[Weekly Compilation of Presidential Documents Volume 29, Number 11 (Monday, March 22, 1993)]
[Pages 423-430]
[Online from the Government Publishing Office, www.gpo.gov]
<R04>
Remarks in an Interview With the California Media
March 13, 1993
Winter Storm
The President. Hello, everybody. Welcome to sunny Washington.
[Laughter] I want to basically just answer questions. I brought Mr.
Panetta so he could help with any details of any questions you might
have. I'm sorry we're a little late, but as you might imagine, I've had
to take some time this morning to try to calculate what our response
should be to this severe storm that is sweeping the east coast and that
will move over Washington in its center not until about 7 o'clock
tonight. So that's what I've been working on. And I know it doesn't
concern you except you're here.
Yes.
Military Base Closings
Q. Mr. President, you got some of your highest vote totals from the
San Francisco Bay area when you ran for President: San Francisco 78
percent, Alameda County. A lot of folks out there are wondering how
you're letting them take such a big hit to lose five facilities when
they're watching southern California facilities also, some of them being
taken care of. What do you say to the people in the Bay area who
supported you so strongly and now are looking at themselves taking a
pretty big hit?
The President. Well, first of all, those decisions were not made on
a political basis, and I did not intervene individually in those
decisions, nor do I think I should have. I'll tell you what I did do. I
asked the Secretary of Defense to be sure that he fulfilled his legal
responsibility to consider the economic impact of every State, including
California, and because it's so big, all parts of California, before
sending the list on to the Congress. And he did that to the best of his
ability.
[[Page 424]]
There hadn't been a lot of naval closings in the first two rounds.
The Navy strongly recommended all the sites, including the ones in the
Bay area. I'm concerned about it. If you look at the whole country, the
Bay area and perhaps Charleston, South Carolina, were the hardest hit,
although the Charleston Yard won't close entirely.
But the way the process works, it seems to me, is the only way it
can work. And that is for the services to make their recommendation and
for the Secretary of Defense to try to evaluate the economic impact--
something, by the way, that can't be done by the services because they
don't know what each other is doing; so if the Secretary of Defense
doesn't do it, no one can, because they've got the Navy, the Air Force,
and the Army cumulatively coming in with these recommendations--and then
to send it on to the Congress.
I believe that the Bay area ought to do--I think we ought to have
two things to be sensitive to what's happened there. One is the base
closing commission itself, which has in the two previous cases made
modifications in the services' requests, should consider the strongest
argument the Bay area can put together for some modification of it. But
secondly, the areas that are disproportionately hit, it seems to me,
should receive extra attention from this administration in the new
conversion effort that we have announced just in the last couple of
days. We are going to put into play this year over $1 billion in funds
not only for worker retraining but also for community redevelopment and
for the development of new technologies and new purposes for economic
activity where there has been a severe dislocation.
So I am prepared to do that for the Bay area, to make a special
effort to focus on their long-term needs so that--and keep in mind, this
is not going to happen overnight, this is a longer term phaseout--so
that by the time the jobs were actually lost there, we would be ready to
move forward with new economic activity, perhaps even before that time.
Another issue that relates to all the bases in California, and
indeed all the ones in the United States, is that the environmental
cleanup at a lot of these bases, especially the air bases, has taken so
long that by the time the bases close, they're not ready to be taken
over by local community interests, even though if they were ready,
economic activity would pick up almost immediately. So another thing
we've really focused on is trying to make sure we are moving as
aggressively, as quickly as possible on the environmental cleanup. I
talked to the Secretary of Defense for an hour about that yesterday when
we were on the helicopter going to visit the U.S.S. Theodore Roosevelt.
Q. Mr. President, how do you justify, although it's not your
decision, but how would you justify spending $320 million to close a
working capable home for three nuclear carriers in Alameda to build a
facility in--[inaudible]--that was conceived as part of an outdated
home-porting strategy that won't post its first carrier, nuclear
carrier, until 1996, that will require by the Navy's own estimates at
least another $140 million to complete, and that the GAO recommended
closing 2 years ago on the grounds that it was a waste of money to
duplicate facilities already present in Alameda?
The President. That's a question you should ask the Navy and the
Secretary of Defense. As I said, I did not review that list. I didn't
think I should. This law was established--this is the third round of
base closings. The Navy's been pushing for base closings. I heard about
the GAO report after the list was ultimately released yesterday, and
that's one of the issues I think the Base Closing Commission ought to be
required to confront.
Q. Mr. President, you said politics didn't play a role in this.
Let's not talk politics, let's just talk simple fairness. Was this list
fair to the Bay area?
