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www.pfizer.com THE RIpON FORUM

Contents VO LUME 36 ' NUM BER II • SUMMER 200J

Moving Forward ...... 4 A R ipon Editorial

PresUknt Hon. Safeguarding America's Meat ...... 6 Dr. Catherine E. Woteki, Ph.D. , R.D. Exccutive Dirtttor Lori H a~u A Ripon Interview with Jack Quinn

Cornrr.uUeation DiRaor. A New Partnership ...... 9 Editor Ashleigh R oberts Ashldgh Roberu A Ripon Interview with]. DnignlArt Dil'Kl;on Christina F. Valis Earning the Majority ...... 12 Ashleigh Roberts

Co.~ r Photognph MarioTlima 2001 Rough Rider Dinner ...... 16

Producrion Restoring the Majority: CCI ... ww.c~i·$C'rvices.C()m The GOP Challenge in California ...... 18 Philippe M elin

A Ripon Interview with E. Clay Shaw,Jr.

" 2001 A Different Approach ...... 22 by The Ripon Society A shleigh R oberts All Rights Rescn-ed

One Year Subscription: New Democrats Move to the Middle ...... 25 120.00 individuals IIO.OOslUdents AI From

I'criodic:au post ....ge paid Medicare Reform: u Wuhinglon. D.C.:lOd addirional mailing off,ces. Still Time To Get it Right ...... 28

Postmasler, send D eborah Steelman address changes 10; The Ripon Forum 'f'k RiJlt'" Forum (ISN 0035-5526) is published quarterly byThe Ripon Society. 501 Capilol Court, NE The Ripon Society isa n:sean:h and poJiqorganization. It is hcadquan en:d in \VashinglOn. D.C .• with National Associare members Suile 300 throughout the United Slates. Ripon is iupportcd by chapler dues, individual contributions, and n:\'cnucs (rom ils publications.

Washington. D.C 20002 Comments, opinion editorials .... ud Ictw "s 10 the m .... gazinc should be addres~d 10: The Ripon Forum, 501 C .... pitol Court, NE Suite 300. \Vashington. D.C. 20002 or may be tr:lIlsmiltcd clc~ tronicaUy to: [email protected]

Ripon Forum • Sommer 200 I ] Moving Forward

Following Senator Jeffords' defection, leadership, unity and loyalty will be the keys to GOP success

he cover of our spring iss ue features a smiling Trent Lon So, while eating edi[Orial crow, RF wonders what hap­ with his arms outstretched. The headline reads, MA pened to the adults. Working Majority, The 50-50 Split." In the same iss ue, Today, our hobbled Republican elephant remains deter­ published only weeks ago, the editorial noted a new sense mined, but the Democrats control the Senate and do so through of maturity and unity within the Republican Party. It said: defection. Hoisting his banner of principle, Vermont Senator Jim "The Republican Parry is growing up. The backbench Jeffords shocked \·Yashington when he ..;reated a political fitult line bomb throwers are gone, replaced by thin but determined that tumbled his former colleagues intu a minority crevasse. Republi can majorities. The l07,h Congress exhibits a quiet He said, ~ In order to best represent my state of Yermo nt, my maturity, marked with new confidence and a long over­ own conscience and principles I have stood for my whole life, I due sense of unity. Members are focusing mOfC on in­ will leave the Republican Party and become an Indepcndent.~ dusion and less on the divisions that have derailed Re­ H owever, SenatOr Jeffords did not stop at becoming an publican efforts in the past. ~ Independent. H e joined the Democrat Caucus. thus toppling ~ Thc newfound Republican unity is a sign to the the former Republican majority and deposing Republican country and the world that the Grand Old Parry is ready Chairmen. In effect, he became a Democrat. to govern. Republicans have stnlggled long enough with Jeffords defection abruptly put an end to Republican con­ their message and their differences and it appears as t rol of the Congress. It had been the fir st time RepUbli cans though the internal shakedown is over.~ controlled t he H ouse, Senate and White H ouse since Ike in uThe message is simple. When Republicans work the 1950s. It lasted just five months! together, they can drive public policy. The diversity and The outlook for President Bush's agenda is dramatically independence of Republicans makes unity a challenge, changed. but the 107'" Congress has proved it is possible. Adult The Senate leadership and 20 committees. along with leadership in both the executive and legislative branches chairmen, subcommittee chairmen, staff, space and the agenda

will do much [0 res[Ore the public's faith in govcrnment.~ of the Senate, all arc changed.

Ripon FONm • Summer 200 I The Senate Republican leadership has taken it on the chin changed his status to Independent, but remained in the Re­ for not being inclusive and accommodating or even picking publican Conference until the next election. He could have up on the possibility of the storm clouds before the lightning. indulged in an act of political heroism by resigning and run­ The White House has been roundly cririciud for being out ning as an Independenl. of louch, arrogant and striking a defensive and aggressive tone Republican candidate Jeffords asked his colleagues to en­ as opposed to being conciliatory to those not marching to dorse and campaign for him in Vermont. And surely Republican Bush's drum. candidate Jeffords did not miss the obviolls, that President Bush

As Nebraska Senator warned, M What is would try to implement what candidate Bush promised. debilitating for us is to have a leading moderate say what I In a Washington Pos t column, veteran political reporter, have witnessed is a dosed Parry that has no wlcrnncc for any David Broder opined, "A loner in temperament, Jeffords took other point of view. ~ no one with him." For the record, RF has espoused the "big tent" theory of Wrong. Jim Jeffords took all of his old Republican col­ Republicanism since inception. We should always be debating leagues out and put his new Democrat col leagues in: On the outs are many good "Finally, party switchers are not new to politics and Ripon Re publicans: T ed Stevens, Dick Lugar, J ohn doubtlessly there will be more public officials who will Warner, Pete Domenici, Arlen do so out of principle and conscience, not to mention Specter, , Orrin H atch, Olympia Sno\\le, self-preservation. RF will always stand in admiration Chuck H agel, and Mitch M cConnell not to for those who put principle first. However, Senator mention a host of other com­ Jeffords' decision was one small step for principle and mittee and sub -committee chairmen. one giant step for a Democrat majority." On t he ins arc Robert Byrd, Tom Harkin, Carl Levin, Paul Sarbanes, Kent Conrad, how ro broaden our Party, in order to be a majority party. The Fritz Hollings, M ax Baucus, Pat Leahy, Chris Dodd, Ted debate must allow and accept dissent, consider new ideas, build Kennedy, and of course, Jim Jeffords. coalitions, respect each other, and tolerate each other's views. These are dramatic changes. As a result, the need for heal­ But, it is not enough to allow differing views. VYe must ing and unity is stronger than ever. Let us now fully real ize respect those who hold them, even as we ask respect for our­ the challenges that accompany peace in the big tent. RF urges selves. Vvc must also consider their views, even as we expect our Republica n le adership and the White House to put the consideration of our own. words respect and tolerance into deeds. Obviously, Jim Jeffords did not feci the Republican lead­ inally, party s\\litchers are not new to politics and doubtlessly ership afforded him toleration or respect. I-Ie did not feel com­ there will be more public officials who will do so out of fortabl e in the big tent. He said, ~ ] was not elected to thi s Fprinciple and conscience, not to mention self-preservation. office to be something I am not. .. l have changed my party RF will always stand in admiration for those who put principle label but I have not changed my beliefs ." first. However, Senator Jeffords' decision was one small step for In a practical sense, Senaror Jeffords did much more than principle and one briant step for a Democrat majority. that. His act of conscience involved far more than standing That being said, the Republican Party may have finally seen up for hi s beliefs. It caused a national pautical realignment. When the last of the backbench bomb throwers. While Ripon is disap­ he tllrned off the lights in his Republican office to light a candle pointed by the recent turn of events, it is our hope that the COP of conscience, he turned off the majori ty lights in the offices of all can now begin work on an agenda that encompasses the entire of his former colleagues. He not only changed his party label, he Party rather than focu sing on concessions that gave the Democrats control of the Senate. only please its fac tio ns. Following precedents of other switchers, the Senator from The message is still the same, if any­ Ve rmont could have made odler choices. He could have onc is willing to li stcn.

Ripon Forum • 5ommef" 200 I 5 Safeguarding America~s Meat

Strict regulations protect the nation's beefsupply against a new and dangerous disease

Ily Catherine E. " \ltcki, ')h.Il., 11.1).

ncreasmg rcpo rts of Mad Cow new di sease, and public health experts teria, a vi rus or a parasite, but rather by a D isease arc making many Americans are carefully monitori ng fo r new cases mis-shaped protein. If the currently ac­ question the health and safety of the to determ ine how many people this new cepted hypothesis of how BSE arose nation's bee f supply. M ad cow disease wi ll ultimately infect. pro\'es to be correct, it 's a disease that has disease, technically known as Bovine Not knowing for certain how the in­ jumped from one species {s heep} to an­ Spongiform Encephalopathy or BSE, is a fectious agent is transmitted, he:llth au­ other species {cattle} to a third species (hu­ vexing problem to health and agriculnlrc thorities are moving to prevent blood do­ mans). in several European countries. nations from people who lived in the For a human disease to originate in In the 19805, SSE infected catde United Kingdom for more than a short animals is nOt unusual. That happens with herds in Britain and then spread to other period of Time and requiring the use of the annual flu epidemics, and animals may European coumries. As a result, leading disposable surgical instruments for some also have been the source of the virus that government authorities have slaughtered operations. causes H I V/ A IDS. Some experts predict large numbers of carrIe and incinerated the H eavy media coverage of the HSE that 70 percent of the new diseases that remains to prevent its introduction into the epidemic in British antic and the related will affect people in the fururc will arise food sup ply. vCJD epidemic in people has led many from organisms that now infect ani mals. W hi le it has yet to appear in the Americans to ask themselves if the same BSE causes progressive and fatal at­ , new developments arc could happen here, what precautionary tacks on the brain and nervous system. But alarming. Eating meat from SS E- in­ steps are being taken and if more shoul d the disease is difficult to diagnose because fected cattle is lin ked to a new, invari­ be done. there is no existing test that can be used in :ably fatal brain di sease of young men live animals. Much of what the scientific and women called new vari ant A NEW DISEASE community knows about the fa mily of Creutzfeldt -Jakob Diseas e {vCJ D}. Scientists find BSE fascinating. Un­ BSE-like diseases stems from the work of About 100 people have died from the like most diseases, it's caused not by bac- D r. Stanley Prusiner. For discovering the

