[Weekly Compilation of Presidential Documents Volume 43, Number 42 (Monday, October 22, 2007)]
[Pages 1334-1347]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
Remarks on the Federal Budget and a Question-and-Answer Session in 
Rogers

October 15, 2007

    The President. Thank you all. Thank you very much. Thank you all 
very much. Thanks for coming. I may just take off my jacket, if that's 
all right. [Laughter] I hope I didn't spill any sauce on my shirt after 
I had barbecue at the Whole Hog. [Laughter] Thanks for coming. Thanks 
for giving me a chance

[[Page 1335]]

to share some thoughts with you about what's going on in Washington, and 
then I'll be glad to answer some questions, if you have any.
    First I do want to say thank you to John Paul Hammerschmidt for a 
lot of things--one, being a good friend of my dad's, but more 
importantly, setting such a fine example for what public service should 
be about, which is honesty, integrity, and the willingness to serve 
something greater than himself. John Paul, I'm honored you're here, and 
thanks for--[applause].
    And you got followed by a pretty good fellow, there, in John 
Boozman. I'm proud to call him friend. I hope you're proud to call him 
Congressman, because he's doing a fine job. And I--[applause].
    I want to thank the mayor of Rogers, Steve Womack. Thanks for your 
service to your community; thanks for being in the United States 
military. I appreciate you joining me for lunch and enjoyed our 
conversation, Mr. Mayor. Thanks for what you're doing.
    I want to thank members of the statehouse who are here and local 
government who's here. I want to thank Raymond Burns, the president and 
CEO of the chamber of commerce, for hosting this event. I hope you find 
it to be informative. One of the things the President has to do is 
travel around the country explaining the situation and why things are 
happening, at least from my perspective. I'm looking forward to 
explaining it.
    I do appreciate very much the members of the chamber of commerce 
who've enabled me to come by to visit with you. I want to thank the 
chancellor of the mighty University of Arkansas, John White, for being 
here today. He hosted--the guy keeps pointing to his Razorback--I 
understand. Look, I'm just a simple Texas guy who--[laughter]--who knows 
full well that it was a lot of times an unpleasant experience for the 
Longhorns to come up here and play. [Laughter] But we're not going to 
talk about those old games, are we? We're talking about the future.
    I appreciate Bill Stribling. He's the president of Stribling 
Packaging. I went by earlier today to his business, and I had a chance 
to say hello to his employees. I did so because I wanted to remind 
America that in order for this economy to remain strong, we got to be 
mindful of the needs of small-business owners. He's expanding his job 
base, and he's like thousands of other entrepreneurs around the country 
who are wondering whether or not the Government is going to put policy 
in place that could affect his capacity to grow. And I want to spend a 
little time talking about that.
    We've actually had an historic couple of days. We're now in our 49th 
consecutive month of uninterrupted job growth. That's the longest--
[applause]. That's a record. That's the longest number of months in a 
row where new jobs have been created. And that's because our small 
businesses are doing well. And then the fundamental question is, are we 
wise enough to keep policy in place to keep the small-business sector 
strong?
    The worst thing we could do is run up taxes as this economy is 
growing. It's the worst thing we could to the small-business owner, is 
to change the depreciation schedules or raise individual rates, 
particularly if you're a subchapter S or a limited partnership. And yet 
when you listen carefully to the budget debate, that's what you're 
fixing to get stuck with, a tax raise. Unless, of course, I prevent them 
from raising your taxes, which I fully intend to do.
    The other historic fact was that our deficit as a percent of GDP is 
at 1.2 percent. Those are just numbers, but to put it in perspective, 
that's lower than the 40-year average. In other words, we're beginning 
to get control of that deficit. And the reason why is, is that a growing 
economy yields additional tax revenues, and then when you work with 
Congress to set priorities on how we spend your money--in other words, 
we're fiscally sound on the expense side--you can reduce your deficit 
without raising taxes. And that's what we proved is possible. The 
deficit is 163 billion. That's about 60-some-odd-billion lower than we 
anticipated in February of this year, because we're growing the economy.
    And we've also set priorities. One of the hardest things in 
Washington, DC, to do that small businesses have to do all the time is 
to set priorities. Every program sounds like a great program, but 
without setting priorities, the temptation is to overspend. The job of 
the President is to make sure that we don't overspend, and at the same 
time, keep taxes low. That's why I submitted a budget that

[[Page 1336]]

