Friday, May 16, 2014

READOUT: PRESIDENT OBAMA'S CALL WITH PRESIDENT HOLLANDE OF FRANCE

FROM:  THE WHITE HOUSE 
Readout of the President’s Call with President Hollande of France

President Obama spoke with French President Hollande today about the situation in Ukraine.  The Presidents underscored that Russia will face significant additional costs if it continues its provocative and destabilizing behavior.  President Obama praised the Ukrainian government’s efforts to unify the country by holding free and fair presidential elections on May 25 that will lead to an inclusive constitutional reform process.  The two Leaders also discussed the situation in Nigeria and the upcoming May 17 regional conference in Paris that aims to improve regional cooperation to combat the terrorist threat posed by Boko Haram.

READOUT: PRESIDENT OBAMA CONGRATULATES NARENDRA MODI ON HIS PARTY'S ELECTION SUCCESS IN INDIA

FROM:  THE WHITE HOUSE 

Readout of the President’s Call with Prime Ministerial Candidate Narendra Modi of India

The President called Prime Ministerial candidate and Chief Minister of Gujarat Narendra Modi today to congratulate him on the Bharatiya Janata Party’s success in India’s historic election.  The President noted he looks forward to working closely with Mr. Modi to fulfill the extraordinary promise of the U.S.-India strategic partnership, and they agreed to continue expanding and deepening the wide-ranging cooperation between our two democracies.  The President invited Narendra Modi to visit Washington at a mutually agreeable time to further strengthen our bilateral relationship.

READOUT: PRESIDENT GUL OF TURKEY

FROM:  THE WHITE HOUSE 

Readout of the President’s Call with President Gul of Turkey

President Obama called President Abdullah Gul of Turkey today to offer his heartfelt condolences on behalf of the American people to the Turkish people on the tragic accident at the Soma mine.  President Obama expressed that our prayers are with the families and loved ones of those suffering from this accident.  The President offered that the United States stands ready to provide any assistance that could help those affected, and he reaffirmed the importance we place on our relationship with Turkey, a strong friend and NATO ally. 

CHAIRMAN JOINT CHIEFS MEETS WITH CHINESE CHIEF OF GENERAL STAFF

FROM:  U.S. DEFENSE DEPARTMENT 
Army Gen. Martin E. Dempsey, right, chairman of the Joint Chiefs of Staff, and Chinese Gen. Fang Fenghui, chief of China’s General Staff, walk together during a full-honors arrival ceremony at the Pentagon, May 15, 2014. DOD photo by D. Myles Cullen.  

Dempsey, Fang Meet to Strengthen U.S.-China Military Relations
By Jim Garamone
American Forces Press Service

WASHINGTON, May 15, 2014 – U.S. and Chinese military leaders had good discussions on subjects they agreed upon – such as North Korea – and subjects they didn’t – such as the South China Sea – during meetings at the Pentagon today.
Army Gen. Martin E. Dempsey, the chairman of the Joint Chiefs of Staff, hosted his counterpart, Chinese Gen. Fang Fenghui, the chief of the General Staff of the People’s Liberation Army.

The meetings are designed to deepen the developing military-to-military relationship between the two nations.

Signs of progress abound. China is sending a ship to participate in this year’s Rim of the Pacific naval exercise. The exercise “fosters and sustains cooperative relationships, which of course, help avoid miscalculations and prevent conflict,” Dempsey said during a joint news conference with Fang. “The global maritime environment is simply too large, and too complex for any one nation,” the chairman added.

The two military leaders also discussed tensions in the South China Sea, and how provocative actions can lead to confrontation. “These issues need to be resolved through dialogue and international law,” Dempsey said. “We had a refreshingly frank and open discussion on our mutual concerns and differing opinions about the East China Sea, as well as the destabilizing effects, in our view, of North Korean actions.”

Dempsey said it is important for China to model great power by contributing to stability in the region. “And we committed to work with each other toward that end,” he added.

Fang vowed to continue building the relationship along a sound and stable track.
“It’s very important that we should all abide by the principle of nonconflict and nonconfrontation,” he said through a translator. “At present, the China-U.S. bilateral relations and military relationship have reached an important historical stage. In this context, it’s very important to further our bilateral ties and military relations.”

The men spoke about cooperation on counterterrorism and counterpiracy operations. They also discussed establishing a mechanism for mutual notification of major military activities and devising standards of behavior for air and sea military safety in a maritime domain, Fang said.

The two militaries also will conduct more humanitarian assistance and disaster relief exercises.

At the headquarters level, the U.S. and Chinese militaries will establish a dialogue between their strategic planning departments and continue advancing the army-to-army dialogue mechanism. Both Dempsey and Fang mentioned an upgrade to the defense telephone they use to allow secure video teleconferencing with each other. In addition, they agreed to explore the possibility of conducting joint exercises and training in a third country, Fang said.

U.S. CONGRATULATES PEOPLE OF NORWAY ON THEIR 200TH ANNIVERSARY OF THEIR CONSTITUTION

FROM:  U.S. STATE DEPARTMENT 

On the Occasion of Norway's National Day

Press Statement
John Kerry
Secretary of State
Washington, DC
May 15, 2014


On behalf of President Obama and the people of the United States, I congratulate the people of Norway on the 200th anniversary of the adoption of your constitution.

I hold a special appreciation for Norway, having lived there for a couple years when my Dad served in the Embassy. I’ll never forget my first hike through the majestic fjords of Norway as a young boy. Ever since, I have felt a deep, personal connection with the people of Norway and their forests.

The U.S.–Norway alliance is grounded in our shared history. On May 17, 1814, in a year known as the “Year of Miracles,” Norway courageously forged a new path towards self-determination and freedom. Today, your great nation has emerged as a world leader, an indispensable partner of the United States, and our steadfast ally in the fight for global peace, prosperity, and security.

The powerful bond between our nations is sealed not only by the 4.5 million Americans of Norwegian heritage, but also through the shared democratic ideals and values enshrined in our Constitutions. Our commitment to free enterprise, European security, and our common defense as members of the NATO Alliance will continue to unite us in the future.

As you celebrate your national day with family and friends, the United States stands with you as a partner and friend. I wish all Norwegian people continued peace and prosperity in the coming year.

SEC CHARGES CHARGES OIL-AND-GAS INVESTMENTS SALESMAN FOR NOT BEING ASSOCIATED WITH AN SEC REGISTERED BROKER-DEALER

FROM:  U.S. SECURITIES AND EXCHANGE COMMISSION 
SEC Charges Unregistered Securities Salesman for Selling Millions of Dollars in Oil-And-Gas Investments

The Securities and Exchange Commission today charged a Tiburon, California based securities salesman who received over $16 million in sales commissions with failing to be associated with an SEC registered broker-dealer.

Behrooz Sarafraz has agreed to settle the SEC’s charges by paying disgorgement of his commissions, prejudgment interest, and a penalty for a total of more than $22 million.

According to the SEC’s complaint filed in federal court in San Francisco, Sarafraz acted as the primary salesman on behalf of TVC Opus I Drilling Program LP and Tri-Valley Corporation, which were based in Bakersfield, Calif. From February 2002 to April 2010, these companies raised more than $140 million for their oil-and-gas drilling venture. While Sarafraz was raising money for these entities, he was not associated with any broker-dealer registered with the SEC.

The SEC's complaint charges Sarafraz with violating Section 15(a) of the Securities Exchange Act of 1934, which requires securities salesmen to be associated with broker-dealers that are registered with the SEC.

According to the SEC’s complaint, Sarafraz worked full-time locating investors for the Opus and Tri-Valley oil-and-gas ventures. He described the investment program to investors and recommended they purchase Opus partnership interests or securities of Tri-Valley and its affiliated entities. In return, Sarafraz received commissions that ranged from seven to 17 percent of the sales proceeds that he and members of a sales network generated. The SEC alleges that Opus and Tri-Valley paid Sarafraz approximately $18.3 million in sales commissions. He paid approximately $1.9 million to others as referral fees and kept the remaining $16.4 million for himself.

