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Federalist Society of Pennsylvania--Government Reform 4/3/92 [OA 7571] [6]
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Federalist Society of Pennsylvania--Government Reform 4/3/92 [OA 7571] [6]
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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: 13806 Folder ID Number: 13806-004 Folder Title: Federalist Society of Pennsylvania--Government Reform 4/3/92 [OA 7571][6] Stack: Row: Section: Shelf: Position: G 26 22 4 3 Demarest/Aarhus Draft #1 Reform Old Congress Hall PRESIDENTIAL REMARKS AT OLD HOUSE CHAMBER PHILADELPHIA, PA. MARCH 31,1992 APRIL 1,1992 personst to congettall Today, I Thank you for that kind introduction. [ACKNOWLEDGEMENTS] birthplace? would rather be in Philadelphia. Philadelphia is home to great ideas and great debate. In this very room, pivotal and profound discussions occurred setting in motion a grand experiment in man's ability to chart his own future. The vision and insight of the Founding Fathers may still be hard for us to fully comprehend. But if you really think about it, their goals were not much different than ours. they wanted are thesame as our goals aretoday America country to prosper -- and they knew intuitively that the road to prosperity was freedom. They believed in the fundamentals -- in the inherent strength of faith and family -- and they were determined to preserve them. They wanted the citizens of our young nation to live in peace -- safe and secure from threats at home and abroad. It took a revolution to achieve and it is our duty to preserve it & make it work their vision -- but it installed the constitutional government Abraham Lincoln later called, "of the people, by the people, and for the people. When British General Cornwallis surrendered at Yorktown in 1781, he had his band play "The World Turned Upside Down", as his troops marched before Washington's Continental Army. It was a profoundly simple realization that an old world order was coming to a close and a new order was beginning. Now, more than2 Over two hundred years later we again are in the midst of great change. The world we knew just a few years ago is altogether different now. Democracy and freedom once again have turned the world upside down. Our nation once again stood at the forefront of that great movement. We sacrificed. We bled. We stood firm for our principles through some very difficult times. But we did indeed change the world. Now, as you have heard me say, if we could change the world, we can change America. Many have called the 20th century the American Century. The question before us today is about the next century looming toodismal a word. just a few years ahead. In a world more driven by economic more competition than ever before, there are great challenges that we must address now, if we are to ensure that the next century is indeed also also the American Century. There are I have set forth five issues that must be addressed if we wish to guarantee a prosperous and compassionate America. Our people must be educated, literate, and motivated to keep on STATE learning. That means we must reform our education system -- literally revolutionize it -- top to bottom. Our people must the health have a sense of well-being about their health and that of their children and families. We must guarantee them access to the finest health care system in the world, and make that care more affordable. Next, we must end America's turn our civil justice system back into what is was designed to do: dispense justice with civility. Eighteen million lawsuits a year are choking us -- of dollass costing individuals and businesses billions a tremendous drag on our spirits as well as our economy. And in the next century, as we look at the likely economic economic competition, as well as the likely opportunities they will be beyond our borders. That demands we open more foreign markets American for our firms and workers, to sell our goods and our services -- which will American Americancitizens: and to sustain and create jobs. for our people. Reform of education, health care, our legal system. Opening markets abroad addressing these issues is absolutely fundamental to America S # future. Finally, we must address the issue that I am here to discuss atlength today X reform of our government. During the last decade one institution after another has been challenged -- forced to take a hard look within itself, determine make needed improvements, and act to make the institution better live up to its principles. That process is called reform. In the private sector, or more specifically, in a business, Whether it's the it is called the crusade for quality. often Quality of product, or the q Quality of service often it's not flashy Hit's perhaps a return to old values and standards like "the customer's always right", and the crusade for quality "service with a smile". Other times it emphasizes measuring performance, because that is the way to improve performance. In most cases many ways, competition has been the driving force to improve quality, and not surprisingly, it has worked. Today, American even products are quantifiably better than they were just a few years ago. It is not just the private sector that has felt the positive pinch of healthy competition. For example, the military, in the face of budget cuts, has had to cut the fat, and get leaner, and smarter. Desert Storm proved it could be done. Most other institutions -- state government, local government, unions, trade associations, even charitable groups -- any organization that succeed? ? serves a public has been influenced by this drive to improve. performance Yet, in the face of unambiguous evidence supporting the need change, the federal government as resisted reform and protected the status quo. The change that has swept America, was is stopped cold at the Capital Beltway. And the fact is that the rise of an entrenched status quo-oriented Washington establishment, can be laid at the doorstep of the United States Congress. knows Everyone believes that government is too big and spends too much. Everyone knows that And there's something else everyone knows: too often the government spends the money of its customer, the American taxpayer, the wrong way -- inefficiently, ineffectively, without accountability, and frankly, without compassion. Let me tell you why that is the case, and how we must change things. call quoto Political scientist Morris Fiorina paints a disturbing but Whynote familiar picture of how Washington really behaves. He says that tsn! Print the growth of big government has changed the role of Congress State from policymaking to pork barreling - changed the Congressional this? and office to a Constituent office. He argues that this sets in be motion a self-perpetuating cycle of congressional support for sunnecessary bigger neven more spending and more bureaucracies which in turn become/more lethargic and unresponsive. re-work Then, the members and their increasingly powerful staffs become ombudsmen betweeen the constituent and the bureaucracy -- expediting benefits and procuring more pork -- and thus ensuring re-election and a continuation of the status quo. The Founding Fathers never envisioned this. Madison, in Federalist Paper #52, argued that permanent majorities are dangerously undemocratic. He would be appalled to hear that 98% of Congressmen who seek re- election are in fact re-elected. That one party -- the Democrats -- have controlled the Congress 58 out of the last 62 years. That not one Republican member of the House has ever been in the majority, and all but five Democrats have never been in the minority. One-party rule is a big part of the problem, but this is not an attack on divided government. We have had divided government before in our history, sometimes during periods of great crisis. Each time we have pulled together as a nation, and met whatever challenge threatened our security or national well-being. The larger issue is the systemic problem -- the sticky web of 284 Congressional Committees, 34,000 Capitol Hill employees and staff, 2 billion dollars of taxpayer financing, overlaid with $117 million dollars in special interest campaign contributions, and millions more in special interest influence. This is not a system that can promote reform and change. Rather, it aggressively promotes the status quo. Talk to retiring members, many of them good people like Senator Warren Rudman of New Hampshire, and you will hear the frustration. He said, "Although I am not discouraged beyond repair, I am terribly frustrated." Then when asked about a particular issue -- the continuing spectre of huge budget deficits, he issued this indictment of the system, "the fact is that we are unable institutionally to do what has to be done. We are not just watching the fiddler fiddle while Rome burns, we are watching the entire orchestra." Let me give you one small example of the misplaced priorities on Capitol Hill -- an example that eventual continually by comes across my desk for action. Three times a week the White House receives a proclamation passed by a joint resolution of Congress. It might be to designate a particular day "National Tap Dance Day", or a month of the year, "National Digestive Disease Awareness Month". Scores of these come to the White House for Presidential action each year. In fact, nearly one third of all the legislation that reaches my desk is like this. Now, there's nothing wrong with Congress passing a should proclamation heralding "National Crime Victims Week", but that no substitute for a comprehensive crime bill that actually makes people safer in their homes and communities. "National Asparagus Month" may be good constituent relations, but the problems in American agriculture have to do with our national vitality, not our national vegetable. For every one of these bills, there are legionss of staff churning out the public relations campaign to accompany them -- both on Capitol Hill, and in the executive branch. There are constituents contacted, newsletters written, paper -- reams of paper -- produced. Is this a big ticket item in the federal budget? Probably not. But it is one more demonstration of a Congress that chooses to spend time and effort on the easy constiuent relations chores rather Athan on the difficult, often controversial issues that will determine the future of our country. by by Congress These actions undermine the people's confidence in their government the same way as outrageous pork-barrel spending does. [ [ It may be a small, symbolic gesture but just as I sent to the Congress ten days ago my anti-pork line-item recissions, I am will telling the Congress today that the Executive Branch is not going spend its resources helping out with publicity campaigns for special interests -- so don't bother sending me any more of these pork barrel proclamations. ]] The American people are a compassionate people -- willing to foot the bill to help make this country better. But the mismatch between their willingness to help and their skepticism that government will use their hard-earned tax dollars wisely is greater now than ever before. When they hear about their money going for special interest publicity campaigns and pork-barrel projects, people get angry. They demand change. Maybe it's small potatoes to the Congress, but it doesn t help ring true to the voters to hear voters that for every letter a Congressional office receives 12, 000 go out. The public knows P.R. when they see it. And they know it all adds up to real money -- their money. In dollar terms, one quarter of everything we produce, build, or grow as a nation is devoured by the central government. There is no bigger appetite on earth. Today our government is a trillion and a half dollar business that too often it forgets V 2 that the taxpayer is customer, shareholder, and board member all rolled into one. Now, I know that the federal government cannot be run just like IBM, but we can improve its performance. We must improve its performance. And it's not just the Congress, it's the sprawling federal bureaucracy that needs reform as well. Because I government forgets the customer it issues counterproductive regulations ones regulations increase the cost of doing business, but and worse, ones regulations that don't really solve the problem they were designed to solve. 2 Because the government forgets the shareholder, it shelters perpetual programs that have outlived their function, but not their funding. Because the government forgets who is really the boss 3 the American taxpayer -- it has become insulated, unresponsive and resists reform. It is almost impossible to adequately reward success, much less punish failure. This is no slight to the four million hardworking people in the employ of the taxpayer. Talk to them and many will say the same thing they are frustrated as well. But the system, which may have been good for its time, now must change, and it won't be easy. That's because this kind of government doesn't just happen It is the Congress that creates these giant centralized bureaucracies, lays down the mandates, funds the programs. Then, no money left...) it is the Congress that protects them, harasses them, investigates them, micro-manages them. With a Congressional subcommittee Chairman as godparent, they become stepchildren of the Congress. A A few examples will help drive home the point. [By the last count] Some thirty different Congressional committees, and seventy-seven subcommittees claim some degree of oversight responsibility for the Department of Defense. Seventy-four committees and subcommittees try to exercise jurisdiction over the War on Drugs. The amount of time and resources devoted by the executive branch to fulfilling Congressional demands for testimony has reached ridiculous proportions. And written reports to Congress -- with all the staff and research time needed for those -- are at an all-time high. Congress requires sixty reports from HUD, over six hundred from the Defense Department. Congress has legitimate oversight responsibilities of course. But the Congressional system is out of control. What do we do about it? I have offered several proposals in the past and I am prepared to make addition proposals today. In sum they are: term limits logging rule regulatory moratorium line-item rescissions campaign finance reform SENT TICKET CENTER 3-20-92 LEGISLATIVE AFFAIRS 2 TALKING POINTS We've had an interesting, but disappointing year in Congress. When I delivered my State of the Union address in January, I hoped we could work with Congress to get a good economic growth package that would create jobs. A strong economy with good jobs and good opportunities is an essential foundation for strong families. -- Well, we didn't get a good growth package, I'm sorry to say. What we got from the Democrats was business as usual -- a huge tax increase. A Democratic tax increase that would have killed jobs, not created them. -- So I had to veto the Democrats' tax increase. And now let me tell you something about that veto that you probably didn't hear on the news. The Democratic leadership brought my veto up for a vote yesterday, but something remarkable happened. Not only did we get the one-third of the votes we needed to sustain my veto, we got a majority of the votes against a tax increase. That is almost unheard of -- there have been only two times in the last 60 years that the House couldn't muster a simple majority to override a veto. -- I think that vote signals that at least some Democrats realize that business as usual won't work anymore. The American people don't want to be taxed anymore. They don't want the federal government to spend anymore. -- And I'll promise you something. We are going to force a change in attitude and a change in habit. We've also been fighting with the Congressional Democratic leadership about the best tool for fiscal discipline we have -- the so- called "caps" on discretionary spending in the budget law. The Democratic leadership wants to kill those caps 50 Congress can spend more of taxpayer's dollars on more federally run programs. I say NO WAY! -- You see, we just can't stand for the status quo. I have sent up a batch of line item rescissions -- spending cuts on pork barrel programs -- for Congress to act on. More will be coming. -- And that battle has been joined as of today. My cuts have been introduced as legislation and we're going to try to get votes on each and every one. SENT BY:The TICKET CENTER 3-20-92 12.09 LEGISLATIVE AFFAIRS- -2- -- That might sound easy. It won't be. It seems pretty clear already that there are some Democrats in Congress who want to block these initiatives. To do so, they're going to resort to parliamentary gimmicks. -- If that's the case, we will fight them. We are going to make a change in attitude about federal spending. And even if they win the votes now, they won't win the long-term battle because the public understands what's going on here. 1x1 FACSIMILE TRANSMITTAL SHEET NUMBER OF PAGES INCLUDING COVER 5 DATE 3/24 TO Dz FAX NUMBER x2983 COMMENTS Here are the most recent Cabinet establishmonts/changes, along with a Presidential chronology. FROM Carol * DEPARTMENT OF COMMUNICATIONS * OFFICE NUMBER x 7750 44 Public Office Index, 1 Department of Commerce and Labor-The Commerce and Labor Department was created by Congress on February 14, 1903. The department was divided into separate departments of Commerce and Labor on March 4, 1913. Department of Commerce-The Commerce Department was a subdivision of the Commerce and Labor Department until March 4, 1913 when the depart- ments were separated and the Secretary of Commerce was commissioned Biographical Data- - as a separate Cabinet post. Cabinet Members Department of Labor-The Labor Department was a part of the Commerce and Labor Department until March 4, 1913 when the dual department was divided into two separate offices and the Secretary of Labor became an in- Acheson, Dean G. ST dividual Cabinet officer. Date of birth Apr 11, 1893 Date of appointment/age Jan 19, 1949/55 Department of Defense The Defense Department was created on September Assumed office/age Jan 21, 1949/55 18, 1947 to act as a unifying office to oversee the interests of the Army, Navy, Left office/age Jan 20, 1953/59 and Air Force. The War Department became the Department of the Army, Date of death/age Oct 12, 1971/78 and it and the Department of the Navy, along with the new Department Cabinet service 4y of the Air Force, became branches of the Department of Defense. Department of Health, Education and Welfare-The department was created Adams, Brockman TR on April 11, 1953. Twenty-six years later, on September 27, 1979, the bureau Date of birth Jan 13, 1927 was divided into the departments of Education and Health and Human Date of appointment/age Dec 15, 1976/49 Services. Assumed office/age Jan 21, 1977/50 Left office/age Jul 21, 1979/52 Department of Housing and Urban Development - HUD was created by Con- Date of death/age gress on September 9, 1965. Cabinet service 2y 6m Department of Transportation The Transportation Department was created Adams, Charles F. NV MOST RECENT by Congress on October 15, 1966. Date of birth Aug 2, 1866 Date of appointment/age Mar 5, 1929/62 Department of Energy The Energy Department was created by Congress on August 4, 1977. Assumed office/age Mar 5, 1929/62 Left office/age Mar 3, 1933/66 Department of Health and Human Services The Health and Human Ser- Date of death/age Jun 11, 1954/87 Cabinet service vices Department was created by Congress on September 27, 1979 when 3y 11m 28d the Department of Health, Education and Welfare was divided into the Department of Health and Human Services and the Department of Adams, John Q. ST Education. Date of birth Jul 11, 1767 Date of appointment/age Mar 5, 1817/49 Department of Education The Education Department was created by Con- Assumed office/age Sep 22, 1817/50 gress on September 27, 1979, when HEW was divided into two separate Left office/age Mar 3, 1825/57 departments, both represented by officers in the president's Cabinet. Date of death/age Feb 23, 1848/80 Cabinet service 7y 5m 9d 1 45 42 Public Office Index, 1 Secretary of Education Shirley Hufstedler 1979-1981 William J. Bennett 1985- Terrel Bell 1981-1985 Cabinet Office Summary Department of State - Originally created by an act of Congress on July 27, 1789 as the Department of Foreign Affairs, the name of the department was changed to the Department of State on September 15, 1789. Department of War - The War Department was created by Congress on August 7, 1789. On September 18, 1947 the War Department became the Depart- ment of the Army, and the Departments of the Army, Navy, and Air Force became branches of the Department of Defense. Department of the Treasury - The Treasury Department was created by Con- gress on September 2, 1789. Post Office Department - The Post Office Department was originally estab- lished as a branch of the Treasury Department on September 22, 1789. The Postmaster General was made a member of the president's cabinet on March 9, 1829. The Postal Reorganization Act of 1970 changed the organization to the U.S. Postal Service, and from July 1, 1970 the Postmaster General was no longer a member of the cabinet. Office of Attorney General - The attorney general's office was organized on September 24, 1789. The Justice Department was created by Congress on June 22, 1870. Navy Department - The Navy Department was created on April 30, 1798. The Navy Department became one of the branches of the Department of Defense on September 18, 1947. The Secretary of the Navy became a non-cabinet official on that date, though all three military departments - Army, Navy, and Air Force - are represented in the Cabinet by the Secretary of Defense. Department of the Interior - The Interior Department was created by Con gress on March 3, 1849. Department of Agriculture - The Agriculture Department was created by Con gress on May 15, 1862, but the Department was not at first represented in the president's cabinet. The Secretary of Agriculture became a member of the Cabinet on February 8, 1889. 