Letter to Congressional Leaders Transmitting a Report on the National Emergency with Respect to Sierra Leone and Liberia July 29, 2003

Administration of George W. Bush, 2003 / July 30

decision pursuant to Article IX of the Mar- waiver. The waiver has retroactive effect rakesh Agreement Establishing the World to January 1, 2003, and will remain in ef- Trade Organization (WTO Agreement) con- fect until December 31, 2006. cerning the Kimberley Process Certification Exercising my discretion under the Act, Scheme for rough diamonds (Certification I hereby certify that an applicable waiver, Scheme). The decision waives the following within the meaning of section 15 of the provisions of the WTO Agreement’s Gen- Clean Diamond Trade Act, granted by the eral Agreement on Tariffs and Trade 1994: World Trade Organization is in effect and paragraph 1 of Article I, paragraph 1 of will remain in effect until December 31, Article XI, and paragraph 1 of Article XIII, 2006. for measures taken consistent with the Cer- Sincerely, tification Scheme that are necessary to pro- hibit the export of rough diamonds to, or GEORGE W. BUSH import of rough diamonds from, non-Par- ticipants in the Certification Scheme. The NOTE: Identical letters were sent to J. Den- decision further provides that the waiver nis Hastert, Speaker of the House of Rep- applies to the United States and other resentatives, and Richard B. Cheney, Presi- WTO members that requested the waiver dent of the Senate. The related Executive and to any WTO member that notifies the order of July 29 is listed in Appendix D at WTO of its desire to be covered by the the end of this volume.

Letter to Congressional Leaders Transmitting a Report on the National Emergency With Respect to Sierra Leone and Liberia July 29, 2003

Dear Mr. Speaker: (Dear Mr. President:) ary 18, 2001, as expanded in scope in Exec- Consistent with section 401(c) of the Na- utive Order 13213 of May 22, 2001. tional Emergencies Act, 50 U.S.C. 1641(c), Sincerely, and section 204(c) of the International Emergency Economic Powers Act, 50 GEORGE W. BUSH U.S.C. 1703(c), I am transmitting a 6- month periodic report prepared by my Ad- NOTE: Identical letters were sent to J. Den- ministration on the national emergency de- nis Hastert, Speaker of the House of Rep- clared with respect to Sierra Leone and resentatives, and Richard B. Cheney, Presi- Liberia in Executive Order 13194 of Janu- dent of the Senate.

The President’s News Conference July 30, 2003

The President. Thank you. Good morn- Crawford experience this August. But thank ing. I was hoping it would be a little hotter you for coming. here to prepare the traveling team for the I’m looking forward to going down to Texas, and I know the Members will be

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going back to their districts. As I travel ever, we will gain more cooperation in our around the country from Crawford, I’m search for the truth in Iraq. going to be focused on two vital concerns We know that Saddam Hussein produced for our country: first, the safety of the and possessed chemical and biological American people, and the economic secu- weapons and has used chemical weapons. rity of the American people. We know that. He also spent years hiding On national security front, it has been his weapons of mass destruction programs 90 days since the end of the major combat from the world. We now have teams of operations in Iraq. The nation has been investigators who are hard at work to un- liberated from tyranny and is on the path cover the truth. to self-government and peace. The Iraqi The success of a free Iraq will also dem- Governing Council is meeting regularly. onstrate to other countries in that region Local police forces are now being trained. that national prosperity and dignity are And citizens are being recruited into a new found in representative government and Iraqi military, a military that will protect free institutions. They are not found in tyr- the Iraqi people instead of intimidating anny, resentment, and for support of ter- them. Soon, representatives of the people rorism. As freedom advances in the Middle will begin drafting a new constitution, and East, those societies will be less likely to free elections will follow. After decades of produce ideologies of hatred and produce oppression, the people of Iraq are reclaim- recruits for terror. ing their country and are reclaiming their The United States and our allies will future. complete our mission in Iraq, and we’ll Conditions in most of Iraq are growing complete our mission in Afghanistan. We’ll more peaceful. Some areas, however, the keep our word to the peoples of those na- violent remnants of Saddam Hussein’s re- tions. We’ll wage the war on terror against gime, joined by terrorists and criminals, are every enemy who plots against our forces making a last attempt to frighten the Iraqi and our people. I will never assume the people and to undermine the resolve of restraint and good will of dangerous en- our coalition. They will fail. Our coalition emies when lives of our American citizens forces are taking the fight to the enemy are at risk. in an unrelenting campaign that is bringing My administration is also acting to ensure daily results. Saddam Hussein’s sons did the economic security of the American peo- not escape the raids, and neither will other ple. Paychecks are already reflecting the members of that despicable regime. reduction in income tax rates, which is pro- By taking the offensive against desperate viding relief to millions of taxpayers and killers, Americans in uniform are assuming small businesses. American families have great risks for our country. The American begun to receive checks from a $400-per- people are proud of our Armed Forces, child increase in the child tax credit. This and we are grateful for their sacrifice and time, when we say the check’s in the mail, their service in fighting the war on terror. we mean it. We also appreciate the military families Through our higher expense deduction, who share in the hardship and uncertainties small businesses have an incentive to speed of this essential mission. up purchases of new equipment. We’re be- The rise of a free and peaceful Iraq is ginning to see hopeful signs of faster critical to the stability of the Middle East, growth in the economy, which over time and a stable Middle East is critical to the will yield new jobs. Yet the unemployment security of the American people. As the rate is still too high. And we will not rest blanket of fear is lifted, as Iraqis gain con- until Americans looking for work can find fidence that the former regime is gone for- a job.

