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Madison, New Jersey 11/2/92 [OA 7583]
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Madison, New Jersey 11/2/92 [OA 7583]
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Records of the White House Office of Speechwriting (George H. W. Bush Administration)
Speech Backup Chronological Files
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Originally Processed With FOIA(s):
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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
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Chron File, 1989-1993
OA/ID Number:
13840
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13840-015
Folder Title:
Madison, New Jersey 11/2/92 [OA 7583]
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2
faxed stave to & christina
THE WHITE HOUSE
WASHINGTON
October 30, 1992
MEMORANDUM FOR DAN MCGROARTY
STeve PROVOST
THROUGH:
BOBBIE KILBERG
FROM:
MARK FRANTZ
R
SUBJECT:
NEW JERSEY ASSEMBLY'S PASSAGE OF A BALANCED
BUDGET RESOLUTION
Yesterday, October 29, the New Jersey State Assembly approved a
Balanced Budget Constitutional Amendment resolution.
Specifically, the resolution petitions the U.S. Congress to hold
a Constitutional Convention for the purpose of approving a
Constitutional balanced budget amendment.
The measured carried by a vote of 44 yeas, 25 nays, and 11
members abstaining late yesterday, the 29th. Below is the party
breakdown on the vote:
"Yeas"
(R) -- all 44
(D) - none
"Nays"
FOR New fusey
(R) - 10
(D) -- 15
Abstentions
(R) - 4
(D) - 7
The State Senate still needs to approve the resolution and
passage in that body is uncertain at this date. There will be no.
vote before November 3.
If the State Senate passes a Balanced Budget Amendment (BBA)
resolution, New Jersey would become the 30th of the 34 states
needed to call a Constitutional Convention. Though 32 states
have passed BBA resolutions, Alabama, Florida, and Louisiana have
since rescinded their approval. It is open to dispute whether
these rescissions are legal. If the rescissions are not valid,
New Jersey would become the 33rd state upon passage by its State
Senate.
Under New Jersey's law, the governor must submit, the legislature
must pass, and then the governor must sign, a balanced budget for
the State each year. The governor has line-item veto
capabilities.
November 1, 1992
MEMORANDUM FOR STEVE PROVOST
CHRISTINA MARTIN
FROM:
MICHELE NIX
SUBJECT:
MADISON, NEW JERSEY ACKNOWLEDGEMENTS
As of 5:45 p.m.
Governor Tom Kean
Rush Limbaugh -- will introduce POTUS
Congressman Dean Gallo
Jeannie Littell -- NJ State GOP Chairwoman
Madison High School and Chatham [CHAT-um] HS bands
THE WHITE HOUSE
office of the Press Secretary
(Greensboro, North Carolina)
For Immediate Release
September 23, 1992
REMARKS BY THE PRESIDENT
TO TRIAD BUSINESS COMMUNITY
Joseph S. Koury Convention Center
Greensboro, North Carolina
9:50 A.M. EDT
THE PRESIDENT: Thank you, Tom. Thank you very, very
much, and what a wonderful welcome back to this state. Thank you
all, please be seated. It's an honor to be introduced by a
successful, honored, small businessman, Tom Coble. Thank you, sir,
for those kind words. I also want to salute the woman who's done so
much to advance the interests of American small businesses, our
Administrator of the Small Business Administration, Pat Saiki, former
member of Congress and now of our SBA in Washington. (Applause.)
And also to, of course, to salute the inimitable, marvelous Governor
of this state, Jim Martin. What a job he's done for the country and
for North Carolina. (Applause.) And salute, too, congressional
candidates Barbara Gore Washington of the 12th District and Richard
Burr of the 5th District. I'm glad to be with them. (Applause.)
And with us are our two national leaders of our
Independent Business Coalition, Pat Harrison and Miller Hicks -- both
here with us today -- here's Miller over here; and where's Pat?
Whoops, she didn't make the head table -- sitting out here.
(Laughter.) She should have; she's an outstanding business success.
Pat, stand up. And, Miller you've got to stand up and
let them see you. (Applause.) These people are pulling together
this national small business coalition -- Independent Business
Coalition, we call it.
Well, I've come here to Greensboro to talk about small
business -- and, really, to drive home for the nation the fact that
businesses, like the ones that come together in the Triad business
community, generate the hope and pride and the jobs that hold America
together.
