EXAMINING THE FEDERAL ADVISORY COMMITTEE ACT--CURRENT ISSUES AND DEVELOPMENTS ======================================================================= HEARING before the SUBCOMMITTEE ON INFORMATION POLICY, CENSUS, AND NATIONAL ARCHIVES of the COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM HOUSE OF REPRESENTATIVES ONE HUNDRED TENTH CONGRESS SECOND SESSION __________ APRIL 2, 2008 __________ Serial No. 110-85 __________ Printed for the use of the Committee on Oversight and Government Reform Available via the World Wide Web: http://www.gpoaccess.gov/congress/ index.html http://www.oversight.house.gov U.S. GOVERNMENT PRINTING OFFICE 44-910 PDF WASHINGTON DC: 2008 --------------------------------------------------------------------- For Sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512-1800; (202) 512ÿ091800 Fax: (202) 512ÿ092104 Mail: Stop IDCC, Washington, DC 20402ÿ090001 COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM HENRY A. WAXMAN, California, Chairman EDOLPHUS TOWNS, New York TOM DAVIS, Virginia PAUL E. KANJORSKI, Pennsylvania DAN BURTON, Indiana CAROLYN B. MALONEY, New York CHRISTOPHER SHAYS, Connecticut ELIJAH E. CUMMINGS, Maryland JOHN M. McHUGH, New York DENNIS J. KUCINICH, Ohio JOHN L. MICA, Florida DANNY K. DAVIS, Illinois MARK E. SOUDER, Indiana JOHN F. TIERNEY, Massachusetts TODD RUSSELL PLATTS, Pennsylvania WM. LACY CLAY, Missouri CHRIS CANNON, Utah DIANE E. WATSON, California JOHN J. DUNCAN, Jr., Tennessee STEPHEN F. LYNCH, Massachusetts MICHAEL R. TURNER, Ohio BRIAN HIGGINS, New York DARRELL E. ISSA, California JOHN A. YARMUTH, Kentucky KENNY MARCHANT, Texas BRUCE L. BRALEY, Iowa LYNN A. WESTMORELAND, Georgia ELEANOR HOLMES NORTON, District of PATRICK T. McHENRY, North Carolina Columbia VIRGINIA FOXX, North Carolina BETTY McCOLLUM, Minnesota BRIAN P. BILBRAY, California JIM COOPER, Tennessee BILL SALI, Idaho CHRIS VAN HOLLEN, Maryland JIM JORDAN, Ohio PAUL W. HODES, New Hampshire CHRISTOPHER S. MURPHY, Connecticut JOHN P. SARBANES, Maryland PETER WELCH, Vermont Phil Schiliro, Chief of Staff Phil Barnett, Staff Director Earley Green, Chief Clerk Lawrence Halloran, Minority Staff Director Subcommittee on Information Policy, Census, and National Archives WM. LACY CLAY, Missouri, Chairman PAUL E. KANJORSKI, Pennsylvania MICHAEL R. TURNER, Ohio CAROLYN B. MALONEY, New York CHRIS CANNON, Utah JOHN A. YARMUTH, Kentucky BILL SALI, Idaho PAUL W. HODES, New Hampshire Tony Haywood, Staff Director C O N T E N T S ---------- Page Hearing held on April 2, 2008.................................... 1 Statement of: Nazzaro, Robin, Director, National Resources and Environment, Government Accountability Office; Robert Flaak, Director, Committee Management Secretariat, General Services Administration; Sidney A. Shapiro, Associate Dean for Research and Development, Wake Forest School of Law, on behalf of the Center for Progressive Reform; and Frank Wilson, Director, Administration and Management, Department of Defense................................................. 7 Flaak, Robert............................................ 27 Nazzaro, Robin........................................... 7 Shapiro, Sidney A........................................ 53 Wilson, Frank............................................ 45 Letters, statements, etc., submitted for the record by: Clay, Hon. Wm. Lacy, a Representative in Congress from the State of Missouri, prepared statement of................... 3 Flaak, Robert, Director, Committee Management Secretariat, General Services Administration, prepared statement of..... 30 Nazzaro, Robin, Director, National Resources and Environment, Government Accountability Office, prepared statement of.... 9 Shapiro, Sidney A., Associate Dean for Research and Development, Wake Forest School of Law, on behalf of the Center for Progressive Reform: Prepared statement of.................................... 55 Proposed bill............................................ 70 Wilson, Frank, Director, Administration and Management, Department of Defense, prepared statement of............... 48 EXAMINING THE FEDERAL ADVISORY COMMITTEE ACT--CURRENT ISSUES AND DEVELOPMENTS ---------- WEDNESDAY, APRIL 2, 2008 House of Representatives, Subcommittee on Information Policy, Census, and National Archives, Committee on Oversight and Government Reform, Washington, DC. The subcommittee met, pursuant to notice, at 2 p.m. in room 2154, Rayburn House Office Building, Hon. Wm. Lacy Clay (chairman of the subcommittee) presiding. Present: Representatives Clay and Hodes. Staff present: Darryl Piggee, staff director/counsel; Jean Gosa, clerk; Alissa Bonner, professional staff member; Charisma Williams, staff assistant; Michelle Mitchell, legislative assistant, Office of Wm. Lacy Clay; Leneal Scott, information systems manager; and Charles Phillips, minority counsel. Mr. Clay. The Information Policy, Census, and National Archives Subcommittee will now come to order. Today's hearing will examine the Federal Advisory Committee Act [FACA], its implementation and changes needed to increase the transparency and independence of advisory committees. We will hear from witnesses who will testify about their experiences with FACA and offer recommendation that they believe will improve the act. Without objection, the Chair and ranking member will have 5 minutes to make opening statements, followed by opening statements not to exceed 3 minutes by any other Member who seeks recognition. Without objection, Members and witnesses may have 5 legislative days to submit a written statement or extraneous materials for the record. I will begin with my opening statement by saying that Congress passed the FACA in 1972 in response to the proliferation of Federal advisory committees with increased cost and little accountability. The aim of the act was to make Federal advisory committees accountable, transparent, balanced, and independent from the influence of special interests. A FACA seeks to ensure that the Federal Government benefits from a wide range of views on issues of importance to the American people, particularly with respect to sensitive or controversial issues; however, the law has not always been implemented to achieve balance, transparency, and independence. Recent news articles have reported that the administration has employed litmus tests to push its ideological agenda and exclude otherwise qualified individuals from advisory committees. A GAO study found that some appointments to scientific and technical advisory committees had generated some controversy due to the perception that appointments were made based on ideology rather than experience or more weighted to favor one group of stakeholders over another. GAO also found that members of Federal advisory committees are often appointed as representatives who represent entities or organizations and are not screened for conflict of interest, when they should be appointed as special Government employees subject to conflict of interest review. This happened with Vice President Cheney's infamous Energy Task Force that was stacked with industry representatives. Oversight and Government Reform Committee Chairman Henry Waxman and I have taken action to correct the loopholes in the law. We will introduce the Federal Advisory Committee Act Amendments of 2008, which will improve balance, transparency, and independence. The FACA Amendments will increase the disclosure requirements for advisory committees, require that appointments to advisory committees be made without regard to political affiliation, and require agencies to obtain conflict of interest disclosures. Our witnesses today will offer their views on the bill and provide recommendations to strengthen the bill. The subcommittee looks forward to hearing their testimony. [The prepared statement of Hon. Wm. Lacy Clay follows:] [GRAPHIC] [TIFF OMITTED] T4910.001 [GRAPHIC] [TIFF OMITTED] T4910.002 [GRAPHIC] [TIFF OMITTED] T4910.003 Mr. Clay. I will begin by swearing in our panel today. I want to start by introducing our panel. We will hear first