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To strengthen the economic security of stopping the violence against American the people, Congress needs to pass a sound troops? And what do you say to those energy bill to make sure that our house- troops who fought long and hard and now holds and businesses have a reliable, afford- are eager to come home, given the fact able supply of energy. Congress needs to that it’s hard to find other countries to send pass legal reforms to cut down on the frivo- in troops that could serve as replacements? lous lawsuits that provide a drag to our The President. Okay. Tom, I’m getting economy. Congress needs to approve reem- a little older, so when you ask four or five ployment accounts to help citizens who questions, it’s hard for me to remember have the toughest time finding work. Con- every question. gress needs to make sure that the child First, we do have a good rotation plan credit is refundable for lower-income fami- in place now for our troops. The 3d ID, lies. We must continue pursuing an aggres- which has conducted a lot of the major sive, progrowth strategy that creates jobs military operations at the beginning of the throughout our economy. war, has now got a definite time in which Economic security for America’s seniors they are coming home. And that in itself is threatened by the rising cost of prescrip- is a positive development. There was some tion drugs. I’m pleased that both Houses concern amongst family members of the of Congress have responded by passing sep- 3d ID that they were getting mixed signals, arate bills providing prescription drug cov- and I understand that. And now it’s clear erage under Medicare. It’s absolutely essen- as to their rotation plan. tial that the House and the Senate resolve And by the way, as we rotate, we’ll be their differences and enact a piece of legis- changing the nature of the military configu- lation I can sign. The lack of coverage for ration to be more of a—to have more of prescription drugs and many preventative a—the capacity to move very quickly and treatments is a major gap in Medicare that to strike quickly, because our intelligence denies some of our seniors the latest and is getting better on the ground as we’re best medicine. We must keep the promise able to pick targets, able to enrich targets of Medicare by giving our seniors better and move quickly on the targets. coverage and better choices. What other aspects of the—I told you— I congratulate the House and the Senate I warned you, I’m getting older. on a productive legislative session—so far. Deaths of Uday and Qusay Hussein I also look forward to working with the Members this coming fall on the priorities Q. I asked you how close we are to for the American people. catching—— And now I’ll be glad to answer some The President. Catching Saddam Hus- questions. Tom [Tom Raum, Associated sein, that’s right. Yes. Press], and we’ll work our way around. Q. ——and how important it is to—— There’s no need for any unrestrained The President. Listen—right, thank you. yelling. [Laughter] Of course, it’s important that the—that Saddam’s sons were brought to justice. It Military Operations in Iraq changes attitudes in Iraq. People didn’t be- Q. Thank you, Mr. President. Mr. Presi- lieve that the Ba’athist regime was going dent, now with the deaths of the sons of to be gone forever. They felt like they— Saddam Hussein and the capture of his you would hear reports of Ba’athists, chief bodyguard, what can you tell us about former Ba’athist officials saying to Iraqi citi- how close we might be to actually capturing zens, ‘‘Listen, the Americans will grow stale or killing Saddam himself? And how impor- and tired. They’ll leave and, by the way, tant would that be to ending the war and we’ll come back. And when we come back,

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we’ll come back with a vengeance if you would like to use flights, international help in the reconstruction of the country.’’ flights, for example. So, needless to say, when two of the most Now, what we can do is we can be— despicable henchmen of the Saddam obviously, at home, continue to be diligent Hussein regime met their fate, the Ba’athist on the inspection process of baggage as claim that at least these two will come back well as making sure those who board air- and haunt the citizen is—rings hollow. craft are properly screened. And obviously, I don’t know how close we are to getting we’re talking to foreign governments and Saddam Hussein. You know, I—it’s closer foreign airlines to indicate to them the re- than we were yesterday, I guess. All I know ality of the threat. We’re conscious * of is we’re on the hunt. It’s like if you had folks flying—getting lists of people flying asked me right before we got his sons how into our country and matching them now close we were to get his sons, I’d say I with a much improved database. Inter- don’t know, but we’re on the hunt. national flights coming into America must And so we’re making progress. It’s slowly but surely making progress of bringing have hardened cockpit doors, which is a the—those who terrorize their fellow citi- positive development. zens to justice and making progress about Being on alert means that we contact convincing the Iraqi people that freedom all who are responsible, who have got posi- is real. And as they become more con- tions of responsibility. And so we’re focus- vinced that freedom is real, they’ll begin ing on the airline industry right now. And to assume more responsibilities that are re- we’ve got reason to do so. And I’m con- quired in a free society. fident we will thwart the attempts. Steve [Steve Holland, Reuters]. You know, let me talk about Al Qaida just for a second. I made the statement War on Terror/Possible Terrorist Attacks that we’re dismantling senior management, and we are. Our people have done a really Q. Thank you, sir. Homeland Security good job of hauling in a lot of the key is warning against possible hijackings this operators: Khalid Sheikh Mohammed, Abu summer. How serious is this threat, and Zubaydah, Ramzi—Ramzi al-Shibh or what- what can you do about it? How can Ameri- ever the guy’s name was—[laughter]— cans feel safe? The President. Yes. Well, first of all, the sorry, Ramzi, if I got it wrong—[laugh- war on terror goes on, as I continually re- ter]—bin al-Shibh, excuse me. ‘‘Swift mind people. In other words, there are still Sword’’ is dead, thanks to the Saudis. Abu Al Qaida remnants that have designs on Bakr is now captured by the Saudis. We’re America. The good news is that we are, dismantling the operating—decisionmakers. one, dismantling the Al Qaida organization, We’ve got more to do. And the American and two, we’re learning more information people need to know we’re not stopping. about their plans as we capture more peo- We’ve got better intelligence-gathering, ple. better intelligence-sharing, and we’re on And the threat is a real threat. It’s a the hunt. And we will stay on the hunt. threat that where—we obviously don’t have The threat that you asked about, Steve, re- specific data; we don’t know when, where, minds us that we need to be on the hunt, what. But we do know a couple of things. and—because the war on terror goes on. We do know that Al Qaida tends to use John [John King, Cable News Network]. the methodologies that worked in the past. That’s kind of their mindset. And we have got some data that indicates that they * White House correction.

