What is being called the iiic summit which includes leaders from Central Europe the baltic states. He is expected to meet with the president s of poland and croatia. Then he goes to germany for the g 20 summit where he is expected to have his first facetoface meeting with russian president vladimir putin. Other leaders attending the g 20 include chancellor Angela Merkel of germany, president of china and Prime Minister of japan. Now labor secretary Alexander Acosta testifies about the president s budget request for his department. Missouri senator roy blunt, chairs the Senate Subcommittee hearing. The appropriations subcommittee on labor, health, human services, education and related agencies will come to order. First of all good morning secretary acosta. Were glad youre here and appearing before this committee today to discuss your departments fiscal year 2018 budget request. As you know, the budget is significantly challenged in terms of the cuts in your department. I think the proposed cuts of 2. 3 billion or about 1 5 of the departments operating level. Certainly, while i appreciate and i think many of us appreciate the departments prioritizing, limited resources and making decisions to realign programs. The fundamental question is really what you choose to cut and whether you can possibly look at that number and make an argument as to why that much of your previous budget should be cut this year. It is not the first time these kinds of cuts have common in the department. Last year, president obama proposed about the same level of cuts. Though he proposed somehow these programs would lean heavily on new mandatory spending for the budget caps in the law then. Of course, those budget caps are in the law still. Instead of making difficult decisions, it would have been easier according to the last administration, to have new mandatory programs. This year the department has submitted a budget that so significantly cuts programs or eliminate them altogether, it is really hard for us to figure out your priorities. We look forward to visiting with you about that. I have serious concerns about the worker training reductions. Particularly, the proposal to cut state grants by 40 percent and close Job Corps Centers. The president recognize that there are millions of jobs in the country that do not have workers with the skills to take the jobs. We need to make certain our workforce Training Programs and Apprenticeship Programs equip individuals with the skills they need to meet the Workforce Needs of today and tomorrow. While there are no easy answers, when it comes to budget limitations, i am concerned that reducing funding so much and so suddenly, and particularly taking so much of that from worker training would further jeopardize our Workforce Development efforts and our ability to compete with and for better jobs and stronger families. As a fiscal year 2018 appropriations process moves forward, it is my hope to Work Together with you and everyone on this committee to identify priorities. Find Common Ground and how best to spend the taxpayer money that we are given responsibility for. Mr. Secretary, i look forward to your testimony but first i would like to go to senator murray for her opening remarks, thank you. Before we talk about what i think is an indefensible budget request, i want to reiterate again today how appalling it is that we are now potentially days, if not hours away from voting on legislation that would spike healthcare costs for patients nationwide and kick millions of people off of coverage as we have not seen with these cbo numbers. Yet republicans have yet to fully single hearing or any kind of open public debate under regular order. Now that we have seen it, it is pretty easy to see why. This is going to be bill and have a tremendous impact on patients and families. So we have on this site remain deeply concerned by that. Now this committee has a history of working together in a bipartisan matter and i sincerely hope my colleagues remember that. And i urge their leadership to hold open transparent process of people across the country do have time to understand what is in store for the health and financial security. Secretary acosta, while trump care has huge implications for our nations workforce, and i do plan on asking about that, i first want to address the deeply harmful budget request that has been put forward. As i am sure you are aware, connecting workers to sustainable jobs and employers to a Skilled Workforce has been the department of labors information for decades. And that is because we know that one of the surest paths to good paying jobs is investing in training and education for in demand skills. Our ability as a nation to attract and keep good jobs here at home, and grow our economy will only be realized by tapping into the full potential of our workforce. On the campaign trail, candidate trump promised to put workers first. But as president , he has consistently pursued an antiworker agenda that benefits those at the top and leaves workers and families paying the price. In fact, the president recently announced executive order on apprenticeships would loosen standards that are intended to make your business is getting federal workforce funding actually deliver results. Given the Trump Administration pattern of lining the pockets of corporations and special interest at the expense of workers, it is hard to see this executive order is anything but another family veiled broken promise from the president who promised to put workers first but has failed to do so since day one. The president s budget for the department of labor doubles down on those broken promises. The budget completely disregards the overwhelmingly bipartisan enactment of the workforce innovation and opportunity