Sarafraz has agreed to settle the SEC’s charges by consenting to entry of a final judgment ordering him to pay a total of $22,482,318.87 without admitting or denying the allegations. The sum consists of $16,406,459 in disgorgement, $6,075,859.87 in prejudgment interest, and a $50,000 penalty. The final judgment will also permanently enjoin him from violating Section 15(a) of the Exchange Act. The settlement is subject to court approval.

The SEC’s investigation was conducted by William Fiske and Marc Blau of the Los Angeles Regional Office.

WHITE HOUSE STATEMENT ON HOUSING FINANCE REFORM

FROM:  THE WHITE HOUSE 

Statement by the Press Secretary on Housing Finance Reform


The Administration welcomes today's strong bipartisan vote in support of the Housing Finance Reform and Taxpayer Protection Act of 2014 through the Senate Banking Committee. Today’s vote is an important step toward achieving a more sustainable housing finance system that helps protect the American dream of homeownership, and we applaud Chairman Johnson, Ranking Member Crapo and Senators Corker and Warner for their leadership on this issue.  Today’s vote marks important progress toward completing one of the biggest remaining pieces of post-Recession reform of the financial system. 
The President has been clear about his commitment to preserving the American dream of sustainable homeownership for all creditworthy borrowers.  That means ensuring that affordable rental options are widely available, and preserving access to mortgage credit during severe downturns while protecting taxpayers from substantial losses in the housing sector.  We have worked closely with the Senate Banking Committee to provide policy, technical, and analytic support throughout the process to achieve these goals, and going forward, we will continue to work with the Senate to address affordability and access to broaden support for reform.

DEFENSE SECRETARY HAGEL MEETS WITH ISRAELI DEFENSE MINISTER YAALON IN TEL AVIV, ISRAEL

FROM:  U.S. DEFENSE DEPARTMENT 

U.S. Defense Secretary Chuck Hagel, left center, meets with Israeli Defense Minister Moshe Yaalon, right center, in Tel Aviv, Israel, May 15, 2014. Hagel met with the defense leader to discuss issues of mutual importance before he visited American and Israeli troops in the area. DOD photo by Erin A. Kirk-Cuomo  
Hagel Meets With Israel’s Minister of Defense
By Claudette Roulo

American Forces Press Service

TEL AVIV, Israel, May 15, 2014 – Israel has had no closer ally or better friend than the United States, Defense Secretary Chuck Hagel said today after meeting with Israeli Defense Minister Moshe Yaalon at the Israeli defense ministry here.
Since taking office, Hagel has met with Yaalon six times

“Our defense relationship is as strong as it’s ever been,” the defense secretary said.

The two defense leaders discussed the ongoing P5+1 negotiations in Vienna over Iran’s nuclear weapons program and President Barack Obama’s commitment to ensuring that Iran does not acquire a nuclear weapon.

“We also discussed America’s unwavering pledge to preserve Israel’s qualitative military edge, including the provision of some of America’s most advanced capabilities,” Hagel said.

The defense secretary said he also spoke with Ya’alon about the need for continuing negotiations with Palestine and reaching a viable two-state solution.
“The frequent meetings that minister Yaalon and I have had, and the visit by President Obama’s national security advisor last week, speak clearly to the strength of our nations’ friendship,” Hagel said. “They speak clearly to the strength of America’s commitment to defend Israel.”

But, the defense secretary said, nothing speaks more clearly of America’s commitment than the concrete support it provides to Israel and its defense.
“That includes $3.1 billion per year in foreign military financing,” Hagel said. That’s more than the U.S. provided this year to any other nation, he noted, and more than the U.S. has provided to any other nation in American history.
“Our support also includes unparalleled military cooperation,” the defense secretary said, noting as an example the joint U.S.-Israel missile defense exercise Juniper Cobra, which starts later this month.

The five-day exercise involves more than 4,000 American and Israeli troops, with more than 700 American soldiers, sailors and airmen deploying to Israel. The exercise provides training in ballistic missile defense and humanitarian response. Two U.S. Navy Aegis-class ships will also participate while off the coast of Israel, the defense secretary noted.

Israel’s entire rocket and ballistic missile defense architecture is employed during Juniper Cobra, Hagel said, including Iron Dome, Arrow and David’s Sling. All three are platforms that the U.S. is “proud to have helped Israel finance and develop,” he added.

“This will be our European Command’s largest exercise this year, and it will be the seventh in the Juniper Cobra series, which began in 2001,” the defense secretary said.

Two months ago, the U.S. reached a milestone co-production agreement with Israel, raising its investment in the Iron Dome program to a total of nearly $900 million, he said. This will support additional batteries and interceptors.
Following Hagel’s meeting with Ya’alon, the two defense leaders traveled to Hatzor Air Base, about 30 miles south of Tel Aviv. There, they again stressed the strength of the bilateral relationship while speaking to U.S. and Israeli troops preparing for the start of Juniper Cobra.

Military-to-military cooperation between the two nations is stronger than ever, Hagel said, adding that he and Ya’alon are dedicated to ensuring the relationship grows even stronger.

“Israel’s security is -- and always will be -- non-negotiable,” the defense secretary said.

Thursday, May 15, 2014

U.S. CONGRATULATES PEOPLE OF PARAGUAY ON THEIR 203 YEARS OF INDEPENDENCE

FROM:  U.S. STATE DEPARTMENT 

Paraguay's Independence Day

Press Statement
John Kerry
Secretary of State
Washington, DC
May 15, 2014


On behalf of President Obama and the people of the United States, I congratulate the people of Paraguay as you commemorate 203 years of independence on May 15.

The people of the United States and Paraguay share many binding ties: our commitment to provide access to quality education and healthcare for all, our respect for human rights and rule of law, and our belief that all people should enjoy equality and justice. Your example offers hope to the world that the path to lasting peace and prosperity can happen without violence.
As you celebrate your independence with asados and guaranias, the people of the United States rejoice with you.

Vy’apave penereta ara rehe. Felicidades a ustedes en el Día de la Patria!

WHITE HOUSE STATEMENT ON NET NEUTRALITY

FROM:  THE WHITE HOUSE 

Statement by the Press Secretary on Net Neutrality

The President has made clear since he was a candidate that he strongly supports net neutrality and an open Internet.  As he has said, the Internet’s incredible equality – of data, content, and access to the consumer – is what has powered extraordinary economic growth and made it possible for once-tiny sites like eBay or Amazon to compete with brick and mortar behemoths.
The FCC is an independent agency, and we will carefully review their proposal. The FCC’s efforts were dealt a real challenge by the Court of Appeals in January, but Chairman Wheeler has said his goal is to preserve an open Internet, and we are pleased to see that he is keeping all options on the table. We will be watching closely as the process moves forward in hopes that the final rule stays true to the spirit of net neutrality.
The President is looking at every way to protect a free and open Internet, and will consider any option that might make sense.

REMARKS: SECRETARY KERRY WITH JORDANIAN FOREIGN MINISTER JUDEH

FROM:  U.S. STATE DEPARTMENT 

Remarks With Jordanian Foreign Minister Nasser Judeh Before Their Meeting

Remarks
John Kerry
Secretary of State
London, United Kingdom
May 15, 2014


SECRETARY KERRY: Well, we had a very constructive meeting today with all of the London 11, but I want to particularly thank Jordan. His Majesty King Abdullah and Foreign Minister Judeh have been just terrific partners in not only the efforts to deal with the crisis of Syria in the region, but particularly, also they are stakeholders and critical partners in the Middle East peace process. And we continue always to work at that, even quietly. It’s an issue that doesn’t go away.