43 512 U.S. GOVERNMENT MANUAL Principal Deputy Assistant Secretary for C. DALE DUVALL Acquisition and Facilities Deputy Assistant Secretary for Facilities LESTER M. HUNKELE III Deputy Assistant Secretary for Acquisition H. ROBERT SALDIVAR and Materiel Management Assistant Secretary for Congressional Affairs DENNIS DUFFY, Acting Deputy Assistant Secretary for Congressional DENNIS DUFFY, Acting Liaison Deputy Assistant Secretary for Legislative Jo Sherman Affairs The Department of Veterans Affairs operates programs to benefit veterans and members of their families. Benefits include compensation payments for disabilities loan guaranty; burial; and a medical care program incorporating nursing homes, GENERAL COUNSEL BOARD OF VETERANS APPEALS VETERANS SERVICE ORGANIZATIONS LIAISON or death related to military service; pensions; education and rehabilitation; home clinics, and medical centers. 1989 VETERANS BENEFITS ADMINISTRATION NATIONAL CEMETERY SYSTEM The Department of Veterans Affairs (VA) oversight to the Secretary and Deputy was established as an executive Secretary, the administrations, and other department by the Department of top offices. Veterans Affairs Act (38 U.S.C. 201 The Assistant Secretary for Finance and note). The Department's predecessor, the Information Resources Management is Veterans Administration, had been VA's Chief Financial Officer and manages under the President by Executive Order fiscal operations. The Assistant Secretary 5398 of July 21, 1930, in accordance also oversees VA's information resources with the act of July 3, 1930 (46 Stat. management programs, which include DEPARTMENT OF VETERANS AFFAIRS SECRETARY established as an independent agency the Department's budget process and DEPUTY SECRETARY 1016). This act authorized the President integration and acquisition of automated to consolidate and coordinate the U.S. data processing and telecommunications Veterans Bureau, the Bureau of Pensions, activities and information analysis. and the National Home for Volunteer The Assistant Secretary for Policy and Soldiers. Planning is responsible for managing the VETERANS HEALTH ADMINISTRATION The Department of Veterans Affairs Secretary's policy analysis and planning INSPECTOR GENERAL comprises three organizations that processes and integrating both into the administer veterans programs: the Secretary's Strategic Management BOARD OF CONTRACT APPEALS Veterans Health Administration, the Process. Veterans Benefits Administration, and the The Assistant Secretary for Acquisition OFFICE OF SMALL AND DISADVANTAGED BUSINESS UTILIZATION National Cemetery System. Each and Facilities provides management organization has field facilities and a oversight of departmentwide capital Central Office component. The Central facilities and real property programs, Office also includes separate offices that acquisition and materiel management provide support to the top organizations' activities, retail and food resale activities, operations as well as to top VA and environmental affairs programs. The executives. Top Central Office managers Assistant Secretary also serves as VA's report to the highest level of Department senior procurement executive in management, which consists of the accordance with Executive Order 12352 Secretary of Veterans Affairs and the of March 17, 1982 Deputy Secretary. The Assistant Secretary for Human Assistant Secretaries Six Assistant Resources and Administration provides Secretaries provide policy guidance, direction and oversight of the operational support, and managerial Department's personnel and labor THE PRESIDENTS CHRONOLOGY, FAMILY HISTORY, AND NAMES PRESIDENTS OF THE UNITED STATES- J. ADAMS 1735-1826 YEARS SERVED JEFFERSON 1743-1826 1. George Washington 1789-1797 MADISON 1751-1836 2. John Adams 1797-1801 MONROE 1758-1831 3. Thomas Jefferson 1801-1809 J.Q. ADAMS 1767-1848 4. James Madison 1809-1817 JACKSON 1767-1845 5. James Monroe 1817-1825 VAN BUREN 1782-1862 6. John Quincy Adams 1825-1829 W.H. HARRISON 1773-1841 7. Andrew Jackson 1829-1837 TYLER 1790-1862 8. Martin Van Buren 1837-1841 POLK 1795-1849 9. William Henry Harrison 1841 TAYLOR 1784-1850 10. John Tyler 1841-1845 FILLMORE 1800-1874 11. James Knox Polk 1845-1849 PIERCE 1804-1869 12. Zachary Taylor 1849-1850 BUCHANAN 1791-1868 13. Millard Fillmore 1850-1853 LINCOLN 1809-1865 14. Franklin Pierce 1853-1857 A. JOHNSON 1808-1875 15. James Buchanan 1857-1861 GRANT 1822-1885 16. Abraham Lincoln 1861-1865 HAYES 1822-1893 17. Andrew Johnson 1865-1869 GARFIELD 1831-1881 18. Ulysses Simpson Grant 1869-1877 ARTHUR 1829-1896 19. Rutherford Birchard Hayes 1877-1881 CLEVELAND 1837-1908 20. James Garfield 1881 B. HARRISON 1833-1901 21. Chester Alan Arthur 1881-1885 MCKINLEY 1843-1901 22. Grover Cleveland 1885-1889 T. ROOSEVELT 1858-1919 23. Benjamin Harrison 1889-1893 TAFT 1857-1930 24. Grover Cleveland 1893-1897 WILSON 1856-1924 S 25. William McKinley 1897-1901 HARDING 1865-1923 26. Theodore Roosevelt 1901-1909 r COOLIDGE 1872-1933 27. William Howard Taft 1909-1913 HOOVER 1874-1964 C 28. Woodrow Wilson 1913-1921 F.D. ROOSEVELT 1882-1945 29. Warren Gamaliel Harding 1921-1923 TRUMAN 1884-1972 30. Calvin Coolidge 1923-1929 EISENHOWER 1890-1969 31. Herbert Clark Hoover 1929-1933 KENNEDY 1917-1963 32. Franklin Delano Roosevelt 1933-1945 L.B. JOHNSON 1908-1973 33. Harry S. Truman 1945-1953 NIXON 1913 34. Dwight David Eisenhower 1953-1961 FORD 1913 35. John Fitzgerald Kennedy 1961-1963 CARTER 1924 36. Lyndon Baines Johnson 1963-1969 REAGAN 1911 37. Richard Milhous Nixon 1969-1974 BUSH 1924 38. Gerald Rudolph Ford 1974-1977 39. Jimmy Carter 1977-1981 STATES REPRESENTED AND PARTY AFFILIATIONS 40. Ronald Wilson Reagan 1981-1989 41. George Herbert Walker Bush 1989- WASHINGTON Virginia, Federalist J. ADAMS Massachusetts, Federalist BIRTH AND DEATH DATES JEFFERSON Virginia, Democratic-Republican WASHINGTON 1732-1799 MADISON Virginia, Democratic-Republican 289 (Demarest) March 10, 1992 Draft Three ASAE PRESIDENTIAL REMARKS: ASSOCIATION EXECUTIVES MARCH 11, 1992 WASHINGTON, D.C. 1:20 P.M. Chairman Fondren, my fellow Texan, thank you for that introduction. President Taylor. I heard a story about how when LBJ moved from the House to the Senate, Jake Pickle and Gene Fondren, then Texas state legislators, flipped a coin to decide who'd run for office and go to Washington. Well, Congressman Pickle's been calling for a rematch ever since. Robert Frost once wrote that "an idea is a feat of association." Well, association is an idea as old as the American Dream itself. Actually, Toqueville over 150 years ago had much to say about you. He said, "at the head of some new undertaking in the United States you will be sure to find an association." Since that time associations have played a vital role in our country's progress, and they continue that mission today, defining new frontiers and exploring new territory. Before I spoke, President Taylor presented the Associations Advance America Awards to salute those who've found a way to help, to be in fact, points of light. We hear a too often about what's wrong in America. Well, this is what's right in America, and I salute you for what you are doing to help your communities. 2 of course, it's an election year. Independent of the current preoccupation with the hype and spin of the campaigns, there will remain the issues, the big things -- the core concerns of every American -- jobs, family, peace. They hold us together as a society. They are more than issues we bring to the next election -- they are the legacy we must give to the next generation. That is what I want to talk to you about today -- not just the issues, but our mood as a nation, and how our government must reform if we are to change America. Today, weighing most heavily in the hearts and on the minds of Americans is the state of the economy -- jobs -- preserving jobs, creating jobs. You in this very room know best virtually every industry and every profession in America. I don't have to tell you that people are worried about the future. Frankly, we've had tough economic times before, with higher unemployment -- but less national alarm. There's something different about today's times -- something that touches a nerve. It strikes at the heart of what drives this country forward -- our confidence. It challenges our belief in ourselves. I'll give it to you straight: Unemployment is 7.3% -- about 9 million people out of a total workforce of 126 million. During the 1982 recession, unemployment hit almost 11% -- a level not experienced since the Great Depression. So we ask ourselves -- why is confidence today lower than at the depth of the 1982 recession? 3 I've heard a lot of theories. Some say the talking heads of the media are the problem -- always running the country down. [You've heard the saying "no news is good news?" Well, the joke is that for the media, "Good news is no news."] Others say it's the politicians. I myself have noted that in a political year candidates often shower the voters with a message so bleak and hopeless -- at the same time they promise the rainbow if they're elected. That steady drizzle on the people's shoulders can wear away confidence, and wash away hope. So it's easy to suppose that the constant drumbeat about what's wrong in America is a self-fulfilling prophecy. There may be some truth to that. But I think there are other reasons for our country's mood. People are feeling the way they do because America's got some real problems -- serious, stubborn, national problems. But I think it would be unfair and untrue to suggest to the American people that we can't overcome these problems -- to imply that America is a country in decline. So today I want to talk about what we must do to meet the economic challenge that is before us -- how we can build economic vitality into our communities -- how we must ensure that our children see a future that is an improvement over the present -- most importantly, why we must change the way we do business in Washington D.C. Sometimes it helps to take some of these enormous issues and bring them down to the personal level. So when I talk about America's economic problems this is what I mean: 4 They are the worries of parents who have worked all their lives to get their kids through college -- and those kids can't find work. They are found in discouraged families who can't afford to pay off anything but the interest on their credit cards, month after month after month. They are the doubts of young people who believe that times will never be as good for them as they were for their parents. These are the things that dim our hope and drain our confidence. American workers can see that technology and competition are changing the workplace faster than ever before. They can feel the heat -- both at home and abroad. They know American industry is being challenged to keep up or step aside -- I'll talk further about that later in the week in Detroit, Michigan. We live in a competitive world, and people worry about our ability to compete. American homeowners -- that's almost 70 million people -- worry that the biggest asset they will ever have -- their home - - will lose its worth because real estate values have declined. The same is true of any business, association, or charitable organization that owns property -- they're concerned too. Finally, as I discussed earlier this week with the League of Cities, the deterioration of the American family is very serious -- a root problem with tremendous ramifications for our economic well-being as a nation. But the picture is not all gloom and doom. America is now the only superpower in the world. Millions of immigrants still look to us as the land of opportunity -- because we are. And our 5 economy is poised for recovery. Inflation is down. Interest rates low. Inventories low. Exports at record highs. But this recovery will come sooner, and stronger only if we in government act now. As self-evident as this mandate for action may seem, we have not been able to muster the necessary political unity of purpose. In January, I sent the Congress a plan of action -- a straightforward set of initiatives based upon tried and true economic realities. I proposed incentives for business to buy equipment, upgrade their plants, and start hiring again. I proposed a shot in the arm to get the housing industry back on its feet -- lead us into economic recovery this spring. I proposed a tax cut on capital gains. Once you get through all the tax-break-for-the-rich demagoguery, economists agree such a measure would create jobs. Then I offered a broader plan of action to keep us competitive and economically vigorous in the years ahead: 1) Education reform to bring the skills of our future workers up to a standard of excellence. 2) Reform of our legal system so that Americans can spend more time innovating and less time litigating. 3) Health care reform to improve access to the best quality care in the world. 4) Welfare reform to break the sorry cycle of dependency that's become a way of life in many of our cities. 5) Tangible support to strengthen the family -- a $500 increase in the tax deduction for children. 6) A trade policy that demands foreign markets open up to high-quality 7 knows: too often the government spends the money of its customer, the American taxpayer, the wrong way -- inefficiently, ineffectively, without accountability, and frankly, without compassion. When Americans think about their government, what often comes to mind is the latest scandal involving their money. Today, we are cleaning up the Savings and Loan scandal. Jack Kemp deserves a lot of credit for straightening out the abuses in our public housing system. Dick Cheney has continued the Ill Wind investigation at the Defense Department and made the necessary reforms in defense procurement. But to the taxpayer, these issues, like the latest scandal with the House bank, just reinforce the notion that the government is more the problem than the solution. This is all part of why confidence in America's future is under siege. Many people have already lost confidence in government. There is irony here. Americans are a compassionate people -- willing to foot the bill to help make this country better. But there is an extraordinary mismatch between their willingness to help and their skepticism that government actually will use their hard earned tax dollars and get results. My apologies to David Osborne and Ted Gaebler for borrowing their phrase, but it is truly time to reinvent government. This is no slight to the four million hardworking people who work for the federal government. But the fact is that they work in a system that was good for its time, but now must change and 8 change radically. I know that government can't be run like a business -- but we can improve its performance. Right now, within the halls of these giant centralized bureaucracies, it is almost impossible to reward success, much less punish failure. Because government forgets the customer, it issues counter- productive regulations. It shelters perpetual programs that have outlived their function but not their funding. But this kind of government doesn't just happen. It is the Congress that creates these bureaucracies, lays down the mandates, funds the programs. Then, it is the Congress that protects them, harasses them, investigates them, micro-manages them. With a Congressional subcommittee Chairman as godparent, they become stepchildren of the Congress. This is not to criticize all people serving in Congress. I served there and I know many fine people on both sides of the aisle serve there now -- decent, hardworking, patriotic Americans. The problem isn't the people, it's the system. And the system must change. The people on Capitol Hill are victims of an unaccountable, inefficient, and ineffective system of their own making as well: 284 committees, 35,000 staff members, over 2 billion dollars of taxpayer money, and a web of special interest influence and money. This is not a system that can promote reform and change. Rather, it promotes the status quo. Over the years, this has piled up to create a Congress that is out of touch. Gridlocked. 9 Paralyzed. A Congress totally and utterly incapable of addressing the central issues of our time. How many people in this room -- people who work with the Congress every day -- haven't had a private conversation with a Senator or Congressman and heard exactly the same thing? There's nothing wrong with the Congress passing a proclamation heralding "Crime Victims Week", but that's no substitute for a comprehensive crime bill that actually does something to make people safer in their communities. They may pass "National Asparagus Month", but the problem in American agriculture is our national vitality not our national vegetable. (Haven't seen "National Broccoli Week" -- could have some trouble signing that one). For every one of these bills there is staff assigned, paper processed, constituents contacted, newsletters written, taxpayer money spent. Nearly one third of all the legislation that reaches my desk is like this. Much of what's left simply keeps the basic machine of government running. The focus is clearly not on addressing new challenges. This all may sound like simply an election year blast at a Congress controlled by the other party. But it's not. We need a new way of looking at things. The gap between private sector efficiency and government's ineptness has become a chasm. I have made proposals to reform government -- proposals to bring back responsibility and accountability to a system answerable to no one but itself. They are based on some fundamental principles. Rely on what works. When possible, decentralize. Institute 10 choice to force competition into the system. Give people more power to make the big decisions in their lives. Make the system accountable. Understand the new realities of America's global position -- that we must become more competitive. These are important ways to reform and change America. I have also called for the Congress to stop exempting itself from the laws it imposes on everyone else. I have called for Campaign Finance Reform to break the influence of special interest groups. I have talked about term limits for members of Congress. When the system is broken you have to fix it. Chairman Fondren once said that "Leadership requires forthrightness. Hidden agendas rarely, if ever, lead to progress and very often succeed in spoiling the brew.' I've never been very good at hiding my agenda, and I'm not about to start now. My agenda has been to create jobs, protect the family, and promote world peace. Too many times I run up against a wall -- a partisan guard more determined to takes sides than to take this country forward. March 20 will be an important date. If the Congress enacts my action plan on the economy by then, the real beneficiaries will not be me, nor my re-election, nor the Congress. The real beneficiaries will be the American people who will regain the confidence that they have lost in the ability of Washington to act in their best interest. If the Congress cannot act, or if it sends to me a bill it knows today I cannot and will not sign, I will take this message to the American people: the problem is Congress. Send a new 11 Congress to Washington next November. In the meantime I will act on my own in the interests of the American people. I drew a line in the sand a little over a year ago in the Persian Gulf. I kept my word then and we liberated Kuwait. I have drawn a line in the sand once again -- right here in our own backyard. I will keep my word again. And if we all do our part, we can ensure that our economy, and our government get back on the right track. Thank you. And God bless you for all the good work you do. # # # 6 American goods and services. 