6 cause of this new disease and the elucida­ number continues to increase as new cases Department of Health and Human Ser­ tion onts mode of action, Dr. Prusiner was are reported in other Europe:m coumries. vices (HHS) acted to protect human and awarded the Nobel Prize in 1997. To contain the spread of the disease, gov­ animal health. In 1989 when the magni­ BSE belongs to a family of diseases ernment authorities require that the entire tude and se ri ousness of the British epi­ that arc called Transmissi ble Spongiform herd of cattle be slaughtered when a new demic became apparent, USDA prohib­ BSE case is identi- ited the importation of cattle and other "The disease takes years to develop, fied an d the car­ ruminants, and most ruminant products casses be inciner­ from countries affected with BSE. both in cattle and in people, and ated so no poten­ Through its Animal and Plant tially infected meat Heahh Inspectio n Se rvice (APHIS), there is no reliable blood test to can make its way US DA tracked down 496 cattle from determine infection." into the human the UK and Ireland that were imported food supply or be between 1981 and 1989 when the ban rendered into animal went into place. Only four out of the Encephalopathies or T SE's. The TSE's feed and continue the cycle onnfection. original group arc still alive and they arc caused by priollS, which are narurally The first ten causes of human vCJD arc under quarantine. None of the origi­ occurring protei ns in the cells of warm­ were described in 1996 and linked to the nal group showed evidence of BSE. blooded animals. Unlike bacteria, vi ruses, consumption ofBSE-infectcd meat. Since In 1997 APHIS extended the ban and parasites, TSE-causing prions contain then, more than 85 people ha\"C been diag­ on importing live animals and ruminant no DNA or RNA. Although the priom nosed in the UK, Ireland and Fr.1I1ce. The products to all of Europe until they replicate, they do nOt do so in the same disease takes years to develop, both in cattle could complete a thorough risk assess­ ways as pathogens. T he pathogens of vi­ and in people, and there is no reliable blood ment. US DA and the livestock indus­ ruses duplicate their generic material and test to detennine infection. As a result, pub­ try have developed an active BSE edu­ wrap it in a protei n coat while the patho­ li c hcalth and agriculrure officials have put cation program for veterinar ian s, gens of bacteria and parasites are wrapped into place strict measures to protect their slaughterhouse and market owners, and within a new cell. publics and their agricultur.tl economies. others associated with the livestock in­ ut in the case oITSE-causing pri ons, dustry. US DA inspectors in slaughter once the mi s-shaped protein is PROTECTIVE STEPS plants examine incoming animals for Spresent in the body, it acts as a In the United States, both the De­ neurological signs and symptoms of template for other prion proteins to refold partment of Agriculnlre (US DA) and the BSE. Any suspicious animals are taken to the abnormal shape. Once that occurs, the protein can't change back to its original shape to perform its functions within the cell, and as more abnormal prion proteins accumulate, nonnal cell functions begin to break down. In the brain, holes begi n to form long before changes in behavior become appar­ em. The name "spongiform encephalo­ pathies" refers to the way infected animal brain ti ss ue looks - like a sponge. Prions arc almost impossible to get rid of because they arc resistatu to the sterilization tech­ niques usually used to kill infectious or­ ganisms - heat, acid and radiation. The fi rs t BSE case was diagnosed in Great Britain in 1986. So far, about 190,000 cattle have been affected. T his

Ripon Forum • Summer 200 I 7 emerge, so il's extremely important that the ruminant feeding ban be scrupulously followed to prevent propagating the disease if it should occur. USDA needs to continue its periodic retraining of veterinarians working in slaughter plants so they will be able to detect the abnormal behavior associated with BSE-infected cattle. At the mo­ ment, the prevalence of prion disease in cattle is not known when cattle are slaughtered for human consumption. But when a reliable test becomes avai l­ able, USDA should require its usc in routine market surveillance for infec­ tious di seases and harmful chemicals. away for autopsy and their carcasses are journal Sti(flu, Bernadine Healy, President In his Nobcl laurcate address, Stanley destroyed. of the American Red Cross, argues that Prusi ner comments on the 'Ot,",,,,, p"h of l To protect human health, the Depart­ more needs to be more on the human the scientific investigation of the rnmilial ment of Health and Human Services put health side. Without a simple and re li­ fonn of Creunfeld-Jakob disease. He also con trols on ruminant-derived products able blood test for screening both people discusses the enormous resistance from the that go into drugs. Blood centers arc re­ and cattle, the safety sponding to FDA's requirement to exclude of our blood hanks, donors who lived in places where fi SE and tissues for transplan­ "The protective measures have vCJ D have been identified. FDA recently tation, or our food sealed off our borders to importing surveyed animal feed manufacturers to supply will not be determine the level of compliance to its known, she says. live animals from areas of the ban on feeding ruminant products to ru­ Dr. Healy wants minants. The Centers for Disease Con­ to see more funding world with BSE." trol has instituted an active human sur­ dedicated to research veillance program for vCJ D. than the current SI4 million in prion re­ scientific community to the idea that a pro­ To date, these collective actions have search supported by the f ederal govern­ tein is indeed an infectious agent in CJD proven to be effective. No cases of BSE ment last year. She argues that the US. and several other diseases of animals and or vCJD have been detected in the US. should also expand its surveillance ofvCJD people that were originally attributed to and BSE and establish tissue banks like ~s lowviruscs. ~ Understanding how the prion HOW SAFE ARE WE ! the UK. and Swit"LC rland are doing to Test protein folds and refolds into a shape ca­ The protective measures have sealed fo r the presence of prions in the popula­ pable of causing disease will help scientists off our borders to importing live animals tion. to understand other degenerative diseases. from areas of the world wi th BSE.TIley n the agriculture side, BSE­ Although the sciemific fascination have largely ceased the feeding of meat, prevcntion steps mUSt be followed with these exotic diseases will continue, blood and bone meal to ruminants, which Oand thc import ban on both animals pubic health, safety and education mea­ is the means of propagaring a prion-caused and meat products should stay in place. sures must continue to safeguard the epidemic. The measures have stopped the USDA inspectors need to remain vigilant nation's beef supply and prevent fur- r."I import of beef from BSE countries and against the potential for illegal tr.illic in ther spreading of this new disease. .... taken steps to prevent human-to-human live animals and meat across the northern transmission through blood and blood and southern borders and through U.S. Dr. Cathlrinl E. Woflki, Ph.D. , R. D, is fhl products. But is it enough? ports. Scientists don't ru le out the Former Undu Suutary for Food Safity af In a recent editorial in the weekly possibility that S SE could spontaneously fM U. S. Drpa rlmmt ofAgricullllr l.

8 ANew Partnership

US, RepresentativeJack Quinn (R-NY) Builds a Labor-GOP Dialogue lIy Ashl cigh Ilobel'IS, 1'0,,"", Edi lor

ongressman jack Qumn is an example of the "big ten'" Ripon embraces, A Pro-Iahor Republican, Congressman Quinn is not Jour typical M ember

oj CongreH, bul he is (1 Parly loyalist who staunchly defends his (omli/uents in New York. Wh ere many people could let diffirences divide them, Congressman Quinn worksfor unity tlnd sees (o mpromise as progrelS. Often refirred to as a Reagan R epublican, he is amiable (lnd po/itically shrewd. He began his career in Ccmgrers with a stunning upset in 1992 and has (ontinued to defeat Democrat efforts /0 unseat him. Part of his fUCC(SS stems from his own, independent leadership ~ style and hIS ability fa reach alit 10 labor groups. [n the -" !-lou se, Quinn is also known for leading the fight to • In(reau !lllfllmum wage. On May 17, 2001, ~~------" ~ O:m~JSmanJa(J. Qllinn diJrossD Mw Yoill30th DiItrictwith RF Editor Ashkigh RWerts. Congressman Quinn talked with the R ipon Forum about some of the challenges in the 107'· Congress Im d hif strategy RF: In yo ur last election, you received 67 percent of the vote. for r/anding by the people of Buffalo and supporting Bush's How does that happen to a Republican in the mosr highly union­ legislative agenda. ized district in the country? RF: Congress man, you are a well-known Republican but yo u Congrtssman Quinn: My staff and I work hard. r ve been home don't represent a typical Republican district. Can you describe every weekend for eight years and we vote the district. It doesn't your constinlency? always make some in the Republican leadership happy, but we think it is what the people of BuffaJo want and we've been fo rtu­ Congressman Quinn: As a marter of fact, I represent a typical nate to be returned a few times. Dcmocratdistrict. It's threc to one Democrat. Buffalo, New York, is one of the most highly unionized cities in the United States. It RF.. Labor groups have traditionally been strong supporters of is 29 percent unionized. Even when union numbers arc going rhe Democratic Parry. Do think the Republican Party has a down nationally, Buffalo numbers remain at 29 . But it is a blue­ chance to change that? collar conservative district more than it is Democrat or Republi­ Congrtssman Quifm: Absolutely and posi tively. I am a perfect ex­ can. ample of that. The last time out, 1 was endorsed by the unions.