So I express my gratitude for the friendship and the tremendous working partnership that we have.

FOREIGN MINISTER JUDEH: Well, thank you very much, Mr. Secretary. It’s always great to see you and always I’m happy to maintain our constant consultation, and that comes in the spirit of the true friendship and partnership between our two countries and the relationship – the special relationship that His Majesty the King has with President Obama and with your good self. And I think that as we meet here today on the margins of the London group, the core group, discussing Syria (inaudible) developments there, I hasten to remind of the humanitarian spillover of that crisis, of which Jordan bears perhaps the biggest brunt. It is time that we continue our consultations.

On the peace process, Mr. Secretary, I know that in over 60 years of this conflict, we’ve had many ups and downs. We’re certainly going through what looks like a down, but we shouldn’t give up. And as you mentioned, we’re a stakeholder. Peace in the Middle East, peace between Palestinians and Israelis, is peace of mind for the rest of the world. And I think this is the root cause of many problems in our part of the world. We salute you for your personal efforts, for your dedication, for your commitment, and we hope that we will find ways and means to revive this very, very soon. Thank you.

SECRETARY KERRY: Thank you.

SECRETARY OF STATE KERRY TAKES QUESTIONS FROM PRESS IN LONDON

FROM:  U.S. STATE DEPARTMENT 

Press Availability in London

Press Availability
Foreign Commonwealth Office
London, United Kingdom
May 15, 2014


SECRETARY KERRY: Good afternoon, everybody. First of all, let me just thank Foreign Secretary William Hague for his terrific hosting today, convening all of us together to be able to talk about a number of challenging issues that we’re facing together, and I think after today, with an even better sense of direction.

We gathered here, I think it’s safe to say, frankly more united than we have been in some time. And we, all of us, unanimously, remain committed to changing the dynamics on the ground in Syria.

Since we last met, the opposition has itself taken some significant steps forward to expand their leadership, to expand their reach into Syria, to become more effective. And we know, as you know, we just hosted President Jarba and his delegation in Washington for a number of days and a series of meetings, including meetings with the State Department, the White House, and the President.

The truth is we all know that the grave humanitarian crisis is growing more dire by the day, notwithstanding the best efforts of people to date. And the bloodshed and the suffering of the Syrian people have not stopped. So today in one unified voice we made it clear that we remain committed, even more so, to taking steps that could in fact make a difference. Most importantly we start in one unified voice with rejecting any notion whatsoever that the elections that the Assad regime has called somehow have any legitimacy whatsoever. There is no way for this illegitimate effort, for this impossible set of circumstances for an election to somehow give legitimacy where there is none. Together we are unified in saying that Assad’s staged elections are a farce, they’re an insult; they are a fraud on democracy, on the Syrian people, and on the world.

And the fact is that the cynical political theater that he is engaged in will not change one thing the day after it happens. His status in the world, his position with respect to future leadership in Syria, and in fact, the potential of any resolution will be exactly where they were the day before the election – although perhaps even slightly worse because of the fraud of this effort. It just – I mean, ask yourself: How do you have a legitimate election when half the people in your country are displaced and not able to vote? How do you have a legitimate election when another several million people are in refugee camps unable to vote? How do you have it when hundreds of thousands of people, literally – almost a million perhaps – are scattered in various countries in the region, seeking safety from Assad? It is just impossible to believe that under those circumstances, where people are hunkered down in their homes, intimidated and afraid to be able to come out, afraid of being forced to do one vote or another – you just have no climate, no framework within which you can talk about legitimacy.

We also agreed today that we have to redouble our efforts, all of us, in support of the moderate opposition in order to bring about a peaceful resolution that the people of Syria want. And that requires the full support of the international community, and that was really the focus of our discussions today. I’m sure your question would be: So what’s different today? Well, look at the length of the communique. It’s short and it’s purposefully short. It purposefully points to the election and then to the renewed efforts, and the most important sentence, I think, is the last sentence in which it points out that our teams are going to come together in very short order now to lay out a specific set of steps that we can and will take together in order to have a greater impact here.

There isn’t anybody who didn’t come together today with the realization that there have been hurdles over the course of the last year, from the time when Foreign Minister Lavrov and I announced the possibility of a Geneva conference in Moscow last year – about a month earlier than now. Things changed on the ground. Hezbollah entered the fight. IRGC – Iranian forces entered the fight on the ground. And more terrorists were attracted to the fight against Assad, regrettably, thereby creating a framework where some of the opposition was fighting the terrorists, not Assad.

So that is a very clear and simple reality of what has taken place over the course of the year. That has changed. And now I think there’s a greater level of coordination, a greater level of unity, a greater level of understanding of purpose, and over the next days as those teams meet, there will be a serious definition of steps that can be taken in order to have a greater impact. The United States is committed to doing our part. Each country today sat there and sort of discussed what they felt they could do to grow the effort. And that is what is different.
Just last week, we announced that the Syrian Opposition Coalition representative offices are now foreign missions. And we’re also working to provide new nonlethal assistance and to speed up the delivery of assistance to the Free Syrian Army. The Treasury Department has imposed new sanctions and restrictions against members of the regime, and we will continue to strengthen our ties with the Syrian opposition, as I think you’ve seen firsthand in the visit to Washington this past week.

On behalf of the United States, I want to extend our deep concern for the two British journalists who were shot and who were beaten while trying to share with the world the real story of what is happening in Syria. And this is not the first time that courageous reporters have been part of the heartbreaking story of Syria. Far too many journalists and innocent civilians have been hurt, killed, or held hostage in Syria. And just two days ago in Washington, we met with one of the families – with many of the families, actually – of those being held in Syria. And we’re keeping up a very focused effort to try to secure their release. We reiterate our respect and our admiration for the reporters who put their lives and their liberties on the line to tell the stories to the world that otherwise people would never learn.

Let me also say a quick word about two other issues that we touched on this week, here, today, in the early part of our meeting this morning: that is Ukraine and Libya. We had a very good discussion this morning with the British, French, German, Italian foreign ministers, our counterparts – on Ukraine. We welcome the successful National Dialogue roundtable in Kyiv that took place yesterday and the very good conversation there on decentralization, constitutional reform, and the protection of minority rights. And we hope that the separatists, we hope the Russians, we hope that others who are disgruntled by what has taken place will take note of a legitimate effort to try to reach out, bring people to the table, and find political compromise.

We are absolutely committed to the notion that there must be a protection of these minority rights, and we support the government in Kyiv’s efforts to reach out with serious, concrete plans for increased autonomy and decentralization. I would note that the level of decentralization and autonomy that Prime Minister Yatsenyuk has articulated far exceeds any level of autonomy or decentralization that exists anywhere in Russia. And I think it’s important for everybody to note that.

We believe that the process of the roundtables coupled with the election provides the people with Ukraine with an opportunity to be able to heal the divide. And that will now be encouraged through a second meeting of a roundtable that will take place in eastern Ukraine in a few days.
This morning, we also underscored the vital importance of a free and fair presidential election across Ukraine on May 25th, including, importantly, the eastern provinces. And we’re also working with the Ukrainians and the OSCE to protect the rights of all Ukrainian citizens and to make their voices heard through the ballot box in a legitimate election.

We call on the separatists and Russians to respect this election process, to help to make it happen, even; to encourage Ukrainians to be able to define their future. That’s the best way to de-escalate this situation.

We believe that this effort to legitimize an election and move to have a broad-based election according to the constitutional process of Ukraine is in stark contrast to the agenda of the pro-Russian separatists and their supporters, who are literally sowing mayhem in communities like Slovyansk. Far from defending the rights of the people in the east, they are seeking to speak for everybody through the barrel of a gun and through their own narrow sense of what they want for an outcome.

