[Public Papers of the Presidents of the United States: George W. Bush (2003, Book I)]
[April 15, 2003]
[Pages 343-347]
[From the U.S. Government Publishing Office www.gpo.gov]
Remarks Following a Discussion With Business Leaders
April 15, 2003
Christine, thanks for the kind
words. Thank you for being a entrepreneur who was encouraging to your
fellow workers to serve their country. You represent a lot of bosses
across this country who encouraged the reservist or the guard, who made
sure there was a job available when they came home and, at the same
time, supported their family. And I want to thank you very much for
that.
I want to welcome you all to the Rose Garden. It is a beautiful day.
It's a beautiful day for our country too. We've got troops still
fighting in Iraq, and our Nation takes great pride in the men and women
who wear our country's uniform and who sacrifice for security and peace.
The world has seen their skill and their courage and their humanity.
They bring security to our country and, at the same time, bring freedom
to the Iraqi people.
I appreciate the chance to meet with small-business leaders from
around our country to discuss the challenges facing our economy. The
small-business folks in America, the entrepreneurs, represent one of the
great strengths of this country, the spirit of free enterprise, the
willingness to take risk, the hard work required to move this economy
forward.
Small-business owners and employees understand that this economy has
a great deal of unmet potential. The American people have all the talent
to meet that potential, and that's why I'm so optimistic about the
future for our economy.
The Nation needs quick action by our Congress on a progrowth
economic package. We need tax relief totaling at least $550 billion to
make sure our economy grows. And American workers and American
businesses need every bit of that relief now so that people who want to
find a job can find one, so that people looking for work are able to put
food on the table for their families.
I want to thank Christine for
coming. I appreciate the fact that she is the CEO of her own business.
We just had a roundtable discussion in the Roosevelt Room, and one of
the things I love--told the folks there I loved about America was the
fact that somebody can own their own business, that ours is an ownership
society. I think that's one of the things that makes America so unique,
is the entrepreneurial spirit and
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the drive by people from all walks of life to start their own business,
succeed with their own business. And at the same time, it's that drive
that makes it likely somebody is going to find work.
I appreciate Karla Aaron, who's with us as
well, Hialeah Metal Spinning from South Florida. And I want to thank Tim
Barrett, who is the owner of Wood World. Tim
said he's got--he's about as small a business unit as you can get. He's
got four employees. I said, ``Well, it's four times bigger than the
smallest.'' [Laughter] And I appreciate Frank Fillmore Jr. as the president of The Fillmore Group. Thank you all
for standing up here as well.
Steve Anderson was with us today, who
is the head of the National Restaurant Association. His association
represents all kinds of entrepreneurs. The restaurant industry is a
great place for people to get their start in achieving the American
Dream.
Sal Gomez was here representing the
Denver Hispanic Chamber of Commerce. The most interesting statistics
about the entrepreneurial spirit is the number of Hispanic small
businesses that are flourishing in our country. It's one of the great
tributes to America and our open society.
I appreciate so very much Tom Donohue,
who is the head of the U.S. Chamber, for joining us today. Jerry
Jasinowski is the head of the National
Association of Manufacturers, is with us. Karen Kerrigan is the Small
Business Survival Committee--that's a pretty good name. [Laughter] Tom
Musser is the National Federation of Independent
Businesses, NFIB. And Terry Neese is Women
Impacting Public Policy, joined us at our discussion in the Roosevelt
Room; Bill Parsley of Carswell Distributing
Company; Dirk Van Dongen,
who represents the Small Business Administration. We had a great
discussion. I want to thank you all for joining us there, and I
appreciate everybody else coming today as well.
On the first day of the new Congress more than 3 months ago, I spoke
to the business leaders in Chicago, Illinois. I described two great and
immediate tasks facing our country: first, to meet the dangers to
America wherever they gather; and secondly, to achieve a vigorous and
growing economy. Those remain the highest priorities of my
administration, and there's no doubt we're going to meet those
priorities.
This Government is acting to protect the American people from the
threats of a new era. In Iraq, the regime of Saddam Hussein is no more. A month ago--one month ago--that country
was a prison to its people, a haven for terrorists, an arsenal of
weapons that endangered the world. Today, the world is safer. The
terrorists have lost an ally. The Iraqi people are regaining control of
their own destiny. These are good days in the history of freedom.
Our victory in Iraq is certain, but it is not complete. Centralized
power of the dictator has ended. Yet, in parts of Iraq, desperate and
dangerous elements remain. Forces of our coalition will engage these
enemies until they surrender or until they're destroyed. We have waged
this war with determination and with clarity of purpose, and we will see
it through until the job is done.
As we press on to liberate every corner of Iraq, we are beginning
the difficult work of helping Iraqis to build a free and stable country.
The immediate tasks involve establishing order as well as delivering
food and water and medicines. We'll help Iraqis to restore electrical
power and other basic services. We'll help destroy the former regime's
weapons of mass destruction. We'll help the Iraqi people to establish a
just and representative government which respects human rights and
adheres to the rule of law. These tasks will take effort, and these
tasks will take time. But I have faith in the Iraqi people, and I
believe that a
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free Iraq can be an example of reform and progress to all the Middle
East.
Our victory in Iraq will be a crucial advance in the war against
terror. Yet, the war on terror continues. Our Nation is still threatened
by determined and resourceful enemies. The proliferation of weapons of
mass destruction remains a danger to the civilized world. Yet from the
very day our country was attacked, we have sent a clear message to all
who would threaten us and our friends and our allies: The United States
of America and our coalition will defend ourselves. When we make a
pledge, we mean it. We keep our word, and what we begin, we will finish.
