VENEZUELA AT A CROSSROADS HEARING BEFORE THE COMMITTEE ON FOREIGN AFFAIRS HOUSE OF REPRESENTATIVES ONE HUNDRED SIXTEENTH CONGRESS FIRST SESSION FEBRUARY 13, 2019 Serial No. 116–4 Printed for the use of the Committee on Foreign Affairs ( Available: Ahttp://www.foreignaffairs.house.gov/, http://docs.house.gov, or http://www.govinfo.gov U.S. GOVERNMENT PUBLISHING OFFICE 35–362PDF WASHINGTON : 2019 COMMITTEE ON FOREIGN AFFAIRS ELIOT L. ENGEL, New York, Chairman BRAD SHERMAN, California MICHAEL T. MCCAUL, Texas, Ranking GREGORY W. MEEKS, New York Member ALBIO SIRES, New Jersey CHRISTOPHER H. SMITH, New Jersey GERALD E. CONNOLLY, Virginia STEVE CHABOT, Ohio THEODORE E. DEUTCH, Florida JOE WILSON, South Carolina KAREN BASS, California SCOTT PERRY, Pennsylvania WILLIAM KEATING, Massachusetts TED S. YOHO, Florida DAVID CICILLINE, Rhode Island ADAM KINZINGER, Illinois AMI BERA, California LEE ZELDIN, New York JOAQUIN CASTRO, Texas JIM SENSENBRENNER, Wisconsin DINA TITUS, Nevada ANN WAGNER, Missouri ADRIANO ESPAILLAT, New York BRIAN MAST, Florida TED LIEU, California FRANCIS ROONEY, Florida SUSAN WILD, Pennsylvania BRIAN FITZPATRICK, Pennsylvania DEAN PHILLPS, Minnesota JOHN CURTIS, Utah ILHAN OMAR, Minnesota KEN BUCK, Colorado COLIN ALLRED, Texas RON WRIGHT, Texas ANDY LEVIN, Michigan GUY RESCHENTHALER, Pennsylvania ABIGAIL SPANBERGER, Virginia TIM BURCHETT, Tennessee CHRISSY HOULAHAN, Pennsylvania GREG PENCE, Indiana TOM MALINOWSKI, New Jersey STEVE WATKINS, Kansas DAVID TRONE, Maryland MIKE GUEST, Mississippi JIM COSTA, California JUAN VARGAS, California VICENTE GONZALEZ, Texas JASON STEINBAUM, Democratic Staff Director BRENDAN SHIELDS, Republican Staff Director (II) C O N T E N T S Page WITNESSES Abrams, Hon. Elliott, U.S. Special Representative for Venezuela, U.S. Depart- ment of State ........................................................................................................ 13 Oudkirk, Sandra, Deputy Assistant Secretary, Bureau of Energy Resources, U.S. Department of State .................................................................................... 20 Olive, Steve, Acting Assistant Administrator, Bureau of Latin America and the Caribbean, U.S. Agency for International Development ............................ 25 APPENDIX Hearing Notice ......................................................................................................... 68 Hearing Minutes ...................................................................................................... 69 Hearing Attendance ................................................................................................. 70 ADDITIONAL MATERIALS SUBMITTED FOR THE RECORD Amensty International letter submitted by Chairman Engel .............................. 71 Article from The Wall Street Journal submitted by Representative Smith ....... 78 QUESTIONS SUBMITTED FOR THE RECORD WITH RESPONSES Chairman Eliot L. Engel ......................................................................................... 83 Representative Chris Smith .................................................................................... 85 Representative David Cicilline ............................................................................... 86 Representative James Sensenbrenner ................................................................... 89 Representative Michael Guest ................................................................................ 90 (III) VENEZUELA AT A CROSSROADS Wednesday, February 13, 2019 HOUSE OF REPRESENTATIVES, COMMITTEE ON FOREIGN AFFAIRS, Washington, DC The committee met, pursuant to notice, at 11:09 a.m., in Room 2172, Rayburn House Office Building, Hon. Eliot Engel (chairman of the committee) presiding. Chairman ENGEL [presiding]. The committee will come to order. As the situation in Venezuela continues to unfold, it is important that the Foreign Affairs Committee hear from policymakers in the Trump administration on the latest developments and how the United States will continue to engage on this issue. So, I am glad to welcome our panel, whom I will introduce prior to their state- ments. And let me also welcome all our members, the public, and the press, and we are glad to have our friends from C–SPAN here this morning to cover our hearing. Before we start, without objection, all members may have 5 days to submit statements, questions, and extraneous materials for the record, subject to the length limitation in the rules. Chairman ENGEL. Let me start by saying that the humanitarian crisis in Venezuela is simply heartbreaking. Ninety percent of Ven- ezuelans are living in poverty, more than 1 in 10 children suffer from malnutrition, and nearly 10 percent of the country’s popu- lation of 31 million has fled overseas. What