7) Record federal support in research and development to keep our nation on the cutting edge of new technologies. Big issues. Big challenges. This is the plan I proposed - - and I set a deadline for Congress to act. Congress didn't like the notion of a deadline. And while the Congress didn't have a comprehensive plan of its own, it is doubtful that it will enact the plan I proposed. Instead, with great and earnest deliberation, the Congress is fixated with how much more to tax the American people. They would hike taxes by 100 billion dollars. Imagine: giving the Congress more taxpayer money to spend. Why add to the billions already spent on big government programs -- does anyone believe that more spending money for the Congress is the answer? Does anyone believe that this money will be more wisely spent than the trillion and a half dollars spent now? The last thing this economy needs now is a tax increase. Any economist worth his salt will tell you that. But this is not new. Congress routinely refuses to take action to stimulate the economy -- but insists on job destroying tax increases. I believe Congress is incapable of passing my economic action plan -- or a plan of their own. They are incapable of meeting my March 20 deadline -- or any other deadline, for that matter. Let me tell you why. Everyone knows that government is too big and spends too much. Everyone knows that. And there's something else everyone PRESIDENT THE OF THE UNITED Dearmont OF SEAL STATES To Speechwriters March 27, 1992 Re: Cong. Reform Speech. Be sure we have something in there on Disclosure The way to avoid conflict of interest ids through full disclosure. A prevsident reveals his income taxes- not by law but by tradition. I have done that now for 12 years. Presidential candidates must do that i but Congress schould take a new look at the discHlosure laws GB 07 FROM THE PRESIDENT THE WHITE HOUSE WASHINGTON Ash Council Info Richard Nixon, 1971 Feb. 6 [46] for all Americans. The role of govern- It is my hope that the 92nd Congress sed ment in this area, as I emphasized last will recognize the innovative and vital role nue year, should be one of stimulating private of the National Endowment for the Hu- to giving and encouraging private initiative. manities as described in this Fifth An- win I am therefore happy to report that the nual Report. ent. work of the National Endowment for the RICHARD NIXON Humanities attracted 125 gifts from pri- The White House vate sources totalling over $2 million dur- February 5, 1971 ing fiscal year 1970, more than matching NOTE: The 107-page report is entitled "Na- Federal funds available for that purpose. tional Endowment for the Humanities, Fifth Sec- Annual Report." ular bru- 46 Statement About Memorandums Recommending a.m. lay- Proposals for Executive Reorganization. , at February 6, 1971 him the IT IS my hope that as they are formally posed changes that I outlined in my ad- the submitted to the Congress, the proposals dress on the State of the Union, but they L'announced in this year's address on the are not the only sources for my proposals. State of the Union will generate a con- Consequently, there will be differences structive and far-reaching discussion on between the specific legislation which I the best way to organize many of the will recommend to the Congress and the domestic activities of the Federal Govern- proposals made by the Ash Council. The ment. As a contribution to such discus- differences will reflect conclusions I have sion, I have decided to make available to reached as a result of my own experience the Congress and to the American people in government, as well as proposals for in these two memoranda that were prepared executive reorganization made earlier in for me last year by the President's Advis- this Administration and in previous ory Council on Executive Organization administrations. (the Ash Council). One concerns the De- on a For example, one department which :ned partment of Natural Resources, and the was not touched by the Ash Council's pro- other concerns organization for social and bear posals, the Department of Transportation, economic programs. nost will be included in the reorganization leg- The earlier memorandum reached on's islation I will send to the Congress be- be- no on May 12, 1970 and the latter on cause I believe that the principles which November 19, 1970. I withheld action underlie the Ash proposals justify this nthe earlier document until I had had a inclusion. prio- for bance to see the full scope of the Coun- The Congress and the American peo- and proposals for the reorganization of ple, in my view, should have the benefit the related domestic departments and their of the relevant studies of the Advisory anctions. ently Council on Executive Organization in or- life These memoranda are basic to the pro- der that they may better evaluate the leg- 123 [46] Feb. 6 Public Papers of the Presidents islation I will be proposing. It is particu- task of governmental reorganization lic P larly important that the rationale sup- which remains before us. kind porting the basic departmental structure Sincerely, requi I will recommend be well understood. RICHARD NIXON social I am in basic agreement with the prin- NOTE: The statement, dated February 5, 1971 ciples of government organization ex- was made available to the press on February 6 pressed in these memoranda. They reflect as part of a 160-page pamphlet entitled both the need to organize structures on "Memoranda for the President of the United 48 the basis of purposes and the desirability States: Establishment of a Department of of decentralizing decision-making at the Natural Resources; Organization for Social and Economic Programs, Submitted by the Presi- operating level to the Federal regions and dent's Advisory Council on Executive Orga- To ti to States and localities wherever possible. nization." La With these thoughts, I commend the On February 5, the White House released first memoranda to your attention. I believe the transcript of a news briefing on the two natic that you will find them a useful and in- memorandums by John D. Ehrlichman, Assist- ant to the President for Domestic Affairs, and train$ formative guide as we prepare for the George P. Shultz, Director, Office of Manage- "desc ment and Budget. now and lines 47 Statement About National Crime Prevention Week, 1971. the d February 6, 1971 rapic Th THIS YEAR, National Crime Prevention In the past decade, Washington, D.C. actio Week has a solid ring. Our nationwide although the supposed model city for the campaign against crime is far from won, upon nation-won shameful distinction as a to th but the tide is beginning to turn. leader in crime statistics. Today, new leg- New laws have given the Department the I islation and increases in manpower are draw of Justice better weapons against orga- fostering the reorganization of the whole nized crime and against the narcotics traf- past structure of criminal justice in our Na- fic that is a significant cause of crime. Co- that, tion's Capital. Large increases have been tive operation with state and local agencies is made in Federal grants to state, city and the order of the day. A National Council camp county police forces for improvements in roun on Organized Crime, comprising the standards, training and methods. The re- heads of all appropriate Federal depart- sults of these efforts have begun to show. M. ments and agencies, is directing a major A positive decline in the number of seri- trol assault on racketeering. The Council has ous crimes has occurred in twenty-three given new support to the interdepart- cities of more than 100,000 population. mental strike forces against organized And our Nation's Capital also has shown crime that have now been established in a significant downward trend in crime. most major American cities. All the neces- I applaud the sponsors of National sary Federal agencies are working to- Crime Prevention Week, and urge all gether in a redoubled drive against il- Americans to respond to the challenges legal drugs-at home, at our borders, and it offers. For only the widest civic partic- at overseas sources. ipation and support can translate the pub- 124 [53] Feb. 10 Public Papers of the Presidents stration of the effectiveness of the devices. conclusions. And these I am delivering to you cation Secretary Stans' remarks were as follows: as they will be delivered to the public today ing ii Mr. President, before you are approximately Next is a casebook. This is a report of 150 actions that have been taken voluntarily by Comn 200 heads of major corporations of the United States. Here is a very large part of the industrial business corporations of the country in deal- was is might of the country. ing with problems of pollution in connection regula These gentlemen are members of the Coun- with their activities. prote cil and subcouncils of the National Industrial Next, Mr. President, is a book entitled "Com- He Pollution Control Council. And they have been mitments." This is a report of 160 corporate to all working diligently since last June in studying commitments to proceed to clean up the en- matters of pollution. vironment in one essential respect or another. ment There are 30 subcouncils, each represent- Mr. President, as I said, these gentlemen sumit ing one industry that has problems of pollution. have been working very diligently. They have whic They have produced a series of reports on a attended more than 100 subcouncil meetings Si number of individual pollution problems and since last June; several meetings of the entire have made a number of commitments, have Council. agen completed a number of actions which I want to Bert Cross, as their Chairman, Al Rockwell, ion- report to you today. as their Vice Chairman, have done a remark- calle First is a report of the Council as a whole on able job of whipping together a process of und its activities, with some recommendations to you action that I think is of great credit to the rect and some conclusions as to what might be done industrial community. What they have done is in the field of industrial pollution. perfect evidence that business, on its own and A Second is a series of 13 individual reports on largely through voluntary action, can achieve sens various subjects involved in pollution: sulfur the objectives that you have set out for the tero oxides, acid mine drainage, animal slaughter- cleaning up of the air, the water, and the land rela ing, animal wastes, exhaust emissions, glass from the problems of pollution. the containers, a number of subjects which rep- Gentlemen, the President of the United resent the work of the subcouncils and their States. tar me 54 Statement on Releasing a Report on Selected ha Independent Regulatory Agencies by the President's Advisory Council on Executive Organization. a February II, 1971 at ci TODAY, I am releasing an extensive roads after the Civil War, and the ensuing study on the organization and structure of era of monopolistic and discriminatory seven major independent regulatory com- practices, the Interstate Commerce Com- missions. Prepared by my Advisory Coun- mission was established in 1887. cil on Executive Organization (the Ash The desire to improve competitive mar- Council the study contains far-reach- kets and protect consumers and share- ing recommendations for change. holders from fraudulent practices were Of varying ages, the regulatory agen- the central goals of the Federal Trade cies were established for a variety of Commission, created in 1914, and the purposes. Securities and Exchange Commission, Following the near collapse of the rail- created in 1934. On the other hand, the development 1 Roy L. Ash was Chairman of the Council. of Federal regulation of radio communi- 148 Richard Nixon, 1971 Feb. II [54] cation and the radio industry, culminat- issues of policy from public scrutiny and ing in the establishment of the Federal correction. Communications Commission in 1934, 6. That the activities of the commis- was in response to an industry seeking sions are largely uncoordinated either with regulation of the spectrum for its own each other or with national policy goals. protection. However, it should be noted that the However, there was a thread common deficiencies of the independent agencies to all-the effort of the Federal Govern- may not be entirely attributable to faulty ment to protect the members of the con- organization and procedure. suming public against market abuses over The failure to review and reform out- which they had little or no control. dated social and economic policies em- Since their establishment, all of these bedded in the regulatory fabric may also agencies have grown in haphazard fash- be partially responsible. In addition, the ion-and despite. repeated criticism and substantive goals of regulation often seem calls for reform very little change has been confused, unclear, or even contradictory. undertaken beyond some modest internal Regulation may have been extended to reorganization. some fields in which market forces would As the agencies deal in areas of great better serve. sensitivity, in which major economic in- Too often, out of habit or inertia, gov- terests are affected and in which inter- ernments maintain organization structures relationships exist between the Executive, and agencies that are either no longer the Congress, and the courts, the reluc- necessary, no longer relevant, or no longer tance to reform can be readily explained. truly responsive to the problems of the The Ash Council found considerable modern era. merit in the following criticisms that some The Ash Council's report persuades me have leveled against the commissions: that, despite the best efforts and inten- I. That, lacking in direct accountabil- tions of the commissions' members, there ity to anyone, their structures frozen into is room for substantial improvement both a cast set years ago, the commissions have in the way in which these organizations at times been unresponsive to changing are structured, and in the way in which circumstances, and to new needs. they carry out their functions. 2. That they have at times failed to At this point, I have made no final deci- carry out their statutory responsibilities sions on the merits of the Council's with either effectiveness or efficiency. recommendations. But to stimulate a 3. That the very constituency they were vigorous public discussion and to receive established to serve-the consuming pub- the benefit of the views of the agencies lic-is now the source of increasing and themselves, the regulated industries, the legitimate complaints. interested bar groups, consumer protec- 4. That their collegial decisionmaking tion organizations, and others, I am re- is inefficient and permits avoidance of leasing today this full report of the responsibility. Advisory Council. 5. That the regulatory process has in I have asked the Ash Council staff to some areas become so obscure and com- solicit comments from the broadest pos- plex that it has effectively insulated vital sible range of groups and individuals con- 149 71-234-72-13 [54] Feb. II Public Papers of the Presidents cerned and affected, including consumer as may be appropriate, those reforms that Nation Dis and user groups familiar with the indus- appear desirable and in the public interest. treaty for D.C. Repre tries involved. NOTE: The report is entitled "A New Regula- I urge all concerned to respond with tory Framework: Report on Selected Inde- their comments or criticisms by no later pendent Regulatory Agencies-The President's Advisory Council on Executive Organization, 56 R. than April 20 in order to help us restruc- ture the regulatory process to make it real- January 1971" (Government Printing Office, A: 198 pp.). ize the expectations of the American D On the same day, the White House released public. Following an evaluation of these a fact sheet on the Council's report. Ladies an views, I will recommend to the Congress, We are Secretary 55 Remarks at the Signing Ceremony of the Seabed Large. W and after Arms Control Treaty. February II, 1971 with rer; Mr. Secretary, Your Excellencies, ladies Vienna in just a few weeks, we certainly and the S and gentlemen: hope that they will make progress. I can [At this p It has been very properly pointed out assure all of those gathered here that we mun of that the seabed is man's last frontier on seek, as does the Soviet Union and other oath of nations, we seek an agreement there which speaking. earth, and that frontier can either be a source of peril or promise. will reduce the danger of nuclear war I wan By the signing of this treaty, we have which hangs over the world and reduce it at Largo pledged to seek its promise and to remove by controlling the nuclear arms, both as ately. H its peril. And as has been pointed out by far as the Soviet Union is concerned and the next the Ambassador from the United King- the United States. Mrs. K dom and the Ambassador from the So on this occasion I reiterate that yourself U.S.S.R., while this is a modest step while the Ambassador from Great Britain Then among many in the field of control of quite properly said this was a modest bassado armaments, it is an indication of progress step, it is an important step when we con- behalf that has been made and continues to be sider it in all of the aspects of the progress course, made toward the goal that we all seek: that has been made beginning in the visiting the control of instruments of mass destruc- sixties, now continuing in this decade. extend tion, so that we can reduce the danger of We hope that we will be meeting, per- The war. haps in the future, perhaps in this room, Vietna Certainly, speaking for the United perhaps in some other room in some other in the States of America, I pledge that as we capital, for the final great step in the con- the ecc sign this treaty in an era of negotiation, trol of nuclear arms: the control of Govern that we consider it only one step toward a nuclear arms on earth. to Son greater goal: the control of nuclear weap- NOTE: The President spoke at 9:50 a.m. in the official ons on earth and the reduction of that International Conference Room at the Depart- velopr danger that hangs over all the nations of ment of State. of the Secretary of State William P. Rogers and the world as long as those weapons are He Ambassador James F. Leonard, head of the not controlled. he wa U.S. Delegation to the Conference of the Com- And as our representatives go back to mittee on Disarmament, formerly the Eighteen- 150 [114] Mar. 24 Public Papers of the Presidents pointing. It represents a severe blow not edge-not from a chauvinistic desire to be only to the tens of thousands of workers number one, but from the conviction that affected, and to their families, but also we must continue to develop the countless to the United States continued leadership new benefits that flow from exploration position in the aerospace industry. More of the unknown. Development of the SST deeply, it could be taken as a reversal of has been a part of that proud, creative, America's tradition of staying in the van- and deeply humanistic tradition. Though guard of scientific and technological the Congress has declined to continue advance. helping fund this development, I shall I am determined that this vote on the strive to ensure that the tradition is SST will not be a shift in basic direction. maintained. It is a setback, but we will remain on a NOTE: On the same day, the White House re- continuing course of exploration and de- leased the transcript of a news briefing on the velopment in those areas in which Amer- SST program by William M. Magruder, Direc- ica traditionally has taken the leading role, tor, Supersonic Transport Development, De- and from which so much has flowed to the partment of Transportation. benefit of mankind. On March 23, 1971, the White House re- leased the transcript of a news briefing by It has always been America's pride, and Senator Hugh Scott and Representative Gerald the source of much of our strength, that R. Ford on a discussion of the SST program we have constantly reached out toward during the Republican leadership meeting with new horizons in the search for knowl- the President. II5 Remarks to Reporters at a Briefing on a Special Message to the Congress on Executive Branch Reorganization. March 25, I971 Ladies and gentlemen: of this century. Consequently, I have I have selected this particular message asked him, not just in his capacity as to come to the press room to present the Secretary of the Treasury but primarily briefers because of its historic significance. as a member of the Council that was re- This message on Government reorganiza- sponsible for making these recommenda- tion is the result of 2 years of study within tions which I have now endorsed, to lead the Administration. Without the persua- off on the briefing team, and then Mr. sive arguments that were made for this Weber of the OMB will go into any of plan by Secretary of the Treasury Con- the details. nally when he was a member of the Ash NOTE: The President spoke at 11:32 a.m. in Council, this message would not be going the Briefing Room at the White House. to the Congress today. On the same day, the White House released He feels very strongly that this not the transcript of a news briefing on the pro- only has historical significance but that posed reorganization by Secretary Connally and it is imperative in terms of making our Arnold R. Weber, Associate Director, Office of Management and Budget. Government work better in this last third 472 Richard Nixon, 1971 Mar. 25 [116] 116 Special Message to the Congress on Executive Branch Reorganization. March 25, 1971 To the Congress of the United States: That is why so many public servants-of When I suggested in my State of the both political parties, of high rank and Union Message that "most Americans to- low, in both the legislative and executive day are simply fed up with government branches-are often disenchanted with at all levels," there was some surprise that government these days. That is also why such a sweeping indictment of govern- so many voters feel that the results of ment would come from within the gov- elections make remarkably little differ- ernment itself. Yet it is precisely there, ence in their lives. within the government itself, that frustra- Just as inadequate organization can tion with government is often most deeply frustrate good men and women, so it can experienced. dissipate good money. At the Federal A President and his associates often level alone we have spent some $1.1 tril- feel that frustration as they try to fulfill lion on domestic programs over the last their promises to the people. Legislators 25 years, but we have not realized a fair d feel that frustration as they work to carry return on this investment. The more we out the hopes of their constituents. And spend, the more it seems we need to spend dedicated civil servants feel that frustra- and while our tax bills are getting bigger tion as they strive to achieve in action our problems are getting worse. the goals which have been established No, the major cause of the ineffective- in law. ness of government is not a matter of men e or of money. It is principally a matter of GOOD MEN AND BAD MECHANISMS machinery. It will do us little good to change personnel or to provide more re- The problem with government is not, sources unless we are willing to under- by and large, the people in government. take a critical review of government's It is a popular thing, to be sure, for the overall design. public to blame elected officials and for Most people do not pay much atten- elected officials to blame appointed offi- tion to mechanical questions. What hap- cials when government fails to perform. pens under the hood of their automobile, There are times when such criticism is for example, is something they leave to clearly justified. But after a quarter cen- the specialists at the garage. What they of tury of observing government from a do care about, however, is how well the variety of vantage points, I have con- automobile performs. Similarly, most peo- in cluded that the people who work in gov- ple are willing to leave the mechanical ernment are more often the victims than questions of government organization to the villains when government breaks those who have specialized in that sub- down. Their spirit has usually been will- ject-and to their elected leaders. But nd of ing. It is the structure that has been weak. they do care very deeply about how well Good people cannot do good things the government performs. with bad mechanisms. But bad mecha- At this moment in our history, most nisms can frustrate even the noblest aims. Americans have concluded that