As mentioned, the senate advanced the nomination of representative of South Carolina to head the omb, his confirmation vote is expected sometime today or early tomorrow ahead of the senates return, here is his confirmation hearing last month before the Senate Budget committee. [inaudible conversations] [inaudible conversations] good morning, our call is hearing to order. We are here, im going to try to keep my opening remarks brief since we have a pair of senators before us to give introductory marks concerning the nominee. President trump indicated his intent to nominate representative for this position, a little over a month ago. I think all the members of this committee can agree that we would like to see it confirmed omb director in place as soon as possible so im happy to know that the other committee, omb, Homeland Security will be convening this afternoon to hold their own hearing with representative molvani, we need director in place with so many issues requiring the attention of the new administration for the most a trillion dollar debt america now shoulders. Congress needs omb director who can work who we can work with to put our nation on a responsible fiscal path. Thats why im pleased that President Trump nominated a fiscal conservative for this key post. Representative has been a vigilant budget hawk including tenure in house and oversight committee. He has been a vocal contributor to the great budget debates of recent years focused on questions on how he ultimately stopped the federal government from overspending while continuing to fund the countrys core priorities and responsibilities. Representative has been a prominent voice arguing for fiscal restraint, balance budgets and honest budgeting that avoids the use of gimmicks such as emergency funding designation for nonemergencies. Ive also discussed with representative the urgent need to reform the budget process which is contributed to the budget stalemate and resolutions which congress routinely restores about spending and debt and urgent need of reform for the process such as implementing budgeting and the overhaul of outdated budget accounting concept that is have outlived their usefullness. Ultimately goal so produce comprehensive and lasting budget process reforms that put our nation in our better fiscal path. Despite its significance, the preparation of the president s annual budget submission is one of the responsibilities of omb. As an entity within the executive office of the president , omb has numerous management responsibilities in addition to budgeting and spending that concern various activities carried out by federal agencies. These include agency rulemaking, contracting, grants management, financial management, information technology, program assessment, personnel policy, Property Management and several others. Im particularly interested in hearing the representatives view on the office of regulationory affairs in vetting agency regulations. This committee has been exploring the concept of a regulatory budget as one way to produce the check on the youing growing burden of regulations and also to Small Business. Also since hes the house sponsor concerning improper payments, im interested in his view on how he believes about improper payments. 44billion in 2016 and the cumulative amount of improper payment since we started counting them in 2003 exceeds 1 trillion. Senator, sanders. Thank you very much. I would like to take this opportunity to welcome the new members of this Committee Senators harris on our side and senator gardner. I look forward to working with all of you. Mr. Chairman, you and i dont agree on too much but we can all agree that President Trump ran a very Unconventional Campaign and that he told the American People that he would govern as a very unconventional republican. I think thats where we can have unanimous consent on that one. Over and over again, in fact, the cornerstone, one of the cornerstones of his campaign was that he was not going to cut Social Security, medicare and medicaid. He didnt say this at an ambush interview at 3 00 oclock in the morning, he said this over and over and over again. And i suspect that many millions of Senior Citizens in this country or millions of workingclass people who do not want to see Social Security, medicare or medicaid cut voted for him for that reason. And im just going to read a few of the quotes with your permission, mr. Chairman, i would enter into the record many of the quotes that President Trump said on the campaign trail. He said on may seventh, 2015, quote, i was the first and only potential gop candidate to state there will be no cuts to Social Security, medicare and medicaid. April 18th, trump said, quote, every republican wants to do a big number on Social Security. They want to do it on medicare, they want to do it on medicaid and we cant do that. Its not fair to the people that have been paying in for years and now all of sudden they want to be cut. August 10th, trump said, i will save medicare, medicaid and Social Security without cuts. We have to do it. People have been paying in for years and now many of these candidates want to cut it. Last quote, march 29th, 2016, trump said paul ryan wants to knock out Social Security, knock it down, way down, he wants to knock medicare way down and frankly, two things, number one, youre not going to lose the election if youre going to do that, i am not going to cut it and im not going to raise ages and im not going to do all of the things they want to do. But they really want to cut it and cut it substantially, the republicans and im not going to do that. That is quotes from the president of the United States when he was on the campaign trail. Now, the