deserve our unwavering support.

Sincerely,

 

WASHINGTON — Today, U.S. Sens. Mark R. Warner and Tim Kaine announced $65,591,635 in federal funding for Virginia to make homes more energy efficient and help lower utility costs. The funding will be awarded through the Department of Energy’s Weatherization Assistance Program (WAP), which was expanded under the bipartisan infrastructure law‘s historic federal investments in upgrading our power infrastructure and reducing carbon emissions.

Eligible organizations will be able to apply for funding from the bipartisan infrastructure law in the coming weeks. This federal funding will allow the Virginia Department of Housing and Community Development (DHCD) to partner with organizations across the Commonwealth who provide weatherization services to make homes more energy efficient. The program will save an average of $372 in annual energy savings for American families. It will also help low-income families—who spend an average of 13.9% of their income on energy costs—save money.

“Virginia continues to benefit from the bipartisan infrastructure law,” said the Senators. “We’re glad this funding will be used to make homes more energy efficient, help Virginia families save money by lowering their utility costs, and improve the health and safety of communities.”

This funding can be used for a variety of mechanical, building, electric and water, health and safety, and education measures, such as upgrading heating or cooling systems, installing energy efficient light sources, and installing insulation. 8,487 Virginia homes have been weatherized since 2010.

In addition to the $3.5 billion in funding for states across the country from the infrastructure law, the FY 2022 government funding bill included $313 million across the country for WAP. 

For information on how to apply, click here. For local providers in Virginia, click here.

  

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WASHINGTON – Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) expressed horror and demanded immediate and aggressive action by the Animal and Plant Health Inspection Service (APHIS) following more than 70 animal welfare violations at an Envigo breeding and research facility based in Cumberland, Virginia. In a letter to APHIS Administrator Kevin Shea, the Senators urged APHIS to immediately suspend Envigo’s Cumberland facility license, condemning “persistent and egregious” abuses that led to distress, injury, and death in dogs and puppies.

Today’s letter comes just days after the release of two new inspections from November 2021 and March 2022 that detailed how the facility performed unnecessarily painful medical procedures on dogs and puppies – including euthanasia without a sedative – in direct contradiction to the recommendation of the American Veterinary Medical Association. Medical records indicate that 196 dogs were euthanized and many were not provided any anesthetic.

“It is clear to us that Envigo has been derelict in its duty to provide for the humane care of its dogs, and is unable to abide by the basic standards set forth by the Animal Welfare Act,” wrote Sens. Warner and Kaine. “The role of the U.S. Department of Agriculture (USDA) in ensuring humane treatment of animals extends beyond routine and focused inspections. Congress has provided USDA with broad authority to apply penalties to violators of the Animal Welfare Act. To our knowledge, APHIS has not yet exercised such authority despite Envigo’s repeated failures in providing adequate care to the 5,000 dogs entrusted to its care.”

They continued, “APHIS could suspend Envigo’s license for 21 days, and upon notice and opportunity for hearing, move to revoke the facility’s license outright. Additionally, APHIS could initiate formal administrative action by the USDA Office of General Counsel to seek civil penalties. APHIS is authorized in statute to seek civil penalties of up to $10,000 per violation of the AWA, meaning that it could seek up to $730,000 in penalties from Envigo for its repeated noncompliance.  In the face of repeated, serious violations by the facility, it is our strongly-held belief that USDA must pursue aggressive enforcement actions.”

Over the course of nine months, four inspections – including a July inspection, and subsequent October, November, and March inspections – revealed 73 violations of the Animal Welfare Act at the Envigo Cumberland facilities. Specifically, these inspections found that puppies and dogs were held in shelters with temperatures exceeding 85 degrees Fahrenheit for more than five hours, and that research conducted at the facility caused distress to nursing mothers and their puppies after food was intentionally withheld for 48 hours. The inspections also found that housing violations led to the injury of dozens of dogs, including 71 who were injured when a body part was pulled through the wall of the kennel by a dog in an adjacent kennel, and 50 who were injured or killed due to incompatible groupings.

In their letter, the Senators also raised concern with USDA delays in publishing the horrific findings of these inspections.

