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NOTE: The interview began at 10:55 a.m. in the But if you guys do get on, you’ll find it to Roosevelt Room at the White House. The tran- be a comfortable plane. [Laughter] But I’m script was released by the Office of the Press Sec- proud that and retary on July 15. In his remarks, the President and Bob Riley and Bob Aderholt and Spen- referred to President Aleksander Kwasniewski of Poland, and his wife, Jolanta Kwasniewska; and cer Bachus are with us, too. Thank you all President Vladimir Putin of Russia. The President for coming. These are fine Members, and also referred to MAP, the Military Assistance Pro- they’re good people to work with, and they gram; AGOA, the African Growth and Oppor- put their country first. And I appreciate that tunity Act; and the Quartet, a Middle East policy a lot. planning group consisting of the United States, I know the Lieutenant Governor is here, the United Nations, Russia, and the European and the attorney general is here, and the Union. A tape was not available for verification mayor is here, mayor of Birmingham. I want of the content of this interview. to thank you three for coming as well. I ap- preciate your hospitality. Remarks at the University of I personally want to thank the good folks -Birmingham in here at UAB, -Bir- Birmingham, Alabama mingham, for allowing us to use, first of all, this fantastic facility. I had the honor of July 15, 2002 speaking with the president earlier today. I am proud of the accomplishments of this fine Thank you all very much. Thank you for university. It is a university that is on the coming. leading edge of important medical research. So I come up here with Thornton, and he It’s a university that has fostered and kindled says, ‘‘I think driving a bulldozer is a little easier than introducing you.’’ [Laughter] I the growth of small businesses here in Bir- said, ‘‘Well, you must be a pretty good bull- mingham. President Marc was rightly proud dozer driver then, Thornton, because you did of the place, and I know you are as well. a great job of introducing me.’’ Thank you And I want to thank you for your hospitality very much. I appreciate your being here. from the bottom of my heart. Thornton is the president of Stanley Con- And finally, one of the things I like to do struction Company. He’s one of several busi- when I come to a community is meet and ness leaders from Alabama I met with today herald those soldiers in the armies of com- to talk about what we can do together to help passion which exist all across our country. this economy recover. And today when I got off of Air Force One, I want to first tell you how proud I am there was a man named Roman Gary there. to be back in Alabama. It’s a great State. It’s Roman, are you here? Where are you, produced some wonderful Americans, start- Roman? There he is. Roman Gary—the rea- ing with my National Security Adviser, born son I bring up Roman is he is a—he’s a man and raised, Condoleezza Rice, right here in who understands that our children need love; Birmingham. And I’d be in trouble with the in order for our society to be a vibrant and Secretary of State—at least his wife—if I whole place, there are some who need to be didn’t remind you all that Alma Powell was having an adult in their life, somebody who— raised—born and raised right here in Bir- there’s a child somewhere in Birmingham mingham, Alabama, too. and all across the country and needs some- It’s an honor to travel today with members body to put their arm around them and to of the congressional delegation, two fine say, ‘‘I love you. You’re a part of America.’’ United States Senators, Senator Shelby and And so Roman understands that. It didn’t Senator Sessions. Thank you all for coming. require a Government law. It didn’t require We’ve attracted quite a few members of the a giant act of Congress or a Presidential edict. House delegation here. I’m not suggesting It required somebody like Roman loving a that they’re here to be close to the President neighbor like he would like to be loved him- just in case they can get aboard Air Force self. And therefore, he has poured his heart One when we’re heading back. [Laughter] and soul into Big Brothers and Big Sisters

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here in Birmingham, Alabama. And I thank are up. The manufacturing sector was down, you. but slowly but surely it is recovering from Our society can and will change, one heart, a slowdown that began for all of our economy one soul, one conscience at a time. And while in early of March 2000. Last month, retail each of us can’t do everything, each of us sales were up by one percent. Consumers are can do something to advance a decent and buying. In other words, in spite of the fact whole society. And so Roman, on behalf of that we’ve been in a slump for a while and the thousands of your fellow Americans who in spite of the fact that the terrorists attacked heard the call to help the communities in us and affected our economic outlook, Amer- which you live, people who have assumed re- ican business and workers are resilient and sponsibility for their lives here in America, resolved. And this economy is coming back. I want to thank you, and thank all of you That’s the fact. all for doing the same thing. But I understand this, that the American A secure America is an America that is a economy is constructed on confidence, con- compassionate America. A secure America is fidence to invest and