election is over, mr. Trump, President Trump still sends out a whole lot of tweets but surprisingly enough i have not seen that tweet where he says i am going to keep my Campaign Promise and i will not cut Social Security, medicare and medicaid. I am waiting eagerly for that tweet as are millions of seniors and working people in this country. The issue that we are discussing today is a, will the president keep his Campaign Promises and will he appoint people to his cabinet who will help him keep those Campaign Promises. And now we get to congressman, i want to thank him for coming into my office. His views are exactly opposite of what trump campaigned on. Let me run through record. Congressman mulvaney said on fox business, quote, we have to end medicare as we know it, end quote. April 28th, 2008, congressman said medicare as it exists today is finished, end quote. August 1st, 2011, congressman said, quote, you have to raise the retirement age, lower a pay cut, change the reimbursement system, you simply cannot leave Social Security the way it is. On may 17th, 2011 congressman mulvaney said, i honestly dont think we went far enough with the budget. In fact, just last year congressman mulvaney voted against the budget proposed Committee Chairman tom price and House Speaker ryan opting instead to voting in favor of a more extreme budget by the republican study committee. This radical rightwing budget that congressman mulvaney supported to cut medicare by 69 billion more than the priceryan budget 84 billion more and cut medicaid and other programs by 255 billion more than the budget proposed by chairman price and speaker ryan. Moreover, this is also interesting. In may of 2009, congressman mulvaney was in state senate, he voted for amendment declaring Social Security, medicaid and the u. S. Department of education unconstitutional. Let me read the text for that amendment, quote, whereas many federal mandates such as those which created the u. S. Department of education, medicaid and the United StatesSocial Security administration are directly in violatation of violation to the tenth amendment in the constitution. That amendment in the Carolina Senate was defeated by a vote 35 to 6. Mr. Mulvaney was one of the six. In my view, the opinions and ideas of mr. Mulvaney are way out of touch with where the American People want and more importantly, they are way, way out of touch with what President Trump campaigned on and while we can all disagree on many issues, i would hope we can agree that if somebody campaigns, as im sure Many Republican colleagues have, you campaign on a set of issues, that you keep your promise and i suspect chairman does that, he tells people how he feels and he keeps his word. We disagree, he keeps his word but does not make sense to me to have a key adviser to the president having views directly in opposition to what the president campaigned on. Last point, i have come to learn during the confirmation review process, we have come to learn during the nominating process here that mr. Mulvaney fail today pay over 50,000 in tacks for a nanny that he employed from 2000 to 2004. Here is what the congressman wrote about the issue in response to a question that i asked him on january 11th, quote, i have come to learn during the confirmation review process that i fail today pay federal and state unemployment taxes on a household employee for the years 2000 through 2004. Upon discovery of that short fall i paid the federal taxes, the amount in question for federal unemployment was 15,583 and 60 cents exclusive of penalties and interest which are not yet determined the state amounts are not determined, end of quote. Mr. Chairman, this is a serious issue. As you will recall eight years ago, senator withdrew his nomination of secretary hsf after it was discovered that he fail today pay his fair share of taxes. Mr. Chairman, on this issue, i agree with minority leader schumer who said, quote, when other previous cabinet nominees fail today pay fair share in taxes, Senate Republicans forced those nominees to withdraw from consideration. Failure to pay taxes was disqualifying for democratic nominees then the same should be true for republican nominees, end of schumer quote. In 2015 congressman mulvaney voted for a bill in the house that clearly stated, and i quote, any individual who has delinquent tax should be ineligible to be appointed or continue serving as an employee of the federal government. Mr. Chairman, i look forward to asking mr. Mulvaney questions and thank you for the time. Hes my buddy. We dont agree on everything, what i think hes one of the most capable people ive met during my time in public service. And we have a real friendship. We played dots. He always beats me. I accept that. He has a beautiful wife and triplets just remember that when you talk to him. Hes sincere. Clearly, senator sanders would not have chosen him for his omb director. I think weve established that. Why would trump, President Trumps, pick a man, according to senator sanders, that doesnt agree with anything he stands for . I would argue that he picked congressman mulvaney because he understands he knows the budget. He will be a good overseer of the government. Hes a practical guide and he will follow the president vision. President trump understands everything he said about congress been mulvaney, and he has confidence in this mans ability to do a job for his administration. I sure that confidence. To those on the defense side. He will follow the call of the president to increase defense spending. He does believe in entitlement reform and i think hes right to do so, to save these programs. So from a personal point of view, ive never had an occasion