Supported by donors. How big is your staff . We have a staff of six people. I am staff and board, chairman and ceo. I am chairman of the board and i run our staff. Have you started circle we will be this year for budget coverage. David pekoske is testifying on the president s 2025 budget request. Budget coverage on cspan3. Committee on Homeland Security and Maritime Security will come to order. Without objection the chair may declare the subcommittee in rhesus at any point. The purpose is to examine the tsa budget request for fiscal year 2025. I would like to thank our witness administrator David Pekoske for joining us today. Without objection the german from louisiana, mr. Carter is permitted to sit with the subcommittee and ask questions of the witnesses. So order. Also want to welcome a new member of the subcommittee, mr. Kennedy. Thank you for joining us. I now recognize myself for an opening statement. On behalf of the members of our subcommittee im pleased to welcome administrator pekoske to discuss tsa fiscal year 2025 budget request. It has been two decades since the establishment after the terrorist attacks on september 11, 2001. While tsa has grown and evolved as an agency, its mandate from the American People remains the same. To safeguard our Transportation System. From freight rail, trucking to commercial aviation, tsa leads the efforts in facilitating the state and Free Movement of people and goods throughout the United States. As Transportation Systems we know our economy depends on us to succeed and remain competitive around the world. Throughout this last year the subcommittee has conducted hearings on issues ranging from tsas modernization efforts to the role of technology in Aviation Security to the Identity Management work. This has been imported work that gives us a better understanding of where tsa stands today to carry out the mission, tsa Needs Technology and manpower to stay ahead of the evolving landscape and to keep, flowing freely. We recognize that manpower continues to be an issue and this subcommittee is committed to working with tsa to ensure their frontline workers receive an equitable compatible rage. While more work needs to be done to ensure the longterm viability of tsas new pay plan, the increasing retention rates are an encouraging sign but im confident that the leadership will continue to be an engaged effective partner with this committee and addressing manpower issues. I am less confident, however, in the development and deployment of new technology. Last year i raise concerns with a painfully so timelines for tsas rollout of the new typography systems and the secondgeneration of Authentication Technology at tsa checkpoints across the country. These are estimated to be complete in fiscal year 2042 and 2049, respectively. That is simply unacceptable. One year later im concerned the agency has not made enough strides to expedite the rollouts of these critical new technologies. In fact, when examined the budget request it appears that technology has taken a back seat. Im concerned tsa has not requested enough technology. Procurement budget request for fiscal year 2025 is over 40 million less than what was enacted in 2023 of the research and develop a request for this fiscal year was barely half the size of the agencys rnd budget in fiscal year 2023. I understand the agency is including a request to end the diversion of the passenger security, which would help the Agency Account for some of these changes. I am firmly against the diversion and recognize the need for congress to engage this issue more thoughtfully and the bait and switch that is currently happening. Simply put, the American People paid 5. 60 per flight for security. All of it should go to to security. Despite these challenges, i am pleased that tsa is making tremendous progress with i. D. S. Through partnership with states and Global Tech Leader such as apple and google, tsa is working to integrate mobile drivers licenses and other forms of digital identification into their security screening process. Tsas work on Identity Management is making security processes safer, more efficient and ultimately less intrusive to individual passengers. I am proud the agency is now the de facto leader within the federal government in the space. As passenger bombs at airports continue to increase the role of technology is even more important to ensure checkpoints are operating efficiently and that passengers have plenty of time to make the fights. This is not the time to lose focus on technology. Enclosing, transportation sector needs engaged effective tsa to ensure the free flow of goods, people and services across the country and around the world. Administered pekoske, my colleagues stand with you to fulfill your mandate to the American People. I appreciate you being here today and look forward to your testimony. Direct denies the Ranking Member, the gentleman from michigan for his opening statement. Good afternoon and thank you for calling todays hearing. Before i begin, i want to welcome guzman kennedy. To his first hearing as the member of our subcommittee. Welcome. I look forward to working with you. I also want to thank administrator pekoske. For joining us to discuss the budget request for fiscal year 2025. Last year, tsa based a major funding shortfall as the agency sought more than 1 billion increase to pay for salary, raises an expanded collective bargaining rights. I strongly supported the effort i was glad that we, in