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Originally Processed With FOIA(s): FOIA Number: S S 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: Speechwriting, White House Office of Series: Speech File Backup Files Subseries: Chron File, 1989-1993 OA/ID Number: 13748 Folder ID Number: 13748-001 Folder Title: Opportunity Action Plan 2/27/91 [OA 6855] [5] Stack: Row: Section: Shelf: Position: G 26 21 3 1 THE WHITE HOUSE WASHINGTON Date: 2/7 TO: Mu G FROM: JAMES P. PINKERTON Deputy Assistant to the President for Policy Planning x6406 Why not ? Its the cornerstone at our agendr! NY Economic Club 2/6/91 - 4 - long overdue. I headed a task force when I was Vice President that I thought came up with some very sound recommendations for regulatory reform. Now Secretary Brady has come up with some recommendations that I think are even better. They're more simplified. The Fed manages one set of organizations and the new organization under Treasury another. And I should think this would renew confidence. I think the interest rates coming down should instill confidence. And, yes, I do believe that some of the regulators -- I'm not sure I can answer it specifically on regulations per se -- but I think some of the regulators in the past got overzealous, and I think that scared some of the banks. (Applause.) Just to be fair about it, I think some of the banks made some bad loans. (Laughter and applause.) And so what I think we're seeing is, in an effort in this reform legislation and hopefully as the economy starts coming out, a banking system that is fundamentally sound, a banking system that deserves the confidence of the American people -- and I think these reforms will help on that -- a banking system that will be able to make -- get into other forms of business, as some of our competitors abroad do. And that, I think, should usher in a whole new era of prosperity involving fundamental loaning by these banks. 2 Mr. President, I was talking with an old friend of yours, Tip O'Neill, the other day. (Laughter.) And he seems to be now one of your greatest friends and advocates and supporters of your -- particularly of your management of American foreign policy in your presidency. But he asked me to ask you -- (laughter) housing is fundamental to our economy. The rate of housing and construction is less now than it was in 1982. And he feels it ought to be at least 20 percent higher. What do you have in mind, if anything, to correct this situation?~ THE PRESIDENT: First, let me profess my love for Tip O'Neill. (Laughter.) And I really, sincerely mean it, as I think many people - I know Barbara knows, and I really feel strongly about it -- the guy has not been well lately, nor has Millie, his wife, who we love dearly. So I will take this opportunity through C-SPAN or whoever to pay my genuine respects and affection to him. He knows this. And I think you've phrased it very well -- we do have a different approach on how housing should be done in this country. I think when Tip goes back, he was talking about government-paid-for, government-owned housing. Our approach is something else. We believe that the best way to do it is to have tenant management, encourage ownership, voucher systems. We have a program called Hope, which relates fundamentally to home ownership as opposed to federal ownership. We have put much more money in the budget for this. We happen to believe that enterprise zones going into low-income areas would do an awful lot to bring business there and thus enable people to buy more homes. So I think that I hope that the program that we've put forward - the Hope program will have the support of many of Tip's former colleagues. I have a feeling it will. We'd made a good step on it last year in the Congress and got good support from both sides of the aisle. But if Tip is referring to the government-owned bricks and mortar approach, we think that that has been tried, and we think in many instances it has failed. We think it has build misery into the system. You've seen program in St. Louis that at one time looked good and then they had to tear them down in their entirety. So I would like to encourage support for this new approach which empowers the people and I think will lead to far more housing. (Applause.) Q Mr. President, you have talked several times about basing the future on a new world order. Can you give us a definition of a new world order? And if it depends on the collaboration between MORE Fall 1989 Issues & Views Page 3 [The following is excerpted from "The Saving Remnant," a society and the relationship of blacks to it. It ignored review of Harold Cruse's book, Plural But Equal (pub. Morrow), America's emphasis on private enterprise, profit which appeared in the December 1988 issue of Reason maga- zine.] making, property ownership, and the high value placed on technological development and industrial expan- sion Economic Wards of the State Without Economic Progress, There Is No Progress The NAACP came to rely on Franklin Roosevelt's New Deal as the "bountiful dispenser of black uplift." Anne Wortham The result, concludes Cruse, was that blacks were Harold Cruse's Plural But Equal is an account of made "economic wards of the state." how the blacks who have represented the "talented Cruse credits today's black critics of the welfare tenth" in the civil rights and intellectual leadership have led the masses, not toward the best within them- selves and America-self-reliance and freedom-but toward the worst, dependency and expropriation The best alternative to bad Cruse aims to show that by seeking full racial integration, the 20th century civil rights leadership leadership may be no leadership, ignored the pluralistic reality of American society, certainly no national leadership. with its multiple groups, associations, and ethnic and racial identities Martin Luther King, Jr. could have told blacks "how they might reorganize their lives to cope with the state such as Thomas Sowell and Walter Williams with demands of freedom in a plural society," says Cruse. "correctly approaching black progress and achieve- He was the first black leader in over 70 years with the ment in economic terms." Like them, he takes the view charisma, moral authority, and community base to do that "without economic progress, there is no prog- so. He should have delivered a message of self-deter- ress." mination that said, in effect, "Get your own minority [Cruse believes that] an independent, black politi- house in order." Unfortunately this was not King's cal party is the initial step toward the reorganization of message black life into "first a political bloc, then cultural blocs, Cruse identifies the key idea of civil rights leaders and then into whatever internal economic organiza- as "noneconomic liberalism." Defined by scholar B. tions are possible within a capitalistic, free-market Joyce Ross in her history of the NAACP, this position system." holds that "the black man's struggle for full civil and But before this politics of plurality-the creation of political rights must take precedence over any program specifically black political institutions-can be ex- of economic development, for once color discrimina- pressed in organizational changes, changes must tion had been swept away, the black man would be able "occur within the black group itself." Blacks, Cruse to compete successfully with his white counterpart in urges, must accept the fact that "civil rights legislation jobs, education, and other avenues to economic stabil- has exhausted the power of the 14th Amendment to ity." W.E.B. DuBois and others founded the NAACP redress the historical civil rights wrongs against explicitly to counteract Booker T. Washington's blacks," that constitutionally, "civil rights justice has emphasis on black economic development been won." The NAACP's early and continued rejection of Moreover, Cruse recognizes that the black leader- black economic development in favor of civil rights ship must convince the children of the children of the agitation had little to do with the reality of American New Deal that the welfare state is not in their self- Continued on page 4 as Page 4 Issues & Views Fall 1989 Economic Progress, Continued from page 3 interest and that free market capitalism and voluntary, caretakers; and condescending liberators. It should community actions are also be welcomed by whites who, in fear of being called racists or charged with "blaming the victim," refrain Is There Need for Leaders? from supporting those black Americans who insist that blacks must take responsibility for their freedom and Cruse gives the impression that without leadership, help themselves. especially the leadership he envisages, American blacks have no hope for the future, because they are incapable of fending for themselves. But his story of [Anne Wortham is Professor of Sociology at Washington and failed leadership is only a slice of black history. Still Lee University in Lexington, Virginia. She is also a visiting scholar at the Hoover Institution, and is author of the book, The largely untold is the story of those leaderless masses Other Side of Racism. Last year, she was the subject of a two- who have struggled in their communities-first, be- part television interview by Public Television's Bill Moyers. hind the walls of imposed segregation and now behind For the complete article from which the above is excerpted, the absurdities of imposed integration-to survive contact Reason Magazine, 2716 Ocean Park Blvd., Santa Monica, CA 90405.] without the help or support of the leadership Across the country, groups are involved in community self-help projects in enterprise develop- ment, alternative education, foster care, crime preven- tion, public housing administration, family preserva- tion, and entrepreneurship training among youth. To Our Readers These groups operate outside the network of the tradi- tional civil rights and social welfare leadership. It is As you know, Issues & Views is a forum debatable whether the independent self-help networks for opinions that are seldom given equal time require mobilization either by a new leadership, such as in the conventional black or mainstream Cruse proposes, or by the old (belatedly reformed) media. We operate on a shoestring budget, but leadership. The best alternative to bad leadership, we get a lot accomplished. Your support by which Cruse certainly documents, may be no leader- subscription helps us to continue to share alter- ship, certainly no national leadership native perspectives on our nation's most seri- ous domestic problems. Individuals Free to Choose We keep our subscription rates as low as If individuals are to be free, they must be free to possible, so that all can afford to subscribe. Be choose. Group diversity reflects the choices of indi- assured that whatever you pay above the regu- viduals to pursue their opportunities through groups, lar rates listed on page 11 will assist in greater which function as "mediating structures" between distribution of the newsletter. If you believe themselves and the wider society. Pluralism, in this that ideas do, indeed, have consequences, help view, is based on the legal freedom of individuals to us to share the ideas of Issues & Views with strive, in cooperation with others, for social, economic, others. and political goals that do not require the violation of individual rights. Support freedom of the press by Against this perspective of individualist pluralism, supporting Issues & Views. Cruse's pluralism leaves much to be desired. But despite the flaws in its analysis and proposals, Plural But Equal should be welcomed as intellectual ammu- nition for blacks who have been demanding emancipa- tion from various self-appointed leaders, exploitative THE WHITE HOUSE WASHINGTON February 13, 1991 MEMORANDUM FOR SPEECHWRITERS FROM: HANNS KUTTNER K SUBJECT: Briefing on Mandated Benefits A briefing on mandated benefits and other legislative issues important to the labor movement will be held on Tuesday, February 19, at 10:30 am in Room 180. Staff from the Labor Department will provide an overview of the arguments raised on both sides of the issue. Please feel free to attend this briefing. In addition, please extend an invitation to any of your staff or colleagues who may be interested. If you would like to attend, please RSVP to my office (x. 6563). THE WHITE HOUSE WASHINGTON Date: 2-11-91 TO: Mary Kate Grant FROM: RICHARD W. PORTER Special Assistant to the President and Executive Secretary to the Domestic Policy Council For your information. Republican State Governors Speech How Cutting Capital Gains Taxes Empowers the Poor and Enriches the States by Secretary Jack Kemp YY Department of Housing and Urban Development A great political party must have a great purpose. Abraham Lincoln helped found the Republican party nearly one hundred and forty years ago upon the greatest idea in all human history, the idea of the Declaration of Independence: equal rights, equal opportunity and equal access to property for every human being. That cause must remain our party's vital center if we are going to lead American democracy into a promising new century. I was thrilled when President Bush invoked these Republican roots at the ceremony for our new housing bill. As he signed the law to empower public housing residents with the opportunity to manage and own their own housing, he recalled Lincoln's Homestead Act of 1862, which gave 160 acres to any family who wanted to make a go of it in the wilderness. Lincoln's homestead Act of 1862, President Bush reminded the East Room audience, was "one of the most successful endeavors in American history -- causing the great land rush to the Wild West -- and forming the vision for a new homesteading program in urban American today Because Abraham Lincoln's Homestead Act empowered people," he said, "it freed people from the burden of poverty, it freed them to control their own destinies, to create their own opportunities, and to live the vision of the American dream." This vision is not unique to Americans. In the first decade of the twentieth century, Pyotr Stolypin, the Russian Premier, distributed millions of acres of cold, unused Siberian land to the landless, impoverished, oppressed peasants. Stolypin's goal -- so similar to Lincoln's -- was, in his own words, "to offer the peasant a way out of poverty to enable every hardworking tiller of the soil to farm on his own account, applying his own labor without encroaching on the rights of others.' From the Czars until Brezhnev, Siberia's only use seemed to be as a gigantic prison. Yet within five years, over four million persons moved to Siberia when offered the chance to become homesteaders -- more than in the three hundred previous years. All Russia prospered as Siberia went from a deserted wasteland to a bountiful land full of thriving farms and flourishing villages. Russia's budget was balanced. "After three years," writes Aleksandr Solzhenitsyn, "these people could scarcely believe that they had once lived in penury, and wondered why they had not set out for Siberia long ago." The radical reform movment in Russia today, lead by such democratic capitalists as Yeltsin, Popov, and Shatalin, is Republican State Governors PAGE 2 beginning to recognize, once again, the value of private property and actually give people title to their own apartments and homes. Imagine -- Stolypin's pre-Soviet reform movement has become the model for post-Soviet perestroika! Whether in Russian Siberia, the American West, or the urban ghettoes, the idea of opening access to property and economic opportunity, giving people a chance to better their lives and achieve their dreams will work anywhere, anytime it is tried. As the world moves to democratic freedom, it's ironic that some here in our own country want to move in the opposite direction. Senators Bill Bradley and George Mitchell say that their proudest moment was defeating the President's capital gains tax reductions. Congressmen Gephardt and Rostenkowski want to raise taxes on millionaries to "soak the rich" and massively redistribute income. Democrats seem to be more concerned that some people are getting rich in America, than that poor people are falling deeper into poverty as a result of their anti-growth policies. Like Mr. Lincoln, President Bush believes in a different course when he calls for a lower capital gains tax for the nation and elimination of the capital gains tax in pockets of poverty we would designate as Enterprise Zones. Some claim that Democrats will beat Republicans mercilessly with the dreaded "fairness" argument. I say bring it on. As Lincoln taught us, fairness does not tear down the rich, it forges stronger links between individual human effort and reward; it does not quarrel about dividing old wealth, it concentrates on creating new wealth; it doesn't recognize limits to growth and life as a static, zero sum condition, it expands opportunities for all people of any color, condition, or background to reach their God-given potential. Take the Democrats' notion of "fairness" as equality of result and match it against the Republican principle of equality of opportunity. I have no doubt that Republicans will be overwhelmingly elected today just as Lincoln's party won virtually every election from 1860 to 1932 by drawing a clear dividing line over fairness -- rightly understood! But we've got to do a better job not just describing but advancing our principles. The capital gains tax cut is truly fair because of what it will do for the poor, indeed for everyone in the country. Contrary to the Democrats' hysterical claims, cutting the capital gains tax is an overwhelming incentive for small Republican State Governors PAGE 3 businessmen and women -- especially in our inner cities and among minority entrepreneurs -- who seek opportunities to become rich. Between 1977 and 1982, when the Steiger Amendment cut the capital gains tax from 49 percent to 28 percent, the number of black-owned businesses exploded by nearly 50 percent -- one of the largest gains on record. We need to at least double the number of minority-owned businesses in the next few years. But it can't be done under the current high capital gains tax rate. Capital gains taxes could reach 75 percent or more for long term assets purchased during the inflation of the seventies. This is the highest capital gains tax in American history. Faced with a 75 percent effective tax bite, most people simply will not sell their assets, thereby locking up capital in status quo companies and current investments. No one needs new capital more than minorities, who own a tiny portion of American's total assets. Cutting capital gains would help free up existing capital to fund high risk new enterprises. These businesses create most of the new jobs and business opportunities for poor and minority Americans. For most of American history a low or non-existent capital gains tax opened opportunity for millions of immigrants to join the mainstream of society. Tragically, just as legal and racial barriers to millions of poor and minority Americans have come down, another wall, the high capital gains tax rate, may condemn today's minorities and poor to yet another chapter of denied opportunity and economic despair. Cutting capital gains is today's pressing civil rights issue. The Democratic leadership rejects this tax rate reduction because they say it would help the rich and lose revenue. That's not surprising. The Democrat-dominated Congressional Committees who control the revenue "black box" always tell us that our tax reductions are costly and unfair and their own special interest programs and budget gimmicks are equitable and beneficial to the Treasury. But static revenue estimates have been repeatedly proven false. The truth is that the capital gains tax is largely a voluntary tax for the wealthy. They can avoid paying it simply by not selling their assets. By lowering the capital gains tax, upper-income earners will be more willing to sell their assets and realize their accumulated gains. As such, the government will collect far more taxes from the wealthy and lift the tax burden proportionately from the poor and working Americans. If revenue gurus took account of this "unlocking effect" Republican State Governors PAGE 4 fully, the government would gain revenue from cutting the tax in the short run and upper income earners would contribute more to the U.S. Treasury. But "unlocking of assets" is only a one-time phenomenon, the critics counter, and in the long run, revenues would fall. The dynamic consequences of cutting capital gains taxes go beyond the short term unlocking. There is also a boost to asset values and a permanent boost to the economy by reducing people's preferences for consumption and increasing their demand for stocks and bonds, farms, factories, real estate, and other investments. S & L bailout costs would also be reduced, because cutting capital gains taxes would raise the value of the government's real estate holdings. And by helping the real estate and financial industries, a reduction in the capital gains tax would boost those economic regions and coastal areas which are experiencing severe economic problems. Astonishingly, the Congressional revenue estimators in the Joint Committee on Taxation don't take these dynamic consequences into account -- not the higher assets values, not the reduced budget outlays for the S & L bailout, not the stronger tax collections from federal income or payroll taxes, not the higher stock prices or real estate values, not even -- except in the tiniest, most understated way -- the unlocking of trillions of dollars in unrealized capital gains. No wonder the Joint Committee on Taxation calls the capital gains tax a revenue loser. Others, not so tunnel-visioned say just the opposite -- that it raises revenue. Fiscal Associates, a Washington economics firm, estimates that cutting capital gains would generate anywhere between $25 and $65 billion over four years. Even economist Allen Sinai -- never a strong proponent of tax cuts -- has concluded that cutting the capital gains tax would raise federal revenue by $30-40 billion between 1990 and 1995, Our economic future must not be determined by the folks who told us that the Reagan/Bush tax cuts of the eighties were a give away to the rich, and should not have been passed -- the same folks who lost the debate when Jimmy Carter lost the White House. Because President Reagan and then Vice-President Bush had the courage to tell the zero sum thinkers to go back to their computers, tax rates were cut, the eighties economy boomed, inflation came down, and -- despite the naysayers -- the higher income earners pulled out of tax loopholes, tax shelters, and tax exempt bonds and put their money into new taxable investments. Republican State Governors PAGE 5 The result: the rich shouldered a higher portion of the total income tax load; the poor and middle class less. According to recent IRS statistics, between 1981 and 1987, the tax burden on the top 1 percent of taxpayers shot up by nearly 40 percent; the top 5 percent pay a 23 percent greater share; and the top 10 percent of income earners saw their share jump by over 15 percent. Meanwhile, the lower half of income earners saw their income tax burden fall by about 19 percent. Many middle and lower income families saw their total tax bill go up because the payroll tax rose. We can and should remedy that payroll tax hike, and also give the economy the stimulus it needs now by cutting capital gains. Allen Sinai estimates that cutting capital gains would increase GNP by almost 3% or over $150 billion, create 2.5 million new jobs, and boost business capital spending by 1.3%. Minorities and the poor have the most to lose from the liberal left's anti-growth campaign. The poor most need the jobs, higher incomes, and business opportunities that the capital gains cut would help guarantee. But it's not the poor alone who would benefit by cutting capital gains taxes. Localities and the states most of you govern have an enormous stake in this capital gains debate; and we need your help to get this tax cut at the top of our party's national agenda and passed through Congress. It's no secret that the states experiencing the greatest budget difficulties and electoral discontent are those which passed major new tax increases. Massachusetts, New York, and New Jersey, just to name three, are obvious and dramatic demonstrations that popular tax revolt is alive and well. As soon as he was elected, Governor Jim Florio carried out a "tax the rich" agenda which created a backlash that nearly cost Senator Bill Bradley his reelection. Unfortunately, so many States have raised taxes recently that a national recession may be resulting as much from State as federal policy developments. It's also no coincidence that the fiscal condition of many states began to deteriorate steadily after the 1986 law which raised federal capital gains taxes. In the eighties states enjoyed cumulative surpluses of $10 to $30 billion. Today, two- thirds of states are in the red. New York and California, which were in large surplus in 1986, are both facing an estimated $1 billion budget deficit in the current fiscal year. Ways and Means Chairman Rostenkowski has warned governors and mayors not to expect any additional help from the federal Republican State Governors PAGE 6 government in balancing your budgets. "You can't get something from us that we haven't got," Rep. Rostenkowski was quoted as saying in the Washington Post. Well, there is such a thing as a free lunch! We need a Bush/Quayle tax cut that will do for the state economies in the nineties what the Reagan/Bush tax cuts did in the eighties. If the capital gains tax is cut, not only would the federal government gain greater revenues, but states and localities will also reap revenue windfalls, since the new asset sales pass through state and local "tax gates" as well as federal ones. One economic group with a good track record estimates states would enjoy between a $15 and $40 billion windfall from cutting capital gains taxes. This is not an inside-the-beltway accountants' squabble. There is a struggle going on here for the heart and soul of the Republican party, and it can be stated simply: Are we going to be the party of economic growth, expanding opportunity, entrepreneurial capitalism, and free market solutions to poverty? Or are we going to be the status quo party that regards all wealth as fixed, static, and immutable? The truth is that the 1980s were not built on credit cards, but on record private sector investment in plant, equipment, jobs, and new businesses. The President's policies of tax reduction, sound money, and less regulation generated the strongest peacetime expansion on record, created over 21 million new jobs during the past eight years, launched over 4 million new businesses, and generated record increases in real after tax income for all income groups and all sectors of our society. While the Nation's gross national product grew by 26.3 percent between 1983 and 1989, federal tax revenues expanded by 35.7 percent, twice as fast as they did in the 1970's. The Republican party's legacy of economic expansion is not the only thing under attack. Empowerment ideas to fight poverty are being challenged as new and untried. These ideas are no more untried than Lincoln's homestead act or Stolypin's land privatization was. There really is no such thing as the "New Paradigm." There's only the tried and true paradigm of democratic capitalism -- the ideas of private property, free markets, and individual incentive on which America was built. George Bush said it well, "we know what works freedom works." I think it was audacious for President Bush to say that -- one of this Administration's defining moments. The President has appointed me to head up his Economic Opportunity and Empowerment Task Force. He charged our Task Force with coordinating and outlining a far-reaching agenda to Republican State Governors PAGE 7 fight poverty using the principles of markets, choice, and incentive. I want to recommend some ideas that I would put forward for consideration in that agenda. First, we've got to create growth and jobs. The debate over getting this economy moving again is just getting started. In my view, we need tax rate reductions on labor, capital, and the family to spark a prairie fire of new job creation and entrepreneurial risktaking all across America, especially in America's inner cities. Cutting capital gains tax for the nation, eliminating capital gains taxes on assets held for more than three years, and abolishing them in distressed areas are crucial priorities. But so are reducing the payroll tax and expanding the personal and children's exemption. Second, we've got to expand access to homeownership and property, and create more affordable housing. While HOPE has been authorized, we've got to get funding in 1991 and 1992. If we can get that funding, poor people will be given a chance to own more than 2 million government housing units -- an estimated $100 billion in public property. More than 250 housing projects will be in resident management by the end of 1992, and we are targeting more than 1 million new first-time homeowners by 1992 through all programs of the Department of Housing and Urban Development, including HOPE. Third, we've got to improve the quality of education and job training. Our nation's primary and secondary schools have been the traditional route for enterprising poor people to move up and out of poverty. Yet, far too often, these inner city schools are providing disgracefully poor education. I believe the Republican party should foster quality education by expanding educational choice. Along with such champions as Wisconsin's Polly Williams and Detroit Councilman Keith Butler, I think that choice expanding options like magnet schools, tuition tax credits, and educational vouchers can help open up new paths of opportunity to our nations poor. Fourth, we must help welfare recipients move to economic independence by reducing effective tax rates on persons trying to leave welfare and take jobs. A woman on welfare, with a couple of children, struggling to make it, faces the highest marginal income tax in the United States of America, higher than any man or woman in this room. Whether she takes a job at McDonald's or McDonnell Doughlas, the government takes away the welfare and taxes her income. I believe we should eliminate the tax on the first two, three, or four rungs of the ladder so that the incentive for work is greater than the reward for not working. Republican State Governors PAGE 8 Fifth, we must strengthen the family. Every social and economic thinker today recognizes that one-parent families with children are far more likely to be in poverty, remain in poverty, and perpetuate poverty, than families in which both a father and mother are present. Part of the reason for the upsurge in family breakup is escalating taxation of the intact family. Adjusted for the rise of inflation and incomes since World War II, the personal and children's exemption would have to be over $6,000, rather than about $2,000 as it is today. I think we should raise that exemption to give families more after-tax income in order to reduce financial pressures, to help families keep more of their own resources to take care of their children, and to help them break free from government assistance. These ideas should be opening shots in a war on poverty. We must become the party that awakens, liberates, and emancipates the talent of people who've been left out and left behind. No one said it better than Mr. Lincoln. He was attacked by his opponents and he had to defend Republican views of equality of opportunity: "I don't believe in a law to prevent a man from getting rich," he responded, "It would do more harm than good I want every man to have the chance -- and I believe a black man is entitled to it -- in which he can better his condition -- when he may look forward and hope to be a hired laborer this year and the next, work for himself afterward, and finally to hire men to work for him! That is the true system." Our party must rededicate itself to Lincoln's vision of democracy -- creating new wealth, empowering the poor, and opening access to property and homeownership. Thank you very much. # THE WHITE HOUSE WASHINGTON Date: 2/15 TO: Mary Varte Grant FROM: JAMES P. PINKERTON Deputy Assistant to the President for Policy Planning x6406 RYT thanks to you help! A NEW PARADIGM FOR NEW YORK remarks by James P. Pinkerton Deputy Assistant to the President for Policy Planning to the New York County Lincoln Day Dinner February 13, 1991 Lincoln Dinners are when Republicans usually gather to trade cliches, but I am here to deliver a different message in Manhattan, the citadel of the Old Paradigm. Because New York urgently needs a New Paradigm. We should draw inspiration from Lincoln, who believed that government's greatest purpose is "to elevate the condition of men -- to lift artificial weights from all shoulders -- to clear the paths of laudable pursuit for all." For 200 years we found our future on the Hudson. For most of that time, the future looked bright. But now there are clouds. As our first Republican President said: "the dogmas of the quiet past are inadequate to the stormy present." The people of New York remain as strong, energetic and diverse as ever, but their government is failing them. Just as New York is in trouble, all 50 states face many of the same challenges. Manhattan is not an island unto itself. It is a nerve center. Leaders like Bob Mosbacher and John Shad understand that global finance and communications require that the synapses of the system be free to connect. That's why we must oppose short-sighted efforts to gut the golden goose. Thanks to decades of bad policy at the local, state, and federal level, the goose is already in intensive care. New York City's bonds were just downgraded. The State's rating is at the bottom, behind Mississippi, tied with Louisiana and Puerto Rico, threatening to turn your governor and your mayor into the junk bond kings of the 90s. If New York is the brain, then the United States is the body. Just 20 years ago, the three largest banks in the world, and nine of the top 30, were American. Today, only one of the 30 largest banks is American. Those who revel in New York's difficulties should remember that a job lost in this city is also a job lost in America, that an uneducated youth is a missed opportunity, that every crime is a tear in the social fabric, and that when a crack baby dies, the bell tolls for us all. Copy THE WHITE HOUSE WASHINGTON Speechwriter AD Date: - 1-30-91 TO: Members of the Domestic Policy Reform Breakfast Group FROM: RICHARD W. PORTER Special Assistant to the President and Executive Secretary to the Domestic Policy Council The attached article is for your information -- thought you might be interested. W AUDEN Pardons cowardice, conceit, Exiled Thucydides knew Lays its honors at their feet. All that a speech can say For the error bred in the bon About Democracy, Of each woman and each mai Time that with this strange excuse And what dictators do, Craves what it cannot have, The elderly rubbish they talk Not universal love Pardoned Kipling and his views, And will pardon Paul Claudel, To an apathetic grave; But to be loved alone. Pardons him for writing well. Analysed all in his book, The enlightenment driven away, From the conservative dark The habit-forming pain, Into the ethical life In the nightmare of the dark All the dogs of Europe bark, Mismanagement and grief: The dense commuters come, And the living nations wait, We must suffer them all again. Repeating their morning vow; Each sequestered in its hate; Into this neutral air "I will be true to the wife, Where blind skyscrapers use I'll concentrate more on my WI Intellectual disgrace Their full height to proclaim And helpless governors wake Stares from every human face, The strength of Collective Man, To resume their compulsory ga And the seas of pity lie Each language pours its vain Who can release them now, Locked and frozen in each eye. Competitive excuse: Who can reach the deaf, But who can live for long Who can speak for the dumb? Follow, poet, follow right In an euphoric dream; All I have is a voice To the bottom of the night, Out of the mirror they stare, With your unconstraining voice Imperialism's face To undo the folded lie, Still persuade us to rejoice; The romantic lie in the brain And the international wrong. Of the sensual man-in-the-street With the farming of a verse Faces along the bar And the lie of Authority Make a vineyard of the curse, Cling to their average day: Whose buildings grope the sky: The lights must never go out, There is no such thing as the Sta OE Sing of human unsuccess In a rapture of distress; The music must always play, And no one exists alone; All the conventions conspire Hunger allows no choice In the deserts of the heart To make this fort assume To the citizen or the police; Let the healing fountain start, The furniture of home; We must love one another or die In the prison of his days Lest we should see where we are, Lost in a haunted wood, Defenceless under the night Teach the free man how to praise. Children afraid of the night Our world in stupor lies; Who have never been happy or good. Yet, dotted everywhere, Ironic points of light The windiest militant trash Flash out wherever the Just Important Persons shout Exchange their messages: Is not SD crude as our wish: May I, composed like them SEPTEMBER I, 1939 What mad Nijinsky wrote Of Eros and of dust, I sit in one of the dives Accurate scholarship can About Diaghilev Beleaguered by the same On Fifty-Second Street Unearth the whole offence Is true of the normal heart; Negation and despair, Uncertain and afraid From Luther until now Show an affirming flame. As the clever hopes expire That has driven a culture mad, Of a low dishonest decade: Find what occurred at Linz, MUNDUS ET INFANS 2 , Waves of anger and fear What huge imago made Kicking his mother until she let go of his soul Circulate over the bright A psychopathic god: Has given him a healthy appetite: clearly, her rôle And darkened lands of the earth, I and the public know In the New Order must be Obsessing our private lives; What all schoolchildren learn, The unmentionable odour of death To supply and deliver his raw materials free; Those to whom evil is done Should there be any shortage Offends the September night. Do evil in return. She will be held responsible; she also promises To show him all such attentions as befit his age. Having dictated peace, THE WHITE HOUSE WASHINGTON February 13, 1991 MEMORANDUM FOR SPEECHWRITERS FROM: HANNS KUTTNER SUBJECT: Briefing on Mandated Benefits A briefing on mandated benefits and other legislative issues important to the labor movement will be held on Tuesday, February 19, at 10:30 am in Room 180. Staff from the Labor Department will provide an overview of the arguments raised on both sides of the issue. Please feel free to attend this briefing. In addition, please extend an invitation to any of your staff or colleagues who may be interested. If you would like to attend, please RSVP to my office (x. 6563). Washington Post 1-30-91 William Raspberry What It Takes' to Deliver Social Services Maybe America, newly mean- specialists don't talk to housing spe- professionals are hampered by the exclusively on improving the delivery spirited, has stopped caring about cialists; welfare bureaucracies are on- absence of support services that may of government services and hardly at poor people, including small children ly marginally involved with schools; be the technical responsibility of a all on the importance of strengthen- and their troubled families. But I child welfare agencies often treat separate agency. ing communities in order to prevent don't think so. families as adversaries, not as the One quote summarizes the dilem- or ameliorate problems before they What has happened, I believe, is that setting in which children are most ma: "To expect a single community come to agency attention. large humbers of Americans no longer likely to flourish. worker to master the whole array of The great unintended consequence believe that the programs they are That's why I am 80 excited by a available resources that relate to po- of the way we address the social asked to pay for make any real differ- new monograph from a Washington- tential youth needs may seem over- problems of the poor-by parachuting ence except, to make things worse based Education and Human Services For them demands for still greater, whelming. However, to expect a in the experts, in Robert Woodson's Consortium Whatelt Takes: Struc youth-in-crisis or his/her 44 often-> phrase-is its deleterious effect on outlays are taken as an invitation to turing Interagency Partnerships to stressed parents to negotiatë, unas- local leadership. The home-grown pour yet more of their hard-earned tax Connect Children and Families With dollars down ever bigger rat holes. sisted, the maze of agencies, pro- problem solvers-the men and wom- Comprehensive Services." The evidence is on their side. Leav- grams and eligibility rules in order to en who live in the community and who The 55-page monograph, written get the help they need Is truly to ask care about its residents, not as collec- Ing aside such obviously successful for a consortium that includes leaders programs as Head Start and magnet the impossible." tion of problems but as people-can in welfare, social policy, education, schools, most of the programs de- politics and business, begins by show- The monograph (written by Atelia I. be the glue that holds communities signed to help the poor aren't work- Melaville of the William T. Grant together. Undercutting their authori- ing how fragmented are the services ing very well. Outlays for prenatal for poor families, with little coopera- Foundation Commission and Martin J. ty by eliminating their problem- care seem to have made no discern- tion among agencies and virtually no Blank of the Institute for Educational solving role can reduce neighborhoods ible difference in infant mortality collaboration. Then it looks at some Leadership, and available at 1001 Con- to assemblages of clients rather than rates among the poor. Ballooning existing collaborative models and of- necticut Ave., NW, Suite 310, Wash- competent, self-healing communities. school expenditures have not notice- fers recommendations-and an op- ington, D.C. 20036-5541) calls for full Indeed the service-delivery improve- ably improved public education for portunity for feedback-on how to