RiJXlfl Forum • Summer 200 I 9 They financially support me and are politically ac­ "When we talk about cutting taxes, rive. If the Republican Party is interested, I think there are all kinds of opportunities. balancing the budget and people keeping RF: What is the core aspect of the Republican more of their own money, working families message that appeals to them? understand that." COllgffssman Quin,,: I have said to the leadership that I have known here - Bob Michael, and now Denny Hastert. I have told them from the start, if they will let me deliver the Republican why I have to be there. It is very, very important to let them, message the way that I think it needs to be delivered, we will be either my leadership or the President, know when I am not with fine. them. T hey have to know early and they have to know why. For instance, I can go to the floor of the United Auto Work­ RF: Congressman, you have also tried to reach out to the Ad­ ers (UAW) hall. When we t:llk about cutting taxes, balancing the ministration and point out possible areas of conflict. Your meet­ budget and people keeping more of their own money, working ing with the new Labor Secretary was canceled wi th fi ve hours of f:1milies understand that. They agree with that. notice. I-I ow did yo u feci about that, and what kind of a message he difficulty, many times, is how the message is delivered docs that send not only 10 Republicans, but also to labor groups? here. I need the flexibility to deliver that message myself. It Tcannot be the gospel according to Newt Gingrich. It cannot Congressman Quin,,: I don't think it sends any message except be the gospel according to J.e. Watts. \Ve just cannot deliver that the Labor Secretary is very busy early in the administration. with the hard edges. The problem is not the message. It is I don't think they even have a full staff over there yet. So, we are deliverable and it works, ifit is correct. willing to give her and the administration Ihe benefit of the doubt. We are very anxious to re-schedule the meeting and we have called RF: Being pro-labor and the Co-Chair of the Republican Work­ and suggested some alternative dates. ing Group on Labor can put you at odds with the President. How do you support your President and your constituents? RF: On May 8, 200 I, you and several other Republican Mem­ bers met with II international union presidents including CongrtSsman Qui",,; Well, it has not put us at odds often. But it John Sweeney of Ihe AFL-CIO to discuss ways to work together has only been five months, so it is likely that it will. But I will tell in the 107'" Congress. Do ),o u think the talks were successful? you, I have to vote the people I rcpresem back in Buffalo. And I think the people in Buffalo arc reflective of the majority of the Congressman Qui,,,,: It was ve ry productive and positive. T he people in the country. If you notice how they run these cam­ meeting was an extension of meetings that have been going on paigns, Republicans nUl to the right in the primaries and the for about fou r or five years on a smaller scale. They arc usually Democrats run to the left. But they can't wait until it is over so they with two or three union presidems and maybe four or five Re­ can get back to the middle, which is where I think Buff.tlo stands. publicans. There is no doubt that the meeting last Tuesday was So, when I have to do that, if it is in opposition to our Presi­ the largest group ever assembled. I think there were 11 interna­ dent, so be it. But, he will know ahead of time where I am and tional presidents and 17 Republicans.

10 Ripon Forum • Sommer 200 r The meeting was not positive on an issue or vote basis. It The Democrats immediately raised the stakes to a dollar and also wasn't productive in the sense that one would say, some Re ­ a half once we got a new President and Administration. I essen­ publicans convinced the AFL-CIO to endorse them. But it was tially took the old bill and filed it so we would have a backstop. productive from this standpoint, we arc communicating. We arc We are gcning another one ready at a do!lar to file next weck. talking with each other. That is the key. The union movement The talk is that it will be the vehicle to get any tax cut done. understands the Republican point of view and Republican Mem­ And they arc talking capital gains now. I think that will drive a bers can understand what it is that the Union members need. lot of Democrats away, whcther it's a buck and a half or not. Capital gains will drive them away. It would have to be smaller. You have RF' President Bu sh issued an executive ord er in February to pay attention to the small businesses out there, [he restaurant effectively banning the use o f Project Labor Agreements owners and the convenience store owners. In my opinion, if they (PLA's), which are contracts between a building trades council try to do capital gains on a minimum wage bill, it will drop all of and constructio n project owners or managers. He has since the Democrats off the bill and some of the RepUblicans. amended that order, now allowing for them on fe d eral projects. H as he gone far enough? RF: As a fo rmer teacher, what do you thin k about the Education bill that is on the fl oor this week? Congressman Quilln: It is a good start. I believe he has to go further. For instance, the next logical step for him might be to say Co ngressman QlI inn: I think the Education Bill is pretty sound. that any project, any approved federal project, ought to allow think there are some odds and ends that we do not like. But J am PLA's. That would be the result of a letter we wrote and we had hearing from the people back home in the education business­ 33 House members sign it. teachers, administrators and others - that they like it. ' Ve have some spruci ng up to do when we are through with everything, RF: O bviously, there arc some differences between your views but basically it is pretry sound. I was talking to Congressman and the administra tion. , Vhat is your strateb'Y for handling these about it today and we think we arc okay. It is diffe rences without di\1ding the party? not perfect, but it works. [J Congressman Quinn: One of them is the communications effort we are making with the Secretary of Labor to allow as much of a ~heads up~ in advance. Our strategy is to let our own Administra­ VITAL STATS: tion know early where we have some heartburn and where we are JACK QUINN going to have problems. any of us, maybe 20 to 30 Republicans in the House of Representatives, already have voting records on labor issues. Birth Date: April 13, 1911 Project labor isn't new. M inimum wage isn't new. Davis­ M Party: Republican Bacon isn't new. There is the comp-time issue and paycheck protection. None of these arc new issues. We have all had votes Political Philosophy: Pro-labor, on this before. moderate Republican It will be very difficult for Republican Members to change Hot Issue: labor their votes justbccause there is someone ncw in thc White House. h will be for me. Congressman Frank Lobiondo from New Jer­ Home: Hamburg. New York sey is the other Member that works with me on many of these Family: Married 10 Mary Beth M

Congressman Quinn: My theory last year was to get a deal and we Represent1tives (1992.present); Hamburg Town Supervisor (1983· didn't. It's a balancing act. How much of a tax incentive can you 92); junior High School Engli.h Teach" and Basketball, football add and keep the raise at a dollar? You try to bringas many Demo­ and Track Coach, Orhard Park Central School (1973-19B3) crats with the increase and as many Republicans as you can on Web Address: www.house.gov/quinn the tax side. That fell through last year.

Ripon FOf\IITl • Summer 200 I II Earning the Majority

j/h the narrowlst of margins in fhe U.S. HouSt, (Ind the US. Smale n(JfJJ in Democrat hands,/~ po/i/iral allalyus would have prdieted Re/JUh/ieam in Congrm are ruaring paHage of Pmident BUlhs two top legislative priorities, lax reliefand ((Iu{a/ion, within six months. But aflu msiam ofpartisan gridlocR, the United Statu House ojRepmmlaliw! is makingprogms. On May 17, 2001 The Forum was able 10 Illill with the man behind the sunes, Speaker J Dennis Haster/. Although hI! was 'fJirtllally unkn()'U)11 to tm general public in De­ umber 1988, CongrtIlfllll1l Hastert was well known in the Houufor his ability 10 negotiate tlt/iwlt issues and rtoch a (omemus. As the 51" Sptaktr of/he H ouse oJRepmentativls mars the middle ofhis montl lerm, he sti/l does not SUR the spotlight. Nrun-flultsS, public attention has jrxuud on his ahilily and effirll10 work through partisan diffu­ mces and pass I~gjslation.

RF: Mr. Speaker, I)olitical observers have said you came by your leadership position by circumstances not ofyour own plan or de­ sign. You, yourscl( ha\'e stated that you did not seek the Speakership. Wedo not hearthat talkduring this session. What haschanged?

Sp ~ak~r Hastert: Well, I've already said I accepted this job and I accepted it with the responsibility that I would try to accomplish SptaJ~r flasftrt lalh aboul the 10716 Congms with RF Editor Ashleigh Rob~rfs. key goals. First of all, get things done. I think we needed to stop the rhetoric and start to produce legislation for the American There were a lot of doubters out there who said we would people. We did that. never be able to keep the majority, but we were able to produce.

12 Ripon Forum • 5o.Jmmer 200 I In the I-louse, we did a health care bill, bal­ RF: Let's assume the tax relief and educa­ anced the budget and paid down the debt. We tion bills are eonfereneed and the Presid ent actually preserved Social Security lind passed signs both into law. What is next for the Re­ a tax cut. There was a pharmaceutical drug publican Congress? bill that we did on our side and a patient bill Speaker H aslerl: We have what I call the of rights that we did on our side. So, Repuhli­ 'Three E's' - the economy, education and ClIns were able to go home with a solid legis­ energy. With the economic issues, the tax lative record and talk about those things. bi ll is probably the most important piece. That was my agenda and my plan. And, we Paying down the debt is another piece. We're are going to do it again. People arc already s,'l)'ing going to do an admirable job on that in this that we cannot keep the majority. We say".. e have budget. We have set a goal benveen four and to erun it.That is wh)'\vc need ro finish the educa.­ five percent of growth. It will take hard work cion bill, provide tax relief and make some changes to keep that. T he appropriations bills can­ in our mde policies. We want to do a patient nOt be commandeered by somebody in the bill of rights again. We also want to do a phar­ H ouse or Senate who will push that num­ maceutical drug bill, get it done and get it signed ber over the top. so we can take those legislative accomplishments T he other important presidential ini­ on the campaign trail and beat the odds. tiative is education and it is on the legisla­ he historical odds say that in the first mid­ tive front burner right now. After those two term election of a new President, the party issues are concluded, it is crucial to begin of that president loses Memhcrs. I think T work on a long-term energy plan for this we can buck those odds. To do it, you have to country. In addition to the T hree E's, there be aggressive and pass legislation . You must arc also some trade issues that need to be show that you can make a difference. You have addressed. The President needs to get ap­ to earn your way. proved trade authority. AU of these issues Second, you must build the grassroots, affect the daily lives and pocketbooks of raise the dollars for Members 10 run and fo­ Americans and they are all out there and cus on campaign basics. You cannot be lack:. ­ Photo by Man" Tamil ready to roll. daisical, sit back and expect the seated Presi- dent to win it for YOll. RF:There has been a big change in the White House in terms of style, tone and policy goals. What changes have made your RF": Despite the narrow margin of Republicans to Democrats, House Republicans have been able to move President Bush's top leadersh ip responsibilities eas ier? legislative goals ;n regard to tax relief, the budget and now education. How has the leadership been "Republicans have strong beliefs in our able to accomplish these goals? 'big tent' party, but both the moderates Speulur H asla l: It 's nOt just the leadership. Our members have really pulled tOgether quite well. Re­ and the conservatives have committed to a publicans have strong beliefs in our abig tent" pany, but both the moderates and the conservatives have common agenda and we have been able to committed to a common agenda and we have been get things done." able to get things done. They have both sacrificed for the common good. Nobodywould be benefited, at least in our Party, if we couldn't get things done and lost our ability to hold the Spealltr Haslerl: Since being in the majority, the idea was to majority. It has hcen a common effort of everybody working to­ pass legislation and then posture ourselves to get something gether to keep this majority. People have sac rificed, been very signed at the other end of Pennsylvania avenue. Obviously, cooperative and worked hard to get thinb>1i done. with a President of your own party, it makes it a lot eas ier.

