[Weekly Compilation of Presidential Documents Volume 39, Number 50 (Monday, December 15, 2003)]
[Pages 1788-1791]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
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

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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 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 Operations 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.

[[Page 1790]]

    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 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]

Dollar/Euro Exchange Rate

    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 dollar's

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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 Iraqi debt resolution.