build, confidence for also an America that is willing to hunt down our small-business owners to take risk, con- international killers one by one and bring fidence that the job base will expand, con- them to justice. And that’s what we’re going fidence to produce and hire. And so I want to do. It doesn’t matter how long it takes; to talk to you today about ways in which I this country will defend our freedoms. This intend to continue to work in Washington country will defend civilization itself. This to build confidence, to build on the founda- country will not let the acts of a few cold- tions, the strong foundations for economic blooded killers stand. vitality that exists, to build on the good statis- As well, in order for us to have the security tics we’re beginning to see. Of course, I like we all want, America must get rid of the to remind people that Washington is full of hangover that we now have as a result of the all kinds of numbers-crunchers. They talk binge, the economic binge we just went about this number here and that number through. We were in a land of—there was there. My attitude is, so long as somebody endless profit; there was no tomorrow when who wants to work can’t find work, we’ve got it came to, you know, the stock markets and a problem we need to deal with. corporate profits. And now we’re suffering And so I want to talk about long-term eco- a hangover for that binge. nomic growth and what we can do about it. But I want you to know the economy, our I want to make sure it is clear to those in economy is fundamentally strong. This econ- Congress that I will resist runaway congres- omy is—has got foundations for growth so sional spending which could serve as a drag the people who want to find work can find on economic vitality. work, so that the entrepreneurs in America And finally, I expect and you expect and can flourish. our country expects the highest ethical stand- Listen to the facts. Inflation is low. An im- ards in corporate America. First, we’re pro- portant part of an economic recovery is to moting long-term growth, the kind of growth make sure that inflation is under control; it that understands that the main job creators is. We’ve got sound monetary policy. Interest in America are small-business entrepreneurs. rates are reasonable. If people want to bor- And if you’re interested in recovery—if row money, you don’t have to pay a lot of you’re interested in recovery of the job base, interest. Productivity is increasing. We lead it is important for us to remember who cre- the world in productivity gains as a result of ates most of the jobs, and those are the small- the entrepreneurial spirit and the fine work- business owners in America. And that’s why ers we have in America. That’s an important I fought so hard for a tax cut for the Amer- indication of how sound our economy is. ican people. I believe, when you cut taxes, The first quarter growth of 2002 was a lit- it spurs economic growth, particularly in the tle over 6 percent. That’s a pretty good sign small-business sector. Most entrepreneurs that the foundations for growth are there. Or- are not incorporated. Most small businesses ders for durable goods for the past 6 months are what they call sole proprietors or limited

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partnerships. And so they pay tax like an indi- up more markets and more people can find vidual pays tax. And so when we reduce the work right here in America. taxes on the individuals, we reduce the taxes There’s an issue that the Congress needs on small-business growth. It was important to get to my desk quickly that will show good to do that. judgment and way to help our economy re- I remember the outcry, of course, because cover, and that is to pass a terrorism insur- if you want more money in Washington, you ance bill. It basically says that the Govern- don’t want to let the people keep their own ment will help cover certain losses for insur- money. So they started quoting these text- ance companies for a terrorist act. It is im- books that said, when times are slow, raise portant that we pass this so that major con- taxes; when times are slow, don’t let the peo- struction projects which cannot get insurance ple keep their money. The textbook I read can go forward. And when those construction says that if we let you have your own money, projects go forward all across the country, you’ll decide to spend it on a good and serv- it means somebody is going to be able to ice. And if you decide to spend it on the find work. good and service, somebody will produce the It’s important for us to be realistic about good and service. And when somebody pro- how to provide help so that there is insurance duces the good and service, it means some- coverage for projects. We can do so that cre- body is going to find work. ates jobs—not jobs for trial lawyers. We must In the tax relief plan, we reduced the mar- not have legislation—this legislation must riage penalty. We reduced the alternative keep in mind the workers of America and minimum tax which affects many small-busi- not open up our Government and/or employ- ness owners. And we did something else ers to unnecessary and frivolous and junk that’s important—it’s important for all small- lawsuits. business owners—and that is, we eliminated And I appreciate—I appreciate the re- the death tax. form-minded folks here in the State of Ala- I say ‘‘we eliminated the death tax’’; by a bama who understand that junk and frivolous quirk of the Senate