Hearings to examine the nominations of Jonathan McKernan, of Tennessee, to be an Under Secretary of the Treasury, and Alex Adams, of Idaho, to be Assistant Secretary for Family Support, Department of Health and Human Services.

Committee on Finance

2025-07-22

Source: Congress.gov

Summary

The meeting convened to consider several nominations for key government positions, including Joe Barloon for Deputy USTR and Ambassador to the WTO, Brian Morrissey for General Counsel of the Treasury Department, Jonathan McKernan for Under Secretary for Domestic Finance at the Treasury, and Dr. Alex Adams for Assistant Secretary for Family Support at HHS.[ 00:02:25 ] Senators discussed the qualifications, policy stances, and potential impacts of these nominees on various federal agencies and programs.[ 00:03:00-00:03:55 ]

Nominations for Joe Barloon and Brian Morrissey

Chairman Crapo expressed strong support for both Joe Barloon, noting his experience as General Counsel to the U.S. Trade Representative, and Brian Morrissey, highlighting his qualifications and bipartisan backing for the Treasury Department role.[ 00:03:00-00:03:55 ] Conversely, Ranking Member Wyden raised significant concerns about Brian Morrissey's potential role within an administration he described as "violating the law" and "weaponizing the IRS."[ 00:06:27-00:06:38 ] Wyden also criticized Joe Barloon for not offering a clear plan to reform the trade system and for a lack of transparency regarding his past work with foreign entities.[ 00:07:40-00:08:22 ]

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 He concluded by urging colleagues to reject both nominations, fearing they would enable the administration's "reckless policies."[ 00:08:53-00:09:20 ]

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Jonathan McKernan: Under Secretary for Domestic Finance

Chairman Crapo praised Mr. McKernan for his support of balanced regulation and his opposition to burdensome policies like Basel III, emphasizing his extensive experience across various financial agencies.[ 00:11:32-00:11:52 ]

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 Ranking Member Wyden questioned Mr. McKernan's ability to safeguard sensitive taxpayer data and to resist "Trump campaigning of chaos and corruption" if confirmed. Mr. McKernan outlined his commitment to fostering economic growth through an efficient and fair financial regulatory system, particularly by ensuring regulations are tailored to risk and by supporting community banks. He also acknowledged the unsustainable national debt trajectory, suggesting that economic growth is a crucial component of a solution.[ 01:13:17-01:13:20 ]

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 Discussions included addressing the "debanking" of lawful businesses and the possibility of increasing deposit insurance limits for business accounts to level the playing field between large and community banks.

Dr. Alex Adams: Assistant Secretary for Family Support

Chairman Crapo highlighted Dr. Adams's qualifications, including his leadership of Idaho's Health and Welfare Department, his fiscal management skills, and his track record in child welfare reforms like extending foster care services.[ 00:12:49-00:13:17 ]

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 Senator Wyden expressed alarm over Dr. Adams's "zero-based regulation" approach, which he argued could compromise safety standards for vulnerable children in Idaho, and challenged his stance on the measles epidemic and the treatment of LGBTQ+ youth in residential facilities. Dr. Adams defended "zero-based regulation" as a bipartisan method to remove outdated rules and stated his commitment to ensuring all children are treated with dignity and protected from harm, including prioritizing safety for unaccompanied minors. He also committed to strengthening Head Start, improving child welfare through data-driven recruitment of foster families, and ensuring human trafficking tips are reported to law enforcement.[ 00:37:59-00:38:20 ]

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Federal Spending and Fiscal Policy

The discussion included a contentious debate on the recent reconciliation bill, with Democrats asserting it increased the national debt and cut Medicaid services. Chairman Crapo rebutted these claims, stating that the bill reduced the deficit by eliminating waste and abuse in Medicaid without cutting benefits for qualified recipients, and projected economic growth due to pro-growth tax policies. Mr. McKernan acknowledged the national debt's unsustainable path, emphasizing growth as a solution to improve debt dynamics.[ 01:13:17-01:13:20 ]

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Tone of the Meeting

The tone of the meeting was largely divided and contentious, reflecting significant partisan differences over policy and the Trump administration's actions.[ 00:06:27-00:06:47 ] Ranking Member Wyden, in particular, adopted a highly critical stance, delivering strong condemnations of the administration and pressing nominees with pointed, often "yes or no" questions.[ 00:06:27-00:06:38 ] While Chairman Crapo maintained a formal and supportive demeanor towards the nominees, exchanges often grew tense, particularly as senators probed the nominees' willingness to follow legal statutes versus potential political directives.[ 00:03:00-00:04:04 ] A recurring theme was the emphasis on accountability and adherence to the law, with several senators expressing skepticism about whether nominees would resist perceived pressures from the executive branch.

