WASHINGTON – U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) and Ben Cardin and Chris Van Hollen (both D-MD) released on the following statement on the findings of a U.S. Government Accountability Office (GAO) report regarding Washington Metropolitan Area Transit Authority’s (WMATA) capital planning and maintenance program: 

“We requested the GAO study because we were concerned – after multiple safety lapses – about WMATA’s capital funding of and processes for performing maintenance work and replacing capital assets. As their audit found, putting in place clear project ranking methodology, measuring program performance, and developing an accurate inventory of assets will all be critical to improving performance of the Metro system. We appreciate GAO’s work, as well as WMATA’s ongoing efforts to address these recommendations. We plan to give this information careful consideration as we move forward to introduce important WMATA legislation in the coming weeks.”

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WASHINGTON – Today, U.S. Sen. Mark R. Warner (D-VA) sent a letter to Facebook CEO Mark Zuckerberg, raising concerns about reports indicating efforts by the company to monitor users’ device activity without fully disclosing Facebook’s involvement or the purposes of the data-gathering.

On January 29, the online outlet TechCrunch reported that under the auspices of partnerships with beta-testing firms, Facebook secretly paid users aged 13 to 35 to sell their privacy by installing  a “Facebook Research” VPN that lets the company suck in users’ phone and web activity. Earlier reporting from the Wall Street Journal had previously revealed the existence of a similar surveillance app that Facebook utilized to track user activity and neutralize potential competitors.

“In both the case of Onavo and the Facebook Research project, I have concerns that users were not appropriately informed about the extent of Facebook’s data-gathering and the commercial purposes of this data collection. Facebook’s apparent lack of full transparency with users – particularly in the context of ‘research’ efforts – has been a source of frustration for me,” Warner told Zuckerberg.

He added, “In large part for this reason, I am working on legislation to require individualized, informed consent in all instances of behavioral and market research conducted by large platforms on users. Fair, robust competition serves as an impetus for innovation, product differentiation, and wider consumer choice.”

Sen. Warner posed a series of questions for Zuckerberg regarding the company’s decision to track user data, including:

• Do you think any user reasonably understood that they were giving Facebook root device access through the enterprise certificate? What specific steps did you take to ensure that users were properly informed of this access? 
• Do you think any user reasonably understood that Facebook was using this data for commercial purposes, including to track competitors?
• Will you release all participants from the confidentiality agreements Facebook made them sign?
• As you know, I have begun working on legislation that would require large platforms such as Facebook to provide users, on a continual basis, with an estimate of the overall value of their data to the service provider. In this instance, Facebook seems to have developed valuations for at least some uses of the data that was collected (such as market research). This further emphasizes the need for users to understand fully what data is collected by Facebook, the full range of ways in which it is used, and how much it is worth to the company. Will you commit to supporting this legislation and exploring methods for valuing user data holistically?
• Will you commit to supporting legislation requiring individualized, informed consent in all instances of behavioral and market research conducted by large platforms on users?

Last year, Sen. Warner called on the social media companies to work with Congress and provide feedback on ideas he put forward in a white paper discussing potential policy solutions to challenges surrounding social media, privacy, and data security. He plans to introduce legislation in early 2019.

The text of the letter appears below. A copy of the letter is also available here.

Mark Zuckerberg
Chairman and Chief Executive Officer
Facebook, Inc.
1 Hacker Way
Menlo Park, CA 94025

Dear Mr. Zuckerberg:

I write to express concerns about allegations of Facebook’s latest efforts to monitor user activity. On January 29th, TechCrunch revealed that under the auspices of partnerships with beta testing firms, Facebook had begun paying users aged 13 to 35 to install an enterprise certificate, allowing Facebook to intercept all internet traffic to and from user devices.  According to subsequent reporting by TechCrunch, Facebook relied on intermediaries that often “did not disclose Facebook’s involvement until users had begun the signup process.” Moreover, the advertisements used to recruit participants and the “Project Disclosure” make no mention of Facebook or the commercial purposes to which this data was allegedly put.

