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Granholm was sworn in as secretary on Feb. 25, which would mean the 180 days would end in late August. The spokesperson did not address whether the secretary still had investments in Proterra or how much remains.
Energy Secretary Jennifer Granholm speaks during a press briefing at the White House, Tuesday, May 11, 2021, in Washington. (AP Photo/Evan Vucci)
(AP)
Granholm sold stock in some of her investments but had not offloaded any of her Proterra shares at the time President Biden had an April 20 virtual tour of the company’s Greenville, S.C., facility, the Washington Free Beacon reported. A day earlier, Vice President Kamala Harris toured Thomas Built Busses, a manufacturer of electric school buses in High Point, N.C., which is a partner with Proterra in production.
Proterra is in the process of going public through a $1.6 billion merger with ArcLight Clean Transition Corp., which could be a lucrative deal for stockholders. Reuters reported in January the transaction was expected to close in the first half of 2021.
Granholm told Politico in late April: “I had nothing to do with that trip. I resigned from Proterra, I signed an ethics agreement. I will divest of all my stock.”
Noting the tours, Sen. John Barrasso, R-Wyo., the ranking member of the Senate Energy and Natural Resources Committee, sent a letter to Energy Department Inspector General Teri Donaldson seeking an investigation.
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“The American people deserve transparency from their leaders,” Barrasso told Fox News. “Energy Secretary Granholm held millions of dollars of investments in an electric bus company, which was then toured by President Biden. She is playing a leading role in the Biden administration’s promotion of electric vehicles.”
Barrasso also noted the promises Granholm made during her Senate confirmation.
“During her nomination hearing, Secretary Granholm committed to the Senate that she would avoid the appearance of any conflicts of interest,” Barrasso continued. “This looks like a significant conflict of interest to me.”
During her confirmation, in response to a question from Barrasso, she said, “If confirmed, I will recuse myself from all particular matters that to my knowledge have a direct and predictable effect on the financial interests of Proterra until I have completed the divestiture.”
In a Jan. 21 Senate questionnaire, Granholm, a former Michigan governor, responded “Yes” to the question: “Have you taken appropriate action to avoid any conflict of interest or any appearance of a conflict of interest?” She also responded “Yes” to the question: “If confirmed, will you adhere to the committee’s recusal policy?”
In her ethics agreement with the Biden administration, Granholm agreed to “avoid any actual or apparent conflict of interest” and to resign from her board position at Proterra upon confirmation; forfeit her unvested stock options in Proterra Inc. upon resignation of her position as Board Member of Proterra Inc.; and to divest her vested stock options and resulting stock if she exercises her vested stock options in Proterra “as soon as practicable but not later than 180 days” after her confirmation.
One day before Granholm was sworn in, on Feb. 24 Biden issued an executive order that tasked his incoming energy secretary with submitting “a report identifying risks in the supply chain for high-capacity batteries, including electric-vehicle batteries, and policy recommendations to address these risks.”
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Biden’s American Jobs Plan proposes spending $174 billion “to win the EV market” for a package that includes tax incentives and grant programs for state and local governments as well as private companies to build a national network of 500,000 electric vehicle chargers by 2030. The plan also calls for replacing 50,000 diesel transit vehicles and electrifying at least one in five school busses to “set us on a path to 100 percent clean buses,” according to a White House press release.
“I am concerned that activities Secretary Granholm may have been directly or indirectly engaged in within the Biden Administration to promote electric vehicles (including electric buses), batteries, and charging infrastructure may have violated general commitments she made during her nomination process and as she entered the Biden Administration ‘to avoid any actual or apparent conflict of interest;’ to ‘avoid any actions creating the appearance of violating the Standards of Ethical Conduct for Employees of the Executive Branch;’ and to conduct ‘decision-making on the merits and exclusively in the public interest, without regard to private gain or personal benefit,’” Barrasso’s letter to the inspector general said.