Take Joe Koury -- a well-respected member of the Triad,
and the father of four beautiful daughters. Now, Joseph wasn't
always the one-man conglomerate that we see today. He started small:
began building his empire in the early years after World War II,
buying up the old Army barracks here in Greensboro and turning them
into housing -- sometimes for the same GIs who'd trained there before
going off to war, now come home to start a family. And that
ingenuity -- that spirit of enterprise -- that drive and dream tells
us the meaning of opportunity, the meaning in America. And it's all
over this great -- I don't want to start singling people out, but my
friend, Jack Laughery is another one right here from this state who
exemplifies the American Dream -- starting, taking risk, building.
And it's a wonderful thing, and it's a wonderful epitome of the
spirit of this state, in my view.
Now today, America's economy is working its way through
a period. of profound change. And, incidentally, it's not just
America, it's international change. You saw the recent ups and downs
in the international currency market. other countries even now look
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to our economy as the envy of the world. And you see it here in
North Carolina, these changes, just the way you do all across the
country. Many of our larger companies have retrenched and, indeed,
they've restructured -- and I know that these changes have been
difficult for many working Americans. But America's small businesses
have shown a staying power -- creating new products by the
thousands -- new jobs literally by the millions.
Let me give you one statistic that will drive home just
what I mean. In the 1980s, the numbers of workers employed by
Fortune 500 companies actually went down. But in that same decade,
small businesses boomed -- adding 16 million new jobs.
The simple fact is, small businesses are often the first
to adapt to a changing world -- the first to turn change to advantage
-- the force at the leading edge of economic recovery. And that's
why it is absolutely critical that we do all we can to strengthen
small businesses -- remove obstacles that stand in their way, and
create incentives that unleash America's entrepreneurial genius.
Helping small business reach for its dreams is key to my Agenda for
America Renewal.
I've set a goal -- to make America the first -- the
world's first s10-trillion economy in the early years of the 21st
Century. And when we get to that goal -- not if, but when -- and it
is very achievable -- look at the numbers -- it won't be the chairmen
of the Fortune 500 we have to thank -- it will be the men and women
who run the small businesses that power America -- (applause) -- the
men and women, for example, of the Triad business community.
Right now, small businesses employ over half of our
nation's workforce. Small businesses create two-thirds of the new
jobs in America. Small businesses are hothouses for innovation, and
risk-taking, new ideas -- the very engine of entrepreneurial
capitalism that pulls this economy forward.
And I know because I've been there myself. I did, as
Mr. Coble said, run a small business -- started it from the ground
up, with a lot of help, obviously, from coworkers and partners. And
I know what it's like to sweat out a deal, and shop for credit, stay
up late worrying how you're going to meet the next payroll. And I've
even got the ulcers, or had them back then, to prove it. And that is
a fact.
So let me tell you: I happen to think that meeting a
payroll is not a bad qualification for being President of the United
States of America. (Applause.)
And I might peripherally make the point that the
contrast with my opponent couldn't be clearer. He's spent almost his
entire adult life in government. And when he wasn't in government,
he practiced law and taught law school. And he even worked in the
Congress -- for his part-time job. Not exactly the credentials we're
looking for these days. (Laughter.)
So it shouldn't surprise you that when it comes to the
economy, my opponent thinks government should lead -- all I ask you
to do is compare the plans -- directed by bureaucratic planners who
couldn't run a business anywhere but into the ground.
Now I believe government can play a role in helping
small business; no question. But it is a role of support -- not the
lead. Not to put the new bureaucracy of government planners in the
business of picking winners and losers -- but to help America do what
it does best: to make way for the American entrepreneur, the little
guy with the big idea. (Applause.)
So I've put together a program to strengthen small
business -- a program that will work, because it understands how
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- 3 -
small businesses work. This is one important part of my
comprehensive Agenda for America Renewal.
I'm releasing the full program today in a report I call
"Encouraging Entrepreneurial Capitalism." NOW, here is the report,
and I hope we can make some, at least, available to people here
business savvy America is known for. Some of the ideas are ones that
today. But we can get them to you. That's a fancy name for small
we've been pushing for, for years -- some are new: All of them are
solid, sensible ways to strengthen small business.
Now, let me detail -- and some of this is quite detailed
-- what my program does:
First, it will help small businesses get started. You
see, many new businesses literally begin at home -- when
entrepreneurs convert their own "nest egg" into capital. Germany
does not tax capital gains at America's punitive rates -- neither
does Japan. One of them, I believe, is zero percent; and the other,
I believe, is Japan, is on percent. If we want to compete and win,
it's time to reward the risk-takers who turn their dreams into
tomorrow's jobs. It is time to cut the tax on capital gains.
