Archive
Title: Presidential Speech to National Gov. Assoc.
Author: White House, Office of the Press Secretary
Date: January 31, 1995
THE WHITE HOUSE
Office of the Press Secretary:
For Immediate Release
January 31, l995
REMARKS BY THE PRESIDENT
IN SPEECH TO THE NATIONAL GOVERNORS ASSOCIATION
The J.W. Marriott Hotel
Washington, D.C.
11:15 A.M. EST
THE PRESIDENT: Thank you very much, Governor Dean,
Governor Thompson, fellow Governors and ladies and
gentlemen. It' s a pleasure for me to be back here.
I have enjoyed our visits in this meeting. I was
delighted to have you at the White House on Sunday
evening, and I have very, very much enjoyed our
discussion yesterday -- our discussions of welfare
reform and a whole range of other issues.
Last year, you may remember when I was here, that
Governor Carroll Campbell and I both lost our voices
before our talks, making collectively millions of
people in both parties happy. (Laughter.)
Unfortunately for you, I am fully recovered this
year and I would like to begin, if I might, by
thanking you for your vote just a few moments ago on
the Mexico stabilization package. I want to
underline the critical nature of the financial
problem in Mexico. All of you understand it, and I
applaud your vote across party and, especially,
across regional lines, because a number of you are
not at the moment as directly affected as others
are.
This crisis poses, however, great risks to our
workers, to our economy, and to the global economy,
and it poses these risks now. We must act now. It
has gotten worse day by day since I asked for
legislative action about two weeks ago. Rather than
face further delay I met with the congressional
leadership this morning and told them that I will
act under my executive authority and I have asked
for their full support. We cannot risk further
delay, and I tell you today, frankly, that your
strong support is very, very helpful and very
welcome.
The situation in Mexico continues to worsen. But the
leadership advised me that while they believe
Congress will -- or at least, might well --
eventually act, it will not do so immediately. And
therefore, it will not do so in time.
Because Congress cannot act now, I have worked with
other countries to prepare a new package. As
proposed now, it will consist of a $20 billion share
from the United States' Exchange Stabilization Fund
which we can authorize by executive action without a
new act of Congress; $17.5 billion from the
International Monetary Fund; and in addition to
that, there will be a short-term lending facility of
$10 billion from the Bank of International
Settlements. That means that in the aggregate, we
will be able to have an action that is potentially
even more aggressive than the $40 billion one I
originally proposed, with more of the load being
taken by international institutions and our trading
partners around the world which I applaud, but with
a significant part of the burden still being borne
by the United States.
This is in the interest of America, contrary to what
some have said, not because there are large
financial interests at stake, but because there are
thousands of jobs, billions of dollars of American
exports at stake, the potential of an even more
serious illegal immigration problem, the spread of
financial instability to other countries in our
hemisphere and indeed, to other developing countries
throughout the world, and the potential of a more
serious narcotics trafficking problem. All these
things are at stake in the Mexican crisis and,
therefore, I will act to protect our interests. I
have asked the bipartisan leadership of Congress to
support these actions, and I hope and believe they
will at some later point today.
The risks of inaction are greater than the risks of
decisive action. Do I know for sure that this
action will solve all the problems? I do not. Do I
believe it will? I do. Am I virtually certain that
if we do nothing, it will get much, much worse in a
hurry? I am. This is the right thing to do. You
have understood it, and I thank you very, very much
for your vote a few moments ago.
Since our first meeting two years ago, we have
enjoyed unprecedented cooperation, which have
included seven major waivers in the health care
reform area and 24 in the welfare reform area, a
partnership and a successful fight for the Crime
Bill last year which, as you know, reduces the
federal government and gives all the money back to
State and local communities to fight crime at the
grass roots level. I have had innovative and more
comprehensive agreements with the states of West
Virginia and Indiana in the area of children and
families, and the remarkable agreement that we
signed recently with the state of Oregon and seven
of our Cabinet Secretaries, ending federal micro-
management across a whole range of areas in return
for the statement by the state of Oregon of clear
goals and performance measures for the future.
This is the kind of thing that we need to be doing
for us. It's the kind of thing that I believe we are
in the process of doing on welfare reform. I was
informed of the Speaker's remarks just a few moments
before I came here, and I applaud them and I think
we have a real chance now to have a partnership
between the White House and the Congress, the
Governors and others who care deeply about this
issue.