This arrangement comes in the wake of revelations that Facebook had previously engaged in similar efforts through a virtual private network (VPN) app, Onavo, that it owned and operated. According to a series of articles by the Wall Street Journal, Facebook used Onavo to scout emerging competitors by monitoring user activity – acquiring competitors in order to neutralize them as competitive threats, and in cases when that did not work, monitor usage patterns to inform Facebook’s own efforts to copy the features and innovations driving adoption of competitors’ apps.  In 2017, my staff contacted Facebook with questions about how Facebook was promoting Onavo through its Facebook app – in particular, framing the app as a VPN that would “protect” users while omitting any reference to the main purpose of the app: allowing Facebook to gather market data on competitors.

Revelations in 2017 and 2018 prompted Apple to remove Onavo from its App Store in 2018 after concluding that the app violated its terms of service prohibitions on monitoring activity of other apps on a user’s device, as well as a requirement to make clear what user data will be collected and how it will be used. In both the case of Onavo and the Facebook Research project, I have concerns that users were not appropriately informed about the extent of Facebook’s data-gathering and the commercial purposes of this data collection.

Facebook’s apparent lack of full transparency with users – particularly in the context of ‘research’ efforts – has been a source of frustration for me. As you recall, I wrote the Federal Trade Commission in 2014 in the wake of revelations that Facebook had undertaken a behavioral experiment on hundreds of thousands of users, without obtaining their informed consent. In submitted questions to your Chief Operating Officer, Sheryl Sandberg, I once again raised these concerns, asking if Facebook provided for “individualized, informed consent” in all research projects with human subjects – and whether users had the ability to opt out of such research. In response, we learned that Facebook does not rely on individualized, informed consent (noting that users consent under the terms of the general Data Policy) and that users have no opportunity to opt out of being enrolled in research studies of their activity.  In large part for this reason, I am working on legislation to require individualized, informed consent in all instances of behavioral and market research conducted by large platforms on users. 

Fair, robust competition serves as an impetus for innovation, product differentiation, and wider consumer choice. For these reasons, I request that you respond to the following questions:

1.  Do you think any user reasonably understood that they were giving Facebook root device access through the enterprise certificate? What specific steps did you take to ensure that users were properly informed of this access? 
2. Do you think any user reasonably understood that Facebook was using this data for commercial purposes, including to track competitors?
3. Will you release all participants from the confidentiality agreements Facebook made them sign?
4. As you know, I have begun working on legislation that would require large platforms such as Facebook to provide users, on a continual basis, with an estimate of the overall value of their data to the service provider. In this instance, Facebook seems to have developed valuations for at least some uses of the data that was collected (such as market research). This further emphasizes the need for users to understand fully what data is collected by Facebook, the full range of ways in which it is used, and how much it is worth to the company. Will you commit to supporting this legislation and exploring methods for valuing user data holistically?
5. Will you commit to supporting legislation requiring individualized, informed consent in all instances of behavioral and market research conducted by large platforms on users?

I look forward to receiving your responses within the next two weeks. If you should have any questions or concerns, please contact my office at 202-224-2023.

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WASHINGTON—U.S. Senators Bill Cassidy, M.D. (R-LA), and Mark Warner (D-VA) today released a draft version of the Patient Affordability, Value and Efficiency Act, bipartisan legislation they are developing to facilitate new and innovative payment models for pharmaceuticals and other medical services so that patients have better access to treatment, the health care market is more efficient, and drug prices are more affordable. 

Cassidy and Warner are requesting feedback from all interested parties to ensure highly technical changes enabling value-based arrangements are thoroughly vetted, and that important oversight protections are preserved. Submissions should be emailed to Dr. Cassidy’s office at paveact@cassidy.senate.gov and to Sen. Warner’s office at paveact@warner.senate.gov by February 19, 2019.

“To lower the cost of health care, we should leverage new ideas and new approaches, and I’m proud Louisiana is helping to lead the way,” said Dr. Cassidy. “We are crafting this legislation to implement innovative, market-based solutions to increase patient access to care and make medications more affordable.”

“In recent years, skyrocketing prescription drug prices and health costs have made it more difficult for Americans and communities to access lifesaving care,” said Sen. Warner. “That’s why I’ve teamed up with Sen. Cassidy to re-align the way Americans are charged for prescription drugs and other health care costs. With input from experts and key stakeholders, we’ll be able to ensure that pharmaceutical companies and medical device manufacturers are incentivized to develop more effective treatments at a better price.”