(Applause.)
The liberals continue to insist that that's a break for
the rich. It isn't. It is clearly an incentive to start new
companies and employ more people. (Applause.) And because you've
got to crawl before you can walk, we're also helping small businesses
with an aggressive micro-loan program -- from a few hundred dollars
up to $25,000 at the critical early stages when new ventures are, I
think we would agree, that at that stage, new businesses are most
vulnerable.
That's how we'll help entrepreneurs get their ideas off
the ground, get their businesses up and running.
But today, I want to take our efforts one step further.
I am proposing a five-year, s20-billion small-business initiative --
to lift tax and regulatory burdens off the back of small business,
and to cut the costs of capital.
We start by knocking down the corporate tax rate on
small businesses from 15 to 10 percent. (Applause.) And this new
initiative will smooth the way for small business start-ups -- by
increasing the small business deduction limit from $10,000 to
$25,000. And it will allow entrepreneurs to deduct $2,500 of those
start-up costs that most of you remember in the very first year.
My initiative includes steps to simplify tax laws for
small businesses -- (applause) -- changes that will result in almost
$5 billion a year in tax relief -- and should allow most small
businesses to file a one- or two-page tax return. And finally, it
eliminates capital gains on newly-issued small business stock. That
will serve as an incentive to create new businesses.
Part three of this small business program is to help
existing small businesses find credit. The best idea in the world
cannot work without capital. Entrepreneurs simply can't do it alone.
They need credit to set up shop and to expand.
Right now, you and I know that the credit crunch has hit
small businesses hard. That's why we've been working with bankers
and regulators across the country to free up the flow of credit to
companies like yours. Our regulatory reform, for example, by the
SEC, has made it easier for small businesses to raise capital through
stock, through these offerings of stock -- and to help growing firms
get from Main Street to Wall Street.
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4 -
And I've had the Small Business Administration -- I have
Pat Saiki here working overtime to help credit-starved businesses.
This year alone, we have increased by more than 50 percent the loan
guarantees offered by her agency, the SBA -- more than $6 billion into for
men and women with good ideas -- who want to turn those dreams
jobs.
Small business is one of the most effective ways to
bring minority Americans into the economic mainstream. That's why
later today, Pat Saiki will release our plan to streamline the SBA's
Minority Small Business program to bring economic opportunity to
entrepreneurs all across America.
And tomorrow, Pat's going to go on to South Florida, to
kick off what we call the Green Line program -- a program that we
test-marketed up in New England -- to provide a revolving line of
credit to help small businesses bridge the gap between production and
payment. This Green Line initiative, incidentally, should be
especially helpful to small firms that are seeking to get back to
"business as usual" after Hurricane Andrew.
Now, fourth, we have got to help small businesses hire
new workers and increase productivity. Small businesses -- like
every employer in America -- will benefit from education reforms like
America 2000, our program from our expanded job training
initiatives, from enterprise zones, from legal reform that ends those
sky's-the-limit lawsuits that can drive a small business into
bankruptcy. We've got to do something about these crazy lawsuits.
Even all of that, though, is not enough.
That's why I support aggressive new export promotion
programs to help small businesses crack new markets abroad, and
create new jobs here at home. You see, in the 21st century, America
must be not just a military superpower, but an economic
superpower and an export superpower. And for a long time, it was
felt that small businesses were too little to sell abroad and compete
abroad. That' changed. And we want to facilitate more sales from
small business into this vast export market that lies ahead.
(Applause.)
Right now, a fraction of America's companies -- 15
percent -- account for 85 percent of America's exports. We've got to
open these new markets for America's small businesses -- we've got to
tap their explosive potential to make new customers not just down the
street, but around the world.
Small business is already helping us pioneer new worlds
-- leading the way, for example, in the bio-tech, the bio-technology
revolution. That's one key reason that I strongly support a 100%
increase in federal research and development funds to help small
businesses. generate the technologies of tomorrow.
And fifth, we've got to free small businesses from the
tangle of red tape and regulation. (Applause.) Vice President
Quayle has filled me in on a meeting that he had not long ago with
Richard Allen, who runs a furniture manufacturing company over in
High Point. Federal reporting rules have gotten so bad that he's has
to hire new staff just to read regulations. Now, frankly, that's on:
kind of job creation we could do without. Filling out federal forms
should not be a full-time job.