They wrote, “While APHIS inspection reports have proven an invaluable resource in uncovering the breadth and depth of mistreatment occurring at the Envigo facilities, we are concerned with delays in publishing such reports. Advocates, legislators, and the public have waited months after inspections to review inspection report findings. The July report was not publicly released until 118 days after the inspection, while the October and November inspection reports took 94 and 128 days, respectively, to be published. We appreciate the complexity of these reports and the immense care that animal care specialists take in preparing them. We also understand that Envigo made it consistent practice to appeal each report in its 21-day window from initial receipt. Even still, it strikes us as unacceptable that the public and elected officials were not privy to the horrific violations of the AWA until months after the inspections while animals suffered in the interim.”

Additionally, the Senators posed a series of questions for APHIS, requesting an answer by April 20. Among other questions, they inquired whether APHIS plans to take any enforcement actions against Envigo, and whether inspectors will return to the facility for a fifth time to monitor progress on corrective actions.  

Sen. Warner, a dog owner, has been an advocate for dogs in Virginia and throughout the country, earning a 100% on the Humane Society of the United States’ Humane Scorecard for 2021. Most recently, Sen. Warner secured the passage of new language requiring the Department of State to report on the status of dogs in the Explosive Detection Canine Program (EDCP). This program came under scrutiny in 2019 after an Inspector General (IG) report found that the Department failed to conduct proper follow-up after sending highly-trained dogs to foreign partner nations, resulting in the death of at least ten dogs from largely preventable illnesses.

Sens. Warner and Kaine have been  consistent cosponsors of the Puppy Protection Act, which would amend the Animal Welfare Act to include additional care and safety standards for dog breeders like Envigo. Under the bill, breeders would be required to house dogs in appropriately sized enclosures with solid ground and keep them on a regular diet and exercise routine. As Governor of Virginia, Kaine signed a law that imposed stricter legal penalties for dogfighting offenses.

A copy of the letter is available here and below.

Dear Administrator Shea:

We write to urge the Animal and Plant Health Inspection Service (APHIS) to pursue aggressive enforcement actions against Envigo RMS LLC and Envigo Global Services Inc.’s (hereafter, Envigo) operations in Cumberland, Virginia. Over the course of the last nine months, APHIS inspectors visited Envigo’s Cumberland facilities four times and cited the company’s licensed breeding and research facilities for 73 violations of the Animal Welfare Act (AWA), 35 of which were classified as ‘Direct’ or ‘Critical.’ APHIS has an obligation under the AWA to ensure the “humane handling, care, treatment, and transportation of animals” within its purview.  In light of persistent and egregious violations of the AWA, we believe that APHIS should immediately suspend the license of the Envigo breeding facility in Cumberland and initiate formal administrative proceedings through the USDA Office of General Counsel.

In recent months, we have been horrified to learn of the abuses at Envigo’s facilities in Virginia. Namely, the abuses have occurred at the dog breeding facility in Cumberland, though APHIS also documented violations of the AWA at the adjacent research facility operated by Envigo. Research conducted at the facility caused distress to nursing mothers and their puppies after food was intentionally withheld for 48 hours within the course of a study, which itself was the subject of several AWA violations. AWA violations at the breeding facility have been even worse. Perhaps most galling is the fact that from January – July 2021, over 300 puppy deaths were attributed to unknown causes, and the facility was found to have “not taken additional steps to determine the causes of death in order to prevent similar deaths” in the future. The July 2021 inspection report also detailed widespread issues with the maintenance of Envigo’s housing facilities that recurred in each of the subsequent three inspections. Housing violations included enclosures lacking solid walls which led to at least 71 dogs being injured when a body part was pulled through the wall of the kennel by a dog in an adjacent kennel, incompatible groupings that led to the death of at least two dogs and injured 48 others, holding puppies and adult dogs in shelters with temperatures exceeding 85 degrees Fahrenheit for more than five hours, and insufficient cleaning and sanitation procedures which led to “a large accumulation of feces, urine, standing water, insects (both dead and alive) and uneaten food” under kennel floors. The July 2021 inspection report also highlighted that current staffing levels were insufficient to provide appropriate care, a violation that recurred in subsequent inspections.

The October 25, 2021 inspection report of Envigo’s Cumberland breeding facility found 13 more violations, seven of which were categorized as ‘Direct’ or ‘Critical,’ and eleven of which were repeat violations. It was clear then that the facility was not making progress in caring for the puppies and dogs. Violations cited in this October report included failure to identify medical conditions requiring treatment and failure to handle animals carefully which led to the death of a newborn puppy in a drain after he fell through a gap in the flooring.