collaboration at both the service deliv- ments envisioned by the authors of the poor. Public housing budgets may improve the delivery and effective- ery level and the system level "to knit a the monograph could exacerbate the Increase, but so does tenant abuse of ness of services. truly seamless web of services." weakening of this natural leadership. public housing-and homelessness. It's hard to argue with the descrip- The present practice, say the au- Perhaps we'll get smart enough to Welfare seems as likely to perpetuate tion of what happens now. Services thors, is for agencies "to concentrate include these natural leaders— poverty as to alleviate it. are mostly crisis-oriented-designed on a single solution to a specific prob- whether as staff, consultants or unpaid What are we doing wrong? not to prevent problems but to deal lem-focusing on their own narrow volunteers-in the collaborative effort One part of the answer is that we with problems that have already oc- objectives-rather than working to- recommended by "What It Takes." have forgotten to treat poor people as curred. Agencies not only fail to col- gether toward a common goal that Excellent services. and adequate full-fledged human beings, preferring laborate; they seldom even cooperate, addresses the range of situations on- funding are important in fashioning to chop them up into their component except in terms of pro forma refer- tributing to a family's problem or remedies. But healthy communities problems, with an agency (usually rals. Often they are outright rivals, standing in the way of its resolution." capable of rearing healthy children in underfunded and ineffectual) to deal competing for scarce public funds. If I have any criticism of this excellent healthy families can prevent a lot of with each component. Mental health Even some of the most expert service papers it is that it focuses almost the problems in the first place. American Enterprise Institute for Public Policy Research AEI The Challenge of a Political Reversal By Irving Kristol It is an iron law of democratic politics nance in popular opinion. Similarly, a that no two political parties can for long On the Issues constitutional amendment outlawing occupy the same space on the political abortion will probably remain in the spectrum. So coercive is this law that the Republican platform, but Republican can- notion of "governing by consensus," al- didates will, for the most part, be avoid- ways seductive to those who wield execu- ing any reference to such an amendment. tive power, is also always a will o' the wisp. Posture and Rhetoric Parties define their programs and agendas in terms of the available politi- It is the reversals, however, that are strik- cal space. As one party abandons older ing. Above all, there are the reversals principles, in practice if not in its formal with regard to America's position and platform, the other party is likely to find role in the world. The Democrats have some version of these principles more ap- become the party of economic protec- pealing. This can, at times, lead to much tionism; the Republicans, the party in political confusion, since the parties them- favor of free international trade. Up selves are rarely entirely clear as to what until recently, the opposite was usually is happening to them. They evolve the the case. way biological entities evolve, though al- One does not wish to exaggerate. There ways insisting that they really haven't are individual congressmen in both par- changed at all or are merely responding, ties who are exceptions to this generali- in a perfectly rational way, to changed zation. And it is also true-it is always circumstances. true-that in some cases just about any Something of the sort seems to be hap- congressman will be protectionist to ap- pening to American politics today, in our pease an interest group in his constitu- post-New Deal, post-cold war world. Im- ency. Nevertheless, the posture and portant reversals are occurring in the gov- rhetoric of the two parties have strikingly erning principles of our two major parties, diverged from past form. while many of the traditional themes are The Republican party has moved muted. The minimum wage, for instance, toward free trade as a result of its close has pretty much dropped out of sight as connections with the business community, a significant political issue for the Demo- especially larger multinational corpora- cratic party. The party did fight for and tions. The party has also doubtless been win a modest increase in the minimum influenced by its corps of conservative wage, but it was a victory without reso- economists, who have a classical animus 1150 Seventeenth Street, N.W., Washington, D.C. 20036, 202/862 5800 2 - against protectionism. Over the past Democratic party to focus on the protec- twenty years, those economists have tionist issue. The political benefits could played a much more important role than be substantial. in the past in shaping conservative think- The more striking, as well as more fun- ing on economic issues. The GOP remains damental, reversal involves America's pro-business, of course, but is now able to role in world affairs. The end of the cold define its posture in more universal war has left the United States as the terms-whose reference is to the common world's sole superpower-but one that economic good-as-distinct from an in- has been spared the necessity of think- stinctive, dogmatic bias in favor of ing seriously about foreign policy for half business. a century. Beginning with the rise of fas- In contrast, the Democratic party is cist totalitarianism and subsequently now moving to occupy the protectionist with the threat of messianic Soviet com- space. This is a strategic move that makes munism, American policy has been reac- sense if it is to appeal to its traditional tive-actually, defensive. It was our ene- base in the trade unions and the work- mies who pretty much defined our foreign ing class. Trade unions today are so di- policy. Now that such definition is left to minished in power and membership, and us, we are in a state of confusion and un- so out of favor with American opinion as certainty, affecting liberals and conserva- a whole, that there is little Democrats tives alike. can do for them by way of specific legisla- Out of this confusion, two main cur- tion. Protectionism, however, which trade rents of thought are emerging-isolation- unions always endorse, since it protects ism of a kind and interventionism of a them from the effects of foreign competi- kind. The qualifications are necessary be- tion, can be presented as representing a cause the intellectual atmosphere is so common good. And while the working foggy that precision is; regarded by most class may no longer be so attached to politicians as something to be prudently unions, all workers-everywhere and al- avoided. Still, the trends are there, and ways-are well disposed toward there is little reason to doubt that a ma- protectionism. jor reversal in party positions is well This important segment of Democratic under way, with most of the Democrats support is not responsive to the newer moving to isolationism while most of the welfare state programs, which are spon- Republicans try to construct a rationale sored by middle-class advocates and favor for the United States continuing to play either the middle class or the underclass. an activist role in world affairs. (Child-care programs are a good example.) This is, of course, a reversal. Ever It also seems clear that workers are not since Woodrow Wilson and Franklin interested in paying higher taxes for any Roosevelt, the Democratic party-both its kind of welfare-state legislation. But pro- Northern liberal wing and its Southern tectionism, especially in difficult times or conservative wing-has been the interna- in particularly distressed industries, will tionally activist party. The Republican always get a respectful hearing. party, under the pressure of circum- Exactly what the political effects of this stances had no alternative but to go along reversal will be on the 1992 elections is grudgingly, but there is no question that still unclear. It all depends, basically, on a traditional isolationist cast of mind- the economy. In good times, protectionist isolationist while nationalist-permeated sentiment is relatively weak; in bad the Republican ranks. With Richard Nix- times, it is relatively strong. Since it is on's presidency, a slow change became unlikely that 1992 will be one of the econ- visible, but even today one can hear Sena- omy's better years, one can expect the tor Robert Dole talk casually of "the Demo- - 3 - crat wars" of the past fifty years. His rhe- Almost a Forgotten Language toric, however, is by now singularly out of place within his own party. Ronald Reagan The Bush administration may talk was no Robert Taft when it came to grandly of a "new world order," with the foreign policy. United States acting as an arm of the Again, one doesn't wish to exaggerate. "world community" represented in the The isolationist temper is of such long UN. But that grand talk is empty, while standing in this country that it always the reality "on the ground" is that the finds echoes within all parties. It is even United States suddenly finds itself com- possible that if we now had a Democratic mitted to a continuing, substantial mili- president, we would be seeing a reorien- tary presence in Saudi Arabia, regard- tation by degrees, not anything that could less of how the problem of Iraq is resolved. be called a reversal. But it is a reversal One can, without much difficulty, come we are now experiencing. When Senator up with a rationale for such involvement Sam Nunn and his colleagues on the in terms of the need for a great power to Foreign Relations Committee start sound- preserve "stability" and "a balance of ing like Senator Taft, true reversal is power" in regions of the world where it official. perceives a "national interest" requiring Just what such isolationism will mean it. But that kind of thinking, and that in practice remains to be seen. One sus- kind of rhetoric, is almost a forgotten lan- pects it will retain a patina of older liberal guage in the institutions that shape interventionism as more reliance is placed American foreign policy. It is even on the United Nations as the ultimate regarded as a foreign language that it is authority for a permissible foreign policy shameful for an American to learn. for the United States. This will surely So we appear to have a neo-isolationist please the UN, but will it for long please impulse that cannot endure for long, the the American people to see our foreign world being what it is, and an interven- policy shaped by an organization that is, tionist impulse that lacks all coherence more often than not, anti-American? In because it too cannot accept the fact that any case how can the new isolationism the world is what it is-cannot accept cope with, say, a revival of Japanese na- the fact that, to the degree that the tionalism or German nationalism? And United States is a world power, it will-in- how will it cope with the issue of nuclear evitably have to behave like one, assum- proliferation-an issue that will be any- ing responsibilities not out of choice but thing but academic in the years ahead? out of historical contingency, and will And can the United States really-be in- have to pay the price, in blood and money, different if whole regions, even continents, for this "privilege." collapse into chaos? This is not the world Americans ex- It is hard to believe that any kind of pected to confront with the end of the isolationism could provide the basis for cold war. But it is about time that Ameri- American foreign policy in today's world, cans learned a measure of stoicism in when our "foreign entanglements" are so dealing with this world-which is, after much less "foreign" than they used to be. all, the only world we have. At the same time, the alternative policy [from the Wall Street Journal, December 17, 1990] of active intervention is still undefined. Indeed, there is a positive reluctance to Irving Kristol is the John M. Olin Distinguished make any such effort at definition. Fellow at the American Enterprise Institute. 1991 - # 4 The National Center for Neighborhood Enterprise S tudy failure and vou learn how to fail, says Robert Woodson. president of the nine-vear-old National Center for Neighborhood Enterprise. Study poverty and you learn how to be poor. But study success. Woodson Robert Woodson operates according to a argues-drug-free kids. low- crime neighborhoods. well- timeless principle: The best way to help managed housing develop- people is to help them help themselves. ments-and you learn success. "We highlight what works." Woodson says. "and build from there." With that credo Woodson founded the NCNE. a public policy and advocacy orga- nization that helps low-income communities become self-suf- residents will have five vears to buy their own units-for as ficient by acting as an "honest broker" between grass-roots little as $10,000 each-from the management corporation. To groups and the political and corporate establishments. The make this happen. NCNE set up meetings between the tenant center's philosophy is simple: the problems that plague Amer- organization and government officials: provided training in ica's inner cities-drugs, crime. unemployment. inadequate writing proposals. raising capital. accounting. and business housing-can best be solved by the people who live there. procedures: and drew national attention to the project via tele- The center offers help matching local organizations with the vision. radio. and newspapers. money. technical assistance, professional connections. and In addition. the NCNE provides grants of less than $10.000 publicity they need to do the job themselves. to grass-roots groups that have trouble getting funding In 1985 the center established the Public Housing Resident through other channels. and works to promote alternative ed- Management Demonstration (with a $1.9 million grant from ucation options for the poor. (Woodson is a strong advocate of the Amoco Foundation) to help tenant groups in thirteen cities controversial "education vouchers"-similar to the GI Bill of learn how to manage and eventually own the developments in Rights-that will allow low-income parents to purchase the which they live. The biggest success story: the 464-unit Kenil- best possible education for their children. be it at a public or worth-Parkside public housing project in Washington. In 1982 private school.) the project lacked heat and hot water. had the highest crime "We have social policies that discourage independent ac- rate of any city-owned property: and numbered its welfare re- tion," savs Woodson. who this year was the recipient of a cipients at more than 80 percent. A resident management $320.000 MacArthur "genius" grant and who regularly at- group. led by a determined and resourceful Kimi Gray. has tracts at least some criticism for his strict devotion to the ideas since renovated the property with a $13.5 million HUD grant. of independence and self-help. "I'm interested in empowering launched businesses run by and for tenants. increased rent low-income people to do for themselves." collections 130 percent. reduced welfare dependency by 5i) percent. and lowered crime by 75 percent. In September the The National Center for Neigbborhood Enterprise. 1367 Connecticut group purchased the development from the city for one dollar: Avenue NW Washington. DC 20036 (202-331-1103). D 70 DECEMBER The Orlando Sentinel, Sunday, January 15, 1989 To be black in America Self-reliance vital - a leap of faith By Robert L. Woodson entrepreneurs ready and willing to purchase a slave's freedom or guar- SPECIAL TO THE SENTINEL antee his safety after escape, with the formation of all-black towns H as the civil rights movement and the building of a self-sustain- finally run out of steam. its ing support apparatus, 'black esprit de corps content with quotas, Americans exhibited backbone, set-asides and other race-based for- resolve, energy, vitality, creativity. mulas for black progress? innovation and intellect at a time when the country was generally Oh sure. there will be the usual either indifferent or hostile to black clamor and chorus of self-help rhet- interests. oric from a potpourri of commenta- tors - some will even say the right Thus it is ironic that while civil things - on the occasion of this rights gains were being made, the year's Martin Luther King Day self-sufficient economic infrastruc- celebration. But unless there is a ture of black America was being radical departure from traditional eroded. Small black firms. the orthodoxy, a Martin Luther King- backbone of the racially localized sized leap of faith, not only can we black economy, could not compete expect the death knell of the move- with the newly integrated. low- ment as we know it but an end to priced, large-volume department the nation's doctrinal commitment stores, supermarkets, fast-food to civil rights as well. chains and shopping centers. Many Already those black Americans black businesses became casualties who have experienced a measure of of racial progress. progress are perversely questioning Government aid programs, as it the source of their gains. Surely we soon became clear, would also exact understand that there was no evi- a price from the black community. dence to support King's commit- These programs, from the begin- JILL SHARGAA/SENTINEL ment to non-violence, no reason to ning, did not address the problems believe that. because they should, of the poor with the solutions that nently undermining black prog- maximizing independence, eco- white Americans would suddenly had the input of the poor. The poor ress. nomic opportunity and freedom of be transformed into benevolent and the disadvantaged, if pulled proponents of black justice and Blacks are at a turning point in choice for those receiving govern- into the government's social wel- progress. King's movement was an history. The era of the great civil ment-funded services. Regulatory fare industry machine, were turned act of faith, a belief in the convic- into passive "clients" to service and rights marches is over. Although and procedural barriers that pre- passage of the civil rights legisla- vent a community from starting its tion. in his words "that the uni- be led by the hand into poverty verse is on the side of justice." tion aroused hopes that blacks own schools, day-care centers and limbo. This government-knows- could finally enter the mainstream adoption agencies should be done King wrote in a 1968 essay, pub- best policy herded low-income fam- of society, this has proved to be away with. lished after his death, that "today's ilies into highrise buildings that more illusion than reality. Old strat- It is time to approach the needs problems are so acute because the bred crime and frustration, discour- egies have run their course; new of the black underclass from a dif- tragic evasions and defaults of sev- aged the work ethic, fostered efforts must focus on ending ferent perspective - one that is eral centuries have accumulated to dependency on public assistance dependency on government by cognizant of existing strengths disaster proportions the interre- and stifled the initiative of small encouraging the growing move- within the black community; one lated problems of war, inflation, entrepreneurs with programmed- ment among blacks to. once again, that recognizes the abilities and urban decay, white backlash and a to-fail bureaucratic restrictions. rely on themselves for an improved ingenuity of individuals and groups climate of violence" have found the life. in handling their own affairs; and nation completely ill-equipped to Of course, while faith is about one that keeps government inter- respond. Much the same climate acting in the absence of supporting The current risk-averse black vention to a minimum. one like exists today - and for much the evidence, it is folly to act contrary leadership is still content with King's civil rights movement that same reason. to evidence. smoke-screen issues, such as Afro- is an act of faith. In the past, the black community Blind adherence, for example, to American VS. black, and is unlikely had to rely on its own resources to traditional orthodoxy is exacting an to even deal with the issues that can make a difference. Robert L. Woodson is president survive. Black advancement was incredible toll on black Americans. of the National Center for Neigh- inextricably linked to black self- The much more sophisticated Jim People who are now protected by borhood Enterprise in Washington. determination. With a sassy and Crow era of the 1980s, while not tar- government aid programs need fearless newspaper published dur- geted specifically to black Ameri- instead to be empowered by them. He wrote this article for The Orlando Sentinel. ing the height of slavery, with cans in most instances, is perma- Policies should be geared toward HIGHLAND PARK, MI. MICHIGAN CITIZEN W. 42,000 DETROIT METROPOLITAN AREA MAY 1990 How to help poor neighborhoods-a conservative view port a large class of counselors, enable them to join the recipients to invest public assis- health. By Robert L. Woodson bureaucrats, and social workers economic