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Industrial League of Orange County--Irvine, California 6/19/92 [OA 7575] [4]
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Industrial League of Orange County--Irvine, California 6/19/92 [OA 7575] [4]
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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: 13819 Folder ID Number: 13819-009 Folder Title: Industrial League of Orange County--Irvine, California 6/19/92 [OA 7575] [4] Stack: Row: Section: Shelf: Position: G 26 22 6 2 JUN 17 '92 13:46 INDUSTRIAL LEAGUE 714 4769240 P.1/1 Post-It™ brand fax transmittal memo 7671 # of pages I Co. To Gary Gershowitz From Beverly McClure White House Co. ILOC Dept. Phone # 714/476-2242 Fax # 202/456-6218 Fax # 714/476-9240 INDUSTRIAL LEAGUE OF ORANGE COUNTY DATE: June 17, 1992 TO: Gary Gershowitz FROM: Beverly R. McClure RE: Elected Officials Per our phone conversation, President Bush will be introduced by Reed L. Royalty, Chairman of the Board, Industrial League of Orange County. Also to be acknowledged are: Todd Nicholson, President, Industrial League of Orange County Senator John Seymour Congressman Christopher Cox Congressman Dana Rohrabacher need L.notalty We will introduce the local elected officials. Act Tocal chanber of OFFICIA Mike Hagan- Vice chairman COMM, Who are SPONYORS OF the Hat Schultz- Secretary Loren PANNier [Pay-Near] Vice chairnan HeleN cameron- Tres League Todd Nicholson,Pres Wallow stage w/ pres. Jamboree Center, 14 2 Park Peo Plaza, Suite Elected 1250, Irvine, OFF. California iN 92714 orange (714)478-2242 CO. (Leg FAX(7/14) supvisor RoardMeM) JUN 12 '92 13:09 INDUSTRIAL LEAGUE 714 4769240 P.1/2 FACSIMILE TRANSMITTAL INDUSTRIAL LEAGUE OF ORANGE COUNTY Approx. 1050 Jamboree Center, 2 Park Plaza, Suile 1250, Irvine. California 92714 (714) 476-2242 FAX PHONE NUMBER: 714/476-9240 TO: Gary Gershowitz FROM: Todd Nicholson COMPANY: FAX PHONE NUMBER: (202) 456-6218 DATE AND TIME SENT: 12:55 pmPDT NUMBER OF PAGES INCLUDING COVER PAGE: 2 SPECIAL INSTRUCTIONS: This is a preliminary list of elected officials who are confirmed for attendance on 6/19. In addition to the elected also in attendance will be: Don Bren, Chairman, The Irvine Company Jack Flanigan, state Chairman, Bush/Quate '92 Tom Fuentes, Orange County Republican Party chairman Plus, a significant number of other elected officials yet to be confirmed We will keep you posted. SENator JOHN Seymor willattend, Confirmed by JeNNiFer 714-634-2331 JUN 12 '92 13:09 INDUSTRIAL LEAGUE 714 4769240 P.2/2 INDUSTRIAL LEAGUE OF ORANGE COUNTY ELECTED OFFICIALS vice Mayor Barry Hammond, Mayor Pro-Tem, City of Irvine Roger Sally R. Anne Stanton, Sheridan, Chairman, Mayor, Orange City of County Irvine Board 31 DiFF- of Supervisors cities iN INVINE Cal Supervisor Thomas F. Riley -5th District Supervisor Harriett Wieder 5 Districts iN Orange COUNTY JUN-12-1992 14:14 FROM COMMERCE-EDA HQ TO 84566218 P.01 - UNITED STATES DEPARTMENT OF COMMERCE Economic Development Administration STATES of AMERICA Weshington, D.C. 20230 TELEFAX TRANSMISSION Date 6/12/92 For Jeff Hockberg Location White House Office of Speech Writing Telephone No (202) 456-7750 Telefax No (202) 456-6218 From Steve Brennen Location US DoC / EDA Office of Program Operations Telephone No (202) 377-3081 Telefax No (202) 377-0995 Additional Message Number of pages attached 4 EDA 3417M 2/89 JUN-12-1992 14:15 FROM COMMERCE-EDA HQ TO 84566218 P.02 DEFENSE ADJUSTMENT ASSISTANCE STATUS SUMMARY as of May 22, 1992 BACKGROUND: In February of 1992, the Department of Defense (DoD) transferred $50 million to the Economic Development Administration (EDA), to remain available until expended, for defense adjustment projects under EDA's Title IX Economic Adjustment - Sudden and Severe Economic Dislocation (SSED) Grant Program. Prior to that date, EDA had funded several defense adjustment grants using its own FY 1991 and FY 1992 appropriated Title IX funds. The special transferred funds may be used for base reuse or community adjustment projects in the event of an announced base closing or a defense contract reduction or cancellation. All defense adjustment proposals are reviewed by the DoD - Office of Economic Adjustment (OEA) which must concur in the use of the special transferred funds. PROGRESS TO DATE: EDA announced the availability of the special defense adjustment funds in the March 10, 1992 Federal Register. EDA has since invited formal applications for 13 defense adjustment proposals for a total of $14,946,000. Seven applications have been received by the regional offices and are in various stages of project processing and two grants for a total of $178,000 have been awarded. In addition, EDA is considering a number of new proposals which, if invited, could increase EDA's defense adjustment pipeline to a total of approximately $30 million in the next ninety days. Most of the projects will complete processing in the customary three to five month timeframe for Title IX projects of varying complexity. EDA expects to invite sufficient additional defense adjustment applications by the end of first quarter FY 1993 that will exhaust the entire $50 million with approved grants by the end of FY 1993. Many of the early requests for assistance are in response to the dislocation impacts resulting from announced defense weapons systems procurement cutbacks. Such announcements cause an immediate impact on the affected communities and warrant timely response to mitigate, to the extent possible, the negative economic effects. Significant impacts are being felt by New England area submarine contractors as well as the aerospace industry in southern California and St. Louis, Missouri. Several of the current proposals are in response to announced base closings where the affected community has made good progress in developing its local base reuse plan. Most of the military base communities, however, are still in the process of working out their reuse plans with assistance from the DoD OEA, and many of the bases will not actually see a reduction of military or defense civilian employees for several years. JUN-12-1992 14:16 FROM COMMERCE-EDA HQ TO 84566218 P.03 2 EDA'S DEFENSE ADJUSTMENT PROCESS In the case of base closures, a base reuse plan or strategy must be locally developed as the first step in the defense adjustment assistance process. The DoD OEA is the lead agency for the development and funding of such plans. EDA, for its part, will follow on the DoD sponsored base reuse plan in considering applications for funding selected implementation steps of the plan. All EDA defense adjustment assistance utilizing the $50 million will be coordinated closely with the DoD OEA, which retains authority to concur with each project before EDA makes the award. Otherwise, the standard rules and procedures contained in the Agency's annual Federal Register notice on the Availability of Funds are applicable. EDA can also assist communities facing economic adjustment problems resulting from defense procurement contract reductions. Under the Title IX SSED Grant Program, virtually all of EDA's tools may be packaged into a single grant, if appropriate, including components for planning/strategy (not duplicating DoD), technical assistance, construction/public works, revolving loan fund assistance, and training (not duplicating Department of Labor or Education programs). For fiscal year 1992, $11,500,000 is available under EDA's own annual appropriations for the SSED assistance program to respond to all types of cconomic dislocation events, including defense adjustment events. In addition, the above described $50 million from DoD is available under EDA's Title IX program specifically for defense related adjustment projects. THE PRESIDENT'S ECONOMIC ADJUSTMENT COMMITTEE (DEFENSE ADJUSTMENT) The Secretary of Commerce is a member of the President's Economic Adjustment Committee (EAC) and the Secretary's designee is the Assistant Secretary of Commerce for Economic Development. Within the Department of Commerce, EDA is the primary agency responding to defense adjustment impacts on communities. The FY 1991 Defense Authorization Act and Executive Order 12788 establish that the chairmanship of the EAC rotate annually between the DoD, the Department of Labor (DOL) and Commerce. Previously, the Secretary of Defense had been the permanent chair. DoD's OEA provides staff support for the EAC and is drafting a letter from Secretary Cheney to the Secretaries of Commerce and Labor proposing that, pursuant to the law and executive order, the Secretary of Commerce will chair the EAC beginning in FY 1993 and DOL will have the chair in FY 1994. The Assistant Secretary of Defense (Force Management and Personnel) is the permanent Vice- Chair of the EAC. JUN-12-1992 14:16 FROM COMMERCE-EDA HQ TO 84566218 P.04 3 ADDITIONAL BACKGROUND ON EDA's $50 MILLION Historically, the Department of Commerce and EDA (along with DoD and OMB) has recommended against supplemental defense adjustment funding to address base closings and defense contract reductions, because: (1) EDA could already respond to such events under its own authority and direct appropriations, (2) The purpose of the defense cuts was to achieve overall budgetary savings which would be diminished by such supplemental appropriations, (3) The Congress' proposal to appropriate funds to the DoD to be spent by a domestic agency appeared to violate a critical understanding of the budget pact that increased domestic spending must be compensated by equivalent domestic cuts. (4) Defense contractors represented only one area of American business/industry facing hardship, yet were unfairly being singled out for Federal assistance. Nevertheless, the (DoD) Authorization Act for FY 1991 included a provision authorizing $200 million for defense adjustment assistance of which $150 million was earmarked for DOL and $50 million was to be administered by EDA under Title IX of the Public Works and Economic Development Act of 1965, as amended. However, the companion DoD Appropriation Act for FY 1991 contained language appropriating the $200 million only to DoD and did not otherwise provide for its transfer to DOL or DOC. DoD, after several months of inaction with the funds, announced at a May 15, 1991 hearing before the House Armed Services Committee, Subcommittee on Investigations that it had decided to transfer the funds to DOL and DOC. The transfer of funds from DoD to Labor was initiated prior to the end of fiscal year 1991 using the Economy Act as the basis for transfer. Commerce explored and rejected using the Economy Act as a basis for transfer of the $50 million because the conditions for transfer under the Economy Act could not meet the programmatic expectations of DoD/EDA. The lack of clear transfer authority of the two FY 1991 DoD Acts was addressed by special language included in the FY 1992 DoD Appropriation Act which granted specific authority for the transfer of the $50 million from DoD to Commerce/EDA and further provided that funds so transferred would become no-year funds. Previously, the funds availability had expired on September 30, 1993. On January 27, 1992, EDA and DoD executed a Memorandum of Agreement (MOA) concerning the transfer and use of the $50 million. The funds were transferred to EDA the following week. JUN-12-1992 14:17 FROM COMMERCE-EDA HQ TO 84566218 P.05 4 DEPARTMENT OF LABOR DEFENSE ADJUSTMENT PROGRAM The DOL is the only other Federal Department or Agency, other than EDA or DoD, with any significant funding or programmatic authority to provide defense adjustment assistance. DOL received $150 million from DoD (through the same legislation that provided EDA's $50 million) for adjustment assistance targeted to individuals displaced by base closings and defense contract reductions DOL is essentially using its Job Training and Partnership Act (JTPA) programs to provide assistance directly to displaced workers. Regular JTPA appropriated funds, apportioned to the states, are utilized first. Only if the regular program funds are insufficient and the state requests additional assistance to deal with defense related worker dislocations, has DOL dipped into its special defense adjustment funds. Because JTPA is already well funded, DOL spending of its special funds has been slow. However, unlike EDA's special defense funds, which were converted to no-year money, the DOL money must still be obligated prior to September 30, 1993. DOL is expected to announce some sort of demonstration program shortly to help move its funds. The specific nature of the demonstration program is not known. II-82 - Department of Defense Command, Control, Communications and Intelligence - (Area Code 703) cont'd (Area Code 804) PPBS/DMR (Ping, Pgm'g, Budgeting System/Def Mgmt Report) Division: DOD Security Institute Bruce Ramsey 3E791 614-3838 Defense Gen Supply Ctr Bldg 33-E Richmond VA 23297 Anthony Stampone 3E791 614-3838 Director Everett Gravelle 275-3012 Defense Research and Engineering Production and Logistics Director Victor H Reis 3E1014 697-5776 (Area Code 703) Confidential Asst (Vacant) 3E1014 693-4110 Military Asst Col John P Kline USMC 3E1014 697-5776 Assistant Secretary Colin 3E808 695-6639 Sr Military Asst Capt Bob Chamberlin USN 3E808 695-7011 Plans and Resources Special Asst David L Spoede 3E808 695-7011 Deputy Director John M Bachkosky 3E114 695-0598 Prin Dep Asst Secretary David J Berteau 3E808 695-7178 Military Asst Col Robert W Baker USAF 3E114 695-0598 Military Asst Lt Col Hank Bingham USA 3E808 695-7179 FFRDC (Federally Funded Rsrch & Devel Ctrs) Dir Lt Col Mark Defense CALS (Computer-Aided Acquisition & Logistics Support) Dickerson USAF 3E114 756-2096 Executive Maj Gen Russ Baldwin USA 3D833 697-0051 Resource Management Dir R V Tuohy 3D367 614-0205 Management Support Ctr Dir Richard Donnelly 1500 SKY-3 756-2208 Acquisition System Protection Ofc Chf Col David C Evans USAF 3B1060 695-9536 DOD Tech Analysis Ofc Dir James W Whitt 317 SKY-6 756-8969 Environment Deputy Assistant Secretary Thomas E Baca 400 AND 695-7820 Prin Dep to the Dep Asst Sec Russel Milnes 400 AND 695-7820 Research and Advanced Technology 695-5036 Military Asst Lt Col Gary Thomas USA 400 AND 695-7820 Deputy Director Raymond F Siewert (Actg) 3E118 Special Asst David Platt 400 AND 695-7820 Military Asst Col James S Butt USAF 3E118 695-3042 Defense Environmental Support Ofc Dir Len Richeson 400 Special Asst Virginia Castor 3D359 614-0212 AND 695-8358 Engineering Technology Dir Donald Dix (Actg) 3D1089 697-7922 Safety & Occupational Health Pol Dir George W Siebert 400 Environment & Life Sciences Dir Joseph V Osterman 3D129 697-8714 AND 695-0110 Research & Lab Mgmt Dir Ted Berlincourt 3D375 697-3228 Outreach Div Dir C Wesley Carson 400 AND 695-8360 Defense Modeling & Simulation Ofc Dir Col Ed Fitzsimmons Policy Div Dir Lt Col Kenneth Cornelius USAF 400 AND 3D367 695-0975 695-8355 Programs & Budget Div Dir Kevin Doxey 400 AND 695-7007 Technology Div Dir Richard Kibler 400 AND 695-8360 Strategic and Theater Nuclear Forces DOD Explosive Safety Bd Chrmn Capt David K Wallace USN Deputy Director George R Schneiter 3E130 697-9386 856C HOF-1 325-0152 Military Asst Col J A Franco USAF 3E130 697-4931 Environmental Protection Agency Liaison Lt Col Jessie Asst Dep Director Brig Gen Arthur E Johnson USAF 3E130 695-7417 Cabellon USA M2119 WM (202) 260-6996 Defensive Systems Dir Bruce Pierce (Actg) 3D136 697-5385 Pest Management Bd Exec Dir Col Robert Clegern Offensive & Space Systems Dir Eugene Sevin 3E129 697-4910 USAF FG (301) 427-5191 Strategic Aeronautical & Theater Nuclear Systems Dir Col Robert Dawson USAF 3E139 697-7825 Installations Strategic Arms Control & Compliance Dir Lee P Minichiello 697-5371 3E121 695-7840 Deputy Assistant Secretary Robert A Stone 3E787 Prin Director Gerald Kauvar 3E787 697-9106 Asst Dep Asst Secretary Capt Joe Sikes USN 3E787 697-9106 Tactical Warfare Programs Base Closure & Utilization Dir Doug Hansen 3D814 614-5356 Deputy Director Frank Kendall III 3E1044 695-9713 Engineering & Construction Dir Tom Bee 310 SKY-6 756-5643 Executive Asst Col Noris Lynn McCall USMC 3E1044 695-5747 Facility Requirements & Resources Dir Patrick J Meehan Jr Air Warfare Dir Spiros G Pallas 3E1081 695-0525 3D768 695-7957 Conventional Arms Control & Compliance Dir Mary M Evans Housing & Services Dir Patricia Fowler 310 SKY-6 756-5642 3B1060 693-6398 Installation Pol Dir Lewis Patterson 3C767 697-7475 Conventional Initiatives Dir Loren R Larson 3D1064 614-0190 Electronic Combat Dir Anthony Grieco 2D252 697-3619 Land Warfare Dir Andrus Viilu 3D1049 695-9284 Logistics Deputy Assistant Secretary Diane K Morales 3E788 697-1368 Naval Warfare & Mobility Dir C Joseph Martin 3D1048 697-2205 Military Asst Col Robert Freeman USAF 3E788 697-5530 Ofc of Munitions Dir George C Kopcsak 3B1060 695-1407 Energy Policy Dir Jeffrey Jones 1D760 697-9419 International Logistics Dir (Vacant) 2B329 695-0271 Test Evaluation Logistics Ping & Analysis Dir (Vacant) 2D261 614-4175 Deputy Director Richard R Ledesma (Actg) 3E1060 695-7171 Maintenance Policy Dir Robert T Mason 3B915 697-7980 Executive Asst Col Bernard B Ferguson USA 3E1060 695-4608 Supply Mgmt Policy Dir James H Reay 3B730 697-9238 Confidential Asst Mary G Griggs 3E1060 695-7171 Transportation Policy Dir Robert H Moore 2B278 697-6551 Budget Action Ofcr Mary J Wells 1B473 695-7175 Weapon Support Improvement Grp Dir Martin A Meth 2B322 697-0051 Foreign Comparative Test Action Ofcr Col Alan D Biskey USA 1B473 697-0394 Production Resources Live Fire Test Dir James O'Bryon 3D1084 697-5732 Deputy Assistant Secretary Nicholas M Torelli Jr 3E813 697-1771 Test Facilities & Resources Dir John V Bolino 3D1067 697-4819 Executive Asst Stan Dubowski (Actg) 3E813 697-1771 Weapon Systems Assessment/STEP (Spec Test & Eval Pgms) CALS/EDI (Computer-aided Acquisition & Logistics Support/ Dir James O'Bryon (Actg) 3D1084 697-5732 Electronic Data Interchange) Dir Marianne Pietras (Actg) 2B322 697-0051 Industrial Engr'g & Quality Dir Mark Schaeffer 2A318 695-9846 Manufacturing Modernization Dir Walter Bergmann II 3B253 695-7458 Atomic Energy Production Base Dir John B Todaro 2A318 695-9846 Assistant to the Secretary Robert B Barker 3E1074 697-5161 Program Support Executive Asst Capt Linda K Groves USN 3E1074 697-5561 Director William J Sharkey 3D758 697-9978 Asst Staff Director, NWC (Nuclear Weapons Council) Richard Congressional/Legislative Liaison Diane Carroll 3E791 614-4030 W Brown 3E1074 695-5486 Production & Logistics Data Ctr Dir James Miller 102 SKY-4 756-7637 Deputy Assistant to the Secretary for: Research & Studies Robert Newhart 1B466 697-7019 Chemical Matters Billy Richardson 3E1074 695-5448 Computer Systems Support Div Dir Gary Hurd 1B466 695-9505 Military Applications John H Birely 3E1074 697-5561 a b Winter 1992 Federal Yellow Book EXECUTIVE OFFICE OF THE PRESIDENT 11-Jun-1992 10:13am TO: Gary J. Gershowitz FROM: Elizabeth M. Hinchliffe Office of Communications SUBJECT: california Hi, Gare-meister! Okay, some more things about California speech. First - it's supposed to go to staffing tomorrow, so we've pretty much got to get it in shape today. Second could you call Todd Nicolson, (714) 476-2242 as soon as feasible (I guess noon our time -- would be 9 in California). He's President of the Industrial League that will be sponsoring the speech. Could you just touch base with him, and find out answers like: --obviously, who will be there, how many, etc. --any good jokes possible in audience makeup? in celebrities/politicians present? in the place where the speech will be held? recent local events? --he won't be dictating the subject matter of the speech, so don't get caught up in that, but does he have any other useful background information? Thanks. X7845 Also, maybe a call to Jeff Vogt would help - to see if he's the project officer, since it's business. How's the DOD conversion info coming? Bus Ad- Diversified- Bus Size COMP repain EXECUTIVE OFFICE OF THE PRESIDENT 10-Jun-1992 01:37PM TO: GARY J. GERSHOWITZ FROM: ELIZABETH M. HINCHLIFFE OFFICE OF COMMUNICATIONS SUBJECT: CALIFORNIA HI. SOME INFO IS FINALLY TRICKLING TOGETHER ABOUT THE CALIFORNIA SPEECH. COULD YOU CALL DEFENSE AND ASK FOR SOME INFORMATION ABOUT COMPANIES AND DOD CONVERSION? MAYBE CHENEY HAS ADDRESSED THIS SUBJECT IN A SPEECH -- IT WOULD BE EXTRA-GREAT TO GET HIS REMARKS. Do THEY HAVE EXAMPLES OF SUCCESSFUL CONVERSIONS? THANKS. Defense conversion COMMISSION 202-653-0253 Saliy Hartwig PAUl Hanley Tim Kyger in Congressman Rohrbacher's office suggests the following wording for accuracy: "McDonnell Douglas' SDIO-funded Delta Clipper Program will dramatically reduce costs. " Then resume sentence as written. bETH -- Henson Moore called with several items he'd like to see inlcuded in Orange Co. 1) Recommends we go back to Oak Ridge Tennessee specch from February, and profile our National Technology Initiative -- a conference of which was held in Pasadena CA on May 29. 