Ripon Forum • Summer 200 I 13 In the House of Representatives, I always feh like Republicans were going back home with 220 little snare drums trying to get our message ac ross the country. But we were competing against the White House's bass drum and the power of the bully pu lpit. At least now, we have harmonized what we are saying. Everything Republicans say here is echoed by the White House and vice versa. That really helps get the message out.

RF: Have there been changes in the Administra­ tion that make your leadership more difficult?

Speaker H alterl: I am saying this in a kind way. It used to be that anytime you didn't agree with the President you could lambaste the Democrats and say that the Pres ident was ill advised. Today, dis- Sf¥dff l1aJUrl t1ullin~1 biJ Irrislaliw pis wit" RF Editor Ashltigh RDlMrll. agreeing with the President creates a whole rift in the Party. Democratic leadership and what is yo ur assessment on di ­ So, what has to be done can be reaUy difficult. visions within the Republican ranks in the H ouse? here were a lot of issues on the education bill Speaker H aSlerl: There are some Democrat leaders that where some Republican Members really didn't get al ong with re ally well. Others go under the premise agree with the President, Yet, you had to keep a bi-partisan T that if they help the Republican s get anything done, it bill on track, keep Republicans happy and keep the President makes it harder for them to take back the majority. So there happy. It tends to expand your job description a little bit. is a rift or harsh partisa nship and sometimes you wi ll see RF: You constantly travel the country on behalf of Republican that. It is visible in the H ouse and the Senate. candidates. \/\fhat is the main theme ofyou r remarks? But my view is that you have to reach across the aisle . You have to tone down the rhetoric to get things done . Speaker H aslerl: I t changes somewhat as time and issues change. And, there arc some real things you can do on a bipartisan But if we pull together and work together, we can get things basis. But if the rhetoric is filled with political or partisan ve nom, you arc never go­ "In the House of Representatives, I always felt like ing to get anybody o n board with you. That I S Republicans were going back home with 220 little snare true fo r both parties. drums trying to get our message across the country. But RF: The Democrats are we were competing against the White House's bass well united in opposition to the Republica n drum and the power of the bully pulpit." agenda. Can yo u keep both the moderate a nd conservative Republicans done for the American people. Getting things done gives us the united to the extent that they will not derail the President 's ability to own this place, as far as a majority is concerned. When agenda? those things stop gening done, Republicans are at great peril. SpeaRer H aslerl: There are two situations. The H ouse is So, it is always kind of a pep talk that says let's get things one situation and the Senate is another. In the House, our done. Let's move forward. M embers have reacted very well. They know that we need RF: Sinee the Newt Gingrich days, people don't hear as to stay together and if we don't stay together, we cannot much about the Republican Revolution or partisan acri­ move our agenda. If we don't move our age nda, we don't mony. Two questions: What is your relationship with the keep the majority. It 's that si mple.

Ripon FOI"Ufll • Surrwner 200 I "That is just my nature. I try to get things done. But ti me. T here is no magic wa nd that you arc going to wave and I am very reticent for anybody to put me on a be able to solve the problems pedestal and make an example of me. As soon as they caused by eight yea rs of en­ ergy neglect. I go back to put you on a pedestal in this town, it gets easy to get Ene rgy Secretary B ill Richardson's comment. ~they knocked off. I just want to keep this ball rolling. We were sleeping at the s wit ch.~ have successes because Republicans work together." You can't fix this thing ove r night. It took eight years of no energy policy to come to fruition.

RF: Many political observers arc beginning to give you credit RF: If Y OIl had two weeks for a leadership style that has prod\,ced legislative victories yo u could take off and d o any thing you wanted to d o, what fo r President Bush a nd that you arc coming in to your own as would it be? an e ffective Speaker. A ny comme nts? SpeaJ:~r Hast"t: Two weeks? That's easy, I would go home. m S~aker Hasla'f:That is just my nature. 1 try to get things donc. But I am very reticent for anybody to put me on a pedestal and make an example of me. As soon as they put you on a pedestal Asbleigh Roherts is the editor of The Ripon Forum. in this town, it gets casy [0 get knocked off. I just want to keep this ball rolling. We have successes because Republicans VITAL STATS: work Together. lcrc is not anyone person who is responsible, and I am J. DENNIS HASTERT very hesitant to take any of that responsibi lity. I will take Tthe responsibility when we have problems. But, our success is because a lot of people have worked together to get things Birth Date: )'"'''Y 2. 1942 done. I have a great leadership team. From the whip to the Party: Iopublica' majority leader to J.C. Watts to all of the people who work Political Philosophy: Apragmatic together to get out our message and get things done. There is a lot of credit to go around. conservatin Hot IHue: AIopublica, majority RF: In regard [ 0 [he nation's growing energy problem, what is [he Republican Congress going to do? Home: Yo m il~. lIIinoi. Spealur Hastert: Probably the same thing the Republican Senate Family: ""ried 10)", 1. 111; 2 child .., is going to do. There arc three phases. Some things can be done Religion: Pro",... " right away. We don't just need to talk about conservation; we need to work on it. Education: WbuIOll CoIiOgt. 8J. (1964); No""om lIIinoi. There arc some things we can do by adm inistrative fiat. In U,innity. "J (1961) regulation fo r instance, there is two-thirds unused capacity at some Professional Experience: Spukor. U.S. H.... of of the western dams. We can open that up, but you have to deal with some water rights to do it. We can also address California's Iop""'''li", (Im·pro ...I) ; Cong"""". U.s. H.... of peaking problem. There arc other issues out there for immediate !epmon ...... (1986·pmotIl); ! .." Iop ...... lllinoi. conservation. I drove a gas-electric car. It has just as much zi p Gonml Assombly (1 980-1986); High School Hi.tory T_ and and uses 50 percent less fuel. Wro.di,! C.. cII . Yml~ High School (196S·1980) Those arc the types of things we need to take a look at. Some E·maIl Add .....: [email protected] ...!" of the proposals arc immediate. Some of them will t'd. ke 18 months to two years to put in place and some of them wi ll take a long

Ripon F()I'"UIl"l • Surrvncr 200 I 15 Ripon Holds 2001 Ro

By Ashlcigh

he Ripon Society proudly announced the 2001 Rough Rider Award recipients at its annual dinner on May I. 2oot, in Wash ington, D.C. T he awarclees included Health and Human Services Secretary Tommy G. Thompson, Senator Don N ickles (R- Okla.), Congressman Michael C. Oxlcy (R-O hio) and Congresswoman Nancy L.Johnson (R-Conn.). ~ h is with great honor that I prescnt you with the 2001 Rough Riders,~ said the Honorable Bill F renzcl, President ofthe Ripon Society. ''Tonight's awardces represent the broad spectrum of the GOP and highlight the basic themes that unite our Party" T he Rough Rider award is named after the nations 2 6 '~ president, T heodore Roosevelt, and his beloved Rough Riders. About 500 pcople attended the event, which was Co-Chaired by Senaror Chuck J-I agel (R-Neb.) and Congressman Bill T ho­ mas (R- N. M .). Each honoree received a framed sabre and scabbard as a symbol of the courage, conviclion and perseverance that marked President Teddy Roosevelt's career. "A replica of Teddy's CoI.v-alry sabre was presented to these modem Rough Riders who have nOI been afraid to tackle the most difficult problems confronting our n alion,~ Frenzel said. "Often in the face of adversity. these leaders have not faltered, nor abandoned their pri nciples." F renzcl said they were worthy successors to the leadership mantic of a president who understood the relationship of poli­ tics and heroism, and onc time described it this way: ~The credit belongs to the man who is ac tually in thc arcna; whose filce is marred by dust and sweat and