from Ms. Robin Nazzaro, Director of Natural Resources and the Environment for the Government Accountability Office. She is currently responsible for GAO's work on Federal land management issues. She has been with GAO since 1979 and has a wealth of audit experience, staff office service, and diversity of issue area expertise, including tax, financial management, and information technology. Ms. Nazzaro has overseen GAO's work on several Federal agencies. Welcome to the subcommittee, Ms. Nazzaro. Next we will hear from Mr. Robert Flaak, Director of the Committee Management Secretariat for the General Services Administration, the agency charged with implementing FACA. Mr. Flaak's primary responsibilities include advising Federal executive branch agencies on advisory committee operations, developing policy and training to implement the Federal Advisory Committee Act, and establishing and evaluating performance measures to improve advisory committee operation. For the past 17 years Mr. Flaak has conducted Government- wide training on behalf of GSA, the U.S. Office of Government Ethics, and the EPA on FACA management and operations, ethics, and peer review. Prior to his current appointment, he was the senior policy advisor in the Office of GSA Administrative Policy. Thank you for being here, Mr. Flaak. Mr. Flaak. Thank you. Mr. Clay. Our third witness will be Colonel Frank Wilson, Director of Administration Program Support at the Washington Headquarters Services of the Department of Defense, and FACA Committee Management Office with DOD. Colonel Wilson is responsible for the control and supervision over the establishment, procedures, and accomplishments of DOD's 55 advisory committees and for carrying out the provisions of the Government in the Sunshine Act. He is a Vietnam veteran, having served on active duty with the Air Force from 1966 to 1992. Thank you for being here and for your service, Mr. Wilson. Our final witness will be Mr. Shapiro, a University distinguished professor of law and associate dean for research and development at the Wake Forest School of Law. Mr. Shapiro is a scholar member of the Center for Progressive Reform, who he is representing here today. He has written or co-written numerous articles about the administrative process, including FACA, a widely used law school case book on administrative law, and a one-volume student treatise on administrative law. Thank you, too, for appearing before this subcommittee. It is the policy of the Oversight and Government Reform Committee to swear in all witnesses before they testify. I would like to ask you to stand and to raise your right hands, please. [Witnesses sworn.] Mr. Clay. Let the record reflect that the witnesses answered in the affirmative. I ask that each witness now give a brief summary of their testimony and keep the summary under 5 minutes in duration. Your complete written statement will be included in the hearing. The little light on the table will indicate when you start and when you should finish. Ms. Nazzaro, we will start with you. STATEMENTS OF ROBIN NAZZARO, DIRECTOR, NATIONAL RESOURCES AND ENVIRONMENT, GOVERNMENT ACCOUNTABILITY OFFICE; ROBERT FLAAK, DIRECTOR, COMMITTEE MANAGEMENT SECRETARIAT, GENERAL SERVICES ADMINISTRATION; SIDNEY A. SHAPIRO, ASSOCIATE DEAN FOR RESEARCH AND DEVELOPMENT, WAKE FOREST SCHOOL OF LAW, ON BEHALF OF THE CENTER FOR PROGRESSIVE REFORM; AND FRANK WILSON, DIRECTOR, ADMINISTRATION AND MANAGEMENT, DEPARTMENT OF DEFENSE STATEMENT OF ROBIN NAZZARO Ms. Nazzaro. Thank you, Mr. Chairman. I am pleased to be here today to discuss our work on Federal advisory committees. Federal advisory committees have been called the fifth arm of Government because of the significant role they play in shaping public policy by providing advice to Federal agencies, the Congress, and the President on a wide array of issues such as stem cell research, drinking water standards, space exploration, food safety, and Federal land management, to name just a few. In fiscal year 2007, 52 agencies sponsored 915 active Federal advisory committees, with a total of about 65,000 members. Because of this role, it is essential that membership be and, just as importantly, be perceived as being free from conflict of interest and balanced as a whole. My testimony today will focus on the key findings and conclusions from our 2004 report, the recommendations we made in that report to the General Services Administration and the Office of Government Ethics and their responses, and potential changes to the Federal Advisory Committee Act to better ensure the independence and balance of the committees. In 2004 we concluded that additional Government-wide guidance could help agencies better ensure the independence of Federal advisory committee members and the balance of the Federal advisory committees. Specifically, we found OGE guidance on the appropriate use of representative or special Government employee appointments had shortcomings and did not adequately ensure that agencies appoint individuals selected to provide advice on behalf of the Government as special Government employees subject to conflict of interest regulations. Some agencies were inappropriately appointing most or all members as representatives, expected to reflect the views of a recognizable entity or group, even when the agencies called upon their members to provide advice on behalf of the Government. In addition, GSA guidance to Federal agencies did not address what types of information could be helpful in assessing the points of view of potential committee members, nor did agency procedures identify what information should be collected about potential Members to make decisions about committee balance. We made 12 recommendations to GSA and OGE to provide additional guidance to Federal agencies under three broad categories: the appropriate use of representative appointments; information that could help ensure committees are, in fact and perception, balanced; and practices that could better ensure the independence and balanced committees and increase transparency in the Federal advisory process. GSA and OGE implemented our recommendations to clarify the use of representative appointments; however, GSA has not fully implemented other recommendations, including those relating to committee balance and measures that would promote greater transparency, in part because of limitations in its authority to require agencies to comply with its guidance. In light of the responses to our recommendations and our limited review of current appointments that indicate some possible continued misuse of representative appointments, the subcommittee may want to consider amendments incorporating the substance of our 2004 recommendations that could help prevent the misuse of representative appointments and better ensure the independence of committee members by ensuring that the type of advice committee members are asking to provide is the primary consideration in determining whether they should be appointed as special government employees or as representatives. Special Government employee appointments are made when committee members are asked to provide independent advice on behalf of the Government. Appointments as representatives are limited to the more exceptional circumstances in which members are speaking as stakeholders for entities or the groups they represent. Individuals may not be appointed as representatives to represent classes of expertise. The use of the term representative in statutes and charters does not necessarily direct that members be appointed as representatives. Agencies ask perspective representative members whether they know of any reason their participation might be reasonably questioned, and agencies provide representative members with ethics training. To better achieve balance, the statute could identify the types of information agencies should consider in assessing prospective committee members' points of views, such as public statements or positions on the matter being reviewed or work for affected