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Report of the Joint Inquiry Into the we can put out the document. But in my September 11, 2001, Terrorist Attacks judgment, now is not the time to do so. Q. Mr. President, thank you. You met And I made that clear to him. And I yesterday with the Saudi Foreign Minister, will be glad—I’m making it clear to Mem- who wants the administration to declassify bers of Congress. I want to remind you these 27 or 28 pages about his Government that—sure, some have spoken out, but oth- in this report on 9/11. Many Members of ers have agreed with my position, like the Congress, including several Republicans, chairman of the House Intelligence Com- say they see nothing—or at least most of mittee. So there’s a different point of view. the materials, in their view, could be made My point of view, however, since I’m in public. Can you tell us, is there any com- charge of fighting the war on terror, is that promise in sight on this, and could you we won’t reveal sources and methods that at least summarize the material in that clas- will compromise our efforts to succeed. sified document? Is there, as some Mem- Campbell [Campbell Brown, NBC bers of Congress say, material that you News]. could read and have an incriminating view of the Saudi Government when it comes Saddam Hussein’s Links to Al Qaida to 9/11? Q. Saddam Hussein’s alleged ties to Al The President. John, the Foreign Min- Qaida were a key part of your justification ister did come and speak to me. And I for war. Yet, your own intelligence report, told him this: I said we have an ongoing the NIE, defined it as, quote, ‘‘low con- investigation about what may or may not fidence that Saddam would give weapons have taken place prior to September the to Al Qaida.’’ Were those links exaggerated 11th. And therefore, it is important for us to justify war? Or can you finally offer us to hold this information close so that those some definitive evidence that Saddam was who are being investigated aren’t alerted. working with Al Qaida terrorists? I also told him, in the document, that The President. Yes. I think, first of all, if we were to reveal the content of the remember, I just said we’ve been there for document—by the way, 29 pages of a near 90 days since the cessation of major mili- 900-page report—it would reveal sources tary operations. Now, I know in our world and methods. By that I mean it would show where news comes and goes and there’s people how we collect information and on this kind of instant news, and you must whom we’re collecting information, which, have done this, you must do this yesterday, in my judgment and in the judgment of that there’s a level of frustration by some senior law enforcement officials in my ad- in the media. I’m not suggesting you’re ministration, would be harmful on the war frustrated. You don’t look frustrated to me against terror. at all. But it’s going to take time for us I just described to you that there is a to gather the evidence, the—analyze the threat to the United States. And I also said, mounds of evidence, literally, the miles of we’re doing a better job of sharing intel- documents that we have uncovered. ligence and collecting data so we’re able David Kay came to see me yesterday. to find—able to anticipate. And what we He’s going to testify in closed hearing to- really don’t want to do, it doesn’t make morrow, which in Washington may not be sense to me—doesn’t seem like to me, is so closed, as you know. And he was telling to reveal those sources and methods. me the process that they were going Now, at some point in time, as we make through to analyze all the documentation. progress on the investigation and as a threat And that’s not only to analyze the docu- to our national security diminishes, perhaps mentation on the weapons programs that