govern- 473 [116] Mar. 25 Public Papers of the Presidents ment is not performing well. It promises own procedures and is considering others. mitte much, but it does not deliver what it Judicial reform-at all levels of govern- (the promises. The great danger, in my judg- ment-has also become a matter of intense dowr ment, is that this momentary disillusion- concern. The relationship between various missi ment with government will turn into a levels of government has attracted in- Bran more profound and lasting loss of faith. creased attention-and so, of course, has Com We must fight that danger. We must the subject of executive reform. Task restore the confidence of the people in This administration, with the counsel in IC the capacities of their government. In my and the cooperation of the Congress, has Exec view, that obligation now requires us to taken a number of steps to reorganize the two give more profound and more critical at- executive branch of the Federal Govern- van tention to the question of government ment. We have set up a new Domestic grea organization than any single group of Council and a new Office of Manage- gove American leaders has done since the Con- ment and Budget in the Executive Office bac. stitutional Convention adjourned in Phil- of the President. We have created a new par adelphia in September of 1787. As we Environmental Protection Agency and a 1 strive to bring about a new American new United States Postal Service. We in C Revolution, we must recognize that cen- have worked to rationalize the internal we tral truth which those who led the original structure of Federal departments and her American Revolution so clearly under- agencies. col stood: often it is how the government is All of these and other changes have be put together that determines how well the been important, but none has been com- the government can do its job. prehensive. And now we face a funda- an This is not a partisan matter, for there mental choice. We can continue to tinker be: is no Republican way and no Democratic with the machinery and to make con- of way to reorganize the government. This structive changes here and there-each of tal is not a matter for dogmatic dispute, for them bringing some marginal improve- tic there is no single, ideal blueprint which ment in the Government's capacities. Or will immediately bring good order to Fed- we can step back, take a careful look, and eral affairs. Nor is this a matter to be then make a concerted and sustained ef- dealt with once and then forgotten. For it fort to reorganize the executive branch is important that our political institutions according to a coherent, comprehensive le remain constantly responsive to changing view of what the Federal Government of times and changing problems. this Nation ought to look like in the last third of the twentieth century. RENEWED INTEREST IN COMPREHENSIVE The impulse for comprehensive re- C REFORM organization has been felt before in recent decades. In fact, the recommendations I The last two years have been a time am making today stem from a long series of renewed interest in the question of how of studies which have been made under government is organized. The Congress several administrations over many years. has instituted a number of reforms in its From the report of the President's Com- 474 Richard Nixon, 1971 Mar. 25 [116] hers. mittee on Administrative Management one seems to stand out above all others: ern- (the Brownlow 1 Committee) in 1937, the fact that the capacity to do things— ense down through the findings of the Com- the power to achieve goals and to solve ious mission on Organization of the Executive problems-is exceedingly fragmented and in- Branch of the Government (the Hoover broadly scattered throughout the Federal has Commission) in 1949, the President's establishment. In addressing almost any Task Force on Government Organization of the great challenges of our time, the in 1964, and my own Advisory Council on Federal Government finds itself speaking unsel has Executive Organization during the last through a wide variety of offices and bu- the two years,3 the principles which I am ad- reaus, departments and agencies. Often these units trip over one another as they ern- vancing today have been endorsed by a estic great number of distinguished students of move to meet a common problem. Some- hage- government and management from many times they step on one another's toes. Fre- Office backgrounds and from both political quently, they behave like a series of frag- parties. mented fiefdoms-unable to focus Federal new nd a I hope the Congress will now join me resources or energies in a way which pro- We in concluding, with these authorities, that duces any concentrated impact. ernal we should travel the course of compre- Consider these facts: hensive reform. For only if we travel that Nine different Federal departments and and course, and travel it, successfully, will we twenty independent agencies are now in- be able to answer affirmatively in our time volved in education matters. Seven de- have partments and eight independent agen- com- the fundamental question posed by Alex- inda- ander Hamilton as the Constitution was cies are involved in health. In many ma- inker being debated in 1788: "whether societies jor cities, there are at least twenty or con- of men are really capable or not of es- thirty separate manpower programs, ch of tablishing good government from reflec- funded by a variety of Federal offices. rove- tion and choice. Three departments help develop our water resources and four agencies in two es. Or and THE FRAGMENTATION OF FEDERAL departments are involved in the man- -d ef- RESPONSIBILITY agement of public lands. Federal recrea- tion areas are administered by six differ- canch As we reflect on organizational prob- ensive ent agencies in three departments of the lems in the Federal Government today, ent of government. Seven agencies provide as- ie last 1 The late Louis Brownlow, journalist, public sistance for water and sewer systems. Six official, and director and trustee, Public Ad- departments of the government collect ministration Clearinghouse 1931-56, was similar economic information-often re re- Chairman of the Committee. from the same sources-and at least seven recent Former President Herbert Hoover was ions I Chairman of the Commission. departments are concerned with inter- series The President's Advisory Council on Execu- national trade. While we cannot elimi- under tive Organization completed its work and re- nate all of this diffusion, we can do a signed on May 7, 1971. A White House an- great deal to bring similar functions under years. nouncement of the Council's resignation is common commands. Com- printed in the Weekly Compilation of Presi- dential Documents (vol. 7, p. 734). It is important that we move boldly to 475 [116] Mar. 25 Public Papers of the Presidents consolidate the major activities of the impact of related activities on the out- tempts Government. The programmatic jumblé side world. Federa has already reached the point where it is The role of a given department in the peting virtually impossible to obtain an accu- policy making process can be funda- piece o: rate count of just how many Federal mentally compromised by the way its Som grant programs exist. Some estimates go mission is defined. The narrower the mis- duplica as high as 1,500. Despite impressive at- sion, the more likely it is that the de- stance, tempts by individual legislators and by partment will see itself as an advocate or moi the Office of Economic Opportunity, there within the administration for a special other ( is still no agreement on a comprehensive point of view. When any department or ally fir list. Again and again I hear of local of- agency begins to represent a parochial in- poses ficials who are unable to determine how terest, then its advice and support inevit- try to many Federal programs serve their areas ably become less useful to the man who while or how much Federal money is coming must serve all of the people as their an eff into their communities. One reason is President. ernon. that the assistance comes from such wide Even when departments make a con- amon: variety of Federal sources. certed effort to broaden their perspec- with tives, they often find it impossible to towar THE CONSEQUENCES OF SCATTERED develop a comprehensive strategy for when RESPONSIBILITY meeting public needs. Not even the best differ planners can set intelligent spending pri- mise What are the consequences of this scat- orities, for example, unless they have an the 10 tering of Federal responsibility? There opportunity to consider the full array origin are many. of alternative expenditures. But if one are t In the first place, the diffusion of re- part of the problem is studied in one de- gove: sponsibility makes it extremely difficult partment and another part of the prob- Sc to launch a coordinated attack on com- lem is studied elsewhere, who decides to th plex problems. It is as if the various units which element is more important? If one cisio: of an attacking army were operating un- office considers one set of solutions and a are C der a variety of highly independent com- separate agency investigates another set it is mands. When one part of the answer to of solutions, who can compare the results? resol a problem lies in one department and Too often, no official below the very high- ferri other parts lie in other departments, it est levels of the Government has access ess is often impossible to bring the various to enough information to make such com- In parts together in a unified campaign to parisons wisely. The result is that the reso achieve a common goal. Government often fails to make a rational vid: Even our basic analysis of public needs distribution of its resources among a num- new often suffers from a piecemeal approach. ber of program alternatives. the Problems are defined so that they will fit Divided responsibility can also mean of within established jurisdictions and bu- that some problems slip between the SON reaucratic conventions. And the results cracks and disappear from the Govern- so, of government action are typically meas- ment's view. Everybody's business be- onl ured by the degree of activity within comes nobody's business and embarrass- suc each program rather than by the overall ing gaps appear which no agency at- ma 476 Richard Nixon, 1971 Mar. 25 [116] out- tempts to fill. At other times, various dential level that should be resolved at Federal authorities act as rivals, com- levels of Government closer to the scene n the peting with one another for the same of the action. inda- piece of "turf." Inefficient organization at the Federal y its Sometimes one agency will actually level also undermines the effectiveness of mis- duplicate the work of another; for in- State and local governments. Mayors and de- stance, the same locality may receive two Governors waste countless hours and dol- locate or more grants for the same project. On lars touching base with a variety of Fed- becial other occasions, Federal offices will actu- eral offices-each with its own separate it or ally find themselves working at cross pur- procedures and its own separate policies. al in- poses with one another; one agency will Some local officials are SO perplexed by nevit- try to preserve a swamp, for example, the vast array of Federal programs in a who while another is seeking to drain it. In given problem area that they miss out their an effort to minimize such problems, gov- on the very ones that would be most help- ernment officials must spend enormous ful to them. Many State and local gov- con- amounts of time and energy negotiating ernments find they must hire expensive spec- with one another that should be directed specialists to guide them through the jun- le to toward meeting people's needs. And even gles of the Federal bureaucracy. for when they are able to work out their If it is confusing for lower levels of best differences, officials often reach compro- government to deal with this maze of g pri- mise solutions which merely represent Federal offices, that challenge can be even ve an the lowest common denominator of their more bewildering for individual citizens. array original positions. Bold and original ideas Whether it is a doctor seeking aid for a one are thus sacrificed in the quest for intra- new health center, a businessman trying e de- governmental harmony. to get advice about selling in foreign mar- prob- Scattered responsibility also contributes kets, or a welfare recipient going from one ecides to the over-centralization of public de- office to another in order to take full If one cision making. Because competing offices advantage of Federal services, the people and a are often in different chains of command, whom the Government is supposed to be set it is frequently impossible for them to serving are often forced to weave their sults? resolve their differences except by re- way through a perplexing obstacle course high- ferring them to higher authorities, a proc- as a condition of receiving help. access ess which can mean interminable delays. com- In an attempt to provide a means for THE HOBBLING OF ELECTED LEADERSHIP the resolving such differences and for pro- tional viding needed coordination, an entire Perhaps the most significant conse- num- new layer of bureaucracy has emerged at quence of scattered responsibility in the the interagency level. Last year, the Office executive branch is the hobbling effect it mean of Management and Budget counted has on elected leadership-and, there- n the some 850 interagency committees. Even fore, on the basic principles of democratic overn- so, there are still many occasions when government. In our political system, when SS be- only the White House itself can resolve the people identify a problem they elect arrass- such interjurisdictional disputes. Too to public office men and women who cy at- many questions thus surface at the Presi- promise to solve that problem. If these 477 71-234-72-34 [116] Mar. 25 Public Papers of the Presidents leaders succeed, they can be reelected; if measured in disappointment, frustration chang they fail, they can be replaced. Elections and wasted tax dollars. But how did things of the are the people's tool for keeping govern- get this way? lished ment responsive to their needs. What happened, essentially, was that weste: This entire system rests on the assump- the organization of Government-like the India: tion, however, that elected leaders can grant-in-aid programs which I have dis- partm make the government respond to the cussed in my special messages to the in the people's mandate. Too often, this assump- Congress concerning revenue sharing- the O' tion is wrong. When lines of responsibility grew up in a haphazard, piecemeal fashion were are as tangled and as ambiguous as they over the years. Whenever Government expai are in many policy areas, it is extremely took on an important new assignment or the e difficult for either the Congress or the identified an important new constituency, in a President to see that their intentions are the chances were pretty good that a new trial carried out. organizational entity would be established merc If the President or the Congress wants to deal with it. Unfortunately, as each new Dep to launch a program or change a program office was set up, little or no attention in or even find out how a program is work- was given to the question of how it would ferir ing, it often becomes necessary to consult fit in with the old ones. Thus office was need with a half dozen or more authorities, piled upon office in response to develop- new each of whom can blame the others when ing needs; when new needs arose and still Hea something goes wrong. It is often impos- newer units were created, the older struc- and sible to delegate to any one official the full tures simply remained in place. tati responsibility for carrying out a specific Of the twelve executive departments II. mandate, since the machinery for doing now in existence, only five can trace their brir that job is divided among various agen- origins to the beginnings of our country. era cies. As a result, there is frequently no sin- gle official-even at the Cabinet level- The Departments of State and Treasury era were set up in 1789; so was the War De- whom the President or the Congress can partment-the predecessor of the De- hold accountable for Government's suc- partment of Defense. The positions of cess or failure in meeting a given need. Attorney General and Postmaster General of No wonder bureaucracy has sometimes were also established in 1789, though it ma been described as "the rule of no one." No was not until later that the departments od wonder the public complains about pro- they head were set up in their present po grams which simply seem to drift. When form. One of these five units, the Post ab elected officials cannot hold appointees Office Department, will soon become an me accountable for the performance of gov- ernment, then the voters' influence on independent corporation. But, under my proposals, the other four "original" de- W government's behavior is also weakened. partments would remain intact. It is the de seven newer departments of the Govern- h How DID THINGS GET THIS WAY? ment which would be affected by the changes I recommend. be The American people clearly pay a These seven departments were set up S( very high price for the incapacities of to meet the changing needs of a growing a governmental structures-one that is nation, needs which have continued to 478 Richard Nixon, 1971 Mar. 25 [116] ior change over the years. The Department example, in economic development- of the Interior, for example, was estab- which requires new markets, more pro- lished in 1849 to deal with newly opened ductive workers and better transportation western lands and especially with the systems. But which department do we go the Indians who inhabited them. The De- to for that? And what if we want to build partment of Agriculture was also added a new city, with sufficient public facili- the in the nineteenth century, at a time when ties, adequate housing, and decent recrea- the overwhelming majority of our people tion areas-which department do we were directly affected by the tremendous petition then? expansion of agricultural enterprise. In We sometimes seem to have forgotten or the early years of the twentieth century, that government is not in business to deal in a time of rapid and unsettling indus- with subjects on a chart but to achieve ew trial growth, the Department of Com- real objectives for real human beings. ed merce and Labor was set up. The Labor These objectives will never be fully :w Department was split off from it in 1913, achieved unless we change our old ways in response to feelings that labor was suf- of thinking. It is not enough merely to fering from an imbalance of power and reshuffle departments for the sake of re- as needed additional influence. The three shuffling them. We must rebuild the ex- newest departments of the Government- ecutive branch according to a new un- 11 Health, Education, and Welfare, Housing derstanding of how government can best and Urban Development, and Transpor- be organized to perform effectively. tation-were all created after World War The key to that new understanding is II. Each represented a first step toward the concept that the executive branch of bringing together some of the new Fed- the government should be organized eral offices and agencies which had prolif- around basic goals. Instead of grouping erated so rapidly in recent decades. activities by narrow subjects or by limited constituencies, we should organize them ORGANIZING AROUND GOALS around the great purposes of government As we look at the present organization in modern society. For only when a de- of the Federal Government, we find that partment is set up to achieve a given set many of the existing units deal with meth- of purposes, can we effectively hold that ods and subjects rather than with pur- department accountable for achieving poses and goals. If we have a question them. Only when the responsibility for about labor we go to the Labor Depart- realizing basic objectives is clearly focused ment and if we have a business problem in a specific governmental unit, can we we go to the Commerce Department. If reasonably hope that those objectives will we are interested in housing we go to one be realized. department and if we are interested in When government is organized by goals, highways we go to another. then we can fairly expect that it will pay The problem is that as our society has more attention to results and less atten- become more complex, we often find our- tion to procedures. Then the success of selves using a variety of means to achieve government will at last be clearly linked a single set of goals. We are interested, for to the things that happen in society 479 [116] Mar. 25 Public Papers of the Presidents rather than the things that happen in THE DEPARTMENT OF NATURAL government. RESOURCES Under the proposals which I am sub- mitting, those in the Federal Government One of the most notable developments who deal with common or closely related in public consciousness in recent years has problems would work together in the same been a growing concern for protecting organizational framework. Each depart- the environment and a growing awareness ment would be given a mission broad of its highly interdependent nature. The enough so that it could set comprehensive science of ecology-the study of the inter- policy directions and resolve internally the relationships between living organisms policy conflicts which are most likely to and their environments-has experienced arise. The responsibilities of each depart- a sudden rise in popularity. All of us have ment would be defined in a way that become far more sensitive to the way in minimizes parochialism and enables the which each element of our natural habitat President and the Congress to hold spe- affects all other elements. cific officials responsible for the achieve- Unfortunately, this understanding is ment of specific goals. not yet reflected in the way our Govern- These same organizational principles ment is organized. Various parts of the would also be applied to the internal or- interdependent environment are still un- ganization of each department. Similar der the purview of highly independent functions would be grouped together Federal offices. As a result, Federal land within each new entity, making it still policies, water programs, mineral policies, easier to delegate authority to lower levels forestry practices, recreation activities and and further enhancing the accountability energy programs cannot be easily co- of subordinate officials. In addition, the ordinated, even though the manner in proposals I submit today include a num- which each is carried out has a great ber of improvements in the management influence on all the others. of Federal programs, so that we can take Again and again we encounter intra- full advantage of the opportunities af- governmental conflicts in the environ- forded us by organizational restructuring. mental area. One department's watershed The administration is today transmit- project, for instance, threatens to slow ting to the Congress four bills which, if the flow of water to another department's enacted, would replace seven of the pres- reclamation project downstream. One ent executive departments and several agency wants to develop an electric power other agencies with four new depart- project on a certain river while other ments: the Department of Natural Re- agencies are working to keep the same sources, the Department of Community area wild. Different departments follow Development, the Department of Human different policies for timber production Resources and the Department of Eco- and conservation, for grazing, for fire pre- nomic Affairs. A special report and sum- vention and for recreational activities on mary-which explain my recommenda- the Federal lands they control, though tions in greater detail-have also been the lands are often contiguous. prepared for each of the proposed new We cannot afford to continue in this departments. 