2) Also wants us to reference the R& E (research and engineering) Tax credit which POTUS has asked Congress to extend permanently. 3) Also ( you guessed it) wants to see 3 legacies in there somewhere Please begin with these changes while we wait for the rest of staffing comments. AURA JUN 15 '92 9:32 FROM RESEARCH (916)445-6075 (Trade PAGE 002 CALIFORNIA Rep's office) WORLD TRADE COMMISSION 1991 CALIFORNIA TRADE HIGHLIGHTS THE FOLLOWING INFORMATION profiles California's international trade performance. Leading the United States in exporting. California accounted for 15 percent of total 1991 U.S. exports ($421.6 billion) or one out of every seven U.S. export dollars. In 1991, California exported over $63 billion in goods. an DD percent increase from 1990. In 1991, California ports handled two-way trade valued at nearly $175 billion. THE EXPORT PICTURE California exports grew quickly in the latter half of the 1980s. increasing by an average of 20 percent per year between 1987 and 1990. Trade growth peaked in 1988 at 39 percent, followed by moderate growth in 1989, 1990 and 1991 of 12 percent, 9 percent, and 8 percent, respectively. Exports continue to boost state economic performance, accounting for approximately 60 percent of the state's real economic growth in 1991. CALIFORNIA EXPORTS 1987-91 (In Billions of Dollars) 80 58.4 63.1 60 53.6 47.8 40 34.3 9.2% increase 20 0 1987 1988 1989 1990 1991 CALIFORNIA PRODUCTS Products from California. ranging from advanced technologies to the world's most desirable agricultural products. are in high demand from buyers around the world. The state's top three product categories account for close to 60 percent of all California exports. General Machinery - including industrial and commercial machinery and computer equipment - is the state's leading export at $14.2 billion. Electrical Equipment. consisting of telecommunication equipment. consumer electronics, and electrical machinery. totaled $13 billion in 1991. Third- ranked Transportation Equipment, including motor vehicles. aerospace products and railroad and boat equipment. posted overseas sales of over $10 billion. TOP CALIFORNIA EXPORTS 1990-91 (In Billions of Dollars) 15Γ 14.2 13.1 12.7 10 10 6.1 4.7 5 2.3 0 Mach. Electric. Trans. Food Instrum. Chem. Other 1990 1991 ANNette Davis is the contact for this iNformation She is the Trade Rep iN GOV Wilson's office: (916)445-6075 JUN 15 92 9:33 FROM RESEARCH PAGE. 003 EXPORT MARKETS The Golden State's products are sold around the globe. California's top ten markets, ranging from Asian to European countries, account for almost 70 percent of all state exports. The European Community, as a consolidated market, consumed $15.4 billion or 24 percent of all California exports. The Asia/Pacific countries absorbed over $28 billion or 44 percent of California goods. Japan, Canada. and Mexico represent the top three single-country markets, importing $10.1, and $6.5, and $5.5 billion. respectively, of California merchandise. Mexico, of the top ten markets, was the fastest growing major market for California goods in 1991, increasing purchases by 18 percent from 1990. Other key growth markets for the state's products were Canada (12 percent), Taiwan (10 percent), and the Netherlands (8 percent). TOP CALIFORNIA EXPORT MARKETS 1990-91 (In Billions of Dollars) 12 10.1 10 8 6.5 6 5.5 4 3.9 3.6 3.5 3.5 2.7 2.2 2 2 0 JAPAN CAN MEX KOR GERM UK TAI SING FRAN NETH 1990 1991 FOREIGN INVESTMENT Foreign investment in California topped $60 billion in 1989, the latest year for which figures are available, increasing 22 percent from nearly $50 billion in 1988. Top investors included European countries, Japan, and Canada. Total employment attributable to foreign investment was 496,400 in 1989, up 27 percent from 390,300 jobs in 1988. FOREIGN INVESTMENT IN CALIFORNIA 1989 (In Billions of Dollars) OTHER (2.3) JAPAN (14.6) EUROPE (28.7) MIDDLE EAST (1.9) LATIN AMERICA (1.8) CANADA (8.9) 1991 PORT DATA GENERAL STATISTICS 1991 Trade through California's Custom Districts Gross State Product $765.0 billion TOTAL $ 174.6 billion Population 30.6 million Port Exports $ 73.8 billion Civilian Labor Force 14.8 million Port Imports 100.9 billion Unemployment 7.5 percent Inflation Rate 4.1 percent THE CALIFORNIA STATE WORLD TRADE COMMISSION is the export development ann of the California state government. Since its creation in 1983, the Commission has supported over $750 million in export sales through its export financing programs administered by the Offices of Export Finance located in Los Angeles and San Francisco, and marketing assistance provided by the Office of Export Development located in Leng Beach. For further program information please contact: CALIFORNIA STATE WORLD TRADE COMMISSION SOURCES: U.S. Department of Commerce and 1121 L Street, Suite 310 Sacramento, CA 95814 Massachusetts Institute for Social and Economic Telephone: (916) 324-5511 Fax: (916) 324-5791 Research (MISER). JUN 15 '92 9:33 FROM RESEARCH PAGE. 004 CALIFORNIA STATE WORLD TRADE COMMISSION OF THE CHEERA STATE STATE OF OF CALIFORNIA CALIFORNIA'S EXPORT PROFILE 1991 The value of products exported from California rose 8% in 1991, accounting for 15% of total U.S. exports of $421.9 billion. California Total Exports for 1991: $63.1 billion Top California Exports (in billions) 1. Industrial Machinery, Computer Equipment $14.2 2. Electronic/Electric Equipment $13.1 3. Transportation Equipment $10.0 4. Instruments and Related Products $ 4.7 5. Food and Kindred Products $ 3.7 6. Agricultural Production - Crops $ 2.4 7. Chemicals and Allied Products $ 2.3 8. Petroleum and Coal Products $ 1.7 9. Fabricated Metal Products $ 1.5 10. Scrap and Waste $ 1.4 Top California Export Markets (in billions) 1. Japan $10.1 2. Canada $ 6.5 3. Mexico $ 5.5 4. Republic of Korea $ 3.9 5. Federal Republic of Germany $ 3.6 6. United Kingdom $ 3.5 7. Taiwan $ 3.5 8. Singapore $ 2.7 9. France $ 2.2 10. Netherlands $ 2.0 Source: U.S. Department of Commerce and Massachusetts Institute for Social and Economic Research (MISER). 1121 L Street, Suite 310 Sacramento, CA 95814 (916) 324-5511 Telex: 5106003794 Fax: (916) 324-5791 JUN 15 '92 9:34 FROM RESEARCH PAGE. 005 CALIFORNIA STATE WORLD TRADE COMMISSION OF DEPARTMENT BURNER THE STATE THE CALIFORNIA CALIFORNIA'S MAJOR TRADING PARTNERS 1987-1991 (in dollars) JAPAN CANADA MEXICO TOTAL CA EXPORTS 1987 5,582,315,504 3,404,147,690 2,257,262,663 34,311,151,013 1988 8,344,369,711 4,000,751,709 3,241,765,445 47,789,371,151 1989 9,739,396,304 4,749,810,190 4,172,918,498 53,547,595,961 1990 10,265,892,048 5,803,217,422 4,670,517,836 58,430,444,462 1991 10,143,683,529 6,510,085,771 5,526,877,461 63,112,626,074 TOTAL 44,075,657,096 24,468,012,782 19,869,341,903 257,191,188,661 SOURCE: U.S. Department of Commerce and Massachusetts Institute of Social and Economic Research (MISER). 1121 L Street, Suite 310 Sacramento, CA 93814 (916) 324-5511 Telex: 5106003794 Fax: (916) 324-5791 action K Elebets Document No. 333428ss CC; DFB, PW+SDF WHITE HOUSE STAFFING MEMORANDUM DATE: 6/15/92 ACTION/CONCURRENCE/COMMENT DUE BY: TUES. 6/16 3:00pm PRESIDENTIAL REMARKS: INDUSTIRAL LEAGUE OF ORANGE COUNTY SUBJECT: IRVINE, CA - FRI. 6/19/92 - 1:00 p.m. ACTION FYI ACTION FYI VICE PRESIDENT HORNER SKINNER MCBRIDE SCOWCROFT MOORE DARMAN PETERSMEYER BRADY PORTER BROMLEY ROLLINS CALIO SMITH DEMAREST YEUTTER FITZWATER FINDLAY GRAY KAUFMAN HOLIDAY MCGROARTY BOSKIN REMARKS: Please forward your comments directly to Dan McGroarty, RM. 122, x2930, no later than 3:00 p.m., TUESDAY, JUNE 16, with a copy to this office. Thank you. RESPONSE: PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 (Hinchliffe/Gershowitz) June 15, 1992 4 p.m. DOD Draft Two UN15 P5: 09 PRESIDENTIAL REMARKS: INDUSTRIAL LEAGUE OF ORANGE COUNTY FRIDAY, JUNE 19, 1992 1 P.M. IRVINE HYATT, IRVINE, CALIFORNIA (ACKNOWLEDGMENTS) And I'm proud to be standing here with three men who are solid, strong leaders not only for Orange County, but for this country. Bob Dornan -- a real champion of American values, who's been at my side in every election -- an aggressive spokesman for the things we believe in. Chris Cox -- an innovative, creative Congressman who embodies the vibrant, entrepreneurial spirit of this area -- he's pushing great new ideas like Turbo Enterprise Zones, and is a real champion of budget reform. And Dana Rohrbacher -- glad to see you could take some time off from surfing -- he's deeply involved in what I want to talk to you about today -- our nation's transition into the post-Cold War era, and what this means to a competitive economy. Three days ago, I sat in the Oval Office with Russia's freely elected President, Boris Yeltsin, and we spoke of the dreams we share for our people. It was an extraordinary moment. Just think how in the last few years we've witnessed great gains for democracy -- events we scarcely dreamed would take place in our lifetimes. We're closer than ever to the people of every nation, rejoicing as one at the new breeze of freedom which swept the globe, scattering the last dust of grim totalitarianism. But there are new challenges we face in the unexplored post- Cold War terrain. There are still pioneer days ahead. You know, at one point in the movie called "Awakenings," a fellow who's 2 been asleep for decades finally wakes up and has the whole world in front of him. When his doctor asks him what he wants to do that day, his face breaks into a huge grin and he shouts: "Everything!" That's the spirit we need to call up right now -- that purely American belief in a future that knows no limits. We're entering an entirely different economic world than the one we grew up in -- and that unbeatable spirit is what's going to lead us to success. William Jennings Bryan captured that bold spirit when he said: "Destiny is not a matter of chance -- it's a matter of choice. It is not a thing to be waited for -- it is a thing to be achieved.' I've seen-how Californians are achieving your destiny. You're not waiting for chance -- you're making the choice. That's what we must do all over this land. For 200 years, our prosperity has sprung from our ability to innovate, to create, to change as the world changes. That's the heart of entrepreneurial capitalism -- a heart I hear beating right here in Orange County. This place is almost like an R&D lab for the whole country, because you're figuring out how to shape your own identity in an evolving economy. This area is packed with successful examples of the technological transition from the Cold War to the era of global economic competition -- you're using systems developed for national defense to take aim at commercial markets worldwide. As the defense department "downsizes" in the new post-Cold War era, you face the daunting challenge of adapting from the military to the competitive civilian market. It'll be tough for 3 a lot of private sector companies, and their employees. But I've seen examples of some remarkably creative thinking. During the Cold War, the military essentially funded the development of new manufacturing techniques. Now, led by Orange County, companies are demonstrating astounding innovation in turning these techniques to new uses in the civilian market. The proof is all around us. Hughes Aircraft is applying the military's Global Positioning Satellite System to a new procedure controlling shipping traffic along our coastal waters. McDonnell Douglas is using the SDI-funded SSTO program to dramatically reduce costs of reaching into orbit -- this will ensure that we lead the world's commercial aerospace industry. Rockwell is developing ways of using SDI's high-tech offshoots to give us smart cars and smart freeways, breaking gridlock on our highways -- that's certainly good news for Southern California. 11 And I just came from visiting Aura Systems. I got to see up close how this small company is thriving: why they're hiring when so many others are firing. It's because they're able to adapt. They're at the cutting edge of the post-Cold War era, leading the drive to transform this world into a productive peace. But while we look ahead to these exciting new horizons there is one critical element we must never forget. Just because the Cold War is over doesn't mean that our need for the strongest defense is over, too. That need may change, but it will never disappear. Look at the threat posed by terrorists -- by renegade regimes -- by global uncertainties. Well, because companies like 4 these in Orange County continue to develop and use technology begun for defense, our next generation of the military will find that the technology has continued to evolve. We need not fear for our defense -- for our children -- for our future. In the meantime, look how one company is successfully making the post-Cold War transition to replace disappearing defense contracts. Aura Systems started as a military R&D company, doing virtually 100% DoD work. Now, they've won civilian contracts that make up 80% of their work. They have seen the future -- they're using their military-developed technology to beat weapons into ploughshares. For instance, their imagination has led them to use SDI-funded work on electromagnetics to develop vibrationless jackhammers -- and precision instruments used in cataract surgery. And they're applying their military electro- optics technology to improve commercial telecommunications. These Orange County companies lead us because they're not stuck in the old ways of thinking. They're not afraid to take risks. Look what happens to companies who want to be the biggest fish in the pond -- but who are afraid to be the first to dive in. Companies willing to maneuver and adapt to changing marketplace realities survive. Dinosaurs are fated to die. 11 Of course, this transformation is not going to be easy. The new world economy of the 21st century will be a new age of Ameri- can competition in a fiercely challenging global marketplace. And we simply have to make some changes if we expect to compete. We have to realize the intensified need for sophisticated, well- B 5 educated workers. The worldwide high-tech explosion will leave us behind unless we literally reinvent American education -- to turn out the best-prepared workers in this world. To do this, let's borrow a page from business -- let's bring competition into our schools through ideas like school choice. That's how we'll make our schools -- and our future -- the best in the world. We have a huge challenge ahead of us. But we can more than match it if we remember what FDR said a half-century ago: "The only limit to our realization of tomorrow will be our doubts of today." " I am absolutely committed to using every resource I can to pave our way into the future. Right now, I'll fight for measures to add jobs -- actions like encouraging investments through the capital gains tax cut; increasing jobs by reducing regulations; and encouraging trade and opening markets abroad. You know first-hand how important that is. California leads this nation in exports -- accounting for one out of every seven 8 U.S. export 13% dollars. Just last year -- in an 8% increase over 1990 -- this state exported over $63 billion in goods. And, in all, your ports handled two-way trade values at nearly $175 billion -- creating jobs up and down this golden coast. Long-term, Washington must have the courage to do the hard work of government -- work which requires a little less self- interest and a lot more discipline than most elected officials currently show. I'm talking about whipping government spending into control. I'm talking about being brave enough to launch a 6 genuine, strong effort to reduce runaway spending and to enforce disciplinary measures. I'm talking about real government reform. We must begin by forcing Congressmen to come down from their ivory tower, down off Capitol Hill to listen to the American people -- 77% of whom support the balanced budget amendment. Voters are saying to Congress: "We know you're borrowing from the future to pay for indulgences of the present and we won't stand for this any more." For years now, I've called for a balanced budget amendment because to ensure long-term economic growth we must get federal spending under control. High deficits raise interest rates -- high interest rates kill jobs -- a ransomed future kills hope. When I was visiting Aura Systems this morning, I was struck by its motto: "The Link Between Problem and Solution." Well, we all have the chance to be that link for our country. We have the chance to guide America into the world of the new century -- a world in which defeatism produces defeat, but where confidence and self-reliance produce greatness. We will find that greatness. We will shape from inside ourselves a country ready to seize the opportunities the new world economy offers. I believe in that -- I believe in us -- I believe in America. God bless you all. # # # # # From: Balanced Budget constitutional President was for Congress to adopt 2 a balanced budget Radio Address, amendment -- and in each of the three budgets I've submitted since, I've repeated that plea. 6/5/92 Why am I so fiercely dedicated to this issue? Look at your own family. You know what happens when you spend more than you make. The devil's going to come, demanding his due. Well that's what our American family faces right now. When you hear about a deficit measured in hundreds of billions of dollars, remember -- that's not Monopoly money. Some day that debt must be paid with your money -- as sure as your own personal debts will have to be paid with your money. It's unacceptable when this spending riptide has us drowning in debt, dragging us further out to sea. This amendment will bring us back to shore. It says the government can't spend more than it takes in. Nothing could be more simple. Nothing could be as tough. Nothing could work as well. It's past time to make this government as accountable with your money in America's house as you must be with your money in your house. 