    [Public Papers of the Presidents of the United States: George W. Bush (2003, Book II)]
    [December 12, 2003]
    [Pages 1712-1715]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Remarks Announcing the Nomination of Alphonso Jackson To Be Secretary of Housing and Urban Development and an
    Exchange With Reporters
    December 12, 2003

        The President. Good afternoon. I am pleased to announce that I will
    nominate Alphonso Jackson of Dallas, Texas, to serve as Secretary of
    Housing and Urban Development.
        Since 2001, Alphonso Jackson has given fine service as Deputy
    Secretary of the Department, responsible for many of the day-to-day
    operations of HUD. In his career, Alphonso has been a senior
    administrator of housing agencies in three cities, St. Louis and
    Washington and Dallas. He's an experienced executive in the public and
    private sectors, a man who knows the issues facing HUD and knows how to
    get things done.
        I can tell you from personal experience that Alphonso is a man of
    great integrity and compassion. We used to live in the same neighborhood
    in Dallas. [Laughter] I used to drop by for an occasional cup of coffee,
    sometimes unannounced. [Laughter] I'm pleased that he has agreed to join
    my Cabinet.
        I'm also grateful to former Secretary Martinez, Mel
    Martinez, for his outstanding leadership of
    HUD over the past 3 years. These have been years of important progress
    for the Department, for its mission, and for the families across America
    that benefit from its good work. Over the last 3 years, homeownership in
    America has reached its highest level ever, and in the last 18 months,
    more than a million minority citizens have become homeowners.
        As leader of HUD, Mel has repaid my
    confidence many times over. He is a good man and a good friend, and I
    thank him for his service to our Nation, and I wish Mel and
    Kitty all the very best.
        With the Senate's approval, Mel Martinez
    will be succeeded by another man who understands the struggles and hopes
    of urban America. Alphonso Jackson grew up in a family with 12 children,
    a housing challenge unto itself. [Laughter] His dad, Arthur, worked
    three jobs, educated his children, and instilled the values that have
    carried his son far in life.
        These values and experiences have also shaped the priorities
    Alphonso brings to his new assignment. He believes, as I do, that
    homeownership is a source of stability for our communities and a source
    of dignity for our families. He believes our Government can provide
    effective help to our fellow citizens who are homeless, and he has seen
    how entire neighborhoods can turn themselves around with strong local
    leadership and the help of our Federal Government. Alphonso is just the
    man to carry on the work of compassionate conservatism in America's
    cities.
        Laura and I have known Alphonso and
    Marcia for many years. They're close friends,
    and I appreciate you coming, Marcia. I also want to welcome the other
    members of your family who are here.
        Alphonso is a friend, and he's one of the most experienced and
    respected authorities on housing policy in America. He will be a superb
    Secretary of Housing and Urban Development. I want to thank you

    [[Page 1713]]

    for accepting this assignment and congratulate you, my friend.

    [At this point, Deputy Secretary Jackson made brief remarks.]

        The President. I thought I would answer a couple of questions.
    Jennifer [Jennifer Loven, Associated Press].

    Halliburton Contract in Iraq

        Q. Yes, sir, thank you. With the Pentagon looking into the
    Halliburton contract, are you concerned that that gives some fuel to
    your critics that the contract was inappropriate in the first place?
        The President. I appreciate the Pentagon looking out after the
    taxpayers' money. They felt like there was an overcharge issue. They put
    the issue right out there on the table for everybody to see, and they're
    doing good work. We're going to watch--we're going to make sure that as
    we spend the money in Iraq that it's spent well and spent wisely. And
    their investigation will lay the facts out for everybody to see. And if
    there's an overcharge, like we think there is, we expect that money to
    be repaid.
        Randy [Randall Mikkelsen, Reuters].

    Middle East Peace Process

        Q. Mr. President, Secretary Powell has been meeting with unofficial
    Middle East peace negotiators, despite Israel's objections. And there's
    other signs of U.S. dissatisfaction with Israel. My question is, what
    does Israel need to do to convince you that it's doing its part in the
    peace process?
        The President. Randy, you may remember I gave the speech on June 24,
    2002. I laid out exactly what I think must happen in order for us to
    achieve peace in the Middle East, in order for the Palestinian state to
    emerge that is at peace with Israel. And I haven't changed my opinion.
    Step one is for all parties to fight off terror, to stop the few from
    destroying the hopes of the many. Step two is for the Palestinians to
    find leadership that is willing to reject the tired old policy of the
    past and lead the Palestinian people to not only a democratic state but
    a peaceful solution of differences.
        Israel must be mindful that the decisions they make today will make
    it difficult to create--must be mindful that they don't make decisions
    that make it hard to create a Palestinian state. It's in Israel's
    interests there be a Palestinian state. It's in the poor, suffering
    Palestinian people's interest there be a Palestinian state. The Arab
    world has got responsibilities to see that this vision be implemented.
        Q. But why these contacts with the unofficial negotiators?
        The President. I'm sure the Secretary of State meets with all kinds of people all the time. But the
    policy of this administration was laid out in the Rose Garden for
    everybody to see, everybody to listen to.
        You might remember I took that policy to Aqaba, Jordan. I stood up
    in front of the world and said this man has--he, Abu Mazen, came to the Oval Office and said, ``I'm
    willing to join you, Mr. President, to help fight off terror,'' because
    he understood that terror was what was preventing progress from being
    made. He said, ``I'm willing to work to put the institutions in place
    for a Palestinian state.'' And as we began to make progress, he got
    shoved aside, and that's why we're stalled where we are today.
        It is time for Palestinian leadership to emerge that believes in
    peace and believes in the aspirations of the Palestinian people.
        April [April Ryan, American Urban Radio Networks], I see you've got
    something that you'd like to ask. First, let me ask you a question. As
    you're heading into--my turn to ask you a question. [Laughter] So this
    is your first Christmas season as a mom.
        Q. Second, actually, 18 months.
        The President. Exactly right. [Laughter] Good answer. I was just
    trying to check and see if you knew--if you and I both