480 Richard Nixon, 1971 Mar. 25 [116] manner. The challenges in the natural tion from the Department of Commerce. resource field have become too pressing. Because of their historical association with Some forecasts say that we will double our the Department of the Interior, the pro- ents usage of energy in the next 10 years, of grams of the Bureau of Indian Affairs has water in the next 18 years; and of metals would be administered by the new De- ting in the next 22 years. In fact, it is predicted partment until such time as an acceptable ness that the United States will use more en- alternative arrangement could be worked The ergy and more critical resources in the out with Indian leaders and other con- iter- remaining years of this century than in cerned parties. asms all of our history up until now. Govern- aced ment must perform at its very best if it is THE DEPARTMENT OF COMMUNITY have to help the Nation meet these challenges. DEVELOPMENT y in I propose that a new Department of itat Natural Resources be created that would A restless and highly mobile people, bring together the many natural resource Americans are constantly creating new is responsibilities now scattered throughout communities and renewing old ones ern- the Federal Government. This Depart- throughout our land. In an era of rapid the ment would work to conserve, manage change, this process-which once took un- and utilize our resources in a way that generations-can now be repeated in just would protect the quality of the environ- a few years. and ment and achieve a true harmony be- At the same time, the process of com- tween man and nature. The major ac- munity development is becoming even and tivities of the new Department would be more complex, particularly as the prob- co- organized under its five subdivisions: lems of urban and rural communities in Land and Recreation Resources, Water begin to merge. The elements of commu- eat Resources, Energy and Minerals Re- nity life are many and the mark of a co- sources, Oceanic, Atmospheric and Earth hesive community is the harmonious way ra- Sciences, and Indian and Territorial in which they interrelate. That is why on- Affairs. we hear so much these days about the The new Department of Natural Re- importance of community planning. And sources would absorb the present Depart- that is why it is essential that Federal aid ment of the Interior. Other major pro- for community development be designed )ne grams which would be joined to it would to meet a wide range of related needs in ver include: The Forest Service and the soil a highly coordinated manner. her and water conservation programs from Often this does not happen under the me the Department of Agriculture, planning present system. The reason is that the ba- ow and funding for the civil functions of the sic. community development programs of on Army Corps of Engineers and for the ci- the Federal Government are presently di- re- vilian power functions of the Atomic En- vided among at least eight separate au- on ergy Commission, the interagency Water thorities-including four executive de- Resources Council, the oil and gas pipe- partments and four independent agencies. line safety functions of the Department A community that seeks development of Transportation, and the National assistance thus finds that it has to search Oceanic and Atmospheric Administra- out aid from a variety of Federal agen- 481 [116] Mar. 25 Public Papers of the Presidents cies. Each agency has its own forms and Transportation Administration and T1 8 regulations and timetables-and its own Urban and Rural Development Adminis brand of red tape. Each has its own field tration. A fourth unit, the Federal Insur- The organizations, often with independent and ance Administration, would be set up overlapping boundaries for regions and administratively by the Secretary. evidenc districts. Sometimes a local community The new Department of Community ernmen must consult with Federal offices in three Development would absorb the present designe or four different States. Department of Housing and Urban De: In part The result is that local leaders often much velopment. Other components would in- find it virtually impossible to relate Fed- clude certain elements of the Economic source eral assistance programs to their own lo- machir Development Administration and the cal development strategies. The mayor of new ch Regional Commission programs from the one small town has observed that by the human Department of Commerce, the independ- time he finishes dealing with eight Fed- area ir ent Appalachian Regional Commission eral planning agencies, he has little time larly various Department of Agriculture pro- to do anything else. results grams including water and waste disposal I h Occasionally, it must be admitted, a grants and loans, the Rural Electrification broad community can reap unexpected benefits Administration, and rural housing pro- from this diffusion of Federal responsi- educat grams. The Community Action and Spe- bility. The story is told of one small city aboun cial Impact Programs of the Office of that applied to six different agencies for cludin Economic Opportunity would be in- help in building a sewage treatment plant stamp cluded, as would the Public Library and received affirmative responses from benefi construction grant program from the all six. If all the grants had been com- scatter Department of Health, Education, and pleted, the community would have cleared a num Welfare and certain disaster assistance a handsome profit-but at the Federal ment functions now handled by the Office of Healt taxpayer's expense. Emergency Preparedness and the Small Office To help correct such problems, I Business Administration. Most Federal die fo propose that the major community devel- highway programs and the Urban Mass opment functions of the Federal Govern- progr Transportation Administration would be ment be pulled together into a new progr transferred from the present Department suffer Department of Community Development. of Transportation. In It would be the overriding purpose of this I would note that while the Depart- ters " Department to help build a wholesome ment of Transportation is a relatively new the Sa and safe community environment for entity, it, too, is now organized around with every American. This process would re- methods and not around purposes. A large quire a comprehensive series of programs agen part of the Department of Transporta- tion, which are equal to the demands of grow- tion would be moved into the new De- sider ing population and which provide for partment of Economic Affairs-but those balanced growth in urban and rural areas. go tc functions which particularly support anot] The new Department would operate community development would be placed finan through three major administrations: a in the Department which is designed to legal Housing Administration, a Community meet that goal. assist 482 Richard Nixon, 1971 Mar. 25 [116] THE DEPARTMENT OF HUMAN ing, and to a number of additional offices RESOURCES for various kinds of medical help. The social worker who might guide him The price of obsolete organization is through this maze often works in still evidenced with special force in those Gov- another location. ernment programs which are directly "ty Such situations are clearly intolerable, designed to serve individuals and families. yet the Federal Government-which In part this is because there has been so ought to be working to reform these con- much new legislation in the human re- fused systems-actually is responsible for source field in recent decades; the old nic much of the confusion in the first place. machinery is simply overstrained by its :he I believe that we can take a major step new challenges. But whatever the reasons, the toward remedying such problems by estab- human resource programs comprise one id- lishing a new Department of Human Re- area in which the Government is singu- on, sources which would unify major Federal larly ill-equipped to deliver adequate ro- efforts to assist the development of in- results. sal dividual potential and family well-being. I have already commented on the ion This Department would be subdivided, in broad dispersion of Federal health and ro- turn, into three major administrations: education activities. Similar examples pe- Health, Human Development, and In- abound. Income support programs, in- of come Security. cluding those which administer food in- This new Department would incorpo- stamps, welfare payments, retirement ary rate most of the present Department of benefits and other forms of assistance, are the Health, Education, and Welfare with the scattered among three departments and and following significant additions: a num- number of other agencies. The Depart- nce ber of food protection, food distribution ment of Agriculture, the Department of of and nutrition programs from the Depart- Health, Education, and Welfare, and the nall ment of Agriculture, the College Housing Office of Economic Opportunity all han- eral program from the Department of Housing dle food and nutrition matters. Child care and Urban Development, the independ- programs, migrant programs, manpower be ent Railroad Retirement Board, various programs, and consumer programs often ient programs from the Office of Economic suffer from similarly divided attention. Opportunity (including nutrition, health, In one city, two vocational training cen- art- family planning, alcoholism, and drug ters were built three blocks apart at about new rehabilitation efforts), and the Manpower the same time and for the same purpose, und Administration, the Women's Bureau, the with money from two different Federal arge Unemployment Insurance Program and agencies. And for every case of overatten- orta- a number of other employment service tion, there are many more of neglect. Con- De- and training activities from the Depart- sider the plight of a poor person who must hose ment of Labor. go to one office for welfare assistance, to port another for food stamps, to another for aced THE DEPARTMENT OF ECONOMIC AFFAIRS financial counseling, to still another for ed to legal aid, to a fifth office for employment One of the first things most students assistance, to a sixth place for job train- learn about economics is that the mate- 483 [116] Mar. 25 Public Papers of the Presidents rial progress of our civilization has re- materials a given industry receives from ties or any 0 sulted in large measure from a growing the farms, while a second department is our country division of labor. While a single family concerned with getting these materials to these reform or a single community once provided most the factory and getting the product to its will enable ? of its own goods and services, it now spe- market. Meanwhile, a third department better. Und cializes in providing only a few, depend- is concerned with the workers who har- partment of ing increasingly on a far-flung, intricate vest the crops, run the transportation sys- a much st network of other people and other or- tems and manufacture the product, while something = ganizations for its full economic well- a fourth department is concerned with which influ being. the businessmen who own the plant where present De The only way the Federal Government the product is made and the stores where example. I can deal effectively with such a highly it is merchandised. complex ne interdependent economy is by treating a Such a division of responsibility can than can t] wide range of cconomic considerations in also create a great deal of overlap. The bor. It WC a comprehensive and coordinated man- Agriculture Department, for instance, a wider If ner. And-as our Gross National Product finds that its interest in agricultural labor nority bus. moves beyond the trillion dollar level and is shared by the Labor Department, its Departme as our productive system, which now ac- regard for agricultural enterprise is shared Federal counts for approximately 40 percent of by the Small Business Administration, area has b the world's wealth, encounters new chal- and its concern for providing sufficient cism over lenges from other nations-it is becoming transportation for farm products is shared administra even more important that Federal eco- by the Department of Transportation. of executi nomic policies be carried out as effectively The Commerce, Labor, and Agriculture that it be as possible. Departments duplicate one another in ceived a But again, the organization of the Gov- collecting economic statistics, yet they use my Adv ernment works against the systematic con- computers and statistical techniques Organiza sideration of economic complexities. The which are often incompatible. I am 1 step by step evolution of our Federal ma- It has sometimes been argued that cer- Congress chinery has created a series of separate tain interest groups need a department to nomic A entities-each handling a separate part of act as their special representative within economic the economic puzzle. Some of these en- the Government. In my view, such an tice, and tities are relatively autonomous units arrangement serves the best interests of more pro within departments. Others are independ- neither the special group nor the general various e ent agencies. But perhaps the most dra- public. Little is gained and much can be tween the matic evidence of our fragmented ap- lost, for example, by treating our farmers those of proach to the economy is the existence or our workers or other groups as if they Departm of four major executive departments are independent participants in our eco- ment, to nomic life. Their problems cannot be ade- and the which handle highly interdependent eco- nomic matters: Commerce, Labor, Agri- quately treated in isolation; their well- economi culture, and Transportation. being is intimately related to the way our stronger This situation can seriously impair gov- entire economy functions. effective ernmental efforts to respond effectively to I would not suggest these reforms if I point th economic challenges. One department, for thought they would in any way result in possibly example, may be concerned with the raw the neglect of farmers, workers, minori- the nev 484 Richard Nixon, 1971 Mar. 25 [116] om ties or any other significant groups within under the following six administrations: t is our country. To the contrary, I propose Business Development, Farms and Agri- to these reforms because I am convinced they culture, Labor Relations and Standards, its will enable us to serve these groups much National Transportation, Social, Eco- ent better. Under my proposals, the new De- nomic, and Technical Information and ar- partment of Economic Affairs would be in International Economics. sys- a much stronger position really to do The new Department of Economic Af- hile something about the wide-ranging factors fairs would include many of the offices ith which influence farm income than is the that are now within the Departments of here- present Department of Agriculture, for Commerce, Labor and Agriculture. A here example. It could do more to meet the large part of the Department of Trans- complex needs of workingmen and women portation would also be relocated here, can than can the present Department of La- including the United States Coast Guard, The bor. It would be able to pull together the Federal Railroad Administration, the ince, a wider range of resources to help mi- St. Lawrence Seaway Development Cor- abor nority businessmen than can the present poration, the National Transportation t, its Department of Commerce. Safety Board, the Transportation Systems ared Federal organization in the economic Center, the Federal Aviation Administra- ition, area has been the target of frequent criti- tion, the Motor Carrier Safety Bureau and cient cism over the years. During the previous most of the National Highway Traffic ared administration alone, two special studies Safety Administration. The Small Busi- ition. of executive organization recommended ness Administration, the Science Informa- ilture that it be substantially altered. I have re- tion Exchange program from the Smith- er in ceived a similar recommendation from sonian Institution, the National Institute y use my Advisory Council on Executive for Occupational Health and Safety from iques Organization. the Department of Health, Education, I am therefore recommending to the and Welfare and the Office of Technology it cer- Congress that a new Department of Eco- Utilization from the National Aeronau- ent to nomic Affairs be established to promote tics and Space Administration would also within economic growth, to foster economic jus- be included in the new Department. ch an tice, and to encourage more efficient and ests of more productive relationships among the OTHER ORGANIZATIONAL REFORMS eneral various elements of our economy and be- can be tween the United States economy and Regrouping functions among depart- armers those of other nations. As this single new ments can do a great deal to enhance if they Department joined the Treasury Depart- the effectiveness of government. It should ir eco- ment, the Council of Economic Advisers be emphasized, however, that regrouping be ade- and the Federal Reserve Board in shaping functions within departments is also a well- economic policy, it would speak with a critical part of my program for executive vay our stronger voice and would offer a more reform. Just as like tasks are grouped effective, more highly integrated view- together within a given department, so ms if I point than four different departments can similar operations should be rationally sult in possibly do at present. The activities of assembled within subordinate units. Such minori- the new Department would be grouped a realignment of functions, in and of 485 [116] Mar. 25 Public Papers of the Presidents itself, would make it much easier for ap- who run the new departments. There is stre pointed officials to manage their agen- no better time to introduce needed pro- wh cies and for both the President and the cedural changes within departments than Di Congress to see that their intentions are a time of structural change among depart- giv carried out. ments. We can reap great benefits if we Toward this same end, I am recom- take advantage of this opportunity by tio mending to the Congress a number of implementing the most advanced tech- bo additional steps for bringing greater man- niques and equipment for such tasks as cei agerial discipline into Government. In the planning and evaluation, data collection, at first place, I am proposing that the De- systematic budgeting, and personnel ha partment Secretary and his office be con- administration. W siderably strengthened so that the man Finally, I would again stress in this ni whom the President appoints to run a de- message-as I have in my discussions of fie partment has both the authority and the revenue sharing-the importance of de- th tools to run it effectively. The Secretary centralizing government activities as or would be given important managerial much as possible. As I have already ob- in discretion that he does not always enjoy served, the consolidation of domestic de- a today, including the ability to appoint partments would da a great deal to fa- ir many key department officials, to delegate cilitate decentralization, since it would authority to them and to withdraw or produce fewer interagency disputes that f change such delegations of authority, and require resolution at higher levels. It is c to marshal and deploy the resources at also true, as many management experts g his command so that he can readily focus have pointed out, that as the reliability a the talent available to him at the point of and scope of information expand at greatest need. higher levels of government, officials can Each of the new Secretaries would be delegate authority to lower levels with provided with a Deputy Secretary and greater confidence that it will be used two Under Secretaries to help him meet well. his responsibilities. In addition, each ma- In addition to the consolidation of func- jor program area within a department tions, I am also proposing a reform of the would be