will balance the Federal budget by 2012 without raising taxes.
    Now, that's not what the leadership in the Congress wants me to do. 
They want the executive branch to accept an increase in spending over 
the next 5 years to $205 billion. To put that in perspective, that's 
$1,300 in new spending every second of every minute of every hour of 
every day of every year for the next 5 years. That's about $13,000, as 
long as it took me to say that--[laughter]--$205 billion of additional 
spending will mean they're going to have to raise taxes to pay for it. I 
think that would be bad for the economy. I don't think it makes sense to 
be taking money out of the pockets of the individuals in America or 
money out of the pockets of small businesses--particularly if we set 
priorities, we can fund that which we need to fund.
    And so you're fixing to see what they call a fiscal showdown in 
Washington. One of the reasons why they--[applause]--the Congress gets 
to propose, and if it doesn't meet needs, as far I'm concerned, I get to 
veto. And that's precisely what I intend to do.
    I wish Congress would get me some appropriations bills. I don't know 
if the people in Rogers understand our calendar, but the fiscal year 
ended on September the 30th. And yet I hadn't seen one appropriations 
bill. I think we're, like, 15 days into the fiscal year, and not one 
appropriations bill has made it to my desk.
    Congress needs to be responsible with your money, and they need to 
pass these appropriations bills, one at a time. And then we can work 
together to see whether or not they make fiscal sense for the United 
States. I don't think it makes sense, though, for a new Congress to come 
in and make promises about how they're going to be wise about what 
they're going to do with your money and get bills to my desk and not 
being able to perform.
    So I'm looking forward to getting back to Washington and remind 
people in the United States Congress that they said they were going to 
do a better job with getting these bills to my desk, and I'm going to 
remind them they hadn't got one yet. Not one bill has come out of United 
States Congress that appropriates your taxpayers' money.
    Recently, I did make a decision to veto a piece of legislation. I 
want to spend a little time talking about why, and then I'll be glad to 
answer some questions. There's a--what's called SCHIP--it's a Children's 
Health Insurance Program--made it to my desk, and I vetoed it. And I'm 
going to tell you why I--[applause]--let me tell you why.
    First of all, it's important for our citizens to understand that we 
spend $35 billion a year for poor children's health care through 
Medicaid--$35 billion. So if you hear rhetoric out of Washington saying 
we're not taking care of poor children in America, they're just not 
reminding you of the fact that because of your generosity, we're 
spending 35 billion a year.
    Secondly, a program was created to help poorer children with 
struggling families. When I was the Governor of Texas, I supported it, 
and as President, I support it. But the piece of legislation I got 
doesn't focus on the poorer children. Many Americans don't understand, 
there are a half a million kids eligible for this program that aren't 
getting help under the program.
    The bill sent to me didn't say, we're going to focus on those half-
million that are eligible; the bill sent to me said, we can expand 
eligibility for the program up to $83,000. Now, I want you to think 
about that. If you're making up to 83,000 in certain States, you're 
eligible for the program, and yet half a million poorer children aren't 
being helped. My attitude is, let's help the poorer children; let's make 
sure the program does what it's supposed to do.
    Now, there's some in Washington, DC, who genuinely believe that the 
best health care policy is to expand the role of the Federal Government. 
I don't subscribe to that. I think the best health care policy is to 
encourage private medicine, is to make sure the decisions are between 
doctors and patients. And yet if you're saying you can make up to 
$83,000 and be a part of this program, it sounds like, to me, somebody 
wants to extend the reach of the Federal Government into medicine. 
That's what it sounds like to me.
    Another factor that came into my thinking was not only a half a 
million children not being taken care of under the program and

[[Page 1337]]

not only is the eligibility requirements being expanded way beyond the 
scope of the program--which sounds like there's a nationalization of 
medicine going on here--but in six or seven States, more money is spent 
on adults than children. In other words, these States have taken that 
money and hadn't used it for its initial purpose.
    So I vetoed the bill. The House is going to decide whether or not 
they're going to sustain my veto, and if they should sustain my veto, I 
call upon the leadership in the Congress to come to the table and let us 
make sure we get money to those families that are--that the program was 
intended to help first and foremost.
    And so that's what I wanted to report to you. I thank you for giving 
me a chance to come and say hello. I'll be glad to answer some questions 
if you have any. And if not, I can keep talking, believe me. [Laughter]
    You got one? Good. Thank you. Yes, sir. Yell it. If I don't like it, 
I'll just interpret it. [Laughter] Yes.

President's Personal Values

    Q. First of all, thank you for being here. And I've got two 
children. I was talking with my 15-year-old son about what would be a 
great question to ask the President had I--if I had the opportunity, and 
we settled on this. In this day of information that's so accessible to 
all of us, if you're a 15-year-old looking for the truth--which is often 
hard to get--an adult looking for the truth in election time or 
nonelection time, where would you recommend someone that's hungry for 
the truth to go to get the truth about potential elected officials, 
programs to support, that kind of information?
    The President. Yes, it's a great question. I guess if I was advising 
a 15-year-old child where to seek the truth, I would say, go to your 
mother and father, is where I would ask them to seek the truth. And 
that's really one of the questions our society faces: Will a mom and dad 
be available for a child? Now, we all have different views of the truth. 
That's fine; I understand that. But the most important responsibility 
for a mom and dad is to really love that child with all their heart and 
all their soul and all their might.
    And so as far as you finding the truth, hopefully you're wise enough 
and old enough and experienced enough to be able to discern that which 
is true and not true. I'm sure you are. You wouldn't have come here to 
listen had you not been interested in coming up--getting enough data 
points so you could come to your own conclusions.

    That's the great thing about our society, is that we expect our 
individual citizens to be involved, and you can reach your own 
conclusion you want to reach. And it's up to people like me to explain 
it as simply as possible so that, hopefully, you can understand. If I 
were advising somebody running for my job, or any job, I'd explain the 
philosophy behind my beliefs. See, I think what the American people 
really need to know is, what do you believe in, in order for you to be 
able to make the wise kind of judgment on who to listen to.

    I'd be glad to share some of my beliefs. I believe in the 
universality of freedom. So when you hear me talking about foreign 
policy, I want you to keep in mind the principle that I believe is true, 
and that I believe there's an Almighty, and I believe a gift of the 
Almighty to each man, woman, and child on the face of the Earth, 
regardless of their religion or the color of their skin, is liberty. 
That's what I believe.

    And a second belief I have is that you can spend your money better 
than the Government can. We have needs in Washington. I mean, we've got 
to fund a military; we got to fund help for the poor. But I do believe 
that the Government has got to understand that the more money you have 
in your pocket, the better off our economy can be, and that the more 
money you have in your pocket, the more likely it is that you'll be able 
to realize hopes and dreams for your family because you set the 
priorities with your money. And there's just a fundamental difference of 
opinion.

    So to answer your question, I'd be asking people, what's your value 
system like? And then, hopefully, you're wise enough to discern.

    Okay. Yes, sir.

