The Department of Homeland Security and the agencies under its umbrella are entering a critical stage as the department continues to refine its role and oversight in securing America against attack. The Transportation Security Administration continues to evolve in its mission to ensure the highest level of safety in all modes of transportation, with particular attention to aviation security. Regardless of what the future holds for TSA, we believe that the nomination and confirmation of Edmund Hawley will have a positive impact on the agency in this important redefinition phase. The Airforwarders Association, the industry voice for air cargo companies and their partners, has established a close working relationship with the Department of Homeland Security (DHS) and Transportation Security Administration (TSA) and looks forward to continuing that relationship with Mr. Hawley as Assistant Secretary.

Mr. Hawley has a strong background in transportation issues, particularly with regards to supply chain management and technological solutions to security issues. As the next Assistant Secretary of the Transportation Security Administration, he will be faced with decisions that will have a substantial impact on the nation's supply chain, which is in many ways America's economic lifeline. His experience will certainly aid him in pursuing security solutions without compromising economic vitality. His work both with the Federal Aviation Administration and as Vice President of Union Pacific Railroad's Transport Services division are equally important in the quest to make all modes of transportation secure.

His management skills, particularly in this regard, will be crucial to guiding TSA in this transitional period. In addition to his work with TSA, his experience with the Department of Transportation under President Reagan aids in his ability to understand and manipulate interagency politics. This communication experience combined with his technological background make Mr. Hawley particularly suited for TSA's 'high tech makeover' as Rep. John Mica (R-FL) stated.

Mr. Hawley has been involved with the Transportation Security Administration since its inception, where he was responsible for forming and overseeing private sector executives that helped the fledgling agency create its duties and meet deadlines. The early efficiency of the TSA has been credited to much of the collaborative work taken on by Mr. Hawley. We believe part of what has made the reforms implemented by the agency successful to date has been the willingness to reach out to affected industries by establishing working groups, discussions and seminars. Initiating a dialogue with industry has eased the burden of new and expansive regulations for many businesses that saw their concerns and questions addressed.

Without TSA's commitment to incorporate industry concerns into crafting regulations, many businesses could have been severely crippled or even eliminated during the wave of regulations in 2001 and early 2002. The Airforwarders Association has been honored to participate in a number of these working groups, both prior to and after the inception of DHS and TSA. We have long been a part of the Aviation Security Advisory Committee, which recently produced more than 40 recommendations for improving air cargo security, many which were included in the newly proposed TSA rules

The air cargo industry is a $17 billion dollar industry that directly employs thousands of Americans in both small businesses and internationally recognized companies. A healthy air cargo industry ensures financial benefits to the economy as a whole, providing revenue for airlines, as well as cost-effective services to companies that depend on the rapid transport of their goods across the nation. Just as its health boosts other industries, impediments to the health of air cargo have financial ripple effects felt across most, if not all, economic sectors.

Security is among the most vital components of our industry's health. No one is more committed to aviation security than the Airforwarders Association and its members. The business of airforwarding is built around a guarantee to provide safe transportation of goods in a timely manner. Without a high priority on security, our ability to execute those goals is compromised, harming both our customers and our businesses. This constant reminder of the high-risk environment in which we operate has taught us how to identify potential dangers and solutions to prevent these problems from occurring.

Our relationship with TSA and DHS has shown us firsthand the value of a collaborative, good faith atmosphere for strengthening air cargo security. Stricter regulations on 'known shipper' and increased oversight and inspection of cargo facilities have imposed burdens on the air cargo industry but were crafted in such a way to include the concerns of airforwarders, creating realistic and effective regulations. By continuing outreach efforts and a balanced regulatory approach, we are confident Mr. Hawley will help advance both air cargo security as well as the economic security of one of America's most critical industries.