APHIS’ inspection reports from its November 16, 2021 inspections led to 29 more violations of the AWA, 14 of which were classified as ‘Direct’ and 17 were repeat violations. Despite the facility being more than four months past its initial inspection which documented vast noncompliance, inspectors found continued, horrific mistreatment of animals. For example, the facility was found to have ignored the appropriate authority of the attending veterinarian and performed unnecessarily painful medical procedures, including euthanasia without a sedative, in direct contradiction to the recommendation of the American Veterinary Medical Association. Inspectors reviewed medical records that showed 196 dogs were euthanized and many were not provided any anesthetic. And just three days ago, APHIS released a fourth inspection report detailing five more repeat AWA violations of the Envigo breeding facility found on March 8, 2022. It is clear to us that Envigo has been derelict in its duty to provide for the humane care of its dogs, and is unable to abide by the basic standards set forth by the Animal Welfare Act.

While APHIS inspection reports have proven an invaluable resource in uncovering the breadth and depth of mistreatment occurring at the Envigo facilities, we are concerned with delays in publishing such reports. Advocates, legislators, and the public have waited months after inspections to review inspection report findings. The July report was not publicly released until 118 days after the inspection, while the October and November inspection reports took 94 and 128 days, respectively, to be published. We appreciate the complexity of these reports and the immense care that animal care specialists take in preparing them. We also understand that Envigo made it consistent practice to appeal each report in its 21-day window from initial receipt. Even still, it strikes us as unacceptable that the public and elected officials were not privy to the horrific violations of the AWA until months after the inspections while animals suffered in the interim. In particular, it is unclear to us why APHIS’ undertakes a second 21-day hold period after a licensee’s appeal is reviewed and the report is duly modified. In an ‘Explanatory Statement’ of the recently-passed Consolidated Appropriations Act of 2022, Congress instructed APHIS to address “long and inexplicable delays in acting against blatant violations of the Animal Welfare Act.”  We share this concern and hope you will take all prudent steps to expedite the public release of AWA inspection reports moving forward.

The role of the U.S. Department of Agriculture (USDA) in ensuring humane treatment of animals extends beyond routine and focused inspections. Congress has provided USDA with broad authority to apply penalties to violators of the Animal Welfare Act. To our knowledge, APHIS has not yet exercised such authority despite Envigo’s repeated failures in providing adequate care to the 5,000 dogs entrusted to its care. APHIS could suspend Envigo’s license for 21 days, and upon notice and opportunity for hearing, move to revoke the facility’s license outright. Additionally, APHIS could initiate formal administrative action by the USDA Office of General Counsel to seek civil penalties. APHIS is authorized in statute to seek civil penalties of up to $10,000 per violation of the AWA, meaning that it could seek up to $730,000 in penalties from Envigo for its repeated noncompliance.  In the face of repeated, serious violations by the facility, it is our strongly-held belief that USDA must pursue aggressive enforcement actions.

In light of ongoing violations of the AWA at Envigo facilities in Virginia, we respectfully request that by April 20, 2022, you provide detailed responses to the following questions:

 

1.                  Has APHIS taken any enforcement actions against the Cumberland, Virginia Envigo facilities (breeding facility: Certificate 32-A-0774, site 005 and research facility: Certificate 23-R-0187, site 002), or does it plan to do so?
2.                  What number and type of AWA violations would typically be sufficient to warrant various types of enforcement actions, including regulatory correspondence, stipulated penalties, license suspension or revocation, confiscation of animals, and formal administrative proceedings?
3.                  Over the last three years, has APHIS cited any single facility for more than violations of the AWA in a nine-month span than Envigo has received (73 violations)?
4.                  APHIS outlines in its Animal Care Inspection Guide that “inspection reports are to be finalized… within 5 business days of the date of the inspection.” Was that the case in the inspections at Envigo’s Cumberland facilities in July, October, and November 2021? 
a.                  If so, did the appeals process account for the remainder of the delay before reports were posted or were there other causes for delay?
5.                  What is the median time between the date of an APHIS inspection and the publication of the inspection report in instances where licensed facilities appeal the inspection report?
6.                  Given that APHIS’ most recent inspection of the Envigo facility on March 8, 2022 uncovered five repeat AWA violations, will APHIS inspectors return to the facility for a fifth time to monitor progress on corrective actions?

We appreciate APHIS’ continued attention to this important issue, and look forward to a prompt response. Should you have any questions, please do not hesitate to contact our staff.