mainstream. Aggres- tance payments in small busi- Note: Robert Woodson is In communities across - what I call the "Poverty Pen- sive efforts must be made to in- nesses or job-training president of the National Center America during the Depres- tagon." There are hundreds of troduce new approaches that programs. There are several for Neighborhood Enterprise. sion, churches, neighborhood aid programs that administer build on both the free ways in which welfare could be This essay is adapted from the associations, and families stood over $100 billion each year. In enterprise system and the restructured to stimulate Heritage Foundation between the private lives of in- New York City, the Community strengths and resources already general economic improvement monograph "A Conservative dividuals and large-scale Service Society (a 100-year-old existing in our communities. in poor communities. One Agenda for Black Americans," government programs. This social-work agency) examined Many analysts cite poverty as would be to convert assistance published as part of the think gave communities cohesiveness how funding intended to meet a condition inextricably linked payments into vouchers to be tank's recent Black History of spirit and purpose during a the needs of that city's 1.4-mil- to racism. The Argument is used by employers as wages. Month observations. time of setback and retrench- lion poop people' (or one-fifth integration This action would make low-in- ment. Rent parties, rummage of its population) was actually nurtured by preferential come-residents in distressed sales, quilting bees, church so- spent. The results: of the $14.5 government programs, will ul- areas more competitive in the cials, homecomings, lodge billion spent to help the poor in timately bring blacks and other employment market as well as meetings, and neighborhood 1983, 74 cents of every dollar minorities into the economic promote greater self-sufficien- gatherings around a communal went to the service industry; mainstream. But this strategy cy. A simple voucher plan also potbellied stove served as only 26 cents was spent on rent, has been tried and hasn't would be more attractive to methods of information ex- food, clothes, and other such worked. employers than complicated tax change and resource sharing for needs. In many cases, social An alternative approach credit programs. In addition, neighborhoods throbbing with welfare programs actually ex- rests on a cardinal principle: policies which prevent the un- the will and desire to survive. acerbate the very problems they Those suffering from the skilled from getting entry-level Such grass-roots, self-help were designed to solve and problems must be involved in work experience, such as the approaches were, however, destroy families in the name of designing the executing solu- minimum wage and labor union abandoned by the liberal social helping. tions to them. They have licensing restrictions, should be policy-makers of the New Deal Americans, especially black firsthand knowledge, and they eliminated. era and beyond. Since the Americans have become have the greatest interes the - Explore Ways to provide 1960s, there has been a 25-fold frustrated and infuriated with outcome. A successful com- private health insurance to increase in the amount federal, well-intended programs that do munity-based development families who leave aid to state, and local dollars spent to not lead to the desired results. strategy therefore must be families with dependent meet the needs of the poor. Yet They are not prepared to con- based on several steps: children (AFDC). This would one-third of black America is tinue to have money thrown at - Give assistance to com- eliminate one of the most sig- still in danger of becoming a the problems. munity efforts that are genuine- nificant barriers to welfare permanent underclass. Old-line government ly the product of neighborhood recipients taking jobs - the loss Moreover, the number of remedies and patchwork initiatives and that have shown of medical benefits in the form children living in poverty has ex- programs have not significantly themselves capable of mobiliz- of vouchers to newly employed panded while the quality of helped the unemployed under- ing local resources and sustain- low-income persons: their education has declined. class, who by their sizable num- ing an organization to deal with With these and other innova- The funding that was desig- bers seem to mock the ideals of local issues. tive self-help steps, America's nated to help poor people has a free enterprise system. But it - Explore welfare assis- most depressed neighborhoods gone, for the most part, to sup- is this very system that could tance approaches that enable can be nurtured back to good Perspective The Atlania Tournal THE ATLANTA CONSTITUTION SUNDAY, MARCH 4, 1990 Civil rights leaders ignore true needs of black poor By Robert L. Woodson Consequently. low-income thing that is all-black is "segregat- Special to the Journal-Constitution blacks have become the victims of ed" and therefore harmful? 1 bait-and-switch game in which It is no wonder that many chil- The time has come to exam- their endemic conditions of poor dren of low-income black families ine. honestly and objectively. the health. low educational achieve- make the self-destructive choices adverse side effects of the civil ment, crime and violence are confirmed by daily headlines rights movement that may be con- ased in appeals for aid that. once when they are constantly told. tributing to the plight of the black it arrives. seldom benefits them. even by their own people. that underclass. According to a 1986 study by On Oct. 29. 1965. William anything all-black is. by defini- the White House Office of Policy, tion. all-bad. Raspberry. then a reporter for 10 cents out of every dollar spent More than a half-century ago. the Washington Post. quoted by the federal government in Washington-based civil rights the distinguished black scholar- means-tested aid programs goes activist W.E.B. DuBois voiced this leaders as acknowledging that to service providers - counsel- same concern when he publicly "poor Negroes" were not benefit- ors, social workers and adminis- broke with the NAACP in 1935 ing from the movement's gains. trators - and only 30 cents to the and that continued emphasis on over the issue of integration. He poor. asserted that we must never con- race-specific solutions would do Minority set-aside programs little to relieve their economic vey the notion that our goal as a are another case in point. We ad- suffering. people is disassociation from our- vertise them as something done to Choosing to ignore this wis- selves. His message prompts us to help "the black community." But dom. the movement's leaders pro- ask a basic introspective ques- the blacks who benefit are those tion: If we don't want to be with ceeded to employ three major already working in professional strategies to advance the condi- us, then why should other or highly unionized fields - not tion of blacks: racial integration people? the lowest tier of the workforce. and affirmative action: expanded When attempts have been government spending on anti- Even worse, the solutions em- made to solicit the wishes of low- poverty programs: and black po- braced by civil rights leaders income blacks. all too often their litical empowerment. sometimes compound the exist- opinions have been arrogantly set Now. some 25 years later. with ing injury. aside. the passage and enforcement of The single-minded pursuit of Harvard law Professor Der- civil rights laws. the expenditure integration. for example. has rick A. Bell Jr.. in his 1976 study of of more than a trillion dollars on done psychological harm to low- the Boston school busing contro- anti-poverty programs. and the income blacks. For many who versy. notes that Judge W. Arthur installation of blacks at the helm fought in the movement in the Garrity sought the views of the of eight of the nation's 12 largest 60s. the goal was never integra- grass-roots black community be- cities. the plight of the one-third tion. but total desegregation. fore rendering his busing deci- of blacks mired in poverty contin- The failure to engage in sion. Groups of parents and com- ues to worsen. thoughtful debate on this issue munity leaders met for months Instead of examining why has produced a unique form of and reached a consensus that these instruments of salvation schizophrenia. When low-income they preferred improvement in have failed. a growing chorus of blacks are grouped together in the quality of their neighborhood middle-income blacks and black schools or neighborhoods, they schools over the dislocations academics now want to attribute are referred to as being "segre- caused by busing. Civil rights law- this economic decline to a white 'gated." Thus they must be bused yers. both white and black. rec- conspiracy. far from their homes or have oth- ommended that Judge Garrity ig- I was not a bystander in the er integration-oriented remedies nore these opinions and order civil rights movement. Like many applied. But when middle-in- black children bused to South of my peers. I led demonstrations come blacks belong to all-black Boston. in the '60s and went to jail in our churches. all-black sqrorities or Integration ideals have also quest to end America's own en- fraternities. or other all-black so- clashed with black interests in trenched system of apartheid. cial, civic or professional organi- the area of child adoption. During For those of us who were profes- zations, they are never regarded the Reagan years. the Depart- sionally trained and prepared to as "segregated." These organiza- ment of Health and Human Ser- walk through the doors of oppor- tions are accepted for what they vices vigorously enforced contra- funity, the benefits were obvious. are. dictory policies. The depart- But seldom. if ever. were low- What does it do to the collec- ment's Office of Children. Youth income blacks involved in the de- tive psyche and self-esteem of and Families provided grants to eision-making process - a flaw low-income blacks who go to all- states to recruit black adoptive that continues to plague the civil black schools and live in an all- families. At the same time. its Of- rights movement to this day. black setting to be told that any- fice of Civil Rights Compliance is- sued directives to those same ed family networks that have tra- state offices threatening them ditionally worked to combat vari- with sanctions if any reference to ous social and economic race was made in the recruitment problems. If public funds are and placement of children. Thus spent on projects aimed at im- a young black mother was legally proving conditions within low-in- prohibited from requesting a come communities. these inter- same-race adoption for her child. nal support mechanisms should On housing issues, too, the in- be involved in the process. terests of civil rights advocates of- Second. a greater percentage ten run counter to the interests of of funds allocated for social pro- the poor. The U.S. Department of grams should go directly to ser- Housing and Urban Development vice providers who live within the has implemented a concept affected communities. The appli- known as "integration mainte- cation of such a "ZIP Code test" nance." Under this banner, pro- would ensure that the lion's share grams have been developed to of poverty funds is put directly regulate the percentage of blacks into the hands of the poor them- in public housing developments selves, enabling them to become and private developments built the primary delivery system of with federally insured mortgages. services to their communities. While enforcing these policies in Third, enterprise-zone legis- the sacrosanct name of "racial lation should be expanded to in- balance," officials often forget clude tax incentives that would that such quotas all too often encourage the flow of capital into work against those low-income low-income communities to cre- blacks who need affordable ate small, resident-run busi- housing. nesses. Rodney Smolla. a professor of A new black agenda would law at the University of Arkansas. also seek to determine why 50 has suggested that a more insid- percent of the families living in ious effect of integration mainte- low-income neighborhoods are nance programs - and the result- stable. not on drugs and not com- ing diffusion of the black popula- mitting crimes. We need to know tion - has been the dilution of the factors that have allowed such black political power and. the families to thrive in the face of weakening of the economic, reli- the historic progression of slav- gious and cultural institutions ery, segregation. discrimination, that constitute the strengths of a severe national depression, and the black community. subsequent recessions. It is time to separate the inter- Another guiding principle of ests of low-income blacks from the new black agenda would re- those of middle- and upper-in- flect the wisdom imparted by Dr. come blacks and concentrate all Martin Luther King Jr. when he our energies and resources on ad- advised us to reach down into our dressing the needs of the former. souls and sign our own Emancipa- First, we must build upon the tion Proclamation. We cannot and demonstrated capacities of exist- must not avoid facing the bottom- ing structures within the black line truth: No one will or should community - the churches. fra- do more for us than we are willing ternal organizations and extend- to do for ourselves. THINK Civil Rights and Economic Power Developing minority entrepreneurs and a skilled workforce should be high priorities for U.S. business. by Robert L. Woodson The recent incident of racial violence As a nation. we cannot afford to repeat against blacks in the Howard Beach sec- the social upheaval of two decades ago. tion of Queens. N.Y., and the stoning of Not at a time when we are concerned civil rights marchers in Forsyth County. about foreign competition and attempting Ga., have placed the civil rights issue. to reassert U.S. leadership in world mar- once again. prominently in the news. At kets. recent protest demonstrations in New York For these reasons, U.S. businesses must and Georgia, civil rights leaders warned become more involved in major policy the nation that these upsurges of racism debates on issues such as welfare reform. will bring about a repeat of the 1960s The future course of race relations in this agenda-marching in the streets. country will hinge on a concerted private Can the myriad of social and economic and public sector commitment to break problems faced by many blacks be attrib- the cycle of dependency, despair and pov- uted to racism? Would eradicating racism erty by promoting self-sufficiency and in the United States improve conditions productivity. It is important for U.S. busi- for all blacks. especially the poor? What ness and IBM. in particular as a leader, constructive role can business play in to understand the issues. addressing racial tensions in society? Can While, in the past. masses of blacks the true character of a U.S. corporation were strong supporters of civil rights be determined by its willingness or Robert L. Woodson is president of the marches and demonstrations, many now unwillingness to support economic devel- National Center for Neighborhood question the wisdom of such tactics to opment programs? Should business get Enterprise and a member of the Presi- address the challenges of the 1980s. involved? dent's Board of Advisors on Private Sec- In the 1960s the civil rights movement These are difficult and disturbing ques- tor Initiatives. He is also chairman of the was directed against institutional racism tions for a society to grapple with-let Council for a Black Economic Agenda as manifested in laws, policies and com- alone American business whose principal and an adjunct fellow at the American munity-wide attitudes that resulted in job is to provide the engine for the coun- Enterprise Institute. blacks being denied public accommoda- try's economic prosperity. It is clear. Woodson has directed national and local tion, voting rights and political represen- however. that if U.S. business is to remain community development programs among tation in government. Along with a host competitive in domestic and world mar- a broad cross section of people, from of other obvious gains today, blacks have kets, it is imperative that the problems blacks in Chicago to farm workers in Cal- free access to public places and seven of and prospects of its future workforce be ifornia. In addition. Woodson is a fre- the 12 major cities in the country have fully understood. quent lecturer at colleges and universi- black mayors. Ironically, while black A recent report by the National Alli- ties. Among his honors are the Outstand- America has enjoyed increased political ance of Business offers a glimpse of the ing Public Service Award of The Georgia power far greater than any minority domestic workforce in the year 2000: Coalition of Black Women, Inc., and the group-since 1970, the number of black "Over the next 10 to 15 years. the Freedom Foundation at Valley Forge 1985 Congressmen has more than doubled to workforce is expected to undergo major George Washington Honor Medal. more than 20, and the number of black changes in composition. Most striking will mayors is approaching 300-this power be the growth of less well-educated seg- has not translated into economic power ments of the population that have typi- will be more significant than ever." and influence. cally been the least prepared for work. These changes will occur at a time when What distinguishes recent acts of racial The number of minority youths will the federal government is reducing over- violence from those of the 1960s is that increase while the total number of youths all expenditures. In response to this shift, today the actions are committed by a small of working age will decline. The number the private sector will need to assume a group of Ku Klux Klan members and of high school dropouts will rise as will greater responsibility in preparing tomor- youthful zealots who have no commu- the number of teen mothers. At the same row's workforce. nity-wide support. In Georgia, white For- time, entry level jobs will increasingly One can foresee dramatic economic syth County residents were the ones who require basic. analytical. and interper- upheavals with the mismatching of busi- extended the invitation to the marchers. sonal skills. ness and industry workforce needs with The county police protected the march- "From five to 15 million manufacturing an unprepared. unskilled and untrained ers, in contrast with the past when police jobs will be restructured and an equal minority labor pool. If, in frustration. these unleashed dogs and turned fire hoses on number of service jobs will become obso- youngsters turn to-crime and drugs. while civil rights demonstrators. In Howard lete. While it is expected that new jobs also becoming teenage parents. they will Beach, white community residents coop- will replace those that are lost, the dis- further drain the national treasury and, erated with the police in identifying the ruption from these changes will be great even more critically. waste their own young attackers. In the 1960s, the assail- and the need for training and retraining human potential. ants probably would have been protected Reprinted with permission. THINK Number 2/1987 International Business Machines Corporation "The emphasis for the future must be on creating wealth " and considered heroes. It is. therefore. core unemployed youth for renovation invest in a business. Great Britain's incorrect to imply that these isolated inci- crews. They have since become involved "enterprise allowance" program allo- dents of racial animosity express a resur- in developing an inner-city shopping mall. cates eligible working people an allow- gence of racism throughout the white In addition. 270 people are employed in ance of $60 per week in exchange for community. In reality, national polls indi- small businesses established by Coch- working at least 35 hours per week to cate a more tolerant attitude toward ran's public housing resident corpora- establish a business. After three years. minorities. tion. thousands of new businesses have been The challenge of the 1980s is to develop There are hundreds of such fledgling established with an extraordinary success strategies that are appropriate for the times. entrepreneurs in low-income neighbor- rate of over 70 percent. Technically, New voices in the black community are hoods across the country. What is critical transfer of welfare payments for starting speaking out in a candid and straightfor- to their success is information and train- new businesses in the United States is ward manner against the old rhetoric that ing and other forms of hands-on help. illegal. Instead of penalizing entrepre- blamed racism for all social ills. Innova- They are not looking for handouts. but neurship and self-sufficiency, we should tive solutions are being discussed and for a helping hand. look at ways to encourage it. implemented to help end the debilitating What is desperately needed by all who IBM has been at the forefront of public/ poverty that stalks our communities. seek to improve the plight of the nation's private partnerships, by providing direct According to MIT researcher David poor is to join hands with black Ameri- assistance to groups that help low-income Birch, 80 percent of all new jobs are cre- cans in spearheading a self-help renais- people learn the skills they need to par- ated by small and medium-sized busi- sance-the next battle-front in the strug- ticipate in the marketplace. More than nesses. Many of these small businesses gle for equal rights. Information flowing seven years ago, 11 IBM employees were provide products and services to large to these groups is critical. How does a detailed to the Washington Urban League corporations. Compared with other business price its products and services, to establish a word processing training minority groups. blacks are way behind study markets, manage expansion? Since center. To date, more than 700 low-income in creating jobs. many low-income people lack business people have graduated from the program experience. they need sound business with a 100 percent job placement rate for The key to improvement information. those who have completed the program. The emphasis for the future must be on Many low-income entrepreneurs face After three years. 