Another great priority of the Government is to encourage prosperity
and the creation of jobs for all who seek them. Here in Washington,
we're now determining the size and the shape of a package to promote
growth in jobs. It's not ``if'' we have a package; it's, ``How big will
the package be?'' The ``if'' is over with. In this debate, the goal is
not to set arbitrary numbers for that package. The goal is to determine
what our economy needs, what small businesses need, what workers need,
and then to take actions necessary to meet those needs. The proposals I
announced 3 months ago were designed to address specific weaknesses
slowing down our economy and keeping companies from hiring new workers.
Those weaknesses remain today.
All of you know that economic and job growth will come when
consumers buy more goods and services from businesses such as your own.
And the best and fairest way to make sure Americans can do that is to
grant them immediate tax relief so they have more of their own money to
spend or save.
In 2001, the Congress passed broad tax reductions in income taxes
and promised much of this tax relief for future years. With the economy
as it is, the American people need that relief right away. The tax cuts
are good enough for the American taxpayers 3 or 5 or 7 years from now;
they are even better today.
Instead of lowering taxes little by little, the Congress should do
it all at once and give our economy the boost it needs. Instead of
gradually reducing the marriage penalty, we should do it now. Instead of
slowly raising the child credit from $600 to $1,000, we should do it
now. And we should send the extra $400 per child to American families
this year, 2003.
All together, these tax reductions will help 92 million Americans.
And a significant part of the benefit to our economy will come within
the first 2 years of the plan. A family of four with an income of
$40,000 would receive a 96-percent reduction in Federal income taxes.
Instead of paying $1,178 per year, the family would pay $45 a year. That
means extra money in the family budget, year after year. That money can
cover a lot of bills. That money can help families with purchases they
have been delaying. That money will be in circulation, which will be
good for our economy.
And this plan will help our small-business sector. The benefits of
the growth plan will come from increased consumer spending and, as
importantly, from lower income-tax rates on the small businesses
themselves. It is important for our fellow citizens to understand that
most small businesses pay their business taxes at the individual rates.
Most small businesses are sole proprietorships or limited partnerships
or Subchapter S's.
And therefore, when you reduce individual tax rates, you benefit
small-business formation. As a matter of fact, under this plan, some 23
million small-business owners will see their taxes cut, which leaves
more money for investment, more money for growth, more money for job
creation. A growing economy also needs small-business investment, and
our Tax Code should encourage investment. Today, a small business can
deduct a maximum of $25,000 in the year in which they buy equipment. We
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need to triple the amount that can be deducted in the year in which they
buy equipment.
So I proposed to Congress that they ought to limit--the limit ought
to be increased to $75,000, and that limit ought to be indexed to
inflation. By doing so, we promote greater investment in machinery, and
when a small business buys a machine, it enhances their company's
productivity. As well, it means the machinery manufacturer is likely to
have more work available. More investment equals jobs, and what we're
interested in in this administration is helping people who look for work
find a job.
We can also promote economic growth and job creation by removing the
double tax on dividends. Taxing corporate income once is fair. It is not
fair for the Federal Government to tax the same money twice. The burden
of double taxation falls on the millions of individuals who receive
dividends. It falls especially hard on seniors, who receive half of all
dividend income.
The removal of double taxation would put more money into the hands
of investors; it would encourage more investment in American businesses.
Economists say that this plan will help our stock markets. And since
half of American families own stock, the reform will help them save and
help our economy grow.
Now, these measures were presented to the Congress in the first week
of this year. The progrowth package was urgent in January. It's even
more urgent today. It is important for you all to understand and for our
fellow Americans to understand, the tax relief I have proposed and will
push for until enacted will create 1.4 million new jobs by the end of
2004.
In 2 years' time, this Nation has experienced war, a recession, and
a national emergency, which has caused our Government to run a deficit.
The best way to reduce the deficit is with more growth in our economy,
which means more revenues to our Treasury and less spending in
Washington, DC.
I am pleased that both the House and the Senate have passed budget
resolutions that show real spending restraint. And now the Congress must
focus on a robust and effective growth package. We need at least $550
billion in that package because the more tax relief that goes to the
American people, the more jobs we will create in this economy.
The last few months have been a time of challenge for America. Our
resolve has been tested. Yet, we have the great resources of national
strength and national character to overcome every challenge we face. Our
confidence and our optimism have never wavered. We are defending the
peace of the world. We're bringing freedom to corners of the world that
haven't seen freedom in years. We're also building the prosperity of our
country.
This is a unique moment in our history, and the American people are
rising to meet it.
I want to thank each of you for your hard work. I want to thank each
of you for the faith you have shown in this country's future. May God
bless you, and may God continue to bless America. Thank you all.
Note: The President spoke at 11:16 a.m. in the Rose Garden at the White
House. In his remarks, he referred to Christine J. Bierman, founder and
chief executive officer, Colt Safety, Fire & Rescue; Karla Aaron, owner,
Hialeah Metal Spinning, Inc.; Tim Barrett, owner, Wood World; Frank C.
Fillmore, Jr., founder and president, The Fillmore Group; Steven C.
Anderson, president and chief executive officer, National Restaurant
Association; Salvador Gomez, chairman of the board and chief executive
officer, Denver Hispanic Chamber of Commerce; Thomas J. Donohue,
president and chief executive officer, U.S. Chamber of Commerce; Jerry
Jasinowski, president, National Association of Manufacturers; Karen
Kerrigan, chairman,
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Small Business Survival Committee; Tom Musser, chairman of the board,
National Federation of Independent Business; Terry Neese, president and
cofounder, Women Impacting Public Policy; William Parsley, president,
Carswell Distributing Co.; Dirk Van Dongen, president, National
Association of Wholesaler-Distributors; and former President Saddam
Hussein of Iraq. The Office of the Press Secretary also released a
Spanish language transcript of these remarks.