 

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WASHINGTON – U.S. Sen. Mark Warner (D-VA) joined Sen. Sherrod Brown (D-OH), Chairman of the U.S. Senate Committee on Banking, Housing, and Urban Affairs in a letter to the Federal Reserve Board, Federal Deposit Insurance Corporation, National Credit Union Administration, and Office of the Comptroller of the Currency, urging them to work with banks and credit unions to ensure small businesses have access to safe and sound credit as Main Street recovers from COVID-19.

“Recent research by the Federal Reserve System found that less than one-third of small businesses that applied for traditional financing in 2021 received all the funding they sought compared to recent years,” the lawmakers wrote. “…Banks are choosing to lend to bigger firms, and smaller businesses are suffering the consequences in an already restrictive environment.”

The lawmakers also highlighted racial and gender disparities in small business lending. “About 14% of Black and Asian business owners, and 19% of Hispanic business owners, received all the financing they sought in 2021, compared to 34% of white small business owners. The COVID-19 pandemic has only worsened pre-existing inequalities in our economy for businesses owned by entrepreneurs from historically underserved communities,” they wrote. “A driving force behind the nation’s economy, businesses owned by people of color, women, and veterans need access to financing opportunities by banks and credit unions.”

U.S. Sens. Dick Durbin (D-IL), Richard Blumenthal (D-CT), Tina Smith (D-MN), Catherine Cortez Masto (D-NV), Kirsten Gillibrand (D-NY), Reverend Raphael Warnock (D-GA), Chuck Schumer (D-NY), and Brian Schatz (D-HI) also signed the letter.

A copy of the letter is available here and below.

Dear Chair Pro Tempore Powell, Acting Chair Gruenberg, Chair Harper, and Acting Comptroller Hsu:

As small businesses across the U.S. work toward economic recovery from the COVID-19 pandemic, access to financing is vital to continuing the current rate of small business growth. As new business formation continues, we must ensure small businesses are receiving the credit they need.  As such, we write to encourage your agencies to work with banks and credit unions in their communities to offer safe and sound financing access to small businesses.

Recent research by the Federal Reserve System found that less than one-third of small businesses that applied for traditional financing in 2021 received all the funding they sought compared to recent years. Additionally, the research also found that more than half of firms were in fair or poor financial condition at the time of the survey, and nearly all firms faced at least one operational or financial challenge in the prior 12 months. The difficulty small businesses are experiencing in getting access to financing is a significant concern for the economy as small businesses comprise 99.9% of U.S. businesses and employ 46.8% of U.S. employees.

Many small businesses have not recovered to pre-pandemic levels in terms of revenue and employment, and this is especially true for small businesses owned by people of color. Research by the Federal Reserve Bank found racial differences in financing sought among small business owners. About 14% of Black and Asian business owners, and 19% of Hispanic business owners, received all the financing they sought in 2021, compared to 34% of white small business owners. The COVID-19 pandemic has only worsened pre-existing inequalities in our economy for businesses owned by entrepreneurs from historically underserved communities. A driving force behind the nation’s economy, businesses owned by people of color, women, and veterans need access to financing opportunities by banks and credit unions.

Banks are choosing to lend to bigger firms, and smaller businesses are suffering the consequences in an already restrictive environment. The data reported by the Federal Reserve Banks show that underwriting standards for commercial clients are diverging primarily based on business size. In a separate survey conducted by the Fed earlier this year, senior loan officers reported easing standards for large and medium-sized businesses than for smaller ones.

The strong deposit growth at banks and credit unions should be used to support increased lending opportunities to small businesses by banks and credit unions in their communities. The latest financial performance data released by the National Credit Union Administration (NCUA) shows total assets in federally insured credit unions rose by $215.8 billion, or 11.7 percent, to $2.06 trillion over the year ending in the fourth quarter of 2021, and insured shares and deposits grew $166.8 billion, or 11.4 percent, to $1.63 trillion. Likewise, the Federal Deposit Insurance Corporation’s (FDIC) total assets on insured commercial banks and savings institutions rose by $1.9 trillion, or 8.5 percent, to $23.7 trillion over the year ending in the fourth quarter of 2021, and insured deposits grew $1.9 trillion, or 10.5 percent, to 19.7 trillion.

As new business formation rose to record highs in 2021, there is a clear and important economic need for small business to have access to financing. Numbers released by the U.S. Census Bureau found that 5.4 million new business applications were filed in 2021, exceeding the record set in 2020 of 4.4 million.

We urge the banking agencies to work with banks and credit unions to encourage more lending to small businesses in a safe and sound way. We look forward to continuing to work with you to ensure small businesses across the U.S. are receiving access to financing to continue to rebuild their Main Street communities.

