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Transcripts, What Information Were They Giving COMMONWEALTH OF PENNSYLVANIA HOUSE OF REPRESENTATIVES APPROPRIATIONS COMMITTEE BUDGET HEARING STATE CAPITOL HARRISBURG, PA MAIN CAPITOL HOUSE CHAMBER WEDNESDAY, FEBRUARY 17, 2021 1:15 P.M. PRESENTATION OF THE DEPARTMENT OF STATE BEFORE: HONORABLE STAN SAYLOR, MAJORITY CHAIRMAN HONORABLE MATT BRADFORD, MINORITY CHAIRMAN HONORABLE ROSEMARY BROWN HONORABLE LYNDA SCHLEGEL-CULVER HONORABLE TORREN ECKER HONORABLE JONATHAN FRITZ HONORABLE KEITH GREINER HONORABLE DOYLE HEFFLEY HONORABLE JOHNATHAN HERSHEY HONORABLE LEE JAMES HONORABLE JOHN LAWRENCE HONORABLE ZACH MAKO HONORABLE NATALIE MIHALEK HONORABLE TIM O 'NEAL HONORABLE CLINT OWLETT HONORABLE CHRIS QUINN HONORABLE GREG ROTHMAN HONORABLE MEGHAN SCHROEDER HONORABLE JAMES STRUZZI HONORABLE JESSE TOPPER HONORABLE RYAN WARNER HONORABLE DAVE ZIMMERMAN HONORABLE AMEN BROWN HONORABLE DONNA BULLOCK HONORABLE MORGAN CEPHAS HONORABLE AUSTIN DAVIS HONORABLE ELIZABETH FIEDLER Pennsylvania House of Representatives Commonwealth of Pennsylvania 2 1 b e f o r e : (cont .) 2 HONORABLE MARTY FLYNN HONORABLE PATTY KIM 3 HONORABLE EMILY KINKEAD HONORABLE STEPHE N KINSEY 4 HONORABLE PETER SCHWEYER HONORABLE JOE WE BSTER 5 6 NON-COMMITTEE MEMBERS: 7 HONORABLE ROB KAUFFMAN HONORABLE BRIAN SIMS 8 9 COMMITTEE STAFF PRESENT: 10 DAVID DONLEY MAJORITY EXECUTIVE DIRECTOR 11 RITCHIE LaFAVER MAJORITY DEPUTY EXECUTIVE DIRECTOR 12 ANN BALOGA MINORITY EXECUTIVE DIRECTOR 13 TARA TREES MINORITY CHIEF COUNSEL 14 15 16 17 18 19 20 21 22 23 24 25 3 1 I N D E X 2 TESTIFIERS 3 ~k ~ k ~k 4 5 VERONICA DEG RA FFENREID ACTING SECRETARY, 6 DEPARTMENT OF STATE.................................. 4 7 SARI STEVENS EXECUTIVE DEPUTY DIRECTOR, 8 DEPARTMENT OF STATE.................................. # 9 JONATHAN MARKS DEPUTY SECRETARY, 10 ELECTIONS & COMMISSIONS DEPARTMENT OF STATE................................ 28 11 KALONJI JOHNSON 12 COMMISSIONER, BUREAU OF PROFESSIONAL & OCCUPATIONAL AFFAIRS 13 Department OF STATE................................ 45 14 KIM MATTIS DIRECTOR, 15 BUREAU OF FINANCE & OPERATIONS Department OF STATE................................ 62 16 KRAIG KIEHL 17 DEPUTY SECRETARY, REGULATORY PROGRAMS 18 DEPARTMENT OF STATE................................ 79 19 20 21 SUBMITTED WRITTEN TESTIMONY 22 A A j . 23 (See submitted written testimony and handouts online.) 24 25 4 1 P R O C E E D I N G S 2 3 MAJORITY CHAIRMAN SAYLOR: All right. 4 First, I want to announce that we will not be here 5 tomorrow. We have moved the hearing for the 6 Department of Community and Economic Development 7 to Monday afternoon. And d d a p will be -- the Drug 8 and Alcohol Bureau -- will be moved possibly to, I 9 believe it's Wednesday or Thursday. There will be 10 a follow-up on that. So we will not be here 11 tomorrow. So tomorrow's hearings are canceled. 12 With that, we'll move forward to Madam 13 Secretary. And I'm going to apologize ahead of 14 time in pronouncing your last name, but I' m going 15 to try. We have acting Secretary Veronica 16 Degraffenreid. And Madam Secretary, you may 17 correct me, if you would. And also, if you would, 18 introduce your team that is here today to provide 19 testimony if needed and/or response to questions. 20 And then, once you've done that, I will swear all 21 of you in. 22 Madam Secretary. 23 SECRETARY DEGRAFFENREID: If you guys can 24 hear me, I'm working on the audio. No audio right 25 now. 5 1 m a j o r i t y c h a i r m a n SAYLOR: We can hear 2 you. 3 SECRETARY DEGRAFFENREID: My audio is not 4 working. I can't hear. 5 m a j o r i t y c h a i r m a n SAYLOR: You can hear 6 us now? 7 SECRETARY DEGRAFFENREID: I can hear you 8 now. Sorry about that. 9 MAJORITY CHAIRMAN SAYLOR: No problem. 10 No problem. Take -­ 11 SECRETARY DEGRAFFENREID: All right. 12 MAJORITY CHAIRMAN SAYLOR: If you would, 13 introduce your individuals who are going to 14 participate with you today. And then I will swear 15 in all of you, and then we'll proceed to 16 questions. 17 SECRETARY DEGRAFFENREID: All right. So 18 again, I apologize. 19 Chairman Saylor, Chairman Bradford, and 20 members of the House Appropriations Committee, 21 good afternoon. Thank you for your invitation to 22 appear before the Committee to discuss the 23 Department of State's 2021 and 2022 budget. 24 Joining me today are Executive Deputy 25 Secretary Sari Stevens, Deputy Secretary Kraig 6 1 Kiehl, Deputy Secretary Jonathan Marks, and our 2 Bureau of Finance and Operations Director Kim 3 Mattis, and finally, Commissioner Kilonji Johnson. 