The Cassidy-Warner proposal increases the ability to move toward value-based arrangements, which directly connect pricing for prescription drugs and medical devices to the clinical effectiveness of their products. Current healthcare law unintentionally restricts the ability of insurers, hospitals and clinics to pay for prescription drugs or medical devices based upon their proven effectiveness. The Patient Affordability, Value and Efficiency Act would provide for narrowly tailored exemptions to help drive down prescription drug and medical device costs while incentivizing manufacturers to create products that effectively treat patients.

In October, Dr. Cassidy coauthored an article for the Journal of the American Medical Association(JAMA) with Mark Trusheim of the Massachusetts Institute of Technology and Dr. Peter Bach of the Memorial Sloan Kettering Cancer Center explaining their idea for a “Netflix” model to pay for drugs. This draft legislation restructures current barriers to allow the implementation of these kinds of innovative models. 

Cassidy and Warner’s efforts are supported by a number of patient groups:

• CureDuchenne
• Cure Sanfilippo Foundation
• Debra of America
• Friedreich’s Ataxia Research Alliance
• Global Genes - Allies in Rare Disease
• MLD Foundation
• MTM-CNM Family Connection
• Myotonic Dystrophy Foundation
• Parent Project Muscular Dystrophy – PPMD
• Prevent Cancer Foundation
• Power for Parkinson’s
• Soft Bones, The Hypophosphatasia Foundation
• The Michael J. Fox Foundation
• The Joshua Frase Foundation

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WASHINGTON – Today, U.S. Sen. Mark R. Warner (D-VA) urged the U.S. General Services Administration (GSA) to expedite the building of a critical outpatient clinic for veterans in Hampton Roads, one of the fastest-growing veteran populations in the country. In his letter to the GSA, Sen. Warner requested updates on the procurement and construction of the building and expressed disappointment with the project’s significant delays. 

The 155,000 square foot outpatient facility – which is meant to alleviate demand in the region – is the result of a successful bipartisan effort spearheaded by Sen. Warner to approve 28 overdue Department of Veterans Affairs (VA) medical facility leases, including two outpatient clinics in Virginia.

“In our most recent meeting, you stated that the GSA was still identifying potential properties and sites to ensure sufficient competition. And that following this, a number of steps would still need to be undertaken, including another Congressional authorization, before the lease could be awarded and design and construction could occur,” wrote Sen. Warner. “I cannot stress enough how important it is to me, and the veterans I represent in the Hampton Roads area, that every effort be made to expedite the procurement and building process for this facility.” 

This facility is much needed in the Hampton Roads area; over the next 20 years, enrollees are expected to increase by 44 percent and outpatient workload to increase by more than 70 percent. While the veteran population in Virginia is predicted to grow more than two percent over the next eight years, enrollees at the Hampton VA are expected to rise approximately 16 percent within the same timeframe.

Sen. Warner continued, “I am concerned that VA facilities in the area are already stretched thin, and additional years without the relief of this outpatient clinic puts strains on these veterans and their families, who rely on the services provided for them at these facilities. To think that this building will be built approximately ten years after the need was identified is a disservice to our veterans and reflects poorly on the U.S. government. We must do better.” 

The GSA’s latest timeline states that its completion may take until 2023, with facilities not operating until late 2023 or early 2024, more than six years after the lease was approved.    

In his letter, Sen. Warner also asked the GSA to identify specific phases of the timeline where the process can be accelerated and reiterated his commitment to move this project forward in any way possible.

A copy of the letter is available here and below.

Ms. Emily W. Murphy

Administrator

U.S. General Services Administration (GSA)

1800 F Street, N.W.

Washington, D.C. 20405-0001

Dear Administrator Murphy:

Following my meeting in December 2018 with you and Commissioner Dan Mathews, I am writing to ask for an update on the lease procurement process for the VA’s new outpatient clinic in Hampton Roads. I am increasingly concerned that the project is moving far too slowly for our veterans in the Commonwealth.   

As you know, Hampton Roads is home to one of the largest and fastest growing veteran populations in the country and urgently needs a new outpatient clinic to deliver services to the growing veteran population. In August 2017, after years of spearheading a bipartisan effort, my colleagues and I were finally able to achieve authorization of the overdue lease for the Hampton Roads facility as part of the larger VA Choice and Quality Employment Act of 2017. 

