Over in Col. Broyles' office, the scanned image of the Jackson bill shows up on his awesome tabletop computer as a "flagged item," and so he tells Olivia that whatever it is she scanned just raised a red flag over at the Department of Defense, and the Secretary wants to see them.

And it turns out the Department of Defense is on Liberty Island in the shadow of the Statue of Liberty, which in this universe is bronze. At first I thought there was some cool artistic lettering across the base of the statue, but it turns out that's just the shadows from the giant floating letters that let us know where we are.

So the three alt-Musketeers stroll into the building, with alt-Olivia asking the others if they've ever met the Secretary. Alt-Charlie says he shook his hand once when he graduated from the academy, while Lee says his dad knew the secretary. "That explains so much," says alt-Olivia. Yeah, not so much to us. But I assume it will. And Alt-Charlie is shooting up again, with Lee saying it's a good idea as you don't want to "leak worms all over the guy." "They're not worms," says Alt-Charlie, not for the first time.

So the team gets in to see the Secretary, who tells Lee that he's sorry about Lee's father, who was a good man and a fine jurist. Lee thanks him, and introduces Olivia and Charlie. Walternate's not much for the small talk, so he gets right down to telling them that he may have some insight as to who the casualty of the fringe event in Brooklyn was, and where he was from.

"What I'm about to tell you is classified. But I think it's time you knew what you were dealing with," says Walternate, and then asks Alt-Olivia what she can tell him about the Fringe Division. Alt-Olivia is all jokey and smiley as she says, "OK, I'll play," like, do you see anyone else laughing here? I mean there's irreverent, and then there's annoying. Anyway, she says Fringe Division is a special adjunct branch of the Department of Defense. "Its primary focus are natural and environmental disasters that began in 1985 with the zero event at Reiden Lake." Needing a little more exposition, Walternate asks what the natural disasters are. "They're holes in the fabric of the universe, sir," she says, and he gives her an A-plus, which for all we know indicates a pay-raise in the alternate universe.