[[Page 1338]]

Transportation

    Q. I have a transportation question for you--Raymond Burns with the 
Rogers-Lowell Chamber. For business to continue to grow in northwest 
Arkansas, we're going to have to have some help with our transportation 
infrastructure. Apparently, that's our number-one issue. Given that we 
collect taxes on gasoline by the gallon and fuel efficiency means there 
will be less taxes collected, going forward, what will the priority for 
transportation help be, sir?
    The President. The--step one, in order to make sure that that which 
we collect gets spent equitably, is to make sure that the committees in 
the House and Senate that appropriate the monies don't take a lot of the 
money as special projects. In other words, what happens is, is that the 
Public Works Committee is the largest committee in the House--are you on 
the Public Works, Boozman? Yes. [Laughter] It sounds like I better be 
diplomatic in the answer. [Laughter] So what happens is, these members 
say, ``Okay, I want this for my district; I want this for my district; I 
want this for my district,'' so they get a unanimous vote out of the 
committee--was it unanimous last time? Yes, that's what I thought. 
[Laughter] And then--so the money isn't equitably distributed. So step 
one is to make sure that the committees do their jobs the right way.
    Step two is to give States flexibility so that if they so choose--
which I think exists today--that if you decide to have a highway for 
truckers paid for by fees, that you're encouraged to do so.
    I mean, you're right; fuel efficiency is going to make it harder to 
collect gasoline taxes. Therefore, the next question is, what's the next 
best user fee? In other words, gasoline tax is a user fee. Is there a 
better way to collect money, a better user-fee system? And one thing, I 
think, is that if you've got a freeway, you ought to be able to parallel 
that freeway with a way to collect user fees, a toll way. And so people 
have a choice. You know, a trucker, if he's interested in moving through 
northwest Arkansas in expedition fashion, will pay a little extra money 
to be able to do so.
    My attitude is, so long as the taxpayer has got a free alternative, 
I don't see why it makes--why it's a problem to have the paying option 
available as a way to collect user fees to modernize the highway system. 
And so that's an idea for you right there.
    Yes, sir.

No Child Left Behind Act

    Q. Mr. President, first of all, I'd like to commend you on your 
steadfastness in your faith and not letting anybody waver you on your 
faith with key political issues and key principles.
    The President. Thank you.
    Q. I think that's very, very commendable. Second of all, as a 
private preschool administrator, with your No Child Left Behind 
initiative, is there any possibility of funds for grants or stipends or 
something to utilize for private institutions as well as private 
preschools?
    The President. Probably not. Anyway--[laughter]. Let me explain No 
Child Left Behind. We're spending money at the Federal level in public 
schools. And it seems like it makes sense that we ask the question 
whether or not the money is being spent wisely. In other words, if 
you're spending money trying to help a child get the fundamentals 
necessary to advance in life, I strongly believe that it makes sense, on 
your behalf, that we say, ``Why don't you show us whether a child can 
read and write and add and subtract.''
    I think it's important to set goals with high expectations. I don't 
think it's too much to ask the school systems of America to teach a 
child to read by third grade and keep him at grade level. I don't think 
it's too much to ask--unless you don't believe every child can read, has 
the capacity to learn to read, I mean. In other words, if you believe 
certain children can't learn, then I can understand why you support a 
system that just shuffles them through. But that's unacceptable to me, 
to have a system that said--doesn't demand accountability.
    And so the No Child Left Behind Act says, you bet there will be 
Federal expenditures--not nearly as much as the State; after all, it's a 
local responsibility. But in return for whatever money we spend, we want 
to know whether or not a child can read at grade level by the third 
grade, and if not, we expect there to be remedial help.

[[Page 1339]]

    And that's where the private sector can come in, in terms of 
supplemental services. That means we're going to use the accountability 
system. In other words, we're going to measure. You bet we are. We're 
going to find out whether a child can read, write, and add and subtract. 
And if they're coming up short on standards, then there's money 
available for extra help early, before it's too late. And that's the 
place where private providers can compete with the public school system, 
in order to help after-school--in after-school programs, tutorial 
programs.
    There's a lot of objections to No Child Left Behind; I understand 
that. People say, ``How dare you measure.'' My attitude is, you got to 
measure. To solve a problem, you got to understand whether or not we 
have a problem in the first place. People say, ``Well, they're just 
teaching the test.'' Uh-uh, we're teaching a child to read so they can 
pass a reading test.
    I happen to believe this piece of legislation is an important piece 
of civil rights legislation. If you're interested in making sure our 
society provides hope for everybody, then you want to make sure every 
single child in America has the capacity to read, write, and add and 
subtract at grade level. That's what you want if you're interested in 
having an America that holds out its promise for every single citizen.
    And that's the basis of No Child Left Behind. I believe in local 
control of schools. That's up to you to chart the path to excellence, 
but it's up to us to make sure your money is spent wisely.
    You know, we have an achievement gap in America, and that means 
our--the white kids are reading at a certain level here at--in the 
fourth grade, and African Americans or Latino kids are reading down 
here. That's not good enough for our country. And that achievement gap 
is beginning to grow. It's amazing what happens when you raise standards 
and hold people to account.
    And so my--any effort to weaken No Child Left Behind Act will get a 
Presidential veto. I believe this piece of legislation is important, and 
I believe it's hopeful, and I believe it's necessary to make sure we got 
a educated group of students who can compete in the global economy when 
they get older.
    Yes, sir.