In order to expedite the process for the construction, it was decided that the General Services Administration (GSA) would lead the procurement and construction of the facility. I was dismayed to hear that the GSA’s newest timeline states that the facility may not be completed until 2023, and potentially not open for business until late 2023 or early 2024.  This timeline is unacceptable, and we must find ways to build this needed facility more quickly.  

In our most recent meeting, you stated that the GSA was still identifying potential properties and sites to ensure sufficient competition. And that following this, a number of steps would still need to be undertaken, including another Congressional authorization, before the lease could be awarded and design and construction could occur.    

I cannot stress enough how important it is to me, and the veterans I represent in the Hampton Roads area, that every effort be made to expedite the procurement and building process for this facility. I am concerned that VA facilities in the area are already stretched thin, and additional years without the relief of this outpatient clinic puts strains on these veterans and their families, who rely on the services provided for them at these facilities. To think that this building will be built approximately ten years after the need was identified is a disservice to our veterans and reflects poorly on the U.S. government.  We must do better.

I ask that you provide an update on the process and most importantly, to identify specific phases of the timeline where the process can be expedited. We made a commitment to our veterans, and it is my hope that they will not have to wait another five years to receive the services they deserve. I also stand ready to help in any way to move this forward. 

Sincerely,

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WASHINGTON – U.S. Sen. Mark R. Warner (D-VA), Vice Chairman of the Senate Select Committee on Intelligence, issued the below statement after the Department of Justice charged Huawei with the theft of trade secrets, sanctions violations and obstruction of justice: 

“There is ample evidence to suggest that no major Chinese company is independent of the Chinese government and Communist Party – and Huawei, which China’s government and military tout as a ‘national champion,’ is no exception. It has been clear for some time that Huawei poses a threat to our national security, and I applaud the Trump Administration for taking steps to finally hold the company accountable. 

“This is also a reminder that we need to take seriously the risks of doing business with companies like Huawei and allowing them access to our markets, and I will continue to strongly urge our ally Canada to reconsider Huawei’s inclusion in any aspect of its 5G infrastructure.

“This action further underscores the need for a coordinated, whole-of-government and whole-of-society approach to dealing with the threat posed by an increasingly forceful China. I will continue to urge the Trump Administration to make China’s rampant IP theft a top priority in ongoing trade negotiations, and will continue pressing for a more coherent, cohesive national strategy to protect U.S. technology and ensure U.S. technological competitiveness.” 

Sen. Warner, a former telecommunications executive and entrepreneur, has long expressed concerns about the risks to our national security posed by Chinese-controlled telecom companies.

Earlier this month, Sen. Warner and Sen. Marco Rubio (R-FL) introduced bipartisan legislation to create an Office of Critical Technologies & Security at the White House responsible for coordinating across agencies and developing a long-term, whole-of-government strategy to protect against state-sponsored technology theft and risks to critical supply chains. 

On October 12, 2018, Sen. Warner and Sen. Rubio sent a letter to Canadian Prime Minister Justin Trudeau urging his country to reconsider Huawei’s inclusion in any aspect of Canada’s 5G development, introduction, and maintenance. 

In September, Sen. Warner joined several colleagues to introduce the ZTE Enforcement Review and Oversight (ZERO) Act. The bipartisan bill would enforce full compliance by ZTE—a Chinese state-directed telecommunications firm that repeatedly violated U.S. laws – with all probationary conditions outlined in a Commerce Department deal with the company that lifted a denial order banning the export of U.S. parts and components.

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WASHINGTON, D.C. - Today, U.S. Senators Mark Warner and Tim Kaine announced $2,238,496 in federal funding through the U.S. Department of Health and Human Services (HHS) for the Loudoun Community Health Center. This funding will enable Loudoun County to provide accessible, quality health care to patients regardless of their ability to pay.

“We’re pleased to announce federal funding to ensure the Loudoun Community Health Center can continue to offer valuable care to those in need of support,” the Senators said. “The Health Center helps ensure that patients of any economic background can access the medical, dental, and mental health services they need.” 

This funding was awarded through HHS’s Health Resources & Services Administration Health Center Program. More than 27 million people in the U.S. rely on HRSA-funded health centers for affordable primary health care.