70 percent retained their creating wealth through increased enter- regulatory and administrative barriers that jobs. When calculating the personnel con- prise formation in low-income commu- keep them from entering the market. Sev- tribution in dollar amounts, IBM's con- nities. Economic development is the key eral female welfare recipients in Balti- tribution is worth more than $250,000. to improving the quality of life in those more, for example. started a maintenance When you consider the taxes paid by these neighborhoods. business that hired other welfare recipi- workers and other cost factors, the return Over the past two decades, for exam- ents. When they informed the city's wel- rate of this program is $5 for every $1 ple, public housing resident management fare department of their venture, their invested. The program is now staffed corporations run by small, grassroots business income was deducted dollar-for- completely with Washington Urban groups living in the housing they manage dollar from their welfare benefits, but they League employees. have sprung up in Boston, Jersey City, were not allowed to deduct their costs. The poor have needs beyond food, St. Louis, New Orleans and other areas. Another example involves a woman on shelter and clothing. They must over- They have successfully transformed welfare who received a gift of a typewriter come their crisis of the spirit. They must blighted and impoverished developments that would allow her to earn extra money be helped to reinvest in their futures by into safe communities with new jobs and while preparing for a new career. Her wel- believing development is possible. community-run social services. fare benefits were immediately stopped Rebuilding the black community must The Kenilworth-Parkside Resident because welfare recipients may not have occur from within based on the experi- Management Corp. run by Kimi Gray in assets over $1,000. Many welfare policies ences of those suffering the debilitating Washington. D.C., will save the District do not distinguish between commercial social and economic problems. of Columbia government $4.5 million over and personal assets. These are examples Just as business uses its political and a 10-year period. And the social and eco- of the barriers to self-help imposed by economic energies to increase investment nomic impact is awesome. Within two government that must be struck down in new technologies and expand world years, teenage pregnancy in the devel- through welfare reform. markets, it should employ the same zeal opment was reduced by 50 percent, wel- Several European countries have to increase the employability of blacks fare dependency declined by 50 percent, developed innovative programs that allow and other minorities who represent the the crime rate fell 75 percent and rent public assistance payments to be used to work force of the future. Developing a collections increased 130 percent. invest in small businesses. In France, for labor market that reflects America's cul- In St. Louis, the Cochran Tenant Man- example. any citizen who is entitled to tural diversity and energy should be at agement Corp. refurbished 400 vacant units unemployment compensation can collect the top of every corporate agenda. The in its first year of operation. using hard- six months of benefits in a lump sum to stakes are too high to ignore. THE WHITE HOUSE WASHINGTON 1/25 Maykate Grant: fy; DP Pls. show to Lange, et 21. OPENING AND CLOSING STATEMENTS Presented by ROBERT L. WOODSON, PRESIDENT NATIONAL CENTER FOR NEIGHBORHOOD ENTERPRISE on the CIVIL RIGHTS RESTORATION ACT OF 1990 at the WHITE HOUSE MEETING WITH PRESIDENT BUSH AND CIVIL RIGHTS LEADERS May 14, 1990 OPENING STATEMENT As the debate develops around the Civil Rights Restoration Act of 1990, it is important to examine honestly and objectively the potential adverse side effects of the proposed affirmative action strategies that may contribute to the plight of the black underclass. Before examining the specific provisions of the Act, which is the purpose of this meeting, certain of its underlying assumptions must be reviewed in terms of the intended and actual beneficiaries and the past effects and future implications of the type of civil rights solutions advocated by proponents of the legislation. The civil rights movement was conceived to secure for all individuals the power to control their own destinies and insure the fundamental, constitutionally guaranteed rights of "freedom and justice for all." Through the formulation and enforcement of laws to change the system of segregation that denied many blacks the right to vote and access to public places and allowed other forms of racial discrimination, the visionaries of that day hoped to cure racial inequities and provide keys to the future that would open doors to groups long excluded from employment and other opportunities. The cornerstones of the movement were moral consistency, equality and justice. However, it became clear in a very short time that civil rights gains were benefitting primarily middle and upper class blacks and not those in the lower economic stratum. On Oct. 29, 1965, William Raspberry, then a reporter for The Washington Post quoted Washington-based civil rights leaders as acknowledging that "poor Negroes" were not benefitting from the movement's gains and that continued emphasis on race-specific solutions would do little to relieve their economic suffering. Choosing to ignore this wisdom, the movement's leaders proceeded to employ three major strategies to advance the condition of blacks: racial integration and affirmative action based on statistical indicators; expanded government spending on anti-poverty programs; and black political empowerment. 2 Now, some 25 years later, with the passage and enforcement of civil rights laws, the expenditure of more than a trillion dollars on anti-poverty programs, and the installation of blacks at the helm of the nation's 12 largest cities, the plight of one third of blacks mired in poverty continues to worsen. Instead of examining why these instruments of salvation have failed, a growing chorus now wants to attribute the economic decline of the underclass solely to white racism. In reality, many of the gaps that existed between the achievements of blacks and whites two decades ago are narrowing. Recent reports indicate that the income of two-earner black households has reached 85% of parity and the gap is closing at a rate of 5% a year. Conversely, the gap between low-income and middle-income blacks widens steadily. The truth of the matter is -- middle-income blacks are the primary beneficiaries of the civil rights legacy. During the 20-year period from 1967 to 1987, the number of black households earning $50,000 or more increased 360% (from 212,000 in 1967 to 767,000 in 1987). While, in this same period, black families with incomes of less than $10,000 increased from 26.8% to 30.2%. Other post-civil rights era results suggest strongly that the approaches employed have resulted in an adverse impact particularly on low-income blacks as shown below. The net effects of those flawed strategies include destabilization of black families, alienation of young black males from the economic mainstream, and the abandonment and desolation of low-income, inner-city communities. 3 POST-CIVIL RIGHTS ERA IMPACT ON BLACKS 1960's 1980's Destabilization of Black Family Structure O Married black women (aged 15-44) with spouse present in household 51% 29.1% O Black children living with black married couple 67% 38.6% o Black children living with never- married person 2.1% 29.3% o Black children born to unmarried mothers 25% 61.2% Alienation of Black Males Employed young black males 60% 44% Unemployed black males 24 years old 19.8% 28.2% o Unemployed black males 35- 36 years old 17.1% 20.3% The interests of low-income blacks continue to be sacrificed on the altar of affirmative action. Merely reversing the Supreme Court's anti-civil rights decisions of 1989 and re- embracing the concept of quotas would do nothing to redress the deeper problems of the truly disadvantaged. Civil rights remedies that call for statistical, rather than economic parity, are morally inconsistent, counter to the free enterprise system, and widening racial and economic gaps. What is needed instead is an economic agenda for empowerment of the underclass that will redress the problems of the economic mobility and human capital development of the nation's poor and revitalization of low-income communities. In doing so, we will be completing the unfinished business of the civil rights agenda envisioned by Dr. Martin 4 Luther King, who dreamed of a day when black Americans would no longer be judged by the color of their skin, but by the content of their character and achievements. It is my belief that the goal of establishing proportional representation in the workforce through any means necessary is misguided. Without examining the underlying reasons for underrepresentation, as well as the real life consequences of legal and technical remedies proposed by the Civil Rights Restoration Act, the emphasis on numerical outcomes as evidenced by statistical disparities and disproportionalities is questionable, at best. I hope that through this meeting and other deliberations conducted by the President on the proposed legislation, the conclusion will be reached that an alternative proposal, which advances strategies for empowerment of the underclass, is the most credible solution. This approach, rather than court-mandated numerical outcomes, would better serve the interests of all Americans and preserve our families, our moral and spiritual character, our communities, our unity and self-reliance as a people -- which, along with economic mobility and equal opportunity, were the intended legacy of the civil rights movement. 5 CLOSING STATEMENT Today's meeting convened by President Bush creates an opportunity to broaden the civil rights debate to include other views and interests not previously represented. It provides an impetus for insightful re-examination of old civil rights laws and the analysis of their true effects and beneficiaries. Before we subscribe blindly to new civil rights proposals that may not only perpetuate, but deepen class divisions that resulted from the old laws, we must honestly and objectively consider the implications of race-specific solutions and acknowledge fully the shortfalls and consequences of existing civil rights laws. In the last 25 years, millions of low-income blacks, Hispanics and Native Americans who were unable to pass through the narrow gates of opportunity wrought by the designers of present civil rights laws have languished in deteriorating inner-city ghettos, barrios, isolated rural communities and remote reservations. They have been left in an abyss of poverty, while their middle and upper class brothers and sisters have realized impressive gains in income, employment and education. This is not a "sour grapes" or "crabs in a barrel" commentary, decrying the progress of middle class blacks, but an admonition that the needs of low-income blacks can not continue to be ignored and their interests sacrificed to that of middle-income blacks. The Civil Rights Act of 1990 represents outdated thinking. It is narrowly crafted legislation that attempts to correct legal problems created by recent court decisions that are viewed as damaging to middle-income blacks. Undergirding this legislation is the assumption that every significant difference in statistical outcomes among racial and ethnic groups is attributable to racial discrimination, and is curable by quotas. The quest of civil rights was defined initially as empowerment of individuals through the creation of equal opportunity. However, in recent years, we have strayed from this course, and the focus of civil rights policies has shifted from securing equal opportunity 1 to securing equal outcomes among racial groups through racial quotas, set-asides, busing and welfare. Though advocated as temporary measures necessary to undo lingering effects of past discrimination, these devices have grown increasingly entrenched. The original intent of affirmative action -- to remove legal barriers and recruit groups historically excluded from employment and other opportunities -- has been transformed to focus on numerical group results. Formula-based remedies have been contrived to achieve legally prescribed, racial landscaping through whatever means necessary, including manipulation of performance standards and the compromise of quality. What has resulted is a zero-sum game in which quotas are used to redistribute opportunities, but in reality, the net effect is every person's gain means another's loss. Quotas are superficial solutions to the far more serious problems faced by America's truly disadvantaged. They are a cruel hoax on low-income blacks who have become victims of a bait-and-switch game in which their endemic conditions of poor health, low educational achievement, crime and violence are used in appeals for aid that, once it arrives, seldom benefits them. According to a 1986 study by the White House Office of Policy, 70 cents out of every dollar spent by the federal government in means-tested aid programs goes to service providers -- counselors, social workers, administrators -- and only 30 cents to the poor. Minority set-aside programs are another case in point. They are promoted as something done to benefit the "black community." But the blacks who benefit are most likely not residents of those communities and are employed in professional or highly unionized fields -- not the lowest tier of the workforce. The proposed civil rights legislation must be scrutinized to ensure that it does not compound the existing injury. In redressing the civil rights agenda, the original intent of 2 affirmative action should be revisited and new implementation approaches formulated which are focused on economic empowerment of low-income blacks and elimination of barriers to the progress of the truly disadvantaged: e.g., stifling regulation of entrepreneurial opportunities; lack of access to the capital market; poor public education; deteriorated and insufficient housing; crime; and the welfare system. As we approach the next century, now is an opportune time for progressive, new strategies aimed at empowering the underclass. Consistent with our nation's tradition of leadership, the Bush administration has an ideal opportunity to demonstrate responsible stewardship to new and aspiring democracies of the world by introducing an innovative economic agenda that addresses the needs of the underclass from a new perspective -- one that strengthens the capacity of low-income individuals and involves them in formulating solutions to their problems; one that provides an alternative to the present welfare system and ceases to nourish a poverty industry that primarily serves its own self- interest rather than the interest of the underclass; one that encourages revitalization of low-income neighborhoods through enterprise formation and reinforcing indigenous development capacity; and one that eliminates barriers -- governmental and private -- to economic mobility of the underclass and provides market-oriented strategies and incentives for development of low-income communities. In conclusion, my specific recommendations to President Bush are: o Convene a meeting with the President, top Administration officials and leaders of low-income communities to learn firsthand the problems confronting low-income people in their struggle to become economically self-sufficient. o Establish a Commission on Low-Income Empowerment and Economic Mobility that will, within a specified period, identify barriers that impede economic progress of low-income people and recommend legislation designed to eliminate those obstacles and empower the underclass. O Propose an amendment to strengthen damage provisions of the Civil Rights Act of 1964 to provide for vigorous enforcement of existing civil rights laws, 3 strict penalties for discriminators, and full relief for victims of discrimination. O Streamline and reform social services delivery system. [Efforts should include increasing the Earned Income Tax Credit, expanding the Dependent Care Tax Credit, and establishing ceiling rents in public housing so that intact working families can be reunited.] O Exempt low-income people from laws and regulations that prohibit and discourage employment and enterprise formation. O Use current tax system and other incentives to encourage investment in affordable housing and enterprises owned and operated by low-income people. 4 2/05/91 A BILL To enable the development by communities of empowerment opportunities systems in order to facilitate economic opportunity for their low-income residents through the restructuring of programs providing services and benefits, to meet the identified priorities of the community and the needs of the individuals and families to be served. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, that this Act may be cited as the "Empowerment Opportunities Act of 1991". Purpose; Federal Administrator Sec. 2. (a) It is the purpose of this Act to declare the need and provide the necessary authority for the development of new approaches to increase economic opportunity and opportunities for self-sufficiency, implemented through restructured delivery systems at the community level, so that in the case of each system -- (1) services and benefits for low-income individuals and families funded under categorical or other single or limited purpose Federal programs, can be integrated and restructured at the community level to facilitate the economic empowerment of those individuals and families; (2) the system is neighborhood or community based, with a specified target group or groups of beneficiaries; 2 (3) the individuals and families to be served can participate in the design of the comprehensive system for the delivery of services and benefits; and (4) the delivery system affords individuals and families in the target group of beneficiaries the maximum choice and control over the range, source, and objectives of the services and benefits to be provided. (b) In order to provide a single focal point for the administration at the Federal level of government of the authorities provided under this Act, the President shall designate an official of the Executive Branch; or two or more such officials to act in concert as a panel. The designated official or officials (hereafter referred to as the "Federal administrator") shall exercise the authorities conferred below, in consultation with all other heads of Federal departments and agencies having programs that an applicant agency seeks to include in its restructured system, and shall make a recommendation to each such department or agency head with respect to approving the inclusion of a program for which such department or agency head has legal responsibility, or the waiver of any Federal statutory or regulatory requirements applicable to that program. Technical Assistance Sec. 3. An agency eligible to submit an application under section 4 may request, through the Federal administrator, technical assistance to aid in the development of the information 3 necessary for the design and implementation of a restructured system for the integrated provision of services and benefits to low-income individuals or families within one or more communities in the State. Assistance under this section may be provided only upon application therefor which describes, in such detail as the Federal administrator finds appropriate, the nature of the system which the applicant proposes to implement and the target group or groups. The application must also provide reasonable assurances that in the development of the application under section 4 the applicant agency will afford adequate opportunity for participation by the low-income individuals and families, and by any agency carrying out a human services program, within the community and that the application will be developed only after considering fully the needs for services and benefits expressed by individuals and families, and the community priorities and available resources in the area served by the applicant. (b) The Federal administrator may request that the head of the Federal department or agency with the preponderance of Federal funds or Federal programs likely to be included in the applicant's system furnish technical assistance to the applicant. The department or agency head may, out of any appropriations available to him (or to his department or agency), provide such assistance to the extent that he finds it will enhance the application and, ultimately, the successful conduct of the applicant's demonstration. 