16 Ripon Forum • Summer 200 I Rider Awards Dinner rOI'l"11 Editor

blood; who strives valiantly; who errs and comes short again and again because there is no effort without error and shortcoming; who does actually strive to do the deeds, who knows the great enthusiasm, the great devo­ tions. who spends himself in a worthy cause." The Rough Rider Awards Dinner was inspired by these words and the dynamic vision of Teddy Roosevelt, a leader who re-energized not only his parry but also the nation with strong beliefs about capitalism, conservation and democracy in the early 20,h ce ntury. l oday, Republicans still believe most Americans support the ide:us of a smaller, more efficient and inclu­ sive governmcnl. Congresswoman Johnson, who was honored for her work on health care, said the sabre and scabbard would hang proudly in her office. "I am honored that my work as a member of Congress was considered significan t enough to garner this award," she said. "] am also honored to join with previous winners of the Rough Rider Award, including U.S. House Speaker Dennis Hasten, who has never given up in his quest to make a difference." The Ripon Society proudly bestows the Rough Rider Award on the men and women who continue to bring the message of Lincoln , Roosevelt and Reagan to our citizens and work to re­ store the core values of the Republican Party. This year's awardees have pushed for innovative policy solu­ tions on a wide range of issues and we believe the Republican President who led our nation at the dawn of the last cenrury would be proud of these leaders fo r it is their principles that will take us into the next. m

Ripon Forum • Summer 200 I 17 Restoring the Majority: The GOP Challenge in California

II)' I)hilippc Melin

nly six yem ago the Republican state privately say that if major reforms are Party was on a roll in California. not made, the party is not worth their in ­ With a Republican Majority in vestment. the Assembly, a Republican Governor and a history of WHAT CAN BE DONE Republican Presidential victories in six of The dramatic events of the last six the past seven elections, California was years show that a reversal of fortune is perceived as a bastion of the new Republicans hold only 30 of the state's possible. Perhaps not in 2002 or 2004, but Republican Majority that appeared to be 80 Assembly scats. T he Party lost four certainly in time for 2008 when Califor­ emerging nationally. Congressional scats in the 2000 elections, nia will playa major role in selecting the Governor Pete Wilson, who per­ and stands to lose as many as four to five next generation of Republican leadership suaded GOP legislalOrs to back him in­ more in a Democrat controlled redis­ that will succeed George W. Bush. stead of dealing with Democrat leaders in tricting process. Such a loss could be the There arc five key elements to a re­ Sacramento, won fai r redistricting. H e decisive event in shifting control of the vival of the California GOP. earned the GOP 24 of California's 53 U.S. H ouse of Represenratives to the I. A NEW IMAGE: A change in the party's Congressional scats, only two shy of a Democrats. image, led by concerned Republicans majority. Hurt by the GOP's image as too ex­ speaking out in their own communi­ Now, only six short years later the treme, Republican Party registration has lies, and eventuallycchocd by new lead­ Party has hit a disastrous low. There has declined dramatically and is less than 35 ership in the California Republican not been one major statewide GOP vic­ percent. Despite a growing effort by main­ Party. tory si nce 1994.Governatorial candidate stream Republicans to clect new leader­ 2. STRONGER GRASSROOTS: A revival of the Lungren's landslide loss in 1998 and ship, the Party organization is still narrowly party's traditional emphasis on former Vice President Gore's 12 point controlled by a coalition, whose leaders grassroots door-to-door volunteer ef­ margin of victory in 2000 appear to put preferred Gary Bauer ro George W . Bush forts and a rebuilding of the party's the state solidly in the Democrat's base. in 2000. Senior Bush supporters in the grassroots donor base.

18 Ripon Fonm • Summer 200 I 1. BEITER CANDIDATES: A new generation women loyal to the part") ~ chose (0 crack­ Congn:ssional support for greater local £lcx:­ of candidates with a new message. down on illegal immigration and govern­ ibility in federal education assisClllCC has made 4. REACHOUTTO INDEPENDENTS: Continued ment benefi ts fo r illegal aliens who were an important contribu tion to this success. efforts to bringindepcndentvoters back already in the nation, a shrill issue in his In California the energy crises and the into the GOP coalition. ca mpalh'11· almost pat hetic effort of Governor Grey 5. FAIR REDISTRICTING: Redistricting that \ -Vhile these issues comm:mded ma­ Davis, first to minimize the crises wh ile will give Republican candidates a fight­ jority support in California and won him Bill C linton W'J S in the White H ouse and ing chance to win back majorities. re-election there, they went a long way in then to blame it on President Bush's re­ Let's look at each of these items start­ alienating the H ispanic community, par­ fusal to cooperate in imposing price con­ ing ,vith the Party's image. California Re­ ticularly young H ispanics who perceived trols, reveals the ncar intellectual bank­ publicans relied for years on the theory that it as anti-Hispanic rhetoric that polarized ruptcy of the Democratic Party in Cali­ so-called "Reagan Democ r at s ~ or blue­ the electorate along ethnic lines, fornia. The cri ses provides an extraordi­ collar workers wooed by conservative Re­ T he damage done has extended be­ nary new opportunity fo r RepUblicans to publican positions on cultural issues would yond California as liberal activists usc the win on a simple message of managerial provide the swing votes to elect Republi­ California example for their own efforts competence. can majorities. to polarize the Hispanic community But th:lt message will be drowned out 1999 sttldy sponsored by the then ag-dinst Republicans. As the Hispanic unJess the GOP is able to neutra.lize the mainstream Assembly of Republican population grows dramat ically and a issues that have driven swing voters away ALeadership concluded that this demographic group had, for many reasons "In California the energy crises and the almost including the contraction of the defense industry. declined d ramati cally. In pathetic effort of Governor Grey Davis, first to addition, two new groups, middle class minimize the crises while Bill Clinton was in the H ispanics and suburban, socially moderate women had replaced them as the swing White House and then to blame it on President constituency. The conservative 1989 Webster de­ Bush's refusal to cooperate in imposing price cision on abortion ignited concern, par­ controls, reveals the near intellectual bankruptcy ticularly by moderate Republican women, that the Supreme Court was only one vote of the Democratic Party in California." away from overturning Roe vs. Wade and allowing states to outlaw abortion. Since that decision and the refusal of greater share register to vote. this trend from the party. Californians want eco­ the Part)' to moderate its stand on the is­ cannot be ignored. nomic prosperity and the lower taxes and sue, there has been a continuing exodus of fiscal rovonsibility that are essential to such GOP women from both GOP candidates THE SOLUTION growth. But most will reject a "nanny" gov­ and from the party itself. Polls have shown The Party can and must neutralize its ernment that seeks to lcgis.late morality or that both Lungren and Bush's loss was due image of negativism on these iss ues and one thatsceks to pit one ethnic group ahrainst in part to massive defections among still­ refocus the party on its basic messages of another for partisan gain. registered Republican women voters. freedom, hope. opportunity, growth, diver­ O n the difficult and bitterly divisive T hese defections will become pennanent sity and personal responsibility. issue of abortion, the party will never reach losses to the party unless a future genera­ President Bushs recent success on educa­ a consensus. California Bush leader Gerry tion of candidates and a new party image tion policy, which reversed years of a Demo­ Pars~"y recognized this by appointing a Cali­ wins them baek. cratic polling advantage and crafted a biparti­ fornia delegation to the GOP national con­

Even more damaging has been the san Congn:ssional majority for stronger ac­ \ 'CI1rion whose leadership supponed n:nl

Ripon Forum • Sommer 200 I and young professional volunteers, is an also said, ~ l love Californ ia .~ The news ticularly the 20 seats that form a critical essential feature of a COP revival in headline: "Condi Ri ce doesn't say no.~ part of the GOP's Congressional majo r­ California. The:se volunteers, who must II makes one wonder i£Bush would give ity. But powerful Democrat interest reflect the diversity of the state's popu­ up his National Security Advisor ro have groups, including labor, public~mpl oyecs, lation, will be the seed corn of the new the Governor of California be a close ally. trial lawye rs, and other si ngle interest Republican Party. It also poses the question, would Rice give groups that fund Democrats in Califor­ Interestingl y, both tradi ti o nal up being National Security advisor for the nia, will be pushing for control of the U.S. groups with big-tent leadership like th e possibility ofo ne day being ab l ~ to hire one? I-louse of Representatives. A gerrymander California and new Unlikely, but who knows. Even the that took four or five more Congressional groups like the pro-choice, pro-environ­ thought is an intriguing possibility that scats to the Democrat column would go a ment and fi scltll y conse: rvative Repub­ could energize a new generation of Cali­ long way towards ac hieving this goal. li ca n Youth Majority arc working to fornia Republicans. Led by the California tax-cutting meet this challenge. They arc recruit­ group People's Advocate and GOP House ing not only volunte:ers but candidates, THE ROLE OF INDEPENDENTS Ways and Means Chairman Bill Thomas, especially at the grassroots level fo r California's open primary, which al­ some C:difornia leaders are supporting an County Central Committee, which shapes lowed all voters to participate and which initiative call ed "Let the Voters Deciden the make-up of the state's official party was passed by a 60 percent margin in 1996, to remove the redistricting power perma­ structure. was struck down by the U.S. Supreme nemly from the legislatu re and allow a Brooks Firestone's 21s t Century PAC Court in 2000. In a little noticed but fun ­ nonpartisan commission to draw the lines mounted a broad-based candidate recruit­ damental shift that the California Repub­ with final approval by the voters. If such ing campaign uniting moderates and in­ lican legislators unanimously endorsed and an initiative qualifies for the ballot this clusi\'e conservatives that nearly toppled that the California GOP adopted a rules summer, it will provide a powerful bar­ the state parry's ruling hierarchy. It plans change that allows independents to vote gaining tool fo r Republicans dealing to do so again in 2002. in the Republican primary. This change, with th e legislature on redistricting or candidate recruitment al every level, fo r which Senate LeaderJim Bruheshould plans this fal l. diversity is a key word. The C:.t.lifornia get the credit, could go a long way to in­ If Democrats in Sacramento pro­ Fpopulation and soon the majority pool crease voter participation in GOP affairs. duce a blatant gerrymander, outraged of registered voters will no longer be white, However, some GOP activists are vo ters might well respond to the appeal, non-Hispanic. If white males decided talking about an even more fundamental ~Takc the power away from the politi ­ California and national elections, Bob shift that would allow the rop two vote cians and give it back to the people.~ Dole might well have just been rc-elected geners to run in the general election re­ Withou t the hope of taking four or live to a second tenn. Future California tickets, gardless of their political parry. T he im­ new scats in Californi a, Democrat hopes especially fo r statewide offi ce, must be led pact of such a shift will no doubt be hotly for retaking the House in 2002 would by women and ethnic minorities. This may debated in the coming months. But if virtwtll y disappear. be the best way to send the message of adopted, it could fundamentally alter the Vv'it h fa ir redistricting, good can ­ inclusion to the new constituencies who dynamics of California politics. didates, a strong grassroots rel'ival and often see the GOP as dominated by older a new image, the California GOP could white males. THE BOUNDARIES be back in the majority within twO to OF REDISTRICTING four years. None to soon fo r the national COULD IT WORK? Finally, no amount of internal r~fo nn GOP that has it's own challenges, which A recent survey by the Republican in the California Parry will have much are nOt entirely different to con- II] Group, the WISH list, showed that black, impact on its electoral prospects at the leg­ tend with. pro-choice former Stanford Provost islative and Congressional level unless Condaleeza Ri ce defeated even Arnold there are fair districts that wilJ elect com­ Philippe Mtlin is the Exrcutive Dir(!(/or o[ Schwanzenegger to be the top choice of petitive Republicans. the Republimrt Youth Majority, a pro-choice