The President. Well, let me answer you in this way. I think that the
Secretary of Defense deleted a couple of the facilities in northern
California because he thought the aggregate economic impact was too
great. That's my impression of why he made the decision that he made.
The Bay area still takes a big hit. The Navy was very adamant about the
recommendations they made and pointed out that very few Navy
installations had been closed previously. If the Navy can
[[Page 425]]
be proved wrong, I think that's something we ought to consider.
I believe that a couple of those facilities, the Treasure Island
one, for example, I think that the potential of even more economic
benefits by turning some of those facilities over to nonmilitary uses
are very great indeed. But again, I think that the people from the Bay
area and the elected Representatives from California ought to make the
strongest case they can to the base closing commission.
This is the public process. This sort of enables me in a way to
discuss these things, to get involved, to evaluate them, because after
the base closing commission makes their recommendations, they send it
back to me so that there's no suggestion of closed doors or behind-the-
scenes maneuvering. This is all out-in-the-open debating. And I think
that the people in the Bay area ought to make the strongest case they
can on all these things, including aggregate fairness, to the base
closing commission. I'm going to review it very closely. I also think
they ought to claim the right to have an extra intense effort in our
conversion process if they're going to have to eat all these closings.
Q. Mr. President, the Naval Training Center in San Diego is now on
the so-called hit list when it wasn't before. Do you have any insight as
to why that changed?
The President. No, I don't. What do you mean it wasn't before?
Q. It never showed up on a list before, the Naval Training Center,
and then it seemed to be on the list in the newspaper in the morning.
The President. No, because I didn't know whether the list that was
in the press was right or not. You know, the Long Beach facility was on
that list, and apparently it was not recommended for closing. So I can't
comment on that. San Diego is going to net out a substantial increase in
jobs in this. There will be a few thousand more people employed in the
San Diego area when all these changes are made, I know that.
Q. Do you know why McClellan was removed from the list? It was the
biggest one that was removed.
The President. You ought to ask the Secretary of Defense. The only
thing I asked him to do was to realize that the law imposed on us the
responsibility of seriously taking into account the aggregate economic
impacts not only on this round of base closings but on the previous two
as well. And I think you should ask him about that.
Q. Mr. President, the people of California, the people of Los
Angeles understand that we've got to cut the deficit, so we've got to
cut the defense budget, so we've got to cut bases. But given the fact
that the recession in California is so deep, many people there feel the
timing is poor to cut so deeply now. What's your view?
The President. If we were cutting now, I would agree with that. But
keep in mind, these are bases that starting between 3 and 5 years from
now will be closed. And I certainly hope that 3 years from now the
California economy will be in much better shape than it is now.
Right now, what I'm trying to do is to get a big infusion of capital
into California through this stimulus program that will put a lot of
money to work in community development block grants and highway projects
and clean water projects and through some changes in the Federal aid
programs that Mr. Panetta and I have worked very hard on, to try to get
several hundred million dollars a year more into California in
recognition of the fact that you have a big problem with immigrants that
the Federal Government has let you struggle with for too long without
appropriate response.
And during this 3-year period, I plan to start an intense effort to
diversify defense contractors' production, to intensely retrain men and
women who might lose their jobs, and to put real funds into communities
to develop new and different economic strategies. I think there is an
enormous potential in California, if we do all these things, to rebuild
the high-wage job base that has been so savaged by this.
And let me just make one other point I made to the State legislators
who were here last week about the base closing issue. Now, this doesn't
answer the Bay area question, I don't pretend. But in the aggregate, let
me make this point. We started reducing defense spending in 1986--topped
out, and it started going down. And it's projected to go down until
1997. If we don't change anything
[[Page 426]]
else--let's say we hadn't made this announcement yesterday. It doesn't
answer any of the detail questions. You may be right about the specific
one. If no announcement had been made yesterday, here's what would have
been the picture by 1997: a 40-percent reduction in the defense budget,
a 35-percent reduction in personnel, a 56-percent reduction in our
presence overseas, and a 9-percent reduction in bases.
Now, if we permitted that to happen, what State would be hurt worst?
California. Why? Because California, with 12 percent of the Nation's
population, received 21 percent of the total defense budget last year.
Why? Because you have a lot of the plants that make the high-tech
defense products that are a critical part of this country's economic
strategy. So the more you keep bases that can't be justified for
strategic purposes, if you keep the same defense cuts, the more you wind
up cutting contracts and laying factory workers off and putting pressure
on those companies.