congress were able to feel tsas request and fun critical improvements for the workforce. For fiscal 2025, to continue these workforce initiatives, tsa has asked and requested a 377 million increase for periodic pay raises and career ladder promotions which will keep tsa employees in line with other federal workers. It is critical that congress can then use these efforts and your support for the new pay system is having a significant positive impact. Pay raises are making an enormous difference in the lives of transportation security officers. Federal air marshals and other tsa employees across the country. They are also helping tsa address high rates of attrition, which have plagued the agency for years and have now fallen nearly in half. Tomorrow, tsa and the Union Representing the tso workforce, the American Federation of Government Employees will formalize a new collective targeting agreement that will provide additional benefits for the agency and its workforce. I look forward to hearing more from the administrator of the impact of these workforce initiatives are having on tsas ability to carry out its security mission. I also hope to hear more about the difficult choices tsa has made to determine funding. Tsas budget request does not include funding for the visible intermodal prevention and Response Program which is critical tos serve as transportation security. The request also does not include funding for Law Enforcement officers and k9 programs which airport rely on to help with security cost. In addition the request includes approximately 90 million for computer to carry on baggage screening machines. Still not enough to allow the program to deploy machines to all screening checkpoints on a reasonable timeframe. I hope that congress will be able to restore and increase funding for these programs. Doing so will require creative solutions. As it stands, tsas budget request assumes that congress will be able to redirect her tsa 1. 6 billion and passenger security fee selections which are slated for diversion to the general treasury. In fiscal 2024, congress returned 800 million in fees but doing so required an extension of cuts to mandatory spending programs in fiscal 2032. Returning twice that the in fiscal 2025 is required twice as large an offset bird to go be on the budget request and restoring funding to keep programs, congress should also consider a modest increase to passenger security fees. I am proud to cosponsor Ranking Member thompsons bill to fund the tsa act which would aim the diversion of passenger security fees and raise fees by two dollars per trip to provide tsa with the resources it desperately needs. I encourage my colleagues to get the bill serious consideration as a solution for tsas funding challenges. I look forward to todays discussion and mr. Chair, i yield back. Thank you to the ranking manner never part opening same as may be submitted for the record. I am pleased to have a distinguished witness before us today on this critical topic but i asked that our witness please rise and raise his right hand. Do you solemnly swear that the testimony you will get before this committee on Homeland Security of the United States house of representatives, the whole truth and nothing but the truth, so help you got a . Thank you, please be seated. Let the record reflect that the witness has answered in the affirmative. I would like to formally introduce our witness David Pekoske is serving his second term as the administrator of the transportation security administration. In this capacity he leaves a workforce of 60,000 employees and is responsible for the security operation of 444 airports throughout the United States. Under his leadership tsa has improved security through close partnerships and alliances, culture of innovation and development of a dedicated workforce. Prior to his tenure at tsa, he served as the 26 vice commandant of the u. S. Coast guard. Culminating a coast guard career that included extensive operational and command experience. I thank the administrator for being here today and i recognize administrator pekoske for five minutes to summarize his opening statements. Members of the subcommittee, thank you for the opportunity to peer abort for you this afternoon i like to offer Michael Rollins is on the passing of donald payne jr. , member of the subcommittee. A wonderful man and public servant. I offer our condolences to his family, and his colleagues. You will be missed. Turning to the budget, i appreciate your support of our inactive fiscal year 2020 for appropriation. I poignantly annualize the Compensation Plan which provides funding to pay tsa employees at the same pay rate as the rest of the federal government. Since his Compensation Plan was first implemented less than a year ago, it has had significant positive impacts on tsa. Our retention is up and we have many more candidates pursuing opportunities to serve and morale has improved as reflected in the highest ever budget Employee Viewpoint survey results in tsas history. Tomorrow, i will sign a new and expanded Bargaining Agreement which will also be fully supported in the fiscal year 2020 for appropriation. The president s 2025 request seeks to build on fi 24 and recognizes the choices that need to be made concerning the funding constraints we face. I believe this budget provides the right balance and positions tsa trimming the Agile Security agency when we were established nearly 23 years ago. Ensuring security requires constant