4 Empowerment Opportunities Systems Sec. 4. (a) In order to be eligible to submit an application under subsection (b), an agency -- (1) must -- (A) be currently receiving or eligible to receive Federal grant funds or other Federal financial assistance under one or more of the Federally funded programs proposed in the application to be included in the restructured system, and (B) provide documentation of the concurrence of each other non-Federal official or entity to which the Federal funds involved would otherwise be provided (either directly or through intervening levels of grantees or other recipients) and demonstrate that it will have the cooperation of each such non-Federal official or entity in the applicant's implementation of the system, and (2) must provide assurance, found adequate by the Federal administrator, that -- (A) it has the ability to develop an empowerment opportunities system and to implement the system, directly or through contractual or other arrangements, within the area, (B) it can and will be accountable for all Federal funds received for use in implementing the system, 5 (C) the application has the concurrence of all the non-Federal officials and other entities referred to in paragraph (1) (B), and (D) the individuals and families within the empowerment opportunities area have participated in the development of the system described in the application. (b) In order for an agency to implement a system under this Act, it must submit an application to the Federal administrator, which contains the following information: (1) the geographic area to be served and the rationale, in light of the objectives of the empowerment opportunities system to be conducted in that area, for so defining the service area, (2) the particular groups, by age, services needs, economic circumstances, or other defining factors, to whom services and benefits under the system will be targeted, (3) the specific goals and objectives to be achieved, including a plan for the comprehensive evaluation of the participant impacts, community effects, and program costs, (4) those elements of the program design that will assist the individuals and families after receiving full information about available services and benefits and the providers, to participate actively in developing both long and short range plans for services and benefits, and in deciding other matters such as (A) the scope of services necessary and desired to meet the full range of the 6 individual's or family's needs, (B) the choice of provider, and (C) any other choices affecting the service design for that individual or family; (5) the Federally funded programs to be included within the system and the services and benefits that will be available, including criteria for determining eligibility for services and benefits under the system, the services available, the amounts and form (such as cash, in-kind contributions, or financial instruments) of non-service benefits, and any other descriptive information the Federal administrator may .find. necessary to decide on the system's potential for success; (6) any Federal statutory or regulatory requirement applicable to a Federally funded program, for which waiver is sought in order to permit the applicant's system to be implemented; and (7) such other information as the Federal administrator may require to determine whether the application should be approved or otherwise to carry out the provisions of this Act. (c) (1) In the case of Federal funds which, pursuant to the relevant authorizing statute, are required to be paid to a non- Federal official or entity other than the applicant, the concurrence of the official or entity, as required under subsection (a) (2) (c), shall constitute its consent to pay directly to the applicant that portion of its funds that would 7 otherwise be provided to such official or entity for the target group or groups within the geographic area to be served by the system. (2) If the statute authorizing any such grant funds requires a non-Federal share, the application must describe, and provide assurance of the availability of, the requisite non- Federal funds with respect to all included Federal grants. (d) The Federal administrator may request, in order to determine whether an application should be approved, that the applicant provide a statement by the Attorney General of the State involved that there. is authority under State law for the applicant agency to take all actions described in its application and implement the empowerment opportunities system. Approval of Application Sec. 5. (a) (1) Upon receipt of an application to implement an empowerment opportunities system, the Federal administrator shall provide a copy to the head of any other Federal department or agency with responsibility for the administration of any Federally funded program to be included in the applicant's system. Actions taken by the Federal administrator to approve the inclusion of specific programs, or to waive program requirements, shall only be taken with respect to programs for which he has responsibility under Federal law; he shall make recommendations to each other department or agency head with respect to programs of the department or agency that are proposed for inclusion in the applicant's system and each such department 8 or agency head shall thereafter advise the Federal administrator whether the program has been approved for inclusion. (2) Except as provided in subsection (a) (3), the Federal administrator with respect to a Federally funded program for which he has responsibility, or the head of any other Federal department or agency with respect to a program included in an application for which he has responsibility, may waive any statutory or regulatory requirement applicable to that program (and substitute a lesser requirement, where appropriate) if he finds it necessary for the program's inclusion in and successful contribution to the applicant ' economic empowerment system. (b) (1) The Federal administrator may approve an application under this Act only if he finds that the design of the system, and the proposed plan for its ongoing operation, show substantial promise for the economic empowerment of the target groups to be served and the achievement of the purposes of this Act. (2) The Federal administrator may not approve an application under this Act unless he finds that under the restructured system individuals and families in the target groups who were previously assisted under one or more of the included programs will be able to reasonably meet the needs for which such included programs were originally designed. (c) In approving the application to implement an empowerment opportunities system, the Federal administrator shall specify the understandings that have been reached with the applicant on each of the following: 9 (1) the term of the demonstration, which may be extended with the consent of all parties, (2) the Federally funded programs that will be included in the system, except that there shall not be included in any such system, or otherwise affected by the provisions of this Act, Federal benefits paid directly to the individual by the Federal Government, Federal benefits financed from trust funds, or any medical assistance which a State is required under title XIX of the Social Security Act to furnish to described classes of individuals, (3) the program requirements that have been waived, and the alternative requirements or conditions, if any, that have been substituted pursuant to subsection (a) (2), except that the Federal administrator (or other department or agency head) -- (A) may not waive any statutory or regulatory requirement under title VI of the Civil Rights Act of 1964, section 504 of the Rehabilitation Act of 1973, title IX of the Education Amendments of 1972, or the Age Discrimination Act of 1975, (B) may waive a program requirement only if he finds that its waiver will not unnecessarily or unreasonably adversely affect individuals or families, and (C) shall not impose any confidentiality or similar requirement which would impede the exchange, 10 within the system, of information needed for the design and delivery of integrated services and benefits, (4) the total Federal cost of the program over its full term (or mechanism for determining the total Federal cost), the amount that will come from each Federal program approved for inclusion in the system subject to the availability of Federal appropriations, and the source of the required non-Federal share, except that the authority provided by this Act shall not be exercised in a manner that causes obligations or outlays for any program for any fiscal year greater than those that would have occurred absent the authority provided by this Act, and (5) the steps that must be taken during the term of the demonstration to develop the necessary data for its comprehensive evaluation, including measurable performance criteria to be applied over the term that the system is in operation. Exclusivity of Empowerment Opportunities Program as Source of Services and Benefits Sec. 6. Any individual or family within a designated target group of a community's empowerment opportunities system shall not be eligible for services or benefits under any included Federal program except under the terms and conditions of the approved application for that system. 11 Evaluation and Modification Sec. 7. (a) Over the term of each empowerment opportunities system under this Act, the non-Federal administering agency shall take all actions necessary to evaluate the system's impact on the target groups specified in the application, community effects, and program costs, and shall cooperate with the Federal administrator in Federal evaluation or other review. In any event, the non-Federal administering agency shall submit to the Federal administrator, not later than 90 days after the close of each 12-month period during which the demonstration is conducted, a report summarizing the principal activities and achievements of the system during that period, and comparing its achievements to the measurable performance criteria agreed upon in the application. (b) If the Federal administrator determines, after consultation with each other Federal department or agency head having Federal funds included in the applicant's system, that there is a substantial failure to meet the performance criteria, and that the criteria remain sound in light of any experience gained to that point in the conduct of the demonstration, he may terminate the demonstration, allowing a reasonable period or periods of time for all affected Federal, State, and local agencies to resume, in an orderly and effective fashion, the administration of the various included programs in accordance with the applicable authorizing laws and regulations thereunder. 12 Reports; Extension of Authority for Successful Systems Sec. 8. (a) The non-Federal administering agency implementing an empowerment opportunities system shall submit such reports, at such time or times, and cooperate in such audits of Federal funds, as the Federal administrator may require, and shall submit a final report, including a full evaluation of the system's successes and shortcomings and the impacts on the self- sufficiency of the target groups, after the expiration of the term of the system. However, if the agency believes that the system has demonstrated its worth and has proven a superior way to assist and empower individuals and families, that agency may submit its final evaluation and reports prior to the expiration of the system term and request, and the Federal administrator may approve (with the concurrence any other Federal department or agency head having responsibility for a Federal program included in the demonstration, with respect to such program) for such period or periods as he finds appropriate, the extension of the empowerment opportunities system and the necessary waivers. (b) A copy of the final report shall also be promptly sent to the Governor of the State involved. Definitions Sec. 9. As used in this Act -- (1) the term "State" means the 50 States, the District of Columbia, Puerto Rico, Guam, and the Virgin Islands, (2) the term "local agency", in the case of the District of Columbia, Puerto Rico, Guam, or the Virgin Islands, includes any 13 agency of the State, and such term also includes the governing organization of an Indian tribe. (3) "Governor" of a State means the chief elected official of the State. Effective Date Sec. 10. Sections 4, 5, 6, 7, and 8 of this Act shall become effective October 1, 1991; the remaining sections are effective upon enactment. 2/05/91 A BILL To enable the development by communities of empowerment opportunities systems in order to facilitate economic opportunity for their low-income residents through the restructuring of programs providing services and benefits, to meet the identified priorities of the community and the needs of the individuals and families to be served. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, that this Act may be cited as the "Empowerment Opportunities Act of 1991". Purpose; Federal Administrator Sec. 2. (a) It is the purpose of this Act to declare the need and provide the necessary authority for the development of new approaches to increase economic opportunity and opportunities for self-sufficiency, implemented through restructured delivery systems at the community level, so that in the case of each system -- (1) services and benefits for low-income individuals and families funded under categorical or other single or limited purpose Federal programs, can be integrated and restructured at the community level to facilitate the economic empowerment of those individuals and families; (2) the system is neighborhood or community based, with a specified target group or groups of beneficiaries; THE WHITE HOUSE WASHINGTON Date: 1-30-91 TO: Members of the Domestic Policy Reform Breakfast Group FROM: RICHARD W. PORTER Special Assistant to the President and Executive Secretary to the Domestic Policy Council The attached article is for your information -- thought you might be interested. Washington Post 1-30-91 William Raspberry 'What It Takes' to Deliver Social Services Maybe America, newly mean- specialists don't talk to housing spe- professionals are hampered by the exclusively on improving the delivery spirited, has stopped caring about cialists; welfare bureaucracies are on- absence of support services that may of government services and hardly at poor people, including small children ly marginally involved with schools; be the technical responsibility of a all on the importance of strengthen- and their troubled families. But I child welfare agencies often treat separate agency. ing communities in order to prevent don't think so. families as adversaries, not as the One quote summarizes the dilem- or ameliorate problems before they What has happened, I believe, is that setting in which children are most ma: "To expect a single community come to agency attention. large numbers of Americans no longer likely to flourish. worker to master the whole array of The great unintended consequence believe that the programs they are That's why I am so excited by a available resources that relate to po- of the way we address the social asked to pay for make any real differ- new monograph from a Washington- tential youth needs may seem over- problems of the poor-by parachuting ence-except to make things worse based Education and Human Services whelming. However, to expect a in the experts, in Robert Woodson's For them demands for. still greater Consortium-"What Takes: Struc- youth-in-crisis or his/her often- phrase-is its deleterious effect on outlays are taken as an invitation to turing Interagency Partnerships to stressed parents to negotiatë, unas- local leadership. The home-grown pour yet more of their hard-earned tax Connect Children and Families With sisted, the maze of agencies, pro- problem solvers-the men and wom- dollars down ever bigger rat holes. Comprehensive Services." grams and eligibility rules in order to en who live in the community and who The evidence is on their side. Leav- The 55-page monograph, written get the help they need is truly to ask care about its residents, not as collec- ing aside such obviously successful for a consortium that includes leaders the impossible." tion of problems but as people-can programs as Head Start and magnet in welfare, social policy, education, schools, most of the programs de- politics and business, begins by show- The monograph (written by Atelia I. be the glue that holds communities Melaville of the William T. Grant together. Undercutting their authori- signed to help the poor aren't work- ing how fragmented are the services ing very well. Outlays for prenatal for poor families, with little coopera- Foundation Commission and Martin J. ty by eliminating their problem- care seem to have made no discern- Blank of the Institute for Educational tion among agencies and virtually no solving role can reduce neighborhoods ible difference in infant mortality collaboration. Then it looks at some Leadership, and available at 1001 Con- to assemblages of clients rather than rates among the poor. Ballooning existing collaborative models and of- necticut Ave., NW, Suite 310, Wash- competent, self-healing communities. school expenditures have not notice- fers recommendations-and an op- ington, D.C. 20036-5541) calls for full Indeed the service-delivery improve- ably improved public education for portunity for feedback-on how to collaboration at both the service deliv- ments envisioned by the authors of the poor. Public housing budgets may improve the delivery and effective- ery level and the system level "to knit a the monograph could exacerbate the increase, but so does tenant abuse of ness of services. truly seamless web of services." weakening of this natural leadership. public housing-and homelessness. It's hard to argue with the descrip- The present practice, say the au- Perhaps we'll get smart enough to Welfare seems as likely to perpetuate tion of what happens now. Services thors, is for agencies "to concentrate include these natural leaders— poverty as to alleviate it. are mostly crisis-oriented-designed on a single solution to a specific prob- whether as staff, consultants or unpaid What are we doing wrong? not to prevent problems but to deal lem-focusing on their own narrow volunteers-in the collaborative effort One part of the answer is that we with problems that have already oc- objectives-rather than working to- recommended by "What It Takes." have forgotten to treat poor people as curred. Agencies not only fail to col- gether toward a common goal that Excellent services and adequate full-fledged human beings, preferring laborate; they seldom even cooperate, addresses the range of situations on- funding are important in fashioning to chop them up into their component except in terms of pro forma refer- tributing to a family's problem or remedies. But healthy communities problems, with an agency (usually rals. Often they are outright rivals, standing in the way of its resolution." capable of rearing healthy children in underfunded and ineffectual) to deal competing for scarce public funds. If I have any criticism of this excellent healthy families can prevent a lot of with each component. Mental health Even some of the most expert service pap it is that it focuses almost the problems in the first place. Grant/Cawley February 21, 1991 12 noon A:CIVIL-RT PRESIDENTIAL REMARKS: OPPORTUNITY PACKAGE FEBRUARY 27, 1991 PLACE? TIME? ((Acknowledgements)) ((local intro)) Looking around the room today, I see so many familiar faces, so many people making a difference in the lives of others. Every man and woman here this morning believes in the power of the individual, and is bolstered by the notion that America is the land of opportunity. For 200 years, America has been the home of democracy and free enterprise, the birthplace of the American Dream. Opportunity in America is the envy of the world. From its start, the story of America has been the story of opportunity. Throughout American history, men and women have pioneered the frontiers of liberty for all humanity. Our Founding Fathers created the foremost Bill of Rights in the world. Abraham Lincoln broke forever the chains of human slavery. The suffrage movement made the promise of democracy a reality for women. The founders of our public schools unleashed the potential of an educated citizenry by introducing free education for all. The leaders of the civil rights movement unshackled the oppressed and disenfranchised by guaranteeing equal rights for all Americans. It's the story of people from Thomas Paine to Frederick Douglass to Mother Seton, from Clara Barton to the Wright Brothers to Jesse Owens. 