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Saddam Hussein had but also the docu- And so this is going to take time. And mentation as to terrorist links. the world will see what I mean when I And it’s just going to take a while, and say a free Iraq will help peace in the Mid- I’m confident the truth will come out. And dle East, and a free Iraq will be important there is no doubt in my mind, Campbell, for changing the attitudes of the people that Saddam Hussein was a threat to the in the Middle East. A free Iraq will show United States security and a threat to peace what is possible in a world that needs free- in the region. And there’s no doubt in my dom, in a part of the world that needs mind that a free Iraq is important. It’s got freedom. strategic consequences for not only achiev- Let me finish for a minute, John, please. ing peace in the Middle East, but a free Just getting warmed up. I’m kind of finding Iraq will help change the habits of other my feet. [Laughter] nations in the region who will make it— Saddam Hussein was a threat. The which will make America much more se- United Nations viewed him as a threat. cure. That’s why they passed 12 resolutions. John [John Roberts, CBS News]. Predecessors of mine viewed him as a threat. We gathered a lot of intelligence. Decision To Go to War in Iraq That intelligence was good, sound intelligence on which I made a decision. Q. Thank you, Mr. President. Building And in order to placate the critics and sort of on that idea, it’s impossible to deny the cynics about intentions of the United that the world is a better place in the re- States, we need to produce evidence. And gion, certainly a better place without Sad- I fully understand that. And I’m confident dam Hussein. But there’s a sense here in that our search will yield that which I this country and a feeling around the world strongly believe, that Saddam had a weap- that the U.S. has lost credibility by building ons program. I want to remind you, he the case for Iraq upon sometimes flimsy actually used his weapons program on his or, some people have complained, non- own people at one point in time, which existent evidence. I’m just wondering, sir, is pretty tangible evidence. But I’m con- why did you choose to take the world to fident history will prove the decision we war in that way? made to be the right decision. The President. Yes. You know, look, in Q. [Inaudible] my line of work, it’s always best to produce The President. Hold on for a second. results, and I understand that. The—for a You’re through, John. while the questions were, ‘‘Could you con- ceivably achieve a military victory in Iraq? Homosexuality/Definition of Marriage You know, the dust storms have slowed you Q. Thank you, sir. Mr. President, many down.’’ And I was a patient man, because of your supporters believe that homosex- I realized that we would be successful in uality is immoral. They believe that it’s achieving our military objective. been given too much acceptance in policy Now, of course, the question is, will Iraq terms and culturally. As someone who’s ever be free, and will it be peaceful? And spoken out in strongly moral terms, what’s I believe it will. I remind some of my your view on homosexuality? friends that it took us a while to go from The President. Yes. I am mindful that the Articles of Confederation to the United we’re all sinners, and I caution those who States Constitution. Even our own experi- may try to take a speck out of their neigh- ment with democracy didn’t happen over- bor’s eye when they got a log in their own. night. I never have expected Thomas Jef- I think it’s very important for our society ferson to emerge in Iraq in a 90-day period. to respect each individual, to welcome

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those with good hearts, to be a welcoming And yet our economy is growing. In country. On the other hand, that does not other words, what I’m telling you is, is that mean that somebody like me needs to com- we had a lot of obstacles to overcome. The promise on an issue such as marriage. And ’01 tax cuts affected the recession this way: that’s really where the issue is headed here It was a shallow recession. That’s positive, in Washington, and that is the definition because I care about people being able to of marriage. I believe in the sanctity of find a job. Someone said, ‘‘Well, maybe marriage. I believe a marriage is between the recession should have been deeper in a man and a woman. And I think we ought order for the rebound to be quicker.’’ My to codify that one way or the other. And attitude is, a deeper recession means more we’ve got lawyers looking at the best way people would have been hurt. And I view to do that. the actions we’ve taken as a jobs program, Stevenson [Richard Stevenson, New York job creation program. Times]. Secondly, there are hopeful signs. I Tax Cuts/National Economy mean, most economists believe that over the next 18 months we’ll see positive eco- Q. Thank you, sir. Since taking office, nomic growth. Interest rates are low. Hous- you’ve signed into law three major tax cuts, ing starts are strong. Manufacturing indexes two of which have had plenty of time to are improving. take effect, the third of which, as you There are other things we can do in pointed out earlier, is taking effect now. Washington. As I said, we need an energy Yet, the unemployment rate has continued bill. We certainly need tort reform. I think rising. We now have more evidence of a the class action reform that’s moved out massive budget deficit that taxpayers are of the House and into the Senate is some- going to be paying off for years or decades thing that can be done, and it ought to to come. The economy continues to shed be done quickly. In other words, what I’m jobs. What evidence can you point to that saying to you is, is that there’s still work tax cuts, at least of the variety that you to do. But I’m optimistic about the future, have supported, are really working to help and I believe you’ll see more jobs created, this economy? And do you need to be and that’s going to be good for the country. thinking about some other approach? Yes. Jim Rosen [James Rosen, FOX The President. Yes. No, to answer the News]. last part of your question. First of all, let me—just a quick history, recent history. The stock market started to decline in North Korea March of 2000. Then the first quarter of Q. Thank you, sir. You just explained 2001 was a recession. And then we got that your approach to your job is to try attacked in 9/11. And then corporate scan- to produce results. It has been roughly a dals started to bubble up to the surface, year since North Korea apprised the United which created a lack of confidence in the States Government that it is seeking to re- system. And then we had the drumbeat activate its nuclear weapons program. In to war. Remember on our TV screens— that year, you and your aides have repeat- I’m not suggesting which network did edly said that you seek a diplomatic ap- this—but it said, ‘‘march to war’’ every day proach to that problem. And yet, over that from last summer until the spring—‘‘march year, all we’ve seen from the North Kore- to war, march to war.’’ That’s not a very ans are more bellicose statements and more conducive environment for people to take steps taken to add to their stockpile of nu- risk, when they hear ‘‘march to war’’ all clear weapons that they already have. What the time. can you point to in the record over the

