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OSTP [Office of Science and Technology Policy]
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285790685
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OSTP [Office of Science and Technology Policy]
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Records pertain to the Office of Science and Technology Policy.
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Records of the White House Office of the Chief of Staff to the President (George H. W. Bush Administration)
Andrew Card's Files
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Originally Processed With FOIA(s):
FOIA Number:
2005-0336-F
2005-0336-F
FOIA
MARKER
This is not a textual record. This is used as an
administrative marker by the George Bush Presidential
Library Staff.
Record Group/Collection:
George H.W. Bush Presidential Records
Collection/Office of Origin: Chief of Staff, White House Office of
Series:
Card, Andrew, Files
Subseries:
OA/ID Number:
08374
Folder ID Number:
08374-010
Folder Title:
OSTP [Office of Science and Technology Policy]
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Row:
Section:
Shelf:
Position:
G
10
16
6
2
DCF,
THE WHITE HOUSE
WASHINGTON
12/23
Document Originally
Attached to
Following Page
Date: 12/23/91
TO:
Sam Skinner
FROM: ANDY CARD
AC HAS SEEN
Action
Your Comment
Let's Talk
X
FYI
what
I talked wallan.
Nothing
Document Originally
Attached to
Following Page
THE WHITE HOUSE
WASHINGTON
AC HAS SEEN
December 17, 1991
MEMORANDUM FOR ANDY CARD
FROM:
D. ALLAN BROMLEY
man
SUBJECT:
Another Leak
When Dr. Joseph Broz joined me last Fall as a White House Fellow I asked him to
try to pull together as much data as possible about small U.S. businesses, their
funding, dynamics, purchase, etc. Since then he has made very substantial progress
in pulling together a previously unavailable database relevant to these companies --
companies that have been responsible for a very disproportionate fraction of the job
creation and innovation in this country in the past decade.
Copies of a very preliminary analysis of these data were made available to John
Sununu, Boyden Gray and Mike Boskin for comments and suggestions as well as to
several of the industrial members of PCAST. All were told that the study was at a
very preliminary stage and that the material should be closely held.
In parallel with the data analysis a few of us spent a little time thinking about what
policy suggestions might flow from the data in the tax, regulation and related areas of
major importance to small businesses. These thoughts were very preliminary, and in
some cases, clearly half-baked; they were for discussion and rough evaluation only.
Because Joe Broz needed some assistance and because OSTP had originally agreed to
take on Mark DeSantis, a former member of Senator Heinz' staff, for a temporary
period following the Senator's death, and because Mark had finished his original
assignment, I asked him to assist Joe through the end of his OSTP appointment on
December 31 of this year. Joe Broz, Mark DeSantis and others in OSTP were well
aware that there was to be no release of any part of this study prior to its review
within OSTP and eventually the EOP.
Unfortunately, as the attached memo from Joe Broz and the attached brief news
report shows, Mark DeSantis talked to a reporter in Joe Broz' absence from the
office, and even more unfortunately focussed on one of the discussion topics capital
gains taxes (on which the data do have a significant bearing) with the remark quoted.
I have no idea where the "State of the Union" idea originated nor do I have any idea
what may appear in the January National Journal where we have been told there will
be a much longer piece.
Obviously I have taken steps to again alert my staff to the "loose lips" peril but this
is already out. Given the earlier unhappiness regarding press reports on critical
technologies I certainly did not need this one on capital gains taxation!
Comments or suggestions would be welcome.
December 16, 1991
MEMORANDUM FOR DR. D. ALLAN BROMLEY
FROM:
DR. JOSEPH S. BROZ
R.
SUBJECT:
UNAUTHORIZED AND PREMATURE RELEASE OF
INFORMATION REGARDING THE SMALL, HIGH-TECH
BUSINESS STUDY
In recognition of OSTP's firm policy concerning unauthorized release of information, I must
notify you that unauthorized information has appeared in the December 14, 1991 issue of
the National Journal, "Inside Washington" section (p. 3005). This piece quotes unknown
"White House sources" and erroneously claims that we are developing a capital gains tax
cut package for inclusion in the State of the Union address. Directly after this statement,
a temporary and junior member of our staff is quoted in a context which gives a damaging
veneer of authenticity to the piece. The staff member acknowledges having spoken with the
Journal reporter, but states that he gave none of the information reported in the piece other
than the misrepresented quotation. To my knowledge, and after considerable investigation,
no member of the OSTP staff immediately connected to the study claims to have made to
the press any statements regarding details of the analysis, tax policies or small business
issues as was stated in the publication. Apparently, an unknown source has contributed
much of the information to the press regarding our efforts.