44 states already have some type of constitutional balanced budget requirement. 80% of the American people want this amendment, and the tougher scrutiny of government spending which it will require. We're fed up. We know it's time for partisan posturing to yield to responsibility to govern. We know it's time to protect our children's children -- and we're impatient to enact this solemn bond between generations. Well, there's something you can do right now. The House steeper, Fred 3367080 Campaign Document No. 333428ss 4676 WHITE HOUSE STAFFING MEMORANDUM DATE: 6/15/92 ACTION/CONCURRENCE/COMMENT DUE BY: TUES. 6/16 3:0 PRESIDENTIAL REMARKS: INDUSTIRAL LEAGUE OF ORANGE COUNTY SUBJECT: IRVINE, CA - FRI. 6/19/92 - 1:00 p.m. ACTION FYI ACTION FYI VICE PRESIDENT HORNER SKINNER MCBRIDE SCOWCROFT MOORE DARMAN PETERSMEYER BRADY PORTER BROMLEY . ROLLINS CALIO SMITH DEMAREST YEUTTER FITZWATER FINDLAY GRAY KAUFMAN HOLIDAY MCGROARTY BOSKIN REMARKS: Please forward your comments directly to Dan McGroarty, RM. 122, x2930, no later than 3:00 p.m., TUESDAY, JUNE 16, with a copy to this office. Thank you. RESPONSE: June 16, 1992 TO: DAN MCGROARTY NSC recommends an additional paragraph be added to page 5 (see Insert #1). from Brent Scowcroft 55 : 9d 91 NNC 26 PHILLIP D. BRADY Assistant to the President CC: Phillip Brady and Staff Secretary Ext. 2702 (Hinchliffe/Gershowitz) June 15, 1992 4 p.m. DOD Draft Two UN15 P5: 09 PRESIDENTIAL REMARKS: INDUSTRIAL LEAGUE OF ORANGE COUNTY FRIDAY, JUNE 19, 1992 1 P.M. IRVINE HYATT, IRVINE, CALIFORNIA (ACKNOWLEDGMENTS) And I'm proud to be standing here with three men who are solid, strong leaders not only for Orange County, but for this country. Bob Dornan -- a real champion of American values, who's been at my side in every election -- an aggressive spokesman for the things we believe in. Chris Cox -- an innovative, creative Congressman who embodies the vibrant, entrepreneurial spirit of this area -- he's pushing great new ideas like Turbo Enterprise Zones, and is a real champion of budget reform. And Dana Rohrbacher -- glad to see you could take some time off from surfing -- he's deeply involved in what I want to talk to you about today -- our nation's transition into the post-Cold War era, and what this means to a competitive economy. Three days ago, I sat in the Oval Office with Russia's freely elected President, Boris Yeltsin, and we spoke of the dreams we share for our people. It was an extraordinary moment. Just think how in the last few years we've witnessed great gains for democracy -- events we scarcely dreamed would take place in our lifetimes. We're closer than ever to the people of every nation, rejoicing as one at the new breeze of freedom which swept the globe, scattering the last dust of grim totalitarianism. But there are new challenges we face in the unexplored post- Cold War terrain. There are still pioneer days ahead. You know, at one point in the movie called "Awakenings," a fellow who's 2 been asleep for decades finally wakes up and has the whole world in front of him. When his doctor asks him what he wants to do that day, his face breaks into a huge grin and he shouts: "Everything!" That's the spirit we need to call up right now -- that purely American belief in a future that knows no limits. We're entering an entirely different economic world than the one we grew up in --- and that unbeatable spirit is what's going to lead us to success. William Jennings Bryan captured that bold spirit when he said: "Destiny is not a matter of chance -- it's a matter of choice. It is not a thing to be waited for -- it is a thing to be achieved." I've seen how Californians are achieving your destiny. You're not waiting for chance -- you're making the choice. That's what we must do all over this land. For 200 years, our prosperity has sprung from our ability to innovate, to create, to change as the world changes. That's the heart of entrepreneurial capitalism -- a heart I hear beating right here in Orange County. This place is almost like an R&D lab for the whole country, because you're figuring out how to shape your own identity in an evolving economy. This area is packed with successful examples of the technological transition from the Cold War to the era of global economic competition -- you're using systems developed for national defense to take aim at commercial markets worldwide. As the defense department "downsizes" in the new post-Cold War era, you face the daunting challenge of adapting from the military to the competitive civilian market. It'll be tough for 3 a lot of private sector companies, and their employees. But I've seen examples of some remarkably creative thinking. During the Cold War, the military essentially funded the development of new manufacturing techniques. 2 Now, led by Orange County, companies are demonstrating astounding innovation in turning these techniques to new uses in the civilian market. The proof is all around us. Hughes Aircraft is applying the military's Global Positioning Satellite System to a new procedure controlling shipping traffic along our coastal waters. McDonnell Douglas is using the SDI-funded SSTO program to dramatically reduce costs of reaching into orbit -- this will ensure that we lead the world's commercial aerospace industry. Rockwell is developing ways of using SDI's high-tech offshoots to give us smart cars and smart freeways, breaking gridlock on our highways -- that's certainly good news for Southern California. And I just came from visiting Aura Systems. I got to see up close how this small company is thriving: why they're hiring when so many others are firing. It's because they're able to adapt. They're at the cutting edge of the post-Cold War era, leading the drive to transform this world into a productive peace. But while we look ahead to these exciting new horizons there is one critical element we must never forget. Just because the Cold War is over doesn't mean that our need for the strongest defense is over, too. That need may change, but it will never disappear. Look at the threat posed by terrorists -- by renegade regimes -- by global uncertainties. Well, because companies like 4 these in Orange County continue to develop and use technology begun for defense, our next generation of the military will find that the technology has continued to evolve. We need not fear for our defense -- for our children -- for our future. In the meantime, look how one company is successfully making the post-Cold War transition to replace disappearing defense contracts. Aura Systems started as a military R&D company, doing virtually 100% DoD work. Now, they've won civilian contracts that make up 80% of their work. They have seen the future -- they're using their military-developed technology to beat weapons into ploughshares. For instance, their imagination has led them to use SDI-funded work on electromagnetics to develop vibrationless jackhammers -- and precision instruments used in cataract surgery. And they're applying their military electro- optics technology to improve commercial telecommunications. These Orange County companies lead us because they're not stuck in the old ways of thinking. They're not afraid to take risks. Look what happens to companies who want to be the biggest fish in the pond -- but who are afraid to be the first to dive in. Companies willing to maneuver and adapt to changing marketplace realities survive. Dinosaurs are fated to die. 11 Of course, this transformation is not going to be easy. The new world economy of the 21st century will be a new age of Ameri- can competition in a fiercely challenging global marketplace. And we simply have to make some changes if we expect to compete. We have to realize the intensified need for sophisticated, well- SUGGESTED ADDITION TO PRESIDENT'S SPEECH TO INDUSTRIAL LEAGUE OF ORANGE COUNTY INSERT #1 (on page 5) Trade with Mexico is particularly important for many Southern California companies. I have placed a high priority on improving market access south of the border. We are working hard to negotiate a North American Free Trade Area with Mexico and Canada that will lower trade barriers even further and establish one of the biggest and richest markets in the world with a combined 360 million consumers and $6 trillion in annual output. The free trade area holds the potential of creating hundreds of thousands of new jobs and strengthening our ability to compete in other overseas markets. Clearly California's dynamic economy is strongly, positioned to take advantage of these new trade opportunities. in a sentence. NAFTA. help pushing for we'll 5 educated workers. The worldwide high-tech explosion will leave us behind unless we literally reinvent American education -- to turn out the best-prepared workers in this world. To do this, let's borrow a page from business -- let's bring competition into our schools through ideas like school choice. That's how we'll make our schools -- and our future -- the best in the world. We have a huge challenge ahead of us. But we can more than match it if we remember what FDR said a half-century ago: "The only limit to our realization of tomorrow will be our doubts of today." I am absolutely committed to using every resource I can to pave our way into the future. Right now, I'll fight for measures to add jobs -- actions like encouraging investments through the capital gains tax cut; increasing jobs by reducing regulations; and encouraging trade and opening markets abroad. You know first-hand how important that is. California leads this nation in exports -- accounting for one out of every seven U.S. export dollars. Just last year -- in an 8% increase over 1990 -- this state exported over $63 billion in goods. And, in all, your ports handled two-way trade values at nearly $175 billion -- creating jobs up and down this golden coast. INSERT # / Long-term, Washington must have the courage to do the hard work of government -- work which requires a little less self- interest and a lot more discipline than most elected officials currently show. I'm talking about whipping government spending into control I'm talking about being brave enough to launch a 6 genuine, strong effort to reduce runaway spending and to enforce disciplinary measures. I'm talking about real government reform. We must begin by forcing Congressmen to come down from their ivory tower, down off Capitol Hill to listen to the American people -- 77% of whom support the balanced budget amendment. Voters are saying to Congress: "We know you're borrowing from the future to pay for indulgences of the present and we won't stand for this any more." For years now, I've called for a balanced budget amendment because to ensure long-term economic growth we must get federal spending under control. High deficits raise interest rates -- high interest rates kill jobs -- a ransomed future kills hope. When I was visiting Aura Systems this morning, I was struck by its motto: "The Link Between Problem and Solution." Well, we all have the chance to be that link for our country. We have the chance to guide America into the world of the new century -- a world in which defeatism produces defeat, but where confidence and self-reliance produce greatness. We will find that greatness. We will shape from inside ourselves a country ready to seize the opportunities the new world economy offers. I believe in that -- I believe in us -- I believe in America. God bless you all. # # # # # THE WHITE HOUSE WASHINGTON June 16, 1992 MEMORANDUM FOR DAN McGROARTY FROM: ROGER B. PORTER RBP SUBJECT: Presidential Remarks: Industrial League of Orange County The draft remarks to the Industrial League of Orange County are forceful. I have noted a few editorial suggestions on the attached draft that I hope will be helpful. The visit to Aura Systems has been scrapped and all references to Aura System probably should be dropped. In terms of the tone I have two suggestions: 1. Individuals and institutions legitimately want a measure of security and stability while at the same time recognizing the need for adjustment and change. Great nations are those with a willingness to make adjustments. The speech is heavy on the need for adjustment and change. But, as drafted, it is a little light on security and stability. A sentence or two, or perhaps a paragraph would be useful to provide some additional reassurance. When we talk about "unexplored terrain, "an entirely different economic world," and "an R&D lab for the whole country because you're figuring out how to shape your own identity in an evolving economy" it can sound to the listener that all we are offering is dynamism and change. Phrases like "the daunting challenge of adapting" and "It'll be tough for a lot of private sector companies" may tend to reinforce the fears people already have. Individuals and families want the reassurance that we have a steady hand on the helm, that we will be there with them helping to keep our economy the most productive in the world. 2. This is a good occasion to talk about the export opportunities in a global economy. We are, after all, now, once again, the world's leading exporting nation. If you have any questions, please let me know. CC: Phillip D. Brady gt :9d 91 Nnr 26 Beth -- Roger Porter called re Orange County, and I wanted to pass along this general comment: Roger thinks the speech leans a bit too much on painting a picture of a daunting, uncertain future. There's a fine line here -- too much change/new/different/etc. can be disconcerting to people who would just as soon settle for a little calm and continuity. Roger would notch back a bit on this -- also, he'd add the word opportunity 2, 3, or 4 more times (in the trade section for instance) to cast the future in a positive, enticing, non-threatening light DMcG one You lim Yarlum in change of Sor Carm with umpoles am ingen Document No. 333428ss JmH WHITE HOUSE STAFFING MEMORANDUM TA RN wm DATE: 6/15/92 ACTION/CONCURRENCE/COMMENT DUE BY: TUES. 6/16 3:00 pm PRESIDENTIAL REMARKS: INDUSTIRAL LEAGUE OF ORANGE COUNTY SUBJECT: IRVINE, CA - FRI. 6/19/92 - 1:00 p.m. ACTION FYI ACTION FYI VICE PRESIDENT HORNER SKINNER MCBRIDE SCOWCROFT MOORE DARMAN PETERSMEYER BRADY PORTER BROMLEY ROLLINS CALIO SMITH DEMAREST YEUTTER FITZWATER FINDLAY GRAY KAUFMAN HOLIDAY MCGROARTY BOSKIN REMARKS: Please forward your comments directly to Dan McGroarty, RM. 122, x2930, no later than 3:00 p.m., TUESDAY, JUNE 16, with a copy to this office. Thank you. RESPONSE: PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 (Hinchliffe/Gershowitz) June 15, 1992 4 p.m. DOD Draft Two ? UN15 P5: 09 PRESIDENTIAL REMARKS: INDUSTRIAL LEAGUE OF ORANGE COUNTY FRIDAY, JUNE 19, 1992 1 P.M. IRVINE HYATT, IRVINE, CALIFORNIA (ACKNOWLEDGMENTS) And I'm proud to be standing here with three men who are solid, strong leaders not only for Orange County, but for this country. Bob Dornan -- a real a champion of American values, who's been at my side in every election -- an aggressive spokesman for the things we believe in. Chris Cox -- an innovative, creative Congressman who embodies the vibrant, entrepreneurial spirit of this area -- he's pushing great new FORCEFUL ADVOCATE FOR ideas like Turbo Enterprise Zones, and is a real J champion of budget reform. And Dana Rohrbacher -- glad to see you could take some time off from surfing -- he's deeply involved in what I want to talk to you about today -- our nation's transition into the post-Cold War era, and what this means to a competitive economy. Three days ago, I sat in the Oval Office with Russia's freely elected President, Boris Yeltsin, and we spoke of the dreams we share for our people. It was an extraordinary moment. Just think how in the last few years we've witnessed great gains for democracy -- events we scarcely dreamed would take place in our lifetimes. We're closer than ever to the people of every nation, rejoicing as one at the new breeze of freedom which swept the globe, scattering the last dust of grim totalitarianism. But there are new challenges we face in the unexplored I post- Cold War terrain. There are still pioneer days ahead. You know, at one point in the movie called "Awakenings," a fellow who's 2 been asleep for decades finally wakes up and has the whole world in front of him. When his doctor asks him what he wants to do that day, his face breaks into a huge grin and he shouts: "Everything!" That's the spirit we need to call up right now -- that purely American belief in a future that knows no limits. We're entering an entirely different economic world than the one we grew up in -- and that unbeatable spirit is what's going to lead us to success. William Jennings Bryan captured that bold spirit when he said: "Destiny is not a matter of chance -- it's a matter of choice. It is not a thing to be waited for -- it is a thing to be achieved." I've seen how Californians are achieving your destiny. You're not waiting for chance -- you're making the choice. That's what we must do all over this land. For 200 years, our prosperity has sprung from our ability to innovate, to create, to change as the world changes. That's the heart of entrepreneurial capitalism -- a heart I hear beating right here in Orange County. FULL of DYNAMISM AND INNOVATION. This place is almost like an R&D lab for the whole country, o y ARE ING ROLE because you figuring out how to shape your own identity in an FILLED evolving economy. This area is packed with successful examples of the technological transition from the Cold War to the era of global economic competition -- you're using systems developed for national defense to take aim at commercial markets worldwide. As the defense department "downsizes" in the new post-Cold War era, you face the daunting I challenge of adapting from the IT IS A CHALLENGE military to the competitive civilian market. It'll be tough for 3 SOME I AM CONFIDENT you WILL MEET. a lot of private sector companies, and their employees. of But I've seen examples of some remarkably creative thinking. During the Cold War, the military essentially funded the Fiems IN development of new manufacturing techniques. Now, led by Orange County, companies are demonstrating astounding innovation in pouer by turning these techniques to new uses in the civilian market. The proof is all around us. Hughes Aircraft is applying the military's Global Positioning Satellite System to a new procedure controlling shipping traffic along our coastal waters. McDonnell Douglas is using the SDI-funded SSTO program to dramatically reduce costs of reaching into orbit -- this will ensure that we lead the world's commercial aerospace industry. Rockwell is developing ways of using SDI's high-tech offshoots to give us smart cars and smart freeways, breaking gridlock on our highways -- that's certainly good news for Southern California. 