Commitments weve made. And potentialsing military threat in the area. Do we close up shop and abandon our Alliance Systems . Or south korea doesnt believe we are a credible partner in the area, japan goes nuclear. South korea goes nuclear. You have a Nuclear Arms Race in northeast asia if the United States cannot uphold its alliances. Furthermore, if china allows to take over the South China Sea and name it as its sovereign territory, that means that the ,rinciple of the Global Commons of which we have been the main defender of world war ii, if we pull out we are also abandoning that commitment. Tough decisiony to make. It involves a lot of tradeoff in the wrists are going up. Risks are going up. We should be shooting for human welfare. Host what faces the next president . Difficultabout those relations between those two countries. Guest there is complexity and uncertainty. The next president will have to deal with some of the callers questions. Do we see china as a partner or adversary . What is the best strategy Going Forward . There is no silver bullet. Some of the other questions i think the next president will have to face, i have not heard any of the democratic or republican candidates speak. In light of the world changing, how much how must america change . What do we have to adapt, give up, emphasize . We hear about taking america back as if we can maintain the kind of status we have had in the world since world war ii. How must we change . I want to hear that dialogue and i havent heard it yet. Host talking about chinas military and other topics related to china. Thank you for your time. Were going to take you to a hearing featuring the secretary of state john kerry in front of the Senate Foreign relations committee. The topic of the hearing is the 2017 budget. [indiscernible] the media and Foreign Relations committee will come to order. We welcome everybody here. I know that many of us had a chance to talk to some of those in the audience and the hallway. While we have had great discussions, we know that you will honor the committee by keeping comments to yourself while we are proceeding. I want to thank everybody here on the committee for being here today. I want to thank our secretary for his service. I dont know to many secretaries of state that are put out as much effort in trying to solve the many problems that exist around the world. For that, i thank you for coming today. Typically, when we have a budget hearing, the testimony that is put forth is only about the budget. Having been chairman of the committee, you are probably not going to be taxed many questions about the budget. Therefore, i think you gave a narrative of your view of the world, which i appreciate. I think all of us understand that the reason the state department exists in the reason we find it is to do everything we can for your diplomacy. That is why you are here and one of the reasons he went into the narrative in your written testimony about things happening around the world. I wanted to thank you and i appreciate you being here. My opening comments are going to be things happening around the world. , weaw in munich last week had a candid conversation. You gave a talk at the conference. I know thaton is, senator perdue was there and others. I dont think ive seen europe so unsettled ever in my lifetime. I think their confidence level is at an alltime low. Aboutk they are concerned what russia is doing to destabilize the area using refugees as a weapon of war. Again, i think i am seen it hit that level before. Theyre looking for u. S. Leadership, no question. In syria, we had a frank and all the record discussion following an agreement. I know there were concerns about time relative to what russia would actually do. Many people thought they would do what they have done and that is to further solidify gangs and kill more people. I know that you have negotiated. I realize that you have a your disposal. Many of us have been asking what happens if the ceasefire doesnt hold . Out of thing russia believes that anything is going to happen. I think that is why they continue to make the games and be willing for a cessation. Also going to announce that they will sell to iran su 30s, which is in strict violation. My understanding, they can in fact come to the Un Security Council and as for permission. I love to understand if you expect that to happen. Militarizeginning to the gains they made in the South China Sea. They are even developing Missile Systems on these islands that are underwater and tyneside, but now being utilized. We passed something for north korea. They signed at to push back against them. I understand their worst there were these overtures. I will be will expand on what that was. We have now 5000 isis members in lebanon. I know we took some hits against them in the outskirts last week. I think many people have thought that maybe what demonstration was going to do was assess a much greater effort so that instead of it being incremental, there would be something done on a far more shock basis to set them back out we have the ability to do so. I look forward to talking about in and sharing with us your thoughts on all of these issues. I thank you for your narrative on the front and and your service. Dinertainly thank senator car for his ranking leadership. I will turn it to him. Sen. Cardin it is always a pleasure working with you. Secretary kerry it is a pleasure working with you. This is the last budget that president obama and his administration will be submitting to us. I want to reflect for a moment on your extraordinary leadership in advancing americas power through the effective use of diplomacy and Development Assistance. Secretary kerry, you understand or than anyone else is the former chair of this