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last year by your administration for Ameri- Q. Last week was my first week. cans to look at and say this President has The President. Yes, congratulations. produced results? Q. Thank you. The President. Yes. I think that one of The President. Be careful whose company the things that is important to understand you’re keeping, though. [Laughter] in North Korea is that the past policy of Q. Mr. President, you often speak about trying to engage bilaterally didn’t work. In the need for accountability in many areas. other words, the North Koreans were ready I wonder then, why is Dr. Condoleezza to engage, but they didn’t keep their word Rice not being held accountable for the on their engagement. And that ought to statement that your own White House has be a clear signal to policymakers of what acknowledged was a mistake in your State to expect with North Korea. of the Union Address regarding Iraq’s at- Secondly, in my judgment, the best way tempts to purchase uranium? And also, do to convince the North Koreans to change you take personal responsibility for that in- their attitude about a nuclear weapon pro- accuracy? gram is to have others in the neighborhood The President. I take personal responsi- assume responsibility alongside the United bility for everything I say, of course. Abso- States. So this morning, interesting lutely. I also take responsibility for making enough—I’m glad you asked that question, decisions on war and peace. And I analyzed because I can tell you that I talked to Hu a thorough body of intelligence—good, Jintao this morning—not anticipation of solid, sound intelligence that led me to your question, but as part of an ongoing come to the conclusion that it was nec- process to encourage him to stay involved essary to remove Saddam Hussein from in the process of discussions with Mr. Kim power. Chong-il, all attempting to say to him that We gave the world a chance to do it. it is a—it is not in his nation’s interest We had—remember there’s—again, I don’t to continue developing these weapons and want to get repetitive here, but it’s impor- we would like to see him dismantle those tant to remind everybody that there was weapons programs. 12 resolutions that came out of the United As well as—I told President Hu that I Nations because others recognized the think it’s very important for us to get Japan threat of Saddam Hussein. Twelve times and South Korea and Russia involved as the United Nations Security Council passed well. So the progress that is being made resolutions in recognition of the threat that is, we’re actually beginning to make serious he posed. And the difference was, is that progress about sharing responsibility on this some were not willing to act on those reso- issue in such a way that I believe will lead lutions. We were, along with a lot of other to an attitudinal change by Kim Chong- countries, because he posed a threat. il, which will be very positive for peace Dr. Condoleezza Rice is an honest, fabu- in the region. lous person, and America is lucky to have State of the Union Address her service. Period. Michael Allen [Washington Post]. Q. Thank you, Mr. President—— The President. Kate [Kate Snow, ABC News]. 2004 Campaign Q. That’s right. Thank you, Mr. Presi- Q. Mr. President, with no opponent, how dent. can you spend $170 million or more on The President. How long have you your primary campaign? been—how long have you been in the press The President. Just watch. [Laughter] corps? You look like you just came. Keep going.

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Q. Yes, sir. And with 15 fundraisers Federal Deficit/National Economy scheduled between—for the summer Q. Thank you, Mr. President. As you said months, do you worry about the perception just a few moments ago and say frequently that you’re unduly attentive to the interests in your speeches, the deficit was caused of people who can afford to spend $2,000 variously by the war, by recession, by cor- to see you? porate scandals, the 9/11 attacks. But just The President. Michael, I think American a couple of weeks ago, on July 15th, the people, now that they’ve realized I’m going Office of Management and Budget put out to seek reelection, expect me to seek re- a report saying that without the tax cuts election. They expect me to actually do that Congress passed, the budget would be what candidates do. And so, you’re right, back in surplus by 2008, but with those I’ll be spending some time going out and tax cuts factored in, we have deficits that asking the American people to support me. year and further years out of at least $200 But most of my time, as I say in my speeches—as I’m sure you’ve been bored billion, to use the phrase, as far as the to tears listening to—is that there is a time eye can see. Aren’t tax cuts in part respon- for politics, and that’s going to be later sible for the deficits, and does that fact on. I’ve got a lot to do. And I will continue concern you? Are we now in a period doing my job, and my job will be to work where we have deficits as far as the eye to make America more secure. can see? Steve asked a question about this Al The President. We would have had defi- Qaida possible attack. Every day I am re- cits with or without tax cuts, for this reason: minded that our Nation is still vulnerable. The slowdown in the economy, the decline Every day I’m reminded about what 9/11 in the stock market starting March of 2000, means to America. That’s a lesson, by the plus the recession, reduced the amount of way, I’ll never forget, the lesson of 9/11, revenues coming into the Federal Treasury. because—and I remember right after 9/11 Secondly, we spent money on the war, and saying that this will be a different kind of we spent money on homeland security. My war, but it’s a war, and sometimes there attitude is, if we’re going to put our troops will be action, and sometimes there won’t, into harm’s way, they must have the very but we’re still threatened. And I see that best. And there’s no doubt we increased almost every day, Mike. And therefore, that our budgets on defense and homeland se- is a major part of my job. curity. So there would be recessions. And the other part of my job that I And so, given the—I mean, there would talked about is the economic security of be deficits. So given the fact that we’re the American people. And I spend a lot in a recession, which had it gone on longer of time on the economy, going out and than it did could have caused even more talking to the American people about the revenues to be lost to the Treasury, I had economy, and will continue to do so. a policy decision to make. And I made the But no, listen, since I’ve made the deci- decision to address the recession by a tax sion to run, of course I’m going to do what cut. And so part of the deficit, no question, candidates do. And we’re having pretty was caused by taxes—about 25 percent of good success, which is—it’s kind of an in- the deficit, the other 75—50 percent teresting barometer, early barometer, about caused by lack of revenues, and 25 percent the support we’re garnering. caused by additional spending on the war Keil [Richard Keil, Bloomberg News], on terror. Jeanne [Jeanne Cummings, Wall Street Now, we have laid out a plan which Journal], and then Larry [Larry McQuillan, shows that the deficit will be cut in half USA Today]. Keil. Stretch. Super Stretch. over the next 5 years. And that’s good

