Former DocuSign CEO Keith Krach to be Under Secretary of State  for Economic Growth, Energy, and the Environment (E)

Posted: 4:04 am EST

On January 18, the WH announced the president’s intent to nominate former CEO of DocuSign Keith Krach to be the State Department’s Under Secretary of State  for Economic Growth, Energy, and the Environment (E), to be the U.S. Alternate Governor for six international banks, and as Board of Director Member for OPIC. Below via the WH:

Keith Krach of California, to be:

  • Under Secretary of State  for Economic Growth, Energy, and the Environment
  • United States Alternate Governor of the European Bank for Reconstruction and Development
  • United States Alternate Governor to the International Bank for Reconstruction and Development
  • United States Alternate Governor to the Inter-American Development Bank
  • United States Alternate Governor of the African Development Bank
  • United States Alternate Governor of the African Development Fund
  • United States Alternate Governor of the Asian Development Bank
  • A Member of the Board of Directors of the Overseas Private Investment Corporation
    Mr. Krach is Chairman and former CEO of DocuSign, and was also the co-founder, Chairman, and CEO of Ariba.  Prior to that, Mr. Krach was Chief Operating Officer of Rasna Corporation and served as the first Entrepreneur and CEO-in-Residence for Benchmark Capital.  Mr. Krach began his career at General Motors.  Mr. Krach served as Chairman of Purdue University’s Board of Trustees, Chairman of Angie’s List, and is Chairman of the DocuSign Impact Foundation.  He received his B.S. and Honorary Doctorate in Engineering from Purdue University and an M.B.A. from Harvard University.

The Under Secretary of State  for Economic Growth, Energy, and the Environment oversees the following functional bureaus at the State Department.

Per history.state.gov, on Jul 13, 1972, Congress established separate and permanent positions at the Under Secretary of State level for Economic Affairs and for Political Affairs, in the Foreign Relations Authorization Act (P.L. 92-352; 86 Stat. 490). On Aug 16, 1985, Congress changed the title to include Agricultural Affairs (P.L. 99-93; 99 Stat. 405). The Under Secretary for Economic and Agricultural Affairs serves as the principal adviser to the Secretary and Deputy Secretary (previously Under Secretary) on matters relating to foreign economic and commercial policy. Specified duties, responsibilities, and assignments have varied over time. Each incumbent is commissioned with a functional designation as part of his title. On May 12, 1994, the title was changed to “Under Secretary of State for Economic, Business, and Agricultural Affairs.” On December 8, 2011, the title was changed to “Under Secretary for Economic Growth, Energy, and the Environment.”

Going back to 1946, out of the 18 previous appointees, only two career diplomats have ever been appointed as “E” under secretary  (Mann and Larson).  This non-career nomination for the “E” bureau is not surprising. If confirmed, Mr. Krach would succeed Catherine A. Novelli who was Vice-President of Worldwide Government Affairs at Apple prior to her 2013 nomination.

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Despite shutdown, Pompeo to go on with ambassadors conference to meet his 180+ field commanders, to look them in the eye

Also, who’s fast depleting  Diplomatic Security’s residual funds?

 

Secretary Pompeo told reporters at his stop in Abu Dhabi that morale at the State Department is good despite the shutdown (see Pompeo says “morale is good”. C’mon now, it’s swaggeryfuck good!). It’s so good that despite the shutdown, and State Department personnel being furloughed or working with no pay, he will still host the ambassadors’ conference, officially called the Global Chiefs of Mission Conference in D.C. next week. Via AP:

“It’s something that we’ve had teed up for a while,” he said. “It is incredibly important that they hear directly from me. It’s an important opportunity for me to get in front of 180-plus of my commanders in the field to look them in the eye and describe to them what it is we’re doing and how it is I expect them to do that.”
[…]
Almost half of the State Department employees in the United States and about one-quarter abroad have been furloughed during the shutdown. With the exception of certain local employees overseas, the rest are working without pay, including those tasked with supporting Pompeo’s trip, which has thus far taken him to Jordan, Iraq, Egypt and Bahrain.

An excerpt from Secretary Pompeo’s January 11 message to agency employees posted on the state.gov website also says this:

We are also committed to hosting the Global Chiefs of Mission Conference in Washington, D.C. next week. Bringing together the men and women who lead our overseas diplomatic missions is essential to successfully achieving our unified mission of advancing America’s foreign policy.