act in 2014. Where republicans and democrats came together to streamline the nations jobTraining Programs to make sure they are targeted, effective and built to last. Instead, President Trumps budget proposes deep cuts to those investments that provide over 20 million workers with 21stcentury skills they need to succeed in a rapidly changing global economy. The president s budget would mean that 9 million workers, including dislocated coal miners, and the veterans would lose access to those Critical Services next year. Again, these are precisely the working families that he said he would support and protect during his campaign. Secretary acosta, although important Consumer Protections for those saving for retirement will go into effect tomorrow, i do remain concerned that you still intend to revise and weaken those protections. I am hoping you will be similarly guided by the rule of law in addressing the overtime role. This is an opportunity to stand up to political pressure the white house when workers and families needs are on the line. I hope you take it. I do remain deeply concerned about President Trumps harmful agenda for workers and the federal investments that help make sure they are safe and have security. Democrats are going to continue rigorous oversight to hold you, mr. Secretary, and the Administration Accountable for the damage it has done to worker safety, security and opportunity. I do hope republicans will join democrats and continuing to reject the devastating cuts in the President Trumps budget proposal. This as we did in fiscal year 2017 omnibus to continue robust investments in jobTraining Programs that coordinate with the efforts of key workforce partners, business leaders, workforce boards, labor unions, community colleges, nonprofits and state and local officials. To make sure all workers can acquire the skills that they need to get good job and climbed the ladder opportunity and grow the economy. Thank you, mr. Chairman. Thank you, senator murray. Lets have the chairman of the full committee with us. Do you have anything you like to start with . Mr. Chairman, i do have a couple of questions. Lets get mr. Custis testimony and go to questions after that. Secretary acosta, we are glad you are here. The secretary is now serving in his fourth president ially appointed Senate Confirmed job. Most recently, he served as dean of the florida internal International University college of law and secretary, were glad youre here. This is always a department where you have your hands full but meeting the opportunities of futures is important and we look forward to hearing you talk about that in this budget. Mr. Chairman, thank you. And Ranking Member murray, chairman cochran, members of the committee. Thank you for the opportunity to testify this morning. If not a trip here to administrate supporting the ability of all americans to find good jobs and save jobs is a priority for the president and it is a priority for me. I am proud and i remain humbled and leave the department of labor in this critical work. Presently, the Unemployment Rate is 4. 3 percent. That is a 16 year low. One has to get back to 2001. This is great news. Another very important statistic however, is that they are presently 6 million job openings in the United States. That is the highest number since the department of labor started keeping records and open jobs. We can get more americans back to work if we match those who are looking for work with these available jobs. During my short time as secretary of labor i have heard for many business leaders, governors, mayors and just americans. They all say there is a skills gap. Summit workers just dont have the right training to step into many of these vacant positions. The apprenticeship model is a good solution to narrowing the skills gap. As has been mentioned, it is bipartisan. President trump knows the value of apprenticeships from his many years of experience in the Building Trades. The president also knows that this is a model that works across Many Industries and should be expanded across industries both in terms of breadth and scale. High quality, and i emphasize high quality apprenticeships, amiable employers to be involved in training their future workforce so they can be sure new hires possess the skills needed to do the job. It is called demand driven education. Apprentices who seek wages and just importantly, skills that enable them to thrive in todays workforce. They earn while they learn. According to the department of labor statistics, graduates of Apprenticeship Programs have a high average starting wage of 60,000. That is higher than the typical college graduate. They are likely to have a job upon completion of their program and often receive certificates recognizing their education that are portable across industry. President trumps executive order on spending apprenticeships has the department of labor and other agencies to paved the way for more apprenticeships. Getting americans back to work also requires eliminating other programs that are less effective in helping americans get jobs. There are many programs intended to help americans find were trained for jobs but some are duplicative and proven or ineffective. The department is committed to streamlining programs based on rigorous analysis of data to assess program effectiveness. The Department Also believes that giving states more flexibility to administer Department Resources in a way that best suits the state needs will ensure that resources are used as efficiently and effectively as possible. The department believes a vast majority of the employers across the nation are responsible actors. Fully committed to following Worker Protection laws for the department has placed part in helping american employers