headed by a high-level adminis- field structures of the Federal Govern- trator who would be responsible for ef- ment that would also promote decentrali- fectively managing a particular group of zation. Each Department, for example, related activities. These officials would would appoint a series of Regional Di- be appointed by the President and their rectors who would represent the Secretary appointments would be subject to Senate with respect to all Department activities confirmation. in the field. Planning, coordination and It is my philosophy that we should give the resolution of conflicts could thus be clear assignments to able leaders-and more readily achieved without Washing- then be sure that they are equipped to ton's involvement, since there would be a carry them out. As a part of this same "Secretarial presence" at the regional effort, we should do all we can to give level. Further coordination at lower levels the best new management tools to those of government would be provided by 486 Richard Nixon, 1971 Mar. 25 [116] strengthening the ten Regional Councils normal turnover; no civil servant should which include as members the Regional lose his job as a result of this plan. Directors of various departments in a It is important that these reforms be given area of the country. seen by our civil servants not as a threat In the first months of my administra- to their security but as an opportunity for by tion I moved to establish common regional greater achievement. We have worked boundaries and regional headquarters for hard to bring able people into Govern- as certain domestic departments. I observed ment employment. Executive reorganiza- at that time that the Federal Government tion can help the Nation make even has never given adequate attention to the better use of their talent and their dedica- way in which its departments are orga- tion and it can also make it easier for us nized to carry out their missions in the to attract more men and women of great field. It is now time that we remedied vision and competence into public service this pattern of neglect. Even the best at the Federal level. as organized and best managed departments in Washington cannot serve the people FOCUSING POWER WHERE IT CAN BE adequately if they have to work through USED BEST inadequate field structures. Industry and government both have These proposals for reorganizing the at found that even the largest organizations Federal Government are a natural com- is can be run effectively when they are or- plement to my proposals for revenue shar- ganized according to rational principles ing; there is a sense in which these two and managed according to sound tech- initiatives represent two sides of the same at niques. There is nothing mystical about coin. Both programs can help us decen- in these principles or these techniques; they tralize government, so that more decisions can be used to make the Federal Govern- can be made at levels closer to the people. ment far more effective in a great many More than that, both programs are con- areas. cerned with restoring the general capacity As we consolidate and rationalize of government to meet its responsibilities. Federal functions, as we streamline and On the one hand, through revenue modernize our institutional architecture, sharing, we would give back to the States as we introduce new managerial tech- and localities those functions which belong niques and decentralize Government ac- at the State and local level. To help them tivities, we will give Government the perform those functions more effectively, capacity to operate far more efficiently we would give them more money to spend es than it does today. It will be able to do and more freedom in spending it. At the d more work with fewer mechanisms and same time, however, we must also do all fewer dollars. It will be able to use its we can to help the Federal Government g work force more productively. This could handle as effectively as possible those a mean significant savings for our taxpayers. functions which belong at the Federal I would emphasize, however, that any level. Executive reorganization can help reductions in the Federal work force at- us achieve this end by bringing together by tributable to this proposal would come by related activities which are now frag- 487 [116] Mar. 25 Public Papers of the Presidents mented and scattered. tually every national administration since cums A healthy Federal system is one in the I930S and many needed reforms have also, which we neither disperse power for the resulted. "I? What is now required, however, is a and sake of dispersing it nor concentrate power for the sake of concentrating it. truly comprehensive restructuring of in the Instead, a sound Federal system requires executive organization, one that is com- their us to focus power at that place where it mensurate with the growth of the Nation for u can be used to the greatest public advan- and the expansion of the government. In renev tage. This means that each level of gov- the last twenty years alone our population ernment must be assigned those tasks has increased by one-third and the Fed- which it can do best and must be given eral budget has quintupled. In the last I17 the means for carrying out those two decades, the number of Federal assignments. civilian employees has risen by almost 30 I Kl percent and the domestic programs they mom THE CENTRAL QUESTION administer have multiplied tenfold. Three executive departments and fourteen in- WG.r) Am Ever since the first settlers stepped upon dependent agencies have been tacked on that our shores more than three centuries ago, to the Federal organization chart during not a central question of the American experi- that brief span. mea ence has been: How do we best organize Yet it still is the same basic organiza- also our government to meet the needs of the tion chart that has set the framework of belie people? That was the central question as governmental action for decades. While Con the colonists set up new governments in there have been piecemeal changes, there I a new world. It was the central question has been no fundamental overhaul. Any when they broke from their mother coun- business that grew and changed so much simp try and made a new nation. It was the and yet was so patient with old organiza- expil all central question as they wrote a new Con- tional forms would soon go bankrupt. brin stitution in 1787 and, at each critical The same truth holds in the public realm. and turning point since that time, it has re- Public officials cannot be patient with mai mained a dominant issue in our national outmoded forms when the people have grown so impatient with government. you experience. the In the last forty years, as the Federal Thomas Jefferson once put it this way: E Government has grown in scope and com- "I am certainly not an advocate for fre- Boe plexity, the question of how it should be quent and untried changes in laws and Boe organized has been asked with even constitutions," he wrote, "but laws wo greater intensity and relevance. During and institutions must go hand in hand Th this time, we have moved to formulate with the progress of the human mind. As the responsive answers to this question in an that becomes more developed, more en- cor increasingly systematic manner. Searching lightened, as new discoveries are made, studies of Government management and new truths disclosed, and manners and organization have been made under vir- opinions change with the change of cir- 488 Richard Nixon, 1971 Mar. 29 [119] since cumstances, institutions must advance thus give new life to our common dreams. have also, and keep pace with the times." RICHARD NIXON "Institutions must advance." Jefferson The White House is a and his associates saw that point clearly March 25, 1971 g of in the late 18th century, and the fruit of com- their vision was a new nation. It is now NOTE: On the same day, the White House re- leased a fact sheet on the four proposed lation for us-if our vision matches theirs—to departments. nt. In renew the Government they created and lation Fed- e last I17 Remarks by Telephone to Workers on the Supersonic ederal Transport Program. March 25, 1971 ost 30 I S they KNOW this is a deeply disheartening am counting on you here at Boeing to Three moment for all those of you who have remain a dynamic force in our determined en in- worked so hard and so long to make the effort, even in the face of this defeat for :ed on American SST a reality. And I am sure the SST, to maintain that leadership. during that your disappointment is compounded The reason I fought so hard to keep the not only of uncertainty about what it SST project alive was that I believe ;aniza- means for your own personal future, but deeply that America must remain in the ork of also of distress that a project in which you vanguard of scientific and technological While believed has been turned down by the progress-the kind of progress your team , there Congress. represents, and to which you have been 1. Any I share your disappointment, and I dedicated. Congress action on the SST much simply want to take this opportunity to has come as a severe blow to us all. But ganiza- express to you personally my thanks for I am determined that America must and ikrupt. all that you have done over the years to will continue pushing outward the hori- realm. bring this project so close to completion- zons of the unknown. I am also deter- ,t with and also my determination that the re- mined that we must and will make full à have markable combination of skills and talents use of the most valuable resource we have cret. your team represents should not be lost to as a nation-the skill, the dedication, and is way: the Nation. the imagination of its people, such as you for fre- Each time I fly in Air Force One-a on the SST team, who have made our ad- WS and Boeing plane-I am reminded of the role vances possible in the past and on whom laws Boeing has played in making America the we depend to go forward in the future. 1 hand world's leader in commercial aviation. NOTE: The President spoke at 4:50 p.m. from ind. As Throughout the world, the 707, the 727, the Oval Office at the White House to em- ore en- the 737, and now the giant 747 have be- ployees of the Boeing Aircraft Company in come symbols of America's leadership. I Seattle, Wash., and Wichita, Kans. made, ers and of cir- 489 Services of Mead Data Central, Inc. PAGE 8 19TH STORY of Level 1 printed in FULL format. Copyright (c) 1986 Chicago Tribune Company; Chicago Tribune May 9, 1986, Friday, SPORTS FINAL EDITION SECTION: PERSPECTIVE; Pg. 23; ZONE: C directors LENGTH: 932 words HEADLINE: GOING PRIVATE WITH LEGAL AID BODY: As early as 1971, it was recognized that legal services for the poor should not be a government function. That year a presidential advisory council, the Ash Commission, urged President Richard Nixon to remove such legal services from the auspices of the Office of Economic Opportunity and to organize it as a quasi-government corporation "as a first step toward reprivatization of what has traditionally been a function of the private sector." As a result of this advice, the Legal Services Corp. (LSC) was formed. But 15 years after the Ash Commission report, the LSC budget has swollen from $61.8 million in 1971 to $305.5 million this year, and the goal of privatization is nowhere in sight. Paradoxically, increased government funding and involvement have come when private-sector financing alternatives have been flourishing. For one thing, direct outside funding for LSC recipients reached $106 million in 1985, up from $47 million in 1982. Some of this money is from other federal government programs, some from states and localities. However, much of it is also from private contributions such as the United Way and other local fund- raising agencies. In addition, pro bono publico (for the good of the community) services by attorneys is documented at a monetary equivalent of at least half the federal budget for the Legal Services Corp. Interest on Lawyer Trust Accounts programs (IOLTA funds) have been a significant source of money for legal services to the poor in recent years. These funds are generated from interest earned on trust funds handled by private attorneys for their clients. The amounts involved are too small or are not held long enough to draw interest in excess of service charges if held in separate accounts. Last year IOLTA funds came to nearly $27 million. At a time when the failure of bureaucratic structures is being documented in many government programs, the Legal Services Corp. must be scrutinized closely. Federal funding of legal services is meant, not to support lawyers, but to resolve the legal problems of poor people. Many times, the solution need not even involve attorneys. One such solution, Alternative Dispute Resolution, has boomed in the last 15 years. AS of 1985 there were 475 full-time dispute-resolution mediators, 293 part-time ones and 5,985 program volunteers in more than 380 centers in 33 states. The average cost of a LSC case in 1984 was $182.50 while that of an average Alternative Dispute Resolution case was $36. And the latter gives a client a substantial role in resolving his own dispute, unlike the attorney- centered adversarial LSC system. LEXIS`NEXIS`LEXIS`NEXIS Mead Data Central, Inc. PAGE 9 (c) 1986 Chicago Tribune, May 9, 1986 In addition, the legal system has become far more accessible to ordinary people. In 1964, when federal legal services were institutionalized within the Office of Economic Opportunity, there were about 300,000 lawyers nationwide; today there are more than 660,000, with starting salaries for recent attorney graduates as low as $13,000 in some states. Since then, too, we have seen the advent of attorney advertising, self-help books and streamlined small claims procedures. Technological advances (word processors and centralized data banks, for example) and the loosening of restrictions on advertising have resulted in increased service at lower prices from firms providing legal services to middle- and lower-income people. High-volume legal clinics offer cut-rate prices and can have the effect of forcing competitors to do likewise. Though market pressures have forced prices down in the legal profession generally, the bureaucratic structure of the Legal Services Corp. has allowed average case costs to rise dramatically. Since 1982, almost all increases in federal appropriations for legal services have been in higher salaries and benefits for staff attorneys while the number of case closures has remained static. Benefits alone have risen 44 percent. The lawyers, many unionized, lobby Congress to prevent a change in the structure of LSC and to forbid the use of more cost-effective modes of delivery. The client is thus made a pawn in the justification of jobs for the lawyers. The practice of law in the United States is a state-sanctioned privilege. With this privilege comes a professional responsibility to provide legal services to those who cannot afford legal fees. Many attorneys take this responsibility seriously. Before federal funding for legal services, voluntary legal aid societies provided community-based structures to ensure access to the system. Even now, the greatest non-LSC contribution to legal aid for the poor comes from pro bono work of individual lawyers and firms. Fifteen years ago, the Ash Commission told President Nixon that "while government support is still necessary (for Legal Services), the need is not as strong today. The program has generated considerable interest and support in the private sector." This is more the case now than ever. Yet, despite the boom in non-LSC legal services for the poor, Legal Services lawyers have year after year demanded and often received greater government funding. The growth of alternative services and financial resources has been ignored; instead, there has been a growing entrenchment of LSC-funded attorneys. In this, the first year of the Gramm-Rudman cuts, we have one more reason to review the budget of the Legal Services Corp. with an eye toward releasing its lawyers into the private sector, reintegrating indigent clients into the civil justice system and allowing the Legal Services Corp. to get on the track of progress. TERMS: FEDERAL; COURT; AGENCY; BUDGET; COMPARISON; PROFILE; ANALYSIS LEXIS'N XIS'LEXIST XIS® SENT BY:Xerox Telecopier 7020 ; 4- 2-92 ; 1:12PM ; 4562983-> 2024566218:# 2 APR 2 '92 12:18 FROM REPUBLICAN LEADER-HOR PAGE. 002 3/31/92 MICHEL REFORM BILL SECTION-BY-SECTION TITLE I CHIEF FINANCIAL OFFICER, GENERAL COUNSEL, AND OTHER REFORMS Section 101 Amendments relating to the Elections of officers of the House. Eliminates the office of the Doorkeeper and the Postmaster. The Sergeant-at-Arms should be a nationally respected law enforcement professional. Section 102 Amendments relating to the duties of the Clerk Removes various financial responsibilities from the Clerk and gives them to the new Chief Financial Officer. Duties of the Doorkeeper are transferred to the Clerk (announcing messengers from the President and Senate, superintend the House document room. cloakrooms of the House, telephone service, and supervise pages). Section 103 Amendment relating to the duties of the Sergeant-at- Arms Removes accounts and pay responsibilities from the Sergeant- at-Arms and transfers those responsibilities to the Chief Financial Officer. Section 104 Chief Financial Officer Creates the office of Chief Financial Officer. The Chief Financial Officer is elected by a two-thirds vote of the House. Chief Financial Officer shall be responsible for reviewing and analyzing the financial operations of the House. including the efficiencies of its operations. the functions of its offices, and the cost- effectiveness of its operations, and providing periodic recommendations to the Speaker and Minority Leader respecting these operations. SENT BY:Xerox Telecopier 7020 ; 4- 2-92 ; 1:13PM ; 4562983- 2024566218:# 3 APR 2 '82 12:18 FROM REPUBLICAN LEADER-HOR PAGE. 003 3/31/92 The Chief Financial Officer shall conduct periodic audits of the financial operations of the House, keep accounts for the pay and mileage of Members. and carry out all other financial functions and operations that were exercised by the Clerk. The Chief Financial Officer shall superintend the post office in the Capitol (he may contract with the U.S. Postal Service to run the operations). Section 106 Oversight Reform By March 1 of the first session of any Congress, each committee shall adopt and submit to the Committee on House Administration an oversight plan for that Congress. Funding will not be provided to committees until they have submitted their oversight plans. Section 107 Bipartisan Representation on Committee on House Administration Committee on House Administration would have equal representation of majority party and minority party members. Section 108 Equality of Majority and Minority Party Representation on the Subcommittee on Legislative Appropriations Section 109 Task Force on Reform of the House of Representatives Creates a 10 member Task Force (5 Members appointed upon the recommendation of the Majority Leader and 5 appointed upon the recommendation of the Minority Leader) to propose institutional reforms necessary to restoring public confidence in the House of Representatives. Section 110 Limitation on Reprogramming of Funds in the House No funds may be reprogrammed without the written approval of the Speaker and the Minority Leader. Section 111 Limitation on Initial House of Representatives Appropriations for Fiscal Year 1993 SENT BY:Xerox Telecopier 7020 ; 4- 2-92 1:13PM ; 4562983- 2024566218:# 4 APR 2 '92 12:19 FROM REPUBLICAN LEADER-HOR PAGE. 004 3/31/92 The Fiscal Year 1993 Legislative Branch appropriation bill for the House shall expire on March 31, 1993. Section 112 Inspector General The Speaker and Minority Leader appoint an Inspector General who shall conduct audits and investigations. SUBTITLE B-Office of the General Counsel Section 122 Accountability The Office shall be directly accountable to the Leadership Group composed of the Speaker, Majority Leader, Minority Leader. Majority Whip, Minority Whip, the Chairman and Ranking Minority Member of the Committee on the Judiciary, and two members appointed upon the recommendation of the majority and minority leaders. Section 123 Purpose and Policy The purpose of the Office is to provide legal assistance to Members. officers. and employees of the House on matters directly related to their duties. Section 124 Specific Approval Requirements The Office shall seek prior approvel by resolution of the House regarding entering an appearance before any court, filing a brief in any court, or representing any member of the House in any contested matter that will result in formal legal proceedings. The Office must seek the approval of the Leadership Group where preparation of any legal memorandum or other legal research which requires more than four hours of preparation time. In carrying out any action where the matter affects an area of responsibility committed to another office. officer, or employee. the Office shall consult and coordinate such action with the office. officer or employee. Section 125 General Counsel SENT BY:Xerox Telecopier 7020 ; 4- 2-92 ; 1:14PM : 4562983- 2024566218:# 5 APR 2 '32 12:19 FROM REPUBLICAN LEADER-HOR PAGE, 009 3/31/92 The General Counsel shall be appointed by the Speaker from among individuals recommended by the Majority Leader and the Minority Leader, without regard to political affiliation. The General Counsel shall serve at the pleasure of the Leadership Group. Section 126 Staff The General Counsel may employ such attorneys and other employees as may be necessary for the performance of the functions of the Office. At least one attorney in the Office shall be appointed upon the recommendation of the minority leader. TITLE II LEGISLATIVE REFORM Section 201 House Scheduling Reform Requires the Speaker to announce the legislative program for the year including target dates for consideration of specified major budgetary, authorization, and appropriation bills. The Speaker must also indicate weeks during which the House will be in session, weeks