WASHINGTON, D.C. - Today, U.S. Senators Mark Warner and Tim Kaine announced $5,788,425 in federal funding through the U.S. Department of Health and Human Services (HHS) to support HIV relief efforts in Norfolk. The goal of the project is to enhance access to effective, cost efficient, community-based care for low-income individuals and families with HIV.

“We are pleased to announce federal funding to help those with HIV in Norfolk get the care they deserve,” the Senators said.  

The funding was awarded through HHS’s HIV Emergency Relief Project Grant program. The grant program provides funding to communities that have been the most affected by the HIV epidemic in order to improve access to comprehensive care and increase support for minority populations.

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WASHINGTON – Following concerns raised by Virginia’s mayors, Sen. Warner inquired today whether lenders plan to extend and expand the assistance being offered to federal workers and contractors affected by the shutdown. In letters addressed to the six largest consumer banks and credit unions in the DMV region, the Senator also asked about any steps being taken to ensure that affected individuals are informed of their options. 

“The consequences of even a single missed paycheck—let alone two—can be severely devastating. Some federal workers and contractors don’t know how they will put food on the table, pay their electrical bills, or pay their mortgage,” wrote Sen. Warner. “I continue to hear from those affected by the shutdown that they feel like they are without options to address their most pressing financial obligations while they wait for an end to the shutdown. What steps have you taken to publicize the assistance you are offering and how have you sought to ensure that those affected by the shutdown are aware of the assistance?”

“Although affected federal employees are, at the very least, assured back pay, many still face trouble making ends meet until paychecks resume, and federal contractors see no relief in sight,” he continued. “The financial pain felt by all of these workers will increase exponentially as the shutdown continues.  Do you have any plans to increase the level of assistance to affected federal workers and contractors?” 

As the longest government shutdown in U.S. history continues, more federal workers and contractors find themselves struggling financially. Many banks have already taken steps to help federal workers and contractors, such as making no-fee personal loans available, offering mortgage and loan forbearance, deferring payment obligations, and waiving or adjusting fees. As many federally-connected families confront the possibility of missing a second paycheck this Friday, they face an increasing financial pressure that may render many of them unable to pay their rent, mortgage or other critical personal obligations. 

On Monday, Senator Warner hosted a phone call with Virginia’s mayors to hear the most pressing local concerns triggered by the government shutdown. Many of the mayors expressed worry that while cities were able to offer forbearance on municipal costs like water and electrical bills, that with a second missed paycheck fast approaching, many more of their constituents would soon be struggling to afford their housing costs and private sector loan payments such as mortgages.  

In addition to asking about extended assistance for those affected by the shutdown, Sen. Warner also acknowledged and thanked the CEOs for measures already in place. Letters were sent to the Chief Executive Officers of Bank of America Corp., Citigroup,JPMorgan Chase & Co., U.S. Bancorp, Wells Fargo and Navy Federal Credit Union.

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WASHINGTON – Sen. Mark R. Warner (D-VA) led Sens. Tim Kaine (D-VA), Ben Cardin (D-MD) and Chris Van Hollen (D-MD) today in urging the U.S. Office of Personnel Management (OPM) to do everything in its power to prevent the termination of dental and vision insurance coverage for federal employees affected by the partial government shutdown. In a letter to OPM, the Senators stood up for the federal employees who risk losing their coverage unless they pay out of pocket for premiums that would usually be deducted from their paychecks. 

“Your guidance to employees has been insufficient and fails to account for the significant financial strain already placed on these employees and their families,” wrote the Senators. “If the status quo persists, you are undoubtedly risking the health and wellness of federal workers, their spouses, and children enrolled in federal vision and dental plans. We have already heard from individuals who are worried about what this will mean for them and their health care needs.”  

“We believe it is unreasonable to expect unpaid employees to take on this financial responsibility,” continued the Senators. “Instead, we ask that you immediately work with federal contractors administering these dental and vision benefits to develop alternative payment arrangements that ensure continuous coverage at no risk of terminated benefits. In addition, we ask that – upon any such agreement – you immediately reissue guidance to employees who are in jeopardy of having their benefits terminated.”

OPM recently announced that many federal employees enrolled in the Federal Employees Dental and Vision Insurance Program will be billed directly for their premiums after the date of their second missed pay period – as soon as this Friday. This notice places additional financial pressure on strained government employees who are already struggling to pay for expenses like childcare and mortgages. 

