| 1. THE
PRESIDENT'S NEWS CONFERENCE- January 24,
1990
Social Security
Q. Mr. President, you've opposed the Moynihan Social Security
bill strongly. Would you endorse or work for or support a Republican
alternative proposed by Congressman Porter that would take the Social
Security increases for this next year and allow people to keep those
tax increases and put them in a separate account?
The President. The Porter proposal has some interesting
ingredients to it. I am not prepared to endorse it. We don't have
provision for that in our budget proposals. It's worthy,
though, of consideration, of some study. But I'm
not prepared to endorse that; no, I'm not.
Q. Is that not the first step to privatizing Social Security?
The President. Well, I don't think he would say that that's
the inevitable goal, but it has certain aspects there. But the people
are concerned about Social Security. So, when you have innovative
thinking of that nature, I don't want to just gun it down. I am
not going to support it.
Q. Mr. President, over the last few years there have been large
increases in the Social Security tax. And even though it's a regressive
tax, people supported it, or swallowed it, because they were told
that that was necessary to make the system solvent for the next
generation. But now everyone is finding out that, in fact, that
money isn't there any longer, that it's been used for debt reduction.
Given the fact that people are now realizing that this is happening,
do you think it's fair to ask them to continue to pay this increased
tax for even 1 month later?
The President. The Commission that reformed Social Security
was well aware of what you've just talked about. They considered
it. I think the Commission included Mr. Moynihan--I may be mistaken,
but I think it did. And they considered this point. And we will
have some innovative suggestions as we go along here as to how to
compensate for this understandable concern on the part of some.
But for now, for this year, we will not alter the recommendations
of that bipartisan commission.
Q. Could I just briefly-do you feel that this increase was sold
to people under false premises?
The President. No, because I think these were intelligent
people wrestling with a very, very difficult problem, and I can't
accuse them of selling the Commission conclusions as under false
cover.
Q. Well, as you know, the budget deficit has been coming down over
the past few years solely because the Social Security surplus has
been rising. In fact, your own budget projections show $200 billion
a year deficits in the indefinite future when you remove the Social
Security surplus. Given the fact that you have such a large deficit
in every other program, when will you and the Congress stop both
bickering and accountant gimmicks and deal with this problem that
the American public has said for a decade . . .
The President. Thank you for the endorsement of our approach,
Owen [Owen Ullman, Knight-Ridder Newspapers]. We would urge that
we stop bickering and go forward witht he proposal that we come
out with, that I think will begin to address iteself to Maureen's
[Maureen Dow, New York Times] question, which is very sound. And
nobody's trying to conceal the fac that the Social Security Trust
Fund is operating at a surplus. There wasn't any concealment by
the Speaker of the House Tip O'Neill and others that entered into
this bipartisan agreement.
Q. Well, wait. If I could follow sir: Your own budget proposal that
you will unveil on Monday, which shows a $64 billion deficit, in
fact, if you remove Social Security, would be closer to $150 billion.
Is that not correct?
The President. But you're making the old argument
of taking the Social Security Trust Fund off budget. And at this
juncture we're not prepared to do that. But wait until you see the
detail, and I hope the American people will see something here that
begins to address itself to these fundamentals that I think are
properly being asked about. . .
Taxes
Q. Mr. President, another question that's been raised about the
Moynihan proposal is the fairness of the tax system. Over the past
decade, even as income tax has come down for high-paid people, Social
Security taxes have gone up, mostly for lower and middle-income
people. Do you think that's fair?
The President. Well, look, if we were all starting over,
I think we could fine-tune the entire tax system. We're not starting
over. And I think that system has been, in and out over the years,
basically a pretty fair system. And while I'm here, don't think
I've lost because of some political arguments on the Hill that capital
gains reduction is only for the rich. I support it. But the reason
I do is that in my view it increases jobs for people. So, you have
to look at what individual--somebody has an idea that some individual
deduction that encourages, say, drilling, when we are in an increasingly
negative oil supply situation. And some would say, hey, that favors
those who go out and drill. And I say, wait a minute. That's true.
And that may not be fair to some taxpayer here, but the national
interest is best served by the encouragement and development of
domestic resources. We're all fat, dumb, and happy about our energy
situation today--and I'm not. So, there's all kinds of provisions
that some will argue are fair or unfair.