11 And I just came from visiting Aura Systems. I got to see up AVEAUT: IS close how this small company is thriving: why they re hiring when so many others are firing. It's because they re able to adapt. NOW They re at the cutting edge of the post-Cold War era, leading the drive to transform this world into a productive peace. But while we look ahead to these exciting new horizons there is one critical element we must never forget. Just because the Cold War is over doesn't mean that our need for the strongest defense is over, too. That need may change, but it will never disappear. Look at the threat posed by terrorists -- by renegade regimes -- by global uncertainties. Well, because companies like 4 these in Orange County continue to develop and use technology begun for defense, our next generation of the military will find that the technology has continued to evolve. We need not fear for our defense -- for our children -- for our future. In the meantime, look how one company is successfully making the post-Cold War transition to replace disappearing defense contracts. Aura Systems started as a military R&D company, doing virtually 100% DoD work. Now, they've won civilían contracts that make up 80% of their work. They have seen the future -- AURA out. is they're using their military-developed technology to beat weapons into ploughshares. For instance, their imagination has led them to use SDI-funded work on electromagnetics to develop vibrationless jackhammers -- and precision instruments used in cataract surgery. And they're applying their military electro- optics technology to improve commercial telecommunications. These Orange County companies lead us because they're not stuck in the old ways of thinking. They're not afraid to take risks. Look what happens to companies who want to be the biggest fish in the pond -- but who are afraid to be the first to dive in. Companies willing to maneuver and adapt to changing TOO marketplace realities survive. Dinosaurs are fated to die. STRONG Of course, this transformation is not going to be easy. The new world economy of the 21st century will be a new age of Ameri- can competition in a fiercely challenging global marketplace. And we simply have to make some changes if we expect to compete. We have to realize the intensified need for sophisticated, well- 5 educated workers. The worldwide high-tech explosion will leave us behind unless we literally reinvent American education -- to turn out the best-prepared workers in this world. To do this, let's borrow a page from business -- let's bring competition into our schools through ideas like school choice. That's how we'll make our schools -- and our future -- the best in the world. We have a huge challenge ahead of us. But we can more than match it if we remember what FDR said a half-century ago: "The only limit to our realization of tomorrow will be our doubts of today." I am absolutely I committed to using every resource I can to pave our way into the future. Right now, I'll fight for measures to add jobs -- actions like encouraging investments through the capital gains tax cut; increasing jobs by reducing regulations; and encouraging trade and opening markets abroad. You know first-hand how important that is. California leads this nation in exports -- accounting for one out of every seven U.S. export dollars. Just last year -- in an 8% increase over 1990 -- this state exported over $63 billion in goods. And, in all, your ports handled two-way trade values at nearly $175 billion -- creating jobs up and down this golden coast. Long term, 2 Washington must have the courage to do the hard work of government -- work which requires a little less self- interest and a lot more discipline than most elected officials currently show. I'm talking about whipping BRINGING government spending UNDER into control. I'm talking about being brave enough to launch a 6 genuine, strong effort to reduce runaway spending and to enforce disciplinary measures. I'm talking about real government reform. We must begin by forcing Congressmen to come down from their ivory tower, down off Capitol Hill to listen to the American people -- 77% of whom support the balanced budget amendment. Voters are saying to Congress: "We know you're borrowing from the future to pay for indulgences of the present and we won't stand for this any more." For years now, I've called for a balanced budget amendment because to ensure long-term economic growth we must get federal spending under control. High deficits raise interest rates -- high interest rates kill jobs -- a ransomed future kills hope. When I was visiting Aura Systems this morning, I was struck by its motto: "The Link Between Problem and Solution." Well, we all have the chance to be that link for our country. We have the chance to guide America into the world of the new century -- a world in which defeatism produces defeat, but where confidence and self-reliance produce greatness. We will find that greatness. We will shape from inside ourselves a country ready to seize the opportunities the new world economy offers. I believe in that -- I believe in us -- I believe in America. God bless you all. # # # # # Document No. 333428ss WHITE HOUSE STAFFING MEMORANDUM DATE: 6/15/92 ACTION/CONCURRENCE/COMMENT DUE BY: TUES. 6/16 3:00 pm PRESIDENTIAL REMARKS: INDUSTIRAL LEAGUE OF ORANGE COUNTY SUBJECT: IRVINE, CA - FRI. 6/19/92 - 1:00 p.m. ACTION FYI ACTION FYI VICE PRESIDENT HORNER SKINNER MCBRIDE SCOWCROFT MOORE DARMAN PETERSMEYER BRADY PORTER BROMLEY ROLLINS CALIO SMITH DEMAREST YEUTTER FITZWATER FINDLAY GRAY KAUFMAN HOLIDAY MCGROARTY BOSKIN REMARKS: Please forward your comments directly to Dan McGroarty, RM. 122, x2930, no later than 3:00 p.m., TUESDAY, JUNE 16, with a copy to this office. Thank you. RESPONSE: No comments R. Grady may respond ata later time) PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 (Hinchliffe/Gershowitz) June 15, 1992 4 p.m. DOD Draft Two UN15 P5: 09 PRESIDENTIAL REMARKS: INDUSTRIAL LEAGUE OF ORANGE COUNTY FRIDAY, JUNE 19, 1992 1 P.M. IRVINE HYATT, IRVINE, CALIFORNIA (ACKNOWLEDGMENTS) And I'm proud to be standing here with three men who are solid, strong leaders not only for Orange County, but for this country. Bob Dornan -- a real champion of American values, who's been at my side in every election -- an aggressive spokesman for the things we believe in. Chris Cox -- an innovative, creative Congressman who embodies the vibrant, entrepreneurial spirit of this area -- he's pushing great new ideas like Turbo Enterprise Zones, and is a real champion of budget reform. And Dana Rohrbacher -- glad to see you could take some time off from surfing -- he's deeply involved in what I want to talk to you about today -- our nation's transition into the post-Cold War era, and what this means to a competitive economy. Three days ago, I sat in the Oval Office with Russia's freely elected President, Boris Yeltsin, and we spoke of the dreams we share for our people. It was an extraordinary moment. Just think how in the last few years we've witnessed great gains for democracy -- events we scarcely dreamed would take place in our lifetimes. We're closer than ever to the people of every nation, rejoicing as one at the new breeze of freedom which swept the globe, scattering the last dust of grim totalitarianism. But there are new challenges we face in the unexplored post- Cold War terrain. There are still pioneer days ahead. You know, at one point in the movie called "Awakenings," a fellow who's 2 been asleep for decades finally wakes up and has the whole world in front of him. When his doctor asks him what he wants to do that day, his face breaks into a huge grin and he shouts: "Everything!" That's the spirit we need to call up right now -- that purely American belief in a future that knows no limits. We're entering an entirely different economic world than the one we grew up in -- and that unbeatable spirit is what's going to lead us to success. William Jennings Bryan captured that bold spirit when he said: "Destiny is not a matter of chance -- it's a matter of choice. It is not a thing to be waited for -- it is a thing to be achieved." I've seen-how Californians are achieving your destiny. You're not waiting for chance -- you're making the choice. That's what we must do all over this land. For 200 years, our prosperity has sprung from our ability to innovate, to create, to change as the world changes. That's the heart of entrepreneurial capitalism -- a heart I hear beating right here in Orange County. This place is almost like an R&D lab for the whole country, because you're figuring out how to shape your own identity in an evolving economy. This area is packed with successful examples of the technological transition from the Cold War to the era of global economic competition -- you're using systems developed for national defense to take aim at commercial markets worldwide. As the defense department "downsizes" in the new post-Cold War era, you face the daunting challenge of adapting from the military to the competitive civilian market. It'll be tough for 3 a lot of private sector companies, and their employees. But I've seen examples of some remarkably creative thinking. During the Cold War, the military essentially funded the development of new manufacturing techniques. Now, led by Orange County, companies are demonstrating astounding innovation in turning these techniques to new uses in the civilian market. The proof is all around us. Hughes Aircraft is applying the military's Global Positioning Satellite System to a new procedure controlling shipping traffic along our coastal waters. McDonnell Douglas is using the SDI-funded SSTO program to dramatically reduce costs of reaching into orbit -- this will ensure that we lead the world's commercial aerospace industry. Rockwell is developing ways of using SDI's high-tech offshoots to give us smart cars and smart freeways, breaking gridlock on our highways -- that's certainly good news for Southern California. 11 And I just came from visiting Aura Systems. I got to see up close how this small company is thriving: why they're hiring when so many others are firing. It's because they're able to adapt. They're at the cutting edge of the post-Cold War era, leading the drive to transform this world into a productive peace. But while we look ahead to these exciting new horizons there is one critical element we must never forget. Just because the Cold War is over doesn't mean that our need for the strongest defense is over, too. That need may change, but it will never disappear. Look at the threat posed by terrorists -- by renegade regimes -- by global uncertainties. Well, because companies like 4 these in Orange County continue to develop and use technology begun for defense, our next generation of the military will find that the technology has continued to evolve. We need not fear for our defense -- for our children -- for our future. In the meantime, look how one company is successfully making the post-Cold War transition to replace disappearing defense contracts. Aura Systems started as a military R&D company, doing virtually 100% DoD work. Now, they've won civilian contracts that make up 80% of their work. They have seen the future -- they're using their military-developed technology to beat weapons into ploughshares. For instance, their imagination has led them to use SDI-funded work on electromagnetics to develop vibrationless jackhammers -- and precision instruments used in cataract surgery. And they're applying their military electro- optics technology to improve commercial telecommunications. These Orange County companies lead us because they're not stuck in the old ways of thinking. They're not afraid to take risks. Look what happens to companies who want to be the biggest fish in the pond -- but who are afraid to be the first to dive in. Companies willing to maneuver and adapt to changing marketplace realities survive. Dinosaurs are fated to die. 11 Of course, this transformation is not going to be easy. The new world economy of the 21st century will be a new age of Ameri- can competition in a fiercely challenging global marketplace. And we simply have to make some changes if we expect to compete. We have to realize the intensified need for sophisticated, well- 5 educated workers. The worldwide high-tech explosion will leave us behind unless we literally reinvent American education -- to turn out the best-prepared workers in this world. To do this, let's borrow a page from business -- let's bring competition into our schools through ideas like school choice. That's how we'll make our schools -- and our future -- the best in the world. We have a huge challenge ahead of us. But we can more than match it if we remember what FDR said a half-century ago: "The only limit to our realization of tomorrow will be our doubts of today." I am absolutely committed to using every resource I can to pave our way into the future. Right now, I'll fight for measures to add jobs -- actions like encouraging investments through the capital gains tax cut; increasing jobs by reducing regulations; and encouraging trade and opening markets abroad. You know first-hand how important that is. California leads this nation in exports -- accounting for one out of every seven U.S. export dollars. Just last year -- in an 8% increase over 1990 --- this state exported over $63 billion in goods. And, in all, your ports handled two-way trade values at nearly $175 billion -- creating jobs up and down this golden coast. Long-term, Washington must have the courage to do the hard work of government -- work which requires a little less self- interest and a lot more discipline than most elected officials currently show. I'm talking about whipping government spending into control. I'm talking about being brave enough to launch a 6 genuine, strong effort to reduce runaway spending and to enforce disciplinary measures. I'm talking about real government reform. We must begin by forcing Congressmen to come down from their ivory tower, down off Capitol Hill to listen to the American people -- 77% of whom support the balanced budget amendment. Voters are saying to Congress: "We know you're borrowing from the future to pay for indulgences of the present and we won't stand for this any more." For years now, I've called for a balanced budget amendment because to ensure long-term economic growth we must get federal spending under control. High deficits raise interest rates -- high interest rates kill jobs -- a ransomed future kills hope. When I was visiting Aura Systems this morning, I was struck by its motto: "The Link Between Problem and Solution." Well, we all have the chance to be that link for our country. We have the chance to guide America into the world of the new century -- a world in which defeatism produces defeat, but where confidence and self-reliance produce greatness. We will find that greatness. We will shape from inside ourselves a country ready to seize the opportunities the new world economy offers. I believe in that -- I believe in us -- I believe in America. God bless you all. # # # # # Document No. 333428ss WHITE HOUSE STAFFING MEMORANDUM DATE: 6/15/92 ACTION/CONCURRENCE/COMMENT DUE BY: TUES. 6/16 3:00pm PRESIDENTIAL REMARKS: INDUSTIRAL LEAGUE OF ORANGE COUNTY SUBJECT: IRVINE, CA - FRI. 6/19/92 - 1:00 p.m. ACTION FYI ACTION FYI VICE PRESIDENT HORNER SKINNER MCBRIDE SCOWCROFT MOORE DARMAN PETERSMEYER BRADY PORTER BROMLEY ROLLINS CALIO SMITH DEMAREST YEUTTER FITZWATER FINDLAY GRAY KAUFMAN HOLIDAY MCGROARTY BOSKIN REMARKS: Please forward your comments directly to Dan McGroarty, RM. 122, x2930, no later than 3:00 p.m., TUESDAY, JUNE 16, with a copy to this office. Thank you. RESPONSE: PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 Teeder (Hinchliffe/Gershowitz) June 15, 1992 4 p.m. DOD Draft Two UN15 P5: 09 PRESIDENTIAL REMARKS: INDUSTRIAL LEAGUE OF ORANGE COUNTY FRIDAY, JUNE 19, 1992 1 P.M. IRVINE HYATT, IRVINE, CALIFORNIA (ACKNOWLEDGMENTS) And I'm proud to be standing here with three men who are solid, strong leaders not only for Orange yething benefits County, but for this country. Bob Dornan -- a real champion of American values, who's been at my side in every election -- an stories aggressive spokesman for the things we believe in. Chris Cox -- an innovative, creative Congressman who embodies the vibrant, unstable entrepreneurial spirit of this area -- he's pushing great new places