The full text of the letter is available here and below.

January 23, 2019

Margaret Weichert

Acting Director

U.S. Office of Personnel Management

1900 E Street NW, Washington, DC 20415

Dear Acting Director Weichert: 

We write today concerning federal employees that may lose their dental and vision health insurance benefits as a result of the government shutdown. As you may know, if the current lapse in government funding continues more than 800,000 federal employees will miss their second pay period. From this time forward – federal employees with dental and vision insurance must also begin to pay their premiums directly to BENEFEDS or risk having their coverage terminated.  

Recent guidance from the U.S. Office of Personnel Management to federal employees’ enrolled in the BENEFEDS dental and vision plans states:

“Payroll deductions will cease for any employee that does not receive pay. BENEFEDS will generate a bill to enrollees for premiums when no payment is received for two consecutive pay periods. The enrollee should pay premiums directly billed to him/her on a timely basis to ensure continuation of coverage.”

The above guidance will require federal employees to tap into their savings and pay these costs or risk having their coverage terminated. We are alarmed that unpaid federal employees will be required to incur this additional financial hardship during a time when they can least afford it. This is unacceptable.

Your guidance to employees has been insufficient and fails to account for the significant financial strain already placed on these employees and their families. If the status quo persists, you are undoubtedly risking the health and wellness of federal workers, their spouses, and children enrolled in federal vision and dental plans. We have already heard from individuals who are worried about what this will mean for them and their health care needs. We also understand that certain insurers are willing to allow individuals to continue their coverage without payment, and we encourage OPM to continue to work with all insurers to help members maintain continuity of coverage. 

We believe it is unreasonable to expect unpaid employees to take on this financial responsibility. Instead, we ask that you immediately work with federal contractors administering these dental and vision benefits to develop alternative payment arrangements that ensure continuous coverage at no risk of terminated benefits. In addition, we ask that – upon any such agreement – you immediately reissue guidance to employees who are in jeopardy of having their benefits terminated. 

Thank you for your attention to this letter. If our offices can be further helpful in resolving this matter please do not hesitate to contact us. 

Sincerely,

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WASHINGTON – U.S. Sen. Mark R. Warner (D-VA), a member of the Senate Finance, Banking, Budget and Rules committees and Vice Chairman of the Senate Select Committee on Intelligence, today wrote to the heads of several federal Departments raising questions about the Trump Administration’s compliance with the Antideficiency Act, which prohibits federal agencies from obligating or expending federal funds not appropriated by Congress. Now in its 32nd day, the current shutdown is the longest in American history, and questions are being raised about the seemingly ad hoc way in which the Trump Administration is picking “winners and losers” during the shutdown – determining which employees will be furloughed and which employees will be deemed “excepted,” expected to continue working without pay to keep certain government services operational. 

Previous presidential administrations have applied a narrow interpretation to determine which employees are considered essential during a shutdown, restricting such a designation only to employees whose jobs were necessary to avoid “emergencies involving the safety of human life or the protection of property.”

“Government shutdowns are never good, the current one being no exception, and they never produce positive results. Our hard-working federal employees deserve to be paid for their work, and to be paid in a timely manner rather than waiting weeks, months, or even years for a shutdown to end. Rather than finding ways to minimize the impact of the current government shutdown, and straining legal bounds to do so, it is my strong belief that the best way to fix the current situation is to simply end the shutdown,”Sen. Warner wrote to several Trump Administration officials.

Press reports indicate that Department heads under the Trump Administration have taken a questionable and inconsistent approach towards determining what programs will continue to operate under the shutdown:

• For example, at the Department of the Interior, furloughed employees from the Bureau of Ocean Energy Management were recalled after several weeks in order to work on upcoming offshore oil and gas lease sales;
• During the shutdown, the State Department proceeded with holding a conference for all U.S. chiefs of mission and ambassadors abroad in Washington, D.C. from January 15-18, requiring many State Department employees to work without pay to organize and work at the conference; moreover, the Department recently recalled all furloughed employees in order to carry out the Department's mission without providing additional explanation on how this complied with the Antideficiency Act and why that move was needed to avoid imminent threats to human life or protection of property;
• More than three weeks after the shutdown began, the Department of Transportation recalled  thousands of employees to perform work such as air-safety checks, and routine activities such as approving new aircraft for commercial carriers’ fleets and new flight routes;
• At the Treasury Department and Internal Revenue Service (IRS), employees were recalled, reportedly at the behest of the mortgage industry, to conduct income verification checks, and to process tax refunds, even though both activities were initially designed as non-excepted activities under the IRS’s shutdown plans;
• The Department of Agriculture recalled 2,500 Farm Service Agency employees to help farmers with existing loans and tax paperwork, among other tasks. 