rules, the death tax, how- lawsuits affect small-business owners like ever, isn’t eliminated after 10 years. That’s Thornton. It makes it hard for him to expand a hard one to explain. We eliminated it, but his business, to hire people. Listen, you didn’t eliminate it. So for the good of long- ought to have your day in court, no question term planning, for the good of the entrepre- about it. But we’ve got to make sure that neurial spirit, for the good of allowing people these junk and frivolous lawsuits stop run- to pass their business, farm, or ranch to who- ning up the cost of doing business and make ever they want to pass it to, we need to make it harder for people to employ people here the tax cuts that we put in place permanent. in America. I want to expand trade. I believe that will And finally, good economic policy starts help create jobs. Confident people are willing with good education policy. And I want to to expand trade. Nonconfident people, you share with you right quickly what has hap- know, people who aren’t confident about pened in Washington in terms of public edu- America and our ability to compete, want to cation and why I think it’s going to make build barriers around the country. And I’m a tremendous difference in the lives of citi- confident. Listen, I know our farmers—Ala- zens all across Alabama and all across the bama farmers, Texas farmers, farmers all country. across the country—are the best in the world. An educated work force is necessary if we And if you’re the best at something, we ought intend to compete. A lady representing to be opening up markets for them so they Honda told us today that—I think she said can sell their products around the world. there’s going to be additional 2,000 jobs here We’re good at a lot things in America, and in Alabama. This is in the face of what ap- we ought to be selling our products all pears to be pretty rough economic times for around the world. It’s time for Congress to some. But 2,000 new jobs is fantastic. It also quit talking and start acting and giving me means that you make sure you’ve got to have trade promotion authority so we can open 2,000 educated workers. And it starts with

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public schools. It starts with making sure ‘‘It’s racist to test.’’ It’s racist not to test— every child in America learns the basics, it’s racist not to test. If you expect all children learns to read and write and add and sub- to learn, we want to know, and the testing tract, which means you start with setting the ought to be viewed as a way to determine highest of high standards. what works and what doesn’t work. It ought I can’t tell you how important that is, to to be viewed as a way to say, ‘‘If there is set high standards and to have high stand- a problem, let’s address it now, early, before ards, because if you don’t, if you have low it’s too late.’’ We want to know. You can’t standards, it means certain kids aren’t going solve a problem unless you’re able to diag- to learn. If you lower the bar, guess what’s nose the problem. going to happen? You’ll have low results. And the accountability is the diagnostic People who adhere to low standards in public tool available for not the bureaucrats in education essentially admit there are certain Washington, DC—the local folks, because kids who can’t learn. I don’t accept it. we believe in local control of schools. I firmly As a matter of fact, I know what happens believe that the education plan that we in systems that say there are certain children who can’t learn. It basically means, if we want passed is going to make a significant dif- to be honest about it, inner-city African ference in making sure we achieve the na- American kids are just shuffled through the tional goal of not one child—no child— school system as if they don’t matter. Chil- should be left behind in America. dren whose parents don’t speak English as In order to make sure we have economic a first language, they’re deemed to be hard growth and vitality, in order to make sure to educate, so it’s just easy to move them we build on the foundation that is laid for through. For the good of our country, for economic growth, I will enforce fiscal dis- the good of the job base, for the good of cipline in Washington, DC. I think it is so the American Dream, we must end that kind important that we make sure that we fund of education policy in America. our priorities, fighting the war and the home- And that means high standards for every land defense, educating our children, and child. That means a mindset that says, every that Congress hold the line on additional child can learn, and we expect every child spending. Because if there is perceived defi- to learn. It means that when you receive Fed- cits, the markets react, and if there’s per- eral money—and by the way, we have filled ceived deficit, sure enough what’s going to the coffers last time around with Federal happen is people are going to start calling money for Title I programs. There’s a lot of for tax increases. And you don’t want to run money available for the States now as a result a person’s taxes up in the middle of an eco- of the funding last time. nomic recovery. It says, though, in return, we expect you Secondly, my philosophy is, is that I’d rath- to show us whether or not the children are er you spend your money. We want to fund learning to read and write and add and sub- our priorities, but when it all comes down tract. We expect there to be strong