Alternative Fuel Sources/Border Security/Immigration Reform

    Q. Mr. President, I'm a third-generation dairy farmer. We milk 300 
cows out west of town. And we're very concerned with immigration and the 
ag jobs and also the economic impact that the ethanol--the Government 
subsidy on ethanol production has had on feed costs. And agriculture is 
still number one in Arkansas, even with all this fantastic economic 
growth that we've got in this area.
    The President. Thank you, sir.
    Q. Could you please comment, sir?
    The President. I will. First of all, I'm guilty on promoting 
ethanol. And the reason why is, is because I think it's in our interests 
to diversify away from oil. And the reason why it's--I know that's hard 
for a Texan to say. But the reason why we've got to diversify away from 
oil is that we end up with dependency on oil from certain parts of the 
world where people don't particularly like us. And secondly, given the 
globalization of the world today--and disruption of oil, you know, in 
one part of the world is going to cause the price of your gasoline to go 
up. And so I promoted ethanol and still believe it's important for the 
future.
    I'm also promoting research that will enable us to make ethanol out 
of something other than corn because I fully understand the constraints 
on corn. I mean, I hear it everywhere I go, that the people like 
yourself who rely upon reasonable feed prices know full well that demand 
for corn as a result of the demand for ethanol going up is costing 
your--making it harder for you to make a living. And one of these days 
we're going to be able to make ethanol out of wood chips or switch 
grass. It's called cellulosic ethanol. And we're spending a lot of money 
to develop the technologies that will enable us to use something other 
than corn.
    The first part of the question was immigrant--immigration. As you 
know, I'm a person who believes strongly in comprehensive immigration 
reform. I agree with our citizens who say that we've got to do a better 
job of enforcing the laws of the country. And the laws of the country 
is, you know, you can't employ somebody who is here illegally--

[[Page 1340]]

knowingly employ somebody who is here illegally--and that you've got a 
border for a reason, a Border Patrol for a reason, to enforce the 
border. And I'm for that, and I supported congressional efforts to 
modernize our border, and we are. It's a long, hard border to enforce, 
but we've doubled the Border Patrol; we're using technologies to find 
people sneaking in here.
    But I also recognize this, that in order to truly, effectively work 
the border in a way that most Americans want, you've got to have a 
program that will enable somebody to come here and legally work on a 
temporary basis, because if you're somebody who's got a starving family 
at home and you're interested in putting food on the table, you'll go to 
great lengths to come to America to do jobs Americans aren't doing. And 
so therefore, in order for us to have good border policy, it makes sense 
to have a worker policy, a temporary-worker plan with verifiable, 
tamper-proof cards to allow somebody to come here to do a job Americans 
aren't willing to do.
    You got a lot of people up here that are working jobs Americans 
aren't willing to do. There are not a lot of Americans who want to pluck 
chickens. I don't know what they're doing on your place, but I'm sure 
it's hard work, and it's hard to find workers. But if you find somebody 
who's got a hungry family, it's amazing how hard they'll work. And so it 
seems like to me that in order to have good border policy, we got to 
have a tamper-proof card available for temporary workers to come.
    And then the big issue is, what are we going to do with the 11 
million people already here? Well, you can't kick them out. Some people 
say, you can kick them out. I don't think you can kick them out. I don't 
think it's realistic policy. On the other hand, I think it's a mistake 
to have instant citizenship. The reason I don't believe you should have 
instant citizenship is because it will cause the next 11 million to want 
to come. And we're trying to make sure they have an orderly immigration 
policy.
    And so I supported the plan in the Senate that gave people an 
opportunity over time to prove their worth as a citizen, to show that 
they pay taxes and were--they had the ability to be a constructive 
citizen. Give them a chance to get at the back at the line. That's what 
I thought we ought to do. But it didn't pass, and it was a mistake that 
the Congress didn't pass comprehensive immigration reform. That's why 
it's still an issue. That's why the President comes to speak in Rogers, 
and he stands up and says, ``What are you going to do about the 
problem?'' Congress, by passing on the problem, obviously means this is 
going to be around for awhile.
    This debate needs to be constructed in a way that upholds the proud 
traditions of America. We are a land of immigrants. Whether or not some 
of us want to admit it, this is a country that was founded by 
immigrants. And many in this hall's parents or grandparents were 
immigrants to the United States. And when people come to our country to 
work hard and realize dreams, it renews our soul, it makes us a better 
place. And so however this debate is played out here in Rogers or 
anywhere else, it needs to be conducted by treating people with dignity 
and people with honor.
    Yes, sir. Thank you, sir. Proud member of the VFW.

Presidential Election

    Q. Yes, sir. I was sitting--I had the honor of sitting up front when 
you addressed the national convention of VFW in Kansas City.
    The President. Yes, sir.
    Q. After all----
    The President. Were you the guy that was sound asleep? [Laughter]
    Q. No, sir. I'm not the guy.
    The President. Okay, good. [Laughter]
    Q. After all of the Presidential hopefuls had paraded through for 3 
days before you got there and you gave your wonderful speech, the straw 
poll throughout the entire room, sir, was that we wish you could run for 
another 4 years.
    The President. Thank you. Yes. Well, I can't, and it's time for new 
blood. After 18--15 more months, I'm going to sprint to the finish; you 
don't have to worry about that. I'm going to give it my all. And there's 
nothing better for a democracy than to renew itself by elections and new 
leadership. So, anyway, thanks for saying it. Plus, I'd be single. 
[Laughter]

[[Page 1341]]