2 But it doesn't end there, with these heroes from our history books. There are just as many "new American heroes" today, many of them in this room. What they share with their predecessors is pride, integrity, faith in the dignity of man, and courage to beat the odds. It's called leadership by example -- and it's what makes America the great citadel of freedom in the world. // These modern visionaries are the ones making history -- propelling us into the Next American Century -- by empowering people. Take a look at George Waters and Aaron Bocage, who are giving high-school drop-outs a fighting chance by giving them nuts-and-bolts experience in small business. Or Detroit's Reverend Lee Earl, pastor of the 12th Street Baptist Church, who turned around a neighborhood devastated by crack, using unemployed citizens for manpower to rebuild and resell houses. or Jaime Escalante of East L.A.'s Garfield High School, who challenges kids to prove their worth through the excitement of learning and the pride of achievement. (public housing?) Theirs is a movement 200 years old -- as old as the Declaration of Independence -- a dynamic defined by what Jefferson called "the American mind." This movement is sweeping our country today, with a strength of force which will propel us into the 21st Century. It is a movement driven by the power of the American Dream. But America has not yet fulfilled its destiny as a land of opportunity for all its people. We will not forget those who have not yet shared in the American Dream. And we know who they 3 are: The hopeless and the homeless. The friendless and the fearful. The destitute and the desperate. The unemployed and the unemployable. The ones who can't read a simple sentence -- much less write one. All of them lack one basic thing: Hope. For what is hope in the American Dream -- if it isn't wanting to be part of something larger than yourself? If it isn't creating a better life for your children than for yourself? If it isn't controlling your own future? For most people, these aspirations mean enjoying the good life -- having a place you can call your own, raising a family, holding a stake in the community, feeling like you have some security. We have not forgotten these Americans who have given up hope, who have surrendered to despair, those who live life in a trap -- we can offer them an opportunity to gain control of their lives. We can offer them hope. Some have said "hope is a waking dream." That awakening begins with education. No matter what your situation in life, having a skill gets you a job. Independence. Money in your pocket. The more skills you have, the farther you go. And the more choices you have before you, the more opportunities lay ahead for you. The Administration's Education bill puts choice in the hands of students and parents -- so they can pick the best school for themselves. Moderate and upper income Americans already have "choice" -- they can transfer to better schools. But poor kids 4 can't afford it. We've seen choice and competition improve education -- from Minneapolis to East Harlem -- and it's time all Americans become consumers with a choice in schools. We're also proposing education reforms to build flexibility and accountability into our school system. We're encouraging teachers, parents and administrators to work together to meet the needs of all students. Every kid in America should arrive at school ready to learn, and graduate ready to work. // Research shows that a projected 15 million new jobs will be awaiting America's graduates over the next 20 years. To fill those jobs, American business will look increasingly to growing populations -- blacks and hispanics -- and to people just entering the economic mainstream -- workers with disabilities and mothers who have chosen to work outside the home. Those 15 million jobs will need more and more skilled employees. Education is the only answer. // And so people are trying to expand their options -- by working toward a degree, or getting certified at a night school, or even putting in extra hours to increase their skills. But time and again they hit a roadblock. Their own fear. They're afraid to stay late at the office and walk home alone after dark -- or leave the house with no one around. It's a fact: crime hits low-income Americans disproportionately. They're the ones stuck in the projects, unable to move to the better sections across town -- unable to defend themselves from the drug dealers and murderers right next door. And so they stay trapped in their 5 homes, fearful and alone, slowly losing the hope of a better life. We're waging a battle against crime in the name of those who need protection the most: poor people in the cities. We're going after gangs and drug kingpins. Imposing mandatory sentences for using a firearm in a violent crime. Strengthening protections against sex crimes and child abuse. Guaranteeing equal justice regardless of race. Because people will only walk down the road to opportunity if they know the street is a safe one. // We can rebuild opportunity in our inner cities by making sure that there is a job available for every one who wants one. Our Enterprise Zone and Jobs Creation legislation will draw seed capital for small business start-ups in our hardest-hit urban areas. Working poor will have jobs nearby, and they'll be able to take home more of their pay. The outrageous disincentives facing those on welfare who want to work will be removed. And we're making it easier for investors to build capital for businesses by cutting expensing requirements and the capital gains tax in enterprise zones. // The American Dream also means owning your own home. To make it easier for more dreams to come true, we're proposing that Americans be allowed to use the money in their IRAs to buy their first home. This will bring us closer to our goal of one million new homeowners by 1992. And we're increasing funding for housing vouchers for low-income renters, so that public housing isn't their only option. We're offering incentives for public housing 6 residents to move out -- and move up -- into the economic mainstream -- and into the American Dream. // People want to hold a share in their community, to feel a part of the neighborhood. Each community in America is different, and its residents know what's best for themselves -- what the best options are for programs and services. So we're restructuring programs to broaden choice at the local level. Our strength as a nation lies in the strength of our communities -- the sum of our neighborhoods and families, our hopes and dreams for the future. Of course, vestiges of the past remain. Hatred, bigotry, and racial discrimination still exist in America. Where legal remedies work, we are refining our civil rights laws. [1991 Civil Rights bill insert to come]. But the sixties are over. And so is the civil rights debate. That debate has been won -- won by those who decided Brown VS. the Board of Education. // Won by those who enacted the Civil Rights Act of 1964. // And the Voting Rights Act of 1965. // And the Fair Housing Act of 1968. // There are plenty of civil rights laws on the books -- and plenty of lawyers in courtrooms getting paid to argue over them. I know a lot of lawyers. Some of my best friends are lawyers. But put them in a courtroom, and lawyers don't teach anyone how to read, or create jobs, or rebuild a neighborhood. Lawyers don't give a lost soul the will to live one more day. // And neither do civil rights statutes. / / 7 It's time to secure the opportunity promised by those who fought and died for civil rights in this country. The only way to give the destitute, the frightened, the unemployed any hope is through opportunity. Our aim is to empower all Americans by removing barriers -- making it easier for you to go to school, to own your own home, to get a job, to start your own business, to raise your family. To have some security in life. To live the Dream. This ideal of opportunity is our Administration's agenda for America. Every man and woman in this room is a member of the movement. It lives in the heart of every person who wants to be free to live his own destiny. It lives in the freedom of man and mind. It lives in the American Dream. The great poet Carl Sandburg wrote that "nothing happens unless first a dream." The time has come to make something happen -- our mandate is to make the Dream a reality. We face a new Century -- a new American Century -- and our moment in history is here. The time is now -- to fulfill America's destiny as a land of opportunity for all. With God's help and yours, we will succeed. God bless each and every one of you. Thank you very much. # # # Grant/Cawley February 21, 1991 9 a.m. A:CIVIL-RT PRESIDENTIAL REMARKS: OPPORTUNITY ACTION PLAN FEBRUARY 27, 1991 PLACE? TIME? ((Thank you, Bill [Taylor], for that warm introduction. (other acknowledgements) ... It's hard to believe a year has passed since the day I issued a set of challenges to the members of ASAE -- to chanel the tremendous energy of this organization, tap your power and transform a nation through community service. [More to come] )) Looking around the room today, I see so many familiar faces, so many people making a difference in the lives of others. Every man and woman here this morning believes in the power of the individual, and is bolstered by the notion that America is indeed the land of opportunity. For 200 years, America has been the free markets and home of democracy and free enterprise, the birthplace of the American Dream There is no question: opportunity in America is the envy of the world. From its start, the story of America has been the story of our opportunity. Throughout America n history, men and women have pioneered the frontiers of liberty for all humanity. Our Founding Fathers created perhaps the most simple yet profound document in modern history -- our Bill of Rights. Abraham Lincoln broke forever the chains of human slavery. The suffrage movement made the promise of democracy a reality for women. The founders of our public schools unleashed the potential of an educated citizenry by introducing universal free education. And 2 by their struggle for equal rights, the leaders of the civil rights movement unshackled the oppressed and disenfranchised. of The story of opportunity in America is the story, Thomas Paine and Frederick Douglass, Mother Seton, Clara Barton, the Wright Brothers and Jesse Owens. But it doesn't end there, with these heroes from our history books. There are just as many "new American heroes" today, many of them in this room. What they share with those who went before is pride, and integrity, and faith in the dignity of man, and courage to overcome the odds. It's called leadership by example -- and it's what makes America the world's great citadel of freedom. // These modern visionaries are the ones making history -- propelling us into the Next American Century. [examples to come]. Theirs is a movement 200 years old -- as old as the Declaration of Independence -- a movement defined by what Jefferson called "the American mind." It continues to sweep our country today) with a vigor as strong as ever. It is a movement driven by the strength and power of the American Dream. For what is the American Dream -- if it isn't wanting to be part of something larger than ourselves? If it isn't creating a better life for our children than we might have had? If it isn't the freedom to take command of our own future? For most people, these aspirations mean enjoying the blessings of good health, having a place to call one's own, 3 raising a family, holding a stake in the community, feeling secure at home and on the job and in the neighborhood. But for some, America has not yet fulfilled its destiny as a land of opportunity. We know who they are: They are the hopeless and the homeless. The friendless and the fearful. The destitute and the desperate. The unemployed and the unemployable. The ones who can't read a simple sentence -- much less write one. They are the ones who don't believe they will ever share in the American Dream. I'm here to tell you that we will not forget these Americans for whom hope lies dormant, for whom despair is a daily fact of life. We will not forget those who have not yet shared in the American Dream. We must offer them hope. We must guarantee them opportunity. Some have said "hope is a waking dream." That awakening begins with learning. Understanding the power and potential of individual effort. Developing a skill. And the independence that brings. The ability to earn a living. With dignity and opportunity for personal growth. More skills mean more choices. More options for even greater opportunity. The Administration's Education bill puts this kind of choice in the hands of students and parents -- so they can choose the best school to attend. We've seen choice and competition improve education -- from Minneapolis to East Harlem. Our higher education system is clearly the finest in the world -- and highly 4 competitive. It's time all Americans become consumers and demand choice in education. We're also proposing education reforms to build flexibility and accountability into our school system. We're encouraging teachers, parents and administrators to work together to meet the needs of all students -- the success of community partnerships like Cities in Schools shows that the battle to give young people education, direction and hope can be won. We must cut the dropout rate -- by ensuring that every kid in America arrives at school ready to learn, and graduates ready to work. // For quite some time now, the Administration has been calling for nothing short of the restructuring of American education. Let me lay out the five principles that should guide our efforts to empower parents, expand choice and encourage excellence. The principles are: high expectations; decentralized authority; and schools that are responsive, market oriented and performance- tested. These will guide our efforts to meet the national education goals set in Charlottesville -- because we can't expect to remain a first-class economy if we settle for second-class schools. Awaiting America's graduates over the next 20 years will be 15 million new jobs. To fill those jobs, American business will look increasingly to growing populations -- blacks and hispanics -- and to people just entering the economic mainstream -- workers with disabilities and mothers who have chosen to work outside the home. Those 15 million jobs -- more skilled, better paying jobs 5 -- will go to the ones who have what it takes -- a quality education. // Everyone knows the best education takes place in classrooms that are drug-free, safe, learning environments. Children cannot learn if there is violence in the classroom. Or crime in the schoolyard. Or drug pushers along the way home. And older students and workers find it hard to attend night school or put in late hours at the office -- because often they're afraid to walk home alone after dark, or leave the house with no one around. Intimidated by crime, low-income Americans are the ones least likely to be able to take advantage of opportunities that or may be just around the corner, or across town. They're the ones defending themselves and their families from the drug dealers and muggers down the hall, or down the street. And so they're trapped in their homes, fearful and alone, slowly losing the hope of a better life. They're the ones who need opportunity the most. It is in their name that this battle for the streets of our cities must be waged. The thugs, and the gangs, and the drug kingpins should be the casualities of this war. The weapons are mandatory sentences for using a firearm in a violent crime. Strengthened protection against sex crimes and child abuse. Tough prosecutors. Courts that mete out equal justice, swiftly and predictably, regardless of race. And a prison system that is up to the job. Americans 6 can only walk down the road to opportunity if the streets are safe. // An education. A neighborhood that's safe and secure. Opportunity is built on these foundations, but the door is opened by one thing: A job. Every American who wants a job should proposals be ownew able to get one. For our hardest hit urban areas, that means starting up small businesses in enterprise zones, and eliminating the capital gains tax on seed capital. That means removing the disincentives facing those on welfare who want to work. And it ? means allowing people to take home more of their pay. Our proposals mean economic growth and most importantly, jobs. // The American Dream also means choosing where to live and, to many working people, owning a home someday. We're offering incentives for public housing residents to move out -- and move up -- into the economic mainstream -- and into the American Dream. // And we're proposing that Americans be allowed to use the money in their IRAs to buy their first home. This will bring us closer to our goal of one million new homeowners by 1992. There's something reassuring about being part of a neighborhood. There's a lot to be said for a community that pulls together in times of crisis, that looks out for each other. Each community in America is different, and its residents know how best to take care of each other -- what the best options are for programs and services for those who need a hand. So we're restructuring programs to broaden choice at the local level. Our strength as a nation lies in the strength of our communities -- 7 the sum of our neighborhoods and families, our hopes and dreams for the future. of course, vestiges of the past remain. Hatred, bigotry, and racial discrimination still exist in America. Where legal remedies work, we are refining our civil rights laws. [1991 Civil Rights bill insert to come]. But the sixties are over. And so is the civil rights debate. That debate has been won -- won by those who decided Brown vs. the Board of Education. // Won by those who enacted the Civil Rights Act of 1964. // And the Voting Rights Act of 1965. // And the Fair Housing Act of 1968. // There are plenty of civil rights laws on the books -- and plenty of lawyers in courtrooms to argue over them. I know a lot of lawyers. Some of my best friends are lawyers. But no one ever learned how to read in a courtroom. Or got a job there. Or rebuilt a neighborhood. Or gave a lost soul the will to live one more day. Opportunity doesn't begin in the courtroom. It begins in the heart of every person who believes in freedom, and lives on in the American Dream. This is our Administration's agenda for opportunity. Every man and woman in this room is a member of the movement. The great poet Carl Sandburg wrote that "nothing happens unless first a dream." Our mandate is to make the Dream a reality. & } 2. 8 We face a new Century -- a new American Century -- and our moment in history is here. The time is now -- to fulfill America's destiny as a land of opportunity for all. With God's help and yours, we will succeed. God bless the United States of America. Thank you very much. # # # February 20, 1991 MEMORANDUM TO: MARY KATE GRANT FROM: CAROLYN CAWLEY RE: OPPORTUNITY SPEECH Attached is Lange's Civil Rights Speech of last May. O I perused that speech file and found a Xerox of some pages of a book by Dr. King. The chapter is entitled "Against Tokenism". Some nuggets for you: -- he refers to "a new sense of somebodiness" to revolutionize blacks' self-conception about their role in American society -- he quotes Victor Hugo: "There is nothing more powerful in all the world than an idea whose time has come." Mary 708 3161 Grant/Cawley February 21, 1991 12 noon A:CIVIL-RT PRESIDENTIAL REMARKS: OPPORTUNITY PACKAGE FEBRUARY 27, 1991 PLACE? TIME? ((Acknowledgements)) ((local intro)) Looking around the room today, I see so many familiar faces, so many people making a difference in the lives of others. Every man and woman here this morning believes in the power of the individual, and is bolstered by the notion that America is the land of opportunity. For 200 years, America has been the home of democracy and free enterprise, the birthplace of the American Dream. Opportunity in America is the envy of the world. From its start, the story of America has been the story of opportunity. Throughout American history, men and women have pioneered the frontiers of liberty for all humanity. Our Founding Fathers created the foremost Bill of Rights in the world. Abraham Lincoln broke forever the chains of human slavery. The suffrage movement made the promise of democracy a reality for women. The founders of our public schools unleashed the potential of an educated citizenry by introducing free education for all. The leaders of the civil rights movement unshackled the oppressed and disenfranchised by guaranteeing equal rights for all Americans. It's the story of people from Thomas Paine to Frederick Douglass to Mother Seton, from Clara Barton to the Wright Brothers to Jesse Owens. 