California COP voters for Governor in Republicans in Sacramento hold out organizillion flttlicafttlto promoting (J socially 2002. When asked if she would consider the hope that a deal can be struck with tolemllt andj iscally conservative appro(ICh to running, Ri ce said, '" love my j o b.~ She Democrats to preserve the stanIS(IU O, par- gO'llen/flu nl.

Ripon Forum ' Sommer 2001 21 A Different Approach

US. Representative E. Clay Shaw,fr. (R-Fla.) invites America's Youth to help solve the nation's growing Social Security problems

By As hlcigh !Iobel'ls, FOl"llill Edilor

ongTtsSm(1t1 E. Clay Shll'W, j r. is well kmm.mfor spearheading 1m wrlfore reform Irgislalion that lead to one of the most important soc;al changel ill rumt dunr/($. Now, he has lalun on the cOllllfry's aging Social Secu rity program.

Quickly gaining II "pula/ion/or laclding the fI(I tion's tough

/S$U(J, Shaw is du/ieated 10 keeping the system lolvent for lutllre generaliom. 11/ a hill he (o-allthoud withformer l"'ayl and M eans Chairman Bill Arch", Congressman Shaw promo/fJ the use of income tax (redits to lund personal retiremenl (1((ollnfs. Still, the (hal/mgr is daunting. Not only dors Shaw "pwent the dislr;ft with the highest percentage of thou O'I.JtT the aglo[65, "/llny politicians rifer to Social &curify as the third mil 0/ politirs. While many Membm would prefir not 10 lou(h the system until it is absolutely nuessary, Congressman Shaw outlintd a new approach with lhe R ipon Forum on May 17, 2001, and shared his plam to gel Amerital youth involvtd in the prouss.

RF: This fall, you are taking a different approach to Social Secu­

ri ty reform. I understand you are planning several events 011 Florida college campuses. Tell us about your plans. ,

Congressman Shaw: It is ve ry important [hat we mobilize young COlIgrmmall E. Clay Shaw.]r. laMs aboul S()(ial Suuril] people. They need to know that there is a ben er way to insure Riform with RF Editor Ashltigh Roberts.

22 Ripon Forum • Summer 2001 their financia l fu tllte, and that we can also save Social Security message to CQ Ullter that so we can bri ng the Democrats on board fo r their parents and grandparents. If we start now, we can build for a sensible solu tion to the whole problem. a better and stronger system arou nd the existing one. RF: Mter being granted the right to vote years ago, America's T hen: is one thing we know for certain. Over the next 75 youth arc well known for their political apathy and low-voter turn years America is facing a deficit in the Social Security system of out. What makes you think they will be a political factor in So- cial Security reform?

"Beginning in just 15 years, the system is not going to Congressman Shaw: You bring have enough payroll taxes coming in to sustain it. The them into the solution and you engage them. You have to seek federal government is going to have to step up to the them out. H opefully, we can get plate and either put some more tax dollars into it - a real discussion on campus and in the coll ege newspapers. I and that means raise taxes or cut benefits - or act think we can get good turnouts at the hearings I am going to now and get something done." hold on Florida's college cam­ puses. My goal is to energize the young people so they will demand over S20 trillion. No ecollomy can sustain that. We have got to that Congress acts. move. he hearing we are planning right now will be at Florida Beginning in just 15 years, the system is not going to have Atlantic University in Boca Raton. We are goi ng to bring enough payroll taxes coming in to sustain it. T he federal govern­ Tthe senior citizens in and let them sit on one side and bring ment is going to have to step up to the plate and either put the students in and let them si t on the mher to create an open some more tax dollars inlO it - and that means raise taxes dialogue between the two. I t wi ll be an interesting experiment or cut benefits - or act now and ge t something done. because these groups usually don't express their concerns in rhe presence of the other. RF; As the Chairman of the Social Security Subcommit­ tee, you've been invo lved with the iss ue for mallY years. RF: What is your message to the young people of this country? What has caused you to change yo ur focus and take this Congressman Shaw: Let me tell yo u, over 50 percent of the Mem­ issue to America's youth? bers of the U. S. Congress don't have a fu ll understanding of how Congressman Shaw: We need a public outcry. The only Social Security works today. I am not sure that I would know if I thing the Congress hears is, 'd on't cha nge my benefits.' wasn't so involved with it. It is something that most people don't That is because the Democrats have been very successful seem to focus on. But it is so important and it consumes so much in convincing se niors that any change in the system is go­ of ou r national budget that young people can't afford not to get ing to affect their benefits. Republicans need to send a positive involved. It is so important to keeping people out of poverty that

,

Ripon FOI'VITl • Summer 200 1 -::~===~:::;;2J ~ RF: Other observers say reform of So­ cial Security is long overdue and that you and President Bush deserve credit for , making the long-term structural changes that will strengthen and preserve the sys­ tem. What has prompted you to rake on this bold and challenging refoml?

Congress man Shaw: Newt Gingrich originally asked me to take this on after I fini shed welfare reform. I did not know it go: \vas going to become my career in Con­ ~ gress, but it has. I took it on as a challe nge. j The more T looked into it and the more I

'l.; worked at it, the more I understood there Congrnsmlm Cluy Shuw,jr. tliscus$ts his mm agl /Ot he lIation's youth. realiy was a solution out there. Congress and America have to focu s on it. We all need to know h is going 10 rake a little bit of courage. I have one of the how the sys tc!m works. "oldc s t~ districts in the counlry as far as the age of my constitu- ents. But we can preserve Social Securiry for them RF: Some Republican naysayers warn that Democrats have his­ 'nd m strengthen it for their children and grandchildren. torically politiciu d and dcmagogued proposals for Social Secu­ ri ty refoml with o\·erwhelming political success. In your own Congressional class of 1980, 26 Republicans lost their seats in 1982, in part due to Social Security attack advertisements. If VITAL STATS: "., "~ Social Security is acmarially sound unci12034, why touch the third E. CLAY SHAW, II. rail of politics in 2002? _." "'" Congressman Shaw: For two reasons. First, I disagree that the BIrth ..... April It. 1m "I. ~ system is actuarially sound until 2034. We will no longer be able to pay the benefits with the FI CA tax beginning in 2016...... 1icII ~( Now, there are those that say all you have to do is turn in the ,. 'f. OI!', .•.•. • PaIIIbII'hIooaphy. ItodoraII! , . treasury bills because that is what they arc for. But how are you going to payoff the treasury bills? The federal govern ment is Hot Iuur. SociaIleclrity going to have to do it. So we will have to raise taxes to pay for the ...... , It.IJoodordaIt, Florida benefits, cut the benefits or go back in the red and borrow money. tarting that year, we arc looking at a deficit of 520 trillion ho,'" 1IarrioII .. EniIit Cosrar; I doiWnn that will span from 2016 until 2075. That is what we can I"WOIl: CadooIic avoid. That is why we should act now and the solution is S E..... II"'" 1_ Uoi.onIty. l.A. (1"1); UlIiuollity" individual retirement accounts. If we start puning money into them now and Start getting the benefITS of private sector Jlab l,lIJJ (IHI); 1_UoiuoniIy,j.D. (I"') investment, we can build these accounts up so that we only Pu' nl.1III EIpwt ••• c..,. ,-,U.s. _If.. have a short period of deficit spending. Then the program ...... IIIMs(I~lt. hql',.."""'(1m.II); grows. The program that J have devised actually runs a surplus It. ... 1,,.. 'fiIHIIJor (1ffl.15J; r.n I '"" CiIr over the same period of time of over 520 tri ll ion. The legisla­ C, ••io"" " (1971-73); ProaiaIc...,(1"""1; It. tion that former House Ways and l'Vleans Chairman Bill Ar­ ....nolo 0i0I ...... (IHI-6tJ; AaocioltlllooiciP JooIIt cher and I put together actually creates a 520 trillion surplus. (1"'-71). In existing law, there is a 520 trillion deficit. T hose are huge figures. But we have to start now. The longer we wait, the Web Mha: ...... ,...., more difficult it witl be.