Letters were sent to the Interior, State, Treasury, Agriculture, and Transportation Departments, as well as the IRS. 

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WASHINGTON – Sen. Mark R. Warner (D-VA), along with Sens. Tim Kaine (D-VA), Ben Cardin (D-MD) and Chris Van Hollen (D-MD), wrote to Washington Metropolitan Area Transit Authority (WMATA) General Manager and CEO Paul J. Wiedefeld to express safety and security concerns regarding the possibility that Metro may award a contract to build its newest 8000-series rail cars to a Chinese manufacturing company.  

The Senators wrote, “In the transportation sector, there has been increased interest from particular foreign governments to participate in state and local procurements, including those to manufacture and assemble rail cars for transit agencies around the country. While other cities have welcomed this kind of investment, we have serious concerns about similar activity happening here in our nation’s capital, particularly when it could involve foreign governments that have explicitly sought to undermine our country’s economic competitiveness and national security. As Metro continues its procurement process for the 8000-series rail car, we strongly urge you to take the necessary steps to mitigate growing cyber risks to these cars.” 

The Washington Post recently reported that “the state-owned China Railway Rolling Stock Corp., or CRRC, has used bargain prices to win four of five large U.S. transit rail car contracts awarded since 2014. The company is expected to be a strong contender for a Metro contract likely to exceed $1 billion for between 256 and 800 of the agency's newest series of rail cars.”

In their letter, the Senators noted that Metro’s 8000-series rail car is expected to incorporate safety and communications technology such as automatic train control, network and trainline control, video surveillance, monitoring and diagnostics, and data interface with WMATA, among other potentially vulnerable mechanisms that could allow a foreign spy, terrorist, or other rogue actor to break in and take control of Metro’s systems to conduct foreign espionage or impact operations. 

“Many of these technologies could be entirely susceptible to hacking, or other forms of interference, if adequate protections are not in place to ensure they are sourced from safe and reliable suppliers. In a Q&A document posted as part of the RFP, WMATA noted that there are ‘no Buy America or DBE requirements for this contract,’ raising further questions about what protections will be in place to ensure the integrity of these components,” the Senators told Wiedefeld.

The Senators then posed a series of questions regarding Metro’s plans for the rail car procurement process, including:

• While we are aware that nearly all passenger railcar manufacturers in the United States are foreign-owned, what steps is WMATA taking to ascertain and mitigate against the involvement of foreign governments in this procurement?

• Has Metro received briefings from the Department of Homeland Security or related agencies on the attempts of foreign adversaries to infiltrate our critical infrastructure and the significant cyber vulnerabilities that can stem from them doing so?

• Will Metro take a company’s ties to foreign governments with a record of industrial and cyber espionage into account when evaluating bids, particularly if such company is a state-owned enterprise?

• If so, will Metro allow sensitive component parts of these railcars to be sourced from such countries?

• Will Metro consult with the Department of Defense prior to awarding a contract to confirm whether the Department would permit railcars built by certain foreign governments to operate through the Pentagon?

• We understand that Metro has announced that the RFP will be amended to include baseline cybersecurity protocols. Please provide information about these protocols and how they are being developed. How will Metro evaluate bidder responses to this forthcoming cybersecurity addendum? Will Metro review these responses with the Department of Transportation (USDOT) and the Department of Homeland Security, and seek the concurrence of USDOT and DHS in its cybersecurity evaluations before making any final contract award in this procurement? What specific requirements will the addendum include to ensure that any communications technology included in the rail car procurement is protected from being exploited for surveillance purposes? 

The Senators concluded, “U.S. national security should be of the utmost importance as WMATA considers bids for its procurement of 8000-series rail cars, and we therefore request that you consider submitting an addendum to the earlier RFP [Request for Proposals] to ensure that the necessary steps are taken to protect against the aforementioned concerns.”

The full text of the letter is available here. 

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