Even though the Secretary’s people are quite prolific, that’s  the only Miles With Mike update we’ve seen posted online. The message is posted under  the “M” press releases but not even clearly labeled. We are guessing that we’re seeing this in the public website because furloughed employees do not have access to their government email.

In any case, the State Department — despite the poor, no good, terrible optics — will go on with the Global Chiefs of Mission conference come rain or shine, shutdown or not, rapture or not, pay or no pay. Below via FP:

The State Department has decided to move forward with a major conference for all U.S. chiefs of mission and ambassadors abroad—there are 188—who will descend on Washington from Jan. 15 to 18 for a slew of meetings and receptions. Organizing the conference is a massive logistical undertaking, and bureaus at the State Department are pulling in furloughed employees to work overtime, with no pay, to set up the conference.
[…]
The spokesman noted travel for conference was arranged and funded prior to the government shutdown. The spokesperson called the timing of the conference “crucial to the safety, security, and prosperity of the United States” and added: “Given that the Senate has just confirmed 23 ambassadors, this conference is particularly important and timely in helping them get off to the right start as they assume their duties immediately.”

Just because this was funded before the shutdown, doesn’t mean they absolutely must go on with it during the shutdown. Are they afraid that this shutdown will go on for years, and there will not be a 2019 GCOM conference? The spox called the timing of this conference “crucial to the safety, security, and prosperity of the United States”, then my golly, what do we call the timing of the shutdown that’s now entering its fourth week?

Also the latest ambassador confirmations — except for the two going to Australia and Kenya respectively, are all career diplomats who are not going on their first overseas appointments. Using them as an excuse is just lame, yo!

As of January 4, President Trump has made 136 ambassadorial appointments (67 political and 69 career appointees).  The State Department’s new  Furlough Guidance notes the pay status/exception for Presidential Appointees:

According to OPM, individuals appointed by the President, with or without Senate confirmation, who otherwise are not subject to 5 U.S.C. 6301 and attendant regulations governing leave in the Federal service, are not subject to furlough. The salary of such a Presidential appointee is an obligation incurred by the year, without consideration of hours of duty required. Thus, the Presidential appointee cannot be placed in a nonduty, nonpay status. If a Presidential appointee, however, chooses to be in a nonpay status, the appointee may return part of his salary to the employing agency, provided that the agency has authority to accept gifts, or to the Treasury. Regardless of the Presidential appointee’s choice, the appointee’s entire salary is recorded for tax purposes. The following exceptions must be noted: former career Senior Executive Service (SES) appointees who took appointments at level V of the Executive Schedule or higher and elected to retain SES leave benefits under 5 U.S.C. 3392(c), are subject to furlough at the discretion of the agency. Also, Presidential appointees to positions requiring Senate confirmation, for example ambassadors, who choose to retain SFS/SES pay and benefits are subject to furlough at the discretion of the responsible Assistant Secretary, e.g. when absent on leave.

So the political appointees attending this big do in D.C. will be on paid status, while career appointees including approximately 50 chargé d’affaires are possibly deemed onduty and on nonpay status. All participants are flying to D.C., staying at DC hotels, and will have meal & incidental expenses paid for. The event will be supported by either employees working with no pay, or furloughed employees recalled “to work overtime, with no pay, to set up the conference.”

Of course, we can imagine that the support staff will be pumping with pride and joy — and who wouldn’t?

Here they are living the life they’ve always wanted, their dysfunctional government without care is in shutdown, they’re working with no pay, and they are supporting the 70th secretary of state meeting his 180-plus commanders in the field so he can look them in the eye, before he send them off to battle.  Or something. There will be talks, and at some “glitzy cocktail receptions at four-star hotels” (reportedly not organized or paid for by the State Department), there will be food, and drinks for the guests and the field commanders. There will be photos, of course, except — wait, are official photographers considered “essential” for this event?

If morale is “good” now, we can imagine it will be fuckityfuck great when this is all over. Now, you don’t need a survey to know that so no need to hire $M-dollar consultants to perform a survey on morale after the GCOM.