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WASHINGTON – Sens. Mark Warner (D-VA) and James Lankford (R-OK), member of the Senate Finance and Energy and Natural Resources Committees, along with Sens. Angus King (I-ME) and John Cornyn (R-TX) today introduced legislation to establish a secure supply chain of critical minerals and counter China’s market dominance by leveraging the Quadrilateral Security Dialogue (Quad) partnership, which includes the US, Australia, India, and Japan.

“The ubiquity of critical minerals in our daily lives, and their importance in so many modern and emerging technologies, means that ensuring that our supply chains for these critical minerals are robust and secure is essential. China’s control of much of market for these minerals and other rare earth elements – combined with the exponential growth in demand that is expected in the coming years – is particularly alarming,” said Warner, Chairman of the Senate Select Committee on Intelligence. “I’m glad that the Biden administration recognizes this threat, and the comprehensive strategy and multilateral engagement that this bill calls for—in concert with our close Quad partners, like India—will be an important step in meeting this challenge.”

“Anyone who wants to stand up to China needs to support this bill to diminish our dependence on China’s critical and rare earth minerals by encouraging trade partnerships with our allies,” said Sen. Lankford. “Oklahomans know it’s critically important to solve our dependence on China for minerals because we use these materials every day in everything from cellphones and batteries to military gear and medical devices. I look forward to coming together with our allies, instead of begging for minerals from China.”

“So many of the technologies that will define the future depend on critical minerals that are overwhelmingly controlled by China—which severely threatens America’s economic leadership and national security in the decades ahead,” said Sen. King. “As supply chain snarls continue to prevent Americans from accessing vital goods, it is critical that we work with allies like Australia, India, and Japan to build better systems and increase collaborative efforts to compete on the global market. Investing in rare earth minerals today is a fundamental way we can prepare ourselves for a successful and secure tomorrow—which is why I am proud to cosponsor this bipartisan bill.”

“The United States has spent years cultivating and strengthening our ties with the Quad partnership countries, and working with them is a commonsense step towards eliminating China from our critical mineral supply chain,” said Sen. Cornyn. “This legislation would ensure critical minerals for everything from consumer electronics to military defenses come from our allies instead of an adversary like China.”

In light of the national security threat posed by China’s control of nearly two-thirds of the global supply of rare earth elements and many other critical minerals, This bill would direct the Administration to leverage the Quad partnership to promote shared investment and development of this critical resource. The partnership would utilize the US Development Finance Corporation to support new development projects, production technologies, and refining facilities in coordination with our Quad partners to produce a more reliable and secure supply chain of critical minerals, and direct the United States Trade Representative to reduce trade barriers for critical minerals.

A copy of the legislation is available here.


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WASHINGTON —Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA), and U.S. Reps. Bobby Scott and Elaine Luria (both D-VA), issued the following statement, applauding an additional $223,871,000 in federal funding for key Virginia projects, including the Norfolk Harbor Widening and Deepening Project, the City of Norfolk Coastal Storm Risk Management Project, and the Virginia Beach Coastal Storm Risk Management Study:

“We’re elated to see the bipartisan infrastructure law continue to deliver wins for Hampton Roads. This funding will advance key infrastructure projects in the region that will invest in the Port of Virginia, boost the local economy, create good-paying jobs, and preserve Virginia’s status as a leader in maritime trade and defense. We’re particularly excited to see that this funding will allow Virginia Beach to initiate its Coastal Storm Risk Management Study – an important step in protecting the community from the devastating effects of climate change.” 

This funding, awarded through the U.S. Army Corps of Engineers (USACE), was made possible by the bipartisan infrastructure law, which was negotiated by Sen. Warner and supported by Sen. Kaine and Reps. Scott and Luria.

The Norfolk Harbor Deepening and Widening Project will receive an additional $72,371,000 to improve navigation and expand capacity by deepening and widening Norfolk Harbor’s shipping channels. Specifically, $40 million will be used to dredge and widen Thimble Shoal Channel West. $32,371,000 will be used to complete the remaining features of the project, including the Atlantic Ocean Channel and the channel to Newport News. This project received $69,331,000 through the Infrastructure Investment and Jobs Act in January 2022 and an additional $83,700,000 in March 2022 through the Fiscal Year 2022 omnibus. Completion of this project will enable safer access for larger commercial and military vessels and provide significant new economic opportunities for the region.