We agreed this morning that if Russia or its proxies disrupt the election, the United States and those countries represented here today in the European Union will impose sectoral economic sanctions as a result. Our message is really quite simple: Let Ukraine vote. Let the Ukrainian people choose their future and let them do so in a fair, open, free, accessible election.
Finally on Libya, the United States and our quintet of partners reiterated today our shared commitment to the stability and security for the Libyan people and for the region. We agreed that we need to do more, and we understood that there is this challenging moment in Libya. We need to try to accelerate the effort to bring about stability and security and the governance that is necessary to provide the time and the space for Libyan authorities to be able to confront the threat from extremism and the challenges that their country faces of just providing governance to their people.

In that light and in support of the Libyan Government, we are working collectively through a number of different envoys. The Arab League has an envoy, the – Great Britain has an envoy, we have an envoy – we will work in concert, and we task them, literally, to be working as one entity – not as individuals out there in opposite directions. And we’re going to do all we can to help the Libyans in these next days to try to be able to gain control over their revenues and begin to forge the kind of coalition that can actually begin to build the offices of governance that are necessary. This is a small country – six and a half million people – smaller than the state that I represented in the Senate – privileged to represent for almost 29 years. I know something about what you can provide when you want to. Libya is a country rich in resources, rich in people with talent and capacity. And we hope that in the days ahead we’re going to be able to tap into that and find a way to help the Libyan people to move forward to have the kind of stability and peaceful governance that they aspire to.

So with that I thank you, and I’d be happy to take a couple questions quickly.

MS. PSAKI: The first question will be from Karen DeYoung of The Washington Post.

QUESTION: Thank you, Mr. Secretary. On Syria, I think you correctly put your finger on what the question is, which is: What’s different after today? In terms of U.S. policy, could you tell us whether the United States is prepared to do what Britain has done, which is to change the way its aid is sent into Syria and start sending it through NGOs or other means instead of through the United Nations?

And also on the expanded aid that you’ve talked about to both the military and political sides of the opposition, President Jarba has publicly called for increased weapons assistance, specifically portable surface-to-air missiles to stop the Syrian Government’s air attacks against civilians, including the barrel bombs that you personally have denounced. Are you now prepared to take this step or allow your allies to take this step? And if not, why not?
And finally on Syria, Foreign Minister Fabius said in Washington this week that France has seen credible evidence of at least 14 chemical attacks by the Syrian Government since October. Secretary Hagel said in Saudi Arabia yesterday that the United States has seen no such evidence. Is this because you haven’t seen what the French have seen, or that you’ve seen it and don’t find it conclusive? Thank you.

SECRETARY KERRY: Well, let me take them one, two, three. We are open to the idea of providing aid through any means that will get to the people who need it. And while the decision has not been categorically made, I’d just repeat: We are open to anything that will get the aid to the people, and we are very frustrated with the current process. It is not getting to people. It’s going through one gate, one entryway, and it’s going through Damascus and/or controlled by the Assad regime. That’s unacceptable. We need to be able to get aid more directly and we’re going to work to do that. That’s a certainty.

We are in addition that, Karen, we are going to in the United Nations Security Council challenge the appropriate level of follow-through that is necessary to be able to fulfill what was passed in the resolution previously a few months ago in order to guarantee the delivery of aid. It is not being fulfilled. It has to be fulfilled and our patience is gone. We’re going to join with other countries in an effort to try to guarantee accountability through the UN in making that happen. We are determined that people will be able to get aid.

The people who left Homs, for instance, did so because they were literally under siege. They were being starved to death – civilians and others. And that is against the laws of war – not to mention anybody’s fundamental values and decency, but obviously not Assad’s. So we intend to press this issue in every way possible in the days ahead.

On the issue of weapons, I’m not going to discuss what specific weapons, what country may or may not be providing or not providing – as you know, we’re providing nonlethal aid. But I will say that out of today’s meeting every facet of what can be done is going to be ramped up. Every facet, and that includes political effort. It includes the aid to the opposition. It includes economic efforts, sanctions. Today we announced, as I told you, additional sanction. There will be ramped up effort to make it clear that despite the fact that Assad may think today he’s doing better and this process is somehow going to come to a close with him sitting pretty, the answer is: no. It’s not going to suddenly – we’re not going away. The opposition is not going away.

We are determined to reach a political settlement that protects all of the people of Syria, and I want to make it clear: Alawite, other minority, all can be protected here. Assad’s just protecting himself. The fact is that he, in doing so, he is making partnership with terrorist elements, attracting terrorists, engaging in terrorist activities against his own people, and I don’t think that anybody today felt deterred one iota in the notion that there might be a better route, another route, other than a political settlement, which can only be brought about when he is prepared to negotiate.

As everybody looks at Lakhdar Brahimi’s resignation and makes a judgment about it, it’s not that – I mean, he performed valiantly against great odds. But if the parties aren’t prepared to perform according to the standards that they have accepted to negotiate on, there’s nothing that a negotiator or an intermediary can do. So we remain committed to try to find that solution and I’m not going to discuss specific weapon systems or otherwise except to say that every possible avenue that is available is going to be pursued by one country or another.
One the third issue – the issue of evidence, I suspect – I haven’t talked with Secretary Hagel about what was in his mind or what he was referring to with respect to that. Chlorine is not listed on the list of prohibited items by itself freestanding under the Chemical Weapons Convention. But chlorine, when used and mixed in a way that is used as a chemical weapon in the conduct of war, is against the chemical weapons treaty. And I have seen evidence, I don’t know how verified it is – it’s not verified yet – it’s hasn’t been confirmed, but I’ve seen the raw data that suggests there may have been, as France has suggested, a number of instances in which chlorine has been used in the conduct of war. And if it has, and if it could be proven, then that would be against the agreements of the chemical weapons treaty and against the weapons convention that Syria has signed up to.

MS. PSAKI: The next question will be from Mina Al-Oraibi.

QUESTION: Thank you. Secretary Kerry, to follow up on your last point, if it is proven that chlorine was used as a chemical in war, which is prohibited, what will the Syrian Government face? What steps can be taken?

And I want to go back to the point of military aid. I know you won’t go into details of the assistance, however, what I’d like to ask you is: are you more confident now in the Free Syrian Army and after the meetings you’ve had with the Syrian opposition linked to the use of weaponry by the FSA and the SNC in general.

SECRETARY KERRY: I think the Free Syrian Army – I’m going to give you the second part first. The Free Syrian Army has clearly improved. It has clearly gained in its capacity. It has gained in its command and control. It is also now being supported in a more coordinated way than it was over the last year as one country or another may have been supporting one group or another, now that is much more concentrated.

So we think that they’re making progress. Are they a trained army in the context of nation-states that we measure things by in many places? No, not yet. But they are improving and under very difficult circumstances holding their own, in fact making gains in certain parts of the country. Now, we have – we are committed to continue to be helpful to them and give them greater capacity in many different respects. And everybody there today shared in that commitment.
With respect to the CW and what the consequences are, it has been made clear by President Obama and others that use would result in consequences. We’re not going to pin ourselves down to a precise time, date, manner of action, but there will be consequences if it were to be proven, including, I might say, things that are way beyond our control and have nothing to do with us. But the International Criminal Court and others are free to hold him accountable. And as you know, we have a resolution that will be in front of the United Nations with respect to culpability for crimes against humanity, atrocities in the course of this conflict. So one way or the other, there will be accountability.

MS. PSAKI: The next question will be from Indira Lakshmanan from Bloomberg.

QUESTION: Thank you. Mr. Secretary, you just told us that you and the four EU foreign ministers agreed today that sectoral sanctions will be imposed on Russia if Russia or its proxies disrupt the May 25th elections. Foreign Minister Hague earlier referred specifically to Russia’s specific interference. So I want to know – Russia has denied Western reports of supplying weapons, personnel, and coordination to the separatists. Will Russia be held accountable and responsible for actions of the separatists even if they cannot be proved as a link to Russia itself, or what’s the criteria that you and the EU and are going to use?