President's Commission on Care for America's Returning Wounded Warriors

    Q. Mr. President, we all thank you for your Wounded Warriors 
Commission on a national basis. The final report in July--31 July to you 
from that wonderful Commission headed by Senator Bob Dole was absolutely 
the future bible for Veterans Affairs and veterans' handling throughout 
the United States. Sir, thank you again for being a veterans advocate 
number one.
    The President. Thank you, sir. Yes, thanks. You're kind to say that. 
Senator Dole and Secretary Shalala are going to be at the White House 
tomorrow. And as the person who have asked these brave young men and 
women to go into combat, I feel a special obligation to make sure that 
our veterans, particularly those who've served under my watch, get the 
absolute best care. I'm--I marvel--isn't it interesting, by the way, 
it's the first military question--just an observation point--
[laughter]--I marvel at our military, and I marvel at the kids who are 
in the military. Not only kids, but--at 62 you can call them ``kids''--
61 you can call them ``kids.''
    We've got a military of highly trained, highly skilled people who 
understand the stakes of the struggle between ideologues who murder to 
achieve their objectives and those of us who want there to be long-term 
peace. The reenlistment rates are remarkable. The number of people 
willing to say, ``I want to go back in to serve my country and to the 
theater in this global struggle,'' it's just amazing.
    And therefore, we as a government have a solemn duty to, one, 
support their families, and two, when they come out as veterans, is to 
give them what they need--get them what they need, to make sure if 
they're wounded they can get back on their feet. Give them what they 
need, if they've got posttraumatic stress syndrome, the help, the mental 
help.
    These are remarkable citizens, and my commitment is very strong to 
our veterans. And I thank you for bringing it up. And I asked Bob Dole 
and Donna Shalala to make sure that if there was any bureaucratic 
obstacles between somebody going from DOD to the Veterans Affairs, that 
we identified them and came up--come up with solutions to make sure our 
kids, our troops have what they need. And that's what we're going to do.
    So thanks for bringing it up, and thanks for serving. Appreciate the 
example you set.

Veterans Administration

    Q. ----Rogers. I'm a Vietnam veteran, and here comes your second 
question----
    The President. Did they name this city after you? [Laughter]
    Q. Did they, Mayor? [Laughter]
    The President. I don't think so.
    Q. Here's your second question about the military.

    The President. Okay.
    Q. As a wounded Vietnam veteran, come back, I go over to the VA 
hospital, and I've seen it in Fayetteville, the remarkable money that's 
been placed on the veterans of building that hospital up to take care of 
us. And I love it. But I had a time period there where after the war was 
over with, the conflict was over with--of which we're going to come 
through too--it seemed like we were forgotten. Is the administration or 
the Government not going to forget these people that's over in Iraq that 
has stood over there for many times and went back--if you could answer 
that.
    But I also want to say, thank you very much for being my President 
for the last 7 years.

    The President. Thank you, sir. Yes. There's a fundamental 
attitudinal difference, it seems like to me, now than when you served. 
One of the main reasons why is because we have a volunteer army. And the 
fundamental question facing policymakers is, how do you make sure that 
that Volunteer Army is robust and well-trained? And the answer is, pay 
people well, but also remember that the spouse makes a big decision as 
to whether or not people are willing to serve or at least stay in that 
Volunteer Army or serve in the first place.
    And that's why we've improved housing. And that's why we've made 
sure that a spouse can communicate with his or her loved one

[[Page 1342]]

on a real-time basis if they're in Iraq or Afghanistan. In other words, 
there's a lot of effort that goes into making sure that this Government 
takes care of the family members.
    And part of making sure that we remain a volunteer army is to make 
sure that the Veterans Administration is well-organized and treats 
people with respect and the programs address the veterans' needs. And 
that's exactly what we're going to do.
    And that's precisely what this man was talking about. He said, we 
put together a Commission to make sure that we addressed any shortfalls 
in the Veterans Administration. It's the six--they've got six points in 
there that make a lot of sense. For example, you don't want your people 
having to argue against your own Government about whether or not they 
receive a certain level of disability. You might have had to do that. 
Well, we're going to try to make sure the process is not adversarial for 
our veterans. After all, they serve; they volunteer to serve.
    And so you're giving me a chance to say what I really tried to say 
for this fellow over here, and that is, you bet we'll support our 
veterans. One, we owe it to them. But two, in order to make sure this 
Volunteer Army is robust and can continue to be active in this global 
war against these ideologues and strong enough to be able to do it, we 
got to say to somebody who's going in, when you come out, you're going 
to get the respect and the support you need.
    Thank you.
    Yes, sir.

Federal Aviation Legislation

    Q. Thank you, Mr. President. First of all, I want to say, thank you 
very much for taking your time to come to northwest Arkansas. The people 
in this room really appreciate it. It means a lot to us, and we're very 
honored and privileged by your presence. I want to tell you that, first 
of all.
    The President. Thank you. Glad to be here.
    Q. Second of all, I wanted to talk to you about House bill 1125, on 
the House side--the Senate bill is Senate bill 65. I have a brother; his 
name is Robert Barnett. He lives in Siloam Springs, Arkansas. He's 
fixing to lose his job----
    The President. I don't want to interrupt you, but I have no earthly 
idea what those numbers mean. [Laughter]
    Q. Okay. It has to do with the pilots losing their jobs at turning 
age 60, the----
    The President. The what?
    Q. The commercial airline pilots--they're losing their jobs--that 
are turning age 60. And those bills reflect the policy. And I know Mary 
Peters and Marion Blakey have endorsed the age change, but we're losing 
over 200 pilots a month in this country. And they can go to foreign 
airline carriers and fly in the United States. We let people of 65--
these pilots have lost their pensions. They're--most of them are 
military trained; we've spent over $2 million each. They're in good 
physical shape, and they want to keep their jobs. They've got kids in 
college; they need the incomes. Just wanted to get your response on 
that, sir.
    The President. Well, I'm glad you told me Mary Peters is for it. If 
she's for it, I'm probably going to be for it too, since I named her as 
head of the Transportation Department. I'll be frank with you--this may 
come as an admission that you probably never heard a President hear--it 
hadn't made it to my desk yet. I'm really not sure about the issue, but 
I'll look into it. I have all the respect for Mary Peters, and if she 
said she supports raising the age--is that what you told me she said--I 
bet it's going to happen. At least I bet you she'll have my support.
    One of the things in a complex environment like the Presidency is, 
you got to surround your people--surround the President, or surround 
myself, with people whose judgment you trust. And I listen to my Cabinet 
Secretaries, and I bring them into the Oval Office. They've got access 
to me. They've got to be able to come in and say, ``Here's what I 
believe.'' The temptation of politics is for somebody to walk in when 
you're not looking so good, and walk in the Oval Office and say, ``Man, 
you're looking beautiful,'' when you're not. You got to have Cabinet 
Secretaries who can walk in and say, ``Here's what's on my mind.'' And I 
bet you if I ask Mary and she gives me the reason why she's for it, I 
bet you I support it.
    And so thanks for bringing that up.