Our next goal must be to dramatically restructure
the relationship between the federal government and
the states, to create a stronger partnership on
behalf of our people that goes to the heart of what
I have called the New Covenant of opportunity and
responsibility. I believe the federal government's
job is to expand opportunity and shrink bureaucracy.
And, therefore, I think it is clearly the thing for
us to do to try to shift more responsibility to the
states, to the localities and where appropriate to
the private sector and, therefore, give you the
opportunity to solve problems, working with your
people, that have eluded all of us for too long.
The system we inherited was based, fundamentally, on
a kind of benign distrust, from an era when -- let's
face it -- in decades past, states might not have
always done what they should have done to protect
their citizens. As a Southerner, I can tell you that
I don't know what we'd have done if the federal
government hadn't been willing to take some of the
action that it took in civil rights and in some
other areas to help poor children in my state and
others.
So we cannot -- and we need not -- condemn the past
to say that the whole nature and character of state
government, the expertise that's there, the
knowledge that's there, the connections that are
there with volunteer groups, with community groups,
with nonprofit groups, is totally different than it
used to be. And the nature of the work to be done,
and the problems to be solved are different than
they used to be. Therefore, the system we have
inherited needs a searching reexamination; and where
it is yesterday's government and not tomorrow's, it
ought to be changed.
We have tackled this problem with energy and with
some success. We have done it with real support from
the Cabinet and some opposition from some within the
bureaucracy that have been there through Republican
and Democratic administrations alike, and some in
our Congress who have questions about what we are
doing.
But I have spent too many years of my life around
this table to have forgotten what I learned there. I
think I came to this office with a profound
understanding of the challenges that you have faced
in working with the federal government. To build on
that understanding is part of the reinventing
government initiative. The Vice President, who came
with me here today for this announcement because
he's worked so hard to make it possible, has talked
literally to thousands of state and local government
workers, and they have been among the most helpful
in shaping our reinvention blueprint.
The message is loud and clear -- they want us to
stop the micro-management, trust them to do their
jobs, hold them accountable for results where
federal money and national interests are involved.
That's why we wish to create a new federal
government and a new partnership, based on trust and
accountability. You know better than anyone that a
great deal of what our national government does is
already carried out by states, by counties, by
cities. That's why we must change their
relationships and trust them more. I believe we
should ship decision-making responsibility and
resources from bureaucracies in Washington to
communities, to states and where we can, directly to
individuals.
Part of my job is to keep pushing the focus of the
national government back to grassroots America,
where we can solve so many of our problems more
effectively. We have begun that work, first by
cutting the size of the federal government. we have
already cut over a quarter of a trillion dollars in
spending, more then 300 domestic programs, more than
100,000 positions from the federal bureaucracy.
Those cuts will ultimately total, if no more laws or
budgets are passed, more than 270,000; making, when
the process is finished, your federal government the
smallest it has been since the Kennedy
administration.
But cutting government isn't enough. We also have to
make it work better; and we've done that too, in
many ways. We streamlined the Agriculture
Department, closing 1,200 field offices. We've moved
FEMA from being a disaster, to helping people in
disasters. The Department of Transportation worked
with private businesses and helped to rebuild
Southern California's fractured freeways in record
time and under budget, also with a partnership from
the state, by changing the laws and procedures and
making it work. We've cut an SBA loan form from an
inch thick to a single page. We've cut the time it
takes to get an FHA loan endorsement from four to
six weeks, to three to five days. We've reformed the
procurement system of the government so that
governments can buy the way businesses do, putting
an end to the Vice President's opportunity to go on
the Letterman Show and break $10 ashtrays that ought
to cost a dollar and a half. (Laughter.) We have
reformed the college loan system. The direct loan
program will literally save the taxpayers billions
of dollars, lower interest rates and fees and
improve repayment schedules for students, and lower
paperwork, bureaucratic time for our institutions of
higher education.
Much of this work is simple common sense. The Bureau
of Reclamation used to require 20 people to sign off
on building special fish ladders in Northern
California, taking three and a half years. The fish
were dead by then. But at least the ladder was
approved. Well, we removed 18 approval layers and
cut the time down to six months, and timed it for
the fish to spawn, to their great relief .
(Laughter.) I say this to make the point that a lot
of this is common sense, and an enormous amount of
this still remains to be done.