committee the importance of diplomacy and Development Assistance to our National Security. For that, i just congratulate you on an incredible record of accomplishment as secretary of state. Understand that military must be our last resort. You have carried that out by developing partnerships with other countries and coalitions so that we can be effective with our power. The most recent is the hope that we have in syria to ceasefire and stop the killings and allow humanitarian access. That is a critically important first step to resolving the conflict within syria so we can focus on isil without the fighting going on between the assad regime in the opposition. It is not compromised our position in terms of his future and accountability for war crimes he has committed. I also want to thank your staff. Theyve been incredibly accessible to us with providing information that i think is vital to our needs. The entire team, thank you for what youre been able to do. I generally support the president s budget. I think it speaks to the right priorities in regards to the state department. It deals with the threat from isil in northern africa. 4 billion to counter violent extremism. And recognizes the problems relative to chinas provocative actions in the South China Sea. If north Koreas Nuclear ambitions. I was pleased to see that we have enacted the north korea sanctions bill. We are always stronger the congress and the Administration Work together to advance american foreignpolicy. With challenges and our home hemisphere, Central America. We still have problems of unaccompanied children coming to our borders. I was visiting honduras and el salvador and saw the violence in the communities we began controlled areas. We must do more in order to make the country safe. The president s billiondollar request i hope will be supported dealing with the Good Governance and protection of communities as well as the Security Issues in Central America. The budget deal with russias aggression in east and central europe, particularly the hundred 53 million to improve democracy and Good Governance and anticorruption to promote european immigration. Anniversary of the agreement. You know russia has not complied with the military aspect, but it is incumbent upon ukraine to comply with the government aspects. This budget allows us to advance to those challenges. The budget provides with the continuing support of israel, 3. 1 billion of security assistance. We are in the process of negotiating the next chapter of the memorandum of understanding. It provides leadership on Climate Change. I was pleased to be part of 10 members who were in paris for copm 21. Americas leadership in the International Community coming together. This budget carries out our commitments. Visit in theto the southern part of africa. We saw firsthand the impact of on theed drought survivability of those countries in the southern part of africa. Their way of life at that jeopardy today because we were there during the rain season and we saw no rain. Row is the second year in a where it had the impact. New york times, points out the Research Teams report see rise in 28 centuries. The budget does deal with carrying out our commitment on Climate Change so that we can continue to provide legal the leadership needed to deal with this crisis. The budget deals with africa carrying out the africa Leaders Summit on power africa, Young African leadership. I think that is very important. Oncarries out our values providing International Leadership for the refugees, humanitarian needs that is global to maternal and child health, it deals with the zika virus in latin america and deals with aids regeneration. In secretary, when we were namibia, we had the chance to visit and aids site and see firsthand. We had a chance to interview about 30 or 40 aids patients. One asked that we relate to the leaders of our country they are lyft today because of u. S. Efforts. There is a whole generation alive today as a result of u. S. Leadership. It makes a huge difference what we do on developmental assistance around the world. We now have a stable country in namibia. They want to work with united as a directt result of our vomit. I want to thank you for including 60 million for and modernday slavery. We appreciate the funds that are put in. I am positive on the budget that has been submitted. I want to conclude with two points that im not pleased about. First, there is not enough allocations and Good Governance and democracy. The small amount of money we put into democracy building, we saw that in the four countries we ,isited, mozambique, namibia zimbabwe and botswana. There was incredible results. It is what america stands for and we need to do a better job of providing resources to promote democracy globally. Concerned about the baseline funding. The budget provides 50. 1 billion in allocations for foreign assistance, but only 35. 