Q. But, sir, some of your favorite economists in think tanks say
that the Social Security tax acts as a great disincentive to work
and to employing people.
The President. Yes.
Q. Doesn't that serve the same end?
The President. Well, I think that's a legitimate complaint
about some of it, and that's one of the reasons I favor holding
the line on taxes. And one of the reasons I oppose Moynihan is I
think it's a disguise for increased taxes around the corner. And
I don't want to see the benefits of Social Security cut. It is odd
that a Republican President, often accused by political opponents
in an election year, is the one that is protecting the sanctity
of the Social Security benefits. And I would say to those out around
the country: Take a hard look now-don't let that rabbit be pulled
out of the hat by 1 hand and 25 other rabbits dumped on you in another.
This is a very complicated situation, and this is a sleight-of-hand
operation here. And the very day Moynihan proposed it--or the next
day, what do we get? We get the call from another prominent, respected
Democratic Senator saying raise the sales tax on everybody.
Before we go making a lot of changes, let's know exactly where everybody's
coming from in this. And I think Mr. Moynihan of a few years back
ought to go out and discuss it with Mr. Moynihan of today, because
he was a part, I believe, of a Social Security compromise that didn't
correct some of the injustices.
2. ADDRESS
BEFORE A JOINT SESSION OF CONGRESS ON THE STATE OF THE UNION--January
31, 1990
Mr. President, Mr. Speaker, Members of the United States Congress:
I return as a former President of the Senate and a former Member of
this great House. And now, as President, it is my privilege to report
to you on the state of the Union.
Tonight I come not to speak about the state of the Government, not
to detail every new initiative we plan for the coming year nor to
describe every line in the budget. I'm here to speak to you and to
the American people about the state of the Union, about our world-the
changes we've seen, the challenges we face-and what that means for
America.
There are singular moments in history, dates that divide all that
goes before from all that comes after. And many of us in this Chamber
have lived much of our lives in a world whose fundamental features
were defined in 1945; and the events of that year decreed the shape
of nations, the pace of progress, freedom or oppression for millions
of people around the world.
Nineteen forty-five provided the common frame of reference, the compass
points of the postwar era we've relied upon to understand ourselves.
And that was our world, until now. The events of the year just ended,
the Revolution of '89, have been a chain reaction, changes so striking
that it marks the beginning of a new era in the world's affairs.
Think back-think back just 12 short months ago to the world we knew
as 1989 began.
One year-one year ago, the people of Panama lived in fear, under the
thumb of a dictator. Today democracy is restored; Panama is free.
Operation Just Cause has achieved its objective. The number of military
personnel in Panama is now very close to what it was before the operation
began. And tonight I am announcing that well before the end of February,
the additional numbers of American troops, the brave men and women
of our Armed Forces who made this mission a success, will be back
home.
A year ago in Poland, Lech Walesa declared that he was ready to open
a dialog with the Communist rulers of that country; and today, with
the future of a free Poland in their own hands, members of Solidarity
lead the Polish Government.
A year ago, freedom's playwright, Vaclav Havel, languished as a prisoner
in Prague. And today it's Vaclav Havel, President of Czechoslovakia.
And 1 year ago, Erich Honecker of East Germany claimed history as
his guide, and he predicted the Berlin Wall would last another hundred
years. And today, less than 1 year later, it's the Wall that's history.
Remarkable events-events that fulfill the long-held hopes of the American
people; events that validate the longstanding goals of American policy,
a policy based on a single, shining principle: the cause of freedom.
America, not just the nation but an idea, alive in the minds of people
everywhere. As this new world takes shape, America stands at the center
of a widening circle of freedom-today, tomorrow, and into the next
century. Our nation is the enduring dream of every immigrant who ever
set foot on these shores, and the millions still struggling to be
free. This nation, this idea called America, was and always will be
a new world-our new world.
At a workers' rally, in a place called Branik on the outskirts of
Prague, the idea called America is alive. A worker, dressed in grimy
overalls, rises to speak at the factory gates. He begins his speech
to his fellow citizens with these words, words of a distant revolution:
"We hold these truths to be self-evident, that all men are created
equal, that they are endowed by their Creator with certain unalienable
Rights, and that among these are Life, Liberty and the pursuit of
Happiness."
