Will come to order. This morning, we are continue our oversight efforts with regard to the 2017 trafficking in persons report. Thank snard caenator cardinand of the committee this committee has conducted extensive oversight on this issue instituted annual briefings for members at state department. Prior to the release of the annual trafficking in persons report. We ask every nominee before this committee to commit to help fight against modern slavery. This oversight has been noted at the state department and in our embassys. We appreciate the deputy secretary of state volunteered to lead the administrations testimony today. The secretary spent about 45 minutes with the senator and i before this meeting and we thank him very much for his openness and the way that hes serving and we look forward to having an outstanding relationship were him and thank you for being here today. I know the secretary of state wanted to be here. He had an unplanned trip to the middle east. We thank you for sitting in on his stead but thank you for the elevation in this of this issue at the state department and, again, you being here. The deputys attendance demonstrates the state departments interest in the strab stability of this report after the ambassador finishes her time we welcome ambassador susan copich who agreed to remain in her post and ensure continuity with the 2017 report. We appreciate her leadership and service. I have to say that i think youve been outstanding. I think there are people around the world that have benefited greatly from your service, certainly we have. And i cannot thank you enough for your leadership and dedication to this issue and i hope our paths cross many, many times in the future. We also appreciate the secretary of state tillerson and ivanka trump personally and led the rollout of the 2017 report, a great event and i was glad to be there. I would begin commending the ambassador at the state department the focus of this years report on the responsibility of government to criminalize Human Trafficking and hold offenders accountable. This is large ly forprofit. No greater than to make it clear perpetrators and those who collaborate with them will pay a heavy price for these crimes. This years report contains specific elements our country and other countries can use to prosecute the crime of modern slavery. I hope in compiling this years report you will continue to highlight examples of progress and prosecutions and scrutinize where corruption and lack of progress are failing victims of modern slavery. The 2015 report and how it was perceived did real damage to this issue. And were still recovering from that. We all need to continue to reinforce trust in the process and developing the rankings. We are careful not to politicize the oversight process and that remains important. I do believe that beginning last year and again this year the state department has taken the integrity of the report seriously and we thank you very much for that. We were talking and may be questions about some of the outcomes but i think one of the things that absolutely everyone feels is there was no politicization. There may have been differences in judgment but we appreciate the integrity with which this was put together. Finally, i thank secretary tillerson for announcing the state department is proceeding with the 1. 5 billion initiative that senator menendez and i first presented to this committee in 2015. This is a critical step in the effort to end modern slavery globally. Prime minister may, victims will only find freedom if we cut vate a radically new global and coordinated approach to defeat this vile crime. Thank you both for being here and i turn to my friend. Thank you, mr. Chairman. Before i comment on todays hearing on the trafficking in persons report, let me just share with our colleagues that the chairman and i have been very focused on trying to get the russia sanction bill passed in the United States house of representatives. And i want to thank the chairman. We expressed as much flexibility as we possibly can to our colleagues in the house to deal with their particular procedural issue. We dont think thats a problem and we want to make sure that this bill is passed as quickly as possible in the house. And in the form that did pass the United States senate. I want to thank the chairman for his cooperation. We have been working without any difference here in trying to get this bill passed in the house. Im reminded secretary sullivan in that bill is the requirement for review before any sanction relief is given and particularly mention that because of press reports concerning the compounds in new york and maryland and we consider that a really major point to congress if action was taken on that without working with the members of congress. Let me thank you very much, mr. Chairman for this hearing. This hearing as we will review the most recent trafficking in persons report as you pointed out one of the great moral challenges of our time. It is modernday slavery. Just last week, i was not present but the another hat i wear Ranking Member of the helsinki commission. We had our annual meeting in belarus and our delegation was very much actively engaged on this issue of trafficking. The u. S. Leadership on this globally has made a huge difference. It was the leadership of the United States congress and United States government that has raised this issue to the International Community making it clear we will not tolerate trafficking in persons. And that we will take all necessary steps to end this tragedy. It distorts labor markets, destroys people, it e roads communities and undermines communities fueled by corruption, greed, violence. We will continue in our trafficking in persons report to me is the Gold Standard for what is used to have all countries do better. I mentioned previously when foreign guests come into my