focus, continued investment and hard work. I would like to thank our workforce and Industry Partners in aviation and Service Transportation both domestic and abroad the role and contributions in strengthening the security of our Transportation System. This is National Police week established by a joint resolution of congress in 1962. We pay recognition to bond officers who have lost their lives in line of duty. Im grateful for the Law Enforcement officers at tsa, our criminal investigators and our Law Enforcement partners across america for the dedication protecting our Transportation System for the transportation sector is in the mists of a remarkable recovery from the pandemic but passing the bombs are up by almost 13 in 2023. This year the Growth Continues from 9 growth at Miami International 8 in detroit, 11 at lafayette regional. 6 at jfk. 10 in tampa and furthermore, l. A. X. And buffalo have seen 7 and 14 rates and increased volumes, respectively. Seven of the 10 busiest days ever in u. S. Airports occurred in the last 12 months. And two in the past week. We project that 3. 1 million passengers will be sprayed on some days this coming summer tomorrow we will hold a press event with our Industry Partners at laguardia airport. We will talk about our collective readiness and the strength of our partnership that will likely be a busy summer yet. An important priority in the 2025 request is investment in technology. Two ongoing Technology Projects in particular are included in the fy 25 request for the improved Security Effectiveness, efficiency and the Customer Experience. The first is our upgrade of checkpoint Xray Technology to tie opportunity or ct systems. At the rate of investment at the request which is 90 million, our Capital Investment plan shows that this project will be complete in 2042, 18 years now. Similarly, our upgrade of checkpoint Identity Verification technology to include facial recognition increases performance and this critical first element of checkpoint screening at the rate of investment, which is 9 million, our Capital Investment plan shows this part will be complete in 2049, 25 years from now. We have the opportunity to accelerate both products with additional investment as tsa has the vendors and processes in place to complete them in this decade, not in the 2040s. One solution to the current budget environment may be that 9 11s passengers security force. The president s budget has been a coming by legislative proposal that would end the diversion to deficit reduction of 1. 6 billion per year in 9 11 security fee revenue per the proposal would instead restore all 9 11 fee revenue to Aviation Security as intended. The diversion of the revenue began a bipartisan budget act of 2013 and is due to expire at the end of fiscal year 2027. It would provide the flexibility to include more funding in the aviation surety capital fund and operating account especially additionally given the passenger growth we are seeing. I look forward to working with you to fully end the legislative proposal and the fee diversion completely and direct all fee revenue to its intended purpose of age ethan security. Members of the subcommittee, thank you for your support of psa. I look forward to your questions and are working with all of you to ensure that tsa has the resources and authorities needed to meet the mission in protecting our nations vital Transportation System. Thank you. Thank you, administrator. Members will be mechanized by orders of ciardi for the five minutes of question but i recognize myself for five minutes of questioning. Administrator pekoske, you said the authorization to divert the passenger fee ends in 27. When you make your estimates of 2042 and 2049, is that assuming that the diversion will continue past 27 . It assumes that the diversion will continue as planned. That is why it is out so far. It would be completed much quicker. Could you give me a timetable if the diversion ends in 27, how much quicker can you implement the new technologies . If it ends in 25, rather than 27 i said 27 per your authorization ends in 27 but assume better than zabriskie 27. How much quicker can you get it done . If it ends in 27, we can get the verification project on in 2033. We get that top margaret be done in 2032. If we end it now, you can do within this decade. You will accelerated by a couple years. How do we compare with other countries. In other words leading edge not companies but countries around the world . Have you gone around and watch what theyre doing and planning what theyre planning to do . If we dont invest more in technology are we going to fall behind those countries in the ability to protect the american passenger . I think well fall behind to a degree point of the biggest differences the United States has 430 airports in its system. No other country has the number of airports and from my perspective its important that this computer tomography and the Identity Verification technology and the inperson Screening Technology be in every airport, because as you know, if you enter an airport youre in our system overall, so we have a challenge of scale that other countries dont have. There are some countries that are investing heavily in this technology but there are many others that are not yet there. But weve been working hard to kind of bring the baseline of local Aviation Security up with these technology advancements. Lets talk about western europe. France, germany, Great Britain in partic