set adjournment. aside for District Work Periods and the target date for Section 202 Treatment of Vetoed Bills Immediately after the receipt of a bill returned by the President, the Speaker shall state the question on the reconsideration of that bill, without intervening motion, and the House shall proceed to vote on the reconsideration of that bull. Section 203 Multiple Referral of Legislation Ends joint referrals. The Speaker must designate the committee of principal jurisdiction. Section 204 Presentment of Bills to the Fresident President. Sets a time certain (10 days) for bills to be presented to the SENT BY:Xerox Telecopier 7020 ; 4- 2-92 ; 1:15PM ; 4562983- 2024566218:# 6 APR 2 '92 12:20 FROM REPUBLICAN LEADER-HOR PAGE, 006 3/31/92 Section 205 Committee Ratios The membership of each committee, subcommittee, must reflect the ratio of majority to minority party Members of the House at the beginning of the Congress. Section 206 Subcommittee Limits Each standing committee that has over 20 members may establish at least four subcommittees but not more than six. Section 207 Proxy Voting Ban Eliminates proxy voting in committee and subcommittees. Section 208 Open Meetings Meetings are to be open unless "because disclosure of matters to be considered would endanger national security, would tend to defame, degrade, or incriminate any person or would otherwise violate any law or rule of the House." Section 209 Majority Quorums A majority of the members of each committee or subcommittee shall constitute a quorum for the transaction of any business, including the markup of legislation. Section 210 Report Accountability On a roll call vote to report a bill or resolution, the names of those voting for and against. are to be included in the committee report on the measure. Section 211 Committee Documents Committee documents are to either be approved by the committee or subcommittee prior to public distribution with appropriate opportunity for minority views and supplemental information, or else the document must contain a disclaimer that the members." document "may not necessarily reflect the views of (the committee] SENT BY:Xerox Telecopier 7020 ; 4- 2-92 ; 1:15PM ; 4562983- 2024566218:# 7 APR 2 '92 12:20 FROM REPUBLICAN LEADER-HOR PAGE. 007 3/31/92 Section 212 Came Day Consideration of Rules Committee Reports There must be a 2/3 vote for same calendar day consideration of Rules Committee reports. or subsequent calendar day of the same legislative day. Section 213 Permitting Instructions in Motions to Recommit Prohibits any rule or order which would prevent the motion to recommit from being made as provided by clause 4 of rule XVI, including a motion with amendatory instructions. Section 214 Restrictive Rules Idmitation A bill could not be considered under a closed rule unless the Chairman of the Rules Committee announced on the House floor four legislative days prior that less than an open amendment process might be recommended by the Committee. Section 215 Limitation on Self-Executing Rules Self-executing rules would have to be adopted by a 2/3 vote. Section 216 Budget Waiver Limitation It will not be in order to consider any resolution reported from the Committee on Rules which waives any specified provision of the Budget Act unless the committee report includes an explanation of. and justification for, any such waiver. an estimated cost of the provisions to which the waiver applies. Section 217 Committee Staffing Reduces committee staffing for the 103rd Congress by 50%. Section 218 Commemorative Calendar Creates a Commemorative Calendar. Objections by two or more Members may remove the bill from the Calendar. SENT BY:Xerox Telecopier 7020 ; 4- 2-92 ; 1:16PM ; 4562983-> 2024566218:# 8 APR 2 '92 12:21 FROM REPUBLICAN LEADER-HOR PAGE. 008 3/31/92 Section 219 Automatic Roll Call Votes On any appropriation bill, or other measure providing revenue. or adjusting Members pay. the year and nays will be considered ordered. Section 220 Appropriation Reforms A continuing appropriations bill shall not exceed 30 days, shall reflect the lesser amount of the House passed. Senate passed or conference agreement or enacted for the preceding fiscal year. Such bill must contain a Bat of all appropriations contained in the bill for any expenditure not previously authorized by law. A 3/5 vote is required to waive the provisions of clause 2 of rule XXI against the consideration of any continuing appropriation measure. Section 221 Reconciliation Limitation A reconciliation bill shall not contain provisions which are not related to achieving the purposes of the directives to the committees. Amendments which achieve greater savings than those directed of a committee shall be made in order. Section 222 Authorization Reporting Deadline It will not be in order to consider any bill or joint resolution which directly or indirectly authorizes enactment of new budget authority for a fiscal year unless that bill or joint resolution is reported in the House on or before May 15. Section 223 Fledge of Allegiance The second order of business shall be the pledge of allegiance. Section 224 Suspension of the Rules The Chairman of the committee of jurisdiction must request the measure be considered under suspension of the rules. Any bill which authorizes over $50,000,000 in any fiscal year shall not be made in order under suspension of the rules. Section 225 Discharge Motion SENT BY:Xerox Telecopier 7020 ; 4- 2-92 ; 1:18PM ; 4562983- 2024566218:#10 APR 2 '32 12:22 FROM REPUBLICAN LEADER-HOR PAGE. 010 3/31/92 Section ass Elimination of Certain Select Committees and Children. Youth and Families. Eliminates the Select Committees on Aging, Hunger, Narcotics Section 233 Application Congress of Information Disclosure Requirements to Brings Congress under the Freedom of Information Act. Section 234 Limitation on the Duration of Payments of Expenses of Former Speakers of the House or Representatives more than three years. Former Speakers are authorized three staff positions for no Section 235 Prohibition on Franked Mass Mailings by Members Outside their Congressional Districts Section 236 Requirement that Legislation Adjusting Pay for Members of Congress be Considered Separately Section 237 Legislative Eranch Appropriations to be for One Year Only Section 238 One Attorney in the Office of the Parliamentarian to be Appointed Upon the Recommendation of the Minority Leader SENT BY:Xerox Telecopier 7020 ; 4- 2-92 ; 1:17PM ; 4562983- 2024566218:# 9 APR 2 '92 12:21 FROM REPUBLICAN LEADER-HOR PAGE. 009 3/31/92 When 100 Members have signed the motion to discharge. the Clerk must print in the Record the names of Members signing the motion. Section 226 Inclusion of Views with Conference Reports Any conferee shall have three calendar days to file supplemental or minority views. Section 227 Intelligence Committee Oath Each member of the Intelligence Committee shall take an oath not to disclose any classified information. Section 228 Enhanced Rescission Authority The Committee on Rules and the Committee on Government Operations shall report legislation granting the President enhanced rescission authority. Such legislation shall provide that any such budget authority shall be considered to be permanently canceled unless a joint resolution disapproving such rescission is enacted within 45 calender days. Section 229 Biennial Budget Appropriations Process Committee on Rules is directed to conduct a complete and thorough study of a biennial budget and appropriation process. Section 330 Applicability of Certain Laws to the House Legislation must be reported to the House to implement: the National Labor Relations Act; the Occupational Safety Act and Health Act; the Equal Pay Act of 1963; the Age Discrimination in Employment Act of 1967: Section 552 of title 5, United States Code (Freedom of Information Act): Section 552a of title 5 (Privacy Act of 1974); Title VII of the Civil Rights Act of 1964: Chapter 39 of title 28 (independent counsel). Section 251 Equitable Committee Staff Ratios The ratio of majority party to minority party staff positions shall reflect the ratio of majority party to minority party Members of the House. THE WHITE HOUSE Demarest/Aarhus Draft #4 WASHINGTON Reform PRESIDENTIAL REMARKS AT OLD HOUSE CHAMBER PHILADELPHIA, PA. APRIL 3, 1992 pres.of Thank you for that kind introduction. [ACKNOWLEDGEMENTS] Today, I would rather be in Philadelphia. Old Congress Hall is home to great ideas and great debate. In this very room, pivotal and profound discussions occurred -- setting in motion a grand experiment in man's ability to chart his own future. The vision of the Founding Fathers may still be hard for us to fully comprehend. But if you really think about it, their goals were not much different than ours. They wanted their new country to prosper -- and they knew intuitively that the road to prosperity was freedom. They believed in the fundamentals -- in the inherent strength of faith and family -- and they were determined to preserve them. They wanted the citizens of our young nation to live in peace -- safe and secure from threats at home and abroad. It took a revolution to achieve their vision - - and it is our duty to preserve it. They say when British General Cornwallis surrendered to Washington at Yorktown in 1781, his troops marched to the tune, "The World Turned Upside Down." It was a profoundly simple recognition that an old world order was ending and a new one beginning. Now, more than two hundred years later, we are again in the midst of great change. Democracy and freedom once again have THE WHITE HOUSE WASHINGTON turned the world upside down. America once again championed a great worldwide movement. We stood firm for our principles through some very difficult times. We did indeed change the world. Now, as you have heard me say, if we could change the world, we can change America. Henry Luce called the 20th century the American Century. In a world more driven by economic competition than ever before, we must now meet five great challenges to ensure that the next century is also the American Century. First, our children must develop good character and values so they can be educated adults -- literate and drug-free -- motivated to make learning a lifelong pursuit. We must dramatically change our education system -- literally revolutionize it. Our America 2000 education initiative means top-to-bottom educational reform. Second, our people must have a sense of well-being about their physical health. My health care proposal guarantees access to the finest health care system in the world, and keeps that care affordable for all our citizens. Next, our civil justice system must do what it was designed to do: dispense justice for all. Eighteen million lawsuits a year are choking us -- costing us billions of dollars -- and putting a tremendous drag on our civility and our economy. If Congress passes my Access to Justice Act, this too can change. And in the next century, economic competition, as well as economic opportunity will come from beyond our borders. That's why we have an aggressive pro-growth trade policy. It demands THE WHITE HOUSE WASHINGTON more open foreign markets for quality American goods and services 862 5800 to sustain and create American jobs. Finally, if we are to change America we must change the way government works. That is what I will address today. G.K. Disouzas D'Sliberal Educ. Chesterton said, "there can be no talk of re-form, without talk of form". This has been amply demonstrated in just the last decade as one institution after another has been challenged -- forced to take a hard look within itself, make needed improvements, and act to make the institution live up to its principles. That is the process called reform. To ensure their competitive edge, businesses launch reforms geared to quality. Then, by measuring performance, they improve performance. Often it's not flashy -- the return to old values and standards like "built to last a lifetime", or "service with a smile." Competition works -- the proof? Today American products are quantifiably better than just a few years ago. Reform has improved performance in our military. In the face of tighter budgets, we've cut the fat, gotten leaner and smarter. Desert Storm proved it. The drive for excellence has influenced almost every other institution, from state and local government to trade associations and unions. Yet, the federal government is a glaring hold-out. It resists reform and protects a failed status quo -- even in the face of an unambiguous need for change. This is not about barber shops or gymnasium privileges or parking spaces. It is not about perks. It is about the governmental process, and its potential THE WHITE HOUSE WASHINGTON to help or hinder the public good. It is about big things -- major changes to make government more responsive. It is about the changes that are sweeping the rest of the country but are not being made in Washington. The most recent proof that we have a major problem was the inability of Congress to rise to the challenge of helping our economy. Instead it reverted to form -- trying to raise taxes and increase government spending. If it cannot address a straightforward short-term proposal to stimulate the economy, how can it possibly deal with the more complex issues like the badly needed reforms of our education, health care and legal systems? five challenges I proposed earlier? If we are to reform education, health care, our legal system -- if we are to reduce red tape and regulation, make our country competitive, get this horrendous deficit down, we must reform the Congressional process itself, and make it responsive to our country's real needs. The growth of big government has diminished the role of Congress from policy-making to program-making. Promulgating and protecting more programs sets in motion a perpetual cycle of congressional support for more unnecessary spending -- creating bigger and even less responsive bureaucracies. Then, by servicing the needs of program recipients, Congressional staffs help to ensure members' re-election and a continuation of business as usual. Beyond that, Congress routinely exempts itself from the laws it imposes on the rest of the nation -- laws like the Civil Rights Act of 1964 or the Privacy Act. 5 Prophetically, the Founding Fathers warned us about these dangers. Federalist paper #57 asserts that elected officials, "can make no law which will not have its full operation on themselves and their friends, as well as on the great mass of the society." It also endorses term limits to ensure "proper responsibility to the people. " Federalist Paper #52 argued that permanent majorities are dangerously undemocratic. James Madison would be appalled to hear that 98% of Congressmen who seek re- election are in fact re-elected -- that one party, the Democrats, has controlled the House 56 out of the last 60 years. That means self-perpetuating staffs and a bureaucracy beholden to one set of leaders. The bank and post office scandals are the result of one-party control -- one party's lack of supervision, lack of new blood, and lack of change. One-party rule is a big part of the problem, but by no means all of it. We have had divided government before, sometimes during periods of great crisis. Each time we have worked together in good faith to meet those challenges. The larger issue is the systemic problem of Congress -- the sticky web of 284 Congressional Committees and Subcommittees, the almost 40,000 legislative branch employees and staff, $2.5 billion of taxpayer financing, overlaid with a $117 million re- election war chest for incumbents in special-interest campaign contributions, and millions more in special-interest influence. None of this promotes reform and change. Rather, it aggressively protects the status quo. Talk to conscientious 6 Senators like Pennsylvania's own Arlen Specter. Talk to retiring members, many of them dedicated people like Senator Warren Rudman of New Hampshire, and you will hear the frustration. When asked about the continuing spectre of huge budget deficits, he issued this indictment of the system, "the fact is that we are unable, institutionally, to do what has to be done. We are literally not watching the fiddler fiddle while Rome burns; we are watching the entire orchestra." Senator Rudman knows the biggest threat to future job creation is deficit spending and the current Congressional structure is not capable of addressing that threat. He knows that Americans are generous -- people willing to do what is necessary to make this country better. But there is a mismatch between their willingness to help and their skepticism about Congress. They just don't trust it to use their hard-earned tax dollars wisely. Today government is a $1.5 trillion enterprise. But people in Washington frequently forget that the taxpayer is the original investor, customer, shareholder, and board member all rolled into one. When folks in government forget that, they issue nettlesome regulations. Those regulations increase the cost of doing business, but worse, they don't really solve the problems they were designed to solve. That's why we're trying to change the regulatory process. When government forgets who is really the boss -- the American taxpayer -- it becomes insulated and unresponsive. It 7 is almost impossible to adequately reward success, much less punish failure. Talk to the hardworking people in career government service -- many will say the same thing -- they are frustrated too. The system, which may have been good for its time, now must change, and it won't be easy. That's because this kind of government doesn't just happen. Congress creates these giant centralized bureaucracies, lays down the mandates, funds the programs. Then, it is the Congress that protects them, harasses them, investigates them, micro-manages them, and ultimately perpetuates them. Programs that have outlived their function rarely outlive their funding. With a Congressional Subcommittee Chairman as godparent, they become stepchildren of the Congress. Some 107 different Congressional committees and subcommittees claim some degree of oversight responsibility for the Department of Defense. Seventy-four compete for jurisdiction over the War on Drugs. Just this week, after being reported from one committee in the House, our energy bill to make us more energy-efficient and energy-independent was referred to no less than eight additional House committees. It should be no surprise that it takes so long to get anything done. When the Secretary of Agriculture and his top staff have to testify in fourteen hearings in one day, think of the time and. resources that takes. Think of the thousands of hours spent by the Executive Branch to fulfill the thousands of Congressional demands for testimony, and government reports. 8 Democratic Senator David Boren summed it up by saying, "no one doubts that Congress is in trouble as an institution." That's why I support his efforts to trim the overgrown thicket of committees and subcommittees which now paralyzes the Congress. Congress has legitimate oversight responsibilities of course. And I know that the federal government cannot be run like IBM or the local convenience store, but we can improve its performance, and we must. What merely hampered us in the past, will paralyze us in the future. Our ability to compete demands we make these reforms, not just of Congress but of the federal bureaucracy as well. It means emphasizing the building blocks of a more responsive government by relying on what works: choice, competition, decentralization. But let me be clear, we cannot reform the executive branch without first reforming the Congress. Taken together the following actions will help make government work for the people. First, Congress must govern itself by the laws it imposes on the public. No more special treatment. Like age, race, sex and disability discrimination laws. Congress should also submit to the laws it imposes on the Executive Branch -- like conflict of interest laws or the Independent Counsel Law or the Hatch Act. I will propose legislation to end such special treatment for Congress [[ today/by next week 11. Further, I will veto any future legislation that extends such special treatment to the Congress. 