    [Public Papers of the Presidents of the United States: William J. Clinton (1997, Book I)]
    [March 11, 1997]
    [Pages 281-284]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Remarks Announcing the Economic Plan for the District of Columbia
    March 11, 1997

        Thank you. Thank you very much. Mr. Vice President, Representative
    Norton, Representative Moran, members of the administration, Mr. Mayor,
    Chairman Brimmer, Mr. Evans, and especially all the citizens of the
    District of Columbia who are here today.
        You know, every year millions of visitors come here, but even those
    who don't come know a good deal about our Capital. America's eyes and
    the eyes of the world constantly focus on Washington. They see the good,
    and there is much

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    good. There is history here, everywhere, tremendous resources, and
    talent from all over the world. But there is more as well. There are the
    people of the District, some of whose families have lived here for
    generations. They are hardworking, and they are committed to making the
    community and their neighborhoods better. There are businesses which
    strive to make it, sometimes under very difficult conditions. There is
    much dedication and much heart.
        In my State of the Union Address, I said that we have to renew our
    Capital City, to make it the finest place to learn, to work, and to
    live, because people here deserve no less and because the District
    matters beyond the city limits. The city is every American's home, and
    it should be every American's pride. Our Capital City must reflect the
    best of who we are, what we hope to become, and where we are going.
        Washington started as a planned city. George Washington, Thomas
    Jefferson, and a soldier and architect named Pierre L'Enfant shared a
    vision of order and beauty. The boulevards, the museums, the monuments
    reflect their vision. But this is a different time, and our city needs a
    new and different vision, one that reaches where the magnificent vistas
    end; one that touches our schools, where too often books and teachers
    are in short supply; our streets, where too often children are robbed of
    their futures, their freedom, and law-abiding citizens too often live in
    fear of the few who break the law; one that touches the lives of those
    who want to be responsible in work but lack the opportunity to do so;
    one that makes businesses want to locate here, to create jobs here, to
    give the community new economic life and spirit and vitality.
        Our strategy must begin to reset the course for a better life for
    all who call the District home. Our challenge is to revitalize the city
    as the Nation's Capital, to improve the prospects of self-government to
    succeed, and to make it a place where people really want to live, to
    work, to do business. We can clearly do this.
        From New York to Chicago to San Francisco, we have seen new life
    brought to urban areas. Unemployment is down. Crime is down. Things are
    looking up. We know that if we empower people and we help them within
    the economic framework, they will do the rest, and that is the heart of
    our strategy.
        Of course, our Capital City faces enormous challenges. Of course,
    these challenges are, to some extent, unique to DC and have been a long
    time in the making. But at least now we have a plan, and we are
    committed. More of you, in more ways than I have ever seen before, are
    committed. We at the Federal level must help our Capital City to lift
    itself to the point where it can be a model for the Nation for
    revitalization. Working together, we can and we must make Washington
    once again the proud face America shows to the world.
        As the Vice President said, there are steps which have been taken
    already, but now it's time for the next step, our economic plan for the
    District of Columbia, an important piece of a larger strategy to build
    on the work begun and on what we have learned from success stories in
    other cities about what actually is working there. It reflects our
    agenda to revitalize urban America. It addresses the unique needs of the
    District. It recognizes that only the people of the District can lift it
    up in the end, so it gives people the tools to do the job.
        Our $300 million plan has two parts. First, it will provide $250
    million in Federal tax incentives for jobs and capital to strengthen the
    economic base in our Capital City. Second, it will provide $50 million
    in Federal commitment to help capitalize a new, non-Federal public-
    private partnership, the DC Economic Development Corporation.
        The corporation will develop an economic development strategy,
    coordinate large-scale development projects, support efforts to create
    jobs and business opportunities. It will have broad powers to facilitate
    many existing plans such as the Monumental Core, the Downtown
    Interactive, and the New York Avenue plans. The Economic Development
    Corporation will be authorized to allocate a new DC capital credit,
    which will provide $95 million in tax credits for investors in and
    lenders to DC businesses. These credits will be worth up to 25 percent
    of the amount invested or borrowed. This will help to bring and keep
    businesses where jobs are needed, and they will be given on a
    competitive basis to investors and lenders who can do the most for the
    District and its people.
        The corporation will also have authority to issue tax-exempt private
    activity bonds to finance businesses in hard-hit areas. And it will be
    able to receive transfers of land or development rights from the Federal
    Government and from others. It will work with the National Capital
    Infrastructure Commission we're creating to