entities. To enhance transparency, the statute could be amended to require agencies to identify the processes used to formulate committees, state in member appointment letters whether the individuals are special Government employees or representatives, and state in committee products the nature of advice provided. Such legislation could provide greater assurance that committees are and are perceived as being balanced and independent. Mr. Chairman, this concludes my prepared statement. I would be happy to respond to any questions that you may have. [The prepared statement of Ms. Nazzaro follows:] [GRAPHIC] [TIFF OMITTED] T4910.004 [GRAPHIC] [TIFF OMITTED] T4910.005 [GRAPHIC] [TIFF OMITTED] T4910.006 [GRAPHIC] [TIFF OMITTED] T4910.007 [GRAPHIC] [TIFF OMITTED] T4910.008 [GRAPHIC] [TIFF OMITTED] T4910.009 [GRAPHIC] [TIFF OMITTED] T4910.010 [GRAPHIC] [TIFF OMITTED] T4910.011 [GRAPHIC] [TIFF OMITTED] T4910.012 [GRAPHIC] [TIFF OMITTED] T4910.013 [GRAPHIC] [TIFF OMITTED] T4910.014 [GRAPHIC] [TIFF OMITTED] T4910.015 [GRAPHIC] [TIFF OMITTED] T4910.016 [GRAPHIC] [TIFF OMITTED] T4910.017 [GRAPHIC] [TIFF OMITTED] T4910.018 [GRAPHIC] [TIFF OMITTED] T4910.019 [GRAPHIC] [TIFF OMITTED] T4910.020 [GRAPHIC] [TIFF OMITTED] T4910.021 Mr. Clay. Thank you very much. Mr. Flaak, you may proceed. STATEMENT OF ROBERT FLAAK Mr. Flaak. Mr. Chairman, thank you for inviting me to speak today on GSA's implementation of the Federal Advisory Committee Act. My full testimony incorporates our comments and how we handled the recommendations from the GAO, and I want to address those in my oral statement. What I would like to do is characterize how the GSA's Committee Management Secretariat manages its program and the kind of work that we do in terms of providing compliance and oversight of the Federal advisory committee program. First of all, we are responsible for issuing administrative guidelines on FACA, the FACA rule that provides framework for Government-wide oversight and helps departments and agencies manage their FACA operations. Agencies, through their committee management officers and their designated Federal officials who actually run the committees, have joined responsibility for implementing the act and for issuing additional guidelines that are needed to address the unique requirements of that particular agency. In order to provide agencies with the tools necessary for successful oversight and management of their advisory committee program, the Secretariat has developed a compliance and oversight program that uses a combination of shared management approaches, Web-based tools, inter-agency coordination, training, and the application of best practice guidelines, and we do this because, as Robin mentioned a moment ago, there are some limits on the authority that we have, so, rather than use authority we don't have, we find other ways that are effective in managing this program. Now let me point out what some of these are. As required by section 7(c) of the act we prepare the FACA rule, which is 41 CFR 102-3. This provides agencies with detailed guidance on the implementation of FACA. The guidance in this rule comes from the language in FACA and from case law. GSA prepares the Web- based Cases Law Digest, a compendium of FACA case law that was developed by interagency work group. They provide citations and summaries of relevant FACA case law, as well as Comptroller General decisions and Office of Legal Counsel opinions. It has information up through 2003, and we are presently in the process of updating that up through 2008. Secretariat staff members that work for me directly serve as GSA FACA desk officers. Each of our desk officers has a coordinating responsibility for advisory committee appointments, renewals, and terminations, FACA policy interpretation with the Federal agencies, and best practice guidance with a dozen or more individual agencies, and they do this through the committee management officers. The Secretariat has designed a Web-based shared management system, which has also been known as our FACA data base, to manage and compile meeting, membership, charter, costs, and other information and operational data on all Federal advisory committees. These are available on our Web site and are used in our annual comprehensive review of Federal advisory committees. The Secretariat has also incorporated performance measures in our shared management system for all agencies to provide information on their advisory committees and to examine committee outcomes, such as the number of recommendations accepted by an agency or the estimated value of the advice that has been impacted by that advisory committee or even across the agency. They are Government-wide and agency-wide roll-ups of this data. The Secretariat periodically administers an advisory committee engagement survey, which we originally designed with the Gallup Corp., to advisory committee members, staff, and decisionmakers, and the intent of this is to measure the extent to which sponsoring agencies address factors that are critical to the success of their advisory committees. The GSA chairs the 60-member Interagency Advisory Committee on FACA. It brings all the CMOs together quarterly to discuss FACA policy, best practices, training, and compliance issues. The Inter-Agency Committee does host a number of individual task forces and work groups that deal with a variety of issues, from developing Presidential transition packages for FACA programs and the coming transition issues, refining the questionnaire that we ask on performance measures, improving training, updating the case law digest, developing guidance updates, working on our shared management system, and so on. Last, but certainly not least, the Secretariat has conducted a FACA training program since 1989 which includes a formal introductory FACA training course that is taught about five to six times a year here in the Washington area for approximately 300 Federal employees each year. The course is taught by an inter-agency team of subject matter experts from GSA, EPA, DOD, Office of Government Ethics, National Archives and Records Administration, and the public to provide the students with an oversight of what they are expected to do. The course includes information on FACA history, laws related to FACA, legal and ethical issues, recordkeeping, committee operations, membership processes, and so on. Also more recently we conducted a 1-day committee management officer training seminar this past September attended by just about all the CMOs. Again, we held a FACA training conference in December, which was attended by over 200 people and had approximately 35 speakers. Mr. Chairman, the Secretariat has had a proactive compliance and oversight program, and I am justifiably proud of the significant results--results that we have been able to accomplish with a staff of only five dedicated professionals. As noted in my full testimony, GSA and OGE have taken appropriate actions, as we deem appropriate to respond to the recommendations by GAO, and with regard to amending the FACA, specifically GSA would not generally support amendments that unnecessarily limit the discretion of the executive branch or the case-by-case flexibility needed for each agency and each of the Federal advisory committees to support critical mission requirements. I am aware that you are proposing amendments to the FACA that we have seen an early version of, and we look forward to working with you to ensure that Federal agencies receive appropriate statutory, regulatory, and best practices guidance and support in the management of their program. Mr. Chairman, this concludes my prepared statement. I would be happy to answer any questions. [The prepared statement of Mr. Flaak follows:] [GRAPHIC] [TIFF OMITTED] T4910.022 [GRAPHIC] [TIFF OMITTED] T4910.023 [GRAPHIC] [TIFF OMITTED] T4910.024 [GRAPHIC] [TIFF OMITTED] T4910.025 [GRAPHIC] [TIFF OMITTED] T4910.026 [GRAPHIC] [TIFF OMITTED] T4910.027 [GRAPHIC] [TIFF OMITTED] T4910.028 [GRAPHIC] [TIFF OMITTED] T4910.029 [GRAPHIC] [TIFF