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progress toward deficit reduction. That’s as- time, you’re able to find a job, you keep suming Congress holds the line on spend- the balance as a reemployment bonus. ing. I presented them with a 4-percent in- I know the community colleges provide crease in the discretionary budget to help a very important role in worker training, them hold the line on spending. They worker retraining. I look forward to work- passed the budget. Now they’ve got to ing with our community colleges through meet the budget in their appropriations the Department of Education, coordinate process. closely with States, particularly in those My first concern, Dick, was for those States in which technology is changing the folks who couldn’t find a job. And I ad- nature of the job force. I’ve always found dressed unemployment and addressed eco- the community college—and this is from nomic stagnancy with a tax cut that affected my days as the Governor of Texas—found growth or the lack of growth in a positive the community college to be a very appro- way. And I’m optimistic about our econ- priate place for job training programs be- omy. But I’m not going to stop working cause they’re more adaptable; their curricu- until people can find a job who are looking lums are easier to change; they’re acces- for work. sible. Community colleges are all over the Jeanne. place. And—but you’re right. I mean, I think Workforce and Technology we need to make sure that people get the training necessary to keep up with the na- Q. Thank you, Mr. President. Staying ture of the jobs as jobs change. with that theme, although there are some Laurence, USA Today. signs of improvement in the economy, there are sectors in the workforce who feel Middle East Peace Process like they’re being left behind. They’re con- Q. Mr. President, you’ve been involved cerned about jobs going overseas, that tech- now in the Mideast peace process and have nology is taking over jobs. And these people certainly learned firsthand how develop- are finding difficulty finding work. And al- ments like creation of a fence can com- though you’re recommitted yourself to your plicate progress. Based on that, when you tax cut policy, do you have any ideas or stood there about a year ago and proposed any plans within the administration of what your roadmap, you spoke about a Pales- you might do for these people who feel tinian state in 2005. I mean, do you think like there are fundamental changes hap- that goal is still realistic, or is it likely to pening in the workforce and in the econ- slide just because it’s so hard to make omy? headway? The President. Sure. Listen, I fully un- The President. I do think it’s realistic. derstand what you’re saying. In other I also know when we start sliding goals, words, as technology races through the it makes progress less realistic. Absolutely, economy, a lot of times worker skills don’t I think it’s realistic, and I think we’re mak- keep up with technological change. And ing pretty good progress in a short period that’s a significant issue that we’ve got to of time. address in the country. I’m impressed by Prime Minister Abbas’ I think my idea of reemployment ac- vision of a peaceful Palestinian state. I be- counts makes a lot of sense. In essence, lieve him when he says that we must rout it says that you get $3,000 from the Federal out terror in order for a Palestinian state Government to help you with training, to exist. I believe he’s true. I think Mr. daycare, transportation, perhaps moving to Dahlan, his security chief, also recognizes another city. And if, within a period of that.

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And we’ve got to help those two leaders committed to a peaceful Palestinian state. in a couple of ways to realize that vision He’s committed because he understands of a peaceful Palestinian state. One is to that I will in no way compromise the secu- provide help and strategy to Mr. Dahlan rity of the Israeli people—or the Palestinian so that he can lead Palestinian security people, for that matter—to terror, that he forces to the dismantlement of bomb-mak- knows when I say we’re willing to fight ing factories, rocket-making factories inside terror, we mean it, because we proved it. Gaza and the West Bank. That’s going to I thought it was interesting yesterday, by be a very important part of earning the the way, that he spoke clearly about Iraq confidence of the world, for that matter. and the importance of Iraq in terms of We’ve also got to recognize that there are Middle Eastern peace as well. And I be- things that can happen on the ground that lieve he’s right on that. I believe that a will strengthen Mr. Abbas’ hand, relative free Iraq will make it easier to achieve to the competition, moving—for example, peace in that part of the world. I also know movement throughout the country. that we’ve got to get others in the neigh- So I spent time talking to Prime Minister borhood to continue to remind certain Sharon yesterday about checkpoints. We countries that it will be frowned upon if discussed the difference between a check- they destabilize the process. point for security purposes and a check- The stated objective of Iran is the de- point that might be there that’s—that struction of Israel, for example. And we’ve isn’t—there for inconvenience purposes, let got to work in a collective way with other me put it to you that way. We talked about nations to remind Iran that they shouldn’t all the thorny issues. develop a nuclear weapon. It’s going to re- But the most important thing is that we quire more than one voice saying that, how- now have an interlocutor in Mr. Abbas who ever. It’s going to require a collective effort is committed to peace and who believes of the Europeans, for example, to recognize in the aspirations of the Palestinian people. the true threat of an armed Iran to achiev- One of the most interesting visits I’ve ing peace in the Middle East. And—but had on this issue took place in the Oval I’m pleased by the attitudes. Office there with the Finance Minister of You know, when I was in Aqaba, I don’t the Palestinian Authority. I was pleased to know if you remember, but I asked Prime discover that he—I think he received a de- Minister Sharon and Prime Minister Abbas gree from the University of Texas, which to go outside. I wanted to watch the body gave me even more confidence when he language, first and foremost, just to make spoke. But he is a—he talked about how sure we weren’t fooling ourselves, that a free state, free country, will flourish when when leaders commit to being able to work the Palestinians are just given a chance. with each other, you can get a pretty good See, he believes in the Palestinian people sense of that commitment. to the point where he’s willing to take risks What was also interesting on the outside for peace. As I understand it, he’s put the meeting—I mean, it was a very cordial dis- Palestinian budget on the web page. cussion, and there was the desire for these That’s—that’s what we call transparency in leaders to talk. And they have talked since the diplomatic world. It means that he’s the Aqaba meeting, and that’s a positive willing to show the finances to make it development. But what was also interesting, clear they’re not stealing money—is another as Condi reported to me later, to watch way to put it. That’s a positive develop- the discussions between the different—both ment, Larry. Cabinets. And we were watching carefully So I—what I first look at is attitudes. to determine if there’s the will for peace. I also believe Prime Minister Sharon is We have found a person who has got the