understand and remain in compliance with the laws. But departments likewise takes very serious responsibility to enforce the law. Enforcement must go handinhand with compliance assistance. We will vigorously enforce the law against wrongdoers. A good job should also be a safe job. The budget includes funding increases of nearly 17 million to the apartments work Protection Agencies to support these goals. We will focus the department of labor on the core mission by making Smart Investments in programs that work. The budget makes hard but responsible choices. It eliminates programs that are less effective or less efficient and dedicates taxpayer dollars to those that we know that are successful. Americans want good and safe jobs. The department is here to support americans desire to gain and hold these jobs. The budget restores the department to this fundamental mission. Investing in programs know to be successful. The proposals are evidencebased and reflect the seriousness and with which the administration is taking these responsibilities. Let me say in closing, i understand, mr. Chairman. Your remarks. And i understand that going back year after year, the budget is a starting point and as in the past, we look forward to working with your committee as we go forward. On discussions regarding these issues. The focus has and will have to be on detecting americas workers. And so thank you for the opportunity to be here. Thank you mr. Secretary. We will have a five minute round of questions. I am sure they will be time for a second round if people have more than five minutes of time to use. If you would stay pretty close to that, and i know the chairman is here and has some questions so i will ask my questions after senator kennedy. I will come near the end. Thank you, mr. Chairman. Mr. Secretary, i understand the department is close to finalizing a memorandum of agreement with the city of gulfport regarding the rebuilding of the Job Corps Center in gulfport. Can you update us on the status of that situation and share with the committee, the estimated completion, if you know that on the gulfport Job Corps Center . Mr. Chairman, i appreciate the question. The Department Remains committed to serving the youth of the gulfport community. And we appreciate the support that you have offered. It has been very important as we move forward. As you mentioned, we are working with the consulted parties to develop the memorandum of understanding and memorializing the plan that has been discussed. We anticipate that it will be signed sometime this summer. Most likely. Possibly within the next six days and it will be followed by the design and construction phase, assuming that the budget allows us to go forward. If you would like, i am more than happy to ensure that the department keeps your step up to date with the progress. As those discussions continue. Thank you. We would appreciate that. Let me also ask you to share with the committee, the number of mississippi businesses and schools who have expressed concern about over burdensome and costly regulations including overtime. Joint employer and fiduciary roles that have been issued by the department. What is the department doing to evaluate complaints like that . Particularly those that are Small Businesses in rural areas of our state. What are you doing to take steps, if any, to alleviate concerns about burdensome regulations by the Previous Administration . Mr. Chairman, i dont have the precise number of businesses and schools that have sent letters to the department. I will say this, the department has received correspondence from many businesses. Not only mississippi but around the nation. Regarding the burden on regulations and the department is examining the regulations that are currently on the books. The department is working to ensure that the regulations that are presently in effect are necessary. To the extent that some are outdated or unnecessary, the department will look at those regulations and determine how to proceed. Thank you. Chairman. Senator murray. Thank you very much. Secretary acosta, as you know i am deeply disappointed as many are that trump care is planned to be jammed through the senate this week and obviously, the cbo numbers, millions of people lose health insurance, costs will rise. As you probably know, this is going to have a devastating impact on jobs as well the quest the country in our communities where a lot of the rural hospitals are telling us that because of the loss of dollars they will likely shut their doors or become much smaller. As well as Nursing Homes telling us of the devastating impact. Have you shared with the president any of those job loss numbers . Senator murray, i do not at present specific jobless numbers with respect to the healthcare industry. But let me say this more generally, i think the issue is a little more complicated and a little more subtle. Because at the same time that some jobs may be reduced, any other jobs will be created. One concern that we have heard from employers is the financial burden imposed by high healthcare costs. I have not seen any analysis that shows a job increase as a result of this bill. And i think that what we are hearing a line of is the job losses. To me, that deeply disconcerting. I hope your agency is sharing that with the president. Let me ask you about the job training cuts. Because a few weeks ago, President Trump signed an executive order commemorating Workforce Development week. What we see in the budget is that is tcn. Those are programs that help millions of workers find jobs every year. The same work as the president promised to support. Experts estimate that your cuts would mean 9 million adult youth and dislocated workers and veterans will lose access to job training and states