And second part of that question: We understand that the approach for sanctions is going to be a scalpel, not a hammer. So does that mean it won’t be Iran-style bans on entire sectors of commerce, and does that mean that it’ll be a ban on future deals with an exemption for existing contracts?

SECRETARY KERRY: Well, I’m not going to get into announcing today what the precise sanctions are except to say to you we have completed our work. We know what they are. We’re ready. And last week we had State Department and Treasury personnel here in Europe working with our European allies in order to define precisely what that road ahead should be. And indeed, our hope – I’m not going to get into characterizations of scalpel or sledgehammer or whatever except to say to you that they’re effective, and if they have to go into effect they will have an impact.

Now, obviously, the purpose of it is to have a greater impact on the target than it is on the people imposing it, and so we will be thoughtful and we are being thoughtful and we’re being very, I think, deliberative in trying to make determinations about what is appropriate and what is not appropriate.

Let me emphasize our hope is not to do this. Our hope is not that we have to go to a next stage. I say to the Russians and everybody our hope is to de-escalate. We appreciate that President Putin made a statement about the elections and sort of acknowledging that they would take place and probably a good thing, I think was his language. We acknowledge that he said that the referendum should be stopped but didn’t stop the referendum.

And so what we need to make certain is that people aren’t trying to have everything both ways. William Hague a few moments ago told you that it’s in the attitude and behavior that you make this judgment about what is being done. And I’m not going to start laying out the whole series of definitions except to say to you that it is clear what proxies mean. If Russia or its proxies disrupt the elections, stand in the way of the Ukrainian people being able to exercise their vote, that is when and if there would be additional sanctions.

But our hope is that Russia will join in to encouraging the vote, that Russia will encourage pro-Russian separatists to say that they should work through the process that has now been opened up that Russia has helped insist on, that that process now be given a chance to work through the OSCE and otherwise. That’s our preference. That is what we want to have happen here. And our hope is that in the eight days, between now and the election, there can be a concerted effort to try to put the confrontation behind us and put the effort to build Ukraine in front of us and to try to do it together. That makes a lot more sense and that would be our hoped-for direction.

MS. PSAKI: Thank you, everyone.

SECRETARY KERRY: Thank you, all. Appreciate it.

U.S. DEFENSE DEPARTMENT CONTRACTS FOR MAY 15, 2014

FROM:  U.S. DEFENSE DEPARTMENT
CONTRACTS

DEFENSE LOGISTICS AGENCY

Beacon Point Associates LLC,* Pembroke Pines, Florida, has been awarded a maximum $8,000,000 fixed-price with economic-price-adjustment contract for the distribution of a wide range of medical surgical items to facilities within and outside the United States that participate in the electronic catalog program. This contract was a competitive acquisition with six offers received. This is a seventeen-month base contract with three one-year options and one six-month option period. Location of performance is Florida, with an Oct. 31, 2015 performance completion date. Using services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPM2DE-14-D-7602).

Vinyl Technology,* Monrovia, California, has been awarded a maximum $9,287,082 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for the manufacture and delivery of advanced technology anti-gravity suit. This contract was a competitive acquisition with two offers received. This is a one-year base contract with three one-year option periods. Location of performance is California, with a May 14, 2015 performance completion date. Using service is Air Force. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-14-D-1042).

NAVY

CasePro Inc., San Antonio, Texas (N62645-14-D-5019); Professional Performance Development Group Inc., San Antonio, Texas (N62645-14-D-5020); Chesapeake Educational Services LLC,* Vienna, Virginia (N62645-14-D-5021) and InGenesis Arora Healthcare LLC, San Antonio, Texas (N62645-14-D-5022), are each being awarded a six-month base period and three-month option period for physician services and 12-month base period and three-month option period for ancillary services under a firm-fixed-price, indefinite-delivery/indefinite-quantity, multiple award task order bridge contract in support of the Naval Medical Center, Portsmouth, Virginia. The aggregate not-to-exceed amount for these multiple award contracts combined is $70,000,000. Work will be performed in Portsmouth, Virginia, and its associated branch clinics located in the Commonwealth of Virginia, and work is expected to be completed Sept. 30, 2015. No funding will be obligated at the time of award. Funds will be obligated on individual task orders as they are issued. Funding will be predominantly from the Defense Health Program; however, other funding initiatives such as psychological health/traumatic brain injury, overseas contingency operations and wounded, ill, and injured may be used. These are all one-year funding types. These contracts were issued as sole-source requirements in accordance with 10 U.S.C. 2304(c)(1) - only one responsible source or only a limited number of responsible sources. The Naval Medical Logistics Command, Fort Detrick, Maryland, is the contracting activity.
Lockheed Martin Mission Systems & Training, Owego, New York, is being awarded $38,530,708 for delivery order 4003 against a previously issued basic ordering agreement (N00019-14-G-0019) for non-recurring engineering in support of the MH-60 integration and testing of the Advanced Data Transfer System, including mission system and common cockpit suite. These services are in support of the U.S. Navy, and governments of Australia and Denmark. Work will be performed in Owego, New York (95 percent) and Farmingdale, New York (5 percent), and is expected to be completed in February 2017. Fiscal 2014 aircraft procurement, Navy and foreign military sales funds in the amount of $38,530,708 will be obligated at time of award, none of which will expire at the end of the current fiscal year. This contract combines purchases for the U.S. Navy ($34,850,684; 91 percent); and the governments of Australia ($3,190,012; 8 percent); and Denmark ($490,012; 1 percent) under the Military Sales Program. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity.

Astro Machine Works Inc.,* Ephrata, Pennsylvania, is being awarded a $25,162,500 indefinite-delivery/indefinite-quantity contract with firm-fixed-price delivery orders to provide for the delivery of gun weapon systems (GWS) components in support of the battle management systems programs. Specific tasking includes fabricating and delivering GWS components in accordance with a government qualified technical data package. Manufacture, assembly, inspection and delivery of GWS components such as: ammunition handling system, gun mounts, trainable gun mounts, gun computer cabinets assemblies, and all future redesigned and upgraded assemblies that derive from research, prototyping, and development stages of battle management systems. Work will be performed in Ephrata, Pennsylvania, and is expected to be completed by May 2019. Fiscal 2013 and 2014 procurement, Defense-wide contract funds in the amount of $572,350 are being obligated for the first delivery order, and will not expire at the end of the current fiscal year. This contract was competitively procured via the Federal Business Opportunities website, with three offers received. The Naval Surface Warfare Center Dahlgren Division, Dahlgren, Virginia, is the contracting activity (N00178-14-D-1003).

PAE Applied Technologies LLC, Fort Worth, Texas, is being awarded a $20,712,232 modification to previously awarded cost-plus-fixed-fee level of effort contract (N00421-13-C-0007) to exercise an option for range engineering and operations and maintenance services in support of the Naval Air Warfare Center Aircraft Divisions’ Atlantic Test Range and Atlantic Targets and Marine Operations Division. The estimated level of effort for this option is 228,767 man-hours. Work will be performed in Patuxent River, Maryland, and is expected to be completed in September 2014. Fiscal 2014 Navy working capital funds in the amount of $18,275,000 are being obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Warfare Center Aircraft Division, Patuxent River, Maryland, is the contracting activity.

ARMY

EADS-NA, Herndon, Virginia, was awarded a $55,361,816 sole-source modification (P00780) to contract W58RGZ-06-C-0194 to procure ten UH-72A Lakota helicopters with ARC-231 radios. Fiscal 2014 other procurement funds in the amount of $55,361,816 were obligated at the time of the award. Estimated completion date is June 30, 2015. Work will be performed Columbia, Mississippi. Army Contracting Command, Redstone Arsenal, Alabama, is the contracting activity.