The City of Norfolk Coastal Storm Risk Management Project will receive an additional $150,000,000, to build the downtown Norfolk to Ghent floodwalls with gates at the Hague. This funding will also go towards continuing designs for phases within other portions of the city, and starting on the non-structural flood neighbor components of the project. This project received $249,331,000 through the Infrastructure Investment and Jobs Act in January 2022 to initiate construction. When completed, this project will help reduce and manage flooding for major portions of the City of Norfolk through a system of surge barriers, tidal gates, floodwalls, levees, pump stations, and non-structural measures.

The Virginia Beach and Vicinity Coastal Storm Risk Management Study will receive $1,500,000 to initiate and complete the project’s feasibility study phase. Sens. Warner and Kaine and Rep. Luria have long advocated for federal funding to support this project, which is crucial to the long-term vitality and resilience of the City of Virginia Beach and the entire Coastal Virginia region.

Sens. Warner and Kaine and Reps. Scott and Luria have long worked to secure funding for these key projects. In January, they applauded $369 million in federal funding for a number of projects awarded through the USACE. The lawmakers have consistently urged the Biden administration and the USACE for funding to start construction on the Norfolk Coastal Storm Risk Management Project, including in 2020 and 2021. They similarly pressed for funding for the Norfolk Harbor Project in 2020 and 2021. In 2018, Sens. Warner and Kaine successfully got Norfolk Harbor and the Virginia Beach and Vicinity Coastal Storm Risk Management Study authorized as part of the Water Resources Development Act. They also successfully pushed for the authorization of construction of the Norfolk Coastal Storm Risk Management Project as part of the 2020 Water Resources Development Act.   

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WASHINGTON – In an effort to combat money laundering and sanctions evasion, a group of six Senate Committee Chairs including Sen. Mark Warner (D-VA), Chair of the Senate Intelligence Committee, sent a letter to the Treasury Department urging the agency to revise and reissue proposed rules from 2015 that would have imposed anti-money laundering (AML) and suspicious activity report filing requirements on investment advisers, including advisers to private equity funds and hedge funds.

Advisers to private funds have enjoyed an exemption from requirements to maintain AML programs, verify the identities of their customers, and report suspicious transactions to the U.S. government.  This exemption has made private funds a potentially attractive avenue for money launderers and sanctioned persons to hide their wealth, and the Senators urge Treasury to move as quickly as practicable to address this weakness in the AML system.

In addition to Sens. Warner and Jack Reed (D-RI), Chair of the Armed Services Committee and a leading Congressional champion for transparency and accountability for financial intuitions, the letter is signed by Sens. Sherrod Brown (D-OH), Chair of the Banking, Housing and Urban Affairs Committee; Ron Wyden (D-OR), Chair of the Finance Committee; Richard Durbin (D?IL), Chair of the Judiciary Committee; Bob Menendez (D-NJ), Chair of the Foreign Relations Committee.

“Requiring advisers to establish AML programs, report suspicious activity, and file currency transaction reports, among other requirements, would go a long way towards deterring [politically exposed Russians]—and other illicit actors—from using private equity funds, hedge funds, venture capital funds, credit funds, real estate funds, and other private pools of capital to enter the U.S. financial system.  Following Russia’s unprovoked invasion of Ukraine, the United States has worked with its allies and partners to find the assets of sanctioned Russian oligarchs. However, loopholes and vulnerabilities in our financial reporting laws have made it increasingly challenging for federal investigators to identify where oligarchs and other criminal actors are placing their assets.  Holding investment advisers to the same AML standards applicable to other financial institutions would help achieve this important national security objective,” the Senators wrote.

Full text of the letter is available here and below.  

We write to urge the Financial Crimes Enforcement Network (FinCEN) to revise and reissue, as necessary, proposed rules from 2015 on anti-money laundering (AML) and suspicious activity report filing requirements for investment advisers. In doing so, we urge FinCEN to use its discretionary authority to include investment advisers in the definition of “financial institution” in the Bank Secrecy Act (BSA), which would require them to file currency transaction reports and keep certain records related to the transmittal of funds. Finally, we urge FinCEN to work with the Securities and Exchange Commission (SEC) to ensure adequate examination of the industry for AML purposes.

Investment advisers are exempt from requirements to maintain AML programs, verify the identities of their customers, and report suspicious transactions to FinCEN. Other financial institutions like banks, broker-dealers, mutual funds, futures commission merchants, introducing brokers in commodities, and insurance companies, among others, have been subject to these requirements for decades. According to the SEC’s Investment Adviser Information Reports, during just the last ten years, assets under management attributed to registered investment advisers has ballooned from approximately $44 trillion to approximately $113 trillion, raising fresh questions of whether FinCEN should eliminate these special exemptions.