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    make certain that infrastructure and economic development build on each
    other.
        The corporation will be a driving force for our Capital's renewal,
    for it to take its rightful place in the fast-growing economy of this
    region and in our Nation. The Federal Government's investment of $50
    million in the corporation is just a start. Our goal is to involve all
    sectors of the economy in helping the District.
        Our plan also includes a new DC jobs credit, available to businesses
    in the District that hire low- or moderate-income residents living in
    economically distressed areas. It would provide a 40 percent tax credit
    on the first $10,000 of eligible wages in the first year of employment.
    This jobs credit builds on the work opportunity tax credit passed last
    year and my proposed welfare-to-work tax credit. Our plan will also
    allow small businesses in distressed areas to deduct up to $20,000 in
    additional expenses for certain equipment costs. Just as we are
    committed to seeing that self-government works as it should, we have a
    commitment from the District government to cooperate fully in the
    Economic Development Corporation.
        This is important, but we need more. I challenge business and
    community leaders to give their unqualified support to bringing back the
    District. If you're a business or an association in the District, don't
    give up on it. I commend the members of the National Association of Home
    Builders, who decided to keep their headquarters here, because that's
    important for a truly national organization, and it's important for a
    truly international organization as well. I thank MCI for its decision
    to keep their offices in the District.
        If you're a business making money in the District, then invest here.
    Follow the lead of Ford Motor Company, which is providing a line of
    credit to repair emergency, police, fire, and other vehicles. And Ford
    has set up an automotive program with three District schools.
        I want to mention another example of good citizenship as well, and
    good business. Tomorrow Secretary Cuomo will be on hand as Safeway opens
    a large supermarket in Southeast DC. It sounds so basic to have access
    to a grocery store, but that area has not had one in 20 years. Safeway
    will create 200 new jobs. And we thank you, sir. Thank you very much.
        I want to thank all the businesses who are here today for everything
    you do to support the District. I hope you will work with Director
    Raines and Secretary Rubin to develop concrete ways to participate with
    the Economic Development Corporation and the District and report back to
    me within 60 days.
        The Government will honor its commitment to the District. We know
    the Federal presence here is critical to the local economy. We know that
    we must do more, and that is why I have issued a directive to ensure
    that agencies do all they can to stay here and to contribute here. We
    want to build on our presence wherever possible. For example, the Navy
    will boost employment at the Southeast Navy Yard by doubling its current
    levels by 2001, adding 5,000 jobs here in the District.
        As District residents, the First Lady, the Vice President, Tipper,
    and I will continue to do our part. Recently, the First Lady presented a
    check for $18 million to repair our city schools coming from the
    privatization of Connie Lee, the institution that insures college and
    university bonds. And our public-private partnership will now benefit
    District schoolchildren. The First Lady also challenged law firms--I
    thought that was good--we don't have any shortage of law firms in DC--
    [laughter]--to expand their efforts to adopt DC schools, to visit with
    students, to develop relationships with them and mentor them.
        I'm proud of all the departments and agencies in the Federal
    Government that have adopted DC schools. And I would like to say a
    special word of thanks to my Secret Service detail who gave that to the
    First Lady and me as a Christmas present not very long ago. I couldn't
    imagine a better gift. And the work they do at the Kramer School is
    something that I am particularly proud of.
        As the Vice President said, our administration has worked hard to be
    a good neighbor. But I've asked the Cabinet to do more. You will hear
    and see a lot of our Cabinet Secretaries in the District. You will see
    them doing things. In the next 2 weeks, for example, Secretary Albright
    and Ambassador Richardson will adopt local schools to teach children
    about diplomacy and geography. Secretary Glickman will announce a
    renewed effort to glean surplus food from cafeterias at Federal
    buildings to feed the hungry here in the District. And I'm asking all
    the Secretaries to report back to me within 90 days with a targeted plan
    of action for each department to do all it possibly can to help the
    District.

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        It has been said that Americans didn't think much of their Capital
    until they had to defend it during attack in the War of 1812 when, as
    all of you know, in 1814 the White House was burned. In a way, history
    is repeating itself, because for too long, Americans have not thought
    enough about our Capital City. But Washington is still worth fighting
    for. In fact, it's more worth fighting for than ever.
        The people I have seen who live in this city, who do miraculous
    things every day to try to help people make more of their own lives, to
    try to help kids in trouble, to try to turn things around and see people
    live up to their potential, deserve more than the rest of us have done.
    And I am determined that even though the solutions will not come
    overnight, we will provide our part of the effort. And together, with
    local government and business, with the involvement of every citizen, we
    can have a strategy and implement a strategy that makes Washington the
    city we all know it ought to be and that we must believe it will be.
        Thank you very much.

    Note: The President spoke at 4:40 p.m. in the East Room at the White
    House. In his remarks, he referred to Mayor Marion S. Barry, Jr., of the
    District of Columbia; Andrew F. Brimmer, chairman, DC Financial
    Responsibility and Management Assistance Authority; and District of
    Columbia Ward 2 Councilman Jack Evans.