Ripon Forum • Summer 200 I New Democrats Move to the Middle \

The D emocratic leadership council discusses its strategy to redefine the Democrat Party

By AI F.-om

eforming a political party gives The national parry had clearly lost its iog considerable res istance, the OLe new meaning to the Democrat way. bu ilt a modern, progressive Democrat and Republican Party mascots, Rather than giving up, New Demo­ Parry that tackled America's challenges the donkey and the elephant. crats formed the Democratic Leadersh ip through modern means and fresh ideas. Like tryi ng to The resuh:Just eight lead a stubborn donkey or years after the 1984 de ­ an elephant that doesn't bacle. Bill C linton, want to budge, it isn't easy fo rmer chair of the DLe to move a political party. and leader of the New For more than 15 D emocrat movemen t , years, New Democrats won the White House. have pushed and pulled I n 1996, he was re­ our donkey party back elected. It was the fi rst into the political main­ time in six decades that stream. We had to, out of a D emocrat retained the political necessity. presidency. In 1984, the party of Because his political Franklin Roosevelt, Democratic Leadel'sh~ Council success was built on his H arryTruman and John New Democrat ideas, Kennedy and the party Clinton's victories rede­ that led Amenca to most of its economic Council and set out to rebuild the party fined the party. When, after some early and social progress in the 20th century. by redefining it. We believed if we stood setbacks, he put those ideas into action, lost 49 states. By 1992, it had lost five fo r good ideas that con nected with the he reinforced the new definition of the of the last six presidential elections. and everyday needs of the American people, Democrat Party and dearly put it in the most experts said it would not win the vo ters would once again turn to Demo­ vital center of American politics. And presidency agai n in the 20th century. crat s for national leadership. Qverco m- because the movement is grounded in

Ripon forum • Summer 200 I 25 ideas, it will survIve Vice Presid en t fllied that role in 1980. For Michael Dukakis won a higher percent­ Gore's fai lure to win the presidency in us, it was Bill Clinton. He was the mes­ age of self-identified DemocratS in 1988 the 2000 election. senger and the marketer ofour movement. than Jimmy Carter did in 1976. In fact, Clinton took our ideas into the presiden­ in some polls he won a high er percent­ REFORMING A NATIONAL PARTY tial primaries, and by winning the nomi­ agc than Lyndon Johnson did in 1964. What arc the lessons that can be nation and the election - and then by It was clear that Dcmocrats could no learned about reforming political par­ governing as a New Democrat, he rede­ longer win the White House by only ties from the New Democrat ex peri ­ fined our party. turning out the base. We needed to re­ ence? Though the DLC was formed in define the Party to cnsu rc hard work­ irs t, in the American political system, 1985, it really intensified its effortS to re­ ing, middle class Americans were nOt parties are defined during the define the Democrat Party four years later. fe cling left behind. Fpresidential nomination and election The 1988 presidcntial election was a ter­ T he need to redefine the party led process. Unlike a parliamentary system, rible disappointrnclH to all Democrats, but New Democrats to stagc two of the

Ameri can parties don't hold conferences it \VlI.S especially difficult for party reform­ stratcgy: The development of a new phi ~ to determine party policy. To most voters, e~. Not only did we lose an eJection we losophy. In 1990, wh en Bill Clinton the parties stand for what their presidential expected to win, the 1988 campaign was took over as chair of the DLC, we is­ ca ndidates stand for. New Democrats eerily reminiscent oflosing Democrat cam­ sued Tht Ntw Or/tlms Du /arolion, a understood that when they changed the paigns during the nvo pmoious decades. simple philosophical statement that told DLC focus in 1989 from a fo rum debating vOters what we stood for. new ideas to forgi ng a winning agenda for TAKING ACTION We sa id we believed that "the a New Democrat presidential candidate. So in 1989, the DLC adopted a four­ promisc of America is equal opportu ~ Second, real reform requires a moti­ part strategy to change the Party. Stage nity, not cqual outcomes", that ~ th c pur­ vating factor. Sometimes it's a national one was ~ r e alit y therapy." It was an hon­ pose of the Democratic Party is to ex ~ crisis, like the Great Depression was for est assessment of why Democrats were pand opportunity not government,~ that Franklin Roosevelt. For New Democrats, consistently losing elections. This seems "econom ic growth is the prerequisite for the factor was consistent electoral defeat threatening the national party's very survival. "Not only did we lose an election we expected to win, the Third, reformers need a 1988 campaign was eerily reminiscent of losing Democrat clear strategy and a single­ minded purpose. Our strategy campaigns during the two previous decades." was to offer modern means that furthered the party's traditional principles and ideals. We knew that pur­ elementary, but it is extraordinary diffi cult opportunity fo r all," and that "despite suing that strategy would engender great to get a party to face the real reason it loses the fall of communism, the world is still resist'.lnce from party regulars. But we took elections. While we were roundly criti­ a dangerous place." To most people the hits and kept goi ng forward. cized for doing it, OLe findings were criti­ those weren't earthshaking beliefs. But Founh. ideas maner. New Democrats cal to charting a new course. for Democrats, they werc redefining believed that winning coalitions in the in ­ We di scovered that Democrats were statements because most American s formation age had to be built around ideas losing because too many of the very people di dn't believe Democrats believed in and nOt merely interest groups. Dcmo· New Deal and New Frontier policies them. Cfats were losing because their ideas were helped move into the middle-class were Stage three of our strategy was the out of touch with the hopes and aspira­ voting Republican. In 1988, voters earn­ development and articulation of specifi c tions of too many Americans. So we ing between 520,000 and 550,000 a year ideas that turned the new philosophy into shaped a progressive agenda that con­ vo ted Republican by better than a 5-4 a full -fledged governing agenda. The criti- nected with ordinary Americans. margm. 0 1 moments came in the 1991 conven­ Fifth, a persuasive presidential can­ We were also losingbccause the num­ tion in Cleveland, when with people rep­ didate is essential. For the conservatives, ber of Democrats had shrunk dramatically. rc se nting all 50 stares, we passed a se t of

26 Ripon forum • Summer 200 I resolutions detailing our new governing an insurgent party faction. Most Demo­ tion of the party just by putting his New agenda. cratic leaders still opposed us. Democrat ideas into action. But over the The N rw Choice resolutions offered course of his eight years in office, he did a set of progressive policy proposals TESTING THE MESSAGE just that. The result is a radically rede­ groundcd in mainstream values that chal­ Despite the opposition, New fined Democratic Party. lenged liberal Democratic orthodoxy. It Dcmocrats believed that rank-and ­ Today the Democrats stand for eco­ took on tough issues, calling for fiscal file Democrats and most Americans nomic growth not just redistribution, for fi s­ cal responsibility nor ~ t ax and spend," for work not welfare, "In retrospect, the Cleveland Convention may have been for prt.'venting crime and pun­ the most important event in the resurrection of the ishing criminals not explaining away their behavior, and for Democratic Party. But at the same time it was an empowering not bureaucratic anathema to many important Democrats. The Reverend govemment. ll1at'sstarklydif­ fercnt than the way the party Jesse Jackson came to demonstrate against the DLC. was defined a decade ago. Despite our fail ure to win Liberals led by Iowa Senator Tom Harkin and Ohio Senator the White H ouse last year, Howard Metzenbaum held a counter conference." there is no going back. The New Democrat movement is growing, and in city hal ls and state legislatures across the discipline, welfare reform, national ser­ would support the agenda if they were country, New Democrats arc emerging as vice, public school choice, charter given the opportunity. So after the Party's most dynam ic leaders. schools, and legis la tion like the Brady bill Cleveland we moved to stage four of T he New Democrat Coalitions in when the Democratic leaders of both our strategy: M ake the New Demo+ both the U.S. House and Senate are fast houses of Congress were sti ll opposed crat agenda the defining Democratic becoming the largest and most impor­ to it. agenda by testing it among voters in tant forces in their respective caucuses. T11 retrospect, the Clevc\and Con­ the Democratic primaries. New Democrat governors have re­ vention may have been the most im ­ hat's exactly what Bill C linton claimed statehouses in California and portant event in the resurrection of did . Calling it [he New Covenant, across the South fro m Miss iss ippi to the Democratic Party. Bu t at the time TC linton put the New Democrat North Carolina. There is not one it was an anathema to many impor­ themes of opportunity, responsibility, Democratic governor who docs not gov+ tant Democrats. T he Reverend Jesse community and the agenda we developed ern as a New Democrat. Jackson came to demonstrate against at Cleveland before voters. Despite a few Just a small insurgency fighting for the O LC. Liberals led by Iowa Sena­ bumps along the road, Clinton won the survival a decade and a half ago, New tor Tom H arkin and Ohio Senator nomination, and the New Democrat Democrats now define the Party and have H oward Metzenbaum held a counter philosophy and governing agenda put it on the precipice of becoming conference. Members of the United redefined the Democratic Party. America's m~or i ty party agai n. Best of Auto Workers protested our NA FTA Just a year after the tumultuous Cleve­ all, the movement is still young with position. Even moderate Democrats land Convention, a united Democratic its best years ahead. in the House lectured me about poi­ Parry ratified a New Democrat platform soning their relationships with key and nominated a New Democrat candi­ AI From is the founder and chief exeruti'lJe interest groups. date at its convention. o/JiuroJthe Democratic Leadmhip COllneil

When the convention was over, Bill However, we learned soon enough (DLC), (UI idea action center 0/ the ~Third Clinton and the DLC had outlined a after the 1992 election that it would be no Way"gO'lJem/ngphilosophy that is reshaping radically redefining agenda for Demo­ easy endeavor for Clinton to overcome progressive politics in the United States and crats. But it was still just an agenda of party resistance and cement the redefin i- (lro/lUd the globe.