That's why, in January of this year, I ordered a freeze
on federal regulations. You work long and hard for your success, and
you should spend your time doing business -- not doing paperwork.
(Applause.) And finally, we've got to help small businesses provide
for their workers, to help the 15 million Americans who are self-
employed. So I want to raise the deduction for health insurance from
25 percent to 100 percent. And I want to reform health insurance --
give small companies the same advantage that bigger companies have
MORE
when they shop for health care coverage, by encouraging small
companies to pool together to buy insurance.
We want to create tax incentives to help small
businesses offer their employees family leave -- not do what the
liberal Congress wants me to do -- slap another mandate on small
businesses' back. I'm not going to do that. (Applause.)
I believe in family leave, and I believe our approach to
facilitating family leave through tax credits is a far better way
than putting new mandates on a guy who is struggling to make ends
meet an would have to lay off people to meet the costs of that
program. We want to expand small businesses' ability to offer the
portable pensions people will need in a dynamic economy.
Taken together, that's a strong package -- a
comprehensive package -- to give real-world help, right now, to the
small businesses that make this economy grow. You'll notice a lot of
it, through tax relief, is removing the burden of government from the
back of small business.
Now, I think it's fair to say, and ask dispassionately:
What about my opponent? What is his plan for small business? The
difference could not be sharper. You see, I see small business as
the backbone of the American economy. Mr. Clinton, Governor Clinton
sees small business as the goose that lays the Golden Eggs.
Bill Clinton's got big plans for bigger government --
and to pay for it, he's got the tax plan for almost every day of the
week: Start with $150 billion in new taxes. That's not my saying
he's doing it; this is what he actually has proposed. And then add a
payroll tax for training -- he's already proposed that -- one-and-a-
half percent across the board for small businesses -- every business
-- and then add a health care plan that will lead to a 7 percent
payroll tax to finance the inevitable government takeover of health
care.
And I tell you, it's taxing just to talk about this
whole program ahead. (Applause.) Somebody said, that taxes my
memory. And Clinton says, that's a good idea, let's try it.
(Laughter and applause.) NOW, I guess -- and yesterday -- nobody
believes this, but I did make a subconscious slip. I spoke up when I
was going on about the different plans, and I called him "Governor
Taxes." And I quickly corrected it.
But now, "Governor Taxes" says, yes, he wants to raise
taxes -- and rolls out his standard "soak the rich" rhetoric. You
listen to him. But what he won't tell you is this: two out of every
three people hit by Governor Clinton's tax hike would be small
business owners or family farmers. And these folks are not
millionaires -- they are Mom and Pop, Inc., and we cannot let them
slap a tax on small business. (Applause.)
Take a look at what Governor Clinton's tax plan would
mean for small businesses right here in this state. If you're like
the typical small business, you operate with a profit margin of about
2 percent. Some clearly do better; some are struggling to make it 2
percent. Your market is too competitive for you to pass on costs by
raising prices. That can happen in large companies that dominate the
market. You can't do it as a small businessman. You already feel
that you've already cut your costs, your operating costs, to the very
bone.
And so when Bill Clinton's new taxes kick in, you have a
choice -- a tough choice. His payroll taxes alone amount to 4
percent to 5 percent of your operating expenses. That's your profit
margin -- and then some.
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So here's your choice: You can board up the windows --
or you can get out the pink slips. You can continue to operate, but
to do so you're going to have to lay off some on your rather small
workforce.
Now, I want to invite Governor Clinton and his advisors
to follow along for a little "business math." Just over half of all
small businesses with between 10 and 20 employees have annual sales
of $500,000 to S1 million. That's a 2 percent profit margin -- and
in the best case -- gives that business a -- say, a $20,000 profit.
Now, Governor Clinton's new taxes would cost that
company between $46,000 and $56,000 -- so after you've handed over
your profit to the government, the only way to pay the rest of the
tax 1s putting someone out of work, cutting down on your overall
payroll account.
And in the case of my example, that's two or three
employees -- two or three people out of less than a 20-person company
who lose their jobs.
Now, just think about that. Those two or three people
aren't just numbers -- they're not some names on a payroll sheet.
They're real people -- they're friends and neighbors -- men and women
with families to feed and mortgages to pay.