OMITTED] T4910.030 [GRAPHIC] [TIFF OMITTED] T4910.031 [GRAPHIC] [TIFF OMITTED] T4910.032 [GRAPHIC] [TIFF OMITTED] T4910.033 [GRAPHIC] [TIFF OMITTED] T4910.034 [GRAPHIC] [TIFF OMITTED] T4910.035 [GRAPHIC] [TIFF OMITTED] T4910.036 Mr. Clay. Thank you very much, Mr. Flaak. We will go to Mr. Wilson now. You may proceed for 5 minutes. STATEMENT OF FRANK WILSON Mr. Wilson. Thank you for the opportunity to address this committee about potential improvements to the Federal Advisory Committee Act of 1972. By way of introduction, August 2006 most of the Secretary of Defense's statutory and regulatory authorities involving Federal advisory committees were delegated to Mr. Michael B. Donley, Director for Administration and Management, Office of the Secretary of Defense. As the major policy decisionmaker, Mr. Donley consulted with the Secretary and Deputy Secretary of Defense on key FACA-related issues. As the Department's Committee Management Officer, I work closely with the GSA's Committee Management Secretariat, Mr. Bob Flaak, who I join with today to testify before the committee. With the assistance of Mr. Jim Freeman, Deputy Committee Management Officer, we handle the day-to-day policy oversight and program issues for Mr. Donley. As I offer our thoughts on potential improvements to the Federal Advisory Committee Act, it is important to know that my deputy and I bring both policy and operational perspectives to this task. In addition to my CMO role in help to set and oversee committee management policy in the Department of Defense, my secondary role is to provide logistical support to various DOD- supported Federal advisory committees supported by the Washington Headquarters Services. With the combined experience base of 11 years, my deputy and I act as program managers, operationally establishing, supporting, and terminating numerous Federal advisory committees. Our work includes a broad spectrum of support, including budget development, facility management, information technology, human resources, financial management, event management, supplies, and contract support--everything needed to operationally establish or terminate a Federal advisory committee. With the able support of a skillful staff, we have successfully stood up key committees in a short period of time, the most recent of which was the President's Commission on Care for America's Returning Wounded Warriors. We were fortunate enough to have this committee up and running in 7 short working days. Mr. Chairman, based upon our unique perspective and experience, I would like to offer six recommendations for modification to the act for your consideration. Committee member appointments and renewals--DOD and Office of Personnel Management discussions concerning expert or consultant appointment authority in 5 CFR 304.103 are ongoing. Currently, the Department of Defense reviews over 1,200 committee members on an annual basis, which is a heavy administrative burden. Delineation of chairperson authorities and responsibilities--there is little discussion of the chairperson's authorities and responsibilities in the act and its implementing Federal regulations. This lack of clarification in our opinion sometimes creates a misconception that the committee lacks independence. We believe the act should clarify that the chairperson, as head of the committee, is responsible for ensuring that the committee operates consistent with existing statutes, Federal regulations, and agency guidelines. Acquisition of leased Federal advisory committees-- acquiring leased Federal advisory committees in a timely manner is always a major stumbling block when standing up Federal advisory committees, especially those lasting only 45 or 60 or perhaps 90 days, and large committees like the Commission on the National Guard and Reserves or the Base Reduction and Closure Commission. From an agency perspective, it would be easier to stand up a committee if GSA had the authority in limited circumstances to waive the competition requirement for leased Federal advisory committee acquisition under Title 40 of the United States Code. Tracking of recommendations and outcomes--we have seen in the last year alone an increased significance in the role Federal advisory committees have in examining and making recommendations on subjects of great interest to the public. From our perspective, the act currently details information about every aspect of Federal advisory committee work, with the exception of what may be the most important by-product, recommendations and outcomes. The outcomes are the final phase of the committee life cycle, and, like the committee's deliberative process, of paramount concern to your constituents. To this end we recommend that the act require a transparent mechanism for tracking and reporting the status of final recommendations and outcomes. Addressing technological advancements--it has been our experience that the creative nature of some committees makes it increasingly challenging for the Department of Defense to walk that fine line between management oversight and ensuring that we do not unduly influence the committee's work. We recognize that we live in a technological age not envisioned when the legislation was originally enacted. We recommend this subcommittee explore the opportunities and the restraints that new technology creates for committees and agencies, keeping in mind the act's underlying principles. For example, video teleconferencing offers an opportunity to facilitate committee meetings, but at what expense to public participation or agency security requirements? Scheduled review of legislation--there is currently no regular schedule for review of the act and consideration of the changing environments in which committees must operate. For this reason, we recommend the act require a mandatory review of the legislation every 10 years. A set of evaluation criteria should be created to conduct this schedule assessment in order to provide a baseline for discussions at each successive review. Finally, Mr. Chairman, we hope these recommendations will be of value to you as you consider modifications to the act. Ultimately, we recognize that when we look for ways to leverage technology, communicate more successfully with each other and the public, the results are committees that can work within the scope of a FAC legislation and are actively engaged in the level and quality of work needed by the Department. This concludes my prepared statement. I appreciate the opportunity to share with you our perspectives and experience, and I would be pleased to answer any questions that you may have. [The prepared statement of Mr. Wilson follows:] [GRAPHIC] [TIFF OMITTED] T4910.037 [GRAPHIC] [TIFF OMITTED] T4910.038 [GRAPHIC] [TIFF OMITTED] T4910.039 [GRAPHIC] [TIFF OMITTED] T4910.040 [GRAPHIC] [TIFF OMITTED] T4910.041 Mr. Clay. Thank you so much, Mr. Wilson. Mr. Shapiro, you may proceed. STATEMENT OF SIDNEY A. SHAPIRO Mr. Shapiro. Mr. Chairman, thank you for the invitation to testify. The public's confidence in and respect for our Government is directly influenced by the transparency and sunshine provisions that good Government laws like FACA can provide. Congressional action is required to rectify three problems with the current operation of FACA. Legislation is necessary to close the loopholes in FACA's coverage, promote better transparency in the advisory committee process, and improve the screening process for conflicts of interest. Congress should take these actions before we witness more stories of secret, biased, or unaccountable advisory committees influencing the scope and nature of Government policies and recommendations. The courts have created four loopholes that make it relatively easy for agencies to avoid FACA if they wish. Under the contractor loophole, agencies can avoid the statute by hiring private contractors to organize and operate an advisory committee. Under the strict management loophole, agencies can avoid FACA by letting a regulated entity appoint the committee members and share