So if we want a balanced approach that maintains a smaller but still
the best trained and best equipped military force in the world, with
unquestioned technological superiority, and if we keep in place an
industrial infrastructure that can be called upon to meet those needs
and to expand if necessary, that's another reason we have to proceed
with discipline on the base closing, so we can build up and maintain the
private sector industrial production we need that gives us our
technological lead.
Q. Mr. President, you made this point a couple of times, and I just
want to make sure that we get it nailed down. Some Members of Congress
are pointing to the exclusion of McClellan Air Force Base as evidence
that the whole process was contaminated by politics. And they're saying
we're going to get a coalition together, we're going to kill the whole
list. What would you say to those delegates?
The President. I would say to them that, first of all, they ought to
talk to the Secretary of Defense before they do that. Secondly, if they
didn't want the economic impact on States considered, then that
shouldn't have been part of the legislation. Thirdly, that there is no
way the aggregate economic--let me ask you this: Add back in McClellan
and the Defense Language Institute to the Bay area closings, and
calculate the impact on northern California, and add that to the impact
on California of the previous two rounds of base closings, and tell me
that that is fair or takes into account the economic impact.
My view is that the Secretary of Defense basically took the list
that was submitted to him by the separate services and did two things
they did not do. He aggregated them together so he could calculate the
cumulative impact of Navy, Air Force, and Army closings and then
considered the cumulative impact of the previous two rounds of base
closings. And I believe that was his legal responsibility. That is all I
asked him to do. We didn't get into any specifics. I just said, you've
got to--that's part of your job--do that. And I think he'll be able to
do that with great credibility.
There was also a lot of effort made in other areas to minimize the
economic impact by the services themselves. For example, they didn't
entirely close the Charleston Navy Yard. They didn't entirely close up
some other operations that people had feared that they would. So, to me,
he did the best job he could with a very difficult circumstance. And
even with this, this round of base closings is the biggest we've had.
And even with this, California takes the biggest hit. I think that's
going to be a pretty hard sell for those other Congressmen.
Q. Mr. President, someone in the California delegation said the
military base closure list was actually left over from the Bush
administration, that more time and thought should be given to it in
terms of what combination of bases should be closed for the best cost-
effectiveness and also more knowledge of the military economic impact.
They think that it should be slowed down--the process, even a new list
started. What would be your response to that?
The President. I think it would be a mistake to discard the list. I
think that the people in California--it is true that this is left over
from the Bush administration in the sense that the legislation requiring
a list to be produced in 1993 was signed previously and that the
services surely were doing this work last year, working on this. But,
after all, this list
[[Page 427]]
was produced by the military services and only slightly modified by the
Secretary of Defense under a discipline that has to be undertaken in
this country.
I will say again, if you leave all these bases open it means more
contract cuts. We're taking the military force down to 1.4 million
people and keeping a base structure that supported nearly twice that
many. These things have to be done.
That does not mean that the services made the right decision in
every case. But that's why we have a commission. In each of the two
previous commission hearings, even though the aggregate base closings
were much smaller, the commission made some minor modifications to the
recommendations. And I would say to the people who make those arguments
that they ought to go forthrightly with those arguments to the
commission; they ought to make them in public. There are some things
that I might want considered by the commission as I have time to
evaluate this. And I will seriously consider those things as they're
made.
But that's why we're moving now to the public part of this process,
and that's the time for those arguments to be made. But the people in
the services had a very difficult and heavy responsibility. I don't
suppose that the Naval officers or the Air Force officers or the Army
officers in charge relished making the recommendations they made. They
did it because they think that that is best for the national security,
given the reductions in the defense budget.
Defense Conversion
Q. Turning to your defense conversion program, a lot of what you
say--a lot of your program involves having companies in California
compete for partnerships. And I'm not sure exactly what your program
involves concerning defense contractors, but the problem in California
is that a lot of jobs, a lot of high-wage manufacturing jobs have moved
out of State. Some have moved to Arkansas. You, in fact, helped
negotiate one deal where a company moved from southern California to
Arkansas. How do you safeguard against that, and do you want to
safeguard against that? Do you want to keep high-wage manufacturing jobs
in California?
The President. Oh, absolutely. Well, I think part of that work has
to be done in California itself. That's why I was very enthusiastic when
the leaders of the House and the Senate and the Governors co-sponsored
that bipartisan economic conference recently that I spoke to by
satellite technology. I think California needs a manufacturing base, in
my judgment. And there needs to be a serious evaluation of where you are
with regard to that competitively and what you have to do to rebuild it.
But I believe that most of the companies will stay where they are if
they have enough work to keep them going. And we are allocating over the
course of the next 4 or 5 years, if my budget passes, about $20 billion
to help the private sector convert this economy and to deal with the
dislocations caused by defense cutbacks and by other differences in the
economy. And a lot of those companies are going to be able to--they will
be competing with one another, but they'll be competing with one another
for a much bigger economic pie in terms of the exploration of new
technologies.
