Doctor Barley Dansmenakis urges recruitment of technical experts amid government budget cuts

The U.S. House Committee on Financial Services convened on July 13, 2025, to discuss critical issues surrounding U.S. policy on investment security, particularly focusing on the challenges of attracting technical expertise to the Committee on Foreign Investment in the United States (CFIUS) and its member agencies.

During the meeting, members expressed concern over the difficulties in recruiting subject matter experts in emerging technologies for government roles. Dr. Barley Dansmenakis highlighted that attracting these experts has been a persistent challenge, exacerbated by recent budget cuts and negative perceptions of civil service roles. He emphasized the need for the government to enhance its appeal to skilled professionals to ensure effective oversight of foreign investments.

The discussion also referenced the Foreign Investment Risk Review Modernization Act (FIRMAA) of 2018, which expanded CFIUS's capabilities by granting direct hiring authority and additional resources to recruit technical experts. Dr. Dansmenakis noted that this legislation had allowed the committee to leverage expertise from the Department of Defense and national laboratories, although he warned that talent retention remains a significant issue. He pointed out that many experts are leaving government positions, particularly within the Department of Energy, due to dissatisfaction with current administration policies.

Furthermore, the meeting addressed the implications of the U.S. government's historical leadership in anti-corruption efforts, citing the Corporate Transparency Act and the Foreign Corrupt Practices Act as key legislative measures. Concerns were raised about the potential long-term effects of perceived rollbacks in anti-corruption enforcement under the current administration, which could dampen foreign investment enthusiasm in the U.S.

In conclusion, the committee underscored the importance of addressing these recruitment and retention challenges to maintain the integrity and effectiveness of U.S. investment security policies. The discussions highlighted a critical intersection of talent management and regulatory enforcement that could shape the future landscape of foreign investment in the United States.