joint control of the agenda. Under the subcommittee loophole, an advisory committee can avoid the transparency and balance requirements of the statute by creating subcommittees to do the real work of the committee. Finally, under the non-voting participant loophole, outsiders can take an active role in Government committees without the committee becoming subject to the statute, as long as the private parties do not vote in committee deliberations. The proposed legislation would close these loopholes. Concerning the non-voting participant loophole, Congress should clarify the participation of private individuals in Government committees triggers the application of the act, even if the individual does not have a vote. The existence of agency Web sites makes it possible to take advantage of public oversight and participation in the administration of FACA. Relevant information about the advisory committee process should be posted on these Web sites. In addition, Congress should require agencies to invite public comment on potential committee members and provide the information necessary to make these comments meaningful. If enacted, the proposed legislation would meet only the first of these goals. I would suggest, however, that public comment on proposed nominees, which is not included in the most current draft of the legislation, be added. Such public comment is the only practical way to police the balance and conflict of interest provisions of the statute. Finally, FACA instructs agency officials to ensure the committees will not be inappropriately influenced by any special interests. Four problems have developed in implementing this directive. First, as we heard a moment ago, agencies avoid conflict of interest rules by appointing committee members as representatives in situations where the public would be better served by making committee members special Government employees subject to the Government's conflict of interest rules. Second, although Federal law permits waiver of financial conflict of interest in certain circumstances for committee members, Congress should police the misuse of such waivers. Third, there is no legal requirement that agencies give prompt public notice of waivers of conflicts of interest and permit public objection before they occur. The final problem is that each agency has its own criteria for determining when potential committee members have a conflict of interest. The proposed legislation responds to these concerns by requiring the administrator of GSA to promulgate conflict of interest regulations. Congress, however, should give specific directions to the administrator. The regulations should require that agencies justify the use of representatives on an advisory committee, establish presumptive limitations on the number of conflict of interest waivers available per committee, and adopt a definition of conflict of interest that is designed to cover all interests that could potentially affect a committee member's objectivity in reviewing the issues before the committee. In addition, Congress should require public comment on potential waivers of conflict of interest rules. Thank you for the opportunity to testify. [The prepared statement of Mr. Shapiro follows:] [GRAPHIC] [TIFF OMITTED] T4910.042 [GRAPHIC] [TIFF OMITTED] T4910.043 [GRAPHIC] [TIFF OMITTED] T4910.044 [GRAPHIC] [TIFF OMITTED] T4910.045 [GRAPHIC] [TIFF OMITTED] T4910.046 [GRAPHIC] [TIFF OMITTED] T4910.047 [GRAPHIC] [TIFF OMITTED] T4910.048 [GRAPHIC] [TIFF OMITTED] T4910.049 [GRAPHIC] [TIFF OMITTED] T4910.050 [GRAPHIC] [TIFF OMITTED] T4910.051 Mr. Clay. Thank you so much, Mr. Shapiro. We will start the questioning phase of the hearing, and I will start with Mr. Flaak. Mr. Flaak, one of the ways agencies avoid complying with the disclosure and open meeting requirements is by setting up subcommittees or task forces that are not required to comply with FACA. In 2001, GSA updated its regulations on FACA. Previous regulations required subcommittees of advisory committees to comply with FACA's disclosure requirements. GSA changed this regulation and now says that if a subcommittee reports to a parent committee the subcommittee does not have to comply with FACA. It seems that this is a loophole that allows agencies to avoid FACA by setting up subcommittees to hold meetings and conduct the business of the meeting without any sunshine, without any transparency. Do you think there is any real problem with requiring subcommittees to comply with FACA? Mr. Flaak. The reason, Mr. Chairman, that the GSA regulations were changed in 2001 to reflect that subcommittees were not subject to the act was, as explained in the prologue to that regulation or to that rule, the work group that developed this particular update to the rule included representation from the Department of Justice. In the discussions during the development of this document it was determined that, because the recent court cases that had taken place--Anti Hunger Coalition v. the Executive Committee is a good example of this--that the subcommittee situation, if a subcommittee is subject to all of the requirements of FACA the same way a full committee would be, then it would be subject to all of the open meeting requirements. In the case of a subcommittee, it is not subject to the chartering requirement because it does not report directly to an agency. Because of that, if a subcommittee is not subject to at least one of those requirements under FACA that they be chartered, it shouldn't be subject to any of the requirements under FACA. Now, for agencies that have an active program where they are using subcommittees and using them appropriately and not letting the parent committee do the rubber stamp, which is the biggest concern, I think, those programs are pretty effective. It is hard for us to manage or to be aware of how agencies use subcommittees, because we don't get reporting on those unless they advise us. In our part of the chartering process, when an advisory committee is chartered and we concur in that charter and we review that charter on behalf of the agency, if there are subcommittees to be formed by that group we would become aware of it at that time, or if they enter that information into our shared management system. So there are opportunities for mischief, certainly. Mr. Clay. So we need to correct that. We need to eliminate these gaping loopholes that allow for subverting U.S. law, allow for concealing information. I mean, what are we talking about here? These are advisory committees. Mr. Flaak. Yes. Mr. Clay. They don't set policy. These are advisory committees. They are advising agencies and departments. All of this secretive conducting of business, that is not what our Government is about. That is not how we operate as Government. Let me ask you some more questions. GAO recommended in its report that GSA be given stronger enforcement authority in statute in order to improve compliance by agency. During your audits of agencies, has GAS encountered cases where agencies do not comply because there was GSA lax enforcement authority? Can you give us some examples? Mr. Flaak. Well, certainly we have no enforcement authority to begin with. When we work with agencies across the Government--and we work primarily with the committee management officer--and we identify what those committees are doing, if there is anything that they are doing that we would view as being inappropriate or in contravention to what FACA requires as it is presently written, we notify them of that and we put it in writing. We have no enforcement group. We have no compliance group. I have five members of my staff who manage this whole program. So other than providing advice and guidance to the agencies, that is pretty much the extent of what we are able to do. Mr. Clay. Have you ever seen a case that involves a situation where GSA informed an agency that an individual should have been appointed as a representative, as opposed to a special Government employee? Mr. Flaak. We have had instances when we reviewed