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| Trump’s Pick for Health Secretary Faces More Ethics Questions in Hearing | Trump’s Pick for Health Secretary Faces More Ethics Questions in Hearing |
| (35 minutes later) | |
| WASHINGTON — Two nominees for President Trump’s cabinet, including his choice for health secretary, are facing new questions on ethics issues from senators overseeing their confirmation hearings. | WASHINGTON — Two nominees for President Trump’s cabinet, including his choice for health secretary, are facing new questions on ethics issues from senators overseeing their confirmation hearings. |
| ■ Mr. Trump’s pick to be secretary of health and human services, Representative Tom Price of Georgia, is now appearing before the Senate Finance Committee. | ■ Mr. Trump’s pick to be secretary of health and human services, Representative Tom Price of Georgia, is now appearing before the Senate Finance Committee. |
| ■ The president’s choice to be budget director, Representative Mick Mulvaney of South Carolina, faces two congressional panels. | ■ The president’s choice to be budget director, Representative Mick Mulvaney of South Carolina, faces two congressional panels. |
| ■ Linda E. McMahon, the former chief executive of World Wrestling Entertainment, Mr. Trump’s choice to lead the Small Business Administration, will appear before the Senate’s Small Business Committee. | |
| Here’s what to watch: | Here’s what to watch: |
| A background investigation of Mr. Price says he understated the value of his investments in an Australian pharmaceutical company and claimed income tax deductions that he could not substantiate. | A background investigation of Mr. Price says he understated the value of his investments in an Australian pharmaceutical company and claimed income tax deductions that he could not substantiate. |
| The findings emerged from a review of Mr. Price’s tax returns and other official documents by committee staff members from both parties. | The findings emerged from a review of Mr. Price’s tax returns and other official documents by committee staff members from both parties. |
| In a questionnaire in December, the committee staff said, Mr. Price understated the value of 400,613 shares of the Australian company that he purchased in August 2016 through “a private placement offering.” | In a questionnaire in December, the committee staff said, Mr. Price understated the value of 400,613 shares of the Australian company that he purchased in August 2016 through “a private placement offering.” |
| The value of the shares was listed on the questionnaire at $50,000 to $100,000, but that reflected the purchase price, the staff reported. At the request of the committee, Mr. Price recalculated the value of his holdings, to reflect their market price. The revised value was $100,000 to $250,000. | The value of the shares was listed on the questionnaire at $50,000 to $100,000, but that reflected the purchase price, the staff reported. At the request of the committee, Mr. Price recalculated the value of his holdings, to reflect their market price. The revised value was $100,000 to $250,000. |
| In addition, the committee staff said, Mr. Price “took improper deductions on his 2016 tax returns” for the depreciation of land associated with condominiums that he owns in Washington and in Nashville, Tenn. | In addition, the committee staff said, Mr. Price “took improper deductions on his 2016 tax returns” for the depreciation of land associated with condominiums that he owns in Washington and in Nashville, Tenn. |
| Moreover, the staff said, Mr. Price and his wife, both physicians, claimed “miscellaneous employment deductions totaling $19,034” for various expenses in 2013, 2014 and 2015. | Moreover, the staff said, Mr. Price and his wife, both physicians, claimed “miscellaneous employment deductions totaling $19,034” for various expenses in 2013, 2014 and 2015. |
| Neither Mr. Price nor his wife work as a physician, the staff report said, and “proper documentation could not be located,” so Mr. Price’s tax returns will be amended to remove the $19,034 in deductions. | Neither Mr. Price nor his wife work as a physician, the staff report said, and “proper documentation could not be located,” so Mr. Price’s tax returns will be amended to remove the $19,034 in deductions. |
| Senator Ron Wyden of Oregon, the senior Democrat on the Finance Committee, said Mr. Price was actively trading health care stocks at the same time he was promoting legislation that could affect the companies. “It’s hard to see how this can be anything but a conflict of interest and an abuse of his position,” Mr. Wyden said. | Senator Ron Wyden of Oregon, the senior Democrat on the Finance Committee, said Mr. Price was actively trading health care stocks at the same time he was promoting legislation that could affect the companies. “It’s hard to see how this can be anything but a conflict of interest and an abuse of his position,” Mr. Wyden said. |
| Mr. Price, an orthopedic surgeon from the Atlanta area, has said that he did not have any “nonpublic information” about the companies and entrusted most decisions about his investments to his stockbroker. | Mr. Price, an orthopedic surgeon from the Atlanta area, has said that he did not have any “nonpublic information” about the companies and entrusted most decisions about his investments to his stockbroker. |
| Faced with tough questioning from Mr. Wyden regarding his investments in the Australian pharmaceutical company, Innate Immunotherapeutics, Mr. Price said he had done nothing wrong. | |
| “The reality is that everything that I did was ethical, above board, legal and transparent,” he said. | |
| Senator Orrin G. Hatch, Republican of Utah, lamented “the hyper-politicization of the nomination process.” He said the attacks by Democrats on Mr. Price’s ethics were “specious and distorted.” | Senator Orrin G. Hatch, Republican of Utah, lamented “the hyper-politicization of the nomination process.” He said the attacks by Democrats on Mr. Price’s ethics were “specious and distorted.” |
| He said Democrats should not “invent new standards for finances, ethics and disclosure that are different from those that have generally applied in the past.” | He said Democrats should not “invent new standards for finances, ethics and disclosure that are different from those that have generally applied in the past.” |
| “None of those who say they oppose Dr. Price’s nomination seem to be talking about whether he is qualified,” Mr. Hatch said. | “None of those who say they oppose Dr. Price’s nomination seem to be talking about whether he is qualified,” Mr. Hatch said. |