RifXlO Forum • Summer 200 I 27 Medicare Reform: Still Time To Get It Right by nebnrah Steelman, Vicc I),"csidcnl , Co'"pOI"a le Arrai,"s, 1\li tilly and Company

ecent signals from some in The current system is notoriously, contractors that any time they re ceive Congress suggest thai what was almost maniacally, convolul'ed and com­ an unsolicited, voluntary refund check once an in spiring agenda for plex. According to the Mayo Clinic, the from 11 provider or supplicr, they must modernizing Medicare is being rules and regulations promulgllted by contact He FA. Specifically, the contrac­ whi ttled down to a single isslIc ­ H eFA over the years now run to morc tor must: how to add a prescription drug benefit. If than 100,000 pages- much more ma s­ find out why the refund check was cut. a stand· alonc prescription drug benefit sive than the (ax code an d arc beyond find out how the payment problem was passes, Medicare will f.'lCC a bleak future. humans capacity for compliance. Yet identified by the provider. The lack of outpatient drug coverage is providers must do everything in their find out why the incorrect bill was origi­ unquestionably an enormous shortcoming, power to comply, because it is these rules nally submitted. but we must not luse sight of the fact that that specify what procedures will be re­ take corrective steps to prevent similar it is by no means Medicare 's only major imbursed as ~ medi c ally necessary. ~ The errors from happening. one. claims review and appeals process for Yet for all this, Medicare has a higher HalfWay me:l.sures hold the limelight denied coverage is ridiculously long - fraud fate than private insurance plans. today: block !,'Tanrs, a variety of drug-only 524 days, on average, from initiation to Medicare is ful l of holes in irs cover­ insurance bills or drug-only add-ons to the completion, according to the Heritage age of the most serious medical needs. current outmoded program. But these fmllldation - and claims arc rcjccu:d again falling short of commercial stan­ measures satisfy neither fcal need nor more frequently in Medicare than in pri­ dards. T he lack of drug coverage is ex­ political imperative? va te health insurance systems. hibit A, but there is more. M edicare The future can be different: com­ Almost all M edicare providers can doesn't cover non-rehabilitative long-tenn prehensive coverage can be available to furn ish stories of Kafkaesque encoun­ care, catastrophic expenses, many preven­ all seniors at less ri sk to the taxpayer and ters with HefA. One note in PhYJicians tive care services or dentistry, hearing aids to seniors than posed by the current pro­ Payment Update will have to stand for or glasses. Medicare does not cover cho­ gram. thousands. H C FA has told Medicare lesterol screening even though cardioV'.lscu-

28 Ripon Forum • Summer 200 1 lar disease is the leading cause of death in dated at intervals the United StatC$. These necessary se rvices that reflect the are routinely covered by commercial and adoption by phy­ employer-sponsored private health plans. sicians of the best Once you add Medicare's stiff COSt­ and latest medical sharing (what worker pays 5776 the first technologies, and day he or she must be admitted to a hos­ doctors and hos­ pital?), Mt:dicare turns out to be something pitals must adjust far less than the comforting securityblan­ the mix of services ket we all want for seniors. On average, they provide to about 22 percent of the typical senior's compensa te for income is spent on health services not cov­ payments that do ered by Medicare. not adequately re­ he program is economically unsound fle ct cost. As a re­ as well, full ofcontradictory incentives sult, patients may Tand unworkable controls. The copays receive older and and deductiblcs private insurance uses to give cheaper care beneficiaries some sense ofoost-consciousncss rather than the arc hopelessly anachronistic in Medicare. best available care. Medicare's hospital deductible totals about As one con­ 92 percent of the average beneficiary's sequence of this monthly Social Security benefit! What approach, the reasonable person wouldn't insure against time between a this throug h Medigap o r other new medical supplemental insurance? But at the other device's approval end of the spectrum, the annual deductible for medical use for Part B, which covers physicians and and its acceptance many outpatient services, is so low it begs by Medicare can overuse. And eve n this deductible be between 15 disappears once the sensible seniors has months and 5 pu rchased the in surance necessary to years. Further, because some devices must case, the fl aw transce nds even the best protect agllinst the catastrophic potential be approved by M edicare on a region-by­ intentions of )-IC FA's managers - any of a hospital admission (federal guidelines region basis, the same technology may not major change in Medicare requires an act dictate the design ofM edigap policies.) be available na tionwide. of Congress. Medicare has no sensible coverage The same impediments stand in the Of course, there is a school of thought and utilization incentives. Medicare docs way of other medical innovations - new that holds that erecting barriers to new not help beneficiaries navigate the spec­ surgical procedures and new drugs for hos­ technology is desirable and necessary. For trum of health care therapies and alterna­ pital usc. If the same principles were ap­ example, the eminent health economist tives. Medicare has no way to discover and plied to a new outpatient drug benefit, the Vi ctor Fuchs attribUTes the steady growth pu rsue the treatments that offer the best value of that benefit would decline steadily of health expenditures almost exclusively value for the monC)'. Instead, the program and rapidly. to the development and deployment of relies on component cost management price Nledicare routinely tries to impose new technologies. Therefore, he argues, controls to try to keep spending in check. static comrols on a field undergoi ng dy­ "the most importatu strategy for slowing The inevitable effect ofs uch measures namic change. This inflexibility is perva­ that growth is to slow the development and is to depress the supply of goods and ser­ sivc and without a doubt constitutes the diffusion of new technology." vices under the controls, thus reducing the greatest weakness of the M edicare sys­ This Luddite thinking will not be quality of care offered to se niors. tem over the long term. It is almost pur­ supported by our society. In addition, bio­ Medicare's payment rates arc not up- posefully anachronistic. And, in this medical innov-,nion is our only hope of

Ripon Forum • Summer 200 I 29 bringing down the high cost of treatmen! government spends our taxes on that can now is enormous. 1t is the reason we have and the far higher cost of disease. even come close to that kind of value? the world's best hospitals. the world's most In the case of pharmaceuticals, there is In any case, it should be clear that, well-trained physicians, and in short, the a growing body of evidence to support that quite apart from its lack of drug cover­ world 's best health care. This program is view. In a landmark 1997 study of the trcat­ age, Medicare today is now discon­ worth investing in. We will spend more men! of heart attacks l , researchers demon- nected, uncoordinated, inadequate, ex- to maintain and improve it, and we will pensive, and unrespon­ spend more to cover necessary benefits like sive. And any attempt pharmaceuticals. As Republicans, we "Medicare routinely tries to to add drug-only cov­ need to acknowledge this, and we need impose static controls on a field cngc to this structure to lead the way in Medicare reform so is like adding a new that we are get more fo r taxpayers' undergoing dynamic change. fl oor on a building with money. As my mom says, gening old a crumbling founda- isn't for sissies. But it isn't for spend­ This innexibility is pervasive and tion. thrifts or micro-managers either. without a doubt constitutes the We can do better. There is no question that provid­ My background in ing drug coverage is essential and that greatest weakness of the Medicare dates back we will spend more of our tax dollars to Medicare system over the over two decades to my achieve this. 'We arc a society built on years working for the the pursuit oflife, liberty and happiness long term." late Senator John and dedicated to individual choice. Heinz.. H e was a pas­ H ow will we finance the high quality of sionate believer in health care in which we believe? strated that the incremental benefit of pre­ Medicare as a foundation fo r seniors' Certainly that answer is not found scribing cardiovascular drugs cxccedl..-d the health and income security. My term through incremental changes which incremental costs. Using that data to com­ in President Reagan's OMB taught me continues the current Medicare system pute a "cost-Qf-living" indo: for heart at­ that M edicare can be run more effi­ of centralized control and administered tacks, they showed that the indo: had actu­ ciently by changing the way we buy ser­ prices. We will need the individual ally been declining at an annual rate of 1.1 vices. During my service on the Medi­ choice and control, the aligned incen­ percent. Their conclusion is worth quoting: ca re Commission chaired by Senator tives and the efficiencies made possible ~Rf!{ei'C)ing more in improvtf/ health John Breaux and Congressman Bill by comprehensive benefit packages ad­ than we pay in treMment costs implitSlhal Thomas, I leamed that there is a better way miniStered very differently than the way medical care is a more productive in'INstmfnl to manage Medicare, a way to improve ben­ Medicare is run today. than Ihe average uu for our funds outside efits, reduce costs, and reduce administra­ Comprehensive reform of Medicare Ihe mldi(DI u(lor. And it implils thaI a tive hassles f-or providers. is the only lasting answer to the r.-I true (ou-0l-living indlx for hlart attack ecently, I joined Eli Lilly and shortcomings of the present system. W (are- a pri(l indexfor heallh after a hlart Company, a 125 -year-old company attack - is falling over (ime, whereas (on­ Rthat produccs, among other miracles, Deborah Steelman is Vi(t Pm itient, of venlional medical care price indexes have the insulin that has kept millions from the Corporate Ilffairsfor Eli Lilly and Company suggested a rapid riu." dread effects ofdiabetes. We also discovered More recently, Columbia University and brought to market breakthrough drugs that I "The Costs :Uld Benefits of lntcnsive T ~tmcnt economist Frank Lichtenberg has docu­ have helped millions ofpeople through dle slog for Cardiovascular Disease," by David Cutler. mented a similar cost/benefit return for of depression and the disability of Mark McClellan (now a member of the Coun­ pharmaceutical innovation in general. schizophrenia Ourinnov.ltion \vill expand the cil of Economic Advisors in the White House H e calculates that our nation's total horizon. ofproducti\'C life in a multirude ofuralS and one of the an:hiteca of the fOrthcoming spending on new pharmaceuticals from for millions of people for years to come. B"'" M"'= .dOnn ".,.,.,..I) '"" J"""h 1970 to 1990 has produced a benefit to Although now ridd led with difficul­ Neo.....oouse, in Mtasuring fix PrUts o/'MttlitaJ society equivalent to a 40 perce nt return ties, let us not lose sight of the fact that Trratmmts,Jack E. Tripplct,ed .. Brookings In­ on investment. Is there anything else Medicare's contributions to the way we live stitution Pn:ss, 1999.

30 Ripon FOI'lJffi • Surrvncr 200 I ,

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