charters for advisory committees and the charter language that we are looking at indicates that the individuals who serve on that group will be experts, and then later in that same charter says they will be appointed as representative members. Mr. Clay. OK. FACA---- Mr. Flaak. That would suggest that there is a problem here, because any time I see the term expert on a charter I assume they are talking a special Government employee, which is usually the case. Mr. Clay. FACA requires that Federal advisory committee meetings be open to the public. The law provides for closed meetings in cases where the President or agency head determines that classified or proprietary information will be discussed. What is the total amount of meetings advisory committees held in fiscal year 2008? Mr. Flaak. In 2008 the data is still pretty raw because it only comes in to us as agencies submit it to us. The number is on our system. I don't have that data with me today. For 2007, though, the number was approximately 7,000 meetings. Mr. Clay. OK. And of those 7,000 meetings held, what percentage of meetings was closed? Mr. Flaak. Well, I can give you the exact number, actually. Mr. Clay. OK. We have time. Mr. Flaak. Agencies held 6,938 meetings in 2007. Of those, 290 were partially closed and 4,541 were closed; 2,100 were open. Mr. Clay. Repeat it again. Just repeat those figures for me. Mr. Flaak. Absolutely. Total number of meetings, 6,938; total partially closed--that means part of the meeting was also open--290; totally closed, 4,541; totally open, 2,107. Mr. Clay. OK. The numbers you gave us, that is more than half of the meetings. I mean, are we operating in secret now? Is Government operating in secret? Mr. Flaak. Let me explain why some of those numbers show up that way. The preponderance of those closed meetings are with three agencies. They are with the National Science Foundation, with the Department of Defense, and with the Health and Human Services Department. Those are meetings that are held in large part because of grant reviews, or, in the case of the Defense Department, for classified information. Mr. Clay. Which agency has the highest percentage of closed meetings? Mr. Flaak. The highest percentage I would suspect is HHS I think is first. Mr. Clay. Well, other than HHS. Other than HHS, who---- Mr. Flaak. NSF, National Science Foundation. Mr. Clay. I see. FACA requires that committees publish a summary of closed meetings. Mr. Flaak. Yes. Mr. Clay. Does GSA audit agencies to determine if agencies are complying with this regulation? If not, why? And if so, what are the findings of the audits? Mr. Flaak. The information on closed meeting reports is submitted by the agency to the Library of Congress every year. It is not submitted to GSA. Mr. Clay. They are not. I see. OK. So it goes to the Library and you don't ever see it? Mr. Flaak. We don't see those. No. Mr. Clay. I see. Are summaries posted in a timely manner, or do you have any information on that? Mr. Flaak. We have the information that they post on our data base as to when they do have closed meeting information. That is included in the reports that those agencies submit on our data base regarding their meetings for the year. That is how we have these numbers. Mr. Clay. I am going to digest some of this information I have just heard and let my colleague from New Hampshire have his 5 minutes. Mr. Hodes. Mr. Hodes. Thank you, Mr. Chairman. Thanks for holding this hearing. I thank the panelists for appearing at really what is a very important hearing. I am a relatively new Member of Congress, and came, I must admit, with a bias toward sunshine and transparency in Government. One of the major points of interest out in the general public when I was a member of the general public was Vice President Cheney's Energy Task Force and the way it was conducted, the results, and whether or not any of the information about who participated and how things went could be digested by the public in whose interest, theoretically, the task force was meeting. There is a perception that, while the administration claimed the task force was made up of only Federal employees, energy industry executives, and other outside groups participated in that task force. I wanted to explore for a moment some of the judicial action around the events. The D.C. Circuit Court of Appeals found that, because only Federal employees had a power to vote, the task force was not subject to the requirements of FACA. Now, that was interesting in light of an earlier decision in 1993 when the D.C. Circuit Court held, in a decision on President Clinton's Task Force on National Health Care Reform, ``A consultant may still be properly described as a member of an advisory committee if he is involved in a role functionally indistinguishable from those of the other members. If a consultant regularly attends and fully participates in working group meetings as if he were a member, he should be regarded as a member.'' Professor Shapiro, this seems to go to what you discussed in your written testimony in the ``non-voting participant loophole'' in which a change was made from recognizing the status of a de facto member but now imposing a new requirement for arguably--well, I guess I would ask can you tell us why the court reversed itself that way? Mr. Shapiro. Well, it got a strong push from the Supreme Court. In between the decisions of the D.C. Circuit, the attempt by the plaintiffs to obtain discovery was appealed to the Supreme Court, and the Court, without deciding as such, did ruminate that requiring the President to make disclosures that the President might not want to make could be a violation of his Executive Privilege. Then they sent it back to the D.C. Circuit. Unfortunately, what the D.C. Circuit did is make a decision for all time, when they should have limited that particular case to a Presidential advisory committee and tackled the problem that way. So in order to avoid the constitutional problem, the D.C. Circuit created this loophole for non-voting participants, which made the act inapplicable to the Cheney Committee, and task force seemingly avoided the constitutional problem. Unfortunately, that same loophole now applies across the Government to committees that have nothing to do with the President. Mr. Hodes. So we had an interlocutory decision without a holding from the Supreme Court on a narrow area which could have been confined to Presidential committees; instead, the D.C. Circuit decided in its wisdom that it should be universally applicable and we have a gaping loophole in transparency. Mr. Shapiro. Yes, sir. Mr. Hodes. So that means, if I am understanding you, that an agency could avoid FACA by technically only giving Federal employees the ability to vote on a committee, but at the same time inviting outside parties to participate as fully as any other members in the deliberations of the committee? Mr. Shapiro. It would seem so. Mr. Hodes. Have you reviewed or thought about the draft legislation, draft amendments to FACA that are under consideration? And do you believe that, as drafted, the language is clear enough so that we would avoid any further misinterpretation by the courts and also avoid constitutional challenges of the kind that occurred previously? Mr. Shapiro. The language in the draft which I saw this morning does go at this, but I think it would be advisable to take it on at the exact point that the D.C. Circuit left it and make explicit language that just because someone doesn't vote doesn't necessarily excuse this committee from falling under FACA, since that is what they tied it to. The language now talks about if someone participates, a private party, participates to the same extent, for all extending purposes, as Government employees, then the committee would be subject to FACA. And that language might be fine as far as it goes, but why not go just a little bit further and include the voting language, just to make sure that the courts don't misinterpret that Congress, information act, is overruling