AIR FORCE

Global Ground Support LLC, Olathe, Kansas, has been awarded a $38,073,233 firm-fixed-price requirements type contract for truck mounted and extended reach deicers. This requirement is for a best estimated quantity of 52 truck mounted deicers and 22 extended reach deicers over the course of six years. The requirement includes pre-production units, production units, testing, and associated data deliverables. Work will be performed at Olathe, Kansas, and is expected to be completed by July 13, 2020. This award is the result of a competitive acquisition. Small business offers were solicited, and one offer was received. Foreign military sales may be fulfilled by order under this contract, but the origin of the sale is unknown at this time. No funding is obligated at this time. Fiscal 2014 other procurement funds will be obligated upon availability of funds. Air Force Life Cycle Management Center/WNKBBB, Robins Air Force Base, Georgia, is the contracting activity (FA8533-14-D-0003).

Jacobs Technology Inc., Bedford, Massachusetts, has been awarded a $23,547,235 cost-plus-fixed-fee and cost-reimbursable contract to provide engineering and technology acquisition support services which consists of disciplined systems/specialty engineering and technical/information assurance services, support, and products using established government, contractor, and industry processes. Work will be performed at Hanscom Air Force Base, Massachusetts, Lackland AFB, Texas, Schreiver AFB, Colorado, Eglin AFB, Florida, and Wright-Patterson AFB, Ohio, and is expected to be complete by Nov. 30, 2015. This award is the result of a sole source acquisition. Fiscal 2012, 2013 and 2014 procurement, aircraft procurement, missile procurement, and foreign military sales (for Oman and Taiwan) funds in the amount of $2,826,951 will be obligated at time of award. Air Force Life Cycle Management Center/PZM, Hanscom Air Force Base, Massachusetts, is the contracting activity (FA8721-14-C-0016).

Lockheed Martin Missiles and Fire Control, Orlando, Florida, has been awarded a $10,330,445 modification (P00003) to FA8682-14-C-0084 to exercise option contract line numbers 3101(cost-plus-fixed-fee) Lots 12 and 4 systems engineering joint air to surface standoff missile baseline and extended range program support, and 9101 (firm-fixed-price) JASSM BL Lot 12 and JASSM-ER Lot 4 program tooling and test equipment. Work will be performed at Orlando, Florida, and Troy, Alabama, and is expected to be completed by March 31, 2017. Fiscal 2014 missile procurement funds in the amount of $10,330,445 are being obligated at time of award. Air Force Life Cycle Management Center/EBJKK, Wright-Patterson Air Force Base, Ohio, is the contracting activity.

DEFENSE INFORMATION SYSTEMS AGENCY

Xtera Communications, Inc.*, Allen, Texas, was awarded a $31,220,394 firm-fixed-price contract for the delivery of an undersea fiber optic cable. This contract has an 18-month base period and five one year option periods. Work will be performed in the Southern Command area of responsibility, with an estimated completion date of December 2015. The solicitation was issued as a competitive, total small business set-aside, and eight offers were received. Defense Working Capital Funds in the amount of $31,220,394 are being obligated at award. The Defense Information Technology Contracting Organization-National Capital Region is the contracting activity (HC1047-14-C-4018).

*Small Business

PARATROOPERS TRAIN UNDER ARCTIC CONDITIONS IN ALASKA

FROM:  U.S. DEFENSE DEPARTMENT 

Right:  Army paratroopers jump from a C-17 Globemaster III aircraft above the Arctic Circle as part of Arctic Pegasus near Deadhorse, Alaska, May 1, 2014. The paratroopers are assigned to the 2nd Engineer Brigade. U.S. Army photo by Staff Sgt. Mylinda DuRousseau.









Left:  Army paratroopers provide security after exiting a UH-60 Blackhawk helicopter during Arctic Pegasus near Deadhorse, Alaska, May 2, 2014. National Guard photo by U.S. Army Sgt. Edward Eagerto.

DEFENSE SECRETARY HAGEL PROMOTES EXPANDED COOPERATION WITH GULF STATES

FROM:  U.S. DEFENSE DEPARTMENT 
Hagel Urges Expanded Cooperation in Gulf Region
By Claudette Roulo
American Forces Press Service

JEDDAH, Saudi Arabia, May 14, 2014 – The importance of expanded cooperation in the Gulf region was the theme of Defense Secretary Chuck Hagel’s remarks here today at the Gulf Cooperation Council defense ministerial conference.

Defense ministers from all six member nations -- Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates -- joined Hagel at the meeting, which was hosted by Saudi Arabia.

Noting that this is his third trip to the Gulf in a little over a year, Hagel said the visits all have been aimed at encouraging greater collaboration in the region.
“I hope [this meeting] becomes an annual security consultation, and the backbone for renewed cooperation among all the nations of the GCC,” he said. And despite setbacks and challenges, he added, the Gulf Cooperation Council has fostered a common identity and common interests in the region.

“And it has helped protect your common security,” Hagel noted.

The United States is determined to support the Gulf countries as they continue to develop their roles on the world stage, the defense secretary said.

“This has been demonstrated by the United States Central Command’s continued forward military presence, which includes 35,000 personnel; our Navy’s 5th Fleet; our most advanced fighter aircraft; our most sophisticated intelligence, surveillance, and reconnaissance assets; and a wide array of missile defense capabilities,” he said. “It has also been demonstrated by recent defense sales agreements, including some of the largest in American history.”

But bilateral ties with the United States and American military presence are not enough to guarantee regional security, the defense secretary told the council’s defense leaders. “As I said at the Manama Dialogue last December, America’s engagement with Gulf nations is intended to and facilitate, not replace, stronger multilateral ties within the GCC.”

The most pressing security challenges threaten the whole region and demand a collective response, the defense secretary said. By strengthening the GCC, he added, the member nations will ensure their collective defense is more than the sum of its parts.

“You will strengthen your ability to prevent and deter aggression,” the defense secretary told the ministers. “You will strengthen, not weaken, each of your nations’ sovereignty. And you will expand your common interests –- not just in defense, but in a more stable and prosperous future.”
This approach is also how the region must address threats posed by Iran, he said.
Today also marks the start of discussions in Vienna between Iran and P5-plus-1 member nations regarding Iran’s nuclear program, Hagel noted. “We got to Vienna thanks to our collective efforts to isolate Iran diplomatically and economically, and to deter it militarily,” the defense secretary said.

As negotiations in Vienna progress, he said, two things should be clear.

“First, these negotiations will under no circumstances trade away regional security for concessions on Iran’s nuclear program,” Hagel said. U.S. commitment to Gulf security and stability is unwavering, he added.

“Second, while our strong preference is for a diplomatic solution, the United States will remain postured and prepared to ensure that Iran does not acquire a nuclear weapon -- and that Iran abides by the terms of any potential agreement,” the defense secretary said.

“No one nation can address these threats alone,” Hagel said. “Our efforts must be coordinated and complementary.”

Hagel made proposals today in several areas, each focused on this coordinated approach -- including integrated missile defense, maritime security and cybersecurity:

-- He proposed designating the Gulf Coordination Council’s Air and Air Defense Chiefs Conference as the GCC’s primary military forum for regional air and missile defense policy.

-- He called on the GCC to assume and maintain command of the Combined Maritime Force’s Gulf operations, Combined Task Force 152, and to commit to a regular heads-of-navy conference.

-- He proposed the establishment of a U.S.-GCC cyber defense cooperation initiative to jump-start collaboration.

-- He suggested that the GCC develop a Foreign Military Sales case, which could “advance regional defense priorities by accelerating the GCC’s progress toward greater interoperability and more sophisticated multinational force development.”
In addition, proposals to expand joint exercises and activities were part of a discussion led by Army Gen. Lloyd J. Austin III, commander of U.S. Central Command.