Now, if that two or three still doesn't sound like much,
keep this one in mind. In North Carolina alone, 25 percent of the
workers -- of all workers -- 638,000 people -- work in companies the
same size as the one in my example, companies that will be crippled
by Bill Clinton's new taxes.
Across this state, North Carolina has thousands of
businesses with less than 10 employees. Grocery stores -- more than
3,000. More than 2,500 small furniture stores. Four out of every
five companies in the building trades. Book stores, beauty shops
laundries, video stores and TV repair shops. And the list goes on
and on and on. And for them, Bill Clinton's tax plan means one
thing: Misery on Main Street. (Applause.)
You see, I don't think these central planners understand
this. America is a nation of small businesses -- and to those small
businesses, they'll take a big hit under Governor Clinton's tax plan.
And my opponent could not do more damage to America's risk-takers,
entrepreneurs, if he'd declared war on small businesses. Well, if
you're like me, you've got to say: Small business should not be big-
government's piggy bank. (Applause.)
All I ask is that you people here and the people across
the country take a look for a moment at my approach -- and then
contrast that with Governor Clinton's. You see, I want to strengthen
small businesses across America by lowering taxes -- increasing R&D.
Bill Clinton wants to tax small businesses and small
business owners so he can give big government a raise.
I want to cut red tape, eliminate excessive regulation
and reform the ruinous legal system that's crippling this economy and
killing small businesses. (Applause.) We really must get these
suits under control. We are suing each other too much and caring for
each other too little in this country. (Applause.) NOW, Bill
Clinton wants to saddle these -- or, his plan would saddle these new
small businesses with new mandates; the old ones, too, the existing
ones. New or old, small businesses, all with new mandates. And he's
told the trial lawyers of America he wouldn't take away even one
little loophole.
HOW about health care? Job training? Family leave?
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I want to reform our health care system -- extend
coverage to all Americans, and use the markets to drive costs down
while keeping quality -- the great quality of American health care
up. And as I said before, Bill Clinton's plan will mean a payroll
tax and more government control.
I want to give displaced workers a voucher to get the
training they want. And Bill Clinton wants to put a payroll tax on
employers.
I want to use tax credits to encourage businesses to
provide workers family leave. Well, my opponent? You see the
pattern -- more government rules, more government red tape.
You know, they sent this family leave bill down to me
the other day. They sent it down just for fine timing in terms of
politics. And I vetoed it, and I sent it right back. I am for
family leave, but I am not for putting further mandates on small
business. Let's do it through tax relief, not through running people
out of business. (Applause.)
Bill Clinton's got a "Punt, pass and kick" plan:
Punt
the problem over to business. Pass the costs along. And kick the
American worker -- right where he carries his wallet. (Applause.)
Now, you've got a choice in this election. A choice
between two different philosophies -- two different directions to
take this great country. Bill Clinton puts his faith in the so-
called "best and brightest:" In his old Oxford cronies who believes
that "government knows best" -- just like the social welfare crowd
that pulled Britain down before Maggie Thatcher and John Major pumped
some life back in.
Well, I put my faith in the American people -- and I
want to see you keep control of the decisions that really matter in
life. And when Bill Clinton says "government knows best" -- I say:
You know better.
Let me sum it up this way: His plan is wrong for
America. And mine is right. (Applause.)
Here's what Bill Clinton and the "government first"
crowd just really don't get. They don't get it. They don't
understand: Government can print money -- but it simply cannot
create wealth. The great ideas that make this economy grow don't
begin in the marbled halls of some federal building back in
Washington, D.C. More great ideas -- more of our gross domestic
product, our GDP -- begins at a basement workbench, at a computer on
someone's kitchen table, with the savings you set aside to start a
business of your own.
And, America -- don't let them teach the American
people, particularly the young, that America is a nation in decline.
We are simply not. We are the most respected leader in the world --
militarily, and economically. (Applause.) And in spite of the
economic difficulties we've had and are enduring, America -- believe
me -- is the envy of the world: not because its government is
great -- but because its people are great. Because the American
people are builders and dreamers who build.
We need a government that understands that fundamental
fact. And my program -- my Agenda for American Renewal -- will make
the next American Century a new American Century, a time of peace and
prosperity for all.
Thank you once again for this warm North Carolina
welcome -- and may God bless the United States of America.
Thank you very much. (Applause.)
END
9:22 A.M. EDT