the D.C. Circuit opinion. Mr. Hodes. I understand that you have seen the language this morning and haven't had a lot of time to digest it. In your written testimony you mentioned some other loopholes--the contractor loophole, the strict management loophole, the one we just talked about, the subcommittee loophole. Let me talk for a minute, I think, about the subcommittee loophole. You mentioned that the D.C. Circuit Court's decision in National Anti-Hunger Coalition, FACA does not apply to task forces unless the parent committee is merely ``rubber stamping'' the task force's recommendations. Reading the language of FACA, it says the term advisory committee means any committee, board, commission, council, conference, panel, task force, or other similar group, or any subcommittee or other subgroup thereof that is established under statute or established or utilized by the President or an agency. Do you think FACA was intended to exempt subcommittees and task forces? Mr. Shapiro. No. Mr. Hodes. Do you think that the language as drafted currently, that you read this morning and haven't had a great time to address, sufficiently addresses clarifying what needs to be clarified to clean this part of things up? Mr. Shapiro. Yes, I don't. I think the act now picks up subcommittees. As we heard from Mr. Flaak, it might be necessary to make some fine tuning when we apply it to subcommittees. You wouldn't want to separately charter, for example, subcommittees and the committee, itself, so some thought will have to go into what is the effect of extending the act to subcommittees, and it may be certain technical parts of FACA would be inapplicable to the subcommittee. But with that adjustment, I think the proposed bill is reaching out appropriately to include subcommittees. Mr. Hodes. Just finally, I saw that my red light was flashing. I don't want to overstay my welcome. To the extent that you have thoughts on the other two loopholes and the clarity of language that we are thinking about, I would be happy to have your thoughts submitted in writing to the committee. Mr. Shapiro. Thank you, sir. [The information referred to follows:] [GRAPHIC] [TIFF OMITTED] T4910.052 [GRAPHIC] [TIFF OMITTED] T4910.053 [GRAPHIC] [TIFF OMITTED] T4910.054 [GRAPHIC] [TIFF OMITTED] T4910.055 [GRAPHIC] [TIFF OMITTED] T4910.056 [GRAPHIC] [TIFF OMITTED] T4910.057 [GRAPHIC] [TIFF OMITTED] T4910.058 [GRAPHIC] [TIFF OMITTED] T4910.059 [GRAPHIC] [TIFF OMITTED] T4910.060 [GRAPHIC] [TIFF OMITTED] T4910.061 [GRAPHIC] [TIFF OMITTED] T4910.062 [GRAPHIC] [TIFF OMITTED] T4910.063 Mr. Hodes. Thank you very much. Thank you, Mr. Chairman. Mr. Clay. Thank you, Mr. Hodes. Ms. Nazzaro, GAO's 2004 report entitled, ``Federal Advisory Committees: Additional Guidance Could Help Agencies Better Ensure Independence and Balance,'' states, ``To be effective, advisory committees must be and, just as importantly, be perceived as being independent and balanced.'' In your professional opinion, why is it important that Federal advisory committees be perceived as being independent, and how does it impact a committee's operation when the public does not perceive it as being independent? Ms. Nazzaro. I think at this point it is hard to determine what exactly has caused all the consternation with these advisory committees, but there does seem to be the issue over the perception that because there is not adequate transparency in the committee process and the makeup of the committees, how these committees are formulated and the roles that the individuals play, there certainly is this perception that the Government is doing something, as you referred to earlier, in a secretive fashion. So we certainly believe that not only should these committees be made up of independent members and the committee's themselves be balanced, but there has to be that transparency aspect to assure the general public agrees and does not have a problem with the findings, and then the ultimate actions that either the agency or Congress or the President may take as a result of this input. Mr. Clay. GAO was asked to examine the extent to which existing guidance and policies and procedures for evaluating committee members for conflicts of interest and parts of you ensure independent members and balanced committees. In your opinion, do agencies have in place the systems required to effectively screen potential committee members for conflict of interest? Ms. Nazzaro. I would say that goes back to one of our primary concerns with the whole process, and that is the concern over the appropriate use of representative appointments, because representative appointments do not get the same kind of conflict of interest screening that the SGE appointments get, and even in the limited analysis that we did to followup on our recommendations this year, we still continue to see what we think is inappropriate use of those appointments, whether they should be representative or they should be SGE. For example, we saw a number of committees, including the National Organic Standards Board, the Grain Inspection Advisory Committee, the Fruit and Vegetable Industry Advisory Committee--these committees, when they clarified why the individuals were representatives rather than SGE, they identified that they were representing the advisory committee, itself, strongly suggesting that the SGE appointments would have been more appropriate. Mr. Clay. Can you tell the subcommittee some of the affirmative steps agencies took to incorporate GAO's recommendations into their policy and procedures for Federal advisory committees? Ms. Nazzaro. Both GSA and the Office of Government Ethics did take a number of steps or actions to address our recommendations, including additional training, improving the quality of the training that they provide to the committees, and the advice. They have also, particularly in the case of GSA, done a lot to improve the data base, the FACA data base, if you will, which provides a lot more information to the general public on the makeup of these committees. But our concern is that, despite the guidance that these agencies have provided, the agencies in some cases seem to be able to just ignore that guidance because it does not have the statute behind it that would force the compliance. Mr. Clay. Sure. I can imagine that can be disheartening for someone in your position that makes the recommendation and then at least implies that they should follow the spirit of the law. Thank you for your response. Mr. Shapiro, an earlier draft of the bill I introduced today included language requiring each agency to provide an opportunity for the public to comment on the members the agency plans to appoint to an advisory committee, and we heard some concerns that this requirement could be embarrassing to potential advisory committee members if negative comments are submitted, and that the fear of that happening could discourage potential committee members from serving, especially if the comments could be made publicly available. Given these concerns, we did not include this language in the bill as introduced, but I am interested in getting feedback on this proposal, as it could be added later as an amendment if it is worth pursuing. Do any of you on this panel have a view on whether it would be useful to provide notice and comment on appointments, and, if so, would that information be kept confidential or would it be publicly available under FACA? I will let you start, Mr. Shapiro, and then we will go to Wilson and back down the line. Mr. Shapiro. Thank you, Mr. Chairman. There is somewhat of a track record on this, since the National Academy of Sciences is required by the legislation to announce in advance committee members. Now, it is not quite the same because there isn't a public comment period, but the National Academy certainly hears from people if they feel somehow that a committee appointment is inappropriate, and I think that was worked very well over there, and anyway we could find out by asking them. So there is some evidence that this could