It's no secret that here at home freedom's door opened long ago. The
cornerstones of this free society have already been set in place:
democracy, competition, opportunity, private investment, stewardship,
and of course leadership. And our challenge today is to take this
democratic system of ours, a system second to none, and make it better:
a better America, where there's a job for everyone who wants one;
where women working outside the home can be confident their children
are in safe and loving care and where government works to expand child-care
alternatives for parents; where we reconcile the needs of a clean
environment and a strong economy; where "Made in the USA"
is recognized around the world as the symbol of quality and progress;
where every one of us enjoys the same opportunities to live, to work,
and to contribute to society and where, for the first time, the American
mainstream includes all of our disabled citizens; where everyone has
a roof over his head and where the homeless get the help they need
to live in dignity; where our schools challenge and support our kids
and our teachers and where all of them make the grade; where every
street, every city, every school, and every child is drug-free; and
finally, where no American is forgotten-our hearts go out to our hostages
who are ceaselessly on our minds and in our efforts.
That's part of the future we want to see, the future we can make for
ourselves, but dreams alone won't get us there. We need to extend
our horizon, commit to the long view. And our mission for the future
starts today.
In the tough competitive markets around the world, America faces the
great challenges and great opportunities. And we know that we can
succeed in the global economic arena of the nineties, but to meet
that challenge, we must make some fundamental changes-some crucial
investment in ourselves.
Yes, we are going to invest in America. This administration is determined
to encourage the creation of capital, capital of all kinds: physical
capital-everything from our farms and factories to our workshops and
production lines, all that is needed to produce and deliver quality
goods and quality services; intellectual capital-the source of ideas
that spark tomorrow's products; and of course our human capital-the
talented work force that we'll need to compete in the global market.
Let me tell you, if we ignore human capital, if we lose the spirit
of American ingenuity, the spirit that is the hallmark of the American
worker, that would be bad. The American worker is the most productive
worker in the world.
We need to save more. We need to expand the pool of capital for new
investments that need more jobs and more growth. And that's the idea
behind a new initiative I call the Family Savings Plan, which I will
send to Congress tomorrow.
We need to cut the tax on capital gains, encourage risk-takers, especially
those in our small businesses, to take those steps that translate
into economic reward, jobs, and a better life for all of us.
We'll do what it takes to invest in America's future. The budget commitment
is there. The money is there. It's there for research and development,
R&D-a record high. It's there for our housing initiative-HOPE-to
help everyone from first-time homebuyers to the homeless. The money's
there to keep our kids drug-free-70 percent more than when I took
office in 1989. It's there for space exploration. And it's there for
education-another record high.
And one more thing: Last fall at the education summit, the Governors
and I agreed to look for ways to help make sure that our kids are
ready to learn the very first day they walk into the classroom. And
I've made good on that commitment by proposing a record increase in
funds-an extra half-a-billion dollars-for something near and dear
to all of us: Head Start.
Education is the one investment that means more for our future because
it means the most for our children. Real improvement in our schools
is not simply a matter of spending more: It's a matter of asking more-expecting
more-of our schools, our teachers, of our kids, of our parents, and
ourselves. And that's why tonight I am announcing America's education
goals, goals developed with enormous cooperation from the Nation's
Governors. And if I might, I'd like to say I'm very pleased that Governor
Gardner [Washington] and Governor Clinton [Arkansas], Governor Branstad
[Iowa], Governor Campbell [South Carolina], all of whom were very
key in these discussions, these deliberations, are with us here tonight.
By the year 2000, every child must start school ready to learn.
The United States must increase the high school graduation rate to
no less than 90 percent.
And we are going to make sure our schools' diplomas mean something.
In critical subjects-at the 4th, 8th, and 12th grades-we must assess
our students' performance.
By the year 2000, U.S. students must be first in the world in math
and science achievement.
Every American adult must be a skilled, literate worker and citizen.
Every school must offer the kind of disciplined environment that makes
it possible for our kids to learn. And every school in America must
be drug-free.
Ambitious aims? Of course. Easy to do?
Far from it. But the future's at stake. The Nation will not accept
anything less than excellence in education.
These investments will keep America competitive. And I know this about
the American people: We welcome competition. We'll match our ingenuity,
our energy, our experience and technology, our spirit and enterprise
against anyone. But let the competition be free, but let it also be
fair. America is ready.