Meanwhile, about the Diplomatic Security’s residual funds …

We’ve blogged previously about what accounts are funded at the State Department during the shutdown.  One of those funded is Diplomatic Security which has already urged begged posts for the “prudent use of overtime” to slow down the drawdown of its residual funding. We don’t’ know how much “available balance” is there in this bureau.  But we’ve wondered out loud (others quietly) how long will the State Department be able to pay for its local employees including local security guards at 277 overseas posts without regular funding? See #TrumpShutdown Enters 18th Day, At Least $2.5B in Costs and Counting, With No End in Sight. For potential cascading impact if Diplomatic Security is unable to make payroll for guards, see What happens after pay period #26?

Secretary Pompeo has been on foreign travel from January 8-15. The trip is taking him and his wife to 1) Amman, Jordan; 2) Baghdad, Iraq; 3) Erbil, Iraq; 4) Cairo, Egypt; 5) Manama, Bahrain; 6) Abu Dhabi, United Arab Emirates; 7) Doha, Qatar; 8) Riyadh, Saudi Arabia; 9) Muscat, Oman; and 10) Kuwait City, Kuwait.

Not only are essential/not paid employees supporting this travel, Diplomatic Security agents from the State Department and at these overseas locations must be racking up their overtime. How much overtime? Somebody please FOIA that.

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115th Congress Final Day: Some Senate Confirmations

On January 2, the final day of the 15th Congress, the U.S. Senate did one mass confirmation of State Department, USAID and UN nominees. We’re going by the names tweeted by the Senate Cloakroom on Jan. 2 as there does not yet appear to be a list of the confirmed nominees. We previously posted the names pending on the Executive Calendar waiting for full Senate votes, see our post: Yo Wanna Spank Schumer But Not @Senatemajldr McConnell For Non-Confirmation of Ambassadors? Very Unfair!

All career ambassador nominees, with four exceptions, were confirmed. For political ambassador nominations, only two out of seven were confirmed (Australia and Kenya made it through). Two USAID and one UNFAO nominees also did not get their full Senate votes.

Based on that Executive Calendar list, we note that the following names were not/not included in the mass confirmation tweeted by @SenateCloakroom. Sometime tomorrow or the next day, we expect that these names, as well as those pending on the SFRC will be returned to the White House per Senate Rule. Most of the nominations that did not get a Senate vote today, and those pending in committee will most probably be renominated by the President within the next few days. We will have a separate posts if/when these nominees are renominated.

DEPARTMENT OF STATE
Stephen Akard, of Indiana, to be Director of the Office of Foreign Missions, with the rank of Ambassador, vice Gentry O. Smith, resigned.

AMBASSADORS (CAREER)
Robert K. Scott, of Maryland, a Career Member of the Senior Foreign Service, Class of Counselor, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Malawi.

Francisco Luis Palmieri, of Connecticut, a Career Member of the Senior Foreign Service, Class of Minister-Counselor, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Honduras

Daniel N. Rosenblum, of Maryland, a Career Member of the Senior Executive Service, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Uzbekistan

Joseph E. Macmanus, of New York, a Career Member of the Senior Foreign Service, Class of Minister-Counselor, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Colombia.

AMBASSADORS (POLITICAL)
Jeffrey Ross Gunter, of California, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Iceland.

Lynda Blanchard, of Alabama, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Slovenia

Donald R. Tapia, of Arizona, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to Jamaica.

Joseph Cella, of Michigan, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Fiji, and to serve concurrently and without additional compensation as Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Kiribati, the Republic of Nauru, the Kingdom of Tonga, and Tuvalu.

Kenneth S. George, of Texas, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Oriental Republic of Uruguay.

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2018 Goodbyes and Resignations

Jim Mattis Quits in Protest Over Trump’s Chaos Strategery
Brett McGurk, U.S. Envoy in ISIS Fight, Quits Over Trump’s Syria Withdrawal
Ex-Amb. to Estonia James D. Melville Writes Why He Quit
Russia Expels U.S. Diplomats, Closes Consulate General @USinStPete
Foggy Bottom Bids Goodbye to Secretary of State Rex Tillerson
U.S. Ambassador to Panama John Feeley Resigns From the Foreign Service Over Trump Policies

Secretary of Defense Jim Mattis Pens Farewell Message to Pentagon and Troops

Yo Wanna Spank Schumer But Not @Senatemajldr McConnell For Non-Confirmation of Ambassadors? Very Unfair!