“At the conclusion of our dialogue,” Hagel said, “we should publicly declare our shared resolve, our shared goals, and our shared vision for stronger U.S.-GCC multilateral defense coordination. We must demonstrate our unity at a critical time. And we must send a message of strength to adversaries.”

WHITE HOUSE FACT SHEET ON BEING PERMITTING TO HELP BUILD INFRASTRUCTURE

FROM:  THE WHITE HOUSE 

FACT SHEET – Building a 21st Century Infrastructure: Modernizing Infrastructure Permitting

Building a 21st century infrastructure is a critical component of President Obama’s effort to accelerate economic growth, expand opportunity, and improve the competitiveness of the American economy. 
With the Highway Trust Fund projected to run out of money before this fall, President Obama has laid out his vision for a long-term infrastructure bill that would provide certainty for our state and local partners, support millions of jobs, and position our economy for lasting growth. The President is calling on Congress to pass a robust multi-year transportation bill before funding runs out and puts hundreds of thousands of jobs at risk.
The President has also been clear that he is committed to making 2014 a year of action and that while he wants to work with Congress wherever they are willing, he will not hesitate to use his power as President to act on his own to promote American economic growth and opportunity.
That is why, as part of its commitment to ensuring America has a first-class transportation infrastructure, the Administration is taking action to modernize the federal infrastructure permitting process, cutting through red tape and getting more timely decisions, while protecting our communities and the environment.  For projects that are approved, this means states, local and tribal governments, and private developers will be able to start construction sooner, create jobs earlier, and fix our nation’s infrastructure faster. 
Over the past 3 years, federal agencies have worked to expedite the review and permitting of over 50 major infrastructure projects, including bridges, transit, railways, waterways, roads, and renewable energy projects, and over 30 of those projects have completed the permitting process.  For example, federal agencies completed the permitting and review for the Tappan Zee Bridge in 1.5 years for a process that normally takes 3-5 years. 
Today, the Administration is releasing a comprehensive plan to accelerate and expand permitting reform government-wide.  The Administration’s plan adopts the best practices learned from the initial focus projects and calls on federal agencies to apply those practices going forward.  By turning best practice into common practice, we can improve the efficiency and effectiveness of the federal permitting and review of all major infrastructure projects.  These reforms include:   
  • Improving Interagency Coordination to Increase Decision Making Speed.  Major infrastructure projects often require multiple permits and reviews from federal agencies and bureaus responsible for ensuring projects are built safely.  To improve interagency coordination, the Administration will institutionalize best practices, including:
    • Requiring early coordination with the identification of a lead agency for each project.
    • Requiring a single coordinated project plan across all federal agencies.
    • Strengthening dispute resolution mechanisms to quickly resolve conflicts and make sure that interagency disputes do not hold back valid projects or quick decision making.
  • Synchronizing Reviews.  Federal agencies will also be moving from separate, consecutive reviews to synchronized, simultaneous reviews.  For example, the U.S. Coast Guard, the Army Corps of Engineers, and the Department of Transportation have launched a new partnership to synchronize their reviews for transportation projects.  By developing one environmental analysis that satisfies all three agencies, project timelines can be significantly reduced. 
  • Driving Accountability and Transparency through the Online Permitting Dashboard.  The Administration’s Federal Infrastructure Projects Permitting Dashboard supports coordination and synchronization of projects among federal agencies, and can also help create a more predictable process for project applicants.  The Administration is expanding the Dashboard to include additional projects, as well as new capabilities to track project schedules and metrics, increasing overall accountability and transparency.  As a first step, today we are adding 11 more Dashboard projects.  Each project will have a lead agency, a coordinated project plan across all federal agencies, and public tracking of progress to ensure milestones are met.  The Administration’s goal is for all major infrastructure projects to be included on the Dashboard to institutionalize and broaden the reach of this tool.
  • Launching an Interagency Permitting Center to Institutionalize Reform.  The Administration is standing up an interagency infrastructure permitting improvement center dedicated to implementing these reforms across agencies, as well as looking for new ways to modernize infrastructure permitting and reviews.  The President’s 2015 Budget includes funding for the center and the expansion of the Permitting Dashboard.
This effort to modernize infrastructure permitting is part of the Administration’s broader commitment to increase investment in U.S. infrastructure, as well as the President’s Management Agenda, which is dedicated to driving efficiency within government, spurring economic growth, and unlocking the full potential of the federal workforce. The Administration has also recently released the GROW AMERICA Act, a four-year, $302 billion transportation plan to modernize our nation’s roads, bridges, and public transportation, spur economic growth, and allow states and localities to make sound multi-year investments.  The GROW AMERICA Act includes reforms to further accelerate the approval and delivery of projects.  Together these efforts will help create the transportation infrastructure we need for the 21stcentury.
Background:
Modernizing Infrastructure Permitting
As major infrastructure projects are proposed, federal, state, local, and tribal entities work to consider and minimize potential impacts on safety and security, and environmental and community resources such as air, water, land, and historical and cultural resources.  For the majority of projects, these environmental review and permitting requirements are accomplished effectively and efficiently. However, for particularly large and complex infrastructure projects, multiple permits and approvals can lead inefficiencies and delay.
To begin addressing this challenge, the President issued a Presidential Memorandum on August 31, 2011 and an Executive Order on March 22, 2012 to add more transparency, accountability, and certainty into the permitting and review processes for major infrastructure projects.  Since then, federal agencies have worked to expedite the review and permitting of over 50 major projects, including bridges, transit, railways, waterways, roads, and renewable energy projects; over 30 of those projects have now completed the permitting process.  Progress on these projects is tracked publically through the Administration's online Federal Infrastructure Projects Permitting Dashboard.
Building off this work on specific projects, agencies have identified a set of best practices for efficient review and permitting, ranging from expanding information technology (IT) tools to synchronizing reviews for improving collaboration.  On May 17, 2013, the President issued aPresidential Memorandum charging an interagency Steering Committee with developing a plan to put these best practices to work in a systematic and permanent way across the government.  The Steering Committee is comprised of 12 agencies including the Advisory Council on Historic Preservation (ACHP), Department of Agriculture (USDA), Department of the Army (USACE), Department of Commerce represented by National Oceanic and Atmospheric Administration (NOAA), Department of Defense (DOD), Department of Energy (DOE), Department of Homeland Security represented by the U.S Coast Guard (Coast Guard), Department of Housing and Urban Development (HUD), Department of the Interior (DOI), Department of Transportation (DOT), Environmental Protection Agency (EPA), the Morris K. Udall and Stewart L. Udall Foundation (Udall) as well as the Office of Management and Budget (OMB) and Council on Environmental Quality (CEQ).    
An Implementation Plan to Guide Further Reforms
Today, the Administration’s Steering Committee on permitting issued an Implementation Plan, which identifies four over-arching strategies, 15 specific reforms, and nearly 100 near-term and long-term milestones to institutionalize and drive these reforms across Federal agencies.  The full plan will be available HERE following the President’s remarks.
The strategies are:
  • Strategy 1: Institutionalize Interagency Coordination and Transparency by formalizing interagency coordination, including: early identification of a lead agency; synchronizing separate federal review and permitting processes and decisions; standardizing the use of the Permitting Dashboard; and identifying best practices for early engagement with state, local, and tribal governments.
    Implementation of key reforms is underway.  For example, for the proposed Great Northern Transmission Line (GNTL), the Department of Energy initiated monthly meetings with other Federal agencies, Minnesota Power, and non-federal agencies to ensure early coordination, and Minnesota Power has held several public meetings.  Through these early coordination meetings, the company was able to narrow down potential corridors to two routes in their application which address agency concerns and will facilitate a more efficient review process.  Similarly, the Lynwood Link Extension project north of Seattle, WA and Federal Way Extension Light Rail Transit in South King County, WA have been working closely with state, local, and tribal governments and all involved federal agencies on the projects’ permitting and reviews to identify issues early in the process and avoid unnecessary delay.  These three projects, as well as eight others, were added to thePermitting Dashboard today.