Since we really mean it and since we're serious about being ready
to meet that challenge, we're getting our own house in order. We have
made real progress. Seven years ago, the Federal deficit was 6 percent
of our gross national product-6 percent. In the new budget I sent
up 2 days ago, the deficit is down to 1 percent of gross national
product.
That budget brings Federal spending under control. It meets the Gramm-Rudman
target. It brings that deficit down further and balances the budget
by 1993 with no new taxes. And let me tell you, there's still more
than enough Federal spending. For most of us, $1.2 trillion is still
a lot of money.
And once the budget is balanced, we can operate the way every family
must when it has bills to pay. We won't leave it to our children and
our grandchildren. Once it's balanced, we will start paying off the
national debt.
And there's something more we owe the generations of the future: stewardship,
the safekeeping of America's precious environmental inheritance. It's
just one sign of how serious we are. We will elevate the Environmental
Protection Agency to Cabinet rank-not more bureaucracy, not more red-tape,
but the certainty that here at home, and especially in our dealings
with other nations, environmental issues have the status they deserve.
This year's budget provides over $2 billion in new spending to protect
our environment, with over $1 billion for global change research,
and a new initiative I call America the Beautiful to expand our national
parks and wildlife preserves that improve recreational facilities
on public lands, and something else, something that will help keep
this country clean from our forestland to the inner cities and keep
America beautiful for generations to come: the money to plant a billion
trees a year.
And tonight let me say again to all the Members of the Congress: The
American people did not send us here to bicker. There is work to do,
and they sent us here to get it done. And once again, in the spirit
of cooperation, I offer my hand to all of you. Let's work together
to do the will of the people: clean air, child care, the Educational
Excellence Act, crime, and drugs. It's time to act. The farm bill,
transportation policy, product-liability reform, enterprise zones-it's
time to act together.
And there's one thing I hope we will be able to agree on. It's about
our commitments. I'm talking about Social Security. To every American
out there on Social Security, to every American supporting that system
today, and to everyone counting on it when they retire, we made a
promise to you, and we are going to keep it.
We rescued the system in 1983, and it's sound again-bipartisan arrangement.
Our budget fully funds today's benefits, and it assures that future
benefits will be funded as well. The last thing we need to do is mess
around with Social Security.
There's one more problem we need to address. We must give careful
consideration to the recommendations of the health-care studies underway
now. That's why tonight I'm asking Dr. Sullivan, Lou Sullivan, Secretary
of Health and Human Services, to lead a Domestic Policy Council review
of recommendations on the quality, accessibility, and cost of our
nation's health-care system. I am committed to bring the staggering
costs of health care under control.
The state of the Government does indeed depend on many of us in this
very chamber. But the state of the Union depends on all Americans.
We must maintain the democratic decency that makes a nation out of
millions of individuals. I've been appalled at the recent mail bombings
across this country. Every one of us must confront and condemn racism,
anti-Semitism, bigotry, and hate, not next week, not tomorrow, but
right now-every single one of us.
The state of the Union depends on whether we help our neighbor-claim
the problems of our community as our own. We've got to step forward
when there's trouble, lend a hand, be what I call a point of light
to a stranger in need. We've got to take the time after a busy day
to sit down and read with our kids, help them with their homework,
pass along the values we learned as children. That's how we sustain
the state of the Union. Every effort is important. It all adds up.
It's doing the things that give democracy meaning. It all adds up
to who we are and who we will be.
Let me say that so long as we remember the American idea, so long
as we live up to the American ideal, the state of the Union will remain
sound and strong.
And to those who worry that we've lost our way-well, I want you to
listen to parts of a letter written by Private First Class James Markwell,
a 20-year-old Army medic of the 1st Battalion, 75th Rangers. It's
dated December 18th, the night before our armed forces went into action
in Panama. It's a letter servicemen write and hope will never be sent.
And sadly, Private Markwell's mother did receive this letter. She
passed it along to me out there in Cincinnati.
And here is some of what he wrote: "I've never been afraid of
death, but I know he is waiting at the corner. I've been trained to
kill and to save, and so has everyone else. I am frightened what lays
beyond the fog, and yet do not mourn for me. Revel in the life that
I have died to give you. But most of all, don't forget the Army was
my choice. Something that I wanted to do. Remember I joined the Army
to serve my country and ensure that you are free to do what you want
and live your lives freely."