The private funds segment of the asset management industry may be particularly attractive for money launderers and sanctioned persons due to existing regulatory gaps. In an Intelligence Bulletin from May 2020, the FBI indicated with high confidence that “threat actors likely use private placement of funds, including investments offered by hedge funds and private equity firms, to launder money, circumventing traditional AML programs.” Press reports have confirmed the FBI’s assessment. According to an article in Buzzfeed, a prominent Russian oligarch has used opaque corporate structures to invest at least $1.3 billion with private funds managed by U.S. investment advisers. And according to the New York Times, this very same oligarch made up to 100 investments in hedge funds and private equity funds managed by the nation’s largest asset managers, which allegedly did not confirm the source of these funds.

While the largest advisers to private funds may voluntarily implement AML programs, those advisers are not subject to regular examinations to test the adequacy of their programs. No government agency currently holds advisers accountable for adhering to their voluntary AML and sanctions compliance commitments. By contrast, banks, broker-dealers, and insurance companies are subject to periodic examinations to spot violations of the BSA and any compliance weaknesses.

Last month, FinCEN issued an alert warning financial institutions to be vigilant against attempts by politically exposed Russians to launder money, evade sanctions, and hide their assets. Requiring advisers to establish AML programs, report suspicious activity, and file currency transaction reports, among other requirements, would go a long way towards deterring these individuals—and other illicit actors—from using private equity funds, hedge funds, venture capital funds, credit funds, real estate funds, and other private pools of capital to enter the U.S. financial system. Following Russia’s unprovoked invasion of Ukraine, the United States has worked with its allies and partners to find the assets of sanctioned Russian oligarchs. However, loopholes and vulnerabilities in our financial reporting laws have made it increasingly challenging for federal investigators to identify where oligarchs and other criminal actors are placing their assets. Holding investment advisers to the same AML standards applicable to other financial institutions would help achieve this important national security objective.

In August 2015, FinCEN proposed rules to do just that. The proposal would have closed existing regulatory gaps by requiring investment advisers to implement and maintain AML programs. In the preamble to the proposal, FinCEN noted that “[a]s long as investment advisers are not subject to AML program and suspicious activity reporting requirements, money launderers may see them as a low-risk way to enter the U.S. financial system.” The recent FBI assessment, press reports of potential sanctions evasion by Russian oligarchs, and FinCEN’s own alerts to financial institutions demonstrate that these concerns may have become more acute in the years since FinCEN proposed these rules. We are pleased that the Administration shares these concerns as described in the United States Strategy on Countering Corruption in December 2021, which commits Treasury to re-examining the proposed rules from 2015. President Biden has rightly proposed additional funding for FinCEN to address the growing regulatory and enforcement demands on the agency, and we look forward to working with our colleagues to provide expanded resources in the fight against financial crime.

Investment advisers have an important role to play in safeguarding the U.S. financial system from crime. They can be valuable partners for FinCEN as it seeks to meet our enormous challenges to combat not only money laundering, but also fraud and other financial crimes. Such a partnership is also important to ensure the effectiveness of U.S. sanctions programs, which have expanded significantly during the pendency of FinCEN’s rulemaking. Accordingly, it is critical that rigorous AML and sanctions compliance standards be extended to investment advisers.

For these reasons, we respectfully request that you move as quickly as practicable to address this weakness in the AML system. We appreciate FinCEN’s efforts this year on a variety of fronts and amid competing priorities, including drafting and publishing several new rules to implement the Anti-Money Laundering Act and Corporate Transparency Act of 2021. Thank you for your attention to this critical matter, and we look forward to your reply.

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 WASHINGTON – U.S. Sen. Mark R. Warner (D-VA), a member of the Senate Budget Committee, issued the following statement on the President’s budget proposal:

“I’m glad to see that President Biden’s proposed budget doubles down on the administration’s efforts to strengthen relationships with our allies and continue to support Ukraine. This budget would also help bolster our economy and ensure that hardworking Americans are able to get ahead through strong investments in education, child care, health care, broadband, and clean energy.