work. Second, as to whether it could be personally embarrassing to a person, I suppose that is always possible. The public could file any kind of comment. But the comments really go only to two things, neither of which should be personally embarrassing to anyone. First, the comments would go to the agency about the balance of the committee, so the point here is if the committee is imbalanced because it doesn't represent a full spectrum of views, then I would expect the public to comment as such. This is no fault of anyone who is being considered for a committee; it is the fault of the agency for not balancing the committee, so no one should take umbrage at that. And then, finally, as for the conflict of interest, again one of the issues is whether the agency is inappropriately using representatives where it should use special Government officials. We could have public comment on that. Again, I don't see why that is embarrassing to the individual, except they are caught up in something not of their doing, so that is relatively neutral. And then, finally, I suppose the most possibly embarrassing thing is conflict of interest, itself, but the statutes are clear and you are not supposed to be on an advisory committee if you have conflict of interest. You do have to disclose the data about your conflict. That is public information. So once again I am not quite sure that a public comment on that kind of information ought to discourage people, because they are presently presenting conflict of interest information. Mr. Clay. I look forward to working with you on that provision. Mr. Wilson. Mr. Wilson. In large part I would agree with Mr. Shapiro. Generally, from potential committee members we get more push- back from the financial disclosure statements. Some committee members would just as soon not sit on a committee because they have to go through that process. The Department of Defense, in the interest of transparency and accountability and communication, only has special Government employees from a committee member standpoint. We don't use representatives. We only have two committees directed by Congress--Missouri River, North Dakota, and South Dakota--that actually have representative members, and that is from the Indian nations of both those States. So the only thing I could think of is perhaps if a committee member, if it was public knowledge that this potential committee member had lack of credentials, but, you know, that could happen with anyone. Mr. Clay. Thank you for that. Ms. Nazzaro, any comment on that? Ms. Nazzaro. I would generally agree with Mr. Shapiro's comments. As far as experience, in addition to the academy, National Academies, we also mention FDA in our report has a general practice of getting this kind of information up front, making it clear to their members that they need to provide this type of information and providing it. Mr. Clay. Thank you. How about you, Mr. Flaak? Any position? Mr. Flaak. Yes. Actually, I do, Mr. Chairman. While we don't necessarily know which agencies are doing what in this regard specifically, unless we are talking with them directly, in my prior life at EPA I was a designated Federal officer and managed a program over there for almost 20 years running advisory committees, and we used only special Government employees in our program. We instituted a process much like the one that Sid mentioned with the Academy of Sciences. Any time we formed a new panel, we put a notice up on the Web site we were recruiting people. People could submit their names. We used that as a starting point and eventually we got down to a list of 20 or 25 names which were published on the Web site for public comment as to whether or not these folks were appropriate for the committee. We weren't asking whether or not they had conflicts of interest, just opening it up for general commentary. Now, for the most part we didn't receive any comments. Occasionally somebody said, Well, did you know this guy did this or did that. We used that process in concert with all of the reviews we did--conflict of interest, disclosure forms, background checks, looking at information that they may have published previously, and general expertise to determine if they were appropriate for the committee, and eventually published the final list. So yes, the system can work fairly well. Mr. Clay. OK. Mr. Flaak. But I can tell you it is very onerous and time consuming for the staff. It does take a lot of work to do that. Mr. Clay. Thank you. Thank you for your response. Mr. Hodes, your second round of questioning? Mr. Hodes. Thank you, Mr. Chairman. I will try to be brief, knowing we have to vote. Recently it was reported that the EPA removed a chemist, Dr. Deborah Rice, the chair of an advisory committee reviewing draft health assessment for a type of flame retardant. The removal of the chair of the committee followed a letter from the American Chemistry Council that raised concerns about her impartiality based on testimony she gave to a State legislature in Maine on the health dangers posed by the flame retardant. There have been concerns raised about the removal of Dr. Rice while other EPA advisory committee members have been permitted to serve, despite having ties to the chemical industry. In addition to the questions it raises about conflict of interest, it raises for me the questions of removal of a member or chair of an advisory committee, and perhaps, Mr. Flaak, you could tell us whether or not FACA currently has practices and procedures for the removal of members of these committees. Mr. Flaak. It does not. Mr. Hodes. None? Mr. Flaak. No. If agencies desire to appoint or not appoint individuals or take members off their committees, that is up to the agencies. Mr. Hodes. Given the concerns raised about the potential influence of outside parties in the removal process that have been raised by this case and perhaps others, should there be practices and procedures, do you think, for removal of members of advisory committees of some kind? Mr. Flaak. Generically for the Government and FACA, I think the agencies are better served by having a good transparent process by which they select the people in the first place. Mr. Hodes. So you think that a transparent selection process that is open, accountable, and deals with the conflicts of interest questions---- Mr. Flaak. Absolutely. Mr. Hodes [continuing]. Is sufficient, and we don't need to do anything at the back end, so to speak? Mr. Flaak. I don't think we do. No. Mr. Hodes. Anybody else on the panel have thoughts? Mr. Shapiro. I agree with that. That particular example is sort of a worst of all worlds. If I have this correct, that was a private contractor, so this committee wasn't under the legislation to start with. The issue of whether or not Dr. Rice had a conflict--which it doesn't appear she did--or whether the committee was unbalanced is best decided on the front end. Even if she had a particular point of view on the scientific merits that doesn't necessarily disqualify her; it goes to whether or not the whole committee is balanced. So removing one person after the fact may, in fact, make the committee unbalanced at that point. There is no way of knowing. Mr. Hodes. Mr. Wilson. Mr. Wilson. I concur with the previous two comments. It is much better off to have a full and transparent vetting process of the committee, you know, prospective committee members in advance than it is to go through the opposite and take care of it at the opposite end. Mr. Hodes. Terrific. Thank you very much. That is all I have, Mr. Chairman. Mr. Clay. Thank you, Mr. Hodes. Let me thank the entire panel for their testimony today. From your testimony, it is apparent that the Federal Advisory Committee Act, after 35 years, is due for some revisions. We will certainly be working on that out of this subcommittee and the full committee, and I look forward to working with all of you on a good product. That concludes this hearing. The committee is adjourned. [Whereupon, at 3:05 p.m., the subcommittee was adjourned.]