Let me add that Private Markwell was among the first to see battle
in Panama, and one of the first to fall. But he knew what he believed
in. He carried the idea we call America in his heart.
I began tonight speaking about the changes we've seen this past year.
There is a new world of challenges and opportunities before us, and
there's a need for leadership that only America can provide. Nearly
40 years ago, in his last address to the Congress, President Harry
Truman predicted such a time would come. He said: "As our world
grows stronger, more united, more attractive to men on both sides
of the Iron Curtain, then inevitably there will come a time of change
within the Communist world." Today, that change is taking place.
For more than 40 years, America and its allies held communism in check
and ensured that democracy would continue to exist. And today, with
communism crumbling, our aim must be to ensure democracy's advance,
to take the lead in forging peace and freedom's best hope: a great
and growing commonwealth of free nations. And to the Congress and
to all Americans, I say it is time to acclaim a new consensus at home
and abroad, a common vision of the peaceful world we want to see.
Here in our own hemisphere, it is time for all the peoples of the
Americas, North and South, to live in freedom. In the Far East and
Africa, it's time for the full flowering of free governments and free
markets that have served as the engine of progress. It's time to offer
our hand to the emerging democracies of Eastern Europe so that continent-for
too long a continent divided can see a future whole and free. It's
time to build on our new relationship with the Soviet Union, to endorse
and encourage a peaceful process of internal change toward democracy
and economic opportunity.
We are in a period of great transition, great hope, and yet great
uncertainty. We recognize that the Soviet military threat in Europe
is diminishing, but we see little change in Soviet strategic modernization.
Therefore, we must sustain our own strategic offense modernization
and the Strategic Defense Initiative.
But the time is right to move forward on a conventional arms control
agreement to move us to more appropriate levels of military forces
in Europe, a coherent defense program that ensures the U.S. will continue
to be a catalyst for peaceful change in Europe. And I've consulted
with leaders of NATO. In fact, I spoke by phone with President Gorbachev
just today.
I agree with our European allies that an American military presence
in Europe is essential and that it should not be tied solely to the
Soviet military presence in Eastern Europe. But our troop levels can
still be lower. And so, tonight I am announcing a major new step for
a further reduction in U.S. and Soviet manpower in Central and Eastern
Europe to 195,000 on each side. This level reflects the advice of
our senior military advisers. It's designed to protect American and
European interests and sustain NATO's defense strategy. A swift conclusion
to our arms control talks-conventional, chemical, and strategic-must
now be our goal. And that time has come.
Still, we must recognize an unfortunate fact: In many regions of the
world tonight, the reality is conflict, not peace. Enduring animosities
and opposing interests remain. And thus, the cause of peace must be
served by an America strong enough and sure enough to defend our interests
and our ideals. It's this American idea that for the past four decades
helped inspire this Revolution of '89.
Here at home and in the world, there's history in the making, history
to be made. Six months ago, early in this season of change, I stood
at the gates of the Gdansk shipyard in Poland at the monument to the
fallen workers of Solidarity. It's a monument of simple majesty. Three
tall crosses rise up from the stones, and atop each cross, an anchor-an
ancient symbol of hope.
The anchor in our world today is freedom, holding us steady in times
of change, a symbol of hope to all the world. And freedom is at the
very heart of the idea that is America. Giving life to that idea depends
on every one of us. Our anchor has always been faith and family.
In the last few days of this past momentous year, our family was blessed
once more, celebrating the joy of life when a little boy became our
12th grandchild. When I held the little guy for the
first time, the troubles at home and abroad seemed manageable and
totally in perspective.
Now, I know you're probably thinking, well, that's just a grandfather
talking. Well, maybe you're right. But I've met a lot of children
this past year across this country, as all of you have, everywhere
from the Far East to Eastern Europe. And all kids are unique, and
yet all kids are alike-the budding young environmentalists I met this
month who joined me in exploring the Florida Everglades; the little
leaguers I played catch with in Poland, ready to go from Warsaw to
the World Series; and even the kids who are ill or alone-and God bless
those boarder babies, born addicted to drugs and AIDS and coping with
problems no child should have to face. But you know, when it comes
to hope and the future, every kid is the same-full of dreams, ready
to take on the world-all special, because they are the very future
of freedom. And to them belongs this new world I've been speaking
about.