[[Page 1343]]

    Yes, ma'am. Let's get a little diversity here. Yes, get up there.

U.S. National Guard and Reserve Deployments/War on Terror

    Q. [Inaudible]
    The President. Yes.
    Q. [Inaudible]
    The President. No.
    Q. [Inaudible]
    The President. I don't think the National Guard is close to being 
the Regular Army. A matter of fact, they have been a integral part of 
working alongside the Army.
    There will be no chance for a draft under my watch. I'm against a 
draft. I don't think we need a draft. I'm a strong supporter of the 
Volunteer Army. I am for making sure that our Guard ends up with 
rotations that are known. In other words, we got to make sure that when 
we make a promise to somebody in the Guard, that if you're in for a 
year, you're out for a certain set period of time. I am for that.
    The Regular Army is carrying the bulk of this fight, and the Guard 
is being a very important part of helping. A couple of things about the 
Guard--one is that if you're an employer here giving a Guard member or a 
Reserve member a chance to go to help this country secure itself, I 
thank you. You're making a vital contribution to the security of the 
United States of America. And I do appreciate our Guard a lot. I 
appreciate what they've done. I appreciate the sacrifices they and their 
families have made.
    And those sacrifices are necessary because we face an enemy that 
would like to harm us again. And we've got a two-prong strategy to 
protect you. You got to just understand that after September the 11th, I 
made up my mind I would do everything in my power to protect the 
American people. Secondly--[applause]. And on the one hand, that means 
finding these people before they come and hurt us. In other words, 
defeat them overseas so they can't come here to hurt us. That means--and 
so I just want to explain some of the policies. That means we've got to 
have good intelligence sharing to find out where they are hiding and 
have the flexibility and the desire to go rout them out of their hiding 
places, to bring them to justice before they come and hurt us again.
    Believe me, they want to. It's one of the lessons of September the 
11th, is that while we grew up thinking everything was fine, that we 
could be protected by oceans, the enemy came and killed 3,000 of our 
people and others from other nations on our soil. So I think a lot about 
how to protect you. And that's why I think it's very important that we 
have techniques that protect your civil liberties, but at the same time, 
listen to known Al Qaida folks and try to get to figure out what they're 
doing.
    People have got to understand that the programs we'll put in place 
will protect your right as an American citizen, but if you're talking to 
Al Qaida, we want to know why, in order to protect the American people. 
It makes sense for us, when we capture one of these folks on the 
battlefield, one of these extremists, a person who murders to advance an 
ideology that is so foreign to America that sometimes we just dismiss it 
as implausible, that we ought to have techniques available to find out 
what they know--without torture. See, what I'm talking about is a lot of 
what you're reading in the newspapers. But what we're doing is all aimed 
to protect you, to get information, actionable intelligence so we can 
move.
    This is a war that we're not used to in America. We're not fighting 
a nation-state. We're fighting a movement of people who have a set of 
beliefs and are willing to murder the innocent to achieve their 
objectives and can do so with weapons that hardly cost anything. They 
know full well that when they destroy innocent life, it gets on our TV 
screens. And we are a nation that believes in life. We're compassionate 
people, and it horrifies our fellow citizens to see the violence. And 
they're trying to shake--not only shake our will, but shake the will of 
the people in Afghanistan or the people of Iraq. And yet the only way to 
defeat them is to find them and bring them to justice. That's the short-
term strategy.
    The long-term strategy is to defeat their ideology with a more 
hopeful ideology, and that's an ideology based upon liberty. I told 
you--I was setting it up, setting his answer up when I said, I believe 
in the universality

[[Page 1344]]

of freedom. I wasn't surprised when 12 million Iraqis went to the polls. 
If given a chance to be free after a brutal tyranny, people will say, 
``I want to be free.'' The question is, how fast can they get their 
Government working? And that's what we're trying to help them do.
    I will remind you, the Articles of Confederation in our own history 
is indicative of how hard democracy can be. But success in Iraq and 
success in Afghanistan are vital for the struggle against extremists 
because ultimately, it's going to be liberty that provides us the peace 
we want.
    I was telling some folks at lunch today about the relationship I had 
had with Prime Minister of Japan Koizumi. He's a--you might remember, 
he's the fellow that asked Laura and me to take him to Elvis's place in 
Memphis. [Laughter] It's a pretty interesting request. [Laughter] And we 
went. I sit at the table with the man, and we were talking about how 
liberty can transform enemies to allies. My dad fought the Japanese. 
Sixty years later, his son is talking peace with the Prime Minister of 
the former enemy. Something happened. Freedom has got the capacity to 
bring the peace we want.
    And the same thing is going to happen in the Middle East unless we 
lose our will and our vision. People want to live in a free society. And 
one of the lessons of history is, liberty is transformative. In other 
words, liberty can help an enemy become an ally. Liberty can take a 
region of hopelessness and convert it to a region of hope. And the enemy 
preys upon hopelessness. And so it--whether it be the brutality of 
tyranny or the scourge of disease and hunger, it's in the interest of 
the United States to help the world deal with that for our own peace, 
for our own security.
    It's one thing if the enemy couldn't hit us here at home; we could 
just let them--let the world run its course; just let everything happen 
that's meant--that it may be meant to happen, you know, just let it go. 
But what matters--what happens overseas matters here in the homeland. 
That's one of the lessons of September the 11th.
    I also happen to believe it's in our moral interest to help people 
dying of HIV/AIDS live. I believe it's in our moral interest to do that 
as well as our security interest. I believe it's in the interest of our 
soul. To whom much is given, much is required. We've been given a lot, 
and when we find hungry children, it's in our interest--it's in our 
security interest, but it's also in the interest of the very, kind of, 
moral fabric of America.
    One of the things Laura is working on is to help people deal with 
malaria. We could solve the malaria issue. The solution is right at 
hand. It just takes will and determination. There's no reason for little 
babies to be dying of mosquito bites around the world. There's just no 
reason. So the United States has taken the lead--and Laura has taken the 
lead in our house--to get us to focus on solving problems. It's in the 
Nation's interest to do that.
    A couple of more, then I got to go. Yes, sir.