account- to it, after the priorities are funded, you’re ability. In return for taxpayers’ money, we better at spending your money than I am. the taxpayers want to know whether or not high standards are being met. We expect the It’s your choice to spend your money on your children to be able to read and write and families. add and subtract; we want the children to Congress must control its appetites for ad- be able to read and write and add and sub- ditional spending. There is—I submitted tract; and we expect you to deliver on the what they call a supplemental. It’s an urgent promise that children should be able to read request for funding the war and homeland and write and add and subtract. security. I submitted that over 4 months ago, I’ve heard the argument. Listen, I was the and yet, I haven’t ever seen anything from Governor of a great State that fought hard Congress yet. The Senate needs to act and for accountability. I heard every argument in the House needs to act to get this to my the book against accountability, you know, bill—to my desk, so we can fund programs.

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And part of the problem is, is that the Sen- provision is to make sure that corporate ex- ate wants to add billions more than we re- ecutives cannot transfer company funds to quested to the supplemental. They view it their personal accounts while their company as a funding opportunity, as opposed to a— is under investigation. I am for increasing the as a focused approach on funding the war budget of the regulatory authorities, to make against terror and making sure our home- sure that there is enough manpower and land—the agencies are funded. Now, they’re technology available to run down the facts going to say, ‘‘Well, you know, we’re going and to hold people accountable. We’re mak- to maybe play this down to the very last ing sure that executives who commit im- minute.’’ No. Now is not the time for games proper acts will forfeit phony profits. And when it comes to the appropriations process. we’re saying that if you have defrauded inves- We expect—[applause]. tors, you can never serve as a CEO or on There is no budget in the Senate. The the board of directors of a company again. House passed a budget; there’s no budget I support the creation of a strong, inde- in the Senate, which means, I guess, that I’m pendent board that will provide effective going to have to remind the spenders in oversight of the accounting profession. In Washington that I have submitted a budget. other words, I’m willing to work with Con- And I hope they watch it very carefully as gress to make sure that we’ve got the nec- they determine the size of the appropriation essary law in place that will hold people ac- bills. The defense of the country is a priority. countable without stifling the entrepre- Homeland defense is a priority. Other parts neurial spirit of America, without stifling in- of the budget have grown, but we expect novation in America. them to be realistic about how they spend. The House has passed a bill; the Senate After all, the budget plan I proposed says is going to pass a bill tonight, I understand. if Congress is realistic and reasonable and The two need to get together as quickly as funds priorities, that we can balance the possible and get me a bill that I can sign budget in the year 2005. before the August recess. But the truth of Now, that requires discipline, and I intend the matter is, we can’t pass a law that says to help Congress understand discipline is needed in Washington, DC. One of the best you’ll love your neighbor like yourself, and ways to make sure that our economy grows we can’t pass a law that says you will be hon- is for there to be a joint effort in being fiscally est. We can pass laws that say, if you’re not responsible with your money. And that’s ex- honest, we’ll get you. Corporate America actly what’s going to happen in Washington, must make the decision, each as an indi- DC. vidual, that you’re going to uphold high Another way to make sure that we foster standards, that you have a responsibility to growth and restore confidence is to hold peo- our society, that you’ve got the responsibility ple accountable for misdeeds in the public to your shareholder and your employee to sector. It is important for corporate America treat both with the respect they deserve. to hear this call: You are—in order to be a Now, the good news for our country is that responsible American, you must behave re- by far, the vast majority—by far—of people sponsibly. We expect there to be full disclo- who have taken on the responsibility to run sure of assets and liabilities. We expect there a corporation are good, honorable people. A to be fair accounting practices. We expect few have damaged the reputation of the you to treat your investors and employees many, and that’s why we’ve got the Corporate with the respect they deserve. And if not, Fraud Task Force. But I call upon all of us we intend to do something about it at the in America to understand the awesome re- Federal level. We intend to hold people ac- sponsibilities we have in this country—the countable. responsibilities if you run a company, to be That’s why I set up what they call a Cor- forthright and open, and the responsibilities porate Fraud Task Force in the Justice De- if you live in America, to help work in the partment. We also have proposed doubling community in which you live to make it a the jail time for corporate fraud. A proposed better place.