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will to work for peace, and that’s Prime ter of fact, after my trip to Africa, I know Minister Abbas. we’re doing the right thing, even more. We’ll work through the issues that are But the OMB came up with a plan that nettlesome. And there will be some big allows for a smaller amount in the begin- issues that come along. But the first thing ning. I think it’s about a little less than that has to happen is, the Palestinian peo- $2.5 billion initially, and it ramps up more ple have got to realize there’s hope in a in the out-years as the program is capable free society. And if they choose the leader of absorbing a lot of money. that is most likely to—choose to back the You know, one of the things we looked leader that is most likely to deliver that for over there in Africa was whether or hope. not countries could absorb money. In other Carl [Carl Cannon, National Journal]. words, whether—for example, was the dis- HIV/AIDS Initiative tribution system for antiretrovirals in place? It doesn’t make any sense to load up on Q. I want to ask you about something antiretrovirals if the distribution system else in your State of the Union. won’t get them out. In other words, there’s The President. Okay. some things some countries have to do to Q. You spoke and got great applause prepare for the arrival of a lot of money, from both sides of the aisle about a new and we recognize that, Carl. initiative in Africa for AIDS and mentioned The commitment is there, absolutely. the figure, $15 billion over 3 years. When And a matter of fact, we’re doing the right the AIDS community and some of the ac- thing in Africa. The American people have tivists got into the budget, they said when got to understand that we’re a blessed they saw your budget, they said it was real- country, and when we find the kind of suf- ly a little less than that. And these con- fering that exists in Africa, we will help. versations have gone back and forth, and And we are. they said, really more like $10 billion in new money. And then somebody told me it was really more like $400 million for Liberia the first year. I want to ask you here, in Q. Liberia question? the Rose Garden, will you reiterate that The President. You want to ask a Libe- $15 billion figure and make sure, person- rian question? Please do. ally, that it’s really delivered to Africa? Q. Thank you. Do you expect American The President. Yes, I will, Carl, abso- troops to be landing in any large force in lutely, $15 billion. Now, that’s not new Liberia soon? And how far can the U.S. money. The person who said it’s $15 billion go in other international conflicts? When on top of that which we’re already—$10 are we stretched too thin? billion on top of that which we’re already The President. Yes, very good question. spending equals the $15 billion. Secondly, First of all, the conditions that I laid out there is some discussion about the first- for the Liberian rescue mission still exist. year budget. In other words, we didn’t send Charles Taylor must go; the cease-fire must up a budget—$15 billion over 5—we didn’t be in place; and we will be there to help send up $3 billion. We sent up something ECOWAS. And so we’re working to get less than $3 billion, because we didn’t think those conditions in place. And we will con- the program could ramp up fast enough tinue working to get them in place until to absorb that amount of money early. they are in place, at which point we will So it’s not—people then say, ‘‘Well, wait then take the necessary steps to get a minute. He doesn’t believe what he said.’’ ECOWAS in place so that we can deliver Well, that’s just simply not true. As a mat- aid and help to suffering Liberians.