2 But it doesn't end there, with these heroes from our history books. There are just as many "new American heroes" today, many of them in this room. What they share with their predecessors is pride integrecty, man an abiding faith in the dignity and pride of all men, and the courage to beat the odds. It's called leadership by example -- and it's what makes America the great citadel of freedom in the world. // These modern visionaries are the ones making history -- propelling us into the Next American Century -- by empowering people. Take a look at George Waters and Aaron Bocage, who are giving high-school drop-outs a fighting chance by giving them nuts-and-bolts experience in small business. Or Detroit's Reverend Lee Earl, pastor of the 12th Street Baptist Church, who turned around a neighborhood devastated by crack, using unemployed citizens for manpower to rebuild and resell houses. Or Jaime Escalante of East L.A.'s Garfield High School, who challenges kids to prove their worth through the excitement of learning and the pride of achievement. (public housing?) Declaration Theirs is a movement 200 years old -- as old as the American of Ind Dream -- a dynamic defined by what Jefferson called "the American mind." This movement is sweeping our country today, with a strength of force which will propel us into the 21st Century. It is a movement driven by the power of the American Dream. But America has not yet fulfilled its destiny as a land of opportunity for all its people. We will not forget those who have not yet shared in the American Dream. And we know who they 3 are: The hopeless and the homeless. The friendless and the fearful. The destitute and the desperate. The unemployed and the unemployable. The ones who can't read a simple sentence -- basic much less write one. All of them lack one Vthing: Hope. For what is hope in the American Dream -- if it isn't wanting to be part of something larger than yourself? If it isn't creating a better life for your children than for yourself? If it isn't controlling your own future? For most people, these aspirations mean enjoying the good life -- having a place you can call your own, raising a family, holding a stake in the community, feeling like you have some security. We have not forgotten these Americans who have given up hope, who have surrendered to despair, those who live life in a trap -- we can offer them an opportunity to gain control of their P some have said lives. We can offer them hope, for hope is a waking Dream. That awakining It all begins with education. No matter what your situation in life, having a skill gets you a job. Independence. Money in your pocket. The more skills you have, the farther you go. And the more choices you have before you, the more opportunities lay ahead for you. The Administration's Education bill puts choice in the hands of students and parents -- so they can pick the best school for themselves. Moderate and upper income Americans already have "choice" -- they can transfer to better schools. But poor kids can't afford it. We've seen choice and competition improve 4 education -- from Minneapolis to East Harlem -- and it's time all Americans become consumers with a choice in schools. We're also proposing education reforms to build flexibility and accountability into our school system. We're encouraging teachers, parents and administrators to work together to meet the needs of all students. Every kid in America should arrive at school ready to learn, and graduate ready to work. // Research shows that a projected 15 million new jobs will be awaiting America's graduates over the next 20 years. To fill those jobs, American business will look increasingly to growing populations -- blacks and hispanics -- and to people just entering the economic mainstream -- workers with disabilities and mothers who have chosen to work outside the home. Those 15 million jobs will need more and more skilled employees. Education is the only answer. // And so people are trying to expand their options -- by working toward a degree, or getting certified at a night school, ns even putting in extra hours to increase their skills. But time and again they hit a roadblock. Their own fear. They're afraid to stay late at the office and walk home alone after dark -- or leave the house with no one around. It's a fact: crime hits low- income Americans disproportionately. They're the ones stuck in the projects, unable to move to the better sections across town - - unable to defend themselves from the drug dealers and murderers right next door. And so they stay trapped in their homes, fearful and alone, slowly losing the hope of a better life. 5 We're waging a battle against crime in the name of those who need protection the most: poor people in the cities. We're going after gangs and drug kingpins. Imposing mandatory sentences for using a firearm in a violent crime. Strengthening protections against sex crimes and child abuse. Guaranteeing equal justice regardless of race. Because people will only walk down the road to opportunity if they know the street is a safe one. m We can rebuild opportunity in our inner cities by making sure that there is a job available for every one who wants one. Our Enterprise Zone and Jobs Creation legislation will draw seed capital for small business start-ups in our hardest-hit urban areas. Working poor will have jobs nearby, and they'll be able pan to take home more of their money. The outrageous disincentives facing those on welfare who want to work will be removed. And we're making it easier for investors to build capital for businesses by cutting expensing requirements and the capital gains tax in enterprise zones. // The American Dream also means owning your own home. To make it easier for more dreams to come true, we're proposing that Americans be allowed to use the money in their IRAs to buy their first home. This will bring us closer to our goal of one million new homeowners by 1992. And we're increasing funding for housing vouchers for low-income renters, so that public housing isn't their only option. We're offering incentives for public housing residents to move out -- and move up -- into the economic mainstream -- and into the American Dream. // 6 People want to hold a share in their community, to feel a part of the neighborhood. Each community in America is different, and its residents know what's best for themselves -- what the best options are for programs and services. So we're restructuring programs to broaden choice at the local level. Our strength as a nation lies in the strength of our communities -- the sum of our neighborhoods and families, our hopes and dreams for the future. Of course, vestiges of the past remain. Hatred, bigotry, and racial discrimination still exist in America. Where legal remedies work, we are refining our civil rights laws. [1991 Civil Rights bill insert to come]. But the sixties are over. And so is the civil rights debate. That debate has been won -- won by those who decided Brown vs. the Board of Education. // Won by those who enacted the Civil Rights Act of 1964. // And the Voting Rights Act of 1965. // And the Fair Housing Act of 1968. // There are plenty of civil rights laws on the books -- and plenty of lawyers in courtrooms getting paid to argue over them. I know a lot of lawyers. Some of my best friends are lawyers. But put them in a courtroom, and lawyers don't teach anyone how to read, or create jobs, or rebuild a neighborhood. Lawyers don't give a lost soul the will to live one more day. // And neither do civil rights statutes. 11. who fought +dred for It time to scame The opportunities promoted by thoscivil its Yes this country The only way to give the destitute, the frightened, the unemployed any hope is through opportunity. Our aim is to 7 empower people by removing barriers -- to make it easier to get an education, to own a home, to start a business, to raise a family. To have some security in life. To live the Dream. This ideal of opportunity is our Administration's agenda for America. Every man and woman in this room is a member of the movement. It lives in the heart of every person who wants to be free to live his own destiny. It lives in the freedom of man and mind. It lives in the American Dream. The great poet Carl Sandburg wrote that "nothing happens unless first a dream. " Our has come mandate is to make the dream a reality -- and the time for action is to now. make & happen in the to make something happen opportunity We face a new Century -- a new American Century --- and our is here is now- moment in history has come. The time has come to fulfill America's destiny as a land of opportunity for all. With God's help and yours, we cannot help but succeed. God bless each and every one of you. Thank you. # # # Grant/Cawley February 21, 1991 8 a.m. A:CIVIL-RT PRESIDENTIAL REMARKS: OPPORTUNITY PACKAGE FEBRUARY 27, 1991 PLACE? TIME? ((Acknowledgements)) ((local intro)) Looking around the room today, I see so many familiar faces, so many people making a difference in the lives of others. Every man and woman here this morning believes in the power of the individual, and is bolstered by the notion that America is the land of opportunity. For 200 years, America has been the home of democracy and free enterprise, the birthplace of the American Dream. Opportunity in America is the envy of the world. From its start, the story of America has been the story of opportunity. Throughout American history, men and women have pioneered the frontiers of liberty for all humanity. Our Founding Fathers created the foremost Bill of Rights in the world. Abraham Lincoln broke forever the chains of human slavery. The suffrage movement made the promise of democracy a reality for women. The founders of our public schools unleashed the potential of an educated citizenry by introducing free education for all. The leaders of the civil rights movement unshackled the oppressed and disenfranchised by guaranteeing equal rights for all Americans. But the story doesn't end there, with these heroes from our history books. There are just as many "new American heroes" today, many of them in this room. What they share with their 2 predecessors is an abiding faith in the dignity and pride of all men, and the courage to beat the odds. It's called leadership by example, and it's what makes America great. They are the ones making history -- propelling us into the Next American Century -- by empowering people. Take a look at George Waters and Aaron Bocage, who are giving high-school drop- outs a fighting chance by giving them nuts-and-bolts experience in small business. Or Detroit's Reverend Lee Earl, pastor of the 12th Street Baptist Church, who turned around a neighborhood devastated by crack, using unemployed citizens for manpower to rebuild and resell houses. (education example/public housing?) [Or right here in Washington, John Raye and his group, the "Majestic Eagles, known as the "incubator for new entrepreneurs. " ] Theirs is a movement 200 years old, as old as the American Dream, a dynamic defined by what Jefferson called "the American mind." This movement is sweeping our country today, with a strength of force which will propel us into the 21st Century. It is movement driven by the power of the American Dream. But America has not yet fulfilled its destiny as a land of opportunity for all its people. We will not forget those who have not yet shared in the American Dream. We know who they are: the hopeless and the homeless. The friendless and the fearful. The destitute and the desperate. The unemployed and the unemployable. The ones who can't read a simple sentence, much less write one. What they all lack is one thing: Hope. 3 For what is hope in the American Dream -- if it isn't wanting to be part of something larger than ourselves? If it isn't creating a better life for our children than for ourselves? If it isn't controlling your own future? For most people, these aspirations mean enjoying the good life -- having a place you can call your own, raising a family, holding a stake in the community, enjoying the good life. 13 January 1991 MKg MEMORANDUM FOR MARK LANGE FROM: JENNIFER GROSSMAN SUBJECT: CIVIL RIGHTS/EMPOWERMENT (ADDITION) I. ANECDOTES (MORE) HOUSING A. REV. LEE EARL Taking back the neighborhood "The 12th Street Baptist church is the oldest, largest and most prominent church in the Pilgrim Village, a residential neighborhood in northwest Detroit. Over seven years ago, it was not uncommon to hear gunfire from surrounding 'crack' houses and street corners during worship services. Members of the congregation often witnessed drug dealers openly making sales as they entered or left church. And on Friday evenings during choir practice, the cars were lined up in front of the 'crack houses' offering curb service Right in front of the Church, murders frequently occurred. " "Led by Reverend Lee Earl, the pastor of 12th Street Baptist Church, the community united behind an innovative plan to reclaim their community form the drug pushers and the seemingly endless cycle of poverty and despair. They formed REACH, Inc., a non-profit community development and community service corporation and began a three-pronged assault on the problem of drug abuse, related crimes and poverty. " "First, they bought up 'crack' houses in their neighborhood and evicted the drug dealers and users Second, they began rehabilitating the houses using community residents with construction skills as supervising engineers. Unemployed workers were trained as construction crews. Finally, they sold these houses to decent, drug-free families often allowing them to use their rehab labor as the down payment " "Rev. Early cites one house 'Today, there are crews inside renovating (house) 1814 that are former drug dealers and drug users. But they are not in the house selling drugs or using drugs. They are in that house getting paid to fix it up This house used to wreak terror on our neighborhood. Today it represents the control of the neighborhood; it represents a place to work; and eventually it will represent a place for a family to live and to begin a life of ownership The final step in REACH's housing program is the sale of the property We modify the interest rates and we can adjust the number of years of the mortgage so that the people who normally would not qualify can now have decent, affordable housing.' "Most recently, REACH took over a restaurant abandoned by previous operators because of drug-related crime, renovated it and is returning it to service as a centerpiece of a previously decaying business corridor (Lee) : 'With the profits earned, we can reinvest in our youth and our children; we can inspire others to get involved in business ventures within the neighborhood; we can attract the investment dollars that boost our tax base; and revive our self-esteem, and enjoy a good soul food dinner in the process. "Rev. Lee concludes: ''Not HERE You Don't!' says that our community has the strength, it has the wherewithal, it has the resources to determine what will and will not happen here. We want the continued opportunity to determine what will. " B. DOROTHY GROSS PERRY "Maybe the more than 200 Liberty City, Florida, youngsters who have been a part of Dorothy Gross Perry's Singing Angels can't rap their way into better lives--free of drugs and despair; maybe it's just enough that they have something positive to believe in." "For more than 14 years, 48-year-old Dorothy Perry has dedicated her life to the children of Miami's James E. Scott public housing development." "There are currently 35 young people participating in the program, and another eight or so seniors from the neighborhood Each day they meet after school in Perry's home, where after homework, they take part in study groups, play acting and rap sessions about things that youngsters are confronted with--including drugs and crime The kids also have designated days where they learn other useful skills such as sewing, cooking and test-taking. Perry holds Bible study every day. She is firm in her belief that by offering children positive and constructive alternatives, you can help them grow into productive adults." "It isn't always easy for Perry to work with the young people in her public housing development. More than once, she has been given eviction notices by the local housing authority, including one for simply running a program out of her home. As a result, one local newspaper ran the headline, 'Drug Dealers In, Singing Angels Out. "Throughout the existence of her program, Perry has operated almost exclusively on money she raises from selling dinners or other items that the kids can sell door to door. But even with a minimal amount of support, Perry bombards the kids in her program with discipline, love, respect and a sense of self-worth." C. REUBEN GREENBERG "In the eight years since he took over the port city's police force, reported crime is down 40 percent. That includes murder (down 57 percent), rapes (down 31 percent) and burglary (down 53 percent). The city of 80,000 is also enjoying its lowest number of armed robberies in 25 years. And all of this was accomplished using existing resources and manpower." "When Chief Greenberg took over the force in 1982, Charleston was plagued by open-air drug markets and the violence that comes with them. The city's public housing projects were particularly hard hit." "Simply making the arrest would not and could not be a major way of dealing with street-level drug dealing, he says. 'Even if the person got the death penalty, we were no better off than we were before. There was always someone to take his place. The idea was to make these areas no longer profitable places to sell drugs. "Instead of using four or five officers in elaborate undercover operations, Chief Greenberg put uniformed officers on foot patrols. With a cop standing 40 feet away, few people would even stop to talk to a drug dealer. Staying in business meant moving to a new location, which is just what the police wanted." "Moving not only made it difficult for their customers to find them, it often meant infringing on someone else's turf. As one drug dealer told him, 'You can get killed trying to move someplace else. " "Chief Greenberg says that some 30 percent of the drug dealers his officers have displaced have gone out of business altogether." "It's a matter of taking back the streets." --Washington Times, November 6, 1990 CHIEF GREENBERG: "Our criminal justice system has been described in many, many places as being really a non- system, disjointed, convoluted and non-functioning. And the reason for our system being described in this way is very simple, that it just doesn't seem to work." "In order to assist us we added some weapons to our arsenal, instamatic camera And when these people would come by a second time, we were pretty sure that they were there for the purpose of trying to make a drug contact, we would take their photograph." "So in order to make [the officers'] days of standing alongside the drug dealers more pleasant, we decided to clean up the areas, by picking up paper, trash, debris We got prisoners out of the jail, and by luck some of them had been imprisoned for street-level drug dealing, and also by luck, some of them had been dealing in those same areas in which they now were brought out in order to clean up. And it was very interesting to see the relationships in the neighborhood where people had seen people weeks or months before loaded down with various gold chains and all kinds of apparent wealth, now wearing an orange jumpsuit that said, 'County Jail' on the back of it, back in the same area, but this time with a paintbrush, painting out graffiti and picking up trash. " --Federal Information Systems Corp., November 5, 1990 D. SHELBY STEELE Shelby Steele is an English professor at San Jose State University in California. "In theory, affirmative action certainly has all the moral symmetry that fairness requires And I would never sneer at these good intentions Yet good intentions can blind us to the effects they generate when implemented.' " " after 20 years of implementation I think that affirmative action has shown itself to be more bad than good and that blacks--whom I will focus on in this essay--now stand to lose more from it than they gain. " "The 1964 civil-rights bill was passed on the understanding that equal opportunity would not mean racial preference. But in the late 60s and early 70s, affirmative action underwent a remarkable escalation of its mission from simple anti-discrimination enforcement to social engineering by means of quotas, goals, timetables, set-asides and other forms of preferential treatment. " "By making black the color of preference, these mandates have reburdened society with the very marriage of color and preference (in reverse) that we set out to eradicate.' "Too often the result of this, on campuses for example, has been a democracy of colors rather than of people, an artificial diversity that gives the appearance of an educational parity between black and white students that has not yet been achieved in reality a full six years after admission, only 26 to 28 percent of blacks graduate from college." "I think one of the most troubling effects of racial preferences for blacks is a kind of demoralization. Under affirmative action, the quality that earns preferential treatment is an implied inferiority." "What this means in practical terms is that when blacks deliver themselves into integrated situations they encounter a nasty little reflex in whites, a mindless, atavistic reflex that responds to the color black with negative stereotypes, such as intellectual ineptness." The New York Times Magazine, May 13, 1990