Situation in Burma

    Q. Mr. President, you mentioned freedom. What do you think are the 
right next steps for democracy and freedom in Burma?
    The President. Yes, great question. Enormous international pressure 
to make it clear to the generals that they will be completely isolated 
and not accepted into the international community of nations. It's--Aung 
San Suu Kyi is a great woman who gets a huge vote and yet is now under 
house arrest. And so she serves as a classic example of why the world 
needs to work together to help save societies. Her example is one of 
bravery being confined by unelected military junta.
    And by the way, those examples exist. I met with a woman in the Oval 
Office the other day whose husband was a doctor, plastic surgeon, in 
Cuba. And he wrote some--I guess wrote some stuff on freedom, and he's 
now in a prison. He now weighs 106 pounds. She, by the way, brought her 
four children to the United States of America to be able to raise them 
in freedom. And she's wondering whether or not we have that same passion 
toward Cuba that we have with Burma. And the answer--I told her, 
absolutely. As a matter of fact, America must have passion for political 
prisoners wherever they exist, for the human condition is important to 
the future of this country.
    And so, sir, to answer your question, whether it be the people in 
Burma who are

[[Page 1345]]

being brutalized by the military junta or the people in Cuba or the 
people in other tyrannical societies, it's in our interest to rally the 
world and to pressure and to keep the focus and use our respective bully 
pulpits--those of us in free societies--use our respective bully pulpits 
to remind people of the condition, the human condition in these 
societies that are being deeply affected by tyrannical regimes.
    And so I talk about Burma all the time to leaders. I spend a lot of 
time rallying the world--at least rallying my fellow leaders on issues 
such as Burma and Cuba and Sudan and Iran. And so thanks for bringing up 
the question. I just hope we get good results. Sometimes international 
bodies are nonconsequential. In other words, they're good talking, but 
there's not a consequence. At some point, there has to be consequences.
    So, along the lines in Burma, we have sanctioned individuals within 
Burma and are considering additional sanctions. But sanctions don't mean 
anything if we're the only sanctioner. They just find safe haven 
somewhere else--in trade, for example.
    And so it's a tough question, a tough issue, and the United States 
must always confront these tyrannical situations. It's in our interest 
that we do so.
    Yes, sir.

The Environment/Alternative Fuel Sources/Energy

    Q. [Inaudible]--welcome to northwest Arkansas. We have a little 
local mom-and-pop retailer by the name of Wal-Mart that's leading the 
charge----
    The President. Now you're bragging. [Laughter]
    Q. ----leading the charge on sustainability in the environment. And 
local governments all across the country are trying to do the same 
thing. What can the Federal Government do to step up and bring the 
United States back into a role of leadership in sustainability and in 
environmental protection?
    The President. Yes. The fundamental question is whether or not we 
will be able to grow our economy and be good stewards of the environment 
at the same time. I'm interested in good policy. Kyoto, I thought, was 
bad policy because Kyoto would have basically said--[applause]--
basically would have said that we would have had to ground our economy 
down in order to achieve--maybe achieve some positive changes in 
greenhouse gases.
    And so I came with a different approach, sir, and that is, I asked a 
question: How best to develop new technologies that will enable us to 
meet our responsibilities as stewards of the environment--of being 
responsible stewards of the environment? That's why--here, the way I'll 
do this is, there's three basic aspects to the environment: One is how 
we generate electricity; two is how we drive our cars; and three is how 
we build our buildings. We've got good conservation policies available 
for building construction.
    Two, I've just explained to the man who's trying to raise dairy 
cows, and he's now not so happy with the cost of corn, that we've taken 
a very aggressive approach on how--on providing alternatives to 
gasoline. So in other words, dependency on oil is a national security 
issue, it's an economic security issue, but it's also an environmental 
issue. The less oil we use, the better stewards of the environment we 
will be. So that's why I'm a big promoter of ethanol, and I've set a 
mandatory goal for the country of reducing our gasoline usage by 20 
percent over the next 10 years.
    Finally, electricity--and that's the interesting issue because, one, 
we got a lot of coal. And it seems like to me that we want to make sure 
that if we're going to have economic--you can't, by the way, be good 
stewards of the environment if you're broke. You just can't. This is an 
expensive proposition, to make sure that we've got enough cashflow in 
our society to develop new technologies. So we've got a lot of coal, and 
it's a plentiful supply. That's why we're spending about $2 billion of 
your money for clean coal technologies. In other words, we want to be 
able to power our economy and be good stewards of the environment, so 
why don't we work for zero-emission coal-fired plants, which is 
precisely what we're doing.
    Secondly, we've got a strong nuclear power initiative going. If 
you're truly--if you're truly an environmentalist, you'll support 
nuclear power because it will enable you to generate the electricity 
necessary to generate the wealth necessary to invest in technologies

[[Page 1346]]

and, at the same time, have zero greenhouse gases. And so we've got a 
comprehensive approach.
    I will tell you this: Unless all economies, major economies are at 
the table, it's a--this is a venture that will not work. So that's why I 
called together the leaders of the major economies, including China, and 
said, okay, why don't we sit down at the table and come up with a goal, 
a reduction of greenhouse gases over a period of time? See, if you can 
get somebody to agree on a goal, you can begin to get them to agree on a 
solution. But if certain nations aren't at the table, they're not going 
to participate.
    Secondly, I think each nation is going to have to develop its own 
strategy. We're different from other countries in the world. We have 
shown, however, that you can grow your economy and reduce greenhouse 
gases. You ask what the Federal Government is doing. Whatever we're 
doing is working because last year, we grew our economy, and the gross 
amount of greenhouse gases we put in the environment actually went down. 
And so it's a--you know, this is an important issue.
    My principle is, I want to make sure that whatever we do doesn't 
hamper our capacity to grow. I want our people working. I want people 
realizing their dreams. I want people to be able to put food on the 
table. And I believe you can have economic growth and good economic--
environmental stewardship through technologies. And that's exactly what 
we're doing right now. And thanks for bring up the question.
    Yes, ma'am.