Let me just give you one example. There's an effort going on in
California similar to the one I saw at the Westinghouse plant in
Maryland 2 days ago to develop an electric car. There are now electric
cars that run 80 miles or more an hour, that run over 100 miles without
being recharged. You get up to about 200 miles without being recharged,
and then you begin to talk about real commercial viability. That could
put an unbelievable number of people to work in the State of California.
Q. But the problem with that is GM developed an electric car in
southern California, and it is now building it elsewhere. With your
technology partnerships and your other programs, are you going to have
some sort of a safeguard to make sure that these companies keep these
manufacturing jobs in California?
The President. Well, I don't think you can force--I don't think the
national Government can force private companies not to cross State
lines. I mean, that's almost a constitutional issue. I mean, under the
commerce clause, that would be a hard sell.
[[Page 428]]
Military Base Closings
Q. Mr. President, the reason there are so many political questions
this morning--one of the reasons is that all the politicians in
California are taking credit for saving a number of bases. The two
Senators and the Governor have had press conferences and said, ``We
saved Long Beach.'' And they said, ``We took a list that was 11 and took
it down to 6.'' But when you check with the Pentagon, they say that's
not true. There were only two changes from the original list: McClellan
and Monterey. And all this other stuff is just smoke. And that's why we
are confused here. Was there, in fact, only those two adjustments in the
list, or was there, in fact, a grand salvage effort here, successfully
completed by the two people out there, the two Senators and the
Governor?
The President. Well, I can say this: I know that the Secretary of
Defense recommended--decided to delete the two facilities. I know that
now. I don't know that there were any others that were deleted. Those
were the only two that I know about. I know that your Senators and a
number of the people in your congressional delegation made pleas to the
Defense Department, contacted us, contacted others after the list was
leaked. The list that was leaked was not accurate in some respects. The
list that was leaked did have other facilities in California on it that
I am not aware--that I don't know that the Secretary of Defense deleted,
nor--I wouldn't say that wasn't done. I'm just telling you I don't know.
I only know of two personally.
But I do think that at least the people who contacted him and
contacted me probably had some impact on him. The only thing I said to
him was that the law requires us to take into account economic impact,
and I think you ought to do that.
I guess I ought to say one other thing. There were some people who
weren't from California who urged the Secretary of Defense not to delete
the Defense Language Institute, including Senator Simon from Illinois
who made a public plea about it. So there was a lot of support around
the country for not doing that. But I do think you've got to give credit
to the people who made that intense plea. I mean, they may have had some
impact on this. I'm sure they did in the sense that I told them that he
should consider economic impact and he did and he made the decisions he
did. But I don't know that the list was as long as has been speculated
about.
Immigration
Q. Mr. President, may I change the subject for a moment? You
mentioned immigration. I'm from San Diego. Our drought ended with
millions of dollars in flood damage and a tremendous loss of life of
people trying to cross the river to come to California. We're at a point
now where the county, tragic in both senses, says it doesn't even have
the money to pay for the medical examiner to deal with the loss of life
amongst immigrants, both legal and illegal.
How do you foresee dealing with some of our border problems--of
dealing with the problem of immigration and the load on the county and
the local jurisdictions, of issues that some would argue really are
solely a Federal problem?
The President. Well, first of all, I think what I'd like to do is
ask Leon Panetta to explain to you what we've got in this budget to deal
with that, to deal with the whole immigration issue. But there's no
question in my mind that, for years, the Federal Government's
immigration policy or lack of it has had a profound impact on California
and on Florida and on Texas, and that basically, immigration is a
national policy, the lack of an immigration enforcement is a national
responsibility, and that under the system we have for joint financing of
all kinds of health and human services, California, Texas, and Florida,
and to some extent New York--and to a much lesser extent some other
States--have basically been unfairly financially burdened by Federal
policy, and we're trying to offset that.
Since Leon worked up the budgets, I'd like for him to describe in
more specific terms what we're trying to do. Would you do that? Let him
answer that question first.
Director Panetta. We have been working on a program to try to target
those States that are impacted by immigration, in part, legal
immigration and refugee resettlement but also undocumented immigration
as well.
[[Page 429]]
And the key to our program is to try to develop an approach that, first
of all, tries to fully fund the immigration assistance, the so-called
SLIAG provisions that flow to States like California, Texas, and
Florida. That's the legalized immigration assistance grants. While those
grants have been there, they've never been fully funded for various
reasons. We intend to fully fund those. So, for example, in a State like
California, we estimate that SLIAG funding will approach almost $600
million for '94.