And so, tonight I'm going to ask something of every one of you. Now,
let me start with my generation, with the grandparents out there.
You are our living link to the past. Tell your grandchildren the story
of struggles waged at home and abroad, of sacrifices freely made for
freedom's sake. And tell them your own story as well, because every
American has a story to tell.
And, parents, your children look to you for direction and guidance.
Tell them of faith and family. Tell them we are one nation under God.
Teach them that of all the many gifts they can receive liberty is
their most precious legacy, and of all the gifts they can give the
greatest is helping others.
And to the children and young people out there tonight: With you rests
our hope, all that America will mean in the years and decades ahead.
Fix your vision on a new century-your century, on dreams we cannot
see, on the destiny that is yours and yours alone.
And finally, let all Americans-all of us together here in this Chamber,
the symbolic center of democracy-affirm our allegiance to this idea
we call America. And let us remember that the state of the Union depends
on each and every one of us.
God bless all of you, and may God bless this great nation, the United
States of America.
3.
Letter to Congressional Leaders
on Social Security --April 23, 1991
Dear Bob: (Dear George:)
Six months ago, the Administration and a bipartisan majority
in the Congress agreed to separate Social Security from the Federal
budget. The advocates of this action argued that this separation was
necessary to help protect Social Security. To this end, we also agreed
to implement a "firewall" procedure requiring a super-majority
vote in the Senate to protect against efforts to deplete the Social
Security trust fund balances.
It now appears that there is a Senate loophole in those procedures.
It was slipped into last year's budget legislation without the knowledge
or approval of many of those who participated in the budget summit.
Recently, you and Senator Domenici introduced legislation to repair
the Social Security "firewall." I support this legislation
and urge the Senate to adopt it immediately.
It is my understanding that some may attempt to exploit this loophole
during Senate consideration of the Congressional Budget Resolution.
They may propose an amendment to clear the way for legislation to
weaken the Social Security system. Senator Moynihan's proposal, for
example, would return Social Security to the same financing schedule
that drove the system to the brink of insolvency in 1982. His proposal
would drain roughly $23 billion from Social Security trust fund reserves
in 1992 and $170 billion by the end of 1996. Under pessimistic economic
assumptions, adoption of this legislation could again threaten to
bankrupt the Social Security system.
We rescued the Social Security system eight years ago on a bipartisan
basis. When we did, we made a promise to every American who receives
Social Security benefits, to those who support the system today, and
to those who will rely on it when they retire. We have worked together
to assure that today's benefits are protected and that the system
will be strong enough to continue providing benefits to future retirees.
I intend to assure that we keep our promise.
Sincerely,
George Bush
4.
Memorandum on Social Security Card Changes --February
10, 1992
Memorandum for the Secretary of Health and Human
Services
Subject: Delegation of Authority to Report to the Congress and
to Publish in the Federal Register Proposed Changes in the
Social Security Number Card
Section 205(c)(2)(F) of the Social Security Act (section 405(c)(2)(F)
of title 42 of the United States Code) directs the Secretary of Health
and Human Services to issue Social Security number cards to individuals
who are assigned Social Security numbers.
By the authority vested in me as President by the Constitution and
the laws of the United States of America, including section 274A(d)(3)(A)
of the Immigration and Nationality Act (the "Act") (section
1324a(d)(3)(A) of title 8 of the United States Code) and section 301
of title 3 of the United States Code, and in order to provide for
the delegation of certain functions under the Act, I hereby:
(1) Authorize you to prepare and transmit, to the Committee on the
Judiciary and the Committee on Ways and Means of the House of Representatives
and to the Committee on the Judiciary and the Committee on Finance
of the Senate, a written report regarding the substance of any proposed
change in Social Security number cards, to the extent required by
section 274A(d)(3)(A) of the Act, and
(2) Authorize you to cause to have printed in the Federal Register
the substance of any change in the Social Security number card so
proposed and reported to the designated congressional committees,
to the extent required by section 274A(d)(3)(A) of the Act.
The authority delegated by this memorandum may be further redelegated
within the Department of Health and Human Services.
You are hereby authorized and directed to publish this memorandum
in the Federal Register.