ideas like Turbo Enterprise Zones, and is a real champion of relair relationall solions budget reform. And Dana Rohrbacher -- glad to see you could take some time off from surfing -- he's deeply involved in what I want 60 defend to talk to you about today -- our nation's transition into the post-Cold War era, and what this means to a competitive economy. roleis different Three days ago, I sat in the Oval Office with Russia's in freely elected President, Boris Yeltsin, and we spoke of the 3 rum dreams we share for our people. It was an extraordinary moment. change Hast Just think how in the last few years we've witnessed great gains for democracy -- events we scarcely dreamed would take place in effective have caubs - and hopefour v de our lifetimes. We're closer than ever to the people of every nation, rejoicing as one at the new breeze of freedom which swept archateof the globe, scattering the last dust of grim totalitarianism. But there are new challenges we face in the unexplored post- art Cold War terrain. There are still pioneer days ahead. You know, at one point in the movie called "Awakenings," a fellow who's 2 been asleep for decades finally wakes up and has the whole world in front of him. When his doctor asks him what he wants to do that day, his face breaks into a huge grin and he shouts: "Everything!" That's the spirit we need to call up right now -- that purely American belief in a future that knows no limits. We're entering an entirely different economic world than the one we grew up in -- and that unbeatable spirit is what's going to lead us to success. William Jennings Bryan captured that bold spirit when he said: "Destiny is not a matter of chance -- it's a matter of choice. It is not a thing to be waited for -- it is a thing to be achieved." I've seen how Californians are achieving your destiny. You're not waiting for chance -- you're making the choice. That's what we must do all over this land. For 200 years, our prosperity has sprung from our ability to innovate, to create, to change as the world changes. That's the heart of entrepreneurial capitalism -- a heart I hear beating right here in Orange County. This place is almost like an R&D lab for the whole country, because you're figuring out how to shape your own identity in an evolving economy. This area is packed with successful examples of the technological transition from the Cold War to the era of global economic competition -- you're using systems developed for national defense to take aim at commercial markets worldwide. As the defense department "downsizes" in the new post-Cold War era, you face the daunting challenge of adapting from the military to the competitive civilian market. It'll be tough for 3 a lot of private sector companies, and their employees. But I've seen examples of some remarkably creative thinking. During the Cold War, the military essentially funded the development of new manufacturing techniques. Now, led by Orange County, companies are demonstrating astounding innovation in turning these techniques to new uses in the civilian market. The proof is all around us. Hughes Aircraft is applying the military's Global Positioning Satellite System to a new procedure controlling shipping traffic along our coastal waters. McDonnell Douglas is using the SDI-funded SSTO program to dramatically reduce costs of reaching into orbit -- this will ensure that we lead the world's commercial aerospace industry. Rockwell is developing ways of using SDI's high-tech offshoots to give us smart cars and smart freeways, breaking gridlock on our highways -- that's certainly good news for Southern California. 11 And I just came from visiting Aura Systems. I got to see up close how this small company is thriving: why they're hiring when so many others are firing. It's because they're able to adapt. They're at the cutting edge of the post-Cold War era, leading the drive to transform this world into a productive peace. But while we look ahead to these exciting new horizons there is one critical element we must never forget. Just because the Cold War is over doesn't mean that our need for the strongest defense is over, too. That need may change, but it will never disappear. Look at the threat posed by terrorists -- by renegade regimes -- by global uncertainties. Well, because companies like 4 these in Orange County continue to develop and use technology begun for defense, our next generation of the military will find that the technology has continued to evolve. We need not fear for our defense -- for our children -- for our future. In the meantime, look how one company is successfully making the post-Cold War transition to replace disappearing defense contracts. Aura Systems started as a military R&D company, doing virtually 100% DoD work. Now, they've won civilian contracts that make up 80% of their work. They have seen the future -- they're using their military-developed technology to beat weapons into ploughshares. For instance, their imagination has led them to use SDI-funded work on electromagnetics to develop vibrationless jackhammers -- and precision instruments used in cataract surgery. And they're applying their military electro- optics technology to improve commercial telecommunications: These Orange County companies lead us because they're not stuck in the old ways of thinking. They're not afraid to take risks. Look what happens to companies who want to be the biggest fish in the pond -- but who are afraid to be the first to dive in. Companies willing to maneuver and adapt to changing marketplace realities survive. Dinosaurs are fated to die. 11 of course, this transformation is not going to be easy. The new world economy of the 21st century will be a new age of Ameri- can competition in a fiercely challenging global marketplace. And we simply have to make some changes if we expect to compete. We have to realize the intensified need for sophisticated, well- 5 educated workers. The worldwide high-tech explosion will leave us behind unless we literally reinvent American education -- to turn out the best-prepared workers in this world. To do this, let's borrow a page from business -- let's bring competition into our schools through ideas like school choice. That's how we'll make our schools -- and our future -- the best in the world. We have a huge challenge ahead of us. But we can more than match it if we remember what FDR said a half-century ago: "The only limit to our realization of tomorrow will be our doubts of today." I am absolutely committed to using every resource I can to pave our way into the future. Right now, I'll fight for measures to add jobs -- actions like encouraging investments through the capital gains tax cut; increasing jobs by reducing regulations; and encouraging trade and opening markets abroad. You know first-hand how important that is. California leads this nation in exports -- accounting for one out of every seven U.S. export dollars. Just last year -- in an 8% increase over 1990 -- this state exported over $63 billion in goods. And, in all, your ports handled two-way trade values at nearly $175 billion -- creating jobs up and down this golden coast. Long-term, Washington must have the courage to do the hard work of government -- work which requires a little less self- interest and a lot more discipline than most elected officials currently show. I'm talking about whipping government spending into control. I'm talking about being brave enough to launch a 6 genuine, strong effort to reduce runaway spending and to enforce disciplinary measures. I'm talking about real government reform. We must begin by forcing Congressmen to come down from their ivory tower, down off Capitol Hill to listen to the American people -- 77% of whom support the balanced budget amendment. Voters are saying to Congress: "We know you're borrowing from the future to pay for indulgences of the present and we won't stand for this any more." For years now, I've called for a balanced budget amendment because to ensure long-term economic growth we must get federal spending under control. High deficits raise interest rates -- high interest rates kill jobs -- a ransomed future kills hope. When I was visiting Aura Systems this morning, I was struck by its motto: "The Link Between Problem and Solution." Well, we all have the chance to be that link for our country. We have the chance to guide America into the world of the new century -- a world in which defeatism produces defeat, but where confidence and self-reliance produce greatness. We will find that greatness. We will shape from inside ourselves a country ready to seize the opportunities the new world economy offers. I believe in that -- I believe in us -- I believe in America. God bless you all. # # # # # STATE dr Hi Dan -- Here's the latest version -- I've highlighted the info from Chris Cox. I've incorporated just about everything Roger Porter suggested -- and the other staffing comments I'm actually really pleased -- I think this comes together better. I held off on putting in the Congressmen acknowledgements because it's now uncertain if they'll be there -- vote on Friday. Bett Dan- Please see our changes on last page CC VOGT 6/16 7:710AM Document No. 333428ss FONG SANCHEZ WHITE HOUSE STAFFING MEMORANDUM DATE: 6/15/92 ACTION/CONCURRENCE/COMMENT DUE BY: TUES. 6/16 3:00 pm PRESIDENTIAL REMARKS: INDUSTIRAL LEAGUE OF ORANGE COUNTY SUBJECT: IRVINE, CA - FRI. 6/19/92 - 1:00 p.m. ACTION FYI ACTION FYI VICE PRESIDENT HORNER SKINNER MCBRIDE SCOWCROFT MOORE DARMAN PETERSMEYER BRADY PORTER BROMLEY ROLLINS CALIO SMITH DEMAREST YEUTTER FITZWATER FINDLAY GRAY KAUFMAN HOLIDAY MCGROARTY BOSKIN REMARKS: Please forward your comments directly to Dan McGroarty, RM. 122, x2930, no later than 3:00 p.m., TUESDAY, JUNE 16, with a copy to this office. Thank you. RESPONSE: PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 (Hinchliffe/Gershowitz) June 15, 1992 4 p.m. DOD Draft Two ? UN15 P5: 09 PRESIDENTIAL REMARKS: INDUSTRIAL LEAGUE OF ORANGE COUNTY FRIDAY, JUNE 19, 1992 1 P.M. IRVINE HYATT, IRVINE, CALIFORNIA (ACKNOWLEDGMENTS) And I'm proud to be standing here with three men who are solid, strong leaders not only for Orange County, but for this country. Bob Dornan -- a real champion of American values, who's been at my side in every election -- an aggressive spokesman for the things we believe in. Chris Cox -- an innovative, creative Congressman who embodies the vibrant, entrepreneurial spirit of this area -- he's pushing great new ideas like Turbo Enterprise Zones, and is a real champion of budget reform. And Dana Rohrbacher -- glad to see you could take some time off from surfing -- he's deeply involved in what I want to talk to you about today -- our nation's transition into the post-Cold War era, and what this means to a competitive economy. Three days ago, I sat in the Oval Office with Russia's freely elected President, Boris Yeltsin, and we spoke of the dreams we share for our people. It was an extraordinary moment. Just think how in the last few years we've witnessed great gains for democracy -- events we scarcely dreamed would take place in our lifetimes. We're closer than ever to the people of every nation, rejoicing as one at the new breeze of freedom which swept the globe, scattering the last dust of grim totalitarianism. But there are new challenges we face in the unexplored post- Cold War terrain. There are still pioneer days ahead. You know, at one point in the movie called "Awakenings," a fellow who's 2 been asleep for decades finally wakes up and has the whole world in front of him. When his doctor asks him what he wants to do that day, his face breaks into a huge grin and he shouts: "Everything!" That's the spirit we need to call up right now -- that purely American belief in a future that knows no limits. We're entering an entirely different economic world than the one we grew up in -- and that unbeatable spirit is what's going to lead us to success. William Jennings Bryan captured that bold spirit when he said: "Destiny is not a matter of chance -- it's a matter of choice. It is not a thing to be waited for -- it is a thing to be achieved." I've seen how Californians are achieving your destiny. You're not waiting for chance -- you're making the choice. That's what we must do all over this land. For 200 years, our prosperity has sprung from our ability to innovate, to create, to change as the world changes. That's the heart of entrepreneurial capitalism -- a heart I hear beating right here in Orange County. This place is almost like an R&D lab for the whole country, because you're figuring out how to shape your own identity in an evolving economy. This area is packed with successful examples of the technological transition from the Cold War to the era of global economic competition -- you're using systems developed for national defense to take aim at commercial markets worldwide. As the defense department "downsizes" in the new post-Cold War era, you face the daunting challenge of adapting from the military to the competitive civilian market. It'll be tough for 3 a lot of private sector companies, and their employees. But I've seen examples of some remarkably creative thinking. During the Cold War, the military essentially funded the development of new manufacturing techniques. Now, led by Orange County, companies are demonstrating astounding innovation in turning these techniques to new uses in the civilian market. The proof is all around us. Hughes Aircraft is applying the military's Global Positioning Satellite System to a new procedure controlling shipping traffic along our coastal waters. McDonnell Douglas is using the SDI-funded SSTO program to dramatically reduce costs of reaching into orbit -- this will ensure that we lead the world's commercial aerospace industry. Rockwell is developing ways of using SDI's high-tech offshoots to give us smart cars and smart freeways, breaking gridlock on our highways -- that's certainly good news for Southern California. 11 And I just came from visiting Aura Systems. I got to see up close how this small company is thriving: why they're hiring when so many others are firing. It's because they're able to adapt. They're at the cutting edge of the post-Cold War era, leading the drive to transform this world into a productive peace. But while we look ahead to these exciting new horizons there is one critical element we must never forget. Just because the Cold War is over doesn't mean that our need for the strongest defense is over, too. That need may change, but it will never disappear. Look at the threat posed by terrorists -- by renegade regimes -- by global uncertainties. Well, because companies like 4 these in Orange County continue to develop and use technology begun for defense, our next generation of the military will find that the technology has continued to evolve. We need not fear for our defense -- for our children -- for our future. In the meantime, look how one company is successfully making the post-Cold War transition to replace disappearing defense contracts. Aura Systems started as a military R&D company, doing virtually 100% DoD work. Now, they've won civilian contracts that make up 80% of their work. They have seen the future -- they're using their military-developed technology to beat weapons into ploughshares. For instance, their imagination has led them to use SDI-funded work on electromagnetics to develop vibrationless jackhammers -- and precision instruments used in cataract surgery. And they're applying their military electro- optics technology to improve commercial telecommunications. These Orange County companies lead us because they're not stuck in the old ways of thinking. They're not afraid to take risks. Look what happens to companies who want to be the biggest fish in the pond -- but who are afraid to be the first to dive in. Companies willing to maneuver and adapt to changing marketplace realities survive. Dinosaurs are fated to die. 11 of course, this transformation is not going to be easy. The new world economy of the 21st century will be a new age of Ameri- can competition in a fiercely challenging global marketplace. And we simply have to make some changes if we expect to compete. We have to realize the intensified need for sophisticated, well- 5 educated workers. The worldwide high-tech explosion will leave us behind unless we literally reinvent American education -- to turn out the best-prepared workers in this world. To do this, let's borrow a page from business -- let's bring competition into our schools through ideas like school choice. That's how we'll make our schools -- and our future -- the best in the world. We have a huge challenge ahead of us. But we can more than match it if we remember what FDR said a half-century ago: "The only limit to our realization of tomorrow will be our doubts of today." I am absolutely committed to using every resource I can to pave our way into the future. Right now, I'll fight for measures to add jobs -- actions like encouraging investments through the capital gains tax cut; increasing jobs by reducing regulations; and encouraging trade and opening markets abroad. You know first-hand how important that is. California leads this nation in exports -- accounting for one out of every seven U.S. export dollars. Just last year -- in an 8% increase over 1990 -- this state exported over $63 billion in goods. And, in all, your ports handled two-way trade values at nearly $175 billion -- creating jobs up and down this golden coast. Long-term, Washington must have the courage to do the hard work of government -- work which requires a little less self- interest and a lot more discipline than most elected officials currently show. I'm talking about whipping government spending into control. I'm talking about being brave enough to launch a 6 genuine, strong effort to reduce runaway spending and to enforce disciplinary measures. I'm talking about real government reform. We must begin by forcing Congressmen to come down from their ivory tower, down off Capitol Hill to listen to the American people -- 77% of whom support the balanced budget amendment. Voters are saying to Congress: "We know you're borrowing from the future to pay for indulgences of the present and we won't stand for this any more." For years now, I've called for a balanced budget amendment because to ensure long-term economic growth we must get federal spending under control. High deficits raise interest rates -- high interest rates kill jobs -- a ransomed future kills hope. When I was