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I also want to remind you, I also said throughout Iran. And I want to thank them the troop strength will be limited and the for that. timeframe will be limited. And we’re work- Interestingly enough, there’s a TV station ing on that. The idea, of course, is to go that I think has been—people have read in, stabilize the situation, get the NGOs about that is broadcast out of L.A. by one moving back in to—to their positions to of our citizens. He’s—he or she has footed be able to help deliver aid, and then work the bill. It’s widely watched. The people immediately with the United Nations to of Iran are interested in freedom, and we provide blue helmets—maybe blue helmets, stand by their side. We stand on the side some of the ECOWAS forces in place, pro- of those who are desperate for freedom vide other blue helmets, and that the in Iran. We understand their frustrations United Nations would then take up the in living in a society that is totalitarian in peacekeeping mission as well as the polit- nature. And now is the time for the world ical mission in order to provide the frame- to come together, Ron, to send a clear mes- work for a transition to democracy. And sage. hopefully, that will help stabilize the situa- And so I spent time with Prime Minister tion. I think it will. Berlusconi on the ranch, and I talked to Hutch [Ron Hutcheson, Knight Ridder]. him about the need for the EU to send Iran a very clear message, along with the United Q. I wanted to ask you about Iran, one States. As you know—some of you have of your other countries in the axis of evil. been on the trips with me to Russia, and One of the things we learned from that you remember me talking with my friend march to war is that when you start warn- Vladimir Putin about the need to be mind- ing countries, they better pay attention. Are ful of the Iranians’ desire to have a nuclear we now in the early stages of a march weapon. We’re making progress there. I to war in Iran? Or are they more like in really believe that we can solve this issue the category of North Korea? peacefully, but this is an issue that’s going The President. No, I—look, Hutch, I re- to require a concerted effort by nations member right after Iraq the first thing that around the world to work with the United happened out of—out of some writers’ pens States, particularly in Europe, to speak was that, ‘‘Oh, no, they’re getting ready to clearly to the Iranian administration. attack either Syria or Iran.’’ You know, the The other thing that’s interesting about march to war is a campaign that’s just going Iran is that they do have Al Qaida. They’ve to march everywhere. admitted they got Al Qaida. Now, that’s I—all options remain on the table. I be- positive, that the Al Qaida is not talking lieve that the best way to deal with the to anybody. I mean, I would rather them Iranians at this point in time is to convince be held somewhere other than out moving others to join us in a clear declaration that around, plotting and planning. And I would the development of a nuclear weapon is just hope the Iranians would listen to the not in their interests. I believe a free Iraq request of countries in their neighborhood will affect the lives of Iranians. I want to to turn them over. In other words, some thank the diaspora here in the United of the countries of origin for these Al Qaida States, particularly in L.A.—which reminds operatives have asked for those Al Qaida me, my last question is going to Ed [Ed detainees to be sent back to the country Chen, Los Angeles Times]. And—so you of origin. It would be very helpful for the can prepare for it, Ed. We’ve got a lot Iranians to make that decision. of our fellow citizens who are in e-mail Ed, last question. contact, phone contact with people who live Q. Mr. President——

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The President. Hold on for a minute, NOTE: The President’s news conference please. Ed. began at 10:33 a.m. in the Rose Garden at California Recall Campaign the White House. In his remarks, he referred to former President Saddam Hussein of Iraq; Q. Good morning, Mr. President. Since Uday and Qusay Hussein, sons of former California is on your mind, I’d like to ask President Hussein, who were killed July 22 you about the recall campaign. Since you’re by U.S. military forces in Mosul, Iraq; Khalid not only the leader of this country, but as someone who came into office under Sheikh Mohammed, senior Al Qaida leader extraordinarily partisan circumstances, do responsible for planning the September 11, you view this recall, which was funded al- 2001, terrorist attack, who was captured in most entirely by one wealthy Republican Pakistan on March 1; Abu Zubaydah, a leader who would like to be Governor, as a legiti- of the Al Qaida terrorist organization who mate, democratic exercise? And do you was captured on March 28; Ramzi bin al- have a candidate in this fight, since one Shibh, an Al Qaida operative suspected of of the potential successors is somebody helping to plan the September 11, 2001, ter- you’ve backed before? rorist attack, who was captured in Karachi, The President. Ed, let me tell you how Pakistan; Al Qaida operational planner and I view it. I’ve got a lot of things on my fundraiser Yousif Salih Fahad Al-Ayeeri, also mind, and I view it like a interested polit- known as ‘‘Swift Sword,’’ who was killed on ical observer would view it. You know, it’s May 31; Abu Bakr Al Azdi, senior Al Qaida kind of a—we’re not used to recalls in associate responsible for the May 12 bomb- Texas, for example, thankfully. I think ing in Riyadh, Saudi Arabia; Foreign Min- that—I think the most important opinion ister Saud al-Faysal al Saud of Saudi Arabia; is not mine, but it’s the people of Cali- former United Nations weapons inspector fornia. Their opinion is what matters on David Kay; President Hu Jintao of China; a recall. It’s their decision to decide wheth- Chairman Kim Chong-il of North Korea; er or not there will be a recall, which they Prime Minister Mahmoud Abbas (Abu decided. Now they get to decide who the Mazen), Minister of State for Security Affairs Governor is going to be. And that’s really my only comment I’ve got. Mohammed Dahlan, and Finance Minister Listen, thank you all very much for giv- Salam Fayyad of the Palestinian Authority; ing me a chance to come and answer some Prime Minister Ariel Sharon of Israel; Presi- of your questions. For those of you who dent Charles Taylor of Liberia; Prime Min- are traveling to Crawford, gosh, did you ister Silvio Berlusconi of Italy; and President luck out. And we look forward to seeing Vladimir Putin of Russia. you there. [Laughter] Thank you.

Remarks on the 38th Anniversary of Medicare July 30, 2003

Thank you all for coming. Welcome to mony in Independence, Missouri, so that the people’s house. We’re thrilled you’re former President Harry Truman could be here. Tommy is right; 38 years ago, Lyndon there, because Truman had set out the vi- Johnson signed the Medicare Act. What I sion of Medicare many years before that. found interesting was that he had the cere- A few minutes after 3 o’clock, Medicare

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