George Bush
5. PRESIDENTIAL
DEBATE IN RICHMOND, VIRGINIA -- October 15, 1992
Entitlement Programs
Q. Yes, I do. My name is Ben Smith. I work in the financial field,
counseling retirees. And I'm personally concerned about three major
areas. One is the Social Security Administration or trust fund is
projected to be insolvent by the year 2036. We've funded the trust
fund with IOU's in the form of Treasury bonds. The pension guaranty
fund which backs up our private retirement plans for retirees is
projected to be bankrupt by the year 2026, not to mention the cutbacks
by private companies. And Medicare is projected to be bankrupt maybe
as soon as 1997.
I would like from each of you a specific response as to what you
intend to do for retirees relative to these issues, not generalities
but specifics, because I think they'revery disturbing issues.
Ms. Simpson. President Bush, may we start with you?
President Bush. Well, the Social Security--you're an expert
and I could, I'm sure, learn from you the details of the pension
guaranty fund and the Social Security fund. The Social Security
system was fixed, about 5 years, and I think it's projected out
to be sound beyond that. So at least we have time to work with it.
But on all of these things, a sound economy is the only way to
get it going. Growth in the economy is going to add to the overall
prosperity and wealth. I can't give you a specific answer on pension
guaranty fund. All I know is that we have firm Government credit
to guarantee the pensions, and that is very important.
But the full faith in credit of the United States, in spite of
our difficulties, is still pretty good. It's still the most respected
credit. So I would simply say, as these dates get close you're going
to have to reorganize and refix as we did with the Social Security
fund. I think that's the only answer. But the more immediate answer
is to do what this lady was suggesting we do, and that is to get
this deficit down and get on without adding to the woes, and then
restructure.
One thing I've called for that has been stymied, and I'll keep
on working for it, is a whole financial reform legislation. It is
absolutely essential in terms of bringing our banking system and
credit system into the new age instead of having it living back
in the dark ages, and it's a big fight. I don't want to give my
friend Ross another shot at me here, but I am fighting with the
Congress to get this through.
You can't just go up and say, "I'm going to fix it."
You've got some pretty strong-willed guys up there that argue with
you. But that's what the election's about; I agree with the Governor.
That's what the election is about. Sound fiscal policy is the best
answer, I think, to all the three problems you mentioned. |
| Entitlement Programs
Q. Yes, I do. My name is Ben Smith. I work in the financial field,
counseling retirees. And I'm personally concerned about three major
areas. One is the Social Security Administration or trust fund is
projected to be insolvent by the year 2036. We've funded the trust
fund with IOU's in the form of Treasury bonds. The pension guaranty
fund which backs up our private retirement plans for retirees is
projected to be bankrupt by the year 2026, not to mention the cutbacks
by private companies. And Medicare is projected to be bankrupt maybe
as soon as 1997.
I would like from each of you a specific response as to what you
intend to do for retirees relative to these issues, not generalities
but specifics, because I think they'revery disturbing issues.
Ms. Simpson. President Bush, may we start with you?
President Bush. Well, the Social Security--you're an expert
and I could, I'm sure, learn from you the details of the pension
guaranty fund and the Social Security fund. The Social Security
system was fixed, about 5 years, and I think it's projected out
to be sound beyond that. So at least we have time to work with it.
But on all of these things, a sound economy is the only way to
get it going. Growth in the economy is going to add to the overall
prosperity and wealth. I can't give you a specific answer on pension
guaranty fund. All I know is that we have firm Government credit
to guarantee the pensions, and that is very important.
But the full faith in credit of the United States, in spite of
our difficulties, is still pretty good. It's still the most respected
credit. So I would simply say, as these dates get close you're going
to have to reorganize and refix as we did with the Social Security
fund. I think that's the only answer. But the more immediate answer
is to do what this lady was suggesting we do, and that is to get
this deficit down and get on without adding to the woes, and then
restructure.
One thing I've called for that has been stymied, and I'll keep
on working for it, is a whole financial reform legislation. It is
absolutely essential in terms of bringing our banking system and
credit system into the new age instead of having it living back
in the dark ages, and it's a big fight. I don't want to give my
friend Ross another shot at me here, but I am fighting with the
Congress to get this through.
You can't just go up and say, "I'm going to fix it."