“I’m pleased that the President has continued to prioritize increased funding for community-based lenders who work with underserved communities, including Community Development Financial Institutions. The President’s Budget included $331 million for the CDFI Fund to continue promoting entrepreneurship and economic mobility among our most vulnerable communities. I was also glad to see funding to implement the Ashanti Alert Communications Network, and to help combat hate crimes, as authorized by the Jabara-Heyer NO HATE Act.

“I’m also pleased that this budget builds on gains made through the bipartisan infrastructure law by requesting robust federal dollars for transportation, including $150 million for WMATA. For a stronger military, this budget requests funding for two Virginia-class submarines, five military construction projects in the Commonwealth, and a new VA outpatient clinic in Hampton Roads. It also requests the largest pay raise in 20 years for our servicemembers and civilian personnel. Additionally, I’m thrilled to see that this budget proposal includes key funding to continue tackling the deferred maintenance backlog at our national parks, as required by my Great American Outdoors Act.”

 

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WASHINGTON – U.S. Sen. Mark R. Warner (D-VA) released the following statement applauding the Senate for taking an important procedural step to pass an American competitiveness package known as the United States Innovation and Competition Act or America COMPETES Act:

“For too long, the United States has allowed our global competitors to out invest us in regard to our innovation economy. This competitiveness bill makes major investments in domestic semiconductor manufacturing, creates good-paying jobs, and provides the tools our country needs to continue competing in the global economy. I am glad the Senate has voted to pass the amended version of this legislation, and I am hopeful that the Senate and House will conference quickly so that we can finally send this legislation to the President’s desk.”

 

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WASHINGTON – U.S. Sens. Mark Warner (D-VA), Elizabeth Warren (D-MA), Tammy Baldwin (D-WI), and Thomas Carper (D-DE.), members of the Senate Corporate Governance Working Group, released the following statement to commend President Biden’s budget proposal to restrict stock sales by corporate executives: 

“We are pleased that President Biden’s Budget calls for addressing the misaligned incentives that encourage excessive stock buybacks, often at the expense of investments in workers, innovation, and communities. Congress needs to address this issue, and we’re working on common-sense legislation that will reform executive compensation and incentivize American companies to prioritize long-term economic growth.”

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WASHINGTON – Today, U.S. Sens. Mark R. Warner and Tim Kaine introduced the Shenandoah Mountain Act, legislation to establish a 92,000-acre Shenandoah Mountain National Scenic Area (SMNSA) in Rockingham, Augusta, and Highland counties. National Scenic Areas are established by Congress to protect the scenic, historic, recreational and natural resources in specific areas, while allowing compatible uses such as outdoor recreation activities.

“Virginia’s natural treasures provide free recreation opportunities for folks all around the commonwealth – all while creating jobs and supporting our local economies,” Warner said. “I’m proud to sponsor this legislation, which will help safeguard these treasures and ensure that Virginians can make the most of them for years to come.”  

“These challenging past two years have underscored that getting out into nature is critical to our health and well-being,” Kaine said. “The establishment of this National Scenic Area will help us share the gifts of Shenandoah Mountain and the George Washington National Forest with visitors from near and far, while also boosting our local economies, protecting drinking water sources, and preserving the wildlife that make this area so special.”

The SMNSA encompasses four Wilderness areas: Skidmore Fork, Little River, Ramsey’s Draft, and Lynn Hollow, which in sum include 10 peaks above 4,000 feet and 150 miles of trails to attract campers, hikers, mountain bikers, fishermen, birders, and equestrians. The legislation also establishes a 5,764 wilderness area at Beech Lick Knob, located 10 miles north of the SMNSA.

In addition to providing world class trails, the area includes headwaters for the Potomac and James Rivers and watershed that provide municipal drinking water sources for Harrisonburg, Staunton, and communities farther downstream. Cold mountain streams in the area are also a stronghold for native brook trout. Today’s legislation would permanently protect those rivers and streams from industrial development, and also help safeguard populations of at-risk species, such as the Cow Knob and Shenandoah Mountain Salamander, that are natural to the area.

In 2019, the tourism economy directly employed 5,365 people and generated $601 million in expenditures in Augusta, Rockingham, and Highland Counties, as well as Harrisonburg and Staunton. In addition to the direct benefits to tourism and other businesses, JMU scientists estimate that lands within the SMNSA proposal already generate $13.7 million per year in other local benefits, including the value of the water supply and energy savings. Designation of the SMNSA would further grow this value.

In addition to Staunton, Augusta, Rockingham, and Harrisonburg local governments, over 400 businesses and organizations have endorsed the designation. A full list of supporters is available here.  

Full text of the legislation is available here.

 

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