Health Care

    Q. My question is, Mr. President, do you invest money in health care 
buses to go around the world and give health insurance to people without 
it?
    The President. Here's what I'm going to try to do. First of all, if 
you're poor, the Government is going to help you. If you're old, the 
Government has an obligation--elderly, excuse me--the Government--
[laughter]--I'm old; you're elderly--[laughter]--I should have listened 
to my mother, shouldn't I have, yes--is to make sure a Medicare system 
fulfills its promise. But I firmly believe that private medicine is the 
best health care. And the reason I do is because health care needs 
innovation and it needs professionalism. And our system is--private 
medicine does encourage innovation and does encourage professionalism.
    I know--I'm sure you've--everybody has got a complaint about health 
care in America, but it's a great health care system. Is there a need 
for improvement? You bet, but the quality of health care in America is 
fabulous compared to the rest of the world. It really is.
    Secondly, I believe government ought to incent people to go--to be 
able to have available--ought to incent--ought to change the system to 
make sure an individual can get into the marketplace and be able to 
better afford private insurance. Rather than help people through public 
policy--government programs, is to encourage people through private 
insurance.
    One of my problems with SCHIP, by the way, is that expanding 
eligibility meant one-third of all families that would sign up on to it 
would go from private care into the public. That's the exact opposite 
direction we ought to be moving people, it seems like to me. We ought to 
be encouraging private medicine and private care.
    So I--look, this is a long answer for you, sorry. It's a complex 
subject, though. We ought to change the Tax Code. Right now, if you're 
working for corporate Wal-Mart, you're--you benefit, rather than 
somebody who's trying to buy insurance in the private market. That 
health care--the taxes in health care says, if you're working for a big 
company, you do fine; if you're working for a small company or you're 
unemployed or you're individual sole proprietorship, you're paying 
health care with after-tax dollars. So the Tax Code needs to be changed.
    One option is to say, you deduct the first $15,000 for a family of 
two--I mean, for a married couple--deduct $15,000 off your expense, 
$15,000 of your income--on your income. Or another option some are 
considering in Congress is a tax credit. Either way, it's all intended 
to get people into the private markets. In other words, the incentive 
has got to be not to be part of government. The incentive has got to be 
to have the private sector work.

[[Page 1347]]

    One of the problems we face is, many people pay your bills for you. 
This is a third-party payer system. And therefore, you don't really have 
much to say--if somebody is going to pay it, you don't ask what's the 
price or what's the quality. There's very little consumerism in health 
care. And yet consumerism can help with price and quality. And so the 
question is, can government help consumerism become a part of health 
care? And one way we do--we buy a lot of health care, and so we then 
insist upon transparency. We say, if you're going to take government 
money as a hospital, we expect you to put your prices up there for 
everybody to see, and then encourage programs like HSAs to put the 
consumer in charge of the purchasing.
    It's a long answer to a simple question; I apologize. But it's a 
complex subject. And the truth of the matter is, the debate is whether 
or not the Federal Government is going to run your health care, or 
whether or not we're wise enough to not let that happen. And for the 
next 16 months, I can assure you we're wise enough to not let that 
happen, and that's--[applause].
    Last question.

Presidential Election/President's Decisionmaking

    Q. Mr. President, when do you think there will be a girl President 
for the Republican Party?
    The President. Well--[laughter]--I do think--yes, you took my line. 
[Laughter] I think a lady will be President, yes, and she'll be a 
Republican. [Laughter] Look, I--yes, I do. I believe--I absolutely 
believe it. Look, I--one of the things I benefited from is the advice of 
strong women, not only in my own house--[laughter]--but at the Cabinet 
table. And I've seen women who are plenty capable of being President of 
the United States and capable of making the hard decisions and capable 
of making sure they stick to principle.
    See, one of the hardest things about making good, solid decisions 
is--one of the worst things you can do is to try to chase a poll or a 
focus group. In order to make decisions that will yield the peace, you 
got to make them based upon certain fundamental principles and certain 
values.
    And I hope you got a sense of the values and principles by which I'm 
making decisions today. I'm honored you let me come by. I'm heading to 
Memphis, believe it or not, and I thank you for the chance to share my 
thoughts with you. God bless you, and God bless the United States of 
America.

Note: The President spoke at 12:55 p.m. at the John Q. Hammons 
Convention Center. In his remarks, he referred to former Representative 
John P. Hammerschmidt of Arkansas; former Senator Bob Dole and former 
Secretary of Health and Human Services Donna E. Shalala, Cochairs, 
President's Commission on Care for America's Returning Wounded Warriors; 
former Prime Minister Junichiro Koizumi of Japan; Aung San Suu Kyi, 
leader of the National League for Democracy in Burma; and Yamile Llanes 
Labrada, wife of Cuban political prisoner Jose Luis Garcia Paneque, who 
was arrested in Cuba on March 18, 2003. A participant referred to former 
Federal Aviation Administration Administrator Marion C. Blakey; and H.R. 
1125 and S. 65.