office, whether heads of states or foreign ministers, i have the report in my office and will review that countrys need for additional progress in order to deal with this. So, it was with great anticipation that we had this hearing and look forward to the 2017 report. Thank you for your extraordinary leadership on this issue. We know that you will be doing other things and i want to first and foremost acknowledge that the 2017 report represents the professional dedication that we expect to see in the trafficking of persons report. And im very pleased with the manner in which this report was handled and the way that the decisions were made. It doesnt mean that i agree with all the decisions that were made. I think in regards to china, i applaud you. I think that was absolutely the right decision and i know that it came with some political diplomatic challenges and it was the right thing to do and i applaud you on it. Im going to talk a little bit about malaysia because i am concerned about what happened in malaysia. It was upgraded to tier 2. That was one of the major countries that we were concerned about the manner in which it was handled in 2015 because of the apparent connection between the decision made in the report and the t. P. P. Negotiations taking place. Senator menendez was one of the principal leaders and had legislation on this, et cetera. It seemed a very political decision made in 2015. Malaysia is home to more than 2 million documented migrant laborers and millions more laborers many of whom to continue the bondage of forced labor yet only identified only 1500 trafficking victims. Thats all they could identify. They have yet to prosecute any of the officials in their involvement of the smuggling ring found on the border in 2015. Incredible tragedy, virtually no progress made resolving that issue. During that time they released 12 Police Officers suspected of trafficking raising questions as to the countrys commitments. I know the numbers are higher on the number of cases brought but as far as concrete results, i havent seen it and ill be interested as to why the upgrade was made. Im also happy that secretary [ inaudible ] is here because i am concerned as to how the reorganization will affect our ability to deal with trafficking issues. I know there is discussions being made in regards to the elimination of the bureau of population refugee and migration and some of those functions handled by the department of Homeland Security and i know there is consideration it being transferred to the department. I think in both cases would compromise not only the mission of the department of state i think critically important but how we deal with trafficking moving forward. I look forward to the secretarys testimony and to our discussion today. Thank you very much. With that, our first witness deputy secretary of state john sullivan. We welcome you here. Our second witness, ambassador at large to monitor and combat Human Trafficking. Were grateful both of you are here and doing the jobs that you are doing and have done and if you can take about five minutes to summarize we would appreciate it and look forward to questions after that and please just proceed in the order introduced. Thank you. Good morning. Thank you, mr. Chairman, senator cardin, members of the committee. Im honored to appear before you again today to discuss the important topic of the 2017 trafficking in persons report which the state Department Released last month. Im grateful for the opportunity to testify about the report. The state department is also grateful for the committees leadership and input on this issue and human rights and democracy broadly. Individual liberty and freedoms of religion, speech, press, assembly and the right to petition the government the core of who we are as americans. Secretary tiller son and i share a personal commit mefment in th regard and are proud through hearings like this one and strong legislation backed by this committee, you have been consistent and tireless fighting the insidious crime of Human Trafficking. I look forward to our continued collaboration on this and broader efforts to defend the worlds most vulnerable. I would also like to particularly thank ambassador at large susan copich who leads the state Departments Office to monitor and combat trafficking in persons, also known as the t. I. P. Office. She and her team have done a remarkable job not only producing the detailed report released but also to effort to encourage foreign officials, ngo leaders and others around the world to join this fight. At the rollout in june the secretary read a sobering line from the preamble from the trafficking victims protection act of 2000. Quote, as the 21st century be n begins 17 years later, still more than an estimated 20 million victims of Human Trafficking but the secretary also encouraged us to join in a shared hope that the 21st century will be the last century of Human Trafficking. The t. I. P. Report is an instrument that will help us make that hope become a reality. Its not only a symbol of u. S. Global leadership combatting Human Trafficking but a diagnostic tool to assess government efforts to cross the three ts, prosecuting traffickers, protecting and empowering victims and preventing future trafficking crimes. Since the enactment of it in 2000 and the t. I. P. Report first publication in 2001, it has prompted governments to enact comprehensive legislation, prosecute human traffickers, establish National Action plans, implement antitrafficking policies and programs that protect victims and conduct prevention campaigns. The focus of this years report is on governments responsibility to criminalize Human Trafficking. In all its forms and to prosecute offenders. It also emphasizes the responsibility of government to enforce antitrafficking laws, prevent the use of child soldiers and prosecute corrupt