where he would not tell me exactly what he believed even if he knew i disagreed with him. And he is able to disagree with people in an honorable fashion. Hes incredibly smart. Hes made it his life work to understand whats wrong with our government and he will be dedicated to fixing it. One final point of personal privilege. I voted i think for every nominee of president obama. I think every one of them. I asked myself why i did that now. The reason i did is i think elections have consequences. And why i disagreed with almost every nominee about the basic structure of government, i understood the president obama needed his team and deserve his team, if they were qualified. And heres what i would ask this committee to consider. Given this mans life experience, his background, the Public Sector in the private sector, his time in congress do you believe he is qualified to understand how the federal Government Works and to reform it, consistent with what the president will direct him to do. I believe that with all my heart and soul and i appreciate you listening to congressman mulvaney and any hard question you can ask, you are doing your job. Just realize elections have consequences for you as they did for me. Thank you. Senator cotton. Chairman enzi, senator sanders, thank you for allowing me to hear today. I want to add my voice in support of confirming Mick Mulvaney as the next director of the office of management and budget. We have known each other for many years now. We served together in the house of representatives. Hes a good friend of mine and a trusted confidants i speak from personal expense when i say he will serve our president and our nation with distinction. The way i see it, the directors chief job is to give the president the unvarnished truth. Just tell the president exactly what things cost. Partly to the president agenda but mostly to the taxpayer. The president of course sets the agenda but he deserves a clear eyed view, not rosecolored glasses. And for the last six years mick has been telling many hard truths. Were spending too much. Regulations are strangling our Small Businesses. And shortchange our military will only cost us more in the long run. Also understands perhaps the hardest truth of all, at least for the big spenders in washington. Its the American People to earn this money through the hard work and sacrifice. Mick will treat every taxpayer dollars as if tha if it were hi. And trust me, that means he will watch it like a hawk. In orchids are many people start me to ask a weird thing about National Debt. Its a huge concern. So with this eagle eyed focus on spending, it will be a crucial voice in the cabinet. He will represent millions of americans who are deeply worried about the burden we are getting our children. While mick is deeply principled, he knows how to work with others and make progress wherever we can. In short, mick is a fine choice to run the office of management and budget. So i urge you not only to advance his nomination to do so as soon as possible. Under the law the president is required to submit a budget to congress earl next month which e very difficult without a new director. I hope the full senate will also confirm him promptly. Thank you for your time today and your consideration of a passionate advocate for the taxpayer, a bold truth teller, and my friend Mick Mulvaney. Thank you, senator graham. Senator cotton. Youve done a great job speaking about representative mulvaney so i will keep my own remarks are great. He is known as current as a member u. S. House of representatives representing the Fifth District of South Carolina. He held an undergraduate degree from Georgetown University at a law degree from from university of north carolina. He is a husband and hes the father of triplets. We thank you for joining us today, representative mulvaney, and we look forward to a productive outlook which will begin with you on testimony but first under the rules of the committee, nominees are required to testify under oath. So would you please join me so i can administer the oath . Do you swear the testimony that you will give to the Senate Budget committee will be the truth, the whole truth and nothing but the truth . I do. If asked to do so and if given reasonable notice, will you agree to appear before this committee in the future and answer any questions that members of the committee might have . I will. Please be seated. We now have a chance to hear from you. Thank the committee, thank the chairman, the ranking member. Its an honor to be a today to present my qualifications and my patient for the office of management and budget. I want to think the president for nominating me and showing confidence in the in doing so. I would like to especially thank mr. Graham and cotton, friends of mind, for the kind words. I want to think especially before we get started, my family. As members of this committee know the burdens of our Public Services often fall on those at home, and i am, we dont get a chance to say this new enough and we certainly dont get a chance to separate often on national television. I am extremely proud of the young people that my 17yearold triplets have become. I dont know if its because ive been away from home or despite the fact ive been away from home, but the fact that they are the young people they are is a tremendous testament to my wife whos with me today. The children are back in school. Im extraordinarily happy and proud to have her in my life and i could not view today but for the support of my family. Finally im grateful to members for taking the time of the course of the last couple of weeks to get together and talk about the issues as we talked about my vision for th