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You know, I like to remind our fellow citi- NOTE: The President spoke at 10:20 a.m. at the zens that out of the evil done to America Alys Stephens Center. In his remarks, he referred is going to come some incredible good. I be- to Thornton Stanley, Sr., president, Stanley Con- lieve that. Oh, some are saying, ‘‘Maybe he’s struction Co.; Alma Powell, wife of Secretary of State Colin Powell; Lt. Gov. of Ala- too optimistic.’’ That’s what I believe about bama; Bill Pryor, Alabama State attorney general; America. I believe our soul is strong; our con- Mayor Bernard Kincaid of Birmingham; and Mal- stitution is firm. I believe this country’s great colm ‘‘Mack’’ Portera, interim president, Univer- strength is the fact that we’re such a decent sity of Alabama-Birmingham. The President also and honorable group of people, that out of referred to Title I of the Improving America’s the evil done to America will come peace. Schools Act of 1994 (Public Law No. 103–382), If we’re strong and steady and resolved, which amended Title I of the Elementary and we can achieve peace. Out of the evil done Secondary Education Act of 1965 (Public Law No. 89–10). to America will come an economic vitality that will be vibrant, because we’re an entre- preneurial people, risk-takers and dreamers Remarks at a Luncheon for and doers. And out of the evil done to Amer- Gubernatorial Candidate Bob Riley ica will come a better America, because in in Birmingham our prosperity and wealth, we’ve got to re- member there are pockets of despair and July 15, 2002 hopelessness and addiction. There are some Thank you all very much. Please be seated. in our society who wonder whether or not It’s a long speech. [Laughter] Thanks so America is really—the American Dream is much for coming. meant for them. There are some young I don’t know whether you know this or not, Americans who have no hope. And I refuse but in 1972, I helped organize Red Blount’s to concede that, however. I believe that out campaign for the United States Senate right of the evil done to America can come some here in the State of Alabama. Because of me incredible good, particularly as our fellow and Jimmy Allison, he managed to get 32 Americans respond to the call to love a neigh- percent of the vote. [Laughter] But I learned bor like you’d like to be loved yourself. then and there how great the people are of I’m a strong proponent of the Faith-Based the State of Alabama. I’ve got fond affection Initiative, because I understand that Govern- of those times. I count many of you as my ment can hand out money, but it cannot put friends, and I want to thank you for coming hope in people’s hearts or a sense of purpose today to help the next Governor of the State in people’s lives. of Alabama, Bob Riley. No, I believe the enemy hit us, but they There is no doubt in my mind he is going didn’t know who they were hitting. They to win, and I want to thank you all for help- must have thought we’d file a lawsuit or two. ing. He’s going to win because he’s got a fan- [Laughter] But they didn’t realize that when tastic grassroots organization. Many of the it comes to the defense of our freedoms, grassroots activists are here today. I want to we’re strong. And when it comes to the love thank you for what you’re fixing to do, which of our fellow human beings, we’re compas- is to start dialing phones and putting up signs sionate. and knocking on doors and going to coffee I want to tell you, I’m honored that you shops and going to your churches and syna- came out today. My vision for the country gogues to remind people that with Bob Riley is one that’s positive and hopeful. I believe you’ve got a good, honest politician who’s there is a better day right around the corner going to bring integrity to Montgomery, Ala- for all Americans. And I believe that because bama, and he’s going to reform the State on I know that I’m the President of the greatest behalf of all the people of this great State. country on the face of the Earth. He’s also going to win because he married Thanks for coming today. May God bless well. [Laughter] And I appreciate Patsy Riley you, and God bless America. Thank you all. and the Riley family for standing by Bob as

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