officials turning a blind eye. To combat Human Trafficking effectively governments must root out complicity by Public Officials. The report makes clear many countries take this issue seriously. I would emphasize some of the positive efforts countries have made this year discussed in the report. As secretary tillerson noted afghanistan serves as an example of progress. Last summer the president ordered an investigation into the institutionalized sexual abuse of children by security forces. And promised punishment for perpetrators. In january of this year, the Afghan Government enact ad new law to criminalize a practice that exploits boys for social and sexual entertainment. We will continue to work with the Afghan Government toward greater progress this year as they build on these efforts to investigate, prosecute and convict traffickers, including complicit government officials. Ukraine is another example, country on the watch list for four years butup graded to tier 2 status this year leading to the arrest and conviction of Police Officers, Public Officials and others complicit or willfullyly negjec of girls and boys under their care. Unfortunately, some countries have backpedaled. This years report reveals china has not taken serious steps to end its own complicity in trafficking, tens of thousands of north korean citizens Work Overseas at forced laborers primarily in china and russia. The north korean regime profits financially making hundreds of millions a year on the backs of their exploited citizens working abroad. Responsible nations cannot allow. This because of chinas lack of significant efforts to address and limit trafficking they were do downgraded to tier 3. It informs foreign programming to develop strategies and to prioritize countries according to their need for assistance and to make improvements. We use the analysis and recommendations to guide diplomacy on Human Trafficking so ambassadors and officials at every level can engage with foreign counterparts in this fight. I commit to you today i engage with goran as i engage with Foreign Government officials i will, like many of you, raise antitrafficking are concerns as well as broader human rights instances. All countries, including our own, the United States, have more to do to fight to end modern slavery. Im proud of the progress reflected in the 2017t. I. P. Report but it there is much more work to do to make the 21st century the last for Human Trafficking. We are eager to work with on gres to that end and i look forward to your questions. Thank you. Thank you so much. Ambassador . Now you can hear me. Thank you, mr. Chairman. Senator cardin and members of the committee. It is a real privilege to be here before you today on an issue to which we are all dedicated. Im honored to join deputy secretary sullivan and happy to answer questions on this years report. I have to say im humbled by the kind words spoken about me this morning. The effort to produce this report is state departmentwide effort. There are fabulous staff in the t. I. P. Office, our Embassy Personnel around the world none of this hard work could be done without them and i am the beneficiary of that hard work and dedication by the state department employees. Hearings like this are important to highlight the u. S. Governments commitment to combat trafficking. The t. I. P. Report used not only by governments by ngos and Civil Society members. Some here today and many will be watching. This conversation is a valuable opportunity to discuss the reports analysis and how it can be used as an effective tool to help improve government responses around the world. I look forward to discussing the record with you. Well, thank you. I again thank you both for your testimony. I know there will be numbers of written questions and some here today about some of the actual results. Id like to talk to you a little bit about just the bigger picture. I think for those people here in the audience, most of whom are interested [ inaudible ] on this issue, but they may be surprised at some of the things that were sited in johns opening comments about what is happening around the world. Could you share with us, maybe susan, and secretary sullivan, but what are you seeing in trends right now around the world as it relates to this issue in countries, citizens, if you will, taking up the challenge of ending modern slavery and trafficking in persons . Since the report first was produced, many more countries have passed laws banning the practice of Human Trafficking, many in compliance with International Protocol but still encouraging governments to criminalize all forms of trafficking. Some areas that were sometimes overlooked in countries where they were trafficking or trafficking of juveniles under the age of 18 without requiring force, prod or coercion. If someone is under 18, they cannot consent to engage in prostitution. They are sex trafficking victims and we are pushing countries around the world to recognize that. So, some in the past, some are still incomplete. We are also seeing an increase among Law Enforcement and the ability to identify victims of trafficking. And i share with governments when i travel that once you get better at identifying victims, your numbers are going to go up before they go down. The number of trafficking cases a country will find will increase, it is not enough to say weve passed a law, we solved the problem there, are no more trafficking victims that. Is not an accurate statement r. Once Law Enforcement understands the ability to recognize victims, the prosecutions around the world should increase. Once Law Enforcement recognizes the victims there is a need to provide services to victims to make them whole again, to reintegrate them into society. A lot of the grants my office manages and a lot of the efforts we are encouraging on behalf of Foreign Governments now is to provide servic