Participants

Transcript

The committee will come to order.  We meet today to favorably consider reporting the nominations of Joe Barloon, who is nominated to serve as Deputy USTR and Ambassador to the World Trade Organization, and Brian Morrissey, who is nominated to serve as the General Counsel of the Treasury Department.   The meeting this morning will provide members who want to do so to take an opportunity to make remarks on the nominees.  Following these statements, we will recess briefly and then proceed to our nominations hearing at 1015.  We will meet at 11 a.m.  today off the Senate floor during the first vote to vote on Mr. Barloon and Mr. Morrissey pursuant to our agreement.   During his hearing, Mr. Barloon discussed his plan to work in good faith with WTO members and to advance the interests of the United States.  Importantly, based on his prior tenure as General Counsel to the U.S.  Trade Representative, Mr. Barloon understands the critical role the WTO plays in ensuring market access for our farmers and businesses of all types.  If confirmed, Mr. Barloon will work to restore U.S.  leadership at the WTO.   Building on prior Treasury Department experience, Mr. Morrissey is well-suited to provide critical legal and policy advice to the Secretary and to other senior department officials.  He's exceptionally qualified for the position, and his nomination received bipartisan support from Treasury general counsels dating back to 1977.   I was encouraged to hear that he will prioritize a close working relationship with Congress to ensure that the department effectively implements all of the laws sent to it.   I will vote in favor of both nominations, and I encourage all of my colleagues on the committee to do the same.
And I now recognize Ranking Member Wyden for his remarks.
Thank you, Mr. Chairman.  Before we begin today, I'd like to say a few words about the nominees that will be voted on.   I'll start with Mr. Brian Morrissey, who has been nominated to serve as the Treasury Department's top lawyer.  In my view, he is a qualified nominee with experience inside the federal government and the private sector.  But Mr. Morrissey's credentials   really are not the issue.  The real question is how does somebody approach the role of being in-house counsel for an administration that has turned violating the law into an Olympic sport?  Donald Trump has kneecapped the Treasury Department's ability to go after white-collar criminals and tax cheats.  He's weaponizing the IRS to crack down on free speech and stomp on taxpayer privacy laws.   And now that Republicans have rammed their dangerous budget bill into law, the Treasury Department will oversee the implementation of massive tax cuts for corporations and Donald Trump's biggest and most affluent donors.  Now let me turn to Joseph Barloon.   He has been nominated to serve as Deputy U.S.  Trade Representative of the World Trade Organization in Geneva.  Donald Trump is charged ahead with poisonous tariffs and erratic trade threats that have raised prices for families and wrecked supply chains for American businesses.   A better strategy would be fixing the trade system to make sure that US workers, farmers and companies get a fair shake.  That includes fixing the World Trade Organization.  Mr. Barloon has failed to give us any reassurance whatsoever   that he or the administration have a plan to move past some of these cliches and threats and actually get some real results that benefit the American people.
Additionally, Mr. Barloon failed to provide me or my staff with forthcoming answers about his work for foreign entities, and that raises several serious questions.   I'll wrap up with this.  Donald Trump has carefully hand-selected a roster of nominees to be willing participants as he runs roughshod over the Constitution and Americans' fundamental rights and enriches his friends, his donors.  Mr. Morrissey and Mr. Barloon are confirmed they'll be tasked with oversight and execution of Trump's reckless policies and actions that have been putting the American people at risk.   So I've seen no indication from either nominee that they would check some of these dangerous impulses from the Trump administration.  I urge my colleagues to vote no on both of these nominations.
Thank you, Senator Wyden.  And now, unless there is any other senator who seeks to make a statement, we will proceed.   Procedurally, unless there is an objection, the committee will recess and briefly until 1015 and proceed to this morning's nominations hearing.  We will reconvene to vote on these nominations off the Senate floor at 11 a.m.  during the first vote.  Without objection, it is so ordered.   This committee will come to order.  I want to thank our nominees Mr. McKernan and Dr. Adams for being here today.  Congratulations on your nominations and thank you both for your willingness to serve.  Today we will first hear from Jonathan McKernan who is nominated to serve as the Under Secretary for Domestic Finance at the Treasury Department.

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