There are indications that the reporter involved may be preparing a larger article on small
high-tech business to be published by the same journal in January. It is impossible for me
to predict the scope and content of the forthcoming article since unknown sources are
involved, nor can I assess the degree to which it might damage the Administration or
compromise the efforts of OSTP.
My primary concern regarding this "leak" does not rest with the numerical specifics of the
analysis which are fully substantiated and from entirely public sources, but rather, I am
disturbed about the possibility that some very preliminary, discussion-level policy options
that have been internally discussed in the context of small, high-tech business may be
represented as actual Administration policy. Given the hidden nature of the sources, I
cannot say whether these internal and privileged discussions have been publicly disclosed
at this time.
INSIDE WASHINGTON
Stumping for
Yes, Times
Tax Credits
Still Change
Automakers and other big
Congress struggled last month
U.S. manufacturers are clam-
against isolationist fever-and
oring on Capitol Hill for
a lukewarm Bush Administra-
restoration of a favorite tax
tion-to appropriate $400 mil-
preference-the investment
lion to help the Soviet Union
tax credit, repealed in 1986.
destroy its nukes. The idea
And they're getting a recep-
failed in the House as part of a
tive hearing. Some main-
$1 billion aid package and
stream economists say an
passed the Senate (and later
ITC, which would permit
the House) in scaled-down
companies to subtract a por-
form only after Richard G.
tion of their plant and equip-
Lugar, R-Ind., Sam Nunn, D-
ment spending from their tax
Ga., and David L. Boren, D-
bill, would provide a much
Okla., assembled a coalition.
bigger investment bang for
Now, the Administration is
the buck than would a cut in
glad to have the aid. "I can't
the capital gains tax. And
think of anything that is more
some Democrats say the ITC
in the national security inter-
could credibly serve as the
est of the United States
growth component of a Dem-
Secretary of State James A.
ocratic fairness-and-growth
Baker III said last weekend.
economic policy package. Or-
ganized-labor representatives,
who traditionally have op-
the White House's Office of
posed the ITC as a corporate
Science and Technology Poli-
Move Over, Doonesbury
subsidy for replacing workers
cy is quietly developing a pro-
with machines, remain skepti-
posal for capital gains cut tar-
Rep. Henry A. Waxman, D-
petitiveness. "Inept, insensi-
cal but are willing to explore
geted for small business that
Calif., eyeing an election-year
tive and arrogant" were
new prospects.
White House sources say is
showdown, minced no words
among Waxman's assess-
likely to be included in Presi-
at a Dec. 10 hearing of his
ments. Although Republicans
dent Bush's January State of
Energy and Commerce Sub-
blasted the "partisan witch-
the Union address. "We'd like
committee on Health and the
hunt," Waxman called for a
And Cuts
to think we were first out of
Environment, which is prob-
criminal investigation of possi-
the gate on this," said Mark F.
ing Vice President Dan
ble conflict-of-interest charges
After decades of languishing
DeSantis, a policy analyst in
Quayle's leadership of the
against Allan B. Hubbard, the
in the background politically,
the science office.
President's Council on Com-
council's executive director.
Dress Right (or Else)!
The military's obsession with couture seems unquenchable. In the mid 1980s, the
Navy was convulsed over whether aviators should wear brown shoes with winter
uniforms. With the air service having wrapped up multimillion-dollar uniform
redesign, Air&Force Times reports, a new edict will ban crew neck T-shirts with
open-collar uniforms-to enhance the esprit de corps essential to an effective
military force, the brass say. What is so professional about the appearance of a
large amount of chest hair coming from a man's open shirt collar ?!! Times read-
er gripes. 4 believe that a neat, clean crew neck projects a more positive.image.