9 Second, Congression should reform its committee system. I support the Boren-Domenici committee reform bill which sets up a bipartisan group to evaluate Congressional operations. The bill requires Congress to implement all of the groups recommendations. It is a good beginning, but real reform is still on the back burner. The American people must turn up the heat. Third, sweeping campaign finance reform. Full disclosure of assets, liabilities, and compensation is a key element of reform. I am not required to disclose my income tax returns but for twelve years I have done just that -- I believe it is the proper thing to do. So I have called on Congress to pass tough new full disclosure laws regarding campaign financing. Beyond that, we must totally eliminate special-interest Political Action Committees and put limits on so-called "leadership PACs. " I proposed ways to increase the legitimate role of our political parties, reduce the influence of special interests, and decrease the time candidates and incumbents spend fund-raising. And let me say it straight out: federal funding of Congressional elections would only worsen the problem. Campaign finance reform is stalled on Capitol Hill, but the time for action is long past -- we must clean up our election system. Fourth, spending reform. I have already proposed to freeze domestic discretionary spending and federal non-defense employment next year. I have proposed biennial budgets. I have proposed to curb as well the growth of mandatory programs without touching Social Security. This proposal alone would save [[$390 10 billion in XX years] The American people should demand that the Congress pass the same measure that 43 governors have: the line-item veto. They should demand a Balanced Budget Constitutional Amendment to phase in more spending discipline on the Congress and the Executive Branch. In the absence of those important measures I will continue to use whatever means are legally at my disposal, including the line-item recission, to protect the taxpayer from the spending excesses of Congress. And I will oppose any attempt by the Congress to dismantle the only defense the taxpayer has against Congressional overspending -- the budget caps implemented in the 1990 Budget Act. Fifth, regulatory reform. We put a ninety-day moratorium on new government regulations. We are revising and eliminating regulations that impede our ability to compete, and we are accelerating regulations that enhance our competitive edge. Since I announced the moratorium on January 28th, new regulatory requirements have already been reduced by over 30 percent. As our review continues we will announce further steps to reduce the burden of unnecessary regulations. Sixth, we must limit Congressional terms. There are good people in Congress -- I think of your own Senator Arlen Specter, whom I enthusiastically support for re-election. But it is time to address the Congress of the future. The cycle of virtually guaranteed re-election through the built-in advantages of incumbency must be broken. Our Founding Fathers never considered elected government service to be a career. I believe Senators 11 should be limited to two terms, and Representatives, limited to six terms. As President my terms are limited, the same rule should apply to members of Congress. Our first concern should be the country, not a lifetime political career. This brings me to my final point. Certainly, governing today is complex and time-consuming. But not so many years ago, representing the people back home was a part-time Washington job. Somehow Members managed to finish their work and adjourn just before the hot, humid Washington D.C. summers. Air conditioning changed all this, and now, thanks to modern technology, Congress sits year-round. Members of the House and Senate are now permanent Washingtonians, but tourists in their own home states. We do not need a career Congress -- we need a citizen Congress. To borrow a line from former Senate Majority Leader Howard Baker "they ought to be living in America and visiting Washington." He was right. He knew that the overwhelming majority of state legislatures are able to do their work in yearly sessions of less than six months -- some as short as three months every two years. With a streamlined committee structure, a leaner staff, Members' time organized around legislation rather than re- election, and better discipline on how they spend the people's money, Congress could return to what the founders envisioned as a government truly close to the people. I suggest that in the future Congress make a firm commitment to finish the people's 12 business by Memorial Day, so members can return home and truly stay in touch with the people. Change is sweeping America, just as it is sweeping the world. As in the first days of our new nation, we must change an unresponsive government. The reforms I've outlined today can help renew our faith in government -- we cannot stop with Congressional process -- we must reform the federal bureaucracy as well. I will have more to say on that in the near futrue. But today our mission is to begin restoring the principles of our Founders, and guaranteeing for our children a new American Century. The choice is clear. On one side stand the defenders of the status quo. On the other: the forces of change. We must make the choice worthy of the men who met here -- and began the world's only permanent revolution. Now that we've changed the world, we must make the choice to change America. Thank you, and may God bless the United States of America. # # # Independence Ms- MadhaAikens, Supt. of Park of Brian Guthrie, Pres. nut Federalist Soc. of Phila. Joseph Ciccippio and Fed. Society (100) & civic leaders (25-30) Cocpres., Bank Pres. (beach/bar/academic) 10:30-11am (remarks) Document No. 318378 WHITE HOUSE STAFFING MEMORANDUM 4/1/92 DATE: ACTION/CONCURRENCE/COMMENT DUE BY: PRESIDENTIAL REMARKS: AT OLD HOUSE CHAMBER, PHILADELPHIA, PA SUBJECT: ACTION FYI ACTION FYI VICE PRESIDENT HORNER SKINNER MCBRIDE SCOWCROFT MOORE DARMAN PETERSMEYER BRADY PORTER BROMLEY ROGICH CALIO ROLLINS DEMAREST SMITH FITZWATER YEUTTER GRAY FINDLAY KAUFMAN HOLIDAY McGROART REMARKS: The attached remarks have been forwarded to the President. RESPONSE: PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 THE WHITE HOUSE WASHINGTON April 1, 1992 C2 APR : I P3:44 MEMORANDUM FOR THE PRESIDENT && FROM: DAVID DEMAREST SUBJECT: FRIDAY'S REFORM SPEECH Attached is a draft for your review. Your changes have been incorporated, as have additional changes from senior staff members. Demarest/Aarhus Draft #3 Reform PRESIDENTIAL REMARKS AT OLD HOUSE CHAMBER PHILADELPHIA, PA. APRIL 3, 1992 Thank you for that kind introduction. [ACKNOWLEDGEMENTS] Today, I would rather be in Philadelphia. Old Congress Hall is home to great ideas and great debate. In this very room, pivotal and profound discussions occurred -- setting in motion a grand experiment in man's ability to chart his own future. The vision of the Founding Fathers may still be hard for us to fully comprehend. But if you really think about it, their goals were not much different than ours -- they wanted their new country to prosper -- and they knew intuitively that the road to prosperity was freedom. They believed in the fundamentals -- in the inherent strength of faith and family -- and they were determined to preserve them. They wanted the citizens of our young nation to live in peace -- safe and secure from threats at home and abroad. It took a revolution to achieve their vision - - and it is our duty to preserve it. was'sick Surrend He didn't He When British General Cornwallis ,troops surrendered at Yorktown in the bandplayed 1781, he had his band play "The World Turned Upside Down", as his Sent else place. inhis someone troops marched before Washington's Continental Army. It was a profoundly simple realization that an old world order was coming to a close and a new order was beginning. Now, more than two hundred years later, we are again in the midst of great change. Democracy and freedom once again have 2 turned the world upside down. America once again stood at the forefront of a great worldwide movement. We stood firm for our principles through some very difficult times. We changed the world, and we stand upon a new threshold. Now, as you have heard me say, if we could change the world, we can change America. Henry Luce called the 20th century the American Century. In a world more driven by economic competition than ever before, we must now meet five great challenges, if we are to ensure that the next century is also the American Century. First, our children must develop good character and values so they can be educated adults -- literate and drug-free -- motivated to make learning a lifelong pursuit. We must dramatically change our education system -- literally revolutionize it. Our America 2000 education initiative means top-to-bottom educational reform. Second, our people must have a sense of well-being about their physical health. My health care proposal guarantees access to the finest health care system in the world, and keeps that care affordable for all our citizens. Next, our civil justice system must do what it was designed to do: dispense justice for all. Eighteen million lawsuits a year are choking us -- costing us billions of dollars -- and putting a tremendous drag on our civility and our economy. This too must change. Congress should pass my Access to Justice Act. And in the next century, economic competition, as well as economic opportunity will come from beyond our borders. That's why we have an aggressive pro-growth trade policy. It demands 3 more open foreign markets for quality American goods and services to sustain and create American jobs. Finally, if we are to change America we must change Source? couldn't find. government. That is what I will address today. G.K. Chesterton said, "there can be no talk of re-form, without talk of form". find. This has been amply demonstrated in just the last decade as one institution after another has been challenged -- forced to take a hard look within itself, make needed improvements, and act to make the institution live up to its principles. That is the process called reform. To ensure their competitive edge, businesses launch reforms geared to quality. Then, by measuring performance, they improve performance. Often it's not flashy -- the return to old values and standards like "built to last a lifetime", or "the customer's always right." Competition works -- the proof? Today American products are quantifiably better than just a few years ago. Reform has improved performance our military. In the face of tighter budgets, we've cut the fat, gotten leaner and smarter. Desert Storm proved it. The drive for excellence has influenced almost every other institution, from state and local government to trade associations and unions. Yet, the federal government is a glaring hold-out. It has resisted reform and protects a failed status quo -- even in the face of an unambiguous need for change. This is not about barber shops or gymnasium privileges or parking spaces. It is not about perks. It is about political power, and its potential to help or 4 hinder the public good. It is about big things -- major changes to make government more responsive. It is about the changes that are sweeping the rest of the country but have stopped cold at the Capital Beltway. The most recent proof was the inability of Congress to rise to the challenge of getting our economy rolling again without reverting to form -- higher taxes and bigger government. This is the Congress we have come to know -- inefficient, ineffective, unaccountable, and frankly, out of touch. If it cannot address a straightforward short-term proposal to stimulate the economy, how can it possibly deal with the more complex issues like the five challenges I proposed earlier? Over and over, it has stonewalled solutions we have proposed. If we are to reform education, health care, our legal system -- if we are to reduce red tape and regulation, make our country competitive, we must reform the Congress and make it responsive to change. The growth of big government has changed the role of Congress from policymaking to pork-barreling -- changed the Congressional office to a Campaign and Constituent office. This sets in motion a perpetual cycle of congressional support for more unnecessary spending -- creating bigger and even less responsive bureaucracies. Then, the Members and their powerful staffs become go-betweens amidst constituents and the executive agencies -- expediting benefits and procuring more pork -- thus ensuring re-election and a continuation of business as usual. 5 Beyond that, Congress routinely exempts itself from the laws it imposes on the rest of the nation. Prophetically, the Founding Fathers warned us about these dangers. Federalist paper #57 asserts that elected officials, ok "can make no law which will not have its full operation on themselves and their friends, as well as on the great mass of the society." Federalist Paper #52 argued that permanent majorities are dangerously undemocratic. James Madison would be appalled to hear that 98% of Congressmen who seek re-election are in fact re- elected -- that one party, the Democrats, has controlled the House 56 out of the last 60 years. That means self-perpetuating staffs and a bureaucracy beholden to one set of leaders. The bank and post office scandals are the result of one party control -- one party's lack of supervision, lack of new blood, and lack of change. One-party rule is a big part of the problem, but by no means all of it. We have had divided government before, sometimes during periods of great crisis. Each time we have worked together in good faith to meet those challenges. The larger issue is the systemic problem of Congress -- the sticky web of 284 Congressional Committees and Subcommittees, the almost 40,000 legislative branch employees and staff, $2.5 billion of taxpayer financing, overlaid with a $117 million re- election war chest for incumbents in special-interest campaign contributions, and millions more in special-interest influence. 6 None of this promotes reform and change. Rather, it aggressively protects the status quo. Talk to retiring members, many of them dedicated people like Senator Warren Rudman of New Hampshire, and you will hear the frustration. When asked about the continuing spectre of huge budget deficits, he issued this indictment of the system, "the fact is that we are unable, institutionally, to do what has to be done. We are literally not watching the fiddler fiddle while Rome burns; we are watching the entire orchestra." " He knows that Americans are generous -- people willing to do what is necessary to make this country better. But there is a mismatch between their willingness to help and their skepticism about Congress. They just don't trust it to use their hard- earned tax dollars wisely. So when taxpayer money goes for outlandish pork-barrel projects, or mass mailings that are little more than thinly veiled re-election devices, people get angry. In the Senate, David Mason, eight percent of the out-going mail is for answering voters. The rest is unsolicited "reports" to the people. Maybe it's small potatoes to the Congress, but the public knows P.R. when it sees it. They know it adds up to real money -- their money, and it is time to put a stop to this charade. Today government is a $1.5 trillion enterprise. But people in Washington frequently forget that the taxpayer is the original investor, customer, shareholder, and board member all rolled into one. When folks in government forget that, they 7 issue nettlesome regulations. Those regulations increase the cost of doing business, but worse, they don't really solve the problems they were designed to solve. That's why we're trying to change the regulatory process. When government forgets who is really the boss -- the American taxpayer -- it becomes insulated and unresponsive. It is almost impossible to adequately reward success, much less punish failure. Talk to the hardworking people in career government service -- many will say the same thing -- they are frustrated too. The system, which may have been good for its time, now must change, and it won't be easy. That's because this kind of government doesn't just happen. Congress creates these giant centralized bureaucracies, lays down the mandates, funds the programs. Then, it is the Congress that protects them, harasses them, investigates them, micro-manages them, and ultimately perpetuates them. Programs that have outlived their function rarely outlive their funding. With a Congressional Subcommittee Chairman as godparent, they become stepchildren of the Congress. Some 107 different Congressional committees and subcommittees claim some degree of oversight responsibility for the Department of Defense. Seventy-four compete to exercise jurisdiction over the War on Drugs. Just this week our energy bill to make us more energy-efficient and afterbeing reported from 1comm. in the House, energy-independent was referred to no less stet than eight separate additional House Liby the Speaker De committees sequent lly! It should be no surprise that it takes so long to get anything done. dayton will Dr tell X2216 When and 8 the [[Agriculture Secretary] and his top staff have to testify in fourteen hearings in one day, think of the time and resources that takes. Think of the thousands of hours spent by the Executive Branch to fulfill the thousands of Congressional demands for testimony, and government reports. Congress has legitimate oversight responsibilities of course. And I know that the federal government cannot be run like IBM or the local convenience store, but we can improve its performance, and we must. What merely hampered us in the past, will paralyze us in the future. Our ability to compete demands we make these reforms, not just of Congress but of the federal bureaucracy as well. It means emphasizing the building blocks of a more responsive government by relying on what works: choice, competition, decentralization. But let me be clear, we cannot reform the executive branch without first reforming the Congress. Today I am proposing a set of actions that taken together will make government work for the people. First, Congress must govern itself by the laws it imposes on the public. No more special treatment. Like age, race, sex and disability discrimination laws. Congress should also submit to the laws it imposes on the Executive Branch -- like conflict of interest laws or the Independent Counsel Law or the Hatch Act. {{I will propose legislation to end such special treatment for Congress. Further, I will veto any future legislation that extends such special treatment to the Congress. 11 9 Second, reform of the Congressional committee system. I support efforts to trim the overgrown thicket of committees and subcommittees which now paralyzes the Congress. Senator Boren said it best when he described the Congress as "inefficient, wasteful, and compromised by the way it finances its campaigns." The Boren-Domenici committee reform bill starts by setting up a bipartisan group to evaluate Congressional operations. It is a good beginning, but real reform is still on the back burner. The American people must turn up the heat. Third, sweeping campaign finance reform. Full disclosure of assets, liabilities, and compensation is a key element of reform. I am not required to disclose my income tax returns but I believe it is the proper thing to do. So I called on Congress to pass Greg tough new full disclosure laws to stop the abuse that results from spreading around what called "soft money. Walden x2674 Beyond that, I called for the total elimination of special- interest Political Action Committees and limits on so-called "leadership PACs." I proposed ways to increase the legitimate role of our political parties, reduce the influence of special interests, and decrease the time candidates and incumbents spend fund-raising. And let me say it straight out: federal funding of Congressional elections would only worsen the problem. Campaign finance reform is stalled on Capitol Hill, but the time for action is long past -- we must clean up our election system. Fourth, spending reform. I have already proposed to freeze FROM Policy DEVEL. domestic discretionary spending and federal employment next year. and non-defense -aud-dofings federal employment. 10 I have proposed biennial budgets. I have proposed to curb as well the growth of mandatory programs without touching Social almost billion Budget p.1-15 Yok ok Security. This proposal alone would save [xxx dollars in XX years] The American people should demand that the Congress pass the same measure that 43 governors have: the line-item veto. They should demand a Balanced Budget Constitutional Amendment -- to phase in more spending discipline on the Congress and the Executive Branch. In the absence of those important measures I will continue to use whatever means are legally at my disposal, including the line-item-rescission, to protect the taxpayer from the spending excesses of Congress. And I will veto any attempt by the Congress to dismantle the only defense the taxpayer has against Congressional overspending -- the budget caps implemented in the 1990 Budget Act. Fifth, regulatory reform. I have put a ninety-day moratorium on new government regulations. We are revising and eliminating regulations that impede our ability to compete, and we are accelerating regulations that enhance our competitive edge. Since I announced the moratorium on January 28th, new regulatory requirements have already been reduced by over 30 percent. As our review continues we will announce further steps to reduce the burden of unnecessary regulations. Sixth, we must limit Congressional terms. The cycle of virtually guaranteed re-election through the built-in advantages of incumbency must be broken. Our Founding Fathers never considered elected government service to be a career. I believe 11 Senators should be limited to two terms, and Representatives, limited to six terms. As President my terms are limited, the same rule should apply to members of Congress. Our first concern should be the country not a lifetime political career. [[This brings me to my final point. Certainly, governing today is complex and time-consuming. But not so many years ago, representing the people back home was a part-time Washington job. Somehow Members managed to finish their work and adjourn just before the hot, humid Washington D.C. summers. Air conditioning changed all this, and now, thanks to modern technology, Congress sits year-round. Members of the House and Senate are now permanent Washingtonians, but tourists in their own home states. To borrow a line from Howard Baker "they ought to be living in America and visiting Washington." Howard Baker was right. And we can achieve Senator Baker's vision by enacting the reforms I have proposed. With a streamlined committee structure, a leaner staff, Members' time organized around legislation rather than re- election, and better discipline on how they spend the people's money, Congress could return to what the founders envisioned as a government truly close to the people. I suggest that this Congress, the 102nd, set an example for future Congresses, and finish action on the important proposals before them, like our economic action plan, our proposals on education, crime, and legal reform, to name just a few, and adjourn by Memorial Day. ]] 12 Change is sweeping America, just as it is sweeping the world. As in the first days of our new nation, we must change an unresponsive government. The reforms I've outlined today can renew our faith in government -- restore the principles of our Founders, and guarantee for our children a new American Century. The choice is clear. On one side stand the defenders of the status quo. On the other: the forces of change. We must make the choice worthy of the men who met here -- and began the world's only permanent revolution. Now that we've changed the world, we must make the choice to change America. Thank you, and may God bless the United States of America. # # #