4 So before we get started, I think it 5 would be appropriate for me to introduce myself a 6 little bit. 7 MAJORITY CHAIRMAN SAYLOR: Yes. 8 SECRETARY DEGRAFFENREID: Again, my name 9 is Veronica Degraffenreid. I'm acting Secretary 10 of the Department. And as many of you will be 11 aware, I was asked by Governor Wolf to serve in 12 the role beginning February 8th, just over a week 13 ago. I joined the Department a year ago, having 14 spent most of my prior professional career 15 administering elections in North Carolina. 16 For the past year, I have worked with the 17 county boards of elections in this State as they 18 sought to administer two elections in the face of, 19 you know, an unprecedented pandemic. And it's an 20 honor to be with you today. And I look forward to 21 serving with you as I serve in this new role. 22 MAJORITY CHAIRMAN SAYLOR: Thank you, 23 Madam Secretary. 24 I also want to announce to all of the 25 members that are here that a b c -27 will be granted 7 1 access to the floor for just a few minutes to take 2 photos. 3 At this point, Madam Secretary, if all of 4 your individuals would raise their right hand and 5 I will swear them in -- and you. 6 (Testifiers were sworn en masse.) 7 MAJORITY CHAIRMAN SAYLOR: Thank you, 8 Madam Secretary. 9 And with that, we will move to our first 10 questioner, which is Representative Torren Ecker. 11 representative e c k e r : Thank you, 12 Mr. Chairman. Jumped the gun there. 13 Thank you, Mr. Chairman. And welcome, 14 Madam Secretary. 15 I' m going to get right into something 16 that I think we need to address. And in reading 17 your testimony, I saw this was not mentioned in 18 there, so I'm going to bring it up right off the 19 bat. We all know that a constitutional amendment 20 that was passed out of both the House and the 21 Senate in two separate sessions was supposed to be 22 on the ballot -- was moving to be on the ballot 23 this spring for our sexual abuse victims. And 24 unfortunately, due to, really, a blunder of the 25 Department of State, that's not going to happen. 8 1 And I know there's been some discussion 2 as to, you know, there really hasn't been any 3 discussion as to why or how or -- and I know 4 there's investigations going on there, but to that 5 end, can you please explain to me just the process 6 in which these amendments are supposed to be 7 advertised and really what happened here? 8 SECRETARY DEGRAFFENREID: Sure. Thank 9 you. Thank you for that. 10 So you know, first, you know, on 11 information and belief, you know, it was a mistake 12 involving human error. And you're right, there is 13 an investigation. And it's important for me and 14 for this Department for that investigation to 15 continue. And we look forward to, you know, the 16 results. We look forward to any recommendations 17 that are made from that process. 18 Also, please note that this Department, 19 we recognize the gap. And we have developed a new 20 procedure, a step-by-step guide with new controls, 21 including additional tracking and notifications to 22 ensure similar failings, you know, absolutely do 23 not -- do not occur in the future. And so you 24 know, with that, I would just say that I' m 25 focusing, you know, on continuing this agency's 9 1 mission and looking to the future. And in fact, 2 you know, with respect to evaluating all of our 3 processes -­ 4 REPRESENTATIVE ECKER: Well, Madam 5 Secretary, if you don't mind -­ 6 SECRETARY DEGRAFFENREID: -- and 7 certainly, we want to do all of the things -­ 8 REPRESENTATIVE ECKER: If you don't mind, 9 Madam Secretary, could you just walk through the 10 procedure in which a constitutional amendment is 11 advertised or how many people are involved? 12 Can you just highlight that or the new 13 process that you put in place? 14 s e c r e t a r y degraffenreid : Sure. Give me 15 one second. Again, so our new process, our new 16 procedure is, you know, it's end to end. I mean, 17 from the beginning of when, like, a constitutional 18 amendment is first introduced, we wanted to 19 document all of the, you know, the things that 20 various owners would need to do in the process. 21 So there is a new process in place. 22 And if you give me one second, I will 23 just kind of highlight some of the things for you 24 specifically to that. 25 REPRESENTATIVE ECKER: Well, Madam 10 1 Secretary, while you're searching, I guess, I 2 mean, while there's an active investigation going 3 on, how are you able to update the process without 4 knowing what the blunder is? 5 I guess, is this something that's going 6 to change? So could you shed some light on that? 7 s e c r e t a r y degraffenreid : So I mean, the 8 process, you know, is also set by statute, but 9 there's some internal controls and processes that 10 we put into place.
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