NATIONAL JOURNAL 12/14/91 3005
AC HAS SEL.
of
To Brant KSeaway
And THE WASHINGTON
WHITE HOUSE
for
RECEIVED
DEC 20 1991
December 19, 1991
MEMORANDUM FOR ANDREW H. CARD
FROM:
D. ALLAN BROMLEY
Anan
SUBJECT:
PRESIDENTIAL TRAVEL
Pursuant to your memorandum of December 17 requiring notification of staff
assistance on the President's trip to Australia and the Far East, Mrs. Sara R. Bowden
will accompany me.
With the President's approval, I would like to join the President's traveling group in
Korea and Japan where there are important science and technology components to the
visits. Mrs. Bowden and I plan to fly commercial to Korea arriving on January 4,
1992. After joining the President's party, I would then return with the President.
AC HAS SEEN
THE WHITE HOUSE
WASHINGTON
RECEIVED
DEC 24 1991
December 19, 1991
MEMORANDUM FOR ANDREW H. CARD
DEPUTY CHIEF OF STAFF
FROM:
D. ALLAN BROMLEY
Amai
THE ASSISTANT TO THE PRESIDENT
FOR SCIENCE AND TECHNOLOGY
SUBJECT:
Presidential Travel
No
the fank. Rike
Pursuant to your memorandum of December 17 requiring notification of staff
assistance on the President's trip to Australia and the Far East, Mrs. Sara R. Bowden
will accompany me.
With the President's approval, I would like to join the President's traveling group in
Korea and Japan where there are important science and technology components to the
visits. Mrs. Bowden and I plan to fly commercial to Korea arriving on January 4,
1992. After joining the President's party, I would then return with the President.
Plo. copies and Sam Darman
THE WHITE HOUSE
WASHINGTON
AC HAS SEEN
December 17, 1991
MEMORANDUM FOR ANDY CARD
FROM:
D. ALLAN BROMLEY
Mar
SUBJECT:
Another Leak
When Dr. Joseph Broz joined me last Fall as a White House Fellow I asked him to
try to pull together as much data as possible about small U.S. businesses, their
funding, dynamics, purchase, etc. Since then he has made very substantial progress
in pulling together a previously unavailable database relevant to these companies
companies that have been responsible for a very disproportionate fraction of the job
creation and innovation in this country in the past decade.
Copies of a very preliminary analysis of these data were made available to John
Sununu, Boyden Gray and Mike Boskin for comments and suggestions as well as to
several of the industrial members of PCAST. All were told that the study was at a
very preliminary stage and that the material should be closely held.
In parallel with the data analysis a few of us spent a little time thinking about what
policy suggestions might flow from the data in the tax, regulation and related areas of
major importance to small businesses. These thoughts were very preliminary, and in
some cases, clearly half-baked; they were for discussion and rough evaluation only.
Because Joe Broz needed some assistance and because OSTP had originally agreed to
take on Mark DeSantis, a former member of Senator Heinz' staff, for a temporary
period following the Senator's death, and because Mark had finished his original
assignment, I asked him to assist Joe through the end of his OSTP appointment on
December 31 of this year. Joe Broz, Mark DeSantis and others in OSTP were well
aware that there was to be no release of any part of this study prior to its review
within OSTP and eventually the EOP.
Unfortunately, as the attached memo from Joe Broz and the attached brief news
report shows, Mark DeSantis talked to a reporter in Joe Broz' absence from the
office, and even more unfortunately focussed on one of the discussion topics -- capital
gains taxes (on which the data do have a significant bearing) with the remark quoted.
I have no idea where the "State of the Union" idea originated nor do I have any idea
what may appear in the January National Journal where we have been told there will
be a much longer piece.
Obviously I have taken steps to again alert my staff to the "loose lips" peril but this
is already out. Given the earlier unhappiness regarding press reports on critical
technologies I certainly did not need this one on capital gains taxation!
Comments or suggestions would be welcome.
December 16, 1991
MEMORANDUM FOR DR. D. ALLAN BROMLEY
FROM:
DR. JOSEPH S. BROZ
R.