    [[Page 1714]]

    knew how old your child was. [Laughter] Do you have a question to the
    President?

    Halliburton Contract in Iraq

        Q. Yes, I do, sir. Mr. President----
        The President. Do you remember what it is? [Laughter]
        Q. You can throw a person, you know that. [Laughter] Mr. President,
    many of your critics are saying that you should distance yourself from
    Halliburton, and they say it's an albatross around this administration's
    neck, particularly the Vice President and you. What are your thoughts
    about that?
        The President. My thoughts are, is that I expect anybody doing
    business with the United States Government to be transparent and to give
    the taxpayers a good return on their money. That's what I expect. And if
    anybody is overcharging the Government, we expect them to repay that
    money.
        Wendell [Wendell Goler, FOX News].

    Iraqi Debt Relief

        Q. Mr. President, in light of the New York Times editorial today,
    tell me why----
        The President. Right. Let me stop you, Wendell. I don't read those
    editorials--[laughter]--so you're going to have to--maybe you ought to
    ask the question not in that context, but in another context. Sorry to
    interrupt you.
        Q. All right, sir. Tell me why former Secretary of State Baker's
    ties with Carlyle Group and with Baker Botts don't pose a conflict of
    interest in this new task you have given him of restructuring Iraq's
    debt?
        The President. Jim Baker is a man of
    high integrity. He's a man of enormous experience. And it makes sense
    for him to serve our country on an important mission. And that mission
    is to encourage countries to forgive debt so the Iraqi people can more
    easily grow a nation that is prosperous and peaceful.
        And Jim Baker is--we're fortunate to
    have Jim Baker agree to serve our country. We're fortunate he decided to
    take time out of what is an active life but one out of the press and one
    that's probably not nearly as stressful as it has been when he's been
    involved in public service, to step forward and serve America. We're
    fortunate that he is willing to do that, and I thank him for that.
        And I'm really happy that he has
    agreed to serve. His mission is to go to Paris and Berlin and Moscow and
    London to convince these countries to forgive debt. And I'm hopeful they
    do forgive debt. I'm hopeful that they're willing, in some cases, to
    contribute for the first time to the efforts of the Iraqi citizens. See,
    it's in the interest of their countries that Iraq be free and peaceful.
    Matter of fact, it's in the interest of all countries that Iraq be
    peaceful and free. It makes us all more secure. Imagine what the effect
    is going to have--a peaceful and free Iraq is going to have in the heart
    of the Middle East, where there's so much violence and hatred.
        And so Jim Baker is on a noble
    mission. He'll do a great job. I didn't mean to dis the New York Times
    editorial page, but I just didn't--I'm not reading it a lot these days.
    [Laughter]
        Yes, sir.
        Q. Mr. President----
        The President. Or anybody else's, for that matter.
        Q. I have no ties with the New York Times. [Laughter]
        The President. You didn't mean to dis it either, then. [Laughter]

    Strength of the Dollar

        Q. Mr. President, the dollar fell again against the euro. Mr. Snow,
    your Treasury Secretary, says that the decline has been orderly,
    boosting exports. Do you plan any intervention to stop the slide in the
    dollar?
        The President. My answer to that question about the dollar is that
    this Government is for a strong dollar and that the

    [[Page 1715]]

    dollar's value ought to be set by the market and by the conditions
    inherent in our respective economies. And our economy is very strong and
    is getting stronger. But the policy, the stated policy--and not only the
    stated policy but the strong belief of this administration is that we
    have a strong dollar.
        Well, listen, thank you all. Alphonso, congratulations.
        Deputy Secretary Jackson. Thank you, Mr. President.
        The President. I appreciate you coming.

    Note: The President spoke at 2:40 p.m. in the Roosevelt Room at the
    White House. In his remarks, he referred to former Prime Minister
    Mahmoud Abbas (Abu Mazen) of the Palestinian Authority; and James A.
    Baker III, the President's personal envoy on the issue of Iraqi debt.