visiting Aura Systems this morning, I was struck by its motto: "The Link Between Problem and Solution. " Well, we all have the chance to be that link for our country. We have the chance to guide America into the world of the new century -- a world in which defeatism produces defeat, but where confidence and self-reliance produce greatness. We will find that greatness. We will shape from inside ourselves a country ready to seize the opportunities the new world economy offers. I believe in that -- I believe in us -- I believe in America. God bless you all. # # # # # Document No. 333428ss WHITE HOUSE STAFFING MEMORANDUM DATE: 6/15/92 ACTION/CONCURRENCE/COMMENT DUE BY: TUES. 6/16 3:00 pm PRESIDENTIAL REMARKS: INDUSTIRAL LEAGUE OF ORANGE COUNTY SUBJECT: IRVINE, CA - - FRI. 6/19/92 - 1:00 p.m. ACTION FYI ACTION FYI VICE PRESIDENT HORNER SKINNER MCBRIDE SCOWCROFT MOORE DARMAN PETERSMEYER BRADY PORTER BROMLEY ROLLINS CALIO SMITH DEMAREST YEUTTER FITZWATER FINDLAY GRAY KAUFMAN HOLIDAY MCGROARTY BOSKIN REMARKS: Please forward your comments directly to Dan McGroarty, RM. 122, x2930, no later than 3:00 p.m., TUESDAY, JUNE 16, with a copy to this office. Thank you. RESPONSE: Comments included - pl PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 (Hinchliffe/Gershowitz) June 15, 1992 4 p.m. DOD Draft Two ? UN15 P5: 09 PRESIDENTIAL REMARKS: INDUSTRIAL LEAGUE OF ORANGE COUNTY FRIDAY, JUNE 19, 1992 1 P.M. IRVINE HYATT, IRVINE, CALIFORNIA (ACKNOWLEDGMENTS) And I'm proud to be standing here with three men who are solid, strong leaders not only for Orange County, but for this country. Bob Dornan -- a real champion of American values, who's been at my side in every election -- an aggressive spokesman for the things we believe in. Chris Cox -- an innovative, creative Congressman who embodies the vibrant, entrepreneurial spirit of this area -- he's pushing great new ideas like Turbo Enterprise Zones, and is a real champion of budget reform. And Dana Rohrbacher -- glad to see you could take some time off from surfing -- he's deeply involved in what I want to talk to you about today -- our nation's transition into the Not post-Cold War era, and what this means to a competitive economy. Three days ago, I sat in the Oval Office with Russia's change cute freely elected President, Boris Yeltsin, and we spoke of the dreams we share for our people. It was an extraordinary moment. Karfman x2135 Just think how in the last few years we've witnessed great gains for democracy -- events we scarcely dreamed would take place in our lifetimes. We're closer than ever to the people of every nation, rejoicing as one at the new breeze of freedom which swept the globe, scattering the last dust of grim totalitarianism. But there are new challenges we face in the unexplored post- Cold War terrain. There are still pioneer days ahead. You know, at one point in the movie called "Awakenings," a fellow who's 2 been asleep for decades finally wakes up and has the whole world in front of him. When his doctor asks him what he wants to do that day, his face breaks into a huge grin and he shouts: "Everything!" That's the spirit we need to call up right now -- that purely American belief in a future that knows no limits. We're entering an entirely different economic world than the one we grew up in -- and that unbeatable spirit is what's going to lead us to success. William Jennings Bryan captured that bold spirit when he said: "Destiny is not a matter of chance -- it's matter of choice. It is not a thing to be waited for -- it is a thing to be achieved." I've seen-how Californians are achieving your destiny. You're not waiting for chance -- you're making the choice. That's what we must do all over this land. For 200 years, our prosperity has sprung from our ability to innovate, to create, to change as the world changes. That's the heart of entrepreneurial capitalism -- a heart I hear beating right here in Orange County. This place is almost like an R&D lab for the whole country, because you're figuring out how to shape your own identity in an evolving economy. This area is packed with successful examples of the technological transition from the Cold War to the era of global economic competition -- you're using systems developed for national defense to take aim at commercial markets worldwide. As the defense department "downsizes" in the new post-Cold War era, you face the daunting challenge of adapting from the military to the competitive civilian market. It'll be tough for 3 a lot of private sector companies, and their employees. But I've seen examples of some remarkably creative thinking. During the Cold War, the military essentially funded the development of new manufacturing techniques. Now, led by Orange County, companies are demonstrating astounding innovation in turning these techniques to new uses in the civilian market. The proof is all around us. Hughes Aircraft is applying the military's Global Positioning Satellite System to a new procedure controlling shipping traffic along our coastal waters. McDonnell Douglas is using the SDI-funded SSTO program to dramatically reduce costs of reaching into orbit -- this will ensure that we lead the world's commercial aerospace industry. Rockwell is developing ways of using SDI's high-tech offshoots to give us smart cars and smart freeways, breaking gridlock on our highways -- that's certainly good news for Southern California. 11 And I just came from visiting Aura Systems. I got to see up close how this small company is thriving: why they're hiring when so many others are firing. It's because they're able to adapt. They're at the cutting edge of the post-Cold War era, leading the drive to transform this world into a productive peace. But while we look ahead to these exciting new horizons there is one critical element we must never forget. Just because the Cold War is over doesn't mean that our need for the strongest defense is over, too. That need may change, but it will never disappear. Look at the threat posed by terrorists -- by renegade regimes -- by global uncertainties. Well, because companies like 4 these in Orange County continue to develop and use technology begun for defense, our next generation of the military will find that the technology has continued to evolve. We need not fear for our defense -- for our children -- for our future. In the meantime, look how one company is successfully making the post-Cold War transition to replace disappearing defense contracts. Aura Systems started as a military R&D company, doing virtually 100% DoD work. Now, they've won civilian contracts that make up 80% of their work. They have seen the future -- they're using their military-developed technology to beat weapons into ploughshares. For instance, their imagination has led them to use SDI-funded work on electromagnetics to develop vibrationless jackhammers -- and precision instruments used in cataract surgery. And they're applying their military electro- optics technology to improve commercial telecommunications. These Orange County companies lead us because they're not stuck in the old ways of thinking. They're not afraid to take risks. Look what happens to companies who want to be the biggest fish in the pond -- but who are afraid to be the first to dive in. Companies willing to maneuver and adapt to changing marketplace realities survive. Dinosaurs are fated to die. 11 Of course, this transformation is not going to be easy. The new world economy of the 21st century will be a new age of Ameri- can competition in a fiercely challenging global marketplace. And we simply have to make some changes if we expect to compete. We have to realize the intensified need for sophisticated, well- 5 educated workers. The worldwide high-tech explosion will leave us behind unless we literally reinvent American education -- to turn out the best-prepared workers in this world. To do this, let's borrow a page from business -- let's bring competition into our schools through ideas like school choice. That's how we'll make our schools -- and our future -- the best in the world. We have a huge challenge ahead of us. But we can more than match it if we remember what FDR said a half-century ago: "The only limit to our realization of tomorrow will be our doubts of today." I am absolutely committed to using every resource I can to pave our way into the future. Right now, I'll fight for measures to add jobs -- actions like encouraging investments through the capital gains tax cut; increasing jobs by reducing regulations; and encouraging trade and opening markets abroad. You know first-hand how important that is. California leads this nation in exports -- accounting for one out of every seven U.S. export dollars. Just last year -- in an 8% increase over 1990 -- this state exported over $63 billion in goods. And, in all, your ports handled two-way trade values at nearly $175 billion -- creating jobs up and down this golden coast. Long-term, Washington must have the courage to do the hard work of government -- work which requires a little less self- interest and a lot more discipline than most elected officials currently show. I'm talking about whipping government spending into control. I'm talking about being brave enough to launch a 6 genuine, strong effort to reduce runaway spending and to enforce disciplinary measures. I'm talking about real government reform. We must begin by forcing Congressmen to come down from their ivory tower, down off Capitol Hill to listen to the American people -- 77% of whom support the balanced budget amendment. Voters are saying to Congress: "We know you're borrowing from the future to pay for indulgences of the present and we won't stand for this any more." For years now, I've called for a balanced budget amendment because to ensure long-term economic growth we must get federal spending under control. High deficits raise interest rates -- high interest rates kill jobs -- a ransomed future kills hope. When I was visiting Aura Systems this morning, I was struck by its motto: "The Link Between Problem and Solution." Well, we all have the chance to be that link for our country. We have the chance to guide America into the world of the new century -- a world in which defeatism produces defeat, but where confidence and self-reliance produce greatness. We will find that greatness. We will shape from inside ourselves a country ready to seize the opportunities the new world economy offers. I believe in that -- I believe in us -- I believe in America. God bless you all. # # RCV BY:Xerox Telecopier 7020 ; 6-16-92 ; 6:32PM ; Washington Office- 2024566218:# 1 CHRISTOPHER COX 412 CANNON BUILDING WASHINGTON, DC 20515-0540 CALIFORNIA (202) 225-5611 COMMITTEE ON PUBLIC WORKS 4000 MACARTHUR BOULEVARD AND TRANSPORTATION EAST TOWER. SUITE 430 SUBCOMMITTEES: NEWPORT BEACH. CA 92660 AVIATION (714) 756-2244 SURFACE TRANSPORTATION PUBLIC BUILDINGS AND GROUNDS CHAIRMAN: Congress of the United States TASK FORCE ON COMMITTEE ON GOVERNMENT OPERATIONS CAPITAL MARKETS RANKING MINORITY, SUBCOMMITTEE ON house of Representatives Co-CHAIRMAN: GOVERNMENT ACTIVITIES AND TRANSPORTATION TASK FORCE ON BUDGET PROCESS REFORM CONGRESSMAN CHRIS COX FAX COVER SHEET phone # 202 225-5611 fax # 202 225-9177 Date 6.16.92 Time 6:30 To Bith Hinchliff From Chirs Cary Fax # 456-6218 Number of Pages, including coversheet 4 Message: RCV BY:Xerox Telecopier 7020 ; 6-16-92 ; 6:33PM ; Washington Office- 2024566218;# 2 CHRISTOPHER COX 412 CANNON BUILDING 40TH DISTRICT, CALIFORNIA WASHINGTON, DC 20515 (202) 225-5811 COMMITTEE ON PUBLIC WORKS AND TRANSPORTATION 4000 MACARTHUR BOULEVARD SUBCOMMITTEES: EAST TOWER, SUITE 430 SURFACE TRANSPORTATION NEWPORT BEACH, CA 92660 WATER RESOURCES (714) 756-2244 PUBLIC BUILDINGS AND GROUNDS ECONOMIC DEVELOPMENT Congress of the United States CHAIRMAN: TASK FORCE ON CAPITAL MARKETS COMMITTEE ON GOVERNMENT OPERATIONS house of Representatives CO-CHAIRMAN: SUBCOMMITTEES: TASK FORCE ON GOVERNMENT ACTIVITIES AND TRANSPORTATION BUDGET PROCESS REFORM COMMERCE, CONSUMER, AND MONETARY AFFAIRS THE POWER OF THE MARKET. ORANGE COUNTY, THE RICHEST MAJOR MARKET IN SOUTHERN CALIFORNIA, NATIONALLY RANKS... 2 ND: RETAIL SALES (IN THE WEST)-$17.8 BILLION 4 TH: NEW CAR SALES* 4 TH: DINING OUT-$2.9 BILLION 8 TH: MEDIAN HOUSEHOLD SPENDABLE INCOME-$37,096 9 TH: HOUSEHOLD INCOME OF $50,000+ 10TH: EFFECTIVE BUYING INCOME-538 BILLION 12TH: BANK AND S&L DEPOSITS-$38 BILLION** 13TH: GROCERY SALES-$3.2 BILLION 14TH: DEPARTMENT STORE SALES-$1.7 BILLION Sources: R.L Polk Co. 1988 .. FDIC. 1988 Summary of Deposits. Cale à (Hinchliffe/Gershowitz) June 17, 1992 2 p.m. DOD Draft Four PRESIDENTIAL REMARKS: INDUSTRIAL LEAGUE OF ORANGE COUNTY FRIDAY, JUNE 19, 1992 1 P.M. IRVINE HYATT, IRVINE, CALIFORNIA [ACKNOWLEDGEMENTS] I'm proud to be standing here with three men who are solid, strong leaders not only for Orange County, but for this country. Bob Dornan: a real champion of American values, who's been at my side in every election, an aggressive spokesman for the things we believe in. Chris Cox: an innovative, creative Congressman who embodies the vibrant, entrepreneurial spirit of this area -- he's pushing great new ideas like Turbo Enterprise Zones, and is dedicated to budget reform. And Dana Rohrbacher, fresh off his surfboard: he's deeply involved in what I want to talk to you about today -- our nation's transition into the post- Cold War era, and what this means to a competitive economy. Three days ago I met at the White House with Russia's freely elected President, Boris Yeltsin. We rejoiced at the new breeze of freedom which has swept the globe, scattering the last dust of grim totalitarianism. And we spoke of the dreams we share for our people. [ADD ANECDOTE/DETAIL FROM PRIVATE TIME WITH YELTSIN] It was an extraordinary moment in history. We stood next to each other in the Rose Garden and together announced the end to a generation's nuclear nightmare. Our agreement will lead to the greatest arms reductions of the nuclear age -- reductions far deeper than we could have hoped for even six months ago. Think of what that means -- not for presidents, not for heads of state, not for historians -- but for parents and for their children. It 2 means a future free from fear -- a miracle for mankind. As I travel across this country after this historic summit, I see what our nuclear agreement means in the daily life of every American. With the threat of the Cold War behind us, we now have the freedom to focus on the concerns that trouble us at home. And with the new partnership of peace we've forged with Russia, we have the chance to expand trade -- to create jobs and opportunities that will benefit both our nations. But while we look ahead to these exciting new horizons there is one critical element we must never forget. Just because the Cold War is over doesn't mean that our need for the strongest defense is over, too. That need may change, but it will never disappear. Look at the threat posed by terrorists -- by renegade regimes -- by global uncertainties. We will continue to invest in military R&D. And we will depend upon companies like many in Orange County, who will continue to develop and use technology that was begun for defense, but will now be used for commercial products as well. As a result, our next generation of the military will find that they have the technology they need. We need not fear for our defense; for our children; for our future. But there are new challenges we face in the post-Cold War terrain. There are still pioneer days ahead. At one point in the movie "Awakenings," a fellow who's been asleep for decades finally wakes up and has the whole world in front of him. When his doctor asks him what he wants to do that day, his face breaks into a huge grin and he shouts: "Everything!" That's the spirit 3 we need to call up right now -- that purely American belief in a future that knows no limits. But the fact is: we're entering a different economic world than the one we grew up in. William Jennings Bryan captured the bold spirit which will lead us to success when he said: "Destiny is not a matter of chance -- it's a matter of choice. It is not a thing to be waited for -- it is a thing to be achieved." I've seen how Californians are achieving your destiny. You're not waiting for chance -- you're making the choice. That's what we must do all over this land. For 200 years, our prosperity has sprung from our ability to innovate, to create, to change as the world changes. That's the heart of entrepreneurial capitalism -- a heart I hear beating right here in Orange County. This place is almost like an R&D lab for the whole country, because you're figuring out how to shape your own identity in an evolving economy. All around us here are successful examples of the technological transition from the Cold War to the era of global economic competition. As the defense department "down- sizes," you face the challenge of adapting from the military to the competitive civilian market. It's tough for private sector companies and employees -- but this administration is firmly behind you, with a steady hand on this nation's helm. Together we will keep our economy the most productive in this world. I've seen examples here of some remarkably creative thinking. During the Cold War, the military essentially funded the develop- ment of new manufacturing techniques. Now, you're demonstrating 4 astounding innovation in turning these systems developed for national defense to take aim at the commercial market worldwide. The proof is right here. Hughes Aircraft is applying the military's Global Positioning Satellite System to a new procedure controlling shipping traffic along our coastal waters. McDonnell Douglas' SDIO-funded Delta Clipper Program will dramatically reduce costs of reaching into orbit -- this will ensure that we lead the world's commercial aerospace industry. Rockwell is developing ways of using SDI's high-tech offshoots to give us smart cars and smart freeways, breaking gridlock on our highways -- that's certainly good news for Southern California. The more closely we look at these companies, the more we understand why they're thriving -- why they're hiring when so many others are firing. It's because they're able to adapt. They're at the cutting edge of the post-Cold War era, leading the drive to transform this world into a productive peace. And defense conversion has put you back in the business of job creation: a skill you mastered in the 80s, with all the high- tech startups that made this area famous. Now you're redefining