  • Strategy 2:  Improve Project Planning, Siting, and Application Quality by developing tools to assist project applicants in planning for a major infrastructure project and support effective and timely decision-making by agency staff once the federal process begins.  For example, agencies are expanding access to data and map-based IT tools so that applicants have information about potential sensitive areas, such as the location of an endangered species- in advance of selecting a site.
  • Strategy 3: Improve Permitting Reviews and Mitigation by supporting agency staff in effectively implementing existing regulations, policies, and guidance, as well as identifying barriers. This strategy also includes policies to facilitate advance planning for the mitigation of project impacts and landscape- or watershed-level approaches to mitigation, where appropriate, as well as changes to cost-recovery authority for specific agencies as proposed in the President’s FY 2015 Budget. 
    For example, a number of agencies have recently expanded their use of programmatic environmental analyses, improving efficiency by leveraging a single analysis for multiple projects, and improving environmental outcomes by making it possible to plan for nearby projects with a better understanding of how they fit within a single landscape. For example, in 2012, the Department of the Interior released a Programmatic Environmental Impact Statement to provide a single blueprint for utility-scale solar energy permitting in six states.  Additionally, on April 10, 2014, the Secretary of the Interior issued a Department-wide landscape-scale mitigation strategy to encourage infrastructure development while protecting natural and cultural resources.  As part of the strategy, Interior will work closely with states, tribes, other federal agencies, and other stakeholders to identify regional conservation priorities that can benefit from coordinated landscape-scale mitigation.
  • Strategy 4: Drive Continued Improvement by establishing a team dedicated to implementation of the reforms across agencies, further analyzing agency processes, identifying additional reforms, and developing reliable metrics to track timeframes and outcomes for communities and the environment.
    To support these efforts, the President’s FY 2015 Budget includes funding to establish an Interagency Infrastructure Permitting Improvement Center (IIPIC) to be housed at the Department of Transportation.  The IIPIC will report to the interagency Steering Committee chaired by OMB in coordination with CEQ to ensure a government-wide perspective.  The Budget also includes funds to expand the Permitting Dashboard to track schedules for more major infrastructure projects, improving transparency and accountability.
    Additionally, the Administration established a Cross-Agency Priority (CAP) Goal on infrastructure permitting to drive progress, ensure transparency, and promote interagency coordination.  As a CAP Goal, this effort will receive regular, senior-level reviews, and progress will be tracked publicly on Performance.gov.
Building on Past Success:  Examples of Expedited Projects
The Implementation Plan builds on lessons learned from projects that the Administration has successfully expedited in recent years, at the President’s direction.  Some examples include: 
Replacement of the Tappan Zee Bridge will improve mobility, reduce congestion, and make travel safer on one of the east coast’s busiest routes.  This critical Hudson River crossing north of New York City carries approximately 138,000 vehicles per day between Westchester and Rockland counties, approximately 20 miles north of New York City.  The current bridge is nearly 60 years old and traffic volumes on the bridge have increased by about 30 percent since 1990.  Using the process established under the Presidential Memorandum in 2011, federal agencies completed the permitting and review in 1.5 years for a process that might otherwise take 3-5 years.  A number of key strategies contributed to agencies successfully working together to cut up to three years off the project.  These strategies included:  development of a coordinated timeline; use of concurrent, rather than sequential review – with a particular focus on increased coordination between the U.S. Department of Transportation (USDOT), the U.S. Coast Guard (USCG), and the U.S. Army Corps of Engineers (USACE); identification of aggressive targets; and increased transparency and accountability.
Other examples of infrastructure project permitting reviews that that have been accelerated under this initiative include:
The Greater Cleveland Regional Transit Authority's Little Italy – University Circle Rapid Stationproject involves the relocation of an existing station at E 120th Street and construction of a new rail transit station along with the rehabilitation of two transit track bridges at Mayfield Road. The project will integrate the station with the dense, high employment areas of Little Italy neighborhood and University Hospitals. The project replaces an obsolete station with a new, energy efficient building, while focusing on reusing existing community resources. The Department of Transportation worked closely with the Greater Cleveland Transit Authority to develop a streamlined and focused environmental assessment in line with the Council on Environmental Quality's guidance.
The Kennebec Bridge Replacement project replaces an 80 year-old moveable bridge at the end of its service life connecting Richmond and Dresden in Maine.  The new bridge will eliminate the need for a movable span, and will provide reliable access and regional mobility for both highway and marine traffic.  Through early and frequent collaboration, open dialogue to quickly resolve disputes, and negotiating and maintaining a project schedule across all Federal agencies involved, the agencies cut up to a year off the anticipated timeline for the permitting and review of the bridge.
Additional examples of projects can be found on the Administration's Permitting Dashboard.
Investing in a 21st Century Transportation Infrastructure
Transportation is a critical engine of the nation’s economy.  Investments in the national transportation network over the country’s history, and especially the last half-century, have been instrumental in developing the world’s largest economy and most mobile society.  The President proposes increasing infrastructure investment in order to create jobs, grow our economy, attract private investment, facilitate American exports, reduce commute times and increase access to jobs, make our roads and bridges safer, cut red tape, and increase the return on investment of transportation infrastructure for American taxpayers.  Just weeks ago, the Administration submitted to Congress the GROW AMERICA Act, a four-year proposal designed to achieve those objectives.  
GROW AMERICA ACT – Before this fall, the Highway Trust Fund – which funds a significant portion of the construction and repair of our surface transportation system – will be insolvent and just a few weeks later the authorities that establish our surface transportation programs will expire.  Without action, many states and communities may be forced to slow or stop work on critical transportation projects that our nation depends upon to move people, energy, and freight every day, putting jobs at risk and slowing investment in our future.  The Generating Renewal, Opportunity, and Work with Accelerated Mobility, Efficiency, and Rebuilding of Infrastructure and Communities throughout America Act, or GROW AMERICA Act, is a $302 billion, four year transportation reauthorization proposal that provides increased and stable funding for our nation’s highways, bridges, transit, and rail systems. The Administration’s proposal is funded by supplementing current revenues with $150 billion in one-time transition revenue from pro-growth business tax reform.  This will prevent Trust Fund insolvency for four years and increase investments to meet the transportation priorities and economic needs of communities across the country.  The proposal also includes a series of legislative proposals to improve project delivery and the federal permitting and regulatory review process
Building on Past Accomplishments – The President’s proposal builds on a series of major accomplishments in infrastructure over the past five years. Since the President took office, American workers have improved over 350,000 miles of U.S. roads and repaired or replaced over 20,000 bridges. The American Recovery and Reinvestment Act was the most significant transportation public works program since the New Deal, providing $48 billion to more than 15,000 projects across the country. Earlier this year, the President announced $600 million in competitive TIGER grants to fund innovative transportation projects around the country.  Notably, the President’s FY 2015 Budget proposes a new America Fast Forward (AFF) bonds program that would build upon and expand a successful program created in the Recovery Act to attract private capital for infrastructure investments.
Leveraging Private Sector Investment – In addition to the need for smart public investment in our shared transportation system, the Administration is committed to leveraging private sector investment to further expand infrastructure investment.  The GROW AMERICA Act proposes a range of measures to attract more investment in infrastructure, including expanding financing options under the TIFIA Program, which leverages federal dollars by facilitating private participation in transportation projects and encouraging innovative mechanisms that help advance projects more quickly.  As part of the FY 2015 Budget, the Administration has also proposed a National Infrastructure Bank, as well as changes to tax rules to encourage greater private investment. 

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