makes it even more heartbreaking is that this crisis is entirely manmade. Venezuela should be one of the wealthiest and most prosperous countries in the hemisphere; it once was. But the corruption, incompetence, and mismanagement of Nicolas Maduro, and Hugo Chavez before him, have driven that country off of the edge of a cliff. The blame lies squarely with the crooked officials who have repressed the Ven- ezuelan people for years, doing everything from throwing political opponents in jail to rigging elections, to gunning down protesters in the street. Now some consider it a good sound bite to say that Venezuela represents the failure of socialism, but we should be honest that Venezuela is not a socialist country. It is a kleptocracy. It is a cruel and oppressive regime, pocketing every dollar it can, even if it means that the country’s people are literally starving to death. Nowhere is Nicolas Maduro’s disregard for his fellow Ven- ezuelans clearer than his decision to block humanitarian aid from entering the country last week at the Colombia-Venezuela border. This was a disgrace, and we need to keep looking for ways to get this assistance to those who need it without provoking a confronta- (1) 2 tion that could lead to the loss of life. The Venezuelan people de- serve better. They deserve the future they choose for themselves and their country. So, our question is, how do we help them attain that future? How do we stand with the people of Venezuela as they seek a peaceful democratic transition? First, governments around the world, and especially here in our neighborhood, need to support the Venezuelan National Assembly and Juan Guaido they work toward free and fair elections, elec- tions that must be monitored by credible international observers, including the OAS, the Organization of American States. The EU- Latin America contact group can play a potentially crucial role in laying the groundwork for these elections in an area where our own administration can provide financial and political support. What about U.S. policy more broadly? I will credit the adminis- tration. In the last few weeks, we have seen good multilateral en- gagement to grapple with this crisis. I am glad the White House rejects Nicolas Maduro. I think we should reject authoritarians, re- gardless of the ideology, and that would include despots like Vladi- mir Putin and Kim Jong Un. But I do worry about the President’s saber rattling, his hints that the U.S. military intervention remains an option. I want to make clear to our witnesses, and to everyone else watching, U.S. military intervention is not an option. Congress decides when, where, and how the U.S. military is used around the world, and Congress would not support military intervention in Venezuela. Venezuela’s neighbors feel the same way. Just last week, Colom- bia’s Deputy Foreign Minister said that, and I quote him, ‘‘In no way would the Colombian government permit or agree with any type of military intervention,’’ unquote, in Venezuela. With respect to new sanctions on the PDVSA, I appreciate the need to squeeze Maduro, but the White House must think through the potential repercussions that these sanctions could have on the Venezuelan people if Maduro does not leave office in the coming weeks. We need to continually evaluate their effectiveness. My biggest concern about the administration’s policy is what ap- pears to be missing. What are we going to do about the more than 3 million Venezuelans who have already left the country? This has become Latin America’s biggest migration crisis in recent history, and I fear the United States may make things worse. For starters, we should be taking in more Venezuelan refugees, but our admission numbers are at their lowest in recent history. Worse, the immigration policies of the White House have resulted in more Venezuelans being deported back to Venezuela, and that is like sending people back into a burning building. The President could fix that with the stroke of a pen. He could grant temporary protected status, or TPS, to Venezuelans living in the United States. I hope he does so. And I have also cosponsored a bill written by Representative Soto that would take this step. There is more we can do legislatively. Mr. McCaul and I have spent the last 2 weeks trying to draft a bipartisan resolution on this matter. We were about 95 percent of the way there, but hit a roadblock, similar to the Senate, on how to deal with questions 3 about the use of force in Venezuela. This is a policy difference, and it is a debate worth having, including during this hearing. We also have pending a few substantive bills introduced by Rep- resentatives Mucarsel-Powell, Shalala, and Wasserman Schultz, that would help alleviate the humanitarian crisis and dial