It looks like the President of the United States is ending 2018 by ranting that “heads of countries” are calling and asking why Democratic Senator Chuck Schumer “is not approving their otherwise approved Ambassadors.” Well, first, to be clear, if they are really calling the WH asking about this, they would not be calling about “their otherwise approved ambassadors” because that would mean, these countries are calling about “their” ambassadors representing them in Washington. As far as we know, the U.S. Senate is not the entity that grants agrément for foreign diplomats to be appointed to the United States.

The president appears to be talking about U.S. Ambassadors nominated to foreign countries, which means, these are “our” ambassadors, and not these countries’ ambassadors even if they are assigned to these mysterious countries (whose “heads of countries” are um apparently “calling” and asking about stuff). If this is kinda confusing, try and imagine Saudi Arabia’s MBS or Turkey’s Erdogan calling the WH and asking what Schumer did to “their otherwise approved Ambassador” – that is, the Saudi Arabian and Turkish Ambassadors to the United States. They would not call the U.S. Ambassadors destined to their respective countries “their” ambassadors. We doubt if MBS would even call and ask what Schumer did to John Abizaid, Trump’s nominee to be the U.S. Ambassador to Saudi Arabia. Why would he? He got you know who. Would Erdogan call and ask what Schumer did to Trump’s nominee to be U.S. Ambassador to Turkey? He wouldn’t, cmon. There isn’t one.

https://twitter.com/realDonaldTrump/status/1079830268708556800

Second, we should note that there are indeed multiple nominees pending on the Senate Calendar and waiting for their full Senate votes. Except for two nominations who are subjects to two Democratic Senate holds, the rest of the nominees have been waiting for GOP Majority Leader Mitch McConnell to put them up for a vote. Over the past year, the GOP appeared to prioritized the confirmation of judicial nominees. In the last 12 months, approximately 70 Judiciary nominees were confirmed while only about 47 State Department nominees were confirmed for the same duration (excluding USAID, UN, and Foreign Service lists).

We have a separate post on the nominations that are currently pending at the SFRC. We are anticipating that most of these nominees will be renominated at the beginning of the next Congress, and that most of them will probably get confirmation from the Senate given the GOP’s expanded majority in the 116th Congress. We don’t know how many more judicial nominees the GOP is planning to shovel through the confirmation process, however, but if there is a large enough number, those again could have an impact on the speed of confirmation for State Department nominees.

Below are the nominations pending in the Executive Calendar. May be there is a potential for the U.S. Senate to have mass confirmation of these nominations on January 2? You all can hope, right? We’ll have to wait and see. 

DEPARTMENT OF STATE

Carol Z. Perez, of Virginia, a Career Member of the Senior Foreign Service, Class of MinisterCounselor, to be Director General of the Foreign Service, vice Arnold A. Chacon, resigned.

Ellen E. McCarthy, of Virginia, to be an Assistant Secretary of State (Intelligence and Research), vice Daniel Bennett Smith.

Stephen Akard, of Indiana, to be Director of the Office of Foreign Missions, with the rank of Ambassador, vice Gentry O. Smith, resigned.

AMBASSADORS (CAREER)

Lynne M. Tracy, of Ohio, a Career Member of the Senior Foreign Service, Class of MinisterCounselor, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Armenia.

Christopher Paul Henzel, of Virginia, a Career Member of the Senior Foreign Service, Class of Minister-Counselor, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Yemen.

Sarah-Ann Lynch, of Maryland, a Career Member of the Senior Foreign Service, Class of Minister-Counselor, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Co-operative Republic of Guyana

Earle D. Litzenberger, of California, a Career Member of the Senior Foreign Service, Class of Minister-Counselor, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Azerbaijan.

Matthew John Matthews, of Virginia, a Career Member of the Senior Foreign Service, Class of Minister-Counselor, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to Brunei Darussalam.

Michael S. Klecheski, of New York, a Career Member of the Senior Foreign Service, Class of Minister-Counselor, to be Ambassador Extraordinary and Plenipotentiary of the United States of America to the Republic of Mongolia.

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Brett McGurk, U.S. Envoy in ISIS Fight, Quits Over Trump’s Syria Withdrawal

Pompeo Swears-In @JTIP_State Ambassador-at-Large John C. Richmond #HumanTrafficking

 

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U/S David Hale Swears-In New U.S. Ambassador to Sri Lanka & Maldives Alaina Teplitz

 

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