Secondly, what we want to do is develop a program to expand refugee
settlement assistance. That is a program that's in place. As a matter of
fact, there were some cuts that were enacted in that program. There was
an effort by the prior administration to, so-called, privatize it. Never
worked, and as a consequence we're going to be asking for additional
funds for refugee resettlement and a supplemental request that will
follow the battle on the stimulus program; that's two.
Three, we're looking at additional funds for migrant education as
well as Chapter I education. And then, fourthly, we're looking towards
assistance, an assistance program to try to help those States that are
providing health care to undocumented individuals.
Q. Is it realistic to assume that there might be Federal money for
the hospital to treat so many, for all of the facilities that the county
now pays for, to augment those with Federal dollars because----
Director Panetta. I can't tell you that there will be direct funding
to that kind of hospital, but what we want to do is provide some
assistance to the States that have to meet that responsibility, and
that's what we're trying to fashion now. And there will be a program
like this included in the budget presentation that we'll make at the end
of this month.
Q. Mr. President, do you feel under siege on this issue from
California?
Military Base Closings
The President. No, but I want to tell you that if you go back to the
very first question I was asked, if this had been a purely political
process, your question would have had a different answer. You know, this
has been a very painful thing for me, seeing this thing happen to the
Bay area. The chairman of the House Armed Services Committee, a man I
very much respect and admire, has taken--his district has the biggest
projected loss. But was there--do the people who speak for California
deserve some credit for making sure that the Secretary of Defense did
fulfill his legal obligation? I think that's probably yes. The answer to
that is, yes, that they did.
But I will say again, this is not going to happen tomorrow; this is
going to happen between 3 and 5 years from now. If we want to maintain
our high-wage base and technological lead in defense, we will have an
easier time doing that if we close appropriate bases and if we do it in
a timely fashion. The difference between now and what has been done in
defense cutbacks, both bases and defense contractors--and keep in mind,
most of the losses California has endured in the last few years has come
from the loss of private sector jobs because of contracting cuts. And we
have not got an aggressive and a well-funded program which we will
pursue, which has not been done for the last 3 or 4 years, to try to
make sure that we find jobs and economic opportunities for the people in
the communities involved.
So I don't feel under siege. I wanted to do this today. I think you
could make a compelling case if it hadn't been for the people of
California, I wouldn't be the President of the United States. And I told
them that I would work on these problems, and I will. But I cannot walk
away from my responsibilities to continue this base closing process. And
in the end, California is going to be better off if we preserve the
capacity for high-tech employment in the defense industries and if we
speed up the diversification process.
Thank you.
Winter Storm
Q. ----about your response to the storm?
The President. What was that?
Director Panetta. There was a question on the storm.
The President. On the storm, we've got two FEMA people in every
State now with a State operation. We're in touch with the State
officials in every State involved, and we will be spending the remainder
of the day
[[Page 430]]
trying to assess the damage that has been done, the damage that might be
done, and what other resources we should perhaps bring into play. I
don't want to say any more about it than that because we're monitoring
it as it goes along.
I will say that I just came from a meeting with press people on the
east coast, and I would just urge our people to exercise caution as the
center of the storm moves closer to their community and because what
looks like a very enjoyable late-winter snowstorm--and it's not
enjoyable maybe if you're from the South and you're not used to seeing
it. But as you move from here on up, a lot of people will be used to
seeing snows of this magnitude. And I don't want them to get careless in
it, because behind the snow are very, very high winds. And so that we're
trying to do is just prepare as best we can and deal with it. And we may
have more to say later today.
Economic Stimulus Plan
Q. Mr. President, laid-off workers in California think this is too
little, too late.
The President. I just got here. It's not too little, too late. This
is a good program. It is very aggressive. The Congress appropriated $1.4
billion last year, and none of it was spent. And we're going to spend it
and move aggressively. Twenty billion dollars over 5 years is a lot of
money to put into defense conversion.
Q. People will have lost their houses by then.
Q. ----in California.
The President. Well, maybe people who were affected by decisions
made before I got here will be, but these decisions we announced
yesterday are going to take effect 3 to 5 years from now and we will
have our programs in place and we'll be working on it. And we're going
to do our best to reach out to those who have already been adversely
affected.
That's one of the reasons the stimulus package ought to pass.
California will get more than a billion dollars worth of benefits out of
this.
Note: The President spoke at 12:25 p.m. in Room 450 of the Old Executive
Office Building. Following the interview, Office of Management and
Budget Director Leon Panetta continued to answer questions from
reporters.