it for the 90s. But for Orange County, job creation doesn't mean job-training -- your workers are already the most qualified in our labor force. What they need is opportunity. If we give a budding entrepreneur a chance, he'll bring training, experience and old-fashioned American hunger iNGLAN to his own business -- and create jobs for dozens, maybe even hundreds, of fellow workers. As a nation, we must support these risk-takers -- for their 5 heary vision of today will be our future of tomorrow. Venture capital has dried up, so we must take action to get it flowing again. We must create new jobs by stimulating private sector investment and we'll do this by pushing Congress to slash the capital gains tax * providing pussiveloss relief far I-e- developers -- by getting rid of 1 passive loss rules for venture capital -- by making the Research and Experimentation tax credit permanent. Already, we've introduced our National Technology Initiative, to bring government officials together with private businesses to let them know what government can offer in technology. This moves new discoveries out of federal laboratories, into the marketplace to create new jobs -- that's what this is all about. Of course, this transformation is not going to be easy. The world economy of the 21st century will be a new age of American competition in a fiercely challenging global marketplace. And we simply have to make some changes if we expect to compete. We have to realize the intensified need for sophisticated, well- educated workers. The worldwide high-tech explosion will leave us behind unless we literally reinvent American education -- to turn out the best-prepared workers in this world. To do this, let's borrow a page from business -- let's bring competition into our schools through ideas like school choice. That's how we'll make our schools -- and our future -- the best in the world. We have a huge challenge ahead. But we can more than meet it if we remember what FDR said a half-century ago: "The only limit to our realization of tomorrow will be our doubts of today." I'll use every resource to pave our way into the future. For - - by providing passive loss relief for real estade developess - (g.k) 6 example, I'm announcing an important regulatory change that will help many companies with defense-related businesses make the transition to the post-Cold War era One unnecessary obstacle has been the "recoupment" fee, or tax, that DoD charges on military and commercial products sold to customers other than the U.S. government. These fees hurt American workers by making it more difficult for them to compete for business here and abroad. Given the historic changes we've seen during the last year, this burden is no longer justified. So today I direct my Secretary of Defense to take what actions he can to eliminate these fees. In addition, I will continue to fight to create more American jobs by encouraging trade and opening markets abroad. You know how vital that is since America is the world's leading exporting nation, and California leads America, accounting for seven one of every eight U.S. export dollars. Just last year -- a 13% increase over 1990 -- this state exported over $50 billion in goods, creating jobs up and down this golden coast. I will keep pushing for NAFTA, to lower trade barriers even further and establish one of the biggest and richest markets in the world, with the potential of creating hundreds of thousands of jobs. The opportunities for export success in this new global economy are virtually unlimited -- and tremendously exciting. Long-term, Washington must have the courage to do the hard work of government -- work which requires a little less self- interest and a lot more discipline than most elected officials currently show. I'm talking about whipping government spending 7 into control. I'm talking about being brave enough to launch a genuine, strong effort to reduce runaway spending and to enforce disciplinary measures. I'm talking about real government reform. We must begin by forcing Congressmen to come down from their ivory tower, down off Capitol Hill to listen to the American people, nearly 80% of whom support the balanced budget amendment. Voters are saying to Congress: "You're borrowing from the future to pay for indulgences of the present and we won't stand for it any more." For years, I've called for a balanced budget amendment because to ensure long-term economic growth we must get federal spending under control. High deficits raise interest rates -- high interest rates kill jobs -- a ransomed future kills hope. We will let nothing threaten our hope. We'll bequeath to our next generation the proudest legacies that make up the essence of our great national spirit -- the inheritance that made us strong -- the American legacies of jobs, family and peace. And we will act with determination. As a nation, we will chart the course that will guide America into the world of the new century -- a world in which defeatism produces defeat, but where confidence and self-reliance produce greatness. We will find that greatness. We will shape from inside ourselves a country ready to seize the opportunities the new world economy offers. I believe in that -- I believe in us -- I believe in America. God bless you all. # # # # # SENT BY:Xerox Telecopier 7020 ; 6-15-92 ; 5:45PM ; The White House-> OPD;# 9 Document No. 333428ss WHITE HOUSE STAFFING MEMORANDUM DATE: 6/15/92 ACTION/CONCURRENCE/COMMENT DUE BY: TUES. 6/16 3:00pm PRESIDENTIAL REMARKS: INDUSTIRAL LEAGUE OF ORANGE COUNTY SUBJECT: IRVINE, CA - FRI. 6/19/92 - 1:00 p.m. ACTION FYI ACTION FYI VICE PRESIDENT HORNER SKINNER MCBRIDE SCOWCROFT MOORE DARMAN PETERSMEYER BRADY PORTER BROMLEY ROLLINS CALIO SMITH DEMAREST YEUTTER FITZWATER FINDLAY GRAY KAUFMAN HOLIDAY MCGROARTY BOSKIN REMARKS: Please forward your comments directly to Dan McGroarty, RM. 122, x2930, no later than 3:00 p.m., TUESDAY, JUNE 16, with a copy to this office. Thank you. RESPONSE: See Defense comments and meno. Thanks PE Paul Korfonta 06/17 PHILLIP D. BRADY Assistant to the President and Staff Secretary Ext. 2702 OF OFFICE OF THE SECRETARY OF DEFENSE WASHINGTON, DC 20301-1000 UNITED STATES of 17 JUN 1992 MEMORANDUM FOR MR. PAUL KORFONTA, OFFICE OF CABINET AFFAIRS, THE WHITE HOUSE SUBJECT: REQUEST FOR COMMENTS ON THE PRESIDENT'S 19 JUNE INDUSTRIAL LEAGUE OF ORANGE COUNTY SPEECH The Department of Defense has reviewed the subject speech as requested. Provided all references to Aura Systems are deleted, the only changes we would recommend are on pages 3 and 4, attached. Should you have any further questions in this regard, please do not hesitate to contact me at (703) 695-0825. John A. Dubia Executive Secretary Attachment P 0 2 0 6. 17. 92 09:54AM SENT BY:Xerox Telecopier 7020 ; 6-15-92 ; 5:46PM ; The White House-> OPD:#10 (Hinchliffe/Gershowitz) June 15, 1992 4 p.m. DOD Draft Two UN15 P5: 09 PRESIDENTIAL REMARKS: INDUSTRIAL LEAGUE OF ORANGE COUNTY FRIDAY, JUNE 19, 1992 1 P.M. IRVINE HYATT, IRVINE, CALIFORNIA (ACKNOWLEDGMENTS) And I'm proud to be standing here with three men who are solid, strong leaders not only for Orange County, but for this country. Bob Dornan -- a real champion of American values, who's been at my side in every election -- an aggressive spokesman for the things we believe in. Chris Cox -- an innovative, creative Congressman who embodies the vibrant, entrepreneurial spirit of this area -- he's pushing great new ideas like Turbo Enterprise Zones, and is a real champion of budget reform. And Dana Rohrbacher -- glad to see you could take some time off from surfing -- he's deeply involved in what I want to talk to you about today -- our nation's transition into the post-Cold War era, and what this means to a competitive economy. Three days ago, I sat in the Oval Office with Russia's freely elected President, Boris Yeltsin, and we spoke of the dreams we share for our people. It was an extraordinary moment. Just think how in the last few years we've witnessed great gains for democracy -- events we scarcely dreamed would take place in our lifetimes. We're closer than ever to the people of every nation, rejoicing as one at the new breeze of freedom which swept the globe, scattering the last dust of grim totalitarianism. But there are new challenges we face in the unexplored post- Cold War terrain. There are still pioneer days ahead. You know, at one point in the movie called "Awakenings," a fellow who's SENT BY:Xerox Telecopier 7020 ; 6-15-92 ; 5:46PM ; The White House-> OPD;#11 2 been asleep for decades finally wakes up and has the whole world in front of him. When his doctor asks him what he wants to do that day, his face breaks into a huge grin and he shouts: "Everything!" That's the spirit we need to call up right now -- that purely American belief in a future that knows no limits. We're entering an entirely different economic world than the one we grew up in -- and that unbeatable spirit is what's going to lead us to success. William Jennings Bryan captured that bold spirit when he said: "Destiny is not a matter of chance -- it's a matter of choice. It is not a thing to be waited for -- it is a thing to be achieved." I've seen-how Californians are achieving your destiny. You're not waiting for chance -- you're making the choice. That's what we must do all over this land. For 200 years, our prosperity has sprung from our ability to innovate, to create, to change as the world changes. That's the heart of entrepreneurial capitalism -- a heart I hear beating right here in Orange County. This place is almost like an R&D lab for the whole country, because you're figuring out how to shape your own identity in an evolving economy. This area is packed with successful examples of the technological transition from the Cold War to the era of global economic competition -- you're using systems developed for national defense to take aim at commercial markets worldwide. As the defense department "downsizes" in the new post-Cold War era, you face the daunting challenge of adapting from the military to the competitive civilian market. It'll be tough for 3 a lot of private sector companies, and their employees. But I've seen examples of some remarkably creative thinking. During the cold War, the military essentially funded the development of new manufacturing techniques. Now, led by Orange County, companies are demonstrating astounding innovation in turning these techniques to new uses in the civilian market. The proof is all around us. Hughes Aircraft is applying the military's Global Positioning Satellite System to a new procedure controlling shipping traffic along our coastal waters. McDonnell Douglas is using the SDI-funded SSTO program to dramatically reduce costs of reaching into orbit - this will ensure that we lead the world's commercial aerospace industry. Rockwell is developing ways of using SDI's high-tech offshoots to give us smart cars and smart freeways, breaking gridlook on our highways -- that's certainly good news for Southern California. 11 And I just came from visiting Aura Systems. I got to see up close how this small company is thriving: why they're hiring when MO many others are firing. It's because they're able to adapt. They're at the outting edge of the post-Cold Wax ara, leading the drive to transform this world into a productive peace. But while we look ahead to these exciting new horizons there is one critical element we must never forget. Just because the Cold War is over doesn't mean that our need for the strongest defense is over, too. That need may change, but it will never disappear. Look at the threat posed by terrorists -- by renegade regimes -- by global uncertainties. Well, because companies like To meet that threat, we will continue to invest in military R+D, However, that investment will do more than just support on national defense. why? P O 3 O 6. 17. 92 09:54AM xerox Telecopier 7020 i 6-15-82 5:48PM ine white House- OPD1#13 but for commercial products as well. asa result, will 4 these in orange cornty/continue to develop and use technology begun for defense, our next generation of the military will find they have they need. that the technology has sentinued to evolve. Ye need not fear for our defense -- for our children -- for our future. In the meantime, look how one company is successfully making offset fewer the post-Cold War transition to replace disappearing defense contracts. Aura Systems started as a military R&D company, doing virtually 100% Dob work. Now, they've won civilian contracts that make up 80% of their work. They have seen the future - they're using their military-developed technology to beat weapons into ploughshares. For instance, their imagination has led them to use SDI-funded work on electromagnetics to develop vibrationless jackhammers -- and precision instruments used in cataract surgery. And they're applying their military electro- optice technology to improve commercial telecommunications. These Orange County companies lead us because they're not stuck in the old ways of thinking. They're not afraid to take risks. Look what happens to companies who want to be the biggest fish in the pond - but who are afraid to be the first to dive in. Companies willing to maneuver and adapt to changing marketplace realities survive. Dinosaurs are fated to dia. 11 of course, this transformation is not going to be easy. The new world economy of the 21st century will be 4 new age of Ameri- can competition in a fiercely challenging global marketplace. And we simply have to make some changes if we expect to compete. We have to realise the intensified need for sophisticated, well- P O 4 06.17.92 09:54AM SENT BY:Xerox Telecopier 7020 ; 6-15-92 ; 5:48PM ; The White House-> OPD:#14 5 educated workers. The worldwide high-tech explosion will leave us behind unless ye literally reinvent American education -- to turn out the best-prepared workers in this world. To do this, let's borrow a page from business -- let's bring competition into our schools through ideas like school choice. That's how we'll make our schools -- and our future -- the best in the world. We have a huge challenge ahead of us. But we can more than match it if we remember what FDR said a half-century ago: "The only limit to our realisation of tomorrow will be our doubts of today." I am absolutely committed to using every resource I can to pave our way into the future. Right now, I'll fight for measures to add jobs -- actions like encouraging investments through the capital gains tax cut; increasing jobs by reducing regulations; and encouraging trade and opening markets abroad. You know first-hand how important that is. California leads this nation in exports -- accounting for one out of every seven U.S. export dollars. Just last year -- in an 8% increase over 1990 - this state exported over $63 billion in goods. And, in all, your ports handled two-way trade values at nearly $175 billion -- creating jobs up and down this golden coast. Long-term, Washington must have the courage to do the hard work of government -- work which requires a little less self- interest and a lot more discipline than most elected officials currently show. I'm talking about whipping government spending into control. I'm talking about being brave enough to launch a SENT BY:Xerox Telecopier 7020 ; 6-15-92 ; 5:49PM ; The White House-> OPD;#15 6 genuine, strong effort to reduce runaway spending and to enforce disciplinary measures. I'm talking about real government reform. We must begin by forcing Congressmen to come down from their ivory tower, down off Capitol Hill to listen to the American people -- 77% of whom support the balanced budget amendment. Voters are saying to Congress: "We know you're borrowing from the future to pay for indulgences of the present and we won't stand for this any more." For years now, I've called for a balanced budget amendment because to ensure long-term economic growth we must get federal spending under control. High deficits raise interest rates -- high interest rates kill jobs -- a ransomed future kills hope. When I was visiting Aura Systems this morning, I was struck by its motto: "The Link Between Problem and Solution." Well, we all have the chance to be that link for our country. We have the chance to guide America into the world of the new century -- a world in which defeatism produces defeat, but where confidence and self-reliance produce greatness. We will find that greatness. We will shape from inside ourselves a country ready to seize the opportunities the new world economy offers. I believe in that -- I believe in us -- I believe in America. God bless you all. Bell. staret w/ first graph of acknowls then go to full page on Yeltsin: aim is the drama, historic importance of arms cuts. 1) nuclear threat lower than ever before -- good for our kids, etc 2) chance now with the Cold War behind us to focus on the concerns close to home that we care about 3) chance to expand trade -- to create jobs and opportunities that will benefit both America and Russia. then, move up graph reminding of the need for strong defense. Then transition -- I know this chhange has brought difficult times for Capifornia back to speech pmor 2 You're not waiting for chance -- you're making the choice. That's what we must do all over this land. For 200 years, our prosperity has sprung from our ability to innovate, to create, to change as the world changes. That's the heart of entrepreneurial capitalism -- a heart I hear beating right here in Orange County. This place is almost like an R&D lab for the whole country, because you're figuring out how to shape your own identity in an evolving economy. This area is packed with successful examples of the technological transition from the Cold War to the era of global economic competition. As the defense department "down- sizes," you face the challenge of adapting from the military to the competitive civilian market. It'll be tough for a lot of private sector companies and their employees: but we will come through this strong. ( This administration is firmly behind you, with a steady hand on this nation's helm -- and together we will keep our economy the most productive in this world. I've seen examples here of some remarkably creative thinking. During the Cold War, the military essentially funded the develop- ment of new manufacturing techniques. Now, you're demonstrating astounding innovation in turning these systems developed for national defense to take aim at the commercial market worldwide. The proof is all around us. Hughes Aircraft