SUBJECT:
UNAUTHORIZED AND PREMATURE RELEASE OF
INFORMATION REGARDING THE SMALL, HIGH-TECH
BUSINESS STUDY
In recognition of OSTP's firm policy concerning unauthorized release of information, I must
notify you that unauthorized information has appeared in the December 14, 1991 issue of
the National Journal, "Inside Washington" section (p. 3005). This piece quotes unknown
"White House sources" and erroneously claims that we are developing a capital gains tax
cut package for inclusion in the State of the Union address. Directly after this statement,
a temporary and junior member of our staff is quoted in a context which gives a damaging
veneer of authenticity to the piece. The staff member acknowledges having spoken with the
Journal reporter, but states that he gave none of the information reported in the piece other
than the misrepresented quotation. To my knowledge, and after considerable investigation,
no member of the OSTP staff immediately connected to the study claims to have made to
the press any statements regarding details of the analysis, tax policies or small business
issues as was stated in the publication. Apparently, an unknown source has contributed
much of the information to the press regarding our efforts.
There are indications that the reporter involved may be preparing a larger article on small
high-tech business to be published by the same journal in January. It is impossible for me
to predict the scope and content of the forthcoming article since unknown sources are
involved, nor can I assess the degree to which it might damage the Administration or
compromise the efforts of OSTP.
My primary concern regarding this "leak" does not rest with the numerical specifics of the
analysis which are fully substantiated and from entirely public sources, but rather, I am
disturbed about the possibility that some very preliminary, discussion-level policy options
that have been internally discussed in the context of small, high-tech business may be
represented as actual Administration policy. Given the hidden nature of the sources, I
cannot say whether these internal and privileged discussions have been publicly disclosed
at this time.
INSIDE WASHINGTON
Stumping for
Yes, Times
Tax Credits
Still Change
Automakers and other big
U.S. manufacturers are clam-
Congress struggled last month
oring on Capitol Hill for
against isolationist fever-and
restoration of a favorite tax
a lukewarm Bush Administra-
preference-the investment
tion-to appropriate $400 mil-
tax credit, repealed in 1986.
lion to help the Soviet Union
And they're getting a recep-
destroy its nukes. The idea
tive hearing. Some main-
failed in the House as part of a
stream economists say an
$1 billion aid package and
ITC, which would permit
passed the Senate (and later
companies to subtract a por-
the House) in scaled-down
tion of their plant and equip-
form only after Richard G.
ment spending from their tax
Lugar, R-Ind., Sam Nunn, D-
bill, would provide a much
Ga., and David L. Boren, D-
bigger investment bang for
Okla., assembled a coalition.
the buck than would a cut in
Now, the Administration is
the capital gains tax. And
glad to have the aid. "I can't
some Democrats say the ITC
think of anything that is more
could credibly serve as the
in the national security inter-
est of the United States
growth component of a Dem-
ocratic fairness-and-growth
Secretary of State James A.
Baker III said last weekend.
economic policy package. Or-
ganized-labor representatives,
who traditionally have op-
the White House's Office of
posed the ITC as a corporate
Science and Technology Poli-
Move Over, Doonesbury
subsidy for replacing workers
cy is quietly developing a pro-
with machines, remain skepti-
posal for capital gains cut tar-
Rep. Henry A. Waxman, D-
cal but are willing to explore
petitiveness. "Inept, insensi-
geted for small business that
Calif., eyeing an election-year
tive and arrogant" were
new prospects.
White House sources say is
showdown, minced no words
among Waxman's assess-
likely to be included in Presi-
at a Dec. 10 hearing of his
ments. Although Republicans
dent Bush's January State of
Energy and Commerce Sub-
blasted the "partisan witch-
And Cuts
the Union address. "We'd like
committee on Health and the
hunt," Waxman called for a
to think we were first out of
Environment, which is prob-
criminal investigation of possi-
the gate on this," said Mark F.
ing Vice President Dan
After decades of languishing
ble conflict-of-interest charges
DeSantis, a policy analyst in
Quayle's leadership of the
in the background politically,
against Allan B. Hubbard, the
the science office.
President's Council on Com-
council's executive director.
Dress Right (or Else)!
The military's obsession with couture seems unquenchable. In the mid-1980s, the
Navy was convulsed over whether aviators should wear brown shoes with winter
uniforms. With the air service having wrapped up a multimillion-dollar uniform
redesign, Air Force Times reports, a new edict will ban crew neck T-shirts with
open-collar uniforms-to enhance the esprit de corps essential to an effective
military force,' the brass say. "What is so professional about the appearance of a
large amount of chest hair coming from a man's open shirt collar a Times read-
er gripes. 4 believe that a neat, clean crew neck projects a more positive image."
NATIONAL JOURNAL 12/14/91 3005