| Mr. Hatch offered a critique of how Democrats were behaving with regard to the confirmation process. He blamed Democrats for trying to delay the approval of Mr. Trump’s nominees and said their behavior was threatening to damage the Senate as an institution. | Mr. Hatch offered a critique of how Democrats were behaving with regard to the confirmation process. He blamed Democrats for trying to delay the approval of Mr. Trump’s nominees and said their behavior was threatening to damage the Senate as an institution. |
| “While the overriding sense of comity and courtesy among senators has admittedly been in decline in recent years, I have never seen this level of partisan rancor when it comes to dealing with a president from an opposing party,” Mr. Hatch said. “I have never seen a party in the Senate, from its leaders on down, publicly commit to not only opposing virtually every nomination, but to attacking and maligning virtually every single nominee.” | “While the overriding sense of comity and courtesy among senators has admittedly been in decline in recent years, I have never seen this level of partisan rancor when it comes to dealing with a president from an opposing party,” Mr. Hatch said. “I have never seen a party in the Senate, from its leaders on down, publicly commit to not only opposing virtually every nomination, but to attacking and maligning virtually every single nominee.” |
| Senator Johnny Isakson, Republican of Georgia, also came to Mr. Price’s defense. “I feel like I’ve been asked to be a character witness in a felony trial in the sentencing phase of a conviction,” he said. He called Mr. Price “an honorable man.” | Senator Johnny Isakson, Republican of Georgia, also came to Mr. Price’s defense. “I feel like I’ve been asked to be a character witness in a felony trial in the sentencing phase of a conviction,” he said. He called Mr. Price “an honorable man.” |
| Mr. Mulvaney said that tackling government waste and reducing debt would be his top priorities if he were confirmed as President Trump’s budget director. | Mr. Mulvaney said that tackling government waste and reducing debt would be his top priorities if he were confirmed as President Trump’s budget director. |
| “I believe, as a matter of principle, that the debt is a problem that must be addressed sooner, rather than later,” Mr. Mulvaney said in prepared remarks to be delivered to the Senate Committee on the Budget. “I also know that fundamental changes are needed in the way Washington spends and taxes if we truly want a healthy economy.” | “I believe, as a matter of principle, that the debt is a problem that must be addressed sooner, rather than later,” Mr. Mulvaney said in prepared remarks to be delivered to the Senate Committee on the Budget. “I also know that fundamental changes are needed in the way Washington spends and taxes if we truly want a healthy economy.” |
| While Mr. Mulvaney is a big believer in spending cuts, he made it clear that he wanted to protect America’s social safety nets. “A strong, healthy economy allows us to protect our most vulnerable,” he said. | While Mr. Mulvaney is a big believer in spending cuts, he made it clear that he wanted to protect America’s social safety nets. “A strong, healthy economy allows us to protect our most vulnerable,” he said. |
| Mr. Mulvaney was asked about his failure to pay nanny taxes in his opening question and promised that it was an innocent mistake. | |
| “In 2000 we had triplets, when we came home we hired someone to help my wife to help take care of the children,” Mr. Mulvaney said. “In my mind she was a babysitter.” | |
| He added: “I did not consider her a household employee for purposes of withholding.” | |
| The Republican from South Carolina said that he realized his error when filling out a questionnaire related to his nomination to be Mr. Trump’s budget director. He said that he quickly moved to notify his accountant, the president and his colleagues so that he could correct the mistake. | |
| Ms. McMahon presented herself not as the billionaire former W.W.E. chief executive but instead as an entrepreneur who has weathered the worst moments of building a business from the ground up. And she emphasized her desire to help others do the same should she be confirmed as head of the Small Business Administration. | |
| Describing how she and her husband built their global business enterprise from an operation so small that they shared a desk, Ms. McMahon spoke of how they fought back from an early bankruptcy filing. | |
| Her testimony provided a stark contrast to the former executive she is today; the McMahons were among Mr. Trump’s biggest campaign donors, having given $6 million to a “super PAC” supporting him last August and September. | |
| Ms. McMahon said those who own small businesses “need confidence in the economy.” | |
| “Small businesses want to feel they can take a risk on expansion or a new hire without fearing onerous new regulations or unexpected taxes, fees and fines that will make such growth unaffordable,” she said in prepared remarks. “We want to renew optimism in our economy.” | |
| Ms. McMahon is among Mr. Trump’s more unusual cabinet choices. But unlike several of his other wealthy nominees, she has been in the political arena before, as a candidate. | Ms. McMahon is among Mr. Trump’s more unusual cabinet choices. But unlike several of his other wealthy nominees, she has been in the political arena before, as a candidate. |
| She spent around $100 million on unsuccessful campaigns for a Connecticut seat in the Senate in 2010 and in 2012. | She spent around $100 million on unsuccessful campaigns for a Connecticut seat in the Senate in 2010 and in 2012. |
| But she appears likely to fare better in her latest pursuit of a government post. The two Democrats who defeated her, Senators Richard Blumenthal and Christopher S. Murphy, offered praise for her after Mr. Trump selected her for his administration. | But she appears likely to fare better in her latest pursuit of a government post. The two Democrats who defeated her, Senators Richard Blumenthal and Christopher S. Murphy, offered praise for her after Mr. Trump selected her for his administration. |
| Republicans are eager to confirm more of Mr. Trump’s nominees, and they are contending with an abbreviated week. Republican members of the House and Senate will travel to Philadelphia for a retreat later in the week. | Republicans are eager to confirm more of Mr. Trump’s nominees, and they are contending with an abbreviated week. Republican members of the House and Senate will travel to Philadelphia for a retreat later in the week. |
| It remains to be seen if any of the president’s nominees will get a Senate vote on Tuesday. | It remains to be seen if any of the president’s nominees will get a Senate vote on Tuesday. |