is applying the military's Global Positioning Satellite System to a new procedure controlling shipping traffic along our coastal waters. McDonnell Douglas' SDIO-funded Delta Clipper Program will dramatically reduce costs of reaching into orbit -- this will ensure that we 3 lead the world's commercial aerospace industry. Rockwell is developing ways of using SDI's high-tech offshoots to give us smart cars and smart freeways, breaking gridlock on our highways -- that's certainly good news for Southern California. The more closely we look at these companies, the more we understand why they're thriving -- why they're hiring when so many others are firing. It's because they're able to adapt. They're at the cutting edge of the post-Cold War era, leading the drive to transform this world into a productive peace. But while we look ahead to these exciting new horizons there is one critical element we must never forget. Just because the Cold War is over doesn't mean that our need for the strongest defense is over, too. That need may change, but it will never disappear. Look at the threat posed by terrorists -- by renegade regimes -- by global uncertainties. Well, because companies like these in Orange County continue to develop and use technology begun for defense, our next generation of the military will find that the technology has continued to evolve. We need not fear for our defense -- for our children -- for our future. For now, we can learn from companies here who successfully made the post-Cold War transition to replace disappearing defense contracts. Some were military R&D companies doing virtually 100% DoD work. Now, they've won civilian contracts that make up the majority of their work. They've seen the future -- they're using military-developed technology to beat weapons into ploughshares. They lead because they're not stuck in the old ways of 4 thinking. They're not afraid to take risks. Look what happens to companies who want to be the biggest fish in the pond -- but who are afraid to be the first to dive in. Companies willing to maneuver and adapt to changing marketplace realities survive. Dinosaurs are fated to die. Orange County will prove this truth. Defense conversion has put you back in the business of job creation. It's a skill you mastered in the '80s, with all the high-tech startups that made this area famous. Now you're redefining it for the '90s. But here job creation doesn't mean job-training -- your workers are already the most qualified in our labor force. What they need is opportunity. If we give a budding entrepreneur a chance, he'll bring training and experience and old-fashioned American hunger to his own business: and create jobs for dozens - maybe even hundreds of fellow workers. As a nation, we must support these risk- takers: for their vision of today will be our future of tomorrow. Venture capital has dried up -- so we must take action to get it flowing again. We must create new jobs by stimulating private pushing Congress to sector investment and we'll do this by slashing capital gains tax -- by getting rid of passive loss rules for venture capital -- by making the Research and Experimentation tax credit permanent. And Already, we've introduced our National Technology Initiative, to bring government officials together with private businesses to let them know what government can offer in technology. This will move developments out of federal the laboratory is and into the marketplace to create new jobs -- and that's what this is all about. 5 Of course, this transformation is not going to be easy. The world economy of the 21st century will be a new age of American competition in a fiercely challenging global marketplace. And we simply have to make some changes if we expect to compete. We have to realize the intensified need for sophisticated, well- educated workers. The worldwide high-tech explosion will leave us behind unless we literally reinvent American education -- to turn out the best-prepared workers in this world. To do this, let's borrow a page from business -- let's bring competition into our schools through ideas like school choice. That's how we'll make our schools -- and our future -- the best in the world. We have a huge challenge ahead. But we can more than meet it if we remember what FDR said a half-century ago: "The only limit to our realization of tomorrow will be our doubts of today." I'll use every resource to pave our way into the future. I will fight to create more American jobs by encouraging trade and opening markets abroad. You know how vital that is since America is the world's leading exporting nation, and California leads America, accounting for one of every seven U.S. export dollars. Just last year, an 8% increase over 1990, this state exported over $63 billion in goods, creating jobs up and down this golden coast. The opportunities for export success in this new global economy are virtually unlimited -- and tremendously exciting. Long-term, Washington must have the courage to do the hard work of government -- work which requires a little less self- interest and a lot more discipline than most elected officials 6 currently show. I'm talking about whipping government spending into control. I'm talking about being brave enough to launch a genuine, strong effort to reduce runaway spending and to enforce disciplinary measures. I'm talking about real government reform. We must begin by forcing Congressmen to come down from their ivory tower, down off Capitol Hill to listen to the American people, nearly 80% of whom support the balanced budget amendment. Voters are saying to Congress: "You're borrowing from the future to pay for indulgences of the present and we won't stand for it any more." For years, I've called for a balanced budget amendment because to ensure long-term economic growth we must get federal spending under control. High deficits raise interest rates high interest rates kill jobs -- a ransomed future kills hope. We will let nothing threaten our hope. We will leave to our next generation the proudest legacies that make up the essence of our great American spirit. We will pass on the inheritance that made us strong: the American legacies of jobs, family and peace. And we will act with determination. As a nation, we will chart the course that will guide America into the world of the new century -- a world in which defeatism produces defeat, but where confidence and self-reliance produce greatness. We will find that greatness. We will shape from inside ourselves a country ready to seize the opportunities the new world economy offers. I believe in that -- I believe in us -- I believe in America. God bless you all. # # # # # Rec'd, Legal from 6/17/92 qum Insert on p. 5, after 1st sentence of second full paragraph: an [[ important regulatory change -- a change that will help many As an example of that commitment, I am pleased to announce companies with defense-related businesses make the transition to the post-Cold War era. One unnecessary obstacle to this transition is the so-called "recoupment" fee -- or tax -- that the Department of Defense charges on military and commercial products sold to customers other than the U.S. government. These fees hurt American workers by making it more difficult for their employers to compete for business here and abroad. This burden is no longer justified given the historic changes we have seen during the last year D Accordingly, I am today directing my Secretary of Defense to take what action he can to eliminate these fees For commercial products, we will eliminate all fees immediately. We will also immediately eliminate all recoupment fees for military equipment other than "major defense equipment" exported for military use. For the latter category of defense equipment, we will move expeditiously to eliminate all fees that are not specifically required by law. And next week I will propose legislation to eliminate the remaining fees. Hodsou provide Howard MAC RAE. brankits DOD + STATE RCV BY:Xerox Telecopier 7020 ; 6-16-92 ; 6:33PM ; Washington Office- 2024566218:# 3 CONGRESSMAN CHRISTOPHER Cox Republican of California Biography Many on Capitol Hill dream of moving down graduated simultaneously from Harvard Business School Pennsylvania Avenue to the White House. But Chris and Harvard Law School, where for two years he served Cox, who was then a White House counsel to President as an editor of the Harvard Law Review. Following a year Reagan, spent 1988 moving the other way--up that street as law clerk to U.S. Court of Appeals Judge Herbert to Congress. Choy, the first Asian-American federal judge in America, Currently completing his second term in the Congressman Cox joined the international law firm of U.S. House of Representatives, Congressman Chris Cox Latham & Watkins, where he specialized in corporate has twice been elected with almost 70% of the popular finance. vote. He won his most recent election with the highest In 1982, Congressman Cox took a leave of ab- margin of victory of all California Republicans in a sence from Latham & Watkins to teach federal income contested Congressional race. Unlike almost every other tax law at Harvard Business School. In 1984, following office holder in California, he was unaffected by the his return to Orange County, he was elected to the part- general anti-incumbent mood of 1990: Chris Cox was nership at Latham & Watkins, where he served as part- one of only two Republican incumbents statewide who ner-in-charge of the Corporate Department in Orange increased his margin of victory that year. County, and as a member of the firm's national manage- In his four years in Congress, Chris Cox has ment. established himself as a leading advocate of economic growth through lower taxes, free enterprise, and limited government. Congressman Cox serves as Chairman of Chris Cox has established himself as a the Congressional Grace Caucus, dedicated to enacting leading advocate of economic growth through the cost-cutting recommendations of the Grace Com- lower taxes, free enterprise, and limited govern- mission. He also serves, with Congressman Sonny Cal- ment. lahan of Alabama, as Co-Chairman of the Task Force on Budget Process Reform. He has earned praise nation- In 1984, Congressman Cox, along with his fa- wide for his efforts to thoroughly overhaul the broken- ther, a retired publisher, founded a company that pro- down federal budget process. His landmark bill, the vided a complete English translation of the Soviet Un- Budget Process Reform Act, is now sponsored by over ion's leading daily paper, Pravda. For four years, their 150 members of the House and Senate. firm, which had no relationship with the Soviet Union, These efforts have not gone unnoticed: Each offered a rare glimpse of Soviet propaganda designed for year since 1988, Congressman Cox has earned the pres- the Russians themselves. The translations were used by tigious "Golden Bulldog" Award from the Watchdogs of the CIA, the FBI, U.S. military intelligence, and colleges the Treasury, for his consistent votes to stop runaway and universities throughout the world.- government spending. He has also been named a "Hero As Senior Associate Counsel to President Ronald to the Taxpayer" by the 500,000-member grassroots lob- Reagan from 1986-1988, Congressman Cox served as an bying group, Citizens Against Government Waste. In advisor to the President on a broad range of policy addition, the National Taxpayers Union has honored Congressman Cox with the "Taxpayers Friend Award" for matters--including writing a revolutionary new budget law that he has since introduced in Congress as the his work to promote free enterpriseand limit the scope of Budget Process Reform Act. He also served as an advisor government; the National Federation of Independent Business has given him the "Friend of Small Business to the President on judicial selections, including the nomination and confirmation of three Supreme Court Award"; and the citizen watchdog group Consumer Alert Justices, and drafted a number of speeches for the Presi- presented him with their "Friend of the Consumer award. dent. Congressman Cox has also been a leader in the As Co-Chairman of the Task Force on Budget fight to bring free enterprise and democracy out of the - Process Reform in the 102nd Congress, Congressman chaos of the former Soviet Empire. And, because of his Cox is leading a bipartisan group of over 150 of his work statewide on behalf of preserving California's pris- colleagues for a comprehensive revision of our broken- tine shoreline and our other natural resources. in 1990 down federal budget process. He is the author of H.R. Congressman Cox was endorsed for re-election by the 298, the Budget Process Reform Act, which will require respected California League of Conservation Voters. a legally binding budget before any spending bill can even Congressman Cox graduated magna cum laude be considered. It will also require a two-thirds vote to from the University of Southern California in 1973, after break the budget. And, at long last, it will give the completing a three-year accelerated course. In 1977, he President "line-item veto" power, to cut back over-budget RCV BY:Xerox Telecopier 7020 ; 6-16-92 ; 6:34PM ; Washington Office- 2024566218:# 4 Delh See correa spending. economy would rank as the world's 28th largest, ahead of As Chairman of the House Task Force on Capi- Hong Kong, and Orange County is California's second tal Markets, Congressman Cox is leading Congressional highest exporting region--just behind Silicon Valley,and efforts to reduce the capital gains rate, end the double well ahead of Los Angeles. It may soon be California's taxation of dividends, and enhance shareholder rights. #1: the region leads the nation in applications for export Since coming to Congress in 1989, Congressman licenses. It exports annually over $6.2 billion worth of Cox has maintained an active-and effective--legislative, computers and related components, state-of-the-art medi- agenda. Stating that there is "nothing more insidious cal equipment, biotechnology, and other ultra-sophisti- than government persecution of an individual because of cated technological goods. From 1987 to 1990, exports his or her religion," Congressman Cox's first bill, H.R. from Orange County companies grew over 250%. In fact, 2022, gave refugee status to Ukranian Orthodox and despite the 1992 recession, all economic forecasts predict Ukranian Catholics being persecuted by the Soviet gov- Orange County's continued strong economic perform- ernment. It passed the House unanimously. ance and job creation will continue to outpace every other region in the nation throughout the 1990s, Congressman Cox is the author of the Congressman Cox, an active promoter of Or- Budget Process Reform Act, which will require a, ange County businesses, has held several seminars on legally binding budget before any spending bill how companies can participate in international trade. can even be considered. He recently led a trade delegation to meet with Mexican President Salinas to promote Southern California busi- nesses and the proposed North American Free Trade Congressman Cox also authored two bills that Agreement. He hosted the President of Hungary, Arpad became separate titles of the 1989 Support for East Eu- Goencz, in Orange County and offered a how-to seminar ropean Democracy (SEED) Act. His bills created the on trade with that nation. And just three weeks after the Hungarian-American Enterprise Fund and the Polish- end of the Gulf War, he hosted Kuwait's Ambassador to American Enterprise Fund, to facilitate the investment the United States, Saud Nasir Al-Sabah, for a meeting of private American capital (rather than taxpayer dol- attended by over 500 local businessmen and women. lars) in startup private businesses in both Hungary and Ultimately, more than a dozen Orange County firms Poland. Congressman Cox's bills, which were signed into were offered business opportunities in the reconstruc- law by President Bush, took the first step in reforming our tion of Kuwait. wasteful foreign aid programs by using private risk capi- tal in place of public funds. Congressman Cox also successfully authored Congressman Cox recently met with legislation which preserved the integrity of military op- Mexican President Salinas to promote increased erations at California's El Toro Marine Corps Air Sta- trade between California and Mexico. tion. This legislation, signed into law by President Bush in November 1989, proved vital to the success of Amer- Eight universities and colleges are located within ica's Armed Forces during the Persian Gulf War. El Toro Orange County, including California State University- is home to the Third Marine Air Wing, which flew the Fullerton and the University of California at Irvine. The advanced F-18 fighter jet in Saudi Arabia during the war. California Angels American League professional base- In 1991, Congressman Cox put the House of ball team makes its home in Orange County, as does the Representatives on record for the first time ever on the Los Angeles Rams NFL football team. Two of the issue of term limits for Members of Congress. Using a nation's most popular attractions, Disneyland and Knotts creative parliamentary strategy, Chris Cox forced a yes- Berry Farm, are located in Orange County, and the or-no vote on whether Congress should allow individual "Orange Coast", which includes some of the most beauti- states to decide for themselves whether their Senators ful beaches in the world, stretches for thirty miles along and Representatives should be subject to term limits. the Pacific Ocean, from Los Angeles to San Diego. (The Democratic majority in the House, which had al- For further information, contact Congressman Christopher ready authorized taxpayer funding for a legal challenge to Cox at either his Washington, D.C., office: 412 Cannon Building, Wash- Congressional term limits, voted 99% against the Cox ingion, D.C. 20515 (202) 225-5611; or his California office: 4000 resolution. All but six of the Republicans supported the MacAnhur Boulevard, East Tower, Suite 430, Newport Beach, California Chris Cox term limit measure.) As a result of this and 92660 (714) 756-2244. other battles, Congressman Cox has become a national leader in the fight to reform Congress: With a population of two and one-half million people and an annual economic output of $68 billion, Orange County is one of the most successful and diverse hi-tech business centers in the nation. Standing alone, its