You've got some pretty strong-willed guys up there that argue with
you. But that's what the election's about; I agree with the Governor.
That's what the election is about. Sound fiscal policy is the best
answer, I think, to all the three problems you mentioned.
6. QUESTION-AND-ANSWER
SESSION IN ATLANTA, GEORGIA -- October 20, 1992
Social Security
Q. I'm a lunchroom lady, and this is something--I'm really very
privileged. How many times do we get that opportunity, you know,
us little folks down here? But I am concerned about Social Security.
I'm about, well, a little less than 20 years away from it, but I'm
concerned about if I'm going to have it when I get up there. And
I have a 2-week-old granddaughter that, in 62 years--I know that's
a long time, but she's going to be there, too, someday. I want to
know that we have that available to us when we're ready for it.
The President. First place, I think you'll remember that
I'm the President that said in the State of the Union Message, don't
mess with Social Security, don't touch it. Last night, perhaps inadvertently,
Governor Clinton said something about those that take out more than
they put in ought to do something about it. He may have mis-spoken,
so I want to be fair about that. That's messing with Social Security.
Ross Perot has proposed some kind of tax on Social Security. We
ought not to mess with it.
It was fixed in a bipartisan agreement under the Reagan administration,
I think in '83 or '84, in there. It is solvent well into the--way
after the turn of the century, up until about 2030 or something
like that. If it needs further adjustments then, it should be fixed
then. You'll still be alive, but I don't think I'll be around wrestling
with the problem in the year 2030. And we ought not to fool around
with it.
In my budget plan, this Agenda for American Renewal, I say we've
got to control the growth of these mandatory programs, but set Social
Security aside. It's not a welfare program. It originally was to
be a supplement to people's incomes. It's sacrosanct.
So I think you can tell your daughter that the system is sound,
and if it's not sound when she gets up there, my age, it will be
made sound. But the big thing for now is, don't fool around with
it, leave it separate as we try to control the growth of other spending
programs.
7. QUESTION-AND-ANSWER
SESSION IN MIAMI -- October 23, 1992
Q.
My regards to you, President Bush. My question to you is, why is
there such an integrity vacuum in today's government?
The silent majority, like myself, can find more answers and solutions
to the problems in America today in a book written by Ross Perot,
"United We Stand," than by any of the present elected
officials. And why haven't you initiated a special group of highly
trained individuals to address these problems one by one until each
Department has been corrected?
The President. That's
a good question. But you see, I differ with Mr. Perot. I don't want
to touch Social Security. He has in his program doing something
about reducing Social Security for some. I don't think we ought
to do that. I think we ought to set Social Security aside. It's
not just another guaranteed program. It is a rather sacrosanct program
with a trust fund. And so I have a difference with him on that.
I don't think we need a 50-cent--in
your hand there in that plan is a 50-cent-a-gallon gasoline tax.
Now, a lot of people have to ride to work, and where you have big
distances, that is overwhelming. Or if you're a cab driver, the
poor guy's trying to make ends meet, or a truck driver, he doesn't
need to pay 50 cents more per gallon.
So I don't want to spend a lot of
time looking at things that I'm opposed to. Now, in terms of what
Perot is suggesting in terms of really having to do something on
the spending side, I think he's on to something there, but not in
these specifics that I've given you. And so I'm not going to spend
the taxpayers' money with having a whole new group of people coming
in to study something that I'm certainly not-- going to oppose,
or that people will oppose if they elect me. I mean, I don't think
a Social Security increase or a gasoline tax is the answer at this
time.
So that's why I would--but don't
let me try to put you down by saying there's no good ideas in there;
there are. I think we've got enough study groups. What we need to
do is get something done.
I've got one difference with him.
You just can't open the hood, say fix it. I mean, you've got to
work with the Congress. And I don't mean to put the blame--I'll
accept blame. But when you're working with Congress, it ain't that
easy, believe me. Look at Alex's problem. Here we had a problem
that would have helped the community just to keep something that
was there, rebuild it. You've got all these contrasting interests.
I go up as President, say restore Homestead, and you can't dictate
to them. They're tough. You've got to hit them over the head like
that mule with a two-by-four.
But the good news, there's good
news, they screwed up that two-bit bank up there and that post office
so bad that there are going to be 100 new Members of Congress. And
maybe we can get things moving much
quicker the next term. |