2 billion is in baseline funding as the chart points out. That is a declining some in the baseline. The reality of our world is that this budget provides our National Security. It needs to be grounded and sustainable and ongoing for the state of our nation. Im concerned that by not having the baseline high enough, with we run the risk in the future. I know the realities of the politics of this budget. This is not the ministrations doing. We need to make it clear that on National Security, we are committed not only to this year, but a sustained growth of americas president s globally. I hope will get a larger sum in the baseline. I look forward to your comments and i thank you again for your leadership. Sec. Kerry i couldnt agree more. It is a budget process on both sides of the aisle, it is nothing but a political document. T serves no purpose our inability to focus on our fiscal issues will weaken our nation while we are having this hearing. The fact that so much of it is oco speaks to the fact that we are not willing to make the tough decisions that are necessary on a permanent basis for our country. I know that is not on this particular issue with the ministership opposed. I do appreciate your bringing that up. , i would ask the audience there was clapping and cheering. I like the fact that everybody is here. You please be quite as the secretary begins. Sec. Kerry mr. Chairman and senator cardin, thank you. All of my former colleagues and friends on the committee, im happy to be here. I think we have a chance to have a very important conversation. I appreciate both of your opening comments very much. I want to begin by thanking all of you. I know it has been very difficult. I know the committee has worked incredibly hard to fill our positions at the state department and our overseas post. I also know this committee has a very special appreciation for the vital work of diplomacy both howour comments underscore vital it is for america to have who dontlomats deserve to be waiting a year or two years to be put in position. You have worked extremely hard mr. Chairman, thank you for your diligence and senator cardin, likewise. This is the way we are advanced the objectives of u. S. Policy. Whether it is for our business is trying to create jobs or traveling abroad. Pushingyou again for obviously complicated politics. Your favorable and prompt effort on the other nominations. Jacobsonrly roberta who is a professional civil servant. Her career has done a diligent job. She shouldnt be the prisoner of those choices. She does what she is instructed and she does it very well. Mr. Chairman, you have my prepared statement. I wont give you all of that, have some initial comment in summary. First, you mentioned the number of 50 billion, it is equal to 1 of the entire budget of the United States. , im convinced more and more after these last years after serving on the committee is the minimum price of the leadership role the United States of america plays on a global basis. Particularly at a time when we are engaged diplomatically and more deeply in more places simultaneously on more significant issues than any other time in our history. The scope of that engagement, im also convinced its absolutely essential to protect the interest of our nation and keep our citizens safe. Sohink it is growing more with the numbers of failed and failing states where the governments money that senator cardin just refer to is so critical. We can talk about that a little bit today. We are confronted today by perils that are as old as nationalist aggression. And cyber warfare. Run findors who mediaists who combine with evil thinking to wage war on civilization itself. Marked byentury was state actors and states going to war with each other. World war i, world war ii, that non, korea and so forth. The century is to find much more by nonstate actors taking action against state. The broad norms of society. Today, despiteze the dangers and the turmoil, we americans have many reasons for confidence. In recent years, a our economy has added more jobs than the rest of the industrialized world combined. Our armed forces are second to none, not even close. Our alliances in europe and asia are vigilant and strong. Our citizens are unmatched in the generosity of their commitment to humanitarian causes in civil society. We are the largest donor in the world to the crisis of syrian refugees, over 5. 1 billion. With all of my affection and respect for all of my colleagues around the world, i wouldnt switch places with a foreign minister of any country. To retreat to some illusionary golden age of the past. Enormousnow, we have opportunities and we are trying to seize them. In the past year, we reached and historically deal with iran. It has cut off that countries ,athways to Nuclear Weapon thereby making the world safer for us and our allies. If you doubt that, read the speech by the head of the idf forces of israel who recently had a security conference. Because of this agreement, there is no longer in exit threat to israel from iran with respect to the nuclear threat. That is from their security in israel. In paris in december, we joined governments and more than 190 nations included a comprehensive agreement to curb Greenhouse Gases and mention the effects we are seeing in the world today. Were trying to limit the most harmful consequences and Climate Change. We are determined to implement that by meeting our target at home and helping friends abroad to reduce Carbon Pollution and with their economies forward at the same time. Just this month, we officially signed the Transpacific Partnership to ensure the level Playing Field to open up job opportunity and 40 of the global gdp and strengthen americas leadership within the entire pacific. We are asking congress to approve that packed this year. In europe, we are sharply upgrading our security Reinsurance Initiative with a fourfold increase in support and giving russia a clear choice between continued sanctions were meeting its obligations to a sovereign and democratic ukraine. In our hemisphere, where helping colombia to in the globes that will reduce the pressure for illegal immigration. We are also seeking supplemental funds to minimize the danger of Public Health created by the zika virus. In asia, we are standing with our allies in opposition to threats posed by a belligerent north korea. Helping afghanistan and pakistan to counter violent extremities and and deepening our strategic allies with india and sri lanka and burma and encouraging the peaceful resolution of competing maritime planes in the South China Sea. The goal that is suffer