I suppose I have gotten more comments from you in
these last two days, pro and con, about the process
of federal regulation, than anything else. Some of
you said, well, I'm getting better cooperation from
the EPA than every before, thank you very much.
Others have said, what the policy is sounds good,
but there's nothing happening in our state to make
it better. And we have a long way to go, but we can
do this. And we ought to do it not simply with
general rhetoric, but also taking these issues one
by one by one, until we make it right.
I've asked the Vice President in Phase II of his
review, to continue to shrink federal departments;
and we're making sure that the remaining government
will be more economical, more entrepreneurial, less
bureaucratic, and less dictatorial.
A year ago I signed an executive order to encourage
creative partnerships with the private sector in the
ownership, financing and construction of
infrastructure, responding to your insistence that
you needed the same kind of flexibility the private
sector has when you raise funds for major
infrastructure projects. Today I'm happy to say that
Secretary Pena is announcing a series of 35 new
infrastructure projects in 21 states that will
mobilize almost $2 million in investment capital to
build roads, bridges and other infrastructure,
relying on trust and accountability, not rules and
bureaucracy. (Applause.)
Tens of thousands of new jobs will be created this
year not by rocket science, but by simply adopting
the financing techniques the private sector uses all
the time. We wouldn't have any of these projects if
we followed the old rules and allowed them to get in
the way of innovation. In the budget I'm submitting
to Congress I will propose turning this approach
into national policy by building performance
partnerships with state and local governments. We
want to consolidate categorical funding and call on
you to take responsibility for meeting the
performance standards. Trust and accountability are
the foundation of these new partnerships. We have to
trust you, our partners, to make the right choices
in spending public funds. And even though you'll
have more flexibility to solve your problems, you
must be held accountable for how you spend the
federal money.
I'm excited because this approach gives us a new
opportunity to work together, to move forward. On
Saturday, Governor Engler captivated the nation by
rolling out a list of 335 programs on parchment,
sacred programs, he wanted to put in the block grant
that he could write on a piece of notepaper. He
didn't know it, but next week, we want to announce
plans that we've worked on for months to consolidate
271 programs into 27 performance partnerships. And a
lot of those were on Governor Engler's list. I'd
like to help him cut it shorter. (Applause.) Thank
you.
One of those I've already announced in the new
performance partnership for education and job
training, part of our Middle Class Bill Of Rights.
We propose to collapse 70 separate programs to make
them more efficient and effective -- a GI Bill for
America's workers who need new skills to meet the
demands of changing times. State and local
governments will have broad flexibility to help meet
those needs, but we propose not just to give this
money back to state training programs, but instead
to let the workers themselves get a voucher and
choose where they want to go. Almost every American
is now within driving distance of a community
college, or some other kind of high training program
with a proven rate of success, far better than
anything we need to design. So we ought to put more
power not only back to the local level, but also
directly into the hands of citizens for the purposes
that are plainly in the national interest.
(Applause.)
In public health, we want to consolidate 108
programs into 16 performance partnerships, to
abolish a dozen environmental grants and give you
more power to achieve environmental goals.
(Applause) And I guess in parenthesis, I thank
Governor Carper for his repeated lectures to me on
that subject, citing the Delaware example. We want
to continue to combine the 60 HUD programs into
three. The federal government has worked in one way
for decades. Now it is time to try a new way -- a
way that is proven in its performance in the private
sector. It's time for these and other changes, and
many of them are drawn directly from your own
experience in your own laboratories of democracy.
When our country was founded, the founders rejected
government based on central control and distrust of
people. Our Constitution provides a few profound
guiding principles. It puts deep trust in the
American people to use their common sense - to
create a shared vision, not a centralized vision,
and to give life to those ideals. We have to take
advantage of this rare moment to renew that idea, to
reshape the relationship between the national
government and the states. The American people have
voted twice in the last two elections for dramatic
change in the way our country works. They want more
for their money; better schools; safer streets;
better roads, clean environment. But they want a
greater say in how this work is done, and they don't
want the federal government to do what can better be
done by private citizens, themselves or by
government that is closer to them.
They also have a deep feeling about our national
commitment and our national responsibilities and our
national interest -- things like the welfare of our
children; the future of our economy; our obligations
to our seniors. They know that we can meet these
national obligations and pursue our national
interest with a dramatic devolution of power and